2019 to 2020 Departmental Results Report: Canada Border Services Agency
Supplementary information tables

Status report on transformational and major Crown projects: CBSA Assessment and Revenue Management (CARM)

CARM is a multi-year initiative to modernize and optimize the CBSA's commercial assessment and revenue collection processes and systems. When fully implemented, CARM will provide new and streamlined ways for commercial trade chain partners to interact with the CBSA, and will provide the CBSA with a modernized financial management regime focused on providing self-serve, client-based services and processes.

The CBSA collects over $32 billion in duties and taxes each year, making it the Government's second largest revenue collector behind the Canada Revenue Agency. Ensuring the accurate and efficient assessment, collection and reporting of revenue from importers is key to ensuring that the CBSA upholds its financial stewardship responsibilities. By simplifying the processes associated with the assessment and collection of duties and taxes for commercial clients, the CBSA will facilitate compliance with rules and regulations and make it easier for importers to do business in Canada.

The transformation of the CBSA's assessment and revenue management functions through CARM is intended to produce the following business outcomes:

• Reduced administrative burden for Canadian importers and other trade chain partners in order to streamline trade and improve Canadian competitiveness, thereby meeting stakeholder expectations
• Increased revenues by asserting fairness and consistency in the treatment of all importers, and reducing missed opportunities to apply taxes and/or duties
• Improved efficiency by enhancing services and reducing administrative overhead. A reduced internal administrative burden will improve service delivery efficiency and enhance the CBSA's capacity to focus on a risk-based compliance approach for duties and taxes along with other laws and regulations

The CARM project will benefit commercial trade chain partners and Canadian businesses by:

• Reducing barriers that limit trade and commerce, including reducing the administrative burden on small and medium enterprises:
  • Increasing digitization of processes for submitting and tracking trade information and payments
  • Introducing electronic options for payment of duties and taxes
  • Providing the ability to enroll and register for programs, obtain information, view financial transactions (e.g., assessment and credits), and manage account information online through a secure portal
  • Harmonizing the collection and dissemination of trade information
  • Reducing duplication in submission of trade information
• Establishing new and improved service delivery options and new service performance standards:
  • Implementing client-based accounting processes that improve the range and responsiveness of services that the CBSA provides to commercial clients
  • Ensuring a level playing field for all trade chain partners by improving the accuracy and timeliness of processes and data, and enabling consistent, fair and transparent assessment and collection of revenue nationwide
  • Ensuring business continuity and availability of systems by replacing outdated systems with modern, integrated applications and platforms
• Supporting forecasting and decision-making by increasing digitization of processes for submitting and tracking trade information and payments, and enabling more frequent reporting on a greater number of metrics

Canada Border Services Agency

Public Services and Procurement Canada

• Public Services and Procurement Canada
• Shared Services Canada
• Treasury Board Secretariat
• Canada Revenue Agency

Deloitte Inc., Ottawa, Ontario, Canada

Accenture, Ottawa, Ontario, Canada

• CARM Phase 1 was completed with the implementation of the Accounts Receivable Ledger (ARL) in January 2016
• CARM Phase 2 (Design stage) was completed in March 2019
• CARM Phase 3 (Implementation stage) is in progress from April 2019 to October 2022

Accomplished:

• May 2014: CARM Smart Procurement Start (Industry Day)
• January 2015: CARM Phase 1 ARL Contract Award
• January 2016: CARM Phase 1 ARL Implemented
• June 2017: CARM Smart Procurement Proposals Received
• November 2017: Treasury Board Approval for CARM Design Stage
• February 2018: CARM Smart Procurement End (Contract Award)
• March 2018: CARM Vendor Onboard and Design Stage Start
• March 2019: CARM Design Stage Complete
• March 2019: Treasury Board Approval for remainder of CARM

Planned:

• November 2020/January 2021: Release 0: Re-platform of ARL
• May 2021: Release 1: Initial online portal: Implementation timeline being re-planned
• Spring/Summer 2022: Release 2: Core CARM: Implementation timeline being re-planned
• Fall 2022: Completion of CARM Phase 2 (Implementation Stage)

In March 2019, Treasury Board granted authority to complete the remainder of CARM. The implementation stage began in April 2019 and is currently experiencing delays impacting the initial planned completion date of July 2021.

The COVID-19 pandemic has changed the way that CARM operates as a project across the CBSA and with other government departments and trade chain partners. CARM is currently experiencing delays in some of the regular project processes and continues to adjust the way forward in response to the evolving COVID-19 environment. Consultation and engagement activities are ongoing, but are significantly more difficult, requiring a reduced pace and a reasonable engagement model.

CARM has validated its Integrated Project Plan in order to re-baseline the expected dates for Release 0, Release 1 and Release 2.