Schedule 3A - Capital Grants Receivable and Use of Deferred Revenues

This form is used to calculate the capital grants receivable and use of deferred revenues for capital projects. It uses data entered on the other Schedule 3-series forms, with minimal data input directly onto this form. It compares spending on capitalized items versus the approval room available. The school board’s receivable, if any, is calculated on this screen. Lastly, the schedule shows the remaining approval room to be used in future years, or the capital shortfall.

Columns 1 to 8.2 - Capital Grants Receivable

Columns 1 to 8.2 represent funding sources that provide an approval room under which the school board can spend. Spending on capital up to the approved amount will generate a receivable from the province.

Approvals / Allocations Available

Items 1.1 to 1.3.3 are used to calculate item 1.4, the total available approval room for 2025-26.

• Item 1.1 (Remaining Approved Amounts or Opening Deferred Revenue) is the available approval room as at September 1, 2025, for existing programs. The amounts are populated from the 2024-25 Revised Estimates. In the Estimates and Revised Estimates cycles only, the values can be adjusted to the latest data available, if applicable.

  • For columns 2 to 6, the amount is calculated based on the prior year’s total project allocations less approved prior years’ expenditures (Schedule 3.2 column 5), less any amounts related to projects removed from the regulation tables since the previous year; to correct an amount, enter any updates to prior year expenditures and approved prior years’ expenditures directly on Schedule 3.2 to see the revised remaining approval room here.

• Item 1.2 (In-year Approvals and Allocations) represents the approvals in the current school year.

  • There are no amounts populated for Full Day Kindergarten in column 1 since all funding under the program has been fully allocated.

  • In-year approvals for School Condition Improvement (columns 7 and 8) are automatically populated based on the 2025-26 funding regulation table.

  • Funding for Capital Priorities MCP (column 2), Capital Priorities Land (column 3), Child Care Capital (column 4), EarlyON Child and Family Centre Capital (column 5), and Community Hub Replacement (column 6) are populated from the allocations of newly added projects and additional approval given to existing projects on Schedule 3.2.

  • There are no amounts populated for COVID-19 Resilience Infrastructure Stream (CVRIS) in columns 8.1 and 8.2 since all approvals under this program occurred in the 2020-21 school year.

• Item 1.3 (Amounts Used to Fund Eligible Operating) is only applicable for the Full Day Kindergarten, Capital Priorities MCP, Capital Priorities Land, Child Care Capital, CVRIS-80% and CVRIS-20% columns:

  • For FDK (column 1), the amount is populated from Schedule 3.5, item 5. It represents operating expenses related to FDK that reduce the remaining approval room at item 1.4.

  • For columns 2, 3 and 4 (Capital Priorities MCP, Capital Priorities Land, Child Care Capital), the amount is populated from Schedule 3.2 as the approved portion of column 15 (Current Year Operating Expenses). This is calculated on a project-by-project basis and depends on the remaining approved current year expenditures after first applying approval room to any ARO abatement spending and capital expenditures incurred on the project. Therefore, for each project it is calculated as the lesser of current year operating expenses and (approved current year expenditures less amounts applied to ARO abatement less total current year capital expenditures, 0 if negative); and the sum of this calculation for each project is loaded to Schedule 3A, item 1.3.

  • For CVRIS-80% and CVRIS-20% (columns 8.1 and 8.2), input the eligible operating expenses in the Estimates and Revised Estimates cycles. In the Financial Statements, the values are populated from data entry in VFA. The operating expenses for this funding source are eligible expenditures which cannot be capitalized under the school board’s capital asset policy.

• Item 1.3.1 (Amounts Applied to Prior Years’ Expenditures - Non-ARO) is only applicable to the Capital Priorities MCP, Capital Priorities Land, Child Care Capital, EarlyON Child and Family Centre Capital, and Community Hub Replacement columns. This represents additional non-ARO capital grant receivable due to retroactive approval of previously unsupported expenditures. The amount on this line is loaded from the total on Schedule 3.2, column 7 (Additional Allocation to be Applied to Prior Year Unsupported Expenditures) less column 10.1 (Additional Approved Prior Years’ ARO Abatement Spending).

• Item 1.3.2 (Amounts Applied to ARO Abatement Spending) is only applicable to the Capital Priorities MCP, Capital Priorities Land, Child Care Capital, SCI-70%, SCI-30%, CVRIS-80% and CVRIS-20% columns:

  • For columns 2, 3, and 4 (Capital Priorities MCP, Capital Priorities Land, Child Care Capital), the amount is populated from Schedule 3.2 as the approved portion of column 15.1 (Current Year Amounts Applied to ARO Abatement Spending). This is calculated on a project-by-project basis and is equal to the lower of remaining allocation available (Schedule 3.2, column 12) and the ARO abatement expenditures (Schedule 3.2, column 15.1).
  • For columns 7 and 8 (SCI-70%, SCI-30%) and columns 8.1 and 8.2 (CVRIS-80%, CVRIS-20%), the amount is populated from Schedule 3.4 as the approved portion of item 3.0 (ARO Abatement). This is calculated as the lower of the available approval room (Schedule 3A, item 1.1 + 1.2) and the ARO abatement spending (Schedule 3.4, item 3.0).

• Item 1.3.3 (Amounts Applied to Prior Years’ Expenditures - ARO) is only applicable to the Capital Priorities MCP, Capital Priorities Land, and Child Care Capital columns. The value loaded here is the total from Schedule 3.2, column 10.1 (Additional Approved Prior Years’ ARO Abatement Spending).

• Item 1.4 (Capital Grants or Deferred Revenue Available) equals item 1.1 plus item 1.2 less item 1.3 less item 1.3.1 less item 1.3.2.

Eligible Capital Expenditure

Items 2.1 to 2.4 are populated based on data reported on Schedule 3. School boards report the capital expenditures by three asset categories: land, buildings, and moveable type assets. Grants for depreciable items go to DCC; whereas grants for non-depreciable items (land and land improvements with infinite lives) go to revenue per Public Sector Accounting Standard PS 3410 (Government Transfers).

For columns 1 to 8.2, the “eligible capital expenditure” equals the total capital expenditures less capitalized interest. Please note that short-term interest funding is provided for these funding sources (with the exception of CVRIS), and calculated separately on Section 8A on the eligible not permanently financed capital expenditures before payment.

Capital Grants Receivable or Application of Deferred Revenue

These lines show the calculation of the school board’s capital grant receivable from the province. To the extent the school board spent within its approval room, the board will record a receivable for its eligible capital expenditures. The capital receivable is calculated on this schedule for Full Day Kindergarten, the two SCI allocations and the two CVRIS allocations, whereas the receivable is populated from Schedule 3.2 for Capital Priorities - MCP, Capital Priorities - Land, Child Care Capital, EarlyON Child and Family Centre Capital, and Community Hub Replacement.

• For all columns except Capital Priorities Land, input the amount of the capital receivable related to land expenditures at item 3.1 and any remaining capital receivable will be allocated to the non-land amount at item 3.2.

• For Capital Priorities Land, input any receivable related to land improvements with finite lives at item 3.2, and any remaining receivable will be allocated to land at item 3.1.

Remaining Approval Room

The total remaining approval room is shown at item 4.1. An amount is shown here if capital expenditures at item 2.4 were less than the approval room calculated at item 1.4.

Capital Shortfall

The total capital shortfall is shown at item 5.3. An amount is shown here if the eligible capital expenditures excluding capitalized interest at item 2.4 exceed the capital grants receivable at item 3; an additional shortfall related to capitalized interest (at item 6.2) is also included, if applicable.

• The capital shortfall is split into land and non-land. Please note that the capitalized interest shortfall at item 6.2 is included in non-land (item 5.2) for columns 1 through 2 and columns 4 through 8.2, but for column 3 it is included in land (item 5.1).

• A capital shortfall on land is further tracked on Schedule 5.6 (Revenues Recognized for Land Continuity) at items 2.1 to 2.4.

• A capital shortfall on non-land (i.e. depreciable assets) is further tracked on Schedule 5.3 (Deferred Capital Contributions Continuity), items 2.1.1 to 2.2.

Capital Shortfall Related to Capitalized Interest

The allocations for capital short term interest are shown at item 6.1. These amounts are populated from Section 8A Short Term Interest on Capital Component, item 1. The capitalized interest shortfall is calculated at item 6.2 and assumes that the entire allocation relates to non-land for columns 1 through 2 and columns 4 to 8.2, and land for column 3. The shortfall is calculated by subtracting the capitalized interest reported at Schedule 3, item 1.6 for columns 1 through 2 and columns 4 to 8 and Schedule 3, item 1.5 for column 3 from the allocation for capital short term interest at item 6.1.

Columns 9 to 19 - Capital Deferred Revenues

Columns 9 to 18 represent funding sources that are capital deferred revenues, which fund capital expenditures including land. These are amounts that have been received up-front in cash, but have not yet been spent on capital. Spending in these categories will not generate a receivable from the province.

Column 19 represents unfunded capital expenditures which have no capital funding source for the expenditure, or that the school board is using operating resources to fund. These expenditures will create a capital shortfall.

Overspending in Other Deferred Revenue

It may occur that a school board overspends in one ‘other deferred revenue’ category, but has another type of ‘other deferred revenue’ available. If this situation occurs, record the overspending in column 19, under the ‘other’ category, NOT under the ‘other deferred revenue’ category (column 18). If this is not done, then the overspending will fall under the ‘other deferred revenue’ category, for which the spending was not authorized.

Approvals / Allocations Available

Items 1.1 to 1.3.3 are used to calculate item 1.4, the total deferred revenues available at the beginning of 2025-26.

Item 1.1 (Remaining Approved Amounts or Opening Deferred Revenue) is the deferred revenue available as at September 1, 2025, for existing programs. The amounts are populated from the Schedule 5.1 deferred revenues opening balances, and can be overwritten on that schedule with the latest data available.

Item 1.2 (In-year Approvals and Allocations and Interest Earned on Deferred Revenues) is the total of the contributions received in-year plus the earnings on deferred revenue and deferred revenue adjustment for each applicable capital deferred revenue category. These amounts are populated from Schedule 5.1 columns 2, 2.1, and 3.

Item 1.3 (Amounts Used to Fund Eligible Operating):

• The amounts in the Temporary Accommodation and Rural and Northern Education Fund columns are loaded from the related Data Form A2 reports, item 4.

• The amount in the EDC column is an input cell in the Estimates and Revised Estimates cycles. School boards should enter any EDC operating expenses for the year, which will reduce the deferred revenue balance available for capital expenditures. In the Financial Statements cycle, the value is loaded from Appendix D1 (lesser of Appendix D1 items 3.11 and 4.4.2).

• The cells in the POD-Exempted and POD-Other columns are open for input.

Item 1.3.1 (Amounts Applied to Prior Years’ Expenditures - non-ARO):

• For the EDC column, this represents funding applied towards an accumulated deficit carried forward from the previous year. It’s an input cell in the Estimates and Revised Estimates cycles, and loaded from Appendix D1, items 4.1 + 4.4.2 in the Financial Statements.

• The cells in the POD-Exempted and POD-Other columns are open for input; the cell in the POD-Regular column is loaded from input on Schedule 5.1, item 13.3, column 4.

Item 1.3.2 (Amounts Applied to ARO Abatement Spending) is only applicable to the columns for Temporary Accommodation, Retrofitting School Space for Child Care, School Renewal, EDC, POD (Regular, Exempted, and Other), Other Deferred Revenue, and Other:

• For column 9 (Temporary Accommodation), the amount is calculated as the transfer to revenue for ARO abatement (Data Form A2-10 Temporary Accommodation, item 2.2) minus the amount input on Schedule 3A, item 1.3.3 for revenue applied to prior years’ unsupported ARO abatement.

• For column 15 (School Renewal), the amount is calculated as the transfer to revenue for ARO abatement (Data Form A2 School Renewal, item 2.2) less the portion that relates to prior years’ ARO abatement spending (Schedule 3A, item 1.3.3).

• For columns 17, 17.1, and 17.2 (the three POD funding sources), the amount is populated from Schedule 3.4 as the approved portion of the ARO Abatement line (Schedule 3.4, item 3.0). This is calculated as the lower of available allocation in the year (Schedule 3A, item 1.1 + 1.2) and the ARO abatement expenditures (Schedule 3.4, item 3.0).

• For column 16 (EDC), the amount is input in the Estimates and Revised Estimates cycles, and loaded from Appendix D1 (item 4.4.1, column 7) in the Financial Statements cycle.

• For columns 12, 18, and 19 (Retrofitting School Space for Child Care, Other Deferred Revenue and Other), the amount is entered directly on Schedule 3A. The value entered in column 19 represents ARO abatement spending that did not have corresponding revenues, so it should be equal to the total ARO liability abatement (Schedule 5.7, column 8, item 16) minus the total ARO abatement revenues entered in the other columns on Schedule 3A, item 1.3.2. Unless a school board anticipates receiving future revenues to cover current year unsupported ARO abatement reported in column 19, it is expected that there will be a corresponding entry on Schedule 5 to apply some available accumulated surplus to the Asset Retirement Obligations line (Schedule 5, item 4.6). There is a warning message (Warning_SC3A_1) to remind school boards of this entry.

Item 1.3.3 (Amounts Applied to Prior Years’ Expenditures - ARO) is only applicable to the columns for Temporary Accommodation, School Renewal, EDC, POD (Regular, Exempted, and Other), and Other Deferred Revenue.

• For columns 9, 17, 17.1, 17.2, and 18 (Temporary Accommodation, the three POD funding sources, and Other Deferred Revenue), the amount is input directly on Schedule 3A.

• For column 15 (School Renewal), the value loaded is the lower of available allocation (Schedule 3A, items 1.1 + 1.2) and Data Form A2 School Renewal, item 2.1.1 (Prior Year ARO Abatement Spending).

• For column 16 (EDC), the value is input in the Estimates and Revised Estimates cycles, and loaded from Appendix D1, item 4.2.1 (…..EDC Amount Transferred to Revenue related to Prior Year Expenditures - ARO), column 7 in the Financial Statements cycle.

Item 1.4 (Capital Grants or Deferred Revenue Available) equals item 1.1 plus item 1.2 less items 1.3, 1.3.1, 1.3.2, and 1.3.3.

Eligible Capital Expenditure

Items 2.1 to 2.4 are populated based on data reported on Schedule 3. School boards report the capital expenditures by three assets categories: land, buildings, and moveable type assets. Grants on depreciable items go to DCC; whereas grants on non-depreciable items (land and land improvements with infinite lives) go to revenue per Public Sector Accounting Standard PS 3410 (Government Transfers).

For columns 9 to 19, the “eligible capital expenditure” equals the total capital expenditures including capitalized interest.

Capital Grants Receivable or Application of Deferred Revenue

This category is divided into land and non-land, and shows the amount of deferred revenue applied to land or non-land expenditures. Item 3 shows the amount to be transferred out of deferred revenue, calculated as the lesser of item 1.4 (Capital Grants or Deferred Revenue Available) and item 2.4 (Eligible Capital Expenditure).

At item 3.1, indicate the portion of capital deferred revenue to be applied towards spending on land.

• For the EDC column, the application of deferred revenues for use at items 3.1 and 3.2 are input cells in the Estimates and Revised Estimates. In the Financial Statements, item 3.1 equals Appendix D1 item 4.4.2 minus Schedule 3A item 1.3; item 3.2 equals Appendix D1 item 4.3.

• For the columns related to Temporary Accommodation, Retrofitting School Space for Child Care, School Generated Funds, School Renewal, POD-Exempted, POD-Other, and Other Deferred Revenue, these deferred revenues can be applied to land or non-land spending. Unless the funding sources specifically allow the use of funds to purchase land, typically the land expenditures allowed under these funding sources are for land improvements with infinite lives only. Input the amount of the deferred revenues applied to land expenditures at item 3.1, if any, and the remaining deferred revenues will be allocated to the non-land amount at item 3.2.

Remaining Approval Room

This line is not applicable for columns 9 to 19.

Capital Shortfall

The total capital shortfall is shown at item 5.3. An amount is shown here if the eligible capital expenditures at item 2.4 exceed the application of deferred revenue at item 3. The capital shortfall is split into land and non-land.

• A capital shortfall on land is further tracked on Schedule 5.6 (Revenues Recognized for Land Continuity), items 2.1 to 2.4.

• A capital shortfall on non-land (i.e. depreciable assets) is further tracked on Schedule 5.3 (Deferred Capital Contributions Continuity), items 2.1.1 to 2.2.

• The closing deferred revenue balance is tracked on Schedule 5.1 (Deferred Revenue).

Relationship to other schedules:

• The total non-land capital shortfall at item 5.2, column 20 is forwarded to Schedule 5.3, item 2.2, column 2.

• The COVID-19 Resilience Infrastructure Stream (CVRIS 80%) at item 3.2, column 8.1 is forwarded to Schedule 5.3, item 2.4, column 2 and is included as part of the DCC additions related to third parties.

• Items 2.1 to 2.4 (Eligible Capital Expenditure) are loaded from Schedule 3, items 1.8.1 to 1.8.4.

• Item 1.3.1 (Amounts Applied to Prior Years’ Expenditures - Non-ARO), columns 2 to 4, is calculated as the total from Schedule 3.2, columns 9 + 10.

• Item 1.3.2 (Amounts Applied to ARO Abatement Spending), columns 2 to 4, is calculated as the sum of supported ARO abatement spending for all projects on Schedule 3.2, where each project’s supported value is the lesser of amounts in column 15.1 and column 16.

• Item 1.3.2 (Amounts Applied to ARO Abatement Spending), columns 7, 8, 8.1, 8.2, and 17 to 17.2 (SCI, CVRIS, and POD), is calculated as the lesser of Schedule 3.4 item 3.0 and available funding from Schedule 3A, item 1.1 + 1.2.

• Item 1.3.3 (Amounts Applied to Prior Years’ Expenditures - ARO), columns 2 to 4, is loaded from Schedule 3.2, column 10.1.

• The total value calculated for current year ARO abatement spending at item 1.3.2, column 20 should be equal to the total ARO liability abatement entered on Schedule 5.7, item 16, column 8.

• Revenue related to ARO abatement that appears at items 1.3.2 (Amounts Applied to ARO Abatement Spending) and 1.3.3 (Amounts Applied to Prior Years’ Expenditures - ARO), for funding sources paid as a capital grant in columns 2 to 8.2 (as applicable), is flowed to Section 1A, item 4.3 (Capital Grants - ARO Abatement). For capital funding sources paid through deferred revenue (columns 9 to 17.2, as applicable), transfers to revenue for ARO abatement are flowed to Schedule 5.1 Capital, column 6 (Transferred to Revenue) on the related line. For capital funding sources paid through other deferred revenue (column 18), transfers to revenue for ARO abatement should be recorded on Schedule 5.1 Capital, column 6 (Transferred to Revenue) on the related line.