[39] Bill 50 Royal Assent (PDF)
Bill 50 2010
An Act to amend the Members' Integrity Act, 1994
Note: This Act amends the Members' Integrity Act, 1994. For the legislative history of the Act, see the Table of Consolidated Public Statutes – Detailed Legislative History at www.e-Laws.gov.on.ca.
Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:
1. (1) Subsection 6 (2) of the Members' Integrity Act, 1994 is amended by adding the following clauses:
(c) a fee, gift or personal benefit that is given, directly or indirectly, by or on behalf of a political party, constituency association, candidate or leadership contestant registered under the Election Finances Act, including remuneration or financial assistance; or
(d) any other gift or personal benefit, if the Commissioner is of the opinion it is unlikely that receipt of the gift or benefit gives rise to a reasonable presumption that the gift or benefit was given in order to influence the member in the performance of his or her duties.
(2) Subsection 6 (3) of the Act is repealed and the following substituted:
Disclosure
(3) Within 30 days after receiving a gift or personal benefit referred to in clause (2) (b) or (d) that exceeds $200 in value, the member shall file with the Commissioner a disclosure statement in the form provided by the Commissioner, indicating the nature of the gift or benefit, its source and the circumstances under which it was given and accepted.
(3) Subsection 6 (4) of the Act is amended by striking out "gifts and benefits" and substituting "gifts and personal benefits referred to in clauses (2) (b) and (d)".
(4) Subsection 6 (5) of the Act is repealed.
2. Subsection 7 (5) of the Act is amended by adding the following paragraph:
6. The member is entitled to be reimbursed by the Commissioner for reasonable fees and disbursements actually paid for the establishment and administration of the trust, as approved by the Commissioner, but is responsible for any income tax liabilities that may result from the reimbursement.
3. Section 10 of the Act is amended by adding "or" at the end of clause (a) and by repealing clause (b).
4. (1) Subsection 11 (3) of the Act is amended by striking out the portion before paragraph 1 and substituting the following:
Exception, trust on specified terms
(3) Subsection (1) does not apply if the member has entrusted the assets to one or more trustees on the following terms:
. . . . .
(2) Paragraph 7 of subsection 11 (3) of the Act is amended by adding "subject to the Commissioner's approval" at the end.
(3) Subsection 11 (3) of the Act is amended by adding the following paragraph:
8. The member is entitled to be reimbursed by the Commissioner for reasonable fees and disbursements actually paid for the establishment and administration of the trust, as approved by the Commissioner, but is responsible for any income tax liabilities that may result from the reimbursement.
(4) Section 11 of the Act is amended by adding the following subsection:
Limit on reimbursement
(4) Paragraph 8 of subsection (3) applies to a trust established for the purposes of this section before the day on which subsection 4 (4) of the Members' Integrity Amendment Act, 2010 comes into force, but the member is entitled to reimbursement under that paragraph only for fees and disbursements paid on or after that day.
5. Section 12 of the Act is repealed and the following substituted:
Corporations, partnerships and sole proprietorships
12. (1) A member of the Executive Council shall not engage in the management of a business carried on by a corporation or carry on business through a partnership or sole proprietorship.
Exception, trust on specified terms
(2) Subsection (1) does not apply if the member has entrusted the business or his or her interest in the business to one or more trustees on the terms set out in paragraphs 1 to 8 of subsection 11 (3).
Transition, deemed compliance
(3) Every trust established for the purposes of this section that is in existence on the day on which section 5 of the Members' Integrity Amendment Act, 2010 comes into force is deemed to comply with the terms referred to in subsection (2).
6. The Act is amended by adding the following section:
Consolidated Revenue Fund
12.1 All fees and disbursements payable by the Commissioner for the purposes of paragraph 6 of subsection 7 (5), paragraph 8 of subsection 11 (3) and subsection 12 (2) are a charge on and are payable out of the Consolidated Revenue Fund.
7. Section 13 of the Act is amended by striking out "clause 10 (b) or (c)" in the portion before paragraph 1 and substituting "section 10".
8. Subsection 15 (1) of the Act is repealed and the following substituted:
Acquisition of land
(1) A member of the Executive Council shall not, directly or indirectly, acquire an interest in real property, except for residential or recreational use by,
(a) the member;
(b) a person who belongs to the member's family; or
(c) any other person approved by the Commissioner.
9. (1) Clause 18 (1) (c) of the Act is repealed and the following substituted:
(c) accept a contract or benefit from any person who, during the 12 months before the date the former member ceased to hold office, received a contract or benefit from a ministry of which the former member was the Minister.
(2) Subsection 18 (4) of the Act is amended by adding "substantially" before "involved".
10. (1) Clause 21 (2) (d) of the Act is repealed and the following substituted:
(d) list the names of any private companies mentioned in the private disclosure statement;
(d.1) list the names of any corporations or other organizations referred to in clause 20 (2) (e); and
(2) Subsection 21 (7) of the Act is repealed and the following substituted:
Public access
(7) The Commissioner shall make the public disclosure statement readily accessible to the public by ensuring that the public disclosure statement is published on the Internet and by any other means that the Commissioner considers appropriate.
Copies
(8) The Clerk shall provide a copy of the public disclosure statement to any person who pays the fee fixed by the Clerk.
11. Subsection 22 (1) of the Act is repealed and the following substituted:
Destruction of records
(1) The Commissioner,
(a) shall destroy every private disclosure statement in his or her possession, during the 12-month period that follows the 10th anniversary of the creation of the record; and
(b) may destroy any other record in his or her possession that relates to a member or former member of the Assembly, or to a person who belongs to his or her family, at any time after the 10th anniversary of the creation of the record.
12. (1) Section 28 of the Act is amended by adding the following subsection:
Partial release by member
(3.1) Despite subsection (3), if the member releases only part of the opinion and recommendations, the Commissioner may release part or all of the opinion and recommendations without obtaining the member's consent.
(2) Section 28 of the Act is amended by adding the following subsection:
Application to former members of Executive Council
(5) This section continues to apply with necessary modifications to a former member of the Executive Council, even if he or she ceases to be a member of the Assembly.
13. Subsection 30 (4) of the Act is repealed.
14. (1) Subsection 31 (2) of the Act is amended by striking out "or by the Assembly" in the portion before clause (a).
(2) Clause 31 (3) (b) of the Act is repealed and the following substituted:
(b) give a copy of the opinion to the member who referred the matter; and
(3) Section 31 of the Act is amended by adding the following subsections:
Effect of election, resignation on matter referred by member
(4.1) The Commissioner shall suspend an inquiry respecting a matter referred by a member in the following circumstances:
1. The member whose conduct is concerned resigns his or her seat.
2. A writ is issued under the Election Act for a general election.
Same
(4.2) If an inquiry is suspended under subsection (4.1) because the member whose conduct is concerned resigns his or her seat, the Commissioner shall continue the inquiry if, within 30 days after the date of the resignation, the former member or the member who referred the matter submits a written request to the Commissioner that the inquiry be continued.
Same
(4.3) If an inquiry is suspended under subsection (4.1) because of the issuance of a writ, the Commissioner shall continue the inquiry if, within 30 days after polling day in the election, the member or former member whose conduct is concerned or the member who referred the matter submits a written request to the Commissioner that the inquiry be continued.
Same
(4.4) An inquiry shall not be continued under subsection (4.3) until after polling day in the election.
Same
(4.5) If an inquiry is suspended under subsection (4.1) and is not continued under subsection (4.2) or (4.3), the Commissioner shall terminate the inquiry and shall give written notice of the termination to the member or former member whose conduct is concerned, the member who referred the matter and the Speaker.
Effect of election, resignation on matter referred by Executive Council
(4.6) The Commissioner shall suspend an inquiry respecting a matter referred by the Executive Council if the member of the Executive Council whose conduct is concerned resigns his or her office.
Same
(4.7) The Commissioner shall continue an inquiry suspended under subsection (4.6) if, within 30 days after the date of the resignation, the Executive Council submits a written request to the Commissioner that the inquiry be continued.
Same
(4.8) The Commissioner shall terminate an inquiry respecting a matter referred by the Executive Council in the following circumstances:
1. An inquiry is suspended under subsection (4.6) and is not continued under subsection (4.7).
2. A writ is issued under the Election Act for a general election.
(4) Subsection 31 (6) of the Act is amended by adding "or former member" after "the member".
(5) Subsection 31 (7) of the Act is repealed and the following substituted:
Reliance on Commissioner's advice
(7) If the Commissioner determines that there was a contravention of this Act or of Ontario parliamentary convention but that the member or former member was acting in accordance with the Commissioner's recommendations and had, before receiving those recommendations, disclosed to the Commissioner in writing all the relevant facts that were known to the member or former member, the Commissioner shall so state in the report and the contravention is deemed not to have taken place.
15. The Act is amended by adding the following section:
Procedure under another Act
32.1 If the Commissioner, when conducting an inquiry, discovers that the subject-matter of the inquiry is being dealt with in accordance with a procedure established under another Act, the Commissioner may suspend the inquiry until the matter has been finally disposed of under that Act, and shall report the suspension to the Speaker.
16. Section 34 of the Act is amended by adding the following subsection:
Same, former member
(1.1) In the case of an inquiry respecting a matter referred by a member that is continued in accordance with subsection 31 (4.2) or (4.3) in respect of a former member, if the Commissioner finds a contravention or failure referred to in subsection (1), the Commissioner shall recommend in his or her report,
(a) that no penalty be imposed; or
(b) that the former member be reprimanded.
17. Sections 35 and 36 of the Act are repealed and the following substituted:
Application of Act during writ period
35. This Act, other than sections 30 to 34, continues to apply with necessary modifications to a member of the Assembly during the period beginning with the issue of a writ under the Election Act for a general election and ending on polling day, if the member is or intends to be a candidate in the election.
Application of Act to related persons
36. (1) This Act applies with necessary modifications to every member of the Executive Council who is not a member of the Assembly as if he or she were a member of the Assembly, with the following exceptions:
1. Section 5, clauses 34 (1) (c) and (d) and subsection 34 (6) do not apply.
2. The reference to "within 60 days of being elected" in clause 20 (1) (a) shall be read as a reference to "within 60 days of being appointed to the Executive Council".
Same
(2) This Act applies with necessary modifications to every leader of a recognized party, as defined in subsection 62 (5) of the Legislative Assembly Act, who is not a member of the Assembly as if he or she were a member of the Assembly, with the following exceptions:
1. Sections 5, 8, 10 to 19 and 30 to 34 do not apply.
2. The reference to "within 60 days of being elected" in clause 20 (1) (a) shall be read as a reference to "within 60 days of being elected as the leader of a recognized party".
Commencement
18. This Act comes into force on a day to be named by proclamation of the Lieutenant Governor.
Short title
19. The short title of this Act is the Members' Integrity Amendment Act, 2010.
EXPLANATORY NOTE
This Explanatory Note was written as a reader's aid to Bill 50 and does not form part of the law. Bill 50 has been enacted as Chapter 5 of the Statutes of Ontario, 2010.
The Bill amends the Members' Integrity Act, 1994 to make various updates and changes.
Section 6 of the Act is amended to add to the list of fees, gifts and personal benefits that may appropriately be accepted by a member of the Assembly. In addition, the restriction preventing members of the Assembly from using for personal purposes promotional awards or points resulting from travel for which they are reimbursed by the Government of Ontario is removed.
Under sections 7, 11 and 12 of the Act, members of the Assembly who would otherwise be prohibited from having specified ownership interests or from carrying on business through a partnership or sole proprietorship are permitted to do so if a trust, on specified terms, is established for the purpose. The terms of trusts established for the purposes of section 7 or 11 of the Act are amended to permit the member to be reimbursed for reasonable fees and disbursements he or she has paid for the establishment and administration of the trust (section 12 of the Act already provides for reimbursement in relation to a trust established for the purposes of that section). The reimbursement is payable by the Integrity Commissioner out of the Consolidated Revenue Fund. In addition, the terms of trusts required for the purposes of sections 11 and 12 of the Act are altered in order to make them more similar. Finally, sections 10 and 12 of the Act are amended to permit a member of the Assembly to engage in the management of a business carried on by a corporation, an activity that is currently prohibited for the most part, if a trust is established under section 12 for the purpose.
Under clause 18 (1) (c) of the Act, a former member of the Executive Council is restricted from knowingly accepting a contract or benefit from any person who received a contract or benefit from a ministry of which the former member was the Minister, during the 12-month period after which the former member ceased to hold office. The clause is amended to limit its application to contracts or benefits received by a person during the 12 months before the date the former member ceased to hold office.
Subsection 21 (7) of the Act is re-enacted to require the Integrity Commissioner to ensure that public disclosure statements are published on the Internet. Under the new subsection 21 (8), any person can still, for a fee, obtain a copy of a public disclosure statement from the Clerk of the Assembly. Under the re-enacted subsection 22 (1) of the Act, the Integrity Commissioner is given new discretion respecting whether to destroy records in his or her possession that relate to a member or former member of the Assembly, or to a person who belongs to his or her family. This discretion does not extend to private disclosure statements, which must continue to be destroyed during the 12-month period that follows the 10th anniversary of their creation.
Section 28 of the Act provides for the Integrity Commission to give opinions and recommendations on any matter respecting a member of the Assembly's obligations under the Act and under Ontario parliamentary convention to the member on the member's request. The section is amended to give the Integrity Commissioner authority to release part or all of the opinion and recommendations that he or she provides with respect to a member without the member's consent, if that member releases only part of the opinion and recommendations himself or herself. The section is also amended to provide that it applies to former members of the Executive Council, even if they cease to be members of the Assembly.
Section 30 permits specified persons and bodies to request that the Integrity Commission give an opinion as to whether a member of the Assembly has contravened the Act or Ontario parliamentary convention. Subsection 30 (4) of the Act, which provides authority for the Assembly to make such a request, is repealed. Section 31 of the Act, which addresses the procedures for inquiries by the Integrity Commission on request under section 30, is amended to specify the procedures that apply if a member of the Assembly who is the subject of an inquiry resigns his or her seat, a member of the Executive Council who is the subject of an inquiry resigns his or her office, or a writ is issued under the Election Act for a general election. The Act is amended to add a new section 32.1, which specifies that if, in conducting an inquiry, the Integrity Commissioner discovers that the subject-matter of the inquiry is being dealt with in accordance with a procedure established under another Act, the Commissioner may suspend the inquiry until the matter has been finally disposed of under that Act. Finally, subsection 34 (1) of the Act sets out the penalties that apply if the Integrity Commissioner determines after an inquiry that a member of the Assembly has contravened certain provisions of the Act or Ontario parliamentary convention, or failed to make specified filings or disclosures. A new subsection (1.1) is added to specify the penalties that apply in respect of a former member of the Assembly in the same circumstances.
Sections 35 and 36 of the Act are re-enacted to address the application of the Act. The re-enacted section 35 provides for the continued application of the Act, subject to specified exceptions, during a writ period under the Election Act to members of the Assembly who are or intend to be candidates in the election. The re-enacted section 36 provides for the application of the Act, subject to specified exceptions, to members of the Executive Council who are not members of the Assembly, and to leaders of a recognized party who are not members of the Assembly.
Several other technical and consequential amendments are also made to the Act.