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Bill C-18

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C-18
First Session, Thirty-eighth Parliament,
53 Elizabeth II, 2004
HOUSE OF COMMONS OF CANADA
BILL C-18
An Act to amend the Telefilm Canada Act and another Act

first reading, November 1, 2004

THE MINISTER OF CANADIAN HERITAGE

90286

RECOMMENDATION
Her Excellency the Governor General recommends to the House of Commons the appropriation of public revenue under the circumstances, in the manner and for the purposes set out in a measure entitled “An Act to amend the Telefilm Canada Act and another Act”.
SUMMARY
This enactment provides Telefilm Canada with a mandate to act in audio-visual industries including film, television and new media. It also provides the Corporation with the authority to act in the sound recording industry under agreements made with the Department of Canadian Heritage. The enactment also grants Telefilm Canada, for the purpose of carrying out its mandate, the powers of a natural person. Everything done by the Corporation before the coming into force of this enactment is deemed to be valid to the same extent as it would have been were it done after this enactment comes into force.

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1st Session, 38th Parliament,
53 Elizabeth II, 2004
house of commons of canada
BILL C-18
An Act to amend the Telefilm Canada Act and another Act
Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
R.S., c. C-16; 2002, c. 17, s. 6
TELEFILM CANADA ACT
1. The definitions “Canadian feature film” and “Canadian feature film production”, “film activity”, “film-maker”, “film production” and “film technician” in section 2 of the Telefilm Canada Act are repealed.
2. Section 5 of the Act is replaced by the following:
Eligibility for membership
5. No person who has, directly or indirectly and individually or as a shareholder, partner or otherwise, any pecuniary interest in the audio-visual industry is eligible to be appointed or to hold office as a member of the Corporation.
3. The heading before section 10 of the English version of the Act is replaced by the following:
MANDATE AND POWERS
1994, c. 25, s. 1
4. Section 10 of the Act is replaced by the following:
Mandate
10. (1) The mandate of the Corporation is to foster and promote the development of the audio-visual industry in Canada and to act in connection with agreements entered into under subsection (8).
General capacity
(2) For the purpose of carrying out its mandate, the Corporation has the capacity, rights, powers and privileges of a natural person.
Specific powers
(3) Without limiting the generality of subsection (2), the Corporation may
(a) invest in individual Canadian audio-visual productions in return for a share in the proceeds from those productions;
(b) make loans to producers of individual Canadian audio-visual productions and charge interest on those loans;
(c) make awards for outstanding accomplishments in Canadian audio-visual productions;
(d) make grants to audio-visual industry professionals resident in Canada to assist them in improving their craft; and
(e) advise and assist Canadian audio-visual producers in the distribution of their works and in the administrative functions of audio-visual production.
Borrowing
(4) The Corporation shall not borrow money within the meaning of Part X of the Financial Administration Act otherwise than from the Crown.
Loan guarantees
(5) Despite subsection (4), the Corporation may, in accordance with terms and conditions approved by the Treasury Board and the Minister of Finance, guarantee loans for audio-visual productions and their distribution.
Canadian content, ownership, etc.
(6) For the purposes of this Act, a “Canadian audio-visual production” is an audio-visual production in respect of which the Corporation has determined
(a) that the completed production will, in the judgment of the Corporation, have a significant Canadian creative, artistic and technical content, and that arrangements have been made to ensure that the copyright in the completed production will be owned by an individual resident in Canada, by a corporation incorporated under the laws of Canada or a province or by any combination of owners described in this paragraph; or
(b) that provision has been made for the production under a co-production agreement entered into between Canada and another country.
Corporation not a partner
(7) The Corporation shall not be regarded as a partner in any production in which it may invest, and its liability shall be limited to the amount of its investment in the production.
Contribution agreements
(8) The Corporation may enter into agreements with the Department of Canadian Her­itage for the provision of services or programs relating to the audio-visual or sound recording industries.
Consultation and cooperation
(9) The Corporation shall, to the greatest possible extent consistent with the performance of its duties under this Act,
(a) carry out its mandate in the broader context of the policies of the Government of Canada with respect to culture; and
(b) consult and cooperate with any departments, boards and agencies of the Government of Canada and the governments of the provinces that have a mandate related to the mandate of the Corporation.
1994, c. 25, s. 2(1)
5. (1) The portion of subsection 19(2) of the Act before paragraph (a) is replaced by the following:
Amounts to be charged to Account
(2) All amounts required for the purposes of paragraphs 10(3)(a) and (b) and subsection 10(5) shall be paid
1994, c. 25, s. 2(2)
(2) Paragraphs 19(3)(a) to (c) are replaced by the following:
(a) proceeds from any production in which the Corporation has invested under paragraph 10(3)(a);
(b) the principal amount of or interest on any loan made by the Corporation under paragraph 10(3)(b); or
(c) fees charged by the Corporation in respect of loan guarantees provided under subsection 10(5).
6. Paragraph 20(a) of the Act is replaced by the following:
(a) for the purposes of paragraphs 10(3)(c) to (e), and
7. Section 21 of the Act is renumbered as subsection 21(1) and is amended by adding the following:
Financial Administration Act
(2) Sections 90 to 93, subsection 94(2) and sections 95, 99, 100 and 102 of the Financial Administration Act apply, with any necessary modifications, to the Corporation.
R.S., c. F-11
CONSEQUENTIAL AMENDMENT TO FINANCIAL ADMINISTRATION ACT
2001, c. 11, s. 6(1), c. 34, par. 16(c)(E); 2002, c. 17, par. 14(c)
8. Subsection 85(1) of the Financial Administration Act is replaced by the following:
Exempted Crown corporations
85. (1) Divisions I to IV do not apply to the Bank of Canada, the Canada Council for the Arts, the Canada Pension Plan Investment Board, the Canadian Broadcasting Corporation, the International Development Research Centre or the National Arts Centre Corporation.
Exemption for Telefilm Canada
(1.1) Subject to subsection 21(2) of the Telefilm Canada Act, Divisions I to IV do not apply to Telefilm Canada.
TRANSITIONAL PROVISION
Validation
9. Everything done by Telefilm Canada before the coming into force of this Act is valid to the same extent as it would have been were it done after that coming into force.
Published under authority of the Speaker of the House of Commons
Available from:
Publishing and Depository Services
Public Works and Government Services Canada




Explanatory Notes
Telefilm Canada Act
Clause 1: Existing text of the definitions:
“Canadian feature film” and “Canadian feature film production” have the meanings assigned by subsection 10(2);
“film activity” means any activity relating to the production, distribution, projection or exhibition of films;
“film-maker” means a person creatively engaged in film production;
“film production” means the creative, artistic and technical process of producing a film;
“film technician” means a person engaged in the technical or administrative aspects of film production;
Clause 2: Existing text of section 5:
5. No person who has, directly or indirectly and individually or as a shareholder, partner or otherwise, any pecuniary interest in commercial film activity is eligible to be appointed or to hold office as a member of the Corporation.
Clause 3: Existing text of the heading:
OBJECTS, POWERS AND DUTIES
Clause 4: Existing text of section 10:
10. (1) The objects of the Corporation are to foster and promote the development of a feature film industry in Canada and, without limiting the generality of the foregoing, the Corporation may, in furtherance of its objects,
(a) invest in individual Canadian feature film productions in return for a share in the proceeds from any such production;
(b) make loans to producers of individual Canadian feature film productions and charge interest thereon;
(c) make awards for outstanding accomplishments in the production of Canadian feature films;
(d) make grants to film-makers and film technicians resident in Canada to assist them in improving their craft; and
(e) advise and assist the producers of Canadian feature films in the distribution of those films and in the administrative functions of feature film production.
(1.1) The Corporation may, in accordance with terms and conditions approved by the Treasury Board and the Minister of Finance, guarantee loans for the production and distribution of films.
(2) For the purposes of this Act, a “Canadian feature film” or “Canadian feature film production” is a feature film or feature film production in respect of which the Corporation has determined
(a) that the completed film will, in the judgment of the Corporation, have a significant Canadian creative, artistic and technical content, and that arrangements have been made to ensure that the copyright in the completed film will be beneficially owned by an individual resident in Canada, by a corporation incorporated under the laws of Canada or a province or by any combination of owners described in this paragraph; or
(b) that provision has been made for the production of the film under a co-production agreement entered into between Canada and another country.
(3) The Corporation shall not be regarded as a partner in any film production in which it may invest and its liability shall be limited to the amount of its investment in the production.
(4) The Corporation shall, to the greatest possible extent consistent with the performance of its duties under this Act, consult and cooperate with such departments, boards and agencies of the Government of Canada and the governments of the provinces as have any duties, or any aims or objects, related to those of the Corporation.
Clause 5: (1) Relevant portion of subsection 19(2):
(2) All amounts required for the purposes of paragraphs 10(1)(a) and (b) and subsection 10(1.1) shall be paid
(2) Existing text of subsection 19(3):
(3) The Corporation shall pay to the Receiver General, to be deposited in the Consolidated Revenue Fund and credited to the Telefilm Canada Advance Account, all amounts received by the Corporation as or on account of
(a) proceeds from any production in which the Corporation has invested under paragraph 10(1)(a);
(b) the principal amount of or interest on any loan made by the Corporation under paragraph 10(1)(b); or
(c) fees charged by the Corporation in respect of loan guarantees provided under subsection 10(1.1).
Clause 6: Relevant portion of section 20:
20. All amounts required
(a) for the purposes of paragraphs 10(1)(c) to (e), and
Clause 7: New.
Financial Administration Act
Clause 8: Existing text of subsection 85(1):
85. (1) Divisions I to IV do not apply to the Bank of Canada, the Canada Council for the Arts, the Canada Pension Plan Investment Board, the Canadian Broadcasting Corporation, the Telefilm Canada, the International Development Research Centre or the National Arts Centre Corporation.