Terms and Conditions for the Cyber Security Cooperation Program

1.0 Authority

The Minister's authority to make transfer payments is provided for in section 6(1)(c) of the Department of Public Safety and Emergency Preparedness Act, S.C. 2005, ch.10. It provides that the Minister of Public Safety and Emergency Preparedness may, in exercising their powers and in performing their duties and functions, and with due regard to the powers conferred on the provinces and territories, make grants or contributions.

2.0 Program Description and Objectives

The Department of Public Safety and Emergency Preparedness' (the Department) Cyber Security Cooperation Program (CSCP) aims to contribute to the federal government's leadership role in advancing cyber security in Canada. By enabling close collaboration with other levels of governments, the private sector, academia, and non-governmental organizations, the CSCP's purpose will be to provide funding for research and yield comprehensive results that help position Canadian governments, businesses, and citizens to better anticipate trends, adapt to a changing environment, and remain on the leading edge of innovation in cyber security.

In alignment with the goals and priorities of the new National Cyber Security Strategy (NCSS), the CSCP will support projects that contribute to:

• Forging whole-of-society partnerships for cyber security;
• Advancing national cyber awareness and hygiene;
• Making Canada a trusted innovator that prioritizes cyber security;
• Growing the foundational cyber security workforce of the future;
• Identifying and supporting targeted areas of cyber security research to meet Canadian needs;
• Identifying, deterring, or defending against cyber threats; and,
• Making critical systems more resilient.
• Expected Results and Outcomes

The CSCP contributes to the achievement of departmental and governmental objectives of building a safe and resilient Canada, and enhancing Canada's resilience to cyber events and incidents. It falls under section 1.1.3 (Cyber Security) of the Department's Program Inventory.

The CSCP plays a critical role in working towards the expected outcomes and goals of Canada's new "National Cyber Security Strategy: Securing Canada's Digital Future". It aims to help Canada address evolving cyber threats, realize the economic benefits of cyber security and enhance national collaboration, and engagement of stakeholders.

Short-term outcomes:

• A Canadian population that is increasingly knowledgeable and skilled in cyber security
• A Canadian population that is increasingly aware of cyber security
• A growing and innovative Canadian cyber security economy

Medium-term outcomes:

• An emphasized focus on Canada's resiliency against cybercrimes and cyber incidents
• Increased inclusivity in Canada's cyber security

Ultimate outcomes:

• Canada's digital future is secured

3.0 Duration

The current Terms and Conditions for the CSCP will be valid from the date they receive approval from the Treasury Board Secretariat until March 31, 2030.

4.0 Eligible Recipients

Grants and contributions may be provided to the following classes of Recipients:

• Canadian not-for-profit organizations;
• Indigenous (First Nation, Inuit or Metis) governments, including a Council of a Band within the meaning of subsection 2(1) of the Indian Act, R.S.C. 1985, c.I-5, or a government established under the authority of self-government agreement, which has been approved and has force of law under an act of Parliament or a legislature;
• Canadian academic and research institutions; and,
• Provincial, territorial and local governments and authorities.

In addition to the above list, contributions may also be provided to the following class of Recipients:

• Canadian for-profit organizations provided that the nature and the intent of the activity will not generate a profit for the entity.

5.0 Eligible Types of Initiatives

The nature and type of initiatives or projects that are considered eligible for funding must be aligned with the objectives of the CSCP, as listed under Section 2.0 of the current Terms and Conditions document. They may include the following:

• Development and dissemination of knowledge products, training or best practices aimed at increasing stakeholders' understanding of technological advancements, cyber threats and vulnerabilities;
• Projects and initiatives that aim to increase public awareness of cyber threats, such as public awareness campaigns or other communication activities;
• Academic research to expand the cyber knowledge base, with a view to help identify and anticipate upcoming trends;
• Research and development of new technologies and tools for increasing the security and resilience of Canadian cyber systems, including for the prevention, mitigation and/or response to cyber attacks;
• Support for non-federal partners' implementing actions to better protect their systems and information;
• Research and development of innovative cyber security tools, products and solutions, including for addressing threats posed by disruptive and emerging technologies (e.g., Internet of Things, Smart Cities, Fintech, quantum computing, etc.);
• Projects and initiatives that promote collaboration and the exchange of information and knowledge among multiple stakeholders;
• Support for software development and secure, offsite, encrypted backups to protect administration offices, businesses and communities;
• Increase the availability and access of cyber innovations, including through the commercialization of new technologies;
• Support for training and other educational programs to advance cyber security skills and knowledge or increase the number of cyber security professionals in the Canadian workforce. These projects could include:
  • Educational forums and programs; and,
  • Development and dissemination of materials to support training and education.
  • Other projects promoting STEM (science, technology, engineering, mathematics) fields across all levels of education.
• Support for activities such as upskilling existing workers, raising cyber security awareness among workers, and developing and enacting innovative recruitment campaigns and strategies; and,
• Projects and initiatives that diversify and expand the cyber workforce pipeline and build a lasting cyber security workforce.

6.0 Type and Nature of Eligible Expenditures

Funds may only be used for eligible expenditures that have been identified in a budget approved by the Department. Eligible expenditures will be those that are incurred by the Recipient, are reasonable, incremental, directly related to, and required to carry out the project activities.

Eligible expenses include:

1. Salaries and wages;
2. Office equipment, minor capital acquisitions (minor capital is defined as up to $10,000 per acquisition), and program supplies and materials;
3. Travel and living expenses for persons directly delivering the project, which should be in accordance with the National Joint Council Travel Directive amounts;
4. The development of training manuals and procedures;
5. Professional and consulting fees directly related to the project objectives, including, where applicable, professional fees for the preparation of audited financial statements;
6. Computer services, library expenses, research costs and collection and analysis of statistics, including subscription and data access fees related to the project outcomes (i.e., electronic subscriptions and publications, services related to the collection, dissemination, provision, analysis and access to external data);
7. Translation and simultaneous interpretation activities;
8. Shipping charges, postage, printing and distribution costs;
9. Meals and/or refreshments for participants in activities and workshops directly related to the project as agreed to by the parties of an Agreement which should be in accordance with Appendix B of the Treasury Board Directive on Travel, Hospitality, Conference and Event Expenditures; and,
10. Administrative expenses as agreed to by the parties of an Agreement, which must not exceed 15% of the total Public Safety Canada funding per year, if not already included in other line items. The amount must be supported by reasonable methodology and breakdown and be for costs directly related to the administration of the project.

Ineligible expenses:

1. Capital costs, such as land, buildings, vehicles and most other major capital costs (more than $10,000 per acquisition);
2. Interest charges (i.e., cost of borrowing);
3. Travel expenses for delegates or participants;
4. Rent (or equivalent to rent) costs, normal utilities (such as electricity, internet, heat, water and telephone), maintenance of offices and other buildings, insurance, and taxes;
5. Reimbursement of costs which would create a surplus (more revenues received then expenditures incurred) for the total project or initiative;
6. Non-monetary transactions that are not reimbursable (e.g., amortization); and,
7. Contributions to Employment Insurance, the Canada Pension Plan, the Workers' Compensation Board, the Provincial Pension Plan or other Employee Benefit Plans.

7.0 Stacking Limit

The maximum level of total government assistance (federal, provincial, territorial and municipal assistance for the same purpose and eligible expenses) shall not exceed 75% of the eligible expenditures, except for provincial, territorial and/or municipal government recipients, in which case the total government assistance will be considered to a maximum of 100%.

Recipients are required to disclose all confirmed and potential sources of funding for a proposed project before the start and at the end of a project.

The repayment of any amount exceeding the total government assistance limit will be calculated on a prorated basis (based on total government assistance received toward the same eligible expenses).

8.0 Maximum Amount Payable and Method Used to Determine the Amount of Funding

Funding amounts will be determined based on an assessment of the recipient's planned activities and budget submission, previous financial performance, and capacity of the Recipient to achieve results. The availability of CSCP funds and the number of successful applicants will also be used to determine the amount the Recipient is eligible to receive. A prorated basis can be used based on total funds available and total eligible funding requests.

For Canadian not-for-profit organizations, Indigenous governments, Canadian academic or research institutions, or provincial, territorial or local governments or authorities:

• The maximum funding amount shall not exceed $300,000 annually per project.

For Canadian for-profit organizations:

• The maximum funding amount shall not exceed $100,000 annually per project.

9.0 Basis of Payment

Grants

Payments will be issued in the form of instalments, unless the full amount is required in a single payment to meet the objectives of the grant.

Payments can be made up to a portion of the grant amount prior to completion of the project, as determined by an assessed level of risk.

Recipients must meet, and continue to meet, the specific Terms and Conditions of the Grant Agreement, prior to payments being made.

Contributions

Payments will be issued to recipients pursuant to the provisions of the Treasury Board Policy on Transfer Payments and based on the reimbursement of eligible expenditures. Payment amounts will be based on cash flow requirements and the project's risk profile. The assessed level of risk will also determine requirements for a holdback provision to be included in the Contribution Agreement.

Progress payments will be issued to reimburse the recipient for expenditures incurred. They will be based on receipt of financial and non-financial project reporting outlining activities and expenditures to date, and acceptance thereof by the Minister.

Where advance payments are required for the successful delivery of the project, they will be issued in accordance with the recipient's cash flow requirements and the project's risk profile.

Recipients must meet, and continue to meet, the specific requirements of the funding agreement, prior to payments being made.

Provided that the recipient has met the requirements of the contribution agreement, a final payment will be made only upon receipt and acceptance of final deliverables as stated in the Contribution Agreement.

10.0 Reporting Procedure

Grants

Recipients will be required to report on results achieved to support the CSCP's performance measurement strategy and departmental reporting. Specific reporting requirements will be included within each Grant Agreement.

Contributions

A schedule of reporting requirements will be included within each Contribution Agreement.

Recipients are required to provide the Department with reports outlining the activities undertaken in support of their approved project. Reports are to include the results to be achieved with the funding provided under the CSCP, and the methods used. In addition, recipients will be required to provide detailed financial reports outlining the costs incurred in relation to their approved project, including a final accounting of eligible expenditures.

Based on an assessed level of risk, recipients may be required to provide the Department with an update on progress towards eligible activities, as deemed necessary. This will be used for monitoring and reporting purposes, to determine whether objectives and targets are being (or are likely to be) met.

11.0 Proposal Requirements

Proposals or applications to support specific projects should, as appropriate and applicable:

• Include a signed and dated application with the name and address of the applicant, the period or duration of the project, and the name, title and address (including email address) of an individual with signing authority on behalf of the applicant;
• Demonstrate that the proposal meets the objectives of the CSCP and describes the need for the project, the activities and information that supports the efficacy of the proposed approach to be undertaken;
• Include an appropriate work plan describing the project activities, timelines, and expected outcomes;
• Provide a detailed budget including type and nature of expenditures, a disclosure of all sources of funding for the project (including government assistance), amount of funding requested under the program, audited financial statements of the applicant (if appropriate), and previous financial support received from the Government of Canada;
• List potential partners and their roles;
• Provide a detailed description of resources, tools, reports or other material to be developed by the project;
• Include information related to the applicant's legal status and structure, names of project authorities, information on the background, history, mandate, objectives and accomplishments of the applicant, and names and contact information for the executive members of the board of directors of the applicant or similar information in the case of an ad hoc group (if applicable);
• Provide sufficient information to demonstrate eligibility and capacity to undertake activities and attain objectives;
• Declare amounts owing in default to the Government of Canada; and,
• Describe how the project will respect the spirit and intent of the Official Languages Act.

In addition, to prevent the risk of conflict of interest, the applicant must:

• Disclose the involvement of prospective recipients who are subject to the Values and Ethics Code for the Public Service, the Conflict of Interest Act (S.C. 2006, c.9) or the Parliament of Canada Act (R.S.C., 1985, c.P-1);
• When required by the Lobbying Act (LA), register lobbyists under the LA (applicants shall provide assurance that, where lobbyists are utilized, they are registered and that no actual or potential conflict of interest exists nor any contingency fee arrangement); and
• Discuss the role of a departmental official if a departmental official is to participate on an advisory committee or board. Such involvement must not be seen to be exercising control on the committee or board or on the use of the funds.

Selection Criteria and Review Procedure

Proposals for consideration under the CSCP will be reviewed against the CSCP criteria established by the Department to determine their eligibility, completeness and conformity according to specified mandatory requirements.

A formal funding selection process will be established to review all proposals received under the CSCP. Following the selection process, all proposals recommended for funding will be forwarded for approval to the delegated Departmental signing authority.

In reviewing and recommending proposals, the Department will take into consideration, as applicable and appropriate:

• The extent to which the project would directly support and advance the objectives and priorities of the CSCP;
• The amount of funding requested relative to the amount of resources available from the Department in any given year and whether expenses outlined in the proposal are eligible and reasonable;
• The ability of the applicant to develop, implement, manage, monitor, document and evaluate activities within the specified time frame and budget;
• The Department's previous experience in working with the applicant, the degree of collaboration and the quality of and success of the project(s);
• The level of support of provincial or territorial governments, federal departments and agencies, other stakeholders and partners relevant to the project;
• Any ethical considerations associated with project delivery and evaluation; and,
• The project's overall viability, including the potential for the project's transition post-federal funding.

All applicants may be required to submit additional information in order to facilitate this assessment.

If the recipient is a Canadian not-for-profit organization, an Indigenous government, a Canadian academic or research institution, or a provincial, territorial or local government or authority, then a grant or contribution may be issued depending on the full amount required for the project.

If the Recipient is a Canadian for-profit organization, then a contribution may be issued.

For any given project, PS will determine the most appropriate funding mechanism based on the level of complexity of the project, the level of funding requested, the type of recipient and the level of risks associated with implementing the project, planned activities and budget submission, previous financial performance, and capacity of the recipient to achieve results. The eligibility of an applicant as a Recipient of a grant is assessed based on risk as part of the assessment of each project proposal, which includes factors such as organization capacity, experience managing government funding, level of complexity and project sensitivity. Risk factors are assessed on a scale from very low to very high. Projects scoring a very low or low level of risk could be administered as grants. Those projects scoring from medium to very high could be administered through contribution funding.

12.0 Performance Measurement Strategy and Indicators

The Performance Measurement Strategy outlines an information strategy for departmental officials that will facilitate development of practices and procedures aimed at promoting achievement of objectives and mitigating risks to performance. It also shows how this information will be used to inform the overall evaluation of the CSCP.

The Performance Measurement Strategy contains a logic model which identifies the causal links between its main activities, the key outputs that are produced from these activities, and the intended outcomes arising from the activities and outputs. The indicators related to these outcomes are included in the following table:

Funded projects are responsible for providing reports based on the Performance Measurement Strategy and according to the completed risk assessment. The reporting deliverables will be detailed in each funding agreement.

13.0 Official Languages

Funding will be consistent with all relevant policies and regulations of the Official Languages Act.

The Department will work with applicants and recipients in their preferred official language. All the information published as it relates to CSCP will be made available and posted on the Department's website in both official languages.

CSCP's overall objectives are to be implemented within the broader context of the linguistic duality of Canada by supporting projects that will serve official language minority communities while being mindful of gender and diversity issues.

14.0 Intellectual Property

If a project produces intellectual property, the Recipient retains copyright of any work produced under the Grant or Contribution Agreement. However, in situations where the Department wishes to use the intellectual property produced by a Recipient, additional clauses may be included in the Grant or Contribution Agreement or the Department may negotiate a license with the Recipient.

Date modified:

2025-08-14