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RCC userguide (view source)

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The origins of the Standard Cost Model (SCM) come from the Netherlands, but various other jurisdictions and organizations, including the Organisation for Economic Cooperation and Development, have adopted and extensively applied it. Its main application has been in support of a number of initiatives aimed at measuring and consequently reducing the level of administrative burden costs imposed on businesses. According to the SCM Network, it is today, the most widely applied methodology for measuring administrative costs.

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The basic idea of the SCM is a simple one. There are two key factors to cost, price and quantity. This simplicity in concept, however, can sometimes be more complicated to implement. Issues of when and how often an activity occurs, economic growth, accounting for time preference (discounting) and determining the most appropriate method to estimate model inputs all come into play. Addressing these issues appropriately and consistently helps to remove potential bias; this is a central goal of the Calculator’s implementation of the SCM.

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The basic idea of the SCM is a simple one. There are two key factors to cost, price and quantity. This simplicity in concept, however, can sometimes be more complicated to implement. Issues of when and how often an [[RCC userguide#Activity:|activity]] occurs, economic growth, accounting for time preference (discounting) and determining the most appropriate method to estimate model inputs all come into play. Addressing these issues appropriately and consistently helps to remove potential bias; this is a central goal of the Calculator’s implementation of the SCM.

As a starting point to further understanding how this is done, the main components of the SCM are described below:

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'''Figure 1: Diagram of the Main Components of the Standard Cost Model'''

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* ''Price: Price consists:''

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** ''Tariff or wage (hourly) costs plus overhead for administrative activities done internally or hourly cost for external service providers.''

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**''Tariff or wage (hourly) costs plus overhead for administrative activities done internally or hourly cost for external service providers.''

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** ''Time, the amount of time (in hours) required to complete the administrative activity.''

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** ''Time, the amount of time (in hours) required to complete the administrative [[RCC userguide#Activity:|activity]].''

* ''Quantity: Quantity comprises:''

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** ''Population or the number of businesses and or enterprises affected.''

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**''Population or the number of businesses and or enterprises affected.''

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** ''Frequency that the activity must be completed each year.''

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** ''Frequency that the [[RCC userguide#Activity:|activity]] must be completed each year.''

<blockquote> '''''<big>Combining these elements give the basic SCM formula:</big>'''''

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'''''<big>~~Activity~~ Cost = Price x Quantity = (tariff x time) x (population x frequency)</big>'''''</blockquote>

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[[RCC userguide#Activity:|'''''<big>activity</big>''''']] '''''<big>Cost = Price x Quantity = (tariff x time) x (population x frequency)</big>'''''</blockquote>

=== <big>Using the Regulatory Cost Calculator</big> ===

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===== Deleting Rows =====

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Collections of inputs in the Calculator appear in rows with user input and pre-set functions. For example, the business counts and growth rates for a particular stakeholder group will be contained in a single row in the table on the [[RCC userguide#Step Two: Identify Regulated Community .E2.80.93 Stakeholder Profile|Stakeholders]] tab, and various details of a particular activity will be contained in a single row in a table on the Activities sheet. There are two ways delete rows.

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Collections of inputs in the Calculator appear in rows with user input and pre-set functions. For example, the business counts and growth rates for a particular stakeholder group will be contained in a single row in the table on the [[RCC userguide#Step Two: Identify Regulated Community .E2.80.93 Stakeholder Profile|Stakeholders]] tab, and various details of a particular [[RCC userguide#Activity:|activity]] will be contained in a single row in a table on the Activities sheet. There are two ways delete rows.

The preferred way: users can right click on any cell in the row and select <u>D</u>elete -> Table <u>R</u>ow.

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# Right click anywhere in the table, and select Insert > Table Rows (Above or Below).

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====== '''~~Activity~~''': ======

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====== '''activity''': ======

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This is a description of the activity. The description should be clear and easy to cross-reference requirements described in the Regulatory Impact Analysis Statement. The ~~Activity~~ description will be used in the auto-generated text on the One-for-One Tab. Unlike in the [[RCC userguide#Step Two: Identify Regulated Community .E2.80.93 Stakeholder Profile|Stakeholders]] input table where group names must be unique, the same activity name can be used on multiple rows. On the Annual Impact sheet, when the breakdown method is "By ~~Activity~~", multiple rows of activities with the same name will be bundled together.

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This is a description of the activity. The description should be clear and easy to cross-reference requirements described in the Regulatory Impact Analysis Statement. The activity description will be used in the auto-generated text on the One-for-One Tab. Unlike in the [[RCC userguide#Step Two: Identify Regulated Community .E2.80.93 Stakeholder Profile|Stakeholders]] input table where group names must be unique, the same activity name can be used on multiple rows. On the Annual Impact sheet, when the breakdown method is "By activity", multiple rows of activities with the same name will be bundled together.

====== '''Administrative or Compliance:''' ======

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Important point: although upfront costs only occur one time per affected stakeholder, that does not mean that they only appear in one year of the analysis. If there is a positive stakeholder growth rate, that means new businesses are entering the market over time, and they incur the upfront costs too. Example: if you have a 1% stakeholder growth rate then there will be new entrants every year, and there would be upfront cost appearing in every year throughout the analytical period.

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'''Ongoing:''' activities can happen multiple times per stakeholder, on a recurring basis at a specific [[RCC userguide#Annual Frequency|annual frequency]] throughout the analytical period. These impacts are assumed to occur at the end of each period. An example of an ongoing activity is stakeholders submitting a report to the government 3 times per year (and 3 times per year over 10 years means this activity would happen 30 times).

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'''Ongoing:''' activities can happen multiple times per stakeholder, on a recurring basis at a specific [[RCC userguide#Annual Frequency|annual frequency]] throughout the analytical period. These impacts are assumed to occur at the end of each period. An example of an ongoing [[RCC userguide#Activity:|activity]] is stakeholders submitting a report to the government 3 times per year (and 3 times per year over 10 years means this [[RCC userguide#Activity:|activity]] would happen 30 times).

The assumption that ongoing activities occur at the end of each period may be different than your typical approach in a CBA. This assumption affects how many stakeholders incur the cost and how the cost is discounted. For example if you have an ongoing cost in Year 1, it is assumed that it is incurred at the end of the year (i.e., December 31). This means that the annual growth rate is applied to the stakeholder count from the beginning of the year, and the discount rate is applied.

====== '''Start Year''' ======

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The start year for an activity can be selected from a dropdown list, which is based on the information entered in the [[RCC userguide#Step One: Initiative Details - Initiative Profile|Initiative tab]]. The start year must be on or after the Year of Registration. You can manually select the specific year, or choose the more general "Start of Analytical Period". A benefit of the latter approach is that if the year of registration is delayed for whatever reason, you don't have to manually update the year in the Activities input table.

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The start year for an [[RCC userguide#Activity:|activity]] can be selected from a dropdown list, which is based on the information entered in the [[RCC userguide#Step One: Initiative Details - Initiative Profile|Initiative tab]]. The start year must be on or after the Year of Registration. You can manually select the specific year, or choose the more general "Start of Analytical Period". A benefit of the latter approach is that if the year of registration is delayed for whatever reason, you don't have to manually update the year in the Activities input table.

====== End Year ======

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If the Calculator is being used to calculate impacts for government, then a Government stakeholder group should be created with a Non-Business Count equal to one.

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Users can select a specific group from the dropdown list or select "All Groups." Selecting "All Groups" will apply the activity to each group entered on the [[RCC userguide#Step Two: Identify Regulated Community .E2.80.93 Stakeholder Profile|Stakeholders]] sheet, and the impacts will be disaggregated appropriately on the yellow output sheets (when sorting impacts "By Stakeholder Group"). Alternatively, sometimes you may want to apply an activity to all stakeholders and see a distinct row for each one on the Activities tab. Having a distinct row for the same activity applied to each stakeholder group may be necessary if different stakeholders would incur different impacts to conduct the activity (e.g., the different groups may have different baseline compliance rates).

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Users can select a specific group from the dropdown list or select "All Groups." Selecting "All Groups" will apply the [[RCC userguide#Activity:|activity]] to each group entered on the [[RCC userguide#Step Two: Identify Regulated Community .E2.80.93 Stakeholder Profile|Stakeholders]] sheet, and the impacts will be disaggregated appropriately on the yellow output sheets (when sorting impacts "By Stakeholder Group"). Alternatively, sometimes you may want to apply an [[RCC userguide#Activity:|activity]] to all stakeholders and see a distinct row for each one on the Activities tab. Having a distinct row for the same [[RCC userguide#Activity:|activity]] applied to each stakeholder group may be necessary if different stakeholders would incur different impacts to conduct the [[RCC userguide#Activity:|activity]] (e.g., the different groups may have different baseline compliance rates).

====== Affected Stakeholder Type ======

The stakeholder type, specifying whether it applies to businesses, non-businesses, small businesses, or large businesses.

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Selecting "No" means that the number of stakeholders affected in each period will only be the percentage affected of the New Entrants, based on the growth rate specified in the Stakeholder Profile Tab.

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Selecting "No" in this column and the ''Apply to New Entrants'' column will produce an error indicating that: '''This activity does not apply to anyone. This activity does not result in any incremental impact.'''

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Selecting "No" in this column and the ''Apply to New Entrants'' column will produce an error indicating that: '''This [[RCC userguide#Activity:|activity]] does not apply to anyone. This [[RCC userguide#Activity:|activity]] does not result in any incremental impact.'''

====== Apply to New Entrants ======

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Selecting "No" means that only the stakeholders at the beginning of the period of analysis would considered affected in each period.

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Selecting "No" in this column and the ''Apply to Existing Stakeholders'' column will produce an error indicating that: '''This activity does not apply to anyone. This activity does not result in any incremental impact.'''

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Selecting "No" in this column and the ''Apply to Existing Stakeholders'' column will produce an error indicating that: '''This [[RCC userguide#Activity:|activity]] does not apply to anyone. This [[RCC userguide#Activity:|activity]] does not result in any incremental impact.'''

====== Combinations of Apply to Existing Stakeholders and Apply to New Entrants ======

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'''Labour''' should be selected when a task requires an individual to spend time to complete it.

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An activity may require both capital and labour. Unfortunately labour and capital can not be entered on the same row. The same activity name can be used to enter those impacts on different rows.

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An [[RCC userguide#Activity:|activity]] may require both capital and labour. Unfortunately labour and capital can not be entered on the same row. The same [[RCC userguide#Activity:|activity]] name can be used to enter those impacts on different rows.

====== Capital: Number of Units ======

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===== Annual Frequency =====

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For each regulatory activity, the frequency determines how many periods there are in each year in the analysis. The number of periods per year can affect the undiscounted impact estimates because this determines how often the RCC estimates the stakeholder count, and undiscounted impacts depend on how many stakeholders are in the market at any given time. The number of periods per year can also affect the discounted impact estimates because each subsequent period happens later in the analytical timeframe and is therefore discounted to a greater extent.

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For each regulatory [[RCC userguide#Activity:|activity]], the frequency determines how many periods there are in each year in the analysis. The number of periods per year can affect the undiscounted impact estimates because this determines how often the RCC estimates the stakeholder count, and undiscounted impacts depend on how many stakeholders are in the market at any given time. The number of periods per year can also affect the discounted impact estimates because each subsequent period happens later in the analytical timeframe and is therefore discounted to a greater extent.

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The regulatory text may explicitly state how often stakeholders must conduct a regulatory activity (e.g., "do Activity X once per year" or "do Activity X every 6 months"). Other times, the regulatory text may state that an activity must be conducted every time some other event happens (e.g., "do Activity X every time Event Y happens"). An example of the latter is a requirement to report the importation of goods containing a certain chemical: this could happen 1 time, 2 times, or 1,200 times per year.

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The regulatory text may explicitly state how often stakeholders must conduct a regulatory [[RCC userguide#Activity:|activity]] (e.g., "do [[RCC userguide#Activity:|activity]] X once per year" or "do [[RCC userguide#Activity:|activity]] X every 6 months"). Other times, the regulatory text may state that an [[RCC userguide#Activity:|activity]] must be conducted every time some other event happens (e.g., "do [[RCC userguide#Activity:|activity]] X every time Event Y happens"). An example of the latter is a requirement to report the importation of goods containing a certain chemical: this could happen 1 time, 2 times, or 1,200 times per year.

Frequencies in the RCC can be grouped into three categories:

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'''Frequency = 1'''

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If the frequency is set to 1 then the RCC will more closely align with how you have probably set up your main CBA (e.g., 10 years of impact estimates spread over 10 columns). However, recall from above that upfront impacts are assumed to be incurred at the beginning of every period and they are always assumed to have a frequency of 1. Upfront activities start at period 0, so if an upfront activity spans 10 years it will have 11 total periods (starting at period 0 and ending at period 10). Conversely, ongoing impacts are assumed to be incurred at the end of every period. Ongoing activities start at period 1, so if an ongoing activity spans 10 years it will have 10 total periods (starting at period 1 and ending at period 10). The way the RCC treats upfront vs. ongoing activities may partially explain some numerical differences between your RCC and your CBA, even if both use an annual frequency of 1.

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If the frequency is set to 1 then the RCC will more closely align with how you have probably set up your main CBA (e.g., 10 years of impact estimates spread over 10 columns). However, recall from above that upfront impacts are assumed to be incurred at the beginning of every period and they are always assumed to have a frequency of 1. Upfront activities start at period 0, so if an upfront [[RCC userguide#Activity:|activity]] spans 10 years it will have 11 total periods (starting at period 0 and ending at period 10). Conversely, ongoing impacts are assumed to be incurred at the end of every period. Ongoing activities start at period 1, so if an ongoing [[RCC userguide#Activity:|activity]] spans 10 years it will have 10 total periods (starting at period 1 and ending at period 10). The way the RCC treats upfront vs. ongoing activities may partially explain some numerical differences between your RCC and your CBA, even if both use an annual frequency of 1.

'''Frequency > 1'''

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You may decide to use a frequency greater than 1 for an ongoing activity if the regulatory requirement explicitly states that it must be conducted several times per year, or if the requirement to conduct the activity is triggered by some other event that happens several times per year. A frequency greater than 1 will split each year of the analysis into evenly spaced periods corresponding to the frequency. For example, if the frequency = 2, then each year will have 2 periods and there will be 20 total periods over a 10-year timeframe. If the frequency = 1,200, then each year will have 1,200 periods and there will be 12,000 periods over a 10-year timeframe.

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You may decide to use a frequency greater than 1 for an ongoing [[RCC userguide#Activity:|activity]] if the regulatory requirement explicitly states that it must be conducted several times per year, or if the requirement to conduct the [[RCC userguide#Activity:|activity]] is triggered by some other event that happens several times per year. A frequency greater than 1 will split each year of the analysis into evenly spaced periods corresponding to the frequency. For example, if the frequency = 2, then each year will have 2 periods and there will be 20 total periods over a 10-year timeframe. If the frequency = 1,200, then each year will have 1,200 periods and there will be 12,000 periods over a 10-year timeframe.

Since the RCC estimates the stakeholder count in every period, then an annual frequency of 1,200 means that it will estimate the stakeholder count 1,200 times per year (which is more than 3 times per day!). This level of precision may not be warranted based on the historical data you are using to justify your annual stakeholder growth rate. Also, if you are doing the RCC in parallel with a separate CBA spreadsheet, you have probably not set up your main CBA to have 1,200 distinct periods per year, so using a very high frequency may increase the differences between your RCC and CBA results. Although there is nothing mathematically wrong with using a high frequency in the RCC, it can be computationally intensive and it may not be necessary.

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If we consider an example where an activity takes 1 hour per occurrence, there are several ways to model it if it happens 1,200 times per year:

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If we consider an example where an [[RCC userguide#Activity:|activity]] takes 1 hour per occurrence, there are several ways to model it if it happens 1,200 times per year:

# Frequency = 1,200; Time spent per occurrence = 1 hour

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# Frequency = 4; Time spent per occurrence = 300 hours

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All of the above methods will result in 1,200 hours being spent on the activity per year for businesses that are in the market at the start of each year. However, since the frequency determines the number of periods, it also determines at which point new entrants will enter the market and therefore begin to incur the cost. Stakeholders who enter the market partway through the year would not incur the cost as many times as those who were already there at the start of the year. With frequency = 1, all new entrants are assumed to join the market and incur the ongoing cost at the end of the year, meaning that all new entrants would spend 1,200 hours on the activity. This implies that the undiscounted impacts can be different depending on the selected frequency (whenever the stakeholder growth rate is not zero).

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All of the above methods will result in 1,200 hours being spent on the [[RCC userguide#Activity:|activity]] per year for businesses that are in the market at the start of each year. However, since the frequency determines the number of periods, it also determines at which point new entrants will enter the market and therefore begin to incur the cost. Stakeholders who enter the market partway through the year would not incur the cost as many times as those who were already there at the start of the year. With frequency = 1, all new entrants are assumed to join the market and incur the ongoing cost at the end of the year, meaning that all new entrants would spend 1,200 hours on the [[RCC userguide#Activity:|activity]]. This implies that the undiscounted impacts can be different depending on the selected frequency (whenever the stakeholder growth rate is not zero).

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Furthermore, with 1,200 periods per year, every subsequent period will be discounted to a slightly greater extent to bring it back to the present-value base year. Compared to using a frequency of 1 and a time spent per occurrence of 1,200 hours, using a frequency of 1,200 and a time spent per occurrence of 1 hour will result in slightly higher discounted impacts. This is because with high frequencies, impacts are assumed to be incurred earlier in the year and are therefore discounted to a lesser extent. In summary, different methods of modelling the activity by shifting between frequency and time spent will not give the exact same results. Use your judgement to determine the best way to model each activity.

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Furthermore, with 1,200 periods per year, every subsequent period will be discounted to a slightly greater extent to bring it back to the present-value base year. Compared to using a frequency of 1 and a time spent per occurrence of 1,200 hours, using a frequency of 1,200 and a time spent per occurrence of 1 hour will result in slightly higher discounted impacts. This is because with high frequencies, impacts are assumed to be incurred earlier in the year and are therefore discounted to a lesser extent. In summary, different methods of modelling the [[RCC userguide#Activity:|activity]] by shifting between frequency and time spent will not give the exact same results. Use your judgement to determine the best way to model each [[RCC userguide#Activity:|activity]].

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Note that the Error Check column will generate a warning message if you enter a frequency greater than 12. Review the message and consider how else you might be able to model the activity. Consult your TBS analyst if you are unsure what to do.

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Note that the Error Check column will generate a warning message if you enter a frequency greater than 12. Review the message and consider how else you might be able to model the [[RCC userguide#Activity:|activity]]. Consult your TBS analyst if you are unsure what to do.

'''Frequency < 1'''

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Regulatory requirements sometimes state that the activity must be conducted less than once per year, or the activity may be contingent on an event that happens less than once per year. In these situations you may decide to use a frequency less than 1.

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Regulatory requirements sometimes state that the [[RCC userguide#Activity:|activity]] must be conducted less than once per year, or the [[RCC userguide#Activity:|activity]] may be contingent on an event that happens less than once per year. In these situations you may decide to use a frequency less than 1.

The way the RCC estimates impacts with frequency less than 1 depends on the stakeholder growth rate: whether it is negative, zero, or positive. But regardless of the stakeholder growth rate, the Start Year selected in the table on the Activities sheet will be the first year in which the impact occurs (note this is different compared to how previous versions of the RCC worked).

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First let's imagine that the stakeholder growth rate is zero. After the Start Year, there will be a gap with several years of $0 impacts. The number of years with $0 impacts before the next occurrence depends on the frequency: there will be 'n' years of $0 impacts for frequency = "1/n". Since the growth rate is zero, the number of stakeholders conducting the activity every 'n' years will be constant. [[File:Zerogrowth.png|center|thumb|900x900px|Freq = 1/3, Existing Stakeholders = 100, Stakeholder Growth Rate = 0%|alt=]]

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First let's imagine that the stakeholder growth rate is zero. After the Start Year, there will be a gap with several years of $0 impacts. The number of years with $0 impacts before the next occurrence depends on the frequency: there will be 'n' years of $0 impacts for frequency = "1/n". Since the growth rate is zero, the number of stakeholders conducting the [[RCC userguide#Activity:|activity]] every 'n' years will be constant. [[File:Zerogrowth.png|center|thumb|900x900px|Freq = 1/3, Existing Stakeholders = 100, Stakeholder Growth Rate = 0%|alt=]]

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Lastly, consider the case where the frequency is less than 1 but the stakeholder growth rate is positive. This case is a bit more complicated because every year bring some new entrants (new 'cohorts'), and each cohort of new entrants will be on its own track of incurring the impact every 'n' years for frequency = '1/n'.

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Note that with positive stakeholder growth and a frequency less than 1, there are no years with $0 impacts. In the 'off-years' there are still impact estimates because new entrants are entering the market and incurring the impact for the first time, after which they are then on their own unique track to incur costs every 'n' years for frequency = 1/n. In some years multiple cohorts will incur costs at the same time. For example, if the frequency = 1/3 and the activity starts immediately, then the existing stakeholders will incur the cost at the end of Year 1 along with the new entrants from Year 1. This is the 'first cohort' incurring the cost. The new entrants in year 2 will be the only ones incurring the cost in Year 2, and the new entrants in Year 3 will be the only ones incurring the cost in Year 3. In year 4, the first cohort incurs the cost again (since 3 years have elapsed since the last time they incurred the cost), and they will do so along with the new entrants in Year 4. In year 5 the new entrants from year 2 along with the new entrants from year 5 will incur the cost. Skipping ahead to Year 10, the following cohorts will incur costs at the same time: 1, 4, 7, 10.

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Note that with positive stakeholder growth and a frequency less than 1, there are no years with $0 impacts. In the 'off-years' there are still impact estimates because new entrants are entering the market and incurring the impact for the first time, after which they are then on their own unique track to incur costs every 'n' years for frequency = 1/n. In some years multiple cohorts will incur costs at the same time. For example, if the frequency = 1/3 and the [[RCC userguide#Activity:|activity]] starts immediately, then the existing stakeholders will incur the cost at the end of Year 1 along with the new entrants from Year 1. This is the 'first cohort' incurring the cost. The new entrants in year 2 will be the only ones incurring the cost in Year 2, and the new entrants in Year 3 will be the only ones incurring the cost in Year 3. In year 4, the first cohort incurs the cost again (since 3 years have elapsed since the last time they incurred the cost), and they will do so along with the new entrants in Year 4. In year 5 the new entrants from year 2 along with the new entrants from year 5 will incur the cost. Skipping ahead to Year 10, the following cohorts will incur costs at the same time: 1, 4, 7, 10.

The lowest frequency that should be entered is 1 divided by the total length of the analytical period (e.g., 1/10 for a 10-year analytical period). Any frequency lower than this will be equivalent to a frequency of 1 divided by the length of the analytical period, since the first cohort will not incur the cost a second time within the analytical period, and in all years after year 1, the same new entrants will incur the cost.

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===== Labour: Time Spent (hours) =====

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The value in this cell determines how much time will be spent for each instance that the activity is conducted. This value has to be entered in hours, but feel free to use a formula in the cell to divide any number of minutes by 60.

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The value in this cell determines how much time will be spent for each instance that the [[RCC userguide#Activity:|activity]] is conducted. This value has to be entered in hours, but feel free to use a formula in the cell to divide any number of minutes by 60.

===== Labour: Internal or External Overhead =====

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If a regulated business must pay staff to perform a new activity as a result of a regulatory change, then the total cost per hour is more than just the hourly wage: there is also an overhead rate. The overhead rate simply inflates the wage by 25% for an internal staff member or 50% for an external staff member (e.g., if a third-party firm is hired to perform the activity). The overhead rate is a proxy for things like benefits, vacation, sick leave, building rental, utilities, supplies, etc.

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If a regulated business must pay staff to perform a new [[RCC userguide#Activity:|activity]] as a result of a regulatory change, then the total cost per hour is more than just the hourly wage: there is also an overhead rate. The overhead rate simply inflates the wage by 25% for an internal staff member or 50% for an external staff member (e.g., if a third-party firm is hired to perform the [[RCC userguide#Activity:|activity]]). The overhead rate is a proxy for things like benefits, vacation, sick leave, building rental, utilities, supplies, etc.

If you don't want to add any overhead then just leave this column blank (for example if you want to enter a custom wage that already includes overhead, or if overhead is not applicable for some reason).

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===== Labour: Staff Level (hourly wage without overhead) =====

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This cell contains a drop-down menu in which you can select the type of employee who will conduct each regulatory activity. The drop-down menu is supplied by a table on the Labour sheet, which by default contains 52 employee types based on Statistics Canada data.

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This cell contains a drop-down menu in which you can select the type of employee who will conduct each regulatory [[RCC userguide#Activity:|activity]]. The drop-down menu is supplied by a table on the Labour sheet, which by default contains 52 employee types based on Statistics Canada data.

Custom wages can be added by adding new rows to the table on the Labour sheet, or by simply typing in the wage directly into the Labour: Staff Level (Hourly Wage Without Overhead) column on the Activities table. If you enter a custom wage directly in the table on the Activities sheet then just enter the numerical value only (i.e., don't add a description here).

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The Draft RIAS text box is suggested text that may be used in the RIAS. It is generated using a simple if / then algorithm. This text should be considered a starting point. It would need to be proofread and adjusted to ensure it is accurately reflecting the intent of what was entered in the activities sheet.

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Text is generated for each unique activity listed in the Activity Table. When activities are given the same name, they are grouped together as costs or benefits. So, the annualized total costs and cost savings are reported separately if the same name is used for an activity with costs and benefits. The RIAS text reports the maximum number of businesses impacted be that activity in any one year, hence the text 'Up to 200 businesses would . . . " in the example.

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Text is generated for each unique [[RCC userguide#Activity:|activity]] listed in the [[RCC userguide#Activity:|activity]] Table. When activities are given the same name, they are grouped together as costs or benefits. So, the annualized total costs and cost savings are reported separately if the same name is used for an [[RCC userguide#Activity:|activity]] with costs and benefits. The RIAS text reports the maximum number of businesses impacted be that [[RCC userguide#Activity:|activity]] in any one year, hence the text 'Up to 200 businesses would . . . " in the example.

The text converts the numerical hours and frequency to text and rounds to the nearest whole unit, this can result in incorrect values reported in the text. Attention should be paid to these values if irregular values are used in the calculator.

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The wage reported in the text is converted to 2012 dollars and includes the overhead amount indicated in the activity sheet. When multiple activities are entered with the same name, the average wage, weighted by hours or each activity is reported.

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The wage reported in the text is converted to 2012 dollars and includes the overhead amount indicated in the [[RCC userguide#Activity:|activity]] sheet. When multiple activities are entered with the same name, the average wage, weighted by hours or each [[RCC userguide#Activity:|activity]]<nowiki/>is reported.

Below the RIAS text box is the '''Annual Breakdown.'''

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# Administrative then Compliance

# Compliance then Administrative

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# Activity (↑az): ascending order according to the name of each activity (a first)

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# [[RCC userguide#Activity:|activity]] (↑az): ascending order according to the name of each [[RCC userguide#Activity:|activity]] (a first)

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# Activity (↓za): descending order according to the name of each activity (z first)

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# [[RCC userguide#Activity:|activity]] (↓za): descending order according to the name of each [[RCC userguide#Activity:|activity]] (z first)

==== <big>Annual Impact</big> ====

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'''Breakdown:''' this allows you to select whether you want a simple breakdown (costs, benefits, net), or a breakdown by activity, by stakeholder, or by activity and stakeholder.

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'''Breakdown:''' this allows you to select whether you want a simple breakdown (costs, benefits, net), or a breakdown by [[RCC userguide#Activity:|activity]], by stakeholder, or by [[RCC userguide#Activity:|activity]] and stakeholder.

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'''Sort tables by:''' this allows you to sort the values in the tables in different ways. When the breakdown is set to simple, the only sorting option is "Default." But if the breakdown is anything else, you can sort by the magnitude of the impact, by the activity name, or by the stakeholder group name, as applicable. In general, "Default" sorting aligns with the order in which activities and [[RCC userguide#Step Two: Identify Regulated Community .E2.80.93 Stakeholder Profile|Stakeholders]] were entered on their respective sheets.

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'''Sort tables by:''' this allows you to sort the values in the tables in different ways. When the breakdown is set to simple, the only sorting option is "Default." But if the breakdown is anything else, you can sort by the magnitude of the impact, by the [[RCC userguide#Activity:|activity]] name, or by the stakeholder group name, as applicable. In general, "Default" sorting aligns with the order in which activities and [[RCC userguide#Step Two: Identify Regulated Community .E2.80.93 Stakeholder Profile|Stakeholders]] were entered on their respective sheets.

'''Group tables by:''' by default this is set to "Discounting", meaning that it will first produce the Discounted Costs, Discounted Benefits and Discounted Net Impacts, then the Undiscounted Costs, Undiscounted Benefits, and Undiscounted Net Impacts. Changing this to "Costs | Benefits | Net" means that the output will look like: Discounted Costs, Undiscounted Costs, then Discounted Benefits, Undiscounted Benefits, then Discounted Net, Undiscounted Net.

Line 451: Line 451:

Like in the Annual Impact sheet, the grey block of values is for your information only. The results will not update if you change these values.

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The blue block is not as large as in the Annual Impact sheet because the Cost-benefit statement in the RIAS template must follow a particular format (e.g., it always must be broken down by activity and stakeholder, the years are always displayed across the columns, and the annual impacts are undiscounted with only the total column being discounted).

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The blue block is not as large as in the Annual Impact sheet because the Cost-benefit statement in the RIAS template must follow a particular format (e.g., it always must be broken down by [[RCC userguide#Activity:|activity]] and stakeholder, the years are always displayed across the columns, and the annual impacts are undiscounted with only the total column being discounted).

There is also an orange block in which you can select other relevant years. By default no additional years are entered here, so the cost-benefit statement will only show the base year (year of registration) and the final year (year of registration + time period - 1). Selecting other relevant years will add them to the tables below.

Timothy.wieclawski

105

edits