Summary#

This bill approves extra funding for the federal government for the 2025–26 fiscal year. It authorizes up to $8.58 billion from the federal government’s main bank account (the Consolidated Revenue Fund) to cover costs not already approved. Most of the money goes to National Defence and the Communications Security Establishment (CSE). The authority takes effect as of April 1, 2025.

• Total new funding: about $8.58 billion based on the first in‑year update to the budget plan (called Supplementary Estimates A).
• Department of National Defence: about $8.21 billion for operations, equipment, and grants/contributions.
• Communications Security Establishment (Canada’s signals intelligence and cyber security agency): about $370 million for program costs.
• Defence can enter into long‑term contracts up to about $86.76 billion, with roughly $52.95 billion expected to be paid in future years.
• Defence and CSE can re‑spend revenue they earn from their own operations this year to offset their costs.
• Allows routine accounting adjustments after year‑end to close the books, without new cash payments.

What it means for you#

• General public

  • No direct change to taxes or personal benefits. This is a funding bill to keep approved federal activities running.
  • More resources for national defence and cyber security, which can affect safety, military readiness, and protection of government systems.

• Military members and families

  • More funding for operations, training, and support activities. Specific programs are not listed here, but the money covers day‑to‑day operating costs and some equipment purchases.

• Businesses and organizations

  • Potential opportunities for contracts or contributions tied to defence equipment, services, supplies, or facilities.
  • Some agreements may span multiple years, since the bill lets Defence commit to long‑term contracts, with many payments due later.

• Transparency and timing

  • Spending is tied to items listed in the government’s in‑year estimates and must follow any conditions set there.
  • Some non‑cash accounting entries can be finalized after the fiscal year ends, which helps ensure accurate public accounts.

Expenses#

Estimated annual cost: about CAD $8.58 billion.

• Department of National Defence: about $8.21 billion
  • Operating costs: about $3.97 billion
  • Capital (equipment and infrastructure): about $0.80 billion
  • Grants and contributions (including support related to defence equipment, services, supplies, or facilities): about $3.44 billion
• Communications Security Establishment: about $370 million for program expenditures
• Additional authority: Defence may enter into contracts up to about $86.76 billion in total commitments for this cycle, with an estimated $52.95 billion to be paid in future years. This is permission to commit, not extra cash this year.

Proponents' View#

• Ensures the military and cyber security agencies have the funds they need to operate and respond to threats.
• Updates the budget mid‑year to reflect new needs and timing changes, which keeps services running smoothly.
• Allows long‑term contracts so Defence can plan major projects and upgrades over several years.
• Lets departments re‑spend revenue they earn from operations in the same year, improving efficiency.
• Includes standard controls: money must be used only for the stated purposes and follow conditions in the estimates.

Opponents' View#

• Adds a large amount of in‑year spending, which could strain the budget if not offset elsewhere.
• Much of the money is grouped under broad votes, which can make it hard for the public to see project‑level details.
• Authority to make large future commitments may limit flexibility for future budgets.
• Increased funding for intelligence and cyber agencies may raise transparency and privacy concerns for some, even if oversight rules are unchanged.
• Risk that long‑term defence projects face delays or cost overruns, reducing value for money.