2nd Session, 37th Parliament,
51-52 Elizabeth II, 2002-2003

House of Commons of Canada

BILL C-24

An Act to amend the Canada Elections Act and the Income Tax Act (political financing)

      Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

2000, c. 9

CANADA ELECTIONS ACT

1. (1) Subsection 2(1) of the Canada Elections Act is amended by adding the following in alphabetical order:

``electoral district agent''
« agent de circonscriptio n »

``electoral district agent'' means a person appointed under subsection 403.09(1), and includes the financial agent of a registered association.

``electoral district association''
« association de circonscriptio n »

``electoral district association'' means an association of members of a political party in an electoral district.

``leadership campaign agent''
« agent de campagne à la direction »

``leadership campaign agent'' means a person appointed under subsection 435.08(1), and includes the financial agent of a leadership contestant.

``leadership campaign expense''
« dépense de campagne à la direction »

``leadership campaign expense'' means an expense reasonably incurred by or on behalf of a leadership contestant during a leadership contest as an incidence of the contest, including a personal expense as defined in section 435.03.

``leadership contest''
« course à la direction »

``leadership contest'' means a competition for the selection of the leader of a registered party.

``leadership contestant''
« candidat à la direction »

``leadership contestant'' means a person who has been registered in the registry of leadership contestants referred to in section 435.07 and who, or whose financial agent, has not yet complied with sections 435.3 to 435.47 in respect of that leadership contest.

``nomination campaign expense''
« dépense de campagne d'investi-
ture »

``nomination campaign expense'' means an expense reasonably incurred by or on behalf of a nomination contestant during a nomination contest as an incidence of the contest, including a personal expense as defined in section 478.01.

``nomination contest''
« course à l'investi-
ture »

``nomination contest'' means a competition for the selection of a person to be proposed to a registered party for its endorsement as its candidate in an electoral district.

``nomination contestant''
« candidat à l'investi-
ture »

``nomination contestant'' means a person named as a nomination contestant in a nomination contest report filed in accordance with paragraph 478.02(1)(c) who, or whose financial agent, has not yet complied with sections 478.23 to 478.42 in respect of that nomination contest.

``registered association''
« association enregistrée »

``registered association'' means an electoral district association registered in the registry of electoral district associations referred to in section 403.08.

(2) Section 2 of the Act is amended by adding the following after subsection (4):

Descriptive cross-refer-
ences

(5) If, in any provision of this Act, a reference to another provision of this Act or a provision of any other Act is followed by words in parentheses that are or purport to be descriptive of the subject-matter of the provision referred to, those words form no part of the provision in which they occur but are inserted for convenience of reference only.

2. Subsection 24(6) of the Act is replaced by the following:

No partisan conduct

(6) No returning officer shall, while in office, knowingly engage in politically partisan conduct and in particular shall not make a contribution to a candidate, a leadership contestant or a nomination contestant or belong to or make a contribution to, be an employee of or hold a position in, a registered party, an eligible party or a registered association.

3. Paragraph 84(b) of the Act is replaced by the following:

    (b) an election officer or a member of the staff of a returning officer;

    (b.1) an undischarged bankrupt;

4. (1) Paragraph 85(2)(a) of the Act is replaced by the following:

    (a) an election officer or a member of the staff of a returning officer;

(2) Subsection 85(2) of the Act is amended by striking out the word ``and'' at the end of paragraph (d) and by adding the following after paragraph (e):

    (f) electoral district agents of registered associations;

    (g) leadership contestants and their leadership campaign agents;

    (h) nomination contestants and their financial agents; and

    (i) financial agents of registered third parties.

5. (1) Subsection 340(1) of the Act is replaced by the following:

Reallocation in case of deregistration

340. (1) If a registered party to which broadcasting time has been allocated under this Part is subsequently deregistered, the Broadcasting Arbitrator, within two weeks after publication in the Canada Gazette of the notice of deregistration, shall convene the representatives of the remaining registered parties and eligible parties to which broadcasting time has been allocated for the purpose of reallocating that party's broadcasting time.

(2) Subsection 340(3) of the Act is replaced by the following:

Exception

(3) If the deregistration or cessation of eligibility referred to in subsection (1) or (2), respectively, occurs after the issue of the writs for a general election, the broadcasting time that was allocated to the deregistered party or to the party that has ceased to be eligible shall not be reallocated.

6. Section 363 of the Act is repealed.

7. The Act is amended by adding the following after section 368:

Preservation of name

368.1 In the period of 30 days after the deregistration of a political party,

    (a) no application for another political party to become a registered party may be accepted - and no report under section 382 shall be effective - that would permit another political party to use a name, short-form name, abbreviation or logo that would, in the Chief Electoral Officer's opinion, likely be confused with that of the deregistered party; and

    (b) if a new application is made for the registration of the deregistered party under the name, short-form name, abbreviation and logo that it had at the time of its deregistration, the Chief Electoral Officer may not refuse the application on the ground that it does not comply with paragraph 368(a).

8. Paragraph 372(a) of the Act is replaced by the following:

    (a) a statement, prepared in accordance with generally accepted accounting principles, of its assets and liabilities, including any surplus or deficit, as of the day before the effective date of the registration;

9. Subsection 375(2) of the Act is repealed.

10. Paragraph 376(2)(a) of the Act is replaced by the following:

    (a) an election officer or a member of the staff of a returning officer;

    (a.1) a candidate;

    (a.2) an undischarged bankrupt;

11. (1) Paragraph 377(2)(a) of the Act is replaced by the following:

    (a) an election officer or a member of the staff of a returning officer;

(2) Subsection 377(2) of the Act is amended by striking out the word ``and'' at the end of paragraph (d) and by adding the following after paragraph (e):

    (f) electoral district agents of registered associations;

    (g) leadership contestants and their leadership campaign agents;

    (h) nomination contestants and their financial agents; and

    (i) financial agents of registered third parties.

12. Section 382 of the Act is amended by adding the following after subsection (5):

Entry in registry of electoral district associations

(6) The Chief Electoral Officer shall enter any change in the information referred to in subsection (2) in the registry of electoral district associations.

13. Section 385 of the Act and the heading before it are replaced by the following:

Deregistration of Registered Parties

Deregistra-
tion - fewer than 50 candidates

385. (1) The Chief Electoral Officer shall, effective on the expiration in a general election of the period for the confirmation or refusal of nominations under subsection 71(1), deregister a registered party that, at that time, has not endorsed a candidate in at least 50 electoral districts.

Notice of deregistration

(2) The Chief Electoral Officer shall give notice of the deregistration under subsection (1) of a registered party, and of the resulting deregistration under section 389.2 of its registered associations, to the leader, the chief agent and any other officer of the party set out in the registry of parties as well as to the chief executive officers and financial agents of the associations.

14. (1) The portion of section 386 of the Act before paragraph (a) is replaced by the following:

Deregistra-
tion - failure to provide documents

386. The Chief Electoral Officer may deregister a registered party if the party fails to provide

(2) Section 386 of the Act is amended by striking out the word ``or'' at the end of paragraph (f) and by adding the following after paragraph (g):

    (h) a statement required by subsection 435.04(1) or (2); or

    (i) a report that it is required by subsection 478.02(1) to provide.

15. The portion of section 387 of the Act before paragraph (a) is replaced by the following:

Deregistra-
tion - failure to file return and auditor's report

387. The Chief Electoral Officer may deregister a registered party if its chief agent fails to provide the Chief Electoral Officer

16. Section 388 of the Act is replaced by the following:

Voluntary deregistration

388. On application, other than during the election period of a general election, by a registered party to become deregistered, signed by the leader and any two officers of the party, the Chief Electoral Officer may deregister the party.

17. Subsection 389(3) of the Act is replaced by the following:

Deregistra-
tion

(3) The Chief Electoral Officer may deregister a registered party if its leader, its chief agent or one of its officers fails to comply with a notice referred to in subsection (1), or amended notice under subsection (2).

18. The Act is amended by adding the following after section 389:

Notice of deregistration

389.1 (1) If the Chief Electoral Officer proposes to deregister a registered party under section 388 or subsection 389(3), the Chief Electoral Officer shall so notify the party and its registered associations.

Date of deregistration

(2) The notice under subsection (1) shall specify the effective date of the deregistration, which shall be at least 15 days after the date of the sending of the notice.

Proof of service of notice

(3) The notice under subsection (1) shall be sent by registered mail or by a method of courier service that provides proof of mailing, a record while in transit and a record of delivery.

Effect of deregistration of registered party

389.2 If a registered party is deregistered, its registered associations are also deregistered.

19. Sections 390 and 391 of the Act are replaced by the following:

Notice of deregistration

390. (1) The Chief Electoral Officer shall without delay cause a notice of the deregistration of a registered party and of its registered associations to be published in the Canada Gazette.

Entry of deregistration in registry of parties

(2) The Chief Electoral Officer shall indicate the deregistration of the party in the registry of parties.

Continuation of registered status for limited purpose

391. A political party that is deregistered continues to have the obligations of a registered party for the application of section 392.

20. The portion of section 392 of the Act before subparagraph (a)(ii) is replaced by the following:

Fiscal period and returns

392. The chief agent of a deregistered political party shall, within six months after the day of its deregistration, provide the Chief Electoral Officer with

    (a) the documents referred to in subsection 424(1) for

      (i) the portion of its current fiscal period ending on the day of its deregistration, and

21. Sections 393 to 399 of the Act are repealed.

22. Section 402 of the Act is amended by adding the following after subsection (2):

Effect of merger on registered associations

(3) On the merger of registered parties, any registered association of a merging party is deregistered and, despite paragraph 403.01(c), may transfer goods or funds to the merged party or a registered association of the merged party in the six months immediately after the merger. Any such transfer is not a contribution for the purposes of this Act.

23. The Act is amended by adding the following after section 403: