2003/04 – 2005/06 REVISED SERVICE PLAN Ministry of Competition, Science, and Enterprise

Appendix I

Over 70 per cent of the ministry's budget consists of contributions. With the exception of bad debt expenses, these contributions are made in accordance with contractual arrangements and are largely outside of the ministry's control and influence, consequently they do not have ministry performance targets associated with them. The ministry's contribution for contracts and funding arrangements totals $85.8 million in 2003/04. The contributions described below are included in the core business: Executive and Support Services, except the Northern Development Fund which is included in core business: Improving British Columbia's Investment Climate, and the contribution for Leading Edge British Columbia is included in the core business: Enhancing Economic Development Throughout British Columbia.

• Northern Development Fund: The NDF is a fund established under the 1997 British Columbia/Alcan Agreement to promote sustainable economic development in northern British Columbia. Funds are provided on a matching cost-shared basis by the Province and Alcan. The NDF is managed by the Nechako-Kitamaat Development Fund Society. The ministry has set aside a contribution of $1.5 million in 2003/04, however, this contribution may not be made as the NDF has not expended previous years' contributions.
• Leading Edge British Columbia: the ministry's contribution for Leading Edge British Columbia is $10.838 million in 2003/04. Leading Edge British Columbia promotes and markets British Columbia as a competitive business location and a preferred location to live, visit, invest and do business, specifically in priority sectors identified by the Premier's Technology Council (life sciences, wireless, new media, alternate energy and the information communication technology sectors). It will work with the private sector and other relevant stakeholders through establishing partnerships and alliances.
  The Society will also play a key role in attracting new investment to the Province including the recruitment and expansion of key firms in priority sectors as well as helping to increase the availability of venture capital throughout the Province.
• British Columbia Pavilion Corp.: the ministry provides funds for capital, operating and facilities costs and for the amortization of the Province's investment in the corporation. The British Columbia Pavilion Corp. prepares its own Service Plan. The ministry contribution in 2003/04 is $5 million.
• Vancouver Convention Centre Expansion Project: in December 2002, the governments of Canada and British Columbia, along with the City of Vancouver, jointly announced funding arrangements for the development of the Vancouver Convention Centre Expansion Project. Vancouver Convention Centre Expansion Project Ltd. (VCCEP Ltd.) was established under the British Columbia Company Act to build the project and act as an agent of the Province. The construction of the new facilities is targeted at $495 million. The tourism sector will provide $90 million, with the remainder provided by the federal and provincial governments on a matching cost-shared basis. The province will make contributions of $67 million, $62 million and $69.5 million in each fiscal year 2003/4 to 2005/06. Total provincial contributions will be $230 million. VCCEP Ltd. prepares its own Service Plan.
• Bad Debt Expense: reserves for doubtful loans, write-downs of investments and interest expense on concessionary loans total $1.52 million.