Bill C-9

Canada Deposit Insurance Corporation Act

2094. (1) The definition “share” in section 2 of the Canada Deposit Insurance Corporation Act is replaced by the following:

“share” includes

(a) a conversion or exchange privilege, issued by a member institution, that is convertible at any time into a share,

(b) an option or a right, issued by a member institution, to acquire a share or a privilege referred to in paragraph (a), and

(c) a membership share within the meaning of section 2 of the Bank Act;

(2) Section 2 of the Act is amended by adding the following in alphabetical order:

“federal credit union” has the same meaning as in section 2 of the Bank Act;

“local cooperative credit society” has the same meaning as in section 2 of the Bank Act;

“shareholder” includes the holder of a membership share of a federal credit union;

2095. Paragraph 5(1.1)(c) of the Act is replaced by the following:

(c) a director, officer or employee of a federal institution, a provincial institution or a local cooperative credit society.

2096. Paragraph 6(3)(c) of the Act is replaced by the following:

(c) is a director, officer or employee of a federal institution, a provincial institution or a local cooperative credit society.

2097. Paragraph 10.01(1)(a) of the Act is replaced by the following:

(a) sections 47.03, 47.04, 47.06, 47.09, 47.11, 47.15, 47.17, 47.18 and 60.1, subsection 79.2(1) and sections 372, 373, 374, 375, 376, 376.1, 376.2, 377, 377.1, 377.2 379, 382.1, 385, 401.11, 401.2 and 401.3 of the Bank Act;

2098. The Act is amended by adding the following after section 12:

12.1 (1) The following definitions apply in this section.

“continuation day”, in respect of a local cooperative credit society continued as a federal credit union, means the day set out in the federal credit union’s letters patent continuing the local cooperative credit society as a federal credit union.

“pre-existing deposit” means a deposit that was made with a local cooperative credit society before it is continued as a federal credit union and that remains outstanding on the continuation day.

“transition period”, in respect of a pre-existing deposit, means

(a) in the case of a pre-existing deposit that is to be repaid on a fixed day, the period that begins on the continuation day and ends on that fixed day; and

(b) in the case of any other pre-existing deposit, the period that begins on the continuation day and ends on the day that is 180 days after the continuation day.

(2) Despite paragraph 12(c) and subsection 3(1.1) of the schedule, but subject to the other provisions of this Act, if a pre-existing deposit is held by a federal credit union that is a member institution and all or a portion of the pre-existing deposit would have been guaranteed or insured under the law of a province if the local cooperative credit society had not been continued as a federal credit union, the Corporation shall insure the pre-existing deposit during the transition period up to the amount that would have been guaranteed or insured under the law of that province.

(3) Despite paragraph 2(2)(a) of the schedule, the Corporation shall insure a pre-existing deposit during the transition period if the deposit is held by a federal credit union that is a member institution and

(a) is repayable on a fixed day that is more than five years after the deposit was made with the local cooperative credit society that was continued as a federal credit union; and

(b) would have been guaranteed or insured under the law of a province if the local cooperative credit society had not been continued as a federal credit union.

(4) During the transition period, a pre-existing deposit, less any withdrawals from the pre-existing deposit, is deemed, for the purposes of deposit insurance with the Corporation, to be a deposit separate from any deposit made on or after the continuation day.

2099. Subsection 13(3) of the Act is replaced by the following:

(2.1) A deposit that is insured under subsection 12.1(2) is not to be taken into account when calculating the aggregate of a person’s deposits under subsection (2).

(3) For the purpose of deposit insurance with the Corporation, if a member institution assumes deposit liabilities of another member institution, those member institutions are deemed to be amalgamating institutions and subsections (1) to (2.1) apply if a person has deposits with both institutions.

2100. Section 39.13 of the Act is amended by adding the following after subsection (2):

(2.1) In addition to subsection (2), if an order made under paragraph (1)(a) is in respect of a federal credit union, the Corporation has the powers, rights and privileges it would have if it were a member of the federal credit union and the federal credit union is exempt from any requirement to have a minimum number of members for so long as the shares are vested in the Corporation.

2101. Section 39.14 of the Act is amended by adding the following after subsection (1):

(1.1) In addition to subsection (1), if an order made under paragraph 39.13(1)(a) or (b) is in respect of a federal credit union, the powers, rights and privileges of its members are suspended, but nothing in this subsection affects the powers, rights and privileges of the Corporation under subsection 39.13(2.1).

2102. Paragraph 39.19(1)(a) of the Act is replaced by the following:

(a) section 12.1, paragraph 28(1)(a.1), section 35.1, paragraphs 40(f) and (g), sections 40.1, 47.03, 47.04, 47.06, 47.11, 47.12, 47.15, 47.17 and 47.18, subsection 53(2), paragraph 54(1)(b), section 60.1, subsections 79.2(1) and (2) and sections 159.1, 372, 373, 374, 375, 376, 376.1, 376.2, 377, 377.1, 377.2, 379, 382.1, 385, 401.11, 401.2 and 401.3 of the Bank Act;

2103. The Act is amended by adding the following after section 39.19:

39.191 (1) Section 12.1, paragraph 28(1)(a.1), section 35.1, paragraphs 40(f) and (g), section 40.1, 47.11, 47.12, 47.15 and 47.18, subsection 53(2), paragraph 54(1)(b) and section 159.1 of the Bank Act do not apply if the Corporation is appointed as receiver of a federal member institution that is a federal credit union by an order made under paragraph 39.13(1)(b).

(2) Subsection (1) ceases to apply in respect of a federal member institution on the date specified in a notice described in subsection 39.2(3) in respect of the federal member institution.

2104. Section 45.2 of the Act is replaced by the following:

45.2 All information regarding the affairs of a federal institution, provincial institution or local cooperative credit society, or of any person dealing with it, that is obtained or produced by or for the Corporation is confidential and must be treated accordingly.

2105. The references after the heading “SCHEDULE” in the schedule to the Act is amended by adding a reference to subsections 12.1(2) and (3).

2106. (1) The definition “date of deposit” in section 1 of the schedule to the Act is replaced by the following:

“date of deposit” means, with respect to any moneys constituting a deposit, the day on which credit for the moneys is given to the account of the depositor or the day on which an instrument is issued for the moneys by the institution, as the case may be;

(2) Section 1 to the schedule of the Act is amended by adding the following in alphabetical order:

“patronage allocation” has the same meaning as in section 2 of the Bank Act;

2107. (1) The portion of subsection 2(1) of the schedule to the Act before paragraph (a) is replaced by the following:

2. (1) Subject to subsection (2), for the purposes of this Act and the by-laws of the Canada Deposit Insurance Corporation, “deposit” means the unpaid balance of the aggregate of moneys received or held by a federal institution, provincial institution or local cooperative credit society, from or on behalf of a person in the usual course of the deposit-taking business of the institution, for which the institution

(2) Paragraph 2(2)(b) of the schedule to the Act is replaced by the following:

(b) moneys held by the institution that were received by it when it was not a federal institution, a provincial institution or a local cooperative credit society.

(3) Section 2 of the schedule to the Act is amended by adding the following after subsection (6):

(7) A patronage allocation does not constitute a deposit.

Income Tax Act

2108. Clauses (ii)(A) and (B) in the description of C in paragraph 61.3(1)(b) of the Income Tax Act are replaced by the following:

(A) where the corporation is not an insurance corporation, a federal credit union or a bank to which clause (B) or (C) applies and the balance sheet as of the end of the year was presented to the shareholders of the corporation and was prepared in accordance with generally accepted accounting principles, be considered to be the total liabilities shown on the balance sheet,

(B) where the corporation is a bank, a federal credit union or an insurance corporation that is required to report to the Superintendent of Financial Institutions and the balance sheet as of the end of the year was accepted by the Superintendent, be considered to be the total liabilities shown on that balance sheet,

2109. (1) The definition “bank” in subsection 248(1) of the Act is replaced by the following:

“bank” means a bank within the meaning assigned by section 2 of the Bank Act (other than a federal credit union) or an authorized foreign bank;

(2) Subsection 248(1) of the Act is amended by adding the following in alphabetical order:

“federal credit union” has the meaning assigned by section 2 of the Bank Act;

Related Amendments

Bank of Canada Act

2110. Section 6 of the Bank of Canada Act is amended by adding the following after subsection (4):

(5) Neither the Governor nor the Deputy Governor shall

(a) directly or indirectly hold any interest or right in membership shares of a federal credit union, within the meaning of section 2 of the Bank Act, in excess of the minimum number of membership shares of the federal credit union that is required for membership; or

(b) exercise any right he or she has as a member of such a federal credit union, except any right that he or she has as a customer of the federal credit union.

2111. Section 10 of the Act is amended by adding the following after subsection (3):

(3.1) If a federal credit union is an institution referred to in any of paragraph (2)(a) to (e), any person who, at the time of being appointed director of the Bank, directly or indirectly holds any interest or right in more than the minimum number of membership shares of the federal credit union, within the meaning of section 2 of the Bank Act, that is required for membership shall, within three months after the appointment, dispose of all membership shares that exceed that minimum number.

(3.2) If a federal credit union is an institution referred to in any of paragraph (2)(a) to (e), no director of the Bank who is a member of a federal credit union, within the meaning of section 2 of the Bank Act, shall exercise any right that the director has as a member of the federal credit union, except any right that the director has as a customer of the federal credit union.

2112. Paragraph 23(b) of the Act is replaced by the following:

(b) purchase, or make loans on the security of, its own shares or the shares or membership shares of any bank, except the Bank for International Settlements;

Canada Cooperatives Act

2113. Section 285 of the Canada Cooperatives Act is amended by adding the following after subsection (11):

(11.1) If a federal credit union, within the meaning of section 2 of the Bank Act, is continued as a cooperative under this Act,

(a) its membership shares are deemed to be membership shares to which are attached the rights, privileges and restrictions set out in this Act and the articles;

(b) the members of the federal credit union are deemed to be the members of the cooperative; and

(c) any agreement made before continuance under which the members of the federal credit union have agreed to vote in a manner provided in the agreement is of no effect.

Cooperative Credit Associations Act

2114. Section 2 of the Cooperative Credit Associations Act is amended by adding the following in alphabetical order:

“federal credit union” has the same meaning as in section 2 of the Bank Act;

2115. (1) The portion of subsection 31.6(2) of the Act before paragraph (a) is replaced by the following:

(2) When a body corporate other than a federal credit union is continued as an association,

(2) Section 31.6 of the Act is amended by adding the following after subsection (2):

(3) When a federal credit union is continued as an association,

(a) its membership shares are deemed to be membership shares of the association to which are attached the rights, privileges and restrictions set out in this Act;

(b) the members of the federal credit union are deemed to be the members of the association; and

(c) any agreement made before continuance under which the members of the federal credit union have agreed to vote in a manner provided in the agreement is of no effect.

Financial Consumer Agency of Canada Act

2116. Section 14 of Financial Consumer Agency of Canada Act is renumbered as subsection (1) and is amended by adding the following:

(2) No Commissioner, person appointed under subsection 4(4) or Deputy Commissioner shall

(a) directly or indirectly hold any interest or right in membership shares of a federal credit union, within the meaning of section 2 of the Bank Act, in excess of the minimum number of membership shares of the federal credit union that is required for membership; or

(b) exercise any right he or she has as a member of such a federal credit union, except any right that he or she has as a customer of the federal credit union.

Insurance Companies Act

2117. Subsection 2(1) of the Insurance Companies Act is amended by adding the following in alphabetical order:

“federal credit union” has the same meaning as in section 2 of the Bank Act;

2118. Subsection 32(1) of the Act is replaced by the following:

32. (1) A body corporate incorporated under the Canada Business Corporations Act or any other Act of Parliament, including an insurance holding company but not including a federal credit union, may apply to the Minister for letters patent continuing the body corporate as a company under this Act.

2119. Subsections 245(1) and (2) of the Act are replaced by the following:

245. (1) On the joint application of two or more bodies corporate, incorporated by or under an Act of Parliament, including companies and insurance holding companies but not including federal credit unions, the Minister may issue letters patent amalgamating and continuing the applicants as one mutual company.

(2) On the joint application of two or more bodies corporate incorporated by or under an Act of Parliament, including companies — other than mutual companies — and insurance holding companies but not including federal credit unions, the Minister may issue letters patent amalgamating and continuing the applicants as one company.

2120. Subsection 719(1) of the Act is replaced by the following:

719. (1) A body corporate incorporated under the Canada Business Corporations Act or any other Act of Parliament, including a company but not including a federal credit union, may apply to the Minister for letters patent continuing the body corporate as an insurance holding company under this Part.

2121. Section 857 of the Act is replaced by the following:

857. On the joint application of two or more bodies corporate incorporated by or under an Act of Parliament, including a company or an insurance holding company but not including a mutual company or a federal credit union, the Minister may issue letters patent amalgamating and continuing the applicants as one insurance holding company.

Office of the Superintendent of Financial Institutions Act

2122. Section 19 of the Office of the Superintendent of Financial Institutions Act is renumbered as subsection 19(1) and is amended by adding the following:

(2) No member of the committee referred to in section 18, person appointed under subsection 5(5) or Deputy Superintendent shall

(a) directly or indirectly hold any interest or right in membership shares of a federal credit union, within the meaning of section 2 of the Bank Act, in excess of the minimum number of membership shares of the federal credit union that is required for membership; or

(b) exercise any right he or she has as a member of such a federal credit union, except any right that he or she has as a customer of the federal credit union.

Trust and Loan Companies Act

2123. Section 2 of the Trust and Loan Companies Act is amended by adding the following in alphabetical order:

“federal credit union” has the same meaning as in section 2 of the Bank Act;

2124. Subsection 31(1) of the Act is replaced by the following:

31. (1) A body corporate incorporated under the Canada Business Corporations Act or any other Act of Parliament, other than a federal credit union, may apply to the Minister for letters patent continuing the body corporate as a company under this Act.

2125. Paragraphs 228(b) and (c) of the Act are replaced by the following:

(b) one or more companies and one or more bodies corporate that are incorporated by or under an Act of Parliament, other than a federal credit union, or

(c) two or more bodies corporate incorporated by or under an Act of Parliament, other than a federal credit union,

Winding-up and Restructuring Act

2126. Subsection 2(1) of the Winding-up and Restructuring Act is amended by adding the following in alphabetical order:

“federal credit union” has the same meaning as in section 2 of the Bank Act;

2127. The portion of paragraph 3(i) of the Act before subparagraph (i) is replaced by the following:

(i) if, in the case of a company that is a federal member institution, within the meaning assigned to that expression by the Canada Deposit Insurance Corporation Act, the shares and subordinated debt of which — and, if the federal member institution is a federal credit union, the membership shares of which — have been vested in the Canada Deposit Insurance Corporation by order of the Governor in Council under paragraph 39.13(1)(a) of the Canada Deposit Insurance Corporation Act, a transaction or series of transactions referred to in subsection 39.2(1) of that Act is not, in the opinion of the Corporation, substantially completed on or before the date that is not later than

2128. Paragraph 6(1)(b) of the Act is replaced by the following:

(b) is in liquidation or in the process of being wound up and, on petition by any of its shareholders or creditors, assignees or liquidators — or , if it is a federal credit union, by any of its members, shareholders, creditors, assignees or liquidators — asks to be brought under this Act; or

2129. Paragraph 10(b) of the Act is replaced by the following:

(b) if the company at a special meeting of shareholders — or, if the company is a federal credit union, at a special meeting of members or shareholders — called for the purpose has passed a resolution requiring the company to be wound up;

2130. Paragraph 11(a) of the Act is replaced by the following:

(a) in the cases mentioned in paragraphs 10(a) and (b), be made by the company or by a shareholder of the company, or, if the company is a federal credit union, by a member or shareholder of the company;

2131. Section 16 of the Act is replaced by the following:

16. On receiving the report of the accountant or person ordered to inquire into the affairs of the company under section 14, and after hearing such shareholders or creditors of the company, or, if the company is a federal credit union, such of its members, shareholders or creditors, as desire to be heard in respect of the report, the court may either refuse the application or make the winding-up order.

2132. Section 20 of the Act is replaced by the following:

20. All transfers of shares of a company referred to in section 19 — or, if the company referred to in that section is a federal credit union, all transfers of membership shares or shares — except transfers made to or with the sanction of the liquidator, under the authority of the court, and every alteration in the status of the members of the company, after the commencement of the winding-up, are void.

2133. (1) Subsection 102.1(1) of the Act is replaced by the following:

102.1 (1) If a company that is being wound up under this Act has, within 12 months preceding the commencement of the winding-up, paid a dividend in respect of any share of the company, other than a stock dividend, — or, in the case of a federal credit union, paid a dividend in respect of a share or membership share, other than a share or membership share dividend — or redeemed or purchased for cancellation any of the shares of the capital stock of the company — or any of the shares or the membership shares of the company, if it is a federal credit union — the court may, on the application of the liquidator, inquire into whether the dividend was paid or the shares or membership shares redeemed or purchased for cancellation at a time when the company was insolvent, or whether the payment of the dividend or the redemption or purchase for cancellation of its shares or membership shares rendered the company insolvent.

(2) Subsections 102.1(4) to (7) of the Act is replaced by the following:

(4) If a transaction referred to in subsection (1) has occurred and the court makes a finding referred to in paragraph (2)(a), the court may give judgment to the liquidator against a shareholder, or a member of a federal credit union, who is related to one or more directors or to the company or who is a director not liable by reason of paragraph (2)(b) or subsection (5), in the amount of the dividend or redemption or purchase price referred to in subsection (1) and the interest on it, as was received by the shareholder or member and not repaid to the company.

(5) A judgment under subsection (2) may not be entered against or be binding on a director who had, in accordance with any applicable law governing the operation of the company, protested against the payment of the dividend or the redemption or purchase for cancellation of the shares of the capital stock of the company or of the shares or membership shares of the federal credit union and had exonerated himself or herself under that law from any liability for it.

(6) Nothing in this section is to be construed to affect any right, under any applicable law governing the operation of the company, of the directors to recover from a shareholder, or from a member of a federal credit union, the whole or any part of any dividend, or any redemption or purchase price, made or paid to the shareholder or member when the company was insolvent or that rendered the company insolvent.

(7) For the purposes of an inquiry under this section, the onus of proving

(a) that the company was not insolvent lies on the directors and the shareholders of the company or, if the company is a federal credit union, on the directors, members and shareholders of the company; and

(b) that there were reasonable grounds to believe any of the following lies on the directors:

(i) that the company was not insolvent when a dividend was paid or shares, or membership shares of a federal credit union, were redeemed or purchased for cancellation, or

(ii) that the payment of a dividend or a redemption of shares, or membership shares of a federal credit union, did not render the company insolvent.

(8) In this section, “dividend” includes a patronage allocation within the meaning of section 2 of the Bank Act.

2134. Subsection 133(1) of the Act is replaced by the following:

133. (1) A court, if satisfied that, with respect to the whole or any portion of the proceedings before it, the interests of creditors, claimants or shareholders — or, in the case of a federal credit union, members, creditors, claimants or shareholders — can be classified, may, after notice by advertisement or otherwise, nominate and appoint a solicitor and counsel to represent each or any class for the purpose of the proceedings, and all the persons composing any such class are bound by the acts of the solicitor and counsel so appointed.

Coordinating Amendments

2135. (1) In this section, “other Act” means An Act to amend certain Acts in relation to financial institutions, chapter 54 of the Statutes of Canada, 2005.

(2) If section 69 of the other Act comes into force before subsection 2018(3) of this Act, then that subsection 2018(3) is repealed.

(3) If section 69 of the other Act comes into force on the same day as subsection 2018(3) of this Act, then that subsection 2018(3) is deemed to have come into force before that section 69.

(4) On the first day on which both section 71 of the other Act and section 2020 of this Act are in force, subsection 311(1) of the Bank Act is replaced by the following:

311. (1) A bank must, not later than 21 days before the date of each annual meeting or before the signing of a resolution under paragraph 152(1)(b) in lieu of the annual meeting, send to each shareholder or, in the case of a federal credit union, to each member and shareholder, if any, a copy of the documents referred to in subsections 308(1) and (3), unless that time period is waived by the shareholder or member, as the case may be.

Coming into Force

2136. The provisions of this Part come into force on a day or days to be fixed by order of the Governor in Council.

PART 18

ATOMIC ENERGY OF CANADA LIMITED

Reorganization and Divestiture

2137. (1) The following definitions apply in this Part.

“AECL” means Atomic Energy of Canada Limited.

“assets” includes

(a) in relation to an entity, the securities of another entity held by, on behalf of or in trust for the entity; and

(b) intangible property.

“Minister” means the Minister of Natural Resources.

“security” means

(a) in relation to a corporation, a share of any class or series of shares or a debt obligation of the corporation, and includes any conversion or exchange privilege, option or other right to acquire a share or debt obligation of the corporation; and

(b) in relation to any other entity, any ownership interest in or debt obligation of the entity and includes any conversion or exchange privilege, option or other right to acquire an ownership interest or debt obligation of the entity.

(2) In this Part “corporation”, “share” and “wholly-owned subsidiary” have the same meaning as in subsection 83(1) of the Financial Administration Act.

(3) Unless a contrary intention appears, words and expressions used in this Part have the same meaning as in the Canada Business Corporations Act.

(4) In the event of any inconsistency between this Part and the Canada Business Corporations Act or anything issued, made or established under that Act, this Part prevails to the extent of the inconsistency.

(5) Nothing in, or done under the authority of, this Part affects the operation of the Competition Act in respect of the acquisition of any interest in an entity.

2138. The purpose of this Part is to authorize a number of measures for the reorganization and divestiture of all or any part of AECL’s business.

2139. (1) The Minister may, with the approval of the Governor in Council and on any terms that the Governor in Council considers appropriate,

(a) despite section 11 of the Nuclear Energy Act, sell or otherwise dispose of some or all of the securities of AECL;

(b) procure an addition to, or other material change in, the objects or purposes for which AECL is incorporated or the restrictions on the businesses or activities that it may carry on, as set out in its articles;

(c) procure the amalgamation of AECL; or

(d) procure the dissolution of AECL.

(2) The Minister may do anything or cause anything to be done that is necessary for, or incidental to, a measure approved under subsection (1).

2140. (1) The Minister may, with the approval of the Governor in Council and on any terms that the Governor in Council considers appropriate,

(a) procure the incorporation of a corporation, securities of which, on incorporation, would be held by, on behalf of or in trust for, Her Majesty in right of Canada and sell or otherwise dispose of some or all of the securities of the corporation;

(b) procure the formation of any other entity, securities of which, on formation, would be held by, on behalf of or in trust for, Her Majesty in right of Canada and sell or otherwise dispose of some or all of the securities of the entity;

(c) acquire securities of a corporation that, on acquisition, would be held by, on behalf of or in trust for, Her Majesty in right of Canada and sell or otherwise dispose of some or all of the securities of the corporation; and

(d) acquire securities of any other entity that, on acquisition, would be held by, on behalf of or in trust for, Her Majesty in right of Canada and sell or otherwise dispose of some or all of the securities of the entity.

(2) The Minister may do anything or cause anything to be done that is necessary for, or incidental to, a measure approved under subsection (1).

(3) The Governor in Council may, by order, declare that any of the provisions of Part X of the Financial Administration Act do not apply to a corporation referred to in subsection (1)(a).

2141. (1) AECL, a corporation referred to in paragraph 2140(1)(a), any other entity referred to in paragraph 2140(1)(b) or any one of their wholly-owned subsidiaries or wholly-owned entities may, with the approval of the Governor in Council and on any terms that the Governor in Council considers appropriate,

(a) sell or otherwise dispose of some or all of its assets;

(b) sell or otherwise dispose of some or all of its liabilities;

(c) issue securities and sell or otherwise dispose of some or all of those securities;

(d) reorganize its capital structure;

(e) acquire assets of a corporation or any other entity;

(f) procure an addition to, or other material change in, the objects or purposes for which it is incorporated or formed or the restrictions on the businesses or activities that it may carry on, as set out in its articles or constituting documents;

(g) procure the incorporation of a corporation, securities of which, on incorporation, would be held by, on behalf of or in trust for, the entity that procures the incorporation;

(h) procure the formation of any other entity, securities of which, on formation, would be held by, on behalf of or in trust for, the entity that procures the formation;

(i) acquire securities of a corporation or any other entity that, on acquisition, would be held by, on behalf of or in trust for, the entity that acquires the securities;

(j) sell or otherwise dispose of some or all of the securities of a corporation or any other entity that are held by, on behalf of or in trust for, the entity that sells or otherwise disposes of the securities;

(k) procure its amalgamation or the amalgamation of any of its wholly-owned subsidiaries;

(l) procure its dissolution or the dissolution of any of its wholly-owned subsidiaries; or

(m) do anything that is necessary for, or incidental to, a measure approved under paragraphs (a) to (l).

(2) The Governor in Council may, on the recommendation of the Minister and on any terms that the Governor in Council considers appropriate, direct AECL, a corporation referred to in paragraph 2140(1)(a) or any other entity referred to in paragraph 2140(1)(b) to take, or cause any of its wholly-owned subsidiaries or wholly-owned entities to take, a measure referred to in subsection (1).

(3) The Governor in Council may not issue a directive to AECL, a corporation referred to in paragraph 2140(1)(a) or any other entity referred to in paragraph 2140(1)(b)

(a) after any of its securities are sold or otherwise disposed of; or

(b) with respect to any of its wholly-owned subsidiaries or wholly-owned entities, after the wholly-owned subsidiaries or wholly-owned entities’ securities are sold or otherwise disposed of.

(4) The directors of AECL or of the corporation, or persons acting in a similar capacity with respect to the entity, must comply with a directive issued by the Governor in Council. That compliance is in the best interests of AECL, the corporation or the entity, as the case may be, to whom the directive is issued.

(5) As soon as is feasible after implementing a directive and completing any actions that are required to be taken in connection with that implementation, AECL, the corporation or the entity must notify the Minister that it has done so.

2142. The Statutory Instruments Act does not apply to a directive.

2143. (1) The Minister is to cause a copy of a directive to be laid before each House of Parliament on any of the first 15 days on which that House is sitting after the day on which the directive is issued.

(2) However, if the Minister is of the opinion that publishing information contained in the directive would be detrimental to Canada’s interests or the commercial interests of AECL or the corporation or other entity to whom the directive is issued, as the case may be, the Minister is to cause a copy of the directive to be laid before each House of Parliament on any of the first 15 days on which that House is sitting after the day on which he or she is notified that the directive has been implemented.

(3) The Minister must consult the board of directors of AECL or the corporation, or the person or group of persons acting in a similar capacity for the entity, before forming an opinion whether publishing information contained in the directive would be detrimental.

2144. AECL or a corporation or other entity referred to in subsection 2141(1) must pay the proceeds from the sale or other disposition of any assets, securities or liabilities under that subsection to the Receiver General.

2145. Sections 89, 90 and 91 and subsection 99(2) of the Financial Administration Act do not apply to any measure referred to in sections 2139 to 2141.

2146. On the requisition of the Minister and with the concurrence of the Minister of Finance, there may be paid out of the Consolidated Revenue Fund any amount that is required to carry out a measure referred to in sections 2139 to 2141.

Nuclear Energy Act

2147. Subsection 11(2) of the Nuclear Energy Act is replaced by the following:

(2) A company that is a Crown corporation within the meaning of subsection 83(1) of the Financial Administration Act is for all its purposes an agent of Her Majesty in right of Canada.

Coming into Force

2148. The provisions of this Part come into force on a day or days to be fixed by order of the Governor in Council.

PART 19

PARTICIPANT FUNDING PROGRAMS

National Energy Board Act

2149. The National Energy Board Act is amended by adding the following after section 16.2:

16.3 For the purposes of this Act, the Board may establish a participant funding program to facilitate the participation of the public in hearings that are held under section 24.

Nuclear Safety and Control Act

2150. (1) Subsection 21(1) of the Nuclear Safety and Control Act is amended by adding the following after paragraph (b):

(b.1) establish and maintain a participant funding program to facilitate the participation of the public in proceedings under this Act;

(2) Paragraph 21(1)(g) of the Act is replaced by the following:

(g) charge any fees that may be prescribed for any information, product or service that it provides under this Act or for the participant funding program that it establishes and maintains under this Act;

2151. (1) Paragraph 44(1)(i) of the Act is replaced by the following:

(i) prescribing the fees that may be charged for the provision, by the Commission, of information, products and services or for the participant funding program that it establishes and maintains;

(2) Subsection 44(2) of the Act is replaced by the following:

(2) The fees referred to in paragraph (1)(i) may not exceed a reasonable estimate of the cost of providing the information, product or service or of the costs of the participant funding program.

PART 20

ENVIRONMENTAL ASSESSMENT

Canadian Environmental Assessment Act

Amendments to the Act

2152. The definitions “comprehensive study” and “comprehensive study list” in subsection 2(1) of the Canadian Environmental Assessment Act are replaced by the following:

“comprehensive study” means an environmental assessment that is conducted under section 21, and that includes a consideration of the factors required to be considered under subsections 16(1) and (2);

“comprehensive study list” means a list of all projects or classes of projects that have been prescribed by regulations made under paragraph 58(1)(i);

2153. The Act is amended by adding the following after section 7:

7.1 (1) The following definitions apply in this section and in the schedule.

“building” means a roofed physical work.

“environmentally sensitive area” means an area protected for environmental reasons in regional or local land use plans, or by a local, regional, provincial or federal government body.

“expansion” means an increase in the exterior dimensions or the production capacity of a physical work.

“historic canal” has the same meaning as in section 2 of the Historic Canals Regulations and includes any federal lands appertaining or incident to a historic canal.

“intelligent transportation system” means a system that uses technologies to improve the efficiency, safety and reliability of a transportation network.

“modification” means an alteration to a physical work that does not alter the purpose or function of the work. It does not include an expansion or a relocation.

“national historic site” means a place that is marked or otherwise commemorated under paragraph 3(a) of the Historic Sites and Monuments Act and is under the administration of the Parks Canada Agency.

“national park” means a park named and described in Schedule 1 to the Canada National Parks Act, or a park established under a federal-provincial agreement that is under the responsibility of the Minister.

“park reserve” means a national park reserve of Canada named and described in Schedule 2 to the Canada National Parks Act or a reserve established under a federal-provincial agreement that is under the responsibility of the Minister.

“water body” includes a lake, a canal, a reservoir, an ocean, a river and its tributaries and a wetland, up to the annual high-water mark, but does not include a sewage or waste treatment lagoon, a mine tailings pond, an artificial irrigation pond, a dugout or a ditch that does not contain fish habitat as defined in subsection 34(1) of the Fisheries Act.

(2) An environmental assessment is not required under section 5 or sections 8 to 10.1 for the projects and classes of projects that are set out in the schedule and that are to be carried out in places other than a national park, park reserve, national historic site or historic canal and that are funded under any of the following plans, funds or initiatives:

(a) the plan referred to in Building Canada: Modern Infrastructure for a Strong Canada published under ISBN 978-0-662-05130-5;

(b) the Canada Strategic Infrastructure Fund Act;

(c) the funds referred to in sections 300 and 303 of the Budget Implementation Act, 2009 or the initiatives referred to in sections 309 to 315 of that Act;

(d) the Recreational Infrastructure Canada, Helping Municipalities Build Stronger Communities or Investments in First Nations Infrastructure initiatives announced in Chapter 3 of Canada’s Economic Action Plan (Budget 2009) tabled in the House of Commons on January 27, 2009 and published under ISBN 978-0-660-19853-8;

(e) the Border Infrastructure Fund referred to in the Infrastructure Canada Departmental Performance Report for the 2007–2008 period tabled in the House of Commons on February 5, 2009 and published under ISBN 978-0-660-63741-9;

(f) the initiative administered by the Canada Mortgage and Housing Corporation to provide funding for the renovation and energy retrofits of off-reserve federally funded and administered social housing units that are subject to an operating agreement under a National Housing Act social housing program; or

(g) the Municipal Rural Infrastructure Fund announced in Budget 2003 and administered by Infrastructure Canada to provide funding for smaller-scale municipal infrastructure projects that support sustainable development, improved quality of life and economic opportunities and increased connectivity for smaller and rural communities.

(3) The Minister may decide that subsection (2) does not apply in respect of a project that is referred to in that subsection if the Minister is of the opinion that it may cause significant adverse environmental effects.

(4) If the Minister decides that subsection (2) does not apply in respect of a project, the Minister shall, without delay, provide notice of the decision to the proponent of the project and any federal authority that is likely to exercise a power or perform a duty or function referred to in section 5 in respect of the project.

2154. The Act is amended by adding the following after section 11:

11.01 (1) Despite any other provision of this Act, if the Agency considers that a project for which it has received information is described in the comprehensive study list and that an environmental assessment of the project might be required and, if the Canadian Nuclear Safety Commission established under section 8 of the Nuclear Safety and Control Act or the National Energy Board established under section 3 of the National Energy Board Act is not one of the responsible authorities in relation to the project, the Agency shall commence a comprehensive study of the project and exercise the powers and perform the duties and functions of the responsible authority in relation to the project under this Act until the Minister is provided with the comprehensive study report as required by section 21.3.

(2) When the Agency commences a comprehensive study of a project, it shall, without delay, send a notice to any responsible authority in relation to that project.

(3) When, in relation to a project, the Agency exercises the powers and performs the duties and functions of the responsible authority under subsection (1), it is also required to exercise the powers and perform the duties and functions of the responsible authority under subsection 79(1) of the Species at Risk Act and, with respect to identifying the adverse effects of the project on a listed wildlife species and its critical habitat, is required to exercise the powers and perform the duties and functions of the responsible authority under subsection 79(2) of that Act.

(4) Any federal authority that receives information from a proponent in relation to a project for which, in the federal authority’s opinion, a comprehensive study might be required, shall forward, without delay, that information to the Agency.

2155. The Act is amended by adding the following after section 15:

15.1 (1) Despite section 15, the Minister may, if the conditions that the Minister establishes are met, determine that the scope of the project in relation to which an environmental assessment is to be conducted is limited to one or more components of that project.

(2) The conditions referred to in subsection (1) must be made available to the public.

(3) The Minister may, in writing and subject to any conditions that the Minister may specify, delegate to a responsible authority in relation to a project the power conferred on the Minister by subsection (1) in respect of that project.

(4) The delegation may be in respect of a project or a class of projects.

2156. Sections 21 to 21.2 of the Act are replaced by the following:

21. If a project is described in the comprehensive study list, the responsible authority shall ensure that

(a) a comprehensive study of the project is conducted; and

(b) a comprehensive study report is prepared.

21.1 (1) Within 10 days after the inclusion on the Internet site of a notice of commencement of the comprehensive study, the responsible authority shall give a notice, in any manner that it considers appropriate, providing the public with an opportunity to comment on the project and the conduct of the comprehensive study.

(2) The notice must include the deadline and address for filing comments.

21.2 The responsible authority shall ensure that the public is provided with an opportunity, in addition to the ones provided under subsection 21.1(1) and section 22, to participate in the comprehensive study, subject to a determination that is made by the federal environmental assessment coordinator under paragraph 12.3(c) regarding the timing of the participation.

21.3 The responsible authority shall ensure that the Minister and the Agency are provided with the comprehensive study report.

2157. (1) Paragraph 23(3)(a) of the Act is replaced by the following:

(a) notice of the commencement of the comprehensive study;

(2) Paragraph 23(3)(c) of the Act is replaced by the following:

(c) a description of the factors to be taken into consideration in the environmental assessment and of the scope of those factors or an indication of how such a description may be obtained; and

2158. Section 26 of the Act is renumbered as subsection 26(1) and is amended by adding the following:

(2) When it conducts a comprehensive study of a project, the Agency may, at any time, terminate the comprehensive study if all federal authorities decide not to exercise any power or perform any duty or function referred to in section 5 in relation to that project.

2159. (1) Paragraph 55.1(2)(c) of the Act is replaced by the following:

(c) a description of the scope of the project in relation to which an environmental assessment is to be conducted, as determined under section 15 or 15.1;

(2) Paragraphs 55.1(2)(i) and (j) of the Act are replaced by the following:

(j) if the responsible authority, in accordance with subsection 18(3), gives the public an opportunity to participate in the screening of a project or when a comprehensive study is conducted, a description of the factors to be taken into consideration in the environmental assessment and of the scope of those factors or an indication of how such a description may be obtained;

2160. Subsection 55.2(1) of the Act is replaced by the following:

55.2 (1) The Agency shall ensure that the records referred to in paragraphs 55.1(2)(b), (e) and (l) are included in the Internet site.

2161. The Act is amended by adding, after section 82, the schedule set out in Schedule 3 to this Act.

Transitional Provisions

2162. Any comprehensive study of a project commenced under the Canadian Environmental Assessment Act before the day on which this section comes into force must be continued and completed as if this Act had not come into force if, before that day, the Minister referred the project to the responsible authority to continue the comprehensive study.

2163. With respect to a comprehensive study of a project commenced under the Canadian Environmental Assessment Act before the day on which this section comes into force and in relation to which section 2162 does not apply, the period referred to in section 21.1 of that Act, as enacted by section 2156, is deemed to commence on that day.

Exclusion List Regulations, 2007

2164. The definitions “Building Canada Plan”, “environmentally sensitive area” and “intelligent transportation system” in subsection 1(1) of the Exclusion List Regulations, 2007 are repealed.

2165. Section 5 of the Regulations is repealed.

2166. Schedule 4 to the Regulations is repealed.

Regulations Amending the Exclusion List Regulations, 2007

2167. Section 2 of the Regulations Amending the Exclusion List Regulations, 2007 is repealed.

2168. Section 4 of the Regulations is repealed.

2169. Section 6 of the Regulations is repealed.

2170. Subsection 7(2) of the Regulations is repealed.

Infrastructure Projects Environmental Assessment Adaptation Regulations

2171. The Infrastructure Projects Environmental Assessment Adaptation Regulations are repealed.

PART 21

CANADA LABOUR CODE

Amendments to the Act

2172. The definition “appeals officer” in subsection 122(1) of the Canada Labour Code is replaced by the following:

“appeals officer” means a person who is appointed as an appeals officer under section 145.1;

2173. Subsection 129(7) of the Act is replaced by the following:

(7) If a health and safety officer decides that the danger does not exist, the employee is not entitled under section 128 or this section to continue to refuse to use or operate the machine or thing, work in that place or perform that activity, but the employee, or a person designated by the employee for the purpose, may appeal the decision by filing a notice of appeal with the Minister within 10 days after the day on which the employee receives notice of the decision.

2174. Subsection 145.1(1) of the Act is replaced by the following:

145.1 (1) On receipt of a notice of appeal, the Minister shall appoint as an appeals officer to inquire into and make a decision on the appeal any person who is qualified to perform the duties of such an officer.

2175. Subsection 146(1) of the Act is replaced by the following:

146. (1) An employer, employee or trade union that feels aggrieved by a direction issued by a health and safety officer under this Part may appeal the direction by filing a notice of appeal with the Minister within 30 days after the day on which the direction is issued or confirmed in writing.

2176. (1) The portion of subsection 146.1(1) of the Act before paragraph (a) is replaced by the following:

146.1 (1) If an appeal is brought under subsection 129(7) or section 146, the appeals officer shall, in a summary way and without delay, inquire into the circumstances of the decision or direction, as the case may be, and may

(2) Subsection 146.1(2) of the Act is replaced by the following:

(2) The appeals officer shall provide a written decision, with reasons, and a copy of any direction to the employer, employee or trade union concerned within 90 days after completing their inquiry under subsection (1). The employer shall, without delay, give a copy of it to the work place committee or health and safety representative.

2177. (1) The portion of section 146.2 of the Act before paragraph (a) is replaced by the following:

146.2 (1) For the purposes of a proceeding under subsection 146.1(1), an appeals officer may, subject to any regulations made under subsection (2),

(2) Section 146.2 of the Act is amended by adding the following after subsection (1):

(2) The Governor in Council may make regulations, for the purpose of proceedings under subsection 146.1(1), respecting

(a) the rules of practice and procedure to be followed, and the duration of the proceedings;

(b) the setting of limits on the exercise of the powers of appeals officers under subsection (1); and

(c) any matter related to the efficient and effective operation of the proceedings.

Transitional Provision

2178. Any appeals officer, as defined in subsection 122(1) of the Canada Labour Code, who is seized of an appeal under that Act immediately before the day on which section 2174 comes into force is deemed, on that day, to have been appointed as an appeals officer under subsection 145.1(1) of that Act, as enacted by section 2174, solely for the purpose of performing their duties under section 146.1 of that Act in respect of the appeal.

Coming into Force

2179. Sections 2172 to 2177 come into force on a day or days to be fixed by order of the Governor in Council.

PART 22

PAYMENTS TO CERTAIN ENTITIES

Canadian Youth Business Foundation

2180. There may be paid out of the Consolidated Revenue Fund, on the requisition of the Minister of Industry, a sum not exceeding ten million dollars to the Canadian Youth Business Foundation for its use

Genome Canada

2181. There may be paid out of the Consolidated Revenue Fund, on the requisition of the Minister of Industry, a sum not exceeding seventy-five million dollars to Genome Canada for its use.

Pathways to Education Canada

2182. There may be paid out of the Consolidated Revenue Fund, on the requisition of the Minister of Human Resources and Skills Development, a sum not exceeding twenty million dollars to Pathways to Education Canada for its use.

Rick Hansen Foundation

2183. There may be paid out of the Consolidated Revenue Fund, on the requisition of the Minister of Western Economic Diversification, a sum not exceeding thirteen million, five hundred thousand dollars to the Rick Hansen Foundation for its use.

PART 23

TELECOMMUNICATIONS ACT

2184. (1) Subsection 16(1) of the Telecommunications Act is replaced by the following:

16. (1) A Canadian carrier is eligible to operate as a telecommunications common carrier if

(a) it is a Canadian-owned and controlled corporation incorporated or continued under the laws of Canada or a province; or

(b) it owns or operates only a transmission facility that is referred to in subsection (5).

(2) Subsection 16(5) of the Act is replaced by the following:

(5) Paragraph (1)(a) and subsections (2) and (4) do not apply in respect of the ownership or operation of

(a) international submarine cables;

(b) earth stations that provide telecommunications services by means of satellites; or

(c) satellites.

PART 24

EMPLOYMENT INSURANCE FINANCING

Employment Insurance Act

Amendments to the Act

2185. The Employment Insurance Act is amended by adding the following before the heading before section 71:

Employment Insurance Operating Account

70.2 There is established in the accounts of Canada an account to be known as the Employment Insurance Operating Account.

2186. Section 71 of the Act and the heading before it are repealed.

2187. Section 76 of the Act is repealed.

2188. Section 80 of the Act is repealed.

2189. The portion of paragraph 153.2(2)(a) of the Act before subparagraph (i) is replaced by the following:

(a) the making of any financial adjustments and for the crediting or charging of the amount of any of those adjustments to the Employment Insurance Operating Account, including

2190. Section 158 of the Act is repealed.

2191. Subsection 159(5) of the Act is repealed.

2192. Section 162 of the Act is repealed.

2193. Section 166 of the Act and the heading before it are repealed.

2194. The Act is amended by replacing “Employment Insurance Account” with “Employment Insurance Operating Account” in the following provisions:

(a) subsection 42(2);

(b) the portion of section 73 before paragraph (a);

(c) section 73.1;

(d) section 74;

(e) the portion of section 75 before paragraph (a);

(f) the portion of subsection 77(1) before paragraph (a); and

(g) section 78.

Transitional Provisions

2195. The account in the accounts of Canada known as the Employment Insurance Account is deemed to have been closed at the beginning of January 1, 2009 and removed from the accounts of Canada at that time.

2196. For greater certainty, any amount purporting to have been credited to the Employment Insurance Account on or after January 1, 2009 and charged to the Consolidated Revenue Fund under section 76 of the Employment Insurance Act is deemed to have never been credited to that Account and charged to that Fund.

2197. For greater certainty, all amounts credited or charged to the Employment Insurance Account on or after January 1, 2009 are deemed to have been credited or charged, as the case may be, to the Employment Insurance Operating Account established by section 70.2 of the Employment Insurance Act, as enacted by section 2185.

2198. Every authority in any appropriation Act to make recoverable expenditures on behalf of the Employment Insurance Account in respect of the fiscal year 2010–2011 is deemed to be an authority to make recoverable expenditures on behalf of the Employment Insurance Operating Account established by section 70.2 of the Employment Insurance Act, as enacted by section 2185.

2199. The Auditor General of Canada shall audit the Employment Insurance Operating Account, established by section 70.2 of the Employment Insurance Act, as enacted by section 2185, in respect of the fiscal year 2008–2009, and a report of that audit shall be made to the Minister of Human Resources and Skills Development.

2200. Despite sections 2186 and 2195, and as a consequence of the establishment of the Employment Insurance Operating Account by section 70.2 of the Employment Insurance Act, as enacted by section 2185, the Auditor General of Canada may re-audit the Employment Insurance Account in respect of any fiscal year if he or she considers it necessary to do so, and a report of that audit is to be made to the Minister of Human Resources and Skills Development.

Consequential Amendments

Department of Human Resources and Skills Development Act

2201. Section 29 of the Department of Human Resources and Skills Development Act is replaced by the following:

29. The Auditor General of Canada shall annually audit the accounts and financial transactions of the Commission for the previous fiscal year. The Auditor General shall also audit the Employment Insurance Operating Account established by section 70.2 of the Employment Insurance Act, and a report of that audit shall be made to the Minister.

Employment Insurance Regulations

2202. Section 76.08 of the Employment Insurance Regulations is replaced by the following:

76.08 The reimbursement amount paid by the Province of Quebec in accordance with section 4.5 of the Entente finale Canada-Québec sur le régime québécois d’assurance parentale, signed on March 1, 2005, shall be paid to the Receiver General and shall be considered as if it were an amount required to be paid into the Consolidated Revenue Fund under section 72 of the Act and shall be paid into that Fund.

2203. The Regulations are amended by replacing “Employment Insurance Account” with “Employment Insurance Operating Account” in the following provisions:

(a) paragraph 76.27(1)(b); and

(b) subsection 76.27(2).

Budget Implementation Act, 2008

2204. (1) Section 127 of the Budget Implementation Act, 2008 is amended by replacing the subsections 66(1) to (3) that it enacts with the following:

66. (1) Subject to subsection (7) and section 66.3, the Board shall set the premium rate for each year in order to generate just enough premium revenue during that year to ensure that at the end of that year

(a) the total of the amounts credited to the Employment Insurance Operating Account after December 31, 2008 is equal to the total of the amounts charged to that Account after that date; and

(b) the forecast fair market value of the Board’s reserve is equal to the amount determined under subsection (5).

(2) Subject to any regulations made under subsections 66.1(2) and 66.2(2), the Board shall set the premium rate based on

(a) the information provided under sections 66.1 and 66.2;

(b) the investment income earned by the Board;

(c) the Board’s obligation to manage a reserve, the amount of which is referred to in subsection (5);

(d) any regulations made under section 69;

(e) any changes, announced by the Minister on or before September 30 in a year, to payments to be made under paragraph 77(1)(a), (b) or (c) during the following year; and

(f) any other information that the Board considers relevant.

(2) Section 127 of the Act is amended by replacing the subsection 66(5) that it enacts with the following:

(5) The amount referred to in paragraph (1)(b) is equal to the amount of the payment made under section 70.1, indexed annually, on a compound basis, beginning in the year in which that payment is made, in accordance with the regulations.

(3) Section 127 of the Act is amended by replacing the subsection 66.1(1) that it enacts with the following:

66.1 (1) The Minister shall, on or before September 30 in a year, provide the Board with the following information:

(a) if the Minister has made an announcement referred to in paragraph 66(2)(e), the forecast change in the amount of the payments to be made during the following year under paragraph 77(1)(a), (b) or (c), as the case may be;

(b) the forecast costs to be paid under paragraphs 77(1)(d) and (f) during the following year, including any forecast change in those costs resulting from any change to the payments referred to in paragraph (a);

(c) the total of the amounts charged to the Employment Insurance Operating Account as of the last day of the most recent month for which that total is known by the Minister; and

(d) any prescribed information.

(4) Section 127 of the Act is amended by replacing the paragraph 66.1(2)(a) that it enacts with the following:

(a) prescribing information referred to in paragraph (1)(d); and

(5) Section 127 of the Act is amended by replacing the paragraphs 66.2(1)(b) to (f) that it enacts with the following:

(b) the amounts forecast under subparagraphs 77.1(1)(a)(i) and (ii) and the total estimated under subparagraph 77.1(1)(a)(iii);

(c) the amount of any payment to be made under subsection 77.1(2) or (4) during the year; and

(d) any prescribed information.

(6) Section 127 of the Act is amended by replacing the paragraph 66.2(2)(a) that it enacts with the following:

(a) prescribing information referred to in paragraph (1)(d); and

2205. Section 130 of the Act is amended by replacing the section 77.1 that it enacts with the following:

77.1 (1) On or before September 30 in a year,

(a) the Minister of Finance shall

(i) forecast the amount to be credited to the Employment Insurance Operating Account under sections 73 to 75 during the year,

(ii) forecast the amount to be charged, during the year, to that Account under subsection 77(1) based on, among other things, information provided by the Minister, and

(iii) estimate the total, at December 31 of the immediately preceding year, of the amounts credited to that Account; and

(b) the Minister shall estimate the total, at December 31 of the immediately preceding year, of the amounts charged to that Account.

(2) A payment in the amount determined under subsection (3) is to be made on or before October 31 in a year to the Board out of the Consolidated Revenue Fund, on the requisition of the Minister of Finance, and charged to the Employment Insurance Operating Account if

(A + C) > (B + D)

where

A      is the amount forecast under subparagraph (1)(a)(i);

B      is the amount forecast under subparagraph (1)(a)(ii);

C      is the total estimated under subparagraph (1)(a)(iii); and

D      is the total estimated under paragraph (1)(b).

(3) For the purpose of subsection (2), the amount of the payment is an amount equal to the amount calculated in accordance with the following formula:

(A + C) – (B + D)

where

A      is the amount forecast under subparagraph (1)(a)(i);

B      is the amount forecast under subparagraph (1)(a)(ii);

C      is the total estimated under subparagraph (1)(a)(iii); and

D      is the total estimated under paragraph (1)(b).

(4) A payment in the amount determined under subsection (5) is to be made on or before October 31 in a year, or at any later date that the Minister of Finance may specify, by the Board to the Consolidated Revenue Fund and credited to the Employment Insurance Operating Account if

(A + C) < (B + D)

where

A      is the amount forecast under subparagraph (1)(a)(i);

B      is the amount forecast under subparagraph (1)(a)(ii);

C      is the total estimated under subparagraph (1)(a)(iii); and

D      is the total estimated under paragraph (1)(b).

(5) For the purpose of subsection (4), the amount of the payment is an amount equal to the lesser of the amount of the Board’s reserve referred to in subsection 66(4) and the amount calculated in accordance with the following formula:

(B + D) – (A + C)

where

A      is the amount forecast under subparagraph (1)(a)(i);

B      is the amount forecast under subparagraph (1)(a)(ii);

C      is the total estimated under subparagraph (1)(a)(iii); and

D      is the total estimated under paragraph (1)(b).

(6) Payments under this section must be made in the manner and on the terms and conditions that the Minister of Finance may establish after consulting with the Minister and the Board.

2206. Section 131 of the Act is repealed.

Canada Employment Insurance Financing Board Act

2207. Paragraph 14(3)(c) of the Canada Employment Insurance Financing Board Act is replaced by the following:

(c) a determination and analysis of any difference between the premium rate set by the Board for the year that is two years before the current year and what that rate should have been for that year in order to meet the objective of subsection 66(1) of the Employment Insurance Act; and

Coming into Force

2208. (1) Sections 2185 to 2187 and 2190 to 2194 are deemed to have come into force on January 1, 2009.

(2) Section 2188 comes into force on the day on which section 127 of the Budget Implementation Act, 2008 comes into force.