Public Accounts 2023–24: Consolidated financial statements

Independent auditor’s report

To the Members of the Legislative Assembly of the Province of Ontario

Opinion

I have audited the accompanying Consolidated Financial Statements of the Province of Ontario, which comprise the Consolidated Statement of Financial Position as at March 31, 2024, and the Consolidated Statements of Operations, Change in Net Debt, Change in Accumulated Operating Deficit, Remeasurement Gains and Losses and Cash Flow for the year then ended, and notes to the Consolidated Financial Statements, including a summary of significant accounting policies.

In my opinion, the accompanying Consolidated Financial Statements present fairly, in all material respects, the consolidated financial position of the Province of Ontario as at March 31, 2024, and the consolidated results of its operations, the consolidated changes in its net debt, the consolidated change in its accumulated operating deficit, the consolidated remeasurement gains and losses and its consolidated cash flows for the year then ended in accordance with Canadian public sector accounting standards.

Basis for Opinion

I conducted my audit in accordance with Canadian generally accepted auditing standards. My responsibilities under those standards are further described in the Auditor's Responsibility for the Audit of the Consolidated Financial Statements section of this report. I am independent of the Province of Ontario in accordance with the ethical requirements that are relevant to my audit of the Consolidated Financial Statements in Canada, and I have fulfilled my other ethical responsibilities in accordance with these requirements. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.

Key Audit Matters

Key audit matters are those matters that, in my professional judgment, were of most significance in my audit of the Consolidated Financial Statements of the Province of Ontario for the year ended March 31, 2024.

These matters were addressed in the context of my audit of the Consolidated Financial Statements as a whole, and in forming my opinion thereon, and I do not provide a separate opinion on these matters.

Key audit matter: personal income tax

Personal Income Tax has been identified as a key audit matter because of the magnitude of this revenue and because the estimate is complex and includes several inputs and assumptions.

Personal Income Tax is the Province of Ontario’s largest revenue stream, providing approximately $50.8 billion (2023 – $44.2 billion) in revenue in 2023-24. Note 1d (Measurement Uncertainty) provides disclosure on measurement uncertainty related to personal income tax revenues. Personal Income Tax revenue in a fiscal year is derived from the Ministry of Finance’s estimates of personal income taxes from two calendar years. For the fiscal year ended March 31, 2024, the Province of Ontario records nine months of revenue from the calendar year 2023 and the first three months of revenue from calendar year 2024. However, tax assessments for the 2023 calendar year will not be finalized until December 2024, and 2024 tax assessments will not be finalized until December 2025. As a result, precise revenue figures cannot be determined until 21 months after the fiscal year-end date. As a result, the Ministry of Finance estimates these revenues based on the best information available.

Audit work to address this key audit matter included:

• assessing the appropriateness of the method used to make the estimates;
• performing a retrospective review to assess the accuracy of prior year estimates;
• testing the completeness and accuracy of underlying data and management’s calculations;
• evaluating the sufficiency of the measurement uncertainty disclosures in the Consolidated Financial Statements; and
• engaging an econometric specialist to assist with the evaluation of the Ministry of Finance’s personal income tax estimation model.

Key audit matter: corporations tax

Corporations Tax has been identified as a key audit matter because of the magnitude of this revenue and because the estimate is complex and includes several inputs and assumptions.

Corporations Tax is a large revenue stream, providing approximately $23.1 billion (2023 – $27.8 billion) in revenue in 2023-24. Note 1d (Measurement Uncertainty) provides disclosure on measurement uncertainty related to Corporations Tax revenue. Corporations Tax revenue is based on tax returns assessed by the Canada Revenue Agency (CRA) up to June 30, 2024 and includes estimates of corporate income tax from two calendar years. For the fiscal year ended March 31, 2024, the Province of Ontario records nine months of revenue from the calendar year 2023 and the first three months of revenue from calendar year 2024. Corporations’ tax assessments for the 2023 calendar year will not be finalized until December 2024, and the 2024 tax assessments will not be available until December 2025. This means precise revenue figures cannot be determined until 21 months after the fiscal year-end date. As a result, the Ontario Ministry of Finance estimates these revenues based on the best available information.

Audit work to address this key audit matter included:

• assessing the appropriateness of the method used to determine the Corporations Tax estimate;
• performing a retroactive review to assess the accuracy of prior year estimates;
• testing the completeness and accuracy of underlying data and management’s calculations;
• developing a range estimate to compare to the Ministry of Finance’s estimate;
• evaluating the sufficiency of the measurement uncertainty disclosures in the Consolidated Financial Statements; and
• engaging an econometric specialist to assist with the evaluation of the Ministry of Finance’s corporations tax model.

Key audit matter: pension and other employee future benefits

The Province of Ontario sponsors several pension plans, both as sole and joint sponsor. In addition, the Province reports in its Consolidated Financial Statements pension benefits for employees in the hospital and colleges sectors. The estimated plan assets and accrued benefit obligations of these plans exceed $13.8 billion (2023 – $14.1 billion). Information related to Pension and Other Employee Future Benefits are disclosed in notes 1d (Measurement Uncertainty) and 6 (Pensions and Other Employee Future Benefits).

The Province of Ontario relies on third-party actuarial specialists to estimate the accrued benefit obligation and other information for financial statement note disclosures. These calculations rely on management’s best estimate for significant economic and demographic assumptions.

Plan assets are valued at market-related value for funded plans. Market-related value is based on the fair value of plan assets reported in the pension plans’ financial statements over the last five years. Where observable market data is not available for investments, fair value estimates requiring significant management judgment are used.

Audit work to address this key audit matter included:

• assessing pension plan auditors’ work over the reliability of the market-related value of plan assets used in the estimates, as well as their work over the plan member data provided by management to an actuarial expert for preparing the estimate of pension obligations;
• assessing the qualifications of management’s actuarial experts;
• obtaining an understanding of the assumptions and methods used by these experts in determining the accrued benefit obligation for pension benefits and the appropriateness of the assumptions and methods used and testing the underlying employee data used in the valuation of the accrued benefit obligation; and
• working with an independent actuarial expert to assess management’s significant economic and demographic assumptions.

Key audit matters: liabilities associated with the court decision related to the Protecting a Sustainable Public Sector for Future Generations Act, 2019

The estimates for the liabilities associated with the court decision related to the Protecting a Sustainable Public Sector for Future Generations Act, 2019 are complex and include several inputs and assumptions and, as such, have been identified as a key audit matter. As at March 31, 2024, this liability is estimated to be $3.6 billion.

The nature of the liabilities and the challenges around its estimation are discussed in note 1d (Measurement Uncertainty). 

Audit work to address this key audit matter included:

• reviewing legal claims and arbitration assessments;
• evaluating management’s calculations and assumptions for estimating the liabilities;
• assessing the completeness of the liabilities and the underlying data; and
• evaluating a sample of agreements and memoranda of understanding supporting the measurement of the liability.

Other Accompanying Information

The Government of Ontario (Government) is responsible for the information in the 2023-24 Public Accounts of Ontario Annual Report.

My opinion on the Consolidated Financial Statements does not cover the other information accompanying the Consolidated Financial Statements and I do not express any form of assurance conclusion thereon.

In connection with my audit of the Consolidated Financial Statements, my responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the Consolidated Financial Statements or my knowledge obtained during the audit, or otherwise appears to be materially misstated.

If, based on the work I have performed on this other information, I conclude that there is a material misstatement of this other information, I am required to report that fact in this auditor’s report. I have nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of these Consolidated Financial Statements in accordance with Canadian public sector accounting standards, and for such internal controls as management determines is necessary to enable the preparation of Consolidated Financial Statements that are free from material misstatement, whether due to fraud or error.

In preparing the Consolidated Financial Statements, management is responsible for assessing the Province of Ontario’s ability to continue as a going concern, disclosing, as applicable, matters relating to going concern and using the going concern basis of accounting unless the Government either intends to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Province of Ontario’s financial reporting process.

Auditor’s Responsibility for the Audit of the Consolidated Financial Statements

My objectives are to obtain reasonable assurance about whether the Consolidated Financial Statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Consolidated Financial Statements.

As part of an audit in accordance with Canadian generally accepted auditing standards, I exercise professional judgment and maintain professional skepticism throughout the audit. I also:

• Identify and assess the risks of material misstatement of the Consolidated Financial Statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Province of Ontario’s internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
• Conclude on the appropriateness of management’s use of the going concern basis of accounting and based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Province of Ontario’s ability to continue as a going concern. If I conclude that a material uncertainty exists, I am required to draw attention in my auditor’s report to the related disclosures in the Consolidated Financial Statements or, if such disclosures are inadequate, to modify my opinion. My conclusions are based on the audit evidence obtained up to the date of my auditor’s report. However, future events or conditions could cause the Province of Ontario to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the Consolidated Financial Statements, including the disclosures, and whether the Consolidated Financial Statements represent the underlying transactions and events in a manner that achieves fair presentation.

The audit of the Consolidated Financial Statements is a group audit engagement. As such, I also obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the group to express an opinion on the Consolidated Financial Statements. I am responsible for the direction, supervision and performance of the group audit and I remain solely responsible for my audit opinion.

I communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control identified during the audit.

I also provide those charged with governance with a statement that I have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on my independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, I determine those matters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. I describe these matters in my auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

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Shelley Spence, CPA, CA, LPA      
Auditor General 
Toronto, Ontario
August 30, 2024 

See accompanying Notes and Schedules to the Consolidated Financial Statements.

For additional information, see Contingent Liabilities, Contingent Assets (Note 11) and Contractual Obligations, Contractual Rights (Note 12).

See accompanying Notes and Schedules to the Consolidated Financial Statements.

See accompanying Notes and Schedules to the Consolidated Financial Statements

See accompanying Notes and Schedules to the Consolidated Financial Statements

See accompanying Notes and Schedules to the Consolidated Financial Statements. 

See accompanying Notes and Schedules to the Consolidated Financial Statements.

Notes to the Consolidated Financial Statements

1. Summary of Significant Accounting Policies

a. Basis of Accounting

The Consolidated Financial Statements are prepared by the government of Ontario in accordance with the public sector accounting standards (PSAS) for governments recommended by the Canadian Public Sector Accounting Board (PSAB).

b. Reporting Entity

These financial statements report the activities of the Consolidated Revenue Fund combined with those organizations that are controlled by the Province.

Government Business Enterprises (GBEs), broader public sector (BPS) organizations (i.e., hospitals, school boards, colleges and children’s aid societies) and other government organizations controlled by the Province are included in these financial statements. Controlled organizations are consolidated once the organizations meet and are reasonably expected to maintain one of the following criteria: i) their revenues, expenses, assets or liabilities are greater than $50 million; or ii) their outside sources of revenue, deficit or surplus are greater than $10 million. A listing of consolidated government organizations is provided in Schedule 8.

Trusts administered by the Province on behalf of other parties are excluded from the reporting entity but are disclosed in Note 13.

c. Principles of Consolidation

BPS organizations and other government organizations controlled by Ontario are consolidated on a line-by-line basis with the assets, liabilities, revenues, expenses, and remeasurement gains and losses of Ontario based on the percentage of ownership the government held during the fiscal year. Where appropriate, adjustments are also made to present the accounts of these organizations on a basis consistent with the fiscal year end and accounting policies of the Province, and to eliminate significant inter‑organizational accounts and transactions.

The activities of GBEs are recorded in the financial statements based on their results prepared in accordance with International Financial Reporting Standards (IFRS) using the modified equity method. The combined net assets of GBEs are included as Investment in Government Business Enterprises on the Consolidated Statement of Financial Position. Their net income is shown as a separate item, Income from Investment in Government Business Enterprises on the Consolidated Statement of Operations. Their other comprehensive income and the unrealized gains and losses arising from fair value change in Ontario Nuclear Funds are included in the Consolidated Statement of Remeasurement Gains and Losses. Less than wholly-owned GBEs (e.g., Hydro One Limited) are reflected using the modified equity method based on the percentage of ownership the government held during the fiscal year.

d. Measurement Uncertainty

The preparation of financial statements requires the Ontario government to make estimates and assumptions that affect the amounts of assets, liabilities, revenues and expenses during the reporting period. Uncertainty in the determination of the amounts at which an item is recognized or disclosed in the financial statements is known as measurement uncertainty.

Measurement uncertainty that is material to these financial statements exists in the estimation of Personal Income Tax (PIT), Corporations Tax and Sales Tax revenues; the valuation of the Canada Health Transfer, Canada Social Transfer and Equalization Payment entitlements; the valuation of pensions and other employee future benefits obligations; the valuation of derivatives; the estimation of liabilities for contingent liabilities including estimates for contaminated sites, asset retirement obligations, Aboriginal treaty rights and land claim settlements; other liabilities; and the net book value of tangible capital assets.

The PIT revenue estimate of $50.8 billion (2022–23, $44.2 billion, see Schedule 1), may be subject to subsequent revisions based on information available in the future related to past year tax return processing. Sales Tax revenues of $39.9 billion (2022–23, $36.1 billion, see Schedule 1), is also subject to uncertainty for similar reasons.

The Corporations Tax revenue estimate of $23.1 billion (2022–23, $27.8 billion, see Schedule 1) is based on amounts of tax assessed to June 30, 2024. Final amounts of taxes assessed may differ materially from these estimates. The methodology of calculating Corporations Tax is back-tested and the estimate is revised as necessary.

The estimation of the Canada Health Transfer of $19.3 billion (2022–23, $17.5 billion, see Schedule 1) and Canada Social Transfer of $6.4 billion (2022–23, $6.2 billion, see Schedule 1), is subject to uncertainty because of variances between the estimated and actual Ontario share of the Canada-wide population.

Pension and other employee future benefits liability of $13.8 billion (2022–23, $14.1 billion, see Note 6), is subject to measurement uncertainty because actual results may differ significantly from the Province’s best long-term estimate of expected results. For example, the difference between actual results and actuarial assumptions regarding return on investment of pension fund assets and health care cost trend rates for retiree benefits may be significant.

Derivative instrument fair values of $4.5 billion in assets (2022–23, $4.6 billion, see Note 3) and $6.9 billion in liabilities (2022–23, $7.7 billion, see Note 3) are subject to measurement uncertainty due to variances between projected and actual market performance and economic conditions. The fair value of financial instruments is determined by valuation techniques discussed in the Financial Instruments Fair Value Hierarchy section in Note 3.

There is measurement uncertainty surrounding the estimation of the liability associated with the court decision related to the Protecting a Sustainable Public Sector for Future Generations Act, 2019. The calculations are complex, requiring historical payroll data over multiple years and arbitration and legal settlements.

There is measurement uncertainty surrounding the estimation of liabilities for contaminated sites of $2.5 billion (2022–23, $1.9 billion, see Note 7). The Ontario government may be responsible for cleanup costs that cannot be reasonably estimated due to several factors, including insufficient information related to the nature and extent of contamination, timing of costs well into the future (e.g., unknown impacts of future technological advancements) and the challenges of remote locations and unique contaminations.

There is measurement uncertainty surrounding the estimation of liabilities for asset retirement obligations of $4.3 billion (2022–23, $4.1 billion, see Note 7). These estimates are subject to uncertainty due to several factors, including but not limited to insufficient information on the type and extent of designated substances (e.g., asbestos), indeterminate timing of settlement, and the impact of project design on costs.

The Province’s investment in Ontario Power Generation (OPG) includes asset retirement obligations for fixed asset removal and nuclear waste management, discounted for the time value of money. These obligations are estimated based on the expected amount and timing of future cash expenditures based on plans for fixed asset removal and nuclear waste management. Such estimates are subject to uncertainty in the nature and extent of cost estimates, the timing of costs being incurred, changes in the discount rate applied to the cash flow estimates, and other unanticipated changes in fixed asset removal and nuclear waste management techniques.

There is measurement uncertainty surrounding the estimate of liabilities for contingent liabilities, including estimates for Aboriginal treaty rights and land claim settlements. Estimates for these liabilities are recorded when the contingency is determined to be likely and measurable, however the actual amount of any settlement may vary from the estimate recorded.

The net book value of tangible capital assets of $161.6 billion (2022–23, $150.5 billion, see Note 9), is subject to uncertainty because of differences between estimated useful lives of the assets and their actual useful lives.

Estimates are based on the best information available at the time of preparation of the financial statements and are reviewed annually to reflect new information as it becomes available. By their very nature, estimates are subject to measurement uncertainty. Therefore, actual results may differ materially from the Province’s estimates.

e. Significant accounting policies

Revenue

Tax revenues are recognized in the period in which the taxable event occurs and when they are authorized by legislation, or the ability to assess and collect the tax has been provided through legislative convention. Reported tax revenues include estimated revenues for the current period, adjustments between the estimated revenues of previous years and actual amounts, and revenues from reassessments relating to prior years.

Personal Income Tax revenue for the period is accrued based on an estimate of current year tax assessments plus late-arriving assessments/reassessments for prior years and an estimate for the first calendar quarter of the following tax year.

The Harmonized Sales Tax (HST) component of sales tax revenue is collected by the Government of Canada under a Comprehensive Integrated Tax Coordination Agreement and is remitted to Ontario net of credits. The remittances are based on the federal Department of Finance’s best estimates, which are subject to periodic updates.

Accrued Corporations Tax revenue for the period is based on estimated corporate income tax payable gross of refundable tax credits for the year. The estimate is based on amounts of Corporations Tax assessed to June 30.

Refundable personal and corporate income tax credits constitute transfers made through the tax system that are reported as expenses. Non-refundable PIT and Corporations Tax credits constitute tax concessions (relief of taxes paid), which are accounted for as revenue offsets by debiting the related tax revenue.

Transfers from the Government of Canada are recognized as revenues in the period during which the transfer is authorized by the federal government and all eligibility criteria are met, except if the stipulations related to federal government funding create an obligation that meet the definition of a liability. Once a liability is recognized, the transfer is recorded in revenue as the obligations related to these stipulations are met.

Other revenues from transactions with performance obligations, for example, fees or royalties from the sale of goods or rendering of services, are recognized as Ontario satisfies performance obligations by providing the promised goods or services to the payor. Other revenue from transactions with no performance obligations, for example, fines and penalties, are recognized when Ontario has the authority to claim or retain an inflow of economic resources and when a past transaction or event results in an asset. Amounts received prior to the end of the year that will be recognized in the subsequent fiscal year are deferred and reported as liabilities (see Liabilities).

Expense

Expenses are recognized in the fiscal year that the event occurs and resources are consumed.

Transfer payments are recognized in the year that the transfer is authorized, and all eligibility criteria have been met by the recipient. Any transfers paid are deemed to have met all eligibility criteria.

Employee future benefits such as pensions and other employee future benefits such as non-pension retirement benefits and entitlements upon termination are recognized as expenses over the years in which the benefits are earned by employees. These expenses are the government’s share of the current year’s cost of employee benefits, interest on the net benefits’ liability or asset, amortization of actuarial gains or losses, cost or gain on plan amendments and other adjustments.

The costs of owned or leased capital assets including buildings, transportation infrastructure, machinery and equipment, and information technology infrastructure are amortized and recognized as expenses over their estimated useful lives on a straight-line basis.

Interest on debt includes: i) interest on outstanding debt net of interest income on portfolio investments and loans; ii) realized foreign exchange gains and losses on debt; iii) amortization of debt discounts, premiums and commissions; iv) certain unrealized foreign exchange gains and losses, and v) debt servicing costs and other costs.

Liabilities

Liabilities are recorded to the extent that they represent present obligations of the Province to outside parties as a result of events and transactions occurring prior to the end of the fiscal year. The settlement of liabilities will result in economic sacrifice in the future.

Liabilities include: accounts payable and accrued liabilities; debt; obligations under Public Private Partnerships (P3s); deferred revenue and capital contributions; liabilities for pensions and other employee future benefits; derivative liabilities; liability for contaminated sites (see Note 7); asset retirement obligations (see Note 7); probable losses on loan guarantees; and contingencies when it is likely that a loss will be realized, and the amount can be reasonably determined. Liabilities also include obligations to GBEs.

Deferred revenue represents unfulfilled performance obligations, or unspent externally restricted receipts from third parties. Deferred revenues are recorded into revenue in the period the amounts received are used for the purposes specified, or other restrictions are satisfied. Deferred capital contributions represent the unamortized amount of contributions received from third parties to construct or acquire tangible capital assets. These contributions are recognized as deferred capital contributions and recorded into revenue over the useful life of the associated tangible capital assets.

Public Private Partnerships (P3s) are a financing and procurement model available to the Province to use private sector partners to design, build, acquire or better new or existing infrastructure. Assets procured via P3s are recognized as tangible capital assets, and the related obligations are recognized as other long-term financing liabilities for financial liability models and/or deferred revenue for P3 performance obligations arising from user pay obligations in the financial statements as the assets are constructed. At initial recognition, the total liability reflects the cost of the tangible capital asset. The total liability for combined consideration arrangements is allocated between financial liability and performance obligation based on the portion of the asset cost financed through respective models. Financial liabilities for P3s are subsequently measured at amortized cost using the implicit contract rate.

Debt

Debt consists of treasury bills, commercial paper, medium- and long-term notes, savings bonds, debentures and loans, excluding instruments held by the Province. Debt is measured at amortized cost. Occasionally, Ontario purchases its own debt for a variety of reasons, including for cash management purposes as well for reducing stress to the Canadian payment system especially in fiscal years where there are large single-day maturities.

Pensions and Other Employee Future Benefits

The liabilities for pensions and other employee future benefits are calculated on an actuarial basis using the government’s best estimates of future inflation rates, investment returns, employee salary levels and other underlying assumptions, including where applicable, the government’s borrowing rate. When actual plan experience of pensions and other retirement benefits differs from what is expected, or when assumptions are revised, actuarial gains and losses may arise. These gains and losses are amortized over the expected average remaining service life of plan members for each respective plan.

Liabilities for selected employee future benefits (such as pensions and other retirement benefits) represent the Province’s share of the actuarial present value of benefits attributed to services rendered by employees and former employees, less market-related value of plan assets. The market-related values are determined in a rational and systematic manner, in order to recognize market value asset gains and losses over a period of up to five years.

Derivatives

Derivatives are financial contracts, the values of which are derived from underlying instruments. The Province uses derivatives for the purpose of economically managing risk associated with interest cost on debt. The Province does not use derivatives for speculative purposes. Derivative assets and liabilities are measured at fair value.

Assets

Assets are resources controlled by the Province from which it has reasonable expectation of deriving future benefit. Assets are recognized in the year the transaction gives the government control of the benefit.

The following are not recognized in the Consolidated Statement of Financial Position:

• Intangible assets inherited by right of the Crown or internally developed;
• Historical or cultural works of art; and
• Natural resources and land inherited by right of the Crown such as Crown lands, forests, water and mineral resources.

Financial Assets

Financial assets are resources that can be used to pay existing liabilities or finance future operations. They include cash and cash equivalents, portfolio investments, accounts receivable, loans receivable, derivative assets, and investments in Government Business Enterprises (GBEs).

Cash and cash equivalents include cash or other short-term, liquid, low-risk instruments that are readily convertible to cash, typically within three months or less. Cash and cash equivalents are measured at cost or amortized cost.

Portfolio investments primarily consist of non-Ontario government bonds, other bonds, Guaranteed Investment Certificates, pooled funds and equity securities. The majority of bonds are measured at cost or amortized cost. Equity securities quoted in an active market are measured at fair value. When there is a loss in value of a portfolio investment that is other than a temporary decline, an impairment loss is recognized in the Consolidated Statement of Operations. Impairment losses on portfolio investments are not reversed if there is a subsequent increase in investment value.

Accounts receivable are recorded at cost. A valuation allowance is recorded when the collection of the receivable is considered doubtful.

Loans receivable are recorded at amortized cost. A valuation allowance is recorded when collection of the loans receivable is considered doubtful. Loans receivable include loans to GBEs, municipalities, as well as loans under the student loans program. Loans receivable with significant concessionary terms are considered in part to be grants and are recorded on the date of issuance at face value, discounted by the amount of the grant portion. The grant portion is recognized as an expense at the date of issuance of the loan or when the concession is provided. The amount of the loan discount is amortized to revenue over the term of the loan.

Investment in GBEs represents the net assets of GBEs recorded on the modified equity basis as described under Principles of Consolidation.

Tangible Capital Assets

Tangible capital assets are recorded at historical cost less accumulated amortization. Historical cost includes the costs directly related to the acquisition, design, construction, development, improvement or betterment, as well as the estimated cost to settle liabilities for asset retirement obligations. Cost includes overhead directly attributable to construction and development, as well as interest cost related to financing during construction. All tangible capital assets, except assets under construction, land and land improvements with an indefinite life, are amortized over the estimated useful lives of the assets on a straight-line basis. The useful lives of the Province’s tangible capital assets have been estimated as:

Maintenance and repair costs are recognized as an expense when incurred.

Other Non-Financial Assets

Other non-financial assets include prepaid expenses, inventories of supplies for consumption and purchased intangible assets. Inventories of supplies for consumption and distribution such as personal protective equipment (PPE) are valued at the lower of historical cost (using the weighted average cost method) and replacement cost at fiscal year-end. Write-downs are recorded for PPE inventory where its cost exceeds the replacement cost at year-end. Obsolete, damaged, or expired PPE inventory are written off. The Province updated its accounting policy for measurement of PPE inventory from “the lower of cost or net realizable value” to “the lower of historical cost and replacement cost.” The change in accounting policy more accurately reflects the Province’s activity of PPE distribution and consumption, and is better aligned with Canadian Public Sector Accounting Standards. The accounting policy change has been applied prospectively.

Purchased intangible assets, representing broadcast rights, are recorded at historical cost less accumulated amortization. These assets are amortized on a straight-line basis over their estimated useful lives, which are reviewed annually. Impairment testing is conducted when indicators of impairment are identified.

Financial Instrument Gains and Losses

Financial instruments include primary instruments such as cash, receivables, portfolio investments, payables, debt and derivative instruments such as interest rate swaps and currency swaps. Unrealized gains and losses arising from changes in the fair value of financial instruments are recognized in the Consolidated Statement of Remeasurement Gains and Losses, except where an irrevocable election under paragraph 19A of Section PS 2601, Foreign Currency Translation, has been made to recognize the unrealized exchange gains and losses on selected foreign currency denominated instruments in the Consolidated Statement of Operations instead of the Consolidated Statement of Remeasurement Gains and Losses. This election is made on an instrument-by-instrument basis.

Realized gains and losses arising from changes in the fair value of financial instruments and gains and losses from advanced rate setting and delayed rate setting transactions over the life of the financial instrument are recognized in the Consolidated Statement of Operations.

f. Change in Accounting Policy by Adopting New Standards

Revenue

Effective April 1, 2023, the Province adopted a new standard, Section PS 3400, Revenue, retroactively with restatement of 2022–23 comparative figures. The new standard applies to all revenues, except for tax revenues, government transfers, income from investments in GBEs, and other revenues which are covered in other Public Sector Accounting Standards.

Adoption of Section PS 3400 has resulted in changes in the timing of revenue recognition for certain revenue streams such as licences and permits. The Province will recognize revenues from these exchange transactions when it satisfies its performance obligations, rather than deferring the revenues over the term of the arrangements.

For the 2022–23 transition year, adjustments to the opening balances as at April 1, 2022 are as follows: the Province decreased the opening accumulated operating deficit by $797 million, with a corresponding decrease of $778 million to opening deferred revenue and $18 million to opening deferred capital contributions and other liabilities.

Public Private Partnerships

Effective April 1, 2023, the Province adopted a new standard, Section PS 3160, Public Private Partnerships using the retroactive method with restatement of 2022–23 comparative figures. The new standard provides additional guidance related the recognition, measurement, and presentation and disclosure of public private partnerships, where the private sector partner finances the transaction past the point of when the infrastructure is ready for use and operates and/or maintains the asset.

Section PS 3160 requires the recognition of a tangible capital asset and corresponding performance obligation liability for infrastructure acquired through public private partnerships with a user-pay model. Previously, the Province was not required to recognize these assets or liabilities. The performance obligation liability is recognized as deferred revenue in the financial statements and revenue is recognized in future fiscal periods, when the performance obligations are satisfied. 

In addition, the adoption of Section PS 3160 resulted in adjustments to Other Long-Term Financing that was previously recognized on public private partnerships under a financial liability model to conform with the new standard.

For the 2022–23 transition year, adjustments to opening balances are as below:

Purchased Intangible Assets

Effective April 1, 2023, the Province adopted Public Sector Guideline 8 (PSG 8), Purchased Intangibles prospectively. PSG 8 requires the capitalization of purchased intangible assets. The Province’s purchased intangible assets are made up of broadcasting rights.

g. Future Changes in Accounting Standards

The Conceptual Framework for Financial Reporting in the Public Sector

The new Conceptual Framework provides a meaningful foundation for formulating consistent financial reporting standards. The Conceptual Framework will replace current guidance in Section PS 1000 and Section PS 1100. A Conceptual Framework is a coherent set of interrelated concepts underlying accounting and financial reporting standards. It prescribes the nature, function and limits of financial accounting and reporting. It is the foundation on which standards are developed and professional judgment is applied. While the impact of any changes on Ontario’s Consolidated Financial Statements is not reasonably determinable at this time, Ontario intends to implement the Conceptual Framework effective April 1, 2026, for the fiscal year 2026–27.

Section PS 1202 – Financial Statement Presentation

The new standard provides updated guidance on the general and specific requirements for the presentation of information in general purpose financial statements. Section PS 1202 will replace Section PS 1201. While the impact of any changes on Ontario’s Consolidated Financial Statements is not reasonably determinable at this time, Ontario intends to implement the standard effective April 1, 2026, for the fiscal year 2026-27.

2. Debt

Ontario borrows in both domestic and international markets. Debt issued of $437.6 billion as at March 31, 2024 (2022–23, $421.8 billion), is composed mainly of bonds and debentures issued in the short- and long-term domestic and international public capital markets and non-public debt held by certain federal pension funds. Debt presented in this note comprises Debt Issued for Provincial Purposes of $436.3 billion (2022–23, $422.1 billion) and Ontario Electricity Financial Corporation (OEFC) Debt of $12.0 billion (2022–23, $13.2 billion), less investments in Ontario bonds and treasury bills of $6.1 billion (2022–23, $10.1 billion) and unamortized discounts, premiums and commissions of $4.5 billion (2022–23, $3.4 billion). The following table presents the maturity schedule of Ontario’s outstanding debt, by currency of repayment, expressed in Canadian dollars. See Note 4 for debt of BPS organizations and obligations under P3 arrangements.

Fair value of debt outstanding approximates the amounts at which debt instruments could be exchanged in a current transaction between willing parties. Most of Ontario’s debt is valued at fair value using public market quotations. Where these are not available, fair value is estimated using discounted cash flows. These estimates are affected by the assumptions made concerning discount rates and the amount and timing of future cash flows.

The estimated fair value of debt as at March 31, 2024, was $411.9 billion (2022–23, $402.8 billion). The fair value of debt does not reflect the effect of related derivative contracts.

School Board Trust Debt

A School Board Trust was created in June 2003 to permanently refinance debt incurred by 55 school boards. The Trust issued 30-year sinking fund debentures amounting to $891 million and provided $882 million of the proceeds to the 55 school boards in exchange for the irrevocable right to receive future transfer payments from the Ontario government related to this debt. An annual transfer payment is made by the Ministry of Education to the Trust’s sinking fund under the School Board Operating Grant program to retire the debt over 30 years. This debt, recorded net of the sinking fund of $407 million (2022–23, $376 million), is included in Ontario’s debt.

3. Derivatives and Risk Management

The Province employs various risk management strategies and operates within strict risk exposure limits to ensure that exposure to financial risk is managed in a prudent and cost-effective manner. A variety of strategies are used, including the use of derivative financial instruments (derivatives).

Derivatives are financial contracts, the value of which is derived from underlying instruments. The Province uses derivatives to economically hedge interest rate risk and foreign currency risk. Economic hedges are created primarily through swaps, which are legal contracts under which the Province agrees with another party to exchange cash flows based on one or more notional amounts using stipulated reference interest rates for a specified period. Swaps allow the Province to offset its existing obligations and thereby effectively convert them into obligations with more cost-effective characteristics. Other derivative instruments used by the Province include forward foreign exchange contracts, forward rate agreements, futures and options.

Notional Value of Derivatives

The table below presents a maturity schedule of the Province’s derivatives, by type, outstanding as at March 31, 2024, based on the notional amounts of the contracts. Notional amounts represent the volume of outstanding derivative contracts and are not indicative of credit risk, market risk or actual cash flows. 

Interest rate and cross-currency swaps are valued using a discounted cash flow method. Forward rates are used to determine floating rate cash flows occurring in the future. Cash flows are discounted using the respective currency’s yield curve. Inputs to the models are market observable and may include interest rate yield curves and foreign exchange rates.

Foreign exchange forwards and foreign exchange swaps are valued by discounting the notional amounts using the respective currency’s yield curve and converting the amounts using the spot Canadian dollar exchange rate.

Fair Value Hierarchy

Financial instruments measured at fair value are grouped into one of three levels based on the degree to which the fair value is observable. The hierarchy is as follows:

• Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities;
• Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices); and
• Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs).

The fair value of financial instruments not quoted in an active market is determined by appropriate valuation techniques, including forward pricing and swap models, using present value calculations. The models incorporate various inputs including forward interest rate curves.

The following table presents the financial instruments measured at fair value in the Consolidated Statement of Financial Position, classified using the fair value hierarchy.

There were no transfers between levels during 2024 and 2023.

Market risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market factors. Market risk encompasses a variety of financial risks such as foreign exchange risk, interest rate risk and commodity price risk. The Province recognizes that it is subject to market risk primarily through foreign exchange and interest rate risk.

Foreign Currency Risk

Foreign currency or exchange rate risk is the risk that foreign currency investments, debt principal and interest payments, as well as foreign currency transactions, will vary in Canadian dollar terms due to fluctuations in foreign exchange rates. To manage currency risk, the Province uses derivative contracts, including forward foreign exchange contracts, futures, options and swaps to convert foreign currency cash flows into Canadian dollar cash flows. Most derivative contracts economically hedge the underlying debt by matching all the critical terms to achieve effectiveness. The term of forward foreign exchange contracts used for hedging is usually shorter than the term of the underlying debt, however hedge effectiveness is maintained by continuously rolling the forward foreign exchange contract over the remaining term of the underlying debt, or until replaced with a long–term derivative contract.

The Province has elected to apply Section PS 2601.19A election (see Note 2e, Financial Instrument Gains and Losses) for i) economically hedged groups of financial instruments where the underlying instrument is hedged to term by multiple shorter term derivative instruments; and ii) derivatives denominated in foreign currency with a shorter term than the underlying provincial debt instrument being hedged.

The current market risk policy allows the amount of unhedged foreign currency debt principal, net of foreign currency holdings, to reach a maximum of 3.0 per cent of Total Debt Issued for Provincial Purposes and OEFC.

As at March 31, 2024, the respective unhedged levels for Total Debt issued for Provincial Purposes and OEFC were 0.1 and 0.0 per cent (2022–23, 0.1 and 0.0 per cent). As of March 31, 2024, unhedged debt was limited to debt issued in Swiss francs. A one-Swiss Rappen appreciation of the Swiss currency, relative to the Canadian dollar, would result in Swiss franc debt increasing by $9 million (2022–23, $9 million increase) and a corresponding remeasurement loss of $9 million (2022–23, losses of $9 million).

Total foreign exchange gain recognized in the Consolidated Statement of Operations for 2023–24 was $35 million (2022–23, $34 million), including a $40 million gain for 2023–24 (2022–23, $30 million) for those instruments for which the Province has elected to apply Section PS 2601.19A, offset by a loss of $5 million (2022–23, a gain of $4 million) related to other foreign exchange and revaluation transactions.

Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Province is subject to interest rate risk through its debt, variable rate investments (i.e., bonds, fixed income securities), variable rate debts, and other long-term financing.

Interest on debt expense may also vary as a result of changes in interest rates. In respect of Debt Issued for Provincial Purposes and OEFC debt, the risk is measured as net interest rate resetting exposure, which is the floating rate exposure plus fixed rate debt maturing within the next 12-month period net of liquid reserves as a percentage of Debt Issued for Provincial Purposes and OEFC debt, respectively.

The current market risk policy limits net interest rate resetting exposure for Debt Issued for Provincial Purposes and OEFC debt to a maximum of 35 per cent. As at March 31, 2024, the net interest rate resetting exposure for Debt Issued for Provincial Purposes and OEFC debt was 7.0 per cent and 21.4 per cent, respectively (2022–23, 5.2 per cent and 26.1 per cent).

If interest rates had been 100 basis points higher or lower and all other variables were held constant, the Province’s interest on debt for the year ended March 31, 2024 would increase/decrease by $700 million (2023: decrease/increase by $607 million).

Liquidity Risk

Liquidity risk is the risk that the Province will not be able to meet its current short-term financial obligations. To reduce liquidity risk, the Province maintains liquid reserves — that is, cash and portfolio investments (Note 8) adjusted for collateral at levels that are expected to meet future cash requirements and give flexibility in the timing of issuing debt. The Province is subject to its liquidity risk through its accounts payable, derivatives, current portion of long-term debt, and long-term debt. To manage its liquidity risk, the Province performs extensive budgeting exercises, ongoing monitoring of its short-term cash flows, and has high liquid securities that can easily be converted to cash to ensure it meets all short-term obligations. Additionally, in some cases, the Province may have access to credit facilities or operating funds. Pledged assets are considered encumbered for liquidity purposes while collateral held, that can be sold or repledged, is a source of liquidity. In addition, the Province has short-term note programs as alternative sources of liquidity.

Collateral

The Province has entered securities repurchase agreements and collateralized swap agreements with certain counterparties. Under the terms of those agreements, the Province may be required to pledge and/or receive assets relating to obligations to the counterparties. In the normal course of business, these pledged securities will be returned to the pledgor when there are no longer any outstanding obligations.

As at March 31, 2024, the Province has pledged assets in the carrying amount of $3,079 million (2022–23, $3,874 million), which would be included in portfolio investments and/or cash and cash Equivalents.

Credit Risk

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The Province is subject to credit risk through its cash and cash equivalents, accounts receivable, loans receivable, portfolio investments and other financial assets. The Province holds cash accounts in federally regulated chartered banks.

The use of derivatives introduces credit risk, which is the risk of a counterparty defaulting on contractual derivative obligations in which the Province has an unrealized gain. The table below presents the credit risk associated with the derivative financial instrument portfolio measured through the replacement value of derivative contracts, as at March 31, 2024.

The Province manages its credit risk exposure from derivatives by, among other things, dealing only with high-credit-quality counterparties and regularly monitoring compliance to credit limits. In addition, the Province enters into contractual agreements (master agreements) that provide for termination netting and, if applicable, payment netting with most of its counterparties. Gross Credit Risk Exposure represents the loss that the Province would incur if every counterparty to which it had credit risk exposure were to default at the same time, and the contracted netting provisions were not exercised or could not be enforced. Net Credit Risk Exposure is the loss after the mitigating impact of these netting provisions. Net Credit Risk Exposure (Net of Collateral) is the potential loss to the Province after mitigation by the collateral received from counterparties.

4. Other Long-Term Financing

Other Long-Term Financing comprises the total debt of the BPS organizations and obligations under P3 arrangements using the financial liability model.

Other Long-Term Financing of $18.0 billion as at March 31, 2024 (2022–23, $17.8 billion), includes BPS Debt of $5.7 billion (2022–23, $5.6 billion) and P3 Obligations of $12.3 billion (2022–23, $12.2 billion). The following table presents the maturity schedule of other long-term financing by type of financing.

P3 contracts under the financial liability model mainly consist of construction or betterment projects related to transportation infrastructure such as GO rail expansion and highways and buildings such as hospitals, prisons and complexes (see Note 9 on Tangible Capital Assets). Under P3 contracts, payments by the Province cover the capital portion related to the cost of the infrastructure assets and certain contracts also cover the service portion related to the operating and maintenance cost over the term of the P3 arrangements.

5. Deferred Revenue and Capital Contributions

In 2010–11, the Province renewed its long-standing business partnership with Teranet Inc. (Teranet) by extending Teranet’s exclusive licences to provide electronic land registration and writs services in Ontario for an additional 50 years. Ontario received approximately a $1.0 billion upfront payment for the transaction, which is amortized into revenue over the life of the contract.

P3 assets under the P3 user-pay model include buildings and transportation infrastructure. The Province has the rights to receive the P3 assets at the end of the P3 arrangements. Certain P3 contracts include renewal options or termination options.

6. Pensions and Other Employee Future Benefits

The Province sponsors several pension plans. It is the sole sponsor of the Public Service Pension Plan (PSPP) and the Provincial Judges’ Pension Plan (PJPP), and a joint sponsor of the Ontario Public Service Employees Union Pension Plan (OPSEUPP) and the Ontario Teachers’ Pension Plan (OTPP). In addition to the provincially sponsored plans, the Province also reports in its consolidated financial statements pension benefits for employees in the hospital and colleges sectors, which are provided by the Healthcare of Ontario Pension Plan (HOOPP) and the Colleges of Applied Arts and Technology Pension Plan (CAATPP), respectively.

As permitted under Canadian public sector accounting standards, the Province elects to use an earlier pension measurement date, December 31, in preparing the consolidated financial statements as at March 31, as long as no significant changes relevant to the valuation of the plans occurs between these two dates. The Province has applied this reporting practice consistently.

Pensions

PSPP, OPSEUPP and OTPP are contributory defined benefit plans that provide Ontario government employees as well as elementary and secondary school teachers, and administrators, with a defined amount of retirement income based on a formula. The formula takes into account a member’s best five–year average salary and length of service. The retirement benefits are indexed to changes in the Consumer Price Index to provide protection against inflation. The plan benefits are financed by contributions from plan members and the Province, as well as investment earnings. Plan members normally contribute 8 to 12 per cent of their salaries to these plans. The Province either matches these contributions or makes contributions based on actuarial reports, depending on the funding structure of each plan. The obligations for benefits and the plan fund assets for OTPP and OPSEUPP exclude those employers not consolidated by the Province.

The PJPP is comprised of a funded registered defined benefit pension plan and an unfunded supplemental defined benefit pension plan, as well as a partially funded retirement compensation arrangement (RCA), for eligible judges whose pension benefits under the PJPP registered plan are limited by the federal Income Tax Act or federal Tax Regulations. PJPP provides eligible judges with a defined amount of retirement income based on a formula that takes into account an amount equal to 2 per cent of the judge’s average salary for their final three years of service. Plan members normally contribute 7 per cent of their salary to this plan.  

The Province is also responsible for sponsoring the Public Service Supplementary Benefits Plan (PSSBP) and the Ontario Teachers’ Retirement Compensation Arrangement. The existing PSSBP was converted to an RCA, effective January 1, 2022, which provides additional pension benefits to members whose contribution and benefits under PSPP are limited by the federal Income Tax Act. The Ontario Pension Board acts as administrator of the RCA, trustee of the RCA assets and oversees the investments of the RCA. Expenses and liabilities of these plans are included in the Pensions Expense and Pensions Liability reported in the above tables.

HOOPP is a multi-employer pension plan covering employees of Ontario’s health care community. CAATPP is a multi-employer pension plan covering employees of the Colleges of Applied Arts and Technology in Ontario, the Ontario College Application Services and the Ontario College Library Services. Both plans are accounted for as multi-employer defined benefit plans that provide eligible members with a retirement income based on a formula. Like the plans that are sponsored by the government, the formula takes into account a member’s best five-year average salary and length of service in the plan. The plan benefits are financed by contributions from participating members and employers and by investment earnings. The Province records a percentage of the net obligations of HOOPP and CAATPP based on the ratio of employer to employee contributions.

The Province does not have unilateral control over the decisions regarding contribution levels or benefit changes for either the HOOPP or CAATPP multi-employer plans as it is not a member of the committees responsible for these decisions. Therefore, a valuation allowance is recorded to write down the net asset position in these plans, if any. The Province has applied a full valuation allowance against the net pension assets of the OTPP and OPSEUPP.

The obligation for benefits and plan fund assets of the above plans is based on actuarial accounting valuations that are performed annually. Funding of these plans is based on statutory actuarial funding valuations undertaken at least once every three years.

Information on contributory defined benefit plans is as follows:

Other Employee Future Benefits

Other Employee Future Benefits are non-pension retirement benefits, post-employment benefits, compensated absences and termination benefits.

Non-Pension Retirement Benefits

The Province provides dental, basic life insurance, supplementary health and hospital benefits to eligible retired employees through a group insured benefit plan. Certain PSPP members and OPSEUPP members who had not accrued the minimum eligibility requirement of 10 years of pension service before January 1, 2017, are required to have 20 years of pension service and retire to an immediate unreduced pension to be eligible to receive the post-retirement insured benefits. Further, such eligible members who commenced receipt of a pension on or after January 1, 2017, have the option to either participate in the current legacy post-retirement insured benefits plan and pay 50 per cent of the premium costs, or to participate in the new retiree-focused post-retirement benefits plan, at no cost to the member.

Optional enrolment in the retiree-focused plan, at full cost to the retiree, is also available to employees hired before January 1, 2017, and who later retire to an immediate unreduced pension based on a minimum 10 years of pension service and employees hired on and after January 1, 2017, who later retire to an immediate unreduced pension based on a minimum 20 years of pension service.

The liability for non-pension retirement benefits of $9.2 billion as at March 31, 2024 (2022–23, $9.1 billion), is included in the Other Employee Future Benefits Liability. The expense for 2023–24 of $356 million (2022–23, $452 million) is included in the Other Employee Future Benefits Expense.

The discount rate used in the non-pension retirement benefits calculation for 2023–24 is 4.75 per cent (2022–23, 4.40 per cent). The discount rate used by BPS organizations in the non-pension retirement benefits calculation for 2023–24 ranges from 3.40 per cent to 6.84 per cent (2022–23, 1.70 per cent to 6.34 per cent). The expected average remaining service life of the employees for non-pension retirement benefits is 13.8 years (2022–23, 13.8 years).

Post-Employment Benefits, Compensated Absences and Termination Benefits

The Province provides, on a self-insured basis, workers’ compensation benefits, long-term disability benefits and regular benefits to employees who are on long-term disability.

For all other employees, subject to terms set out in collective agreements and in the Management Board of Cabinet Compensation Directive as applicable, Ontario provides termination pay equal to one week’s salary for each year of service up to a maximum of 50 per cent of their annual salary. Employees who have completed one year of service, but less than five years, are also entitled to termination pay in the event of death, retirement or release from employment. All employees who resign are not eligible for any severance pay in respect to service after December 2011.

The total post-employment benefits liability of $3.2 billion as at March 31, 2024 (2022–23, $3.2 billion) is included in the Other Employee Future Benefits Liability. The total post-employment benefits expense of $1.1 billion in 2023–24 (2022–23, $0.7 billion) is included in the Other Employee Future Benefits Expense.

The discount rate used in the post-employment benefits, compensated absences and termination benefits calculations for 2023–24 is 4.50 per cent (2022–23, 4.10 per cent). The discount rate used by BPS organizations for the post-employment benefits in 2023–24 ranges from 3.40 per cent to 4.80 per cent (2022–23, 1.70 per cent to 6.60 per cent).

7. Other Liabilities

Liabilities for Asset Retirement Obligations

The Province records liabilities related to the legal obligations where the Province is obligated to incur costs to retire a tangible capital asset. A liability of $4.3 billion as at March 31, 2024 (2022–23, $4.1 billion) has been recorded for activities to fulfill the obligation based on estimation for the cost of these activities.

A significant part of asset retirement obligations results from the removal and disposal of designated substances such as asbestos from provincial buildings, and closure and post closure activities related to solid waste landfill sites. When recording the liability for assets in productive use, the estimated cost and subsequent changes to the estimate are capitalized and amortized over the asset’s useful life. For assets that are not in productive use, these costs are expensed.

To estimate the liability for asbestos and other designated substances in provincial buildings, assessment reports that include the type and quantity of the substances are used with experience and expert advice to determine the cost of retiring the substance. For buildings without an assessment, an estimate is based on the cost for similar buildings until more asset specific data is available.

To estimate the solid waste landfill liability, site closure plans are used to estimate the closure and post-closure costs. Before a closure plan is approved, information on the site is used to predict the activities that will be required to close, maintain and monitor the site, based on the experience related to other sites considering the content and condition of the site based on operational monitoring and reporting. These activities such as capping or ground water monitoring are costed using rates 
determined though experience and expert advice.

The Province discounts significant obligations that have reliable cash flow projections, and is estimated using the present value of future cash flows, otherwise they are recorded at current cost. The discount rate used reflects the risks specific to the asset retirement liability and the entity that will settle the liability. Subsequently, accretion of the discounted liability due to the passage of time is recorded as an in-year expense. During the year, for the asset retirement obligations that used present value techniques to measure the liabilities, the discount rate utilized ranged from 3.0 per cent to 5.1 per cent (2022–23, 3.0 per cent to 5.1 per cent).

A reconciliation of the beginning and ending aggregated carrying amount of the ARO liability is as below:

Liabilities for Contaminated Sites

The Province reports environmental liabilities related to the management and remediation of contaminated sites where it is obligated or likely obligated to incur such costs. A contaminated sites liability of $2.5 billion (2022–23, $1.9 billion) has been recorded based on environmental assessments or estimations for those sites where an assessment has not been conducted.

The Province’s ongoing efforts to assess contaminated sites may result in additional environmental remediation liabilities related to newly identified sites, or changes in the assessments or intended use of existing sites, including mine sites. Any changes to the Province’s liabilities for contaminated sites will be accrued in the year in which they are assessed as likely and measurable.

Other Pension Liabilities

Other pension liabilities include pension and benefit funds related to the Justice of the Peace, the Deputy Ministers’, OPSEU and the Associate Judges Supplemental Pension Plan.

Other Funds and Liabilities

Other Funds and Liabilities include externally restricted funds and other long-term liabilities.

8. Portfolio Investments

A resale agreement is an agreement between two parties where the Province purchases and subsequently resells a security at a specified price on a specified date. A repurchase agreement is an agreement between two parties where the Province sells and subsequently repurchases a security at a specified price on a specified date.

Other portfolio investments' carrying value primarily consists of $1,165 million pooled funds and $766 million equity securities.

9. Tangible Capital Assets

Land includes land acquired for transportation infrastructure, parks, buildings and other program use, as well as land improvements that have an indefinite life and are not being amortized. Land excludes Crown lands acquired by right.

Buildings include administrative and service structures, dams and engineering structures.

Transportation Infrastructure includes provincial highways, railways, bridges and related structures and facilities, but excludes land and buildings.

Machinery and Equipment consists mostly of hospital equipment. 

Information Technology consists of computer hardware and software.

Other includes leased assets, vehicles, aircraft and other miscellaneous tangible capital assets owned by the government and its consolidated organizations.

Assets under construction have been included within the various asset categories presented above. The total value of assets under construction as at March 31, 2024, is $42.0 billion (2022–23, $34.1 billion). Capitalized interest for the fiscal year 2023–24 is $978 million (2022–23, $694 million). The cost of tangible capital assets under capital leases is $1,015 million (2022–23, $846 million), and their accumulated amortization is $469 million (2022–23, $385 million).

Amortization expense for the fiscal year 2023–24 totalled $8.0 billion (2022–23, $7.5 billion).

10. Changes in the Fair Value of Ontario Nuclear Funds

The Ontario Nuclear Funds Agreement (ONFA) Funds were established by Ontario Power Generation Inc. (OPG) and the Ontario government to ensure that sufficient funds will be available to pay for the costs of nuclear station decommissioning and nuclear used fuel waste management.

Since April 1, 2007, the fair value of ONFA Funds has been reflected in Ontario’s Consolidated Financial Statements. Unrealized gains and losses of ONFA Funds are included in Investment in Government Business Enterprises and recorded as an Increase (Decrease) in Fair Value of Ontario Nuclear Funds in the Consolidated Statement of Change in Net Debt and the Consolidated Statement of Remeasurement Gains and Losses. Realized gains and losses of ONFA Funds are included in Income from Investment in Government Business Enterprises. Inter-organizational balances related to ONFA Funds are eliminated.

ONFA Funds incurred unrealized gains in 2023–24 of $1,138 million (2022–23, unrealized losses $37 million) that resulted in an increase in Investment in Government Business Enterprises and a corresponding decrease in Net Debt and Remeasurement Gains (or Losses).

11.a. Contingent Liabilities

Obligations Guaranteed by the Province

Loan guarantees include guarantees or indemnifications provided by the Province or government organizations. The authorized limit for loans guaranteed by the government as at March 31, 2024, was $1.8 billion (2022–23, $2.3 billion). The outstanding loans guaranteed amounted to $0.5 billion as at March 31, 2024 (2022–23, $0.5 billion).

Ontario Nuclear Funds Agreement

Under the Ontario Nuclear Funds Agreement (ONFA), Ontario is liable to make payments should the cost estimate for nuclear used fuel waste management rise above specified thresholds for a fixed volume of used fuel. The likelihood and amount by which the cost estimate could rise above these thresholds cannot be determined at this time. The cost estimate will be updated periodically to reflect new developments in the management of nuclear used fuel waste.

In addition, under ONFA, the government guarantees a return of 3.25 per cent over the Ontario Consumer Price Index for the portion of the nuclear used fuel waste management segregated fund related to the fixed volume of used fuel. If the earnings on assets in that fund related to the fixed volume exceed the guaranteed rate, Ontario is entitled to the excess.

An agreement between the Canadian Nuclear Safety Commission (CNSC), the Province and OPG gives the CNSC access (in prescribed circumstances) to the segregated funds established under ONFA.

Claims Against the Crown

There are claims outstanding against the Crown, of which 56 (2022–23, 69) are for amounts over $50 million. These claims arise from legal action, either in progress or threatened, in respect of Aboriginal treaty rights and land claims, breach of contract, injury to persons, negligence and like items. The cost to Ontario, if any, cannot be determined because the financial outcome of these actions is uncertain. For a detailed listing of claims against the ministries, refer to the Ministry Statements and Schedules, “Claims Against the Crown.”

Contaminated Sites

Ontario has identified a total of 159 sites (2022–23, 142 sites) where the Province may be responsible for any resulting clean-up costs. However, a liability has not been recorded for these sites at the financial reporting date because it is unclear if the government is responsible for those sites or the amounts of the liabilities cannot be estimated. Of these sites, there are 108 sites (2022–23, 90 sites) whereby it is indeterminable whether the government is responsible, resulting in a potential liability of $428 million (2022–23, $393 million).

Tax Assessments

The Province signed a Memorandum of Agreement with the Government of Canada to transition to a single administration for corporate tax for tax years ending after December 31, 2008. As part of the agreement, the Canada Revenue Agency (CRA) is also responsible for the administration of audit activities, taxpayer objections and any appeals that may arise from objections for 2008 and prior tax years. The cost to the Province cannot be reasonably estimated as the outcome of these objections and appeals are uncertain.

Land and Land-Related Claims

A land or land‑related claim is a formal allegation made by an Indigenous community that it is legally entitled to land, financial payment or other compensation. Currently, 57 land claims for 2023–24 (2022–23, 61 land claims) are under negotiation, accepted for negotiation or under review. A liability is recorded if the settlement of the claim is assessed as likely and the amount of the settlement can be reasonably estimated.

iGaming Ontario Notice of Application

On November 28, 2022, the Mohawk Council of Kahnawa:ke (“MCK”) served a notice of application with the Ontario Superior Court against iGaming Ontario and the Attorney General of Ontario seeking a declaration that the Ontario government does not “conduct and manage” online lottery as required under s. 207(1)(a) of the Criminal Code as well as challenging the legislative and constitutional authority which underpins the regulated internet Gaming market scheme in Ontario. The application was heard on February 20 and 21, 2024. On May 13, 2024, the Ontario Superior Court dismissed the MCK application. On May 22, 2024, MCK publicly announced that it did not intend to appeal the decision.

Credit Union Deposit Insurance

In the event that the credit unions have insufficient funds, the government can provide financing. In accordance with the Credit Unions and Caisses Populaires Act, 2020, the Financial Services Regulatory Authority of Ontario (FSRA) administers the Deposit Insurance Reserve Fund (DIRF) which provides deposit protection coverage to eligible credit union depositors and also provides financial support to credit unions. Credit unions have advertised that depositors are covered up to $250,000 of eligible deposits plus all insurable deposits in registered accounts with each member credit union. As of December 19, 2023, FSRA has a $2.0 billion revolving credit facility in place with the Ontario Financing Authority for the purposes of mitigating potential liquidity risk in the Ontario credit union sector, including situations where one or more credit unions may require financial support beyond the support available from the DIRF. The credit facility is in place for a one-year term with options to extend it for up to an additional two years. Interest would accrue at the three-month Ontario Treasury Bill Rate plus 0.788 per cent per annum. No amounts have been drawn under this facility as at March 31, 2024 (March 31, 2023, $NIL).

Other Contingencies

Other contingencies for this year are $68 million (2022–23, $0.1 billion) including items such as letters of credit and lines of credit for consolidated entities.

b. Contingent Assets

Ontario has brought a claim against a number of companies in the tobacco industry pursuant to the Tobacco Damages and Health Care Costs Recovery Act, 2009. The action is in the pre-trial stage; however, it is currently stayed as a result of the tobacco companies’ proceedings under the Companies’ Creditors Arrangement Act (CCAA). The amount of any potential payment to Ontario is not estimable at this time.

12.a. Contractual Obligations

The contractual obligations represent the unperformed capital and operating portion of contracts and will become liabilities in the future when the terms of the contracts are met.

b. Contractual Rights

In May 2010, the Province reached a deal with Teranet to provide a 50-year extension to its original agreement in exchange for $1.0 billion cash up front (see Note 5). As part of the new agreement, Teranet has agreed to pay Ontario annual royalty payments beginning in 2017 and ending in 2067. The royalty payments are contingent upon Teranet’s financial performance. Ontario recognized $26.8 million in revenue relating to royalty payments pertaining to the contractual rights from Teranet in 2023–24 (2022–23, $28.5 million). Royalty payments for 2025 and thereafter could not be estimated as they are based on percentages of various eligible Teranet revenues such as value-added product revenue, registration revenue and ancillary revenue.

Contractual rights are certain in nature, and they will become assets in the future when the terms of the contracts are met.

13. Trusts Under Administration

The following trusts under administration are not included in Ontario’s Consolidated Financial Statements.

The Workplace Safety and Insurance Board (WSIB) is responsible for administering the Workplace Safety and Insurance Act, 1997, which establishes a no-fault insurance scheme that provides benefits to workers who experience workplace injuries or illnesses.

The Office of the Public Guardian and Trustee for Ontario (OPGT) delivers a unique and diverse range of services that safeguard the legal, personal and financial interests of certain private individuals and estates. It also plays an important role in helping to protect charitable property in Ontario.

Summary financial information from the most recent consolidated financial statements of trust funds under administration is provided below. The financial statements of the WSIB and the OPGT have been prepared in accordance with IFRS.

Unfunded liabilities of trusts under administration are not included in Ontario’s Consolidated Financial Statements as it is intended that they will be discharged by external parties.

14. Related Party Disclosures and Inter-Entity Transactions

The Province of Ontario enters into transactions with parties within the reporting entity, including provincial Crown corporations, agencies, boards, commissions and government not-for-profit organizations, in the normal course of operations. These inter-entity transactions are those conducted between related parties with common control or ownership, are recorded at the exchange value, and have been eliminated for purposes of consolidated reporting.

Related party transactions can also include transactions with entities outside the reporting entity where a member of Ontario’s key management personnel, or their spouse or dependant, is key management personnel of the counterparty to a transaction with Ontario. As key management personnel, they govern or share the power to determine the ongoing financial and operating decisions of that counterparty. Ontario’s key management personnel are those individuals having authority and responsibility for planning, directing and controlling the activities of the government, and have been identified as ministers, associate ministers and deputy ministers for the purpose of this reporting.

Ontario has a wide variety of controls in place to ensure that key management personnel do not enter into transactions with related parties. For 2023–24 there were no transactions between related parties which occurred at a value materially different from that which would have been arrived at if the parties were unrelated.

15. Subsequent Events

Robinson-Superior Treaty

On July 26, 2024, the Supreme Court of Canada ruled in Ontario (Attorney General) v. Restoule that the Crown is obliged to compensate the Superior plaintiffs under the Robinson-Superior Treaty. The Court directed the Crown to engage in a six-month negotiation with the plaintiffs, with an option to extend if needed. During this period, Superior Court proceedings are paused. If no settlement is reached, the Crown must determine and pay an appropriate amount within a reasonable timeframe. The plaintiffs can request a court review if they find the amount unsatisfactory. The financial impact of this ruling cannot be determined at the time of the release of the financial statements.

Home and Community Care Support Services

On December 4, 2023, Bill 135, Convenient Care at Home Act, 2023, received Royal Assent that amends the Connecting Care Act, 2019 to establish the new service organization, Ontario Health atHome.

On June 28, 2024, the 14 Home and Community Care Support Services organizations (Local Health Integration Networks, operating as “HCCSS”) will officially amalgamate into Ontario Health atHome.

Ontario Science Centre

On June 21, 2024, the Ministry of Infrastructure announced the Province’s decision to close the Ontario Science Centre facility at 770 Don Mills Road.

iGaming

Refer to Note 11.a for an update on the iGaming Ontario Notice of Application subsequent to year end.

16. Personal Protective Equipment and COVID-19 Vaccine

Personal Protective Equipment

Personal protective equipment (PPE) includes medical equipment and supplies, masks, face shields, face coverings, gloves, ventilators, protective gowns, etc, as well as other supplies including cleaning supplies and rapid antigen tests. PPE included in-kind transfers from the Government of Canada and provincially procured PPE.

As at March 31, 2024, $228 million of PPE is available for future distribution and is recorded as Other Non-Financial Assets in the Consolidated Statement of Financial Position.

Vaccines

COVID-19 vaccines are procured by the Government of Canada. Ontario received vaccines in‑kind or at no cost from the Government of Canada for distribution across the Province. No amounts have been recorded for the COVID-19 vaccines because the fair value of these vaccines received from the Government of Canada cannot be reasonably determined. Due to confidentiality clauses embedded in contracts between the Government of Canada and the various COVID-19 vaccine manufacturers, information related to the price per dose of vaccines cannot be disclosed.

As of March 31, 2024, 2,637,588 doses of vaccines (March 31, 2023, 805,268 doses) were available to be administered and held by local public health units, hospitals and pharmacies across the Province.

17. Accounting Changes and Reclassifications

The tables below summarize the effects of accounting changes and reclassifications for the year ended March 31, 2023.

A. Section PS 3400 Revenue

Effective April 1, 2023, the Province adopted Section PS 3400 using the retroactive method with restatement of 2022–23 comparative figures. The significant accounting policy disclosures are included in Note 1(e).

B. Section PS 3160 Public Private Partnerships

Effective April 1, 2023, the Province adopted Section PS 3160 using the retroactive method with restatement of 2022–23 comparative figures. The significant accounting policy disclosures are included in Note 1(e).

C. Reclassifications

All presentations of results by sector for the prior year comparatives have been reclassified to be reflected on the same basis as those used to report the current year actual.

D. Comparative Figures

Certain comparative figures have been reclassified as necessary to conform to the 2023–24 presentation.

Schedules to the Consolidated Financial Statements

Schedule 1 - Revenue by Source

Schedule 2 - Revenue by Sector

Schedule 3: Expense by Sector ^{footnote 46[46]}

Schedule 4: Expense by Ministry

Schedule 5: Accounts Payable and Accrued Liabilities

Schedule 6: Accounts Receivable

Schedule 7: Loans Receivable

Schedule 8: Government Organizations  ^{footnote 69[69]}

Broader Public Sector Organizations

Public Hospitals — Ministry of Health

• Alexandra Hospital Ingersoll
• Alexandra Marine & General Hospital
• Almonte General Hospital
• Anson General Hospital
• Arnprior Regional Health
• Atikokan Health and Community Services
• Baycrest Hospital
• Bingham Memorial Hospital
• Blanche River Health
• Bluewater Health
• Brant Community Healthcare System
• Brightshores Health System
• Brockville General Hospital
• Bruyère Continuing Care Inc.
• Cambridge Memorial Hospital
• Campbellford Memorial Hospital
• Carleton Place & District Memorial Hospital
• Casey House Hospice
• Chatham-Kent Health Alliance
• Children’s Hospital of Eastern Ontario – Ottawa Children’s Treatment Centre
• Clinton Public Hospital
• Collingwood General and Marine Hospital
• Cornwall Community Hospital
• Deep River & District Health
• Dryden Regional Health Centre
• Erie Shores HealthCare
• Espanola General Hospital
• Four Counties Health Services
• Georgian Bay General Hospital
• Geraldton District Hospital
• Grand River Hospital
• Groves Memorial Community Hospital
• Guelph General Hospital
• Haldimand War Memorial Hospital
• Haliburton Highlands Health Services Corporation
• Halton Healthcare Services Corporation
• Hamilton Health Sciences Corporation
• Hanover & District Hospital
• Headwaters Health Care Centre
• Health Sciences North
• Holland Bloorview Kids Rehabilitation Hospital
• Hôpital Général de Hawkesbury and District General Hospital Inc.
• Hôpital Glengarry Memorial Hospital
• Hôpital Montfort
• Hôpital Notre-Dame Hospital (Hearst)
• Hornepayne Community Hospital
• Hospital for Sick Children
• Hôtel-Dieu Grace Healthcare
• Humber River Health
• Joseph Brant Hospital
• Kemptville District Hospital
• Kingston Health Sciences Centre
• Lady Dunn Health Centre
• Lady Minto Hospital, Cochrane
• Lake of the Woods District Hospital
• Lakeridge Health
• Lennox and Addington County General Hospital
• Listowel Memorial Hospital
• London Health Sciences Centre
• Mackenzie Health
• Manitoulin Health Centre
• Mattawa General Hospital
• Muskoka Algonquin Healthcare
• Niagara Health System
• Nipigon District Memorial Hospital
• Norfolk General Hospital
• North Bay Regional Health Centre
• North Shore Health Network
• North of Superior Healthcare Group
• North Wellington Health Care Corporation
• North York General Hospital
• Northumberland Hills Hospital
• Oak Valley Health
• Orillia Soldiers’ Memorial Hospital
• Ottawa Hospital
• Pembroke Regional Hospital Inc.
• Perth and Smiths Falls District Hospital
• Peterborough Regional Health Centre
• Providence Care Centre (Kingston)
• Queensway Carleton Hospital
• Quinte Healthcare Corporation
• Red Lake Margaret Cochenour Memorial Hospital Corporation
• Religious Hospitallers of St. Joseph of Cornwall, Ontario
• Religious Hospitallers of St. Joseph of the Hotel Dieu of St. Catharines
• Renfrew Victoria Hospital
• Riverside Health Care Facilities Inc.
• Ross Memorial Hospital
• Royal Victoria Regional Health Centre
• Runnymede Healthcare Centre
• Salvation Army Toronto Grace Health Centre
• Sante Manitouwadge Health
• Sault Area Hospital
• Scarborough Health Network
• Seaforth Community Hospital 
• Sensenbrenner Hospital
• Services de santé de Chapleau Health Services
• Sinai Health System
• Sioux Lookout Meno Ya Win Health Centre
• Smooth Rock Falls Hospital
• South Bruce Grey Health Centre
• South Huron Hospital Association
• Southlake Regional Health Centre
• St. Francis Memorial Hospital
• St. Joseph’s Care Group
• St. Joseph’s Continuing Care Centre, Centre of Sudbury
• St. Joseph’s General Hospital, Elliot Lake
• St. Joseph’s Health Care, London
• St. Joseph’s Health Centre Guelph
• St. Joseph’s Healthcare Hamilton
• St. Mary’s General Hospital
• St. Marys Memorial Hospital
• St. Thomas Elgin General Hospital
• Stevenson Memorial Hospital
• Stratford General Hospital
• Strathroy Middlesex General Hospital
• Sunnybrook Health Sciences Centre
• Temiskaming Hospital
• Thunder Bay Regional Health Sciences Centre
• Tillsonburg District Memorial Hospital
• Timmins and District Hospital
• Toronto East Health Network
• Trillium Health Partners
• Unity Health Toronto
• University Health Network
• University of Ottawa Heart Institute
• Weeneebayko Area Health Authority
• West Haldimand General Hospital
• West Nipissing General Hospital
• West Park Healthcare Centre
• West Parry Sound Health Centre
• William Osler Health System
• Winchester District Memorial Hospital
• Windsor Regional Hospital
• Wingham and District Hospital
• Women’s College Hospital
• Woodstock Hospital

Specialty Psychiatric Hospitals — Ministry of Health

• Centre for Addiction and Mental Health
• Ontario Shores Centre for Mental Health Sciences
• Royal Ottawa Health Care Group
• Waypoint Centre for Mental Health Care

School Boards — Ministry of Education

• Algoma District School Board
• Algonquin & Lakeshore Catholic District School Board
• Avon Maitland District School Board
• Bloorview School Authority
• Bluewater District School Board
• Brant Haldimand Norfolk Catholic District School Board
• Bruce-Grey Catholic District School Board
• Catholic District School Board of Eastern Ontario
• CHEO School Authority
• Conseil des écoles publiques de l’Est de l’Ontario
• Conseil scolaire catholique MonAvenir
• Conseil scolaire catholique Providence
• Conseil scolaire de district catholique de l’Est ontarien
• Conseil scolaire de district catholique des Aurores boréales
• Conseil scolaire de district catholique des Grandes Rivières
• Conseil scolaire de district catholique du Centre-Est de l’Ontario
• Conseil scolaire de district catholique du Nouvel-Ontario
• Conseil scolaire de district catholique Franco-Nord
• Conseil scolaire public du Grand Nord de l'Ontario
• Conseil scolaire public du Nord-Est de l’Ontario
• Conseil scolaire Viamonde
• Consortium Centre Jules-Léger
• District School Board of Niagara
• District School Board Ontario North East
• Dufferin-Peel Catholic District School Board
• Durham Catholic District School Board
• Durham District School Board
• Grand Erie District School Board
• Grandview School Authority
• Greater Essex County District School Board
• Halton Catholic District School Board
• Halton District School Board
• Hamilton-Wentworth Catholic District School Board
• Hamilton-Wentworth District School Board
• Hastings and Prince Edward District School Board
• Huron-Perth Catholic District School Board
• Huron-Superior Catholic District School Board
• James Bay Lowlands Secondary School Board
• John McGivney Children’s Centre School Authority
• Kawartha Pine Ridge District School Board
• Keewatin-Patricia District School Board
• Kenora Catholic District School Board
• KidsAbility School Authority
• Lakehead District School Board
• Lambton Kent District School Board
• Limestone District School Board
• London District Catholic School Board
• Moose Factory Island District School Area Board
• Moosonee District School Area Board
• Near North District School Board
• Niagara Catholic District School Board
• Niagara Peninsula Children’s Centre School Authority
• Nipissing-Parry Sound Catholic District School Board
• Northeastern Catholic District School Board
• Northwest Catholic District School Board
• Ottawa Catholic District School Board
• Ottawa-Carleton District School Board
• Peel District School Board
• Penetanguishene Protestant Separate School Board
• Peterborough Victoria Northumberland and Clarington Catholic District School Board
• Rainbow District School Board
• Rainy River District School Board
• Renfrew County Catholic District School Board
• Renfrew County District School Board
• Simcoe County District School Board
• Simcoe Muskoka Catholic District School Board
• St. Clair Catholic District School Board
• Sudbury Catholic District School Board
• Superior North Catholic District School Board
• Superior-Greenstone District School Board
• Thames Valley District School Board
• Thunder Bay Catholic District School Board
• Toronto Catholic District School Board
• Toronto District School Board
• Trillium Lakelands District School Board
• Upper Canada District School Board
• Upper Grand District School Board
• Waterloo Catholic District School Board
• Waterloo Region District School Board
• Wellington Catholic District School Board
• Windsor-Essex Catholic District School Board
• York Catholic District School Board
• York Region District School Board

Colleges — Ministry of Colleges and Universities

• Algonquin College of Applied Arts and Technology
• Cambrian College of Applied Arts and Technology
• Canadore College of Applied Arts and Technology
• Centennial College of Applied Arts and Technology
• Collège Boréal d’arts appliqués et de technologie
• Collège d’arts appliqués et de technologie La Cité collégiale
• Conestoga College Institute of Technology and Advanced Learning
• Confederation College of Applied Arts and Technology
• Durham College of Applied Arts and Technology
• Fanshawe College of Applied Arts and Technology
• George Brown College of Applied Arts and Technology
• Georgian College of Applied Arts and Technology
• Humber College Institute of Technology and Advanced Learning
• Lambton College of Applied Arts and Technology
• Loyalist College of Applied Arts and Technology
• Mohawk College of Applied Arts and Technology
• Niagara College of Applied Arts and Technology
• Northern College of Applied Arts and Technology
• Sault College of Applied Arts and Technology
• Seneca College of Applied Arts and Technology
• Sheridan College Institute of Technology and Advanced Learning
• Sir Sandford Fleming College of Applied Arts and Technology
• St. Clair College of Applied Arts and Technology
• St. Lawrence College of Applied Arts and Technology

Children’s Aid Societies — Ministry of Children, Community and Social Services

• Bruce Grey Child and Family Services
• Catholic Children’s Aid Society of Hamilton
• Child and Family Services of Grand Erie
• Children & Family Services for York Region
• Children’s Aid Society of Algoma
• Children’s Aid Society of London and Middlesex
• Children’s Aid Society of Ottawa
• Children’s Aid Society of Oxford County
• Children's Aid Society of the City of Guelph & The County of Wellington
• Children's Aid Society of the City of Sarnia and the County of Lambton
• Children’s Aid Society of the District of Nipissing and Parry Sound
• Children’s Aid Society of the Districts of Sudbury and Manitoulin
• Children's Aid Society of the Niagara Region
• Children’s Aid Society of the Region of Peel
• Children’s Aid Society of the United Counties of Stormont-Dundas-Glengarry
• Children’s Aid Society of Thunder Bay
• Children’s Aid Society of Toronto
• Dufferin Child and Family Services
• Durham Children’s Aid Society
• Family and Children's Services of St. Thomas and Elgin
• Family and Children's Services of Frontenac Lennox and Addington
• Family and Children's Services of Lanark Leeds and Grenville
• Family and Children's Services of Renfrew County
• Family and Children's Services of the Waterloo Region
• Halton Children's Aid Society
• Hamilton Child and Family Supports
• Highland Shores Children's Aid Society
• Huron-Perth Children's Aid Society
• Jewish Family and Child Service of Greater Toronto
• Kawartha-Haliburton Children's Aid Society
• Kenora-Rainy River Districts Child and Family Services
• Linck, Child Youth and Family Supports
• North Eastern Ontario Family and Children's Services
• Simcoe Muskoka Child Youth and Family Services
• The Catholic Children's Aid Society of Toronto
• Valoris for Children and Adults of Prescott-Russell
• Windsor-Essex Children's Aid Society

Schedule 9: Government Business Enterprises  ^{footnote 71[71]}

Summary financial information of Government Business Enterprises is provided below

Hydro One Limited

The principal business of Hydro One Limited is the transmission and distribution of electricity to customers within Ontario. Hydro One is Ontario’s largest electricity transmission and distribution utility and is required to deliver electricity safely and reliably to approximately 1.5 million customers across Ontario. It is regulated by the Ontario Energy Board.

iGaming Ontario

On April 4, 2022, iGaming Ontario (iGO) launched the new market for online gaming in Ontario. iGO is responsible for conducting and managing the online gaming schemes in accordance with the Criminal Code (Canada) and the Gaming Control Act, 1992.

Liquor Control Board of Ontario

The Liquor Control Board of Ontario (LCBO) regulates the purchase, sale and distribution of liquor for home consumption and liquor sales to licensed establishments through LCBO stores, Brewers Retail stores and winery retail stores throughout Ontario. The LCBO buys wine and liquor products for resale to the public, tests all products sold and establishes prices for beer, wine and spirits.

Ontario Cannabis Retail Corporation

The Ontario Cannabis Retail Corporation, operating as the Ontario Cannabis Store (OCS), is the provincial online retailer of recreational cannabis and the exclusive wholesaler of recreational cannabis to Ontario’s authorized private retail stores.

Ontario Lottery and Gaming Corporation

The Ontario Lottery and Gaming Corporation (OLG) conducts and manages gaming on behalf of the Province of Ontario, including: lottery, casinos, electronic bingo, and its internet gaming site, OLG.ca. Private service providers operate most OLG casinos. OLG continues to integrate horse racing into its gaming strategy, including the administration of ongoing funding.

Ontario Power Generation Inc.

The principal business of Ontario Power Generation Inc. (OPG) is the generation and sale of electricity in the Ontario wholesale market and in the interconnected markets of Quebec, Manitoba and the Northeast and Midwest United States.

Schedule 10: Fees, Donations and Other Revenues from Broader Public Sector Organizations