[41] Bill 2 Royal Assent (PDF)

Bill 2 2016

An Act to amend various statutes with respect to election matters

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

Election Finances Act

   1.  (1)  The definition of "contribution" in subsection 1 (1) of the Election Finances Act is repealed and the following substituted:

"contribution" does not include,

  (a)  any goods produced, or services performed, for any political party, constituency association, nomination contestant, candidate or leadership contestant by voluntary labour, and

  (b)  any money, goods or services solicited by or donated to a political party, constituency association, nomination contestant, candidate or leadership contestant for purposes other than the purposes set forth in subsections 10 (1), 11 (1), 12.1 (1), 13 (2) and 14 (1), respectively; ("contribution")

   (2)  Subsection 1 (1) of the Act is amended by adding the following definitions:

"nomination contestant" means a person seeking endorsement as an official party candidate for an electoral district; ("candidat à l'investiture")

"nomination contest period" means, with respect to a nomination contestant, the period that begins when the contestant first receives or spends funds for the purpose of achieving the endorsement, and ends when the candidate for the electoral district is selected; ("période de course à l'investiture")

   (3)  The definition of "person" in subsection 1 (1) of the Act is repealed and the following substituted:

"person" includes a nomination contestant, a candidate and a leadership contestant, but does not include a corporation or trade union; ("personne")

   (4)  The definition of "political advertising" in subsection 1 (1) of the Act is repealed and the following substituted:

"political advertising" means advertising in any broadcast, print, electronic or other medium with the purpose of promoting or opposing any registered party or its leader or the election of a registered candidate and includes advertising that takes a position on an issue that can reasonably be regarded as closely associated with a registered party or its leader or a registered candidate and "political advertisement" has a corresponding meaning, but for greater certainty does not include,

  (a)  the transmission to the public of an editorial, a debate, a speech, an interview, a column, a letter, a commentary or news,

  (b)  the distribution of a book, or the promotion of the sale of a book, for no less than its commercial value, if the book was planned to be made available to the public regardless of whether there was to be an election,

   (c)  communication in any form directly by a person, group, corporation or trade union to their members, employees or shareholders, as the case may be,

  (d)  the transmission by an individual, on a non-commercial basis on the Internet, of his or her personal political views, or

  (e)  the making of telephone calls to electors only to encourage them to vote; ("publicité politique", "annonce politique")

   (5)  Subsection 1 (1) of the Act is amended by adding the following definition:

"registered nomination contestant" means a nomination contestant registered under this Act; ("candidat à l'investiture inscrit")

   (6)  Subsection 1 (1) of the Act is amended by adding the following definition:

"voluntary labour" means any service provided free of charge by a person outside their working hours, but does not include such a service provided by a person who is self-employed if the service is one that is normally charged for by that person; ("travail bénévole")

   (7)  Subsection 1 (3) of the Act is repealed and the following substituted:

Application re nomination contestants

   (3)  The requirements of this Act respecting nomination contests, nomination contestants and registered nomination contestants apply on and after July 1, 2017.

   (8)  Subsection 1 (4) of the Act is repealed.

   2.  (1)  Clause 2 (1) (a) of the Act is amended by adding "nomination contestants" after "constituency associations".

   (2)  Clause 2 (1) (b) of the Act is amended by adding "registered nomination contestant" after "constituency association".

   (3)  Clause 2 (1) (d) of the Act is amended by adding "registered nomination contestants" after "registered constituency associations".

   (4)  Clause 2 (1) (j) of the Act is amended by adding "nomination contestants" after "constituency associations".

   (5)  Clauses 2 (5) (a) and (b) of the Act are repealed and the following substituted:

  (a)  changes in limits on contributions to registered constituency associations, nomination contestants, candidates, political parties or leadership contestants;

  (b)  changes in limits on campaign expenses that may be incurred during a relevant period by candidates, political parties, nomination contestants or leadership contestants;

   (6)  Clause 2 (5) (d) of the Act is amended by adding "nomination contestants" after "constituency associations".

   3.  Section 6 of the Act is amended by adding "nomination contestant" after "constituency association".

   4.  Subsection 7 (1) of the Act is amended by adding "nomination contestant" after "constituency association".

   5.  Subsection 10 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

   6.  Subsection 11 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

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

Nomination contestants

   12.1  (1)  No person and no person, organization or entity acting on behalf of that person and no political party or any of its associations or organizations acting on behalf of that person shall accept contributions for the candidacy of that person in a contest related to seeking endorsement as an official party candidate unless that person is a nomination contestant registered under this Act.

Notice of nomination contest

   (2)  A registered party or registered constituency association that proposes to hold a nomination contest shall file with the Chief Electoral Officer a statement setting out the date of the official call of the nomination contest and the date fixed for the vote.

Application for registration

   (3)  The Chief Electoral Officer shall maintain a register of nomination contestants in relation to each nomination contest and, subject to this section, shall register in it any nomination contestant who files an application for registration with the Chief Electoral Officer setting out,

  (a)  the full name of the nomination contestant;

  (b)  the address of the place or places in Ontario where records of the nomination contestant are maintained and of the place in Ontario to which communications may be addressed;

   (c)  the party affiliation of the nomination contestant;

  (d)  the names of the principal officers, including the chief financial officer of the nomination contestant and the auditor, if any;

  (e)  the names of all persons authorized by the nomination contestant to accept contributions;

   (f)  the name and address of every financial institution that is lawfully entitled to accept deposits to be used by or on behalf of the nomination contestant as the depositories for all contributions made to that nomination contestant; and

  (g)  the names of the persons responsible for each depository referred to in clause (f).

Deemed registered on day of filing

   (4)  A nomination contestant who files an application under subsection (3) shall be deemed to be registered on the day of filing.

Variation of register

   (5)  Where any of the information referred to in clauses (3) (b) to (g) is altered, the nomination contestant shall promptly notify in writing the Chief Electoral Officer of the alteration and, upon receipt of the notice, the Chief Electoral Officer shall vary the register of nomination contestants accordingly.

Contestant's funds considered contribution

   (6)  Any money used for a registered nomination contestant's campaign out of the contestant's own funds shall be considered to be a contribution for the purposes of this Act and every registered nomination contestant shall submit to his or her chief financial officer a statement in writing setting forth all nomination contest expenses paid or to be paid out of the contestant's own funds, together with all receipts and claims therefor, within three months after the date that a candidate is selected.

Surplus funds

   (7)  Where, after the candidate is selected for the electoral district, there is a surplus in the funds raised for the purposes of the nomination contestant's campaign, the contestant shall pay the funds over to the relevant constituency association, except that if the nomination contestant is selected as the candidate for the electoral district, he or she may pay the funds into his or her depository for contributions as a candidate.

   8.  Subsection 13 (2) of the Act is amended by striking out "and no person, corporation or trade union" and substituting "and no person, organization or entity".

   9.  (1)  Subsection 14 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

   (2)  Section 14 of the Act is amended by adding the following subsections:

Requirement to register

   (2.1)  When the post of leader of a registered party has become vacant, a person who is seeking election as leader of the registered party is required to register under this section even if the party has not filed a statement under subsection (2).

When seeking election

   (2.2)  For the purposes of subsection (2.1), a person is deemed to be seeking election as leader of a registered party as soon as the person or a person, organization or entity acting of the behalf of the person incurs expenses for goods or services in relation to a leadership contest or accepts contributions in relation to a leadership contest.

   (3)  Subsection 14 (4) of the Act is repealed.

   10.  (1)  Subsection 16 (1) of the Act is repealed and the following substituted:

Contributions

Who may contribute

   (1)  Contributions to parties, constituency associations, nomination contestants, candidates and leadership contestants registered under this Act may be made only by persons individually.

   (2)  Subsection 16 (2) of the Act is amended by adding "nomination contestants" after "constituency associations" in the portion before clause (a).

   (3)  Subsection 16 (3) of the Act is amended by adding "nomination contestant" after "constituency association".

   11.  (1)  Subsection 17 (1) of the Act is amended by adding "nomination contestant" after "constituency association".

   (2)  Subsection 17 (2) of the Act is amended by adding "nomination contestant" after "constituency association".

   12.  (1)  Subsection 18 (1) of the Act is repealed and the following substituted:

Maximum contributions

Registered parties

   (1)  The contributions a person makes to any one registered party shall not exceed, in a calendar year, $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

Constituency associations, nomination contestants

   (1.1)  The contributions a person makes to registered constituency associations and registered nomination contestants of any one registered party shall not exceed, in a calendar year, $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

Candidates of party

   (1.2)  The contributions a person makes to registered candidates of any one registered party shall not exceed, in a campaign period, $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the campaign period commences and rounded to the nearest dollar.

Non-party candidates

   (1.3)  The contributions a person makes to all registered candidates not endorsed by a registered party shall not exceed, in a campaign period, $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the campaign period commences and rounded to the nearest dollar.

Leadership contestants

   (1.4)  The contributions a person makes to any one registered leadership contestant of a registered party shall not exceed, in a calendar year that falls during a leadership contest period or during which the contestant is required to be registered by virtue of subsection 14 (2.1), $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

   (2)  Section 18 of the Act is amended by adding the following subsections:

Exception for own campaign, candidate

   (4)  Despite subsections (1.2) and (1.3), a registered candidate may make contributions, to be used for the candidate's own campaign, and out of the candidate's own funds, that do not exceed $5,000 in total during a campaign period.

Same, leadership contestant

   (5)  Despite subsection (1.4), a registered leadership contestant may make contributions, to be used for the contestant's own leadership campaign, and out of the contestant's own funds, that do not exceed $25,000 in total during a leadership contest period, combined with any period during which the contestant is required to be registered under subsection 14 (2.1).

Other limits not reduced

   (6)  For greater clarity, subsections (4) and (5) do not reduce the amount that the registered candidate or registered leadership contestant, as the case may be, may contribute under this section to other registered candidates or registered leadership contestants, as the case may be.

   13.  (1)  Subsection 19 (1) of the Act is repealed and the following substituted:

Contributor to contribute only funds belonging to contributor

   (1)  No person shall contribute to any political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act,

  (a)  funds that do not actually belong to the person; or

  (b)  any funds that have been given or furnished by any person or group of persons or by a corporation or trade union for the purpose of making a contribution.

   (2)  Subsection 19 (2) of the Act is amended by adding "nomination contestant" after "constituency association".

   (3)  Section 19 of the Act is amended by adding the following subsection:

Certification by donor

   (3)  Every person who makes a contribution described in section 18 shall, at the time of making the contribution, certify, in a form approved by the Chief Electoral Officer, that the person has not acted contrary to subsection (1) of this section.

   14.  Section 20 of the Act is amended by adding "nomination contestant" after "constituency association".

   15.  (1)  Subsection 21 (1) of the Act is amended by adding "nomination contestant" after "constituency association" in the portion before clause (a).

   (2)  Subsection 21 (2) of the Act is repealed and the following substituted:

Amounts of $100 or less may be considered not a contribution

   (2)  The provision of goods or services to a political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act in any year, having a value, in the aggregate, of $100 or less may, at the option of the person providing the goods or services, be considered not to be a contribution for the purposes of this Act.

   (3)  Subsection 21 (3) of the Act is amended by adding "nomination contestant" after "constituency association".

   16.  (1)  Subsections 22 (1), (2) and (3) of the Act are repealed and the following substituted:

Advertising as contribution

   (1)  Political advertising constitutes a contribution for the purposes of this Act if,

  (a)  it promotes a registered party, the nomination of a registered nomination contestant, the election of a registered candidate or the leadership of a registered leadership contestant;

  (b)  it is provided or arranged for by a person, organization or entity in coordination with the party, contestant or candidate, or the registered constituency association of the candidate; and

   (c)  its value as determined under section 21 is more than $100.

Cost

   (2)  Clause (1) (c) applies to,

  (a)  a single political advertisement whose value is more than $100; and

  (b)  two or more political advertisements whose aggregate value is more than $100, if they,

           (i)  appear during the same calendar year, and

          (ii)  are provided or arranged for by the same person.

Campaign expense

   (3)  A contribution described in subsection (1) that is made during an election campaign constitutes a campaign expense of the party or candidate promoted.

   (2)  Subsection 22 (5) of the Act is repealed and the following substituted:

Identification

   (5)  No person, registered party or registered constituency association shall cause a political advertisement to appear without providing the following information to the broadcaster or publisher, in writing:

    1.  The name of the person, registered party or registered constituency association who is causing the political advertisement to appear.

    2.  The name, business address and telephone number of the individual who deals with the broadcaster or publisher on behalf of the person or entity mentioned in paragraph 1.

    3.  The name of any other person, registered party or registered constituency association who is sponsoring or paying for the political advertisement.

   (3)  Subsection 22 (9) of the Act is repealed and the following substituted:

Information to be included in political advertisement

   (9)  A political advertisement in any medium shall name,

  (a)  the person, registered party, registered constituency association or other organization or entity who is causing it to appear; and

  (b)  any other person, registered party, registered constituency association or other organization or entity who is sponsoring or paying for it.

   17.  The Act is amended by adding the following section:

Coordination rules

   22.1  (1)  Coordination, as referred to in clause 22 (1) (b), is deemed to have occurred if a registered political party, registered candidate, registered constituency association, registered nomination contestant or registered leadership contestant, or any of their agents, employees or independent contractors,

  (a)  requested or suggested that the advertisement be created, produced or distributed, or assented to its creation, production or distribution;

  (b)  was materially involved in decisions regarding the content, audience, dissemination, or distribution of the advertisement;

   (c)  engaged in substantial discussions regarding the advertisement with the person, organization or entity responsible for the advertisement or its agents, employees or independent contractors that were material to the creation, production, or distribution of the advertisement; or

  (d)  conveyed information about the plans or needs of a registered political party, registered candidate, registered nomination contestant or registered leadership contestant for the purpose of contributing materially to the creation, production or distribution of the advertisement.

No formal agreement necessary

   (2)  For greater certainty, coordination can occur even in the absence of a formal agreement.

Activities not constituting coordination

   (3)  The following activities do not, on their own, constitute coordination:

    1.  Endorsement of a registered political party, registered candidate, registered nomination contestant or registered leadership contestant, or the communication directly, in any form, of such an endorsement by a person, group, corporation or trade union to their members, employees or shareholders, as the case may be.

    2.  Inquiries as to the position of a registered political party, registered candidate, registered constituency association, registered nomination contestant or registered leadership contestant on legislation or a policy matter.

    3.  The exchange of, or reliance upon, publicly available information.

    4.  Mutual attendance at a public event or an invitation to attend a public event.

    5.  The use of a common vendor.

    6.  The conveyance of information that is not material to the creation, production or distribution of the advertisement.

   18.  Section 23 of the Act is repealed and the following substituted:

Fund-raising events

   23.  (1)  In this section,

"fund-raising event" means an event held for the purpose of raising funds for the party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act by whom or on whose behalf the event is held, and where a charge by the sale of tickets or otherwise is made for attendance.

Income to be reported

   (2)  The gross income from any fund-raising event shall be recorded and reported to the Chief Electoral Officer by the chief financial officer of the party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act that held the event or on whose behalf the event was held.

Where amounts to be considered contribution

   (3)  Any amount paid for goods or services, other than advertising services, offered for sale at a fund-raising event in excess of the highest amount charged, at or about the time the goods or services are provided, by any other person providing similar goods on a commercial retail basis or similar services on a commercial basis in the market area in which the goods or services are provided, shall be considered to be a contribution for the purposes of this Act.

Same, advertising

   (4)  Any amount paid for advertising services offered for sale in connection with a fund-raising event shall be considered to be a contribution for the purposes of this Act.

Information re fund-raising events

   (5)  Every registered party to which section 25.1 applies shall post on its website the following information respecting every fund-raising event to be held by or on behalf of the party, its constituency associations and candidates:

    1.  The date of the fund-raising event.

    2.  The location of the fund-raising event.

    3.  The amount of the charge for attending the fund-raising event.

    4.  The identity of the recipient or recipients of the funds to be raised at the fund-raising event.

Timing

   (6)  The registered party shall post the information described in subsection (5),

  (a)  at least seven days before the date of the fund-raising event; or

  (b)  in the case of a fund-raising event that is to take place during the period commencing with the issue of a writ for an election and terminating on election day, at least three days before the date of a fund-raising event.

Limit on contributions

   (7)  The total contribution made with respect to a single fund-raising event by a contributor may not exceed $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the fund-raising event is held and rounded to the nearest dollar.

Attendance at fund-raising events prohibited

   23.1  (1)  None of the following may attend a fund-raising event:

    1.  A member of the Assembly.

    2.  The leader of a registered party.

    3.  A nomination contestant, candidate or leadership contestant registered under this Act.

    4.  Any person employed in the Office of the Premier.

    5.  The Chief of Staff of a Minister of the Crown, or a person holding an equivalent position for a Minister of the Crown, regardless of title.

    6.  Any person employed as a member of the staff of the leader of a recognized party within the meaning of subsection 62 (5) of the Legislative Assembly Act.

Saving

   (2)  For greater certainty, nothing in subsection (1) prevents a person mentioned in that subsection from,

  (a)  attending an event held by or on behalf of a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act where a charge by the sale of tickets or otherwise is made exclusively to recover the costs of holding the event, and where any money raised in excess of the amount required for cost recovery is promptly paid to the Chief Electoral Officer; or

  (b)  soliciting contributions by mail, telephone, electronic communication or other means.

Definitions

   (3)  In this section,

"fund-raising event" has the same meaning as in section 23.

   19.  Section 24 of the Act is amended by striking out "candidate" wherever it appears and substituting in each case "nomination contestant, candidate".

   20.  (1)  Subsection 25 (1) of the Act is amended by striking out "candidate" and substituting "nomination contestant, candidate".

   (2)  Subsection 25 (2) of the Act is amended by striking out "candidate" and substituting "nomination contestant, candidate".

   21.  (1)  Clause 25.1 (1) (a) of the Act is amended by striking out "and registered candidates" and substituting "registered candidates and registered leadership contestants".

   (2)  Section 25.1 of the Act is amended by adding the following subsection:

Same

   (4.1)  The chief financial officer of a registered leadership contestant is responsible for ensuring that all contributions received by the contestant are recorded in the party's electronic database.

   (3)  Subsection 25.1 (6) of the Act is repealed and the following substituted:

Same

   (6)  The chief financial officers of registered constituency associations, registered candidates and registered leadership contestants shall not issue receipts for contributions, and subsection 25 (1) and clause 33 (4) (c) do not apply to them.

   (4)  Subsection 25.1 (8) of the Act is repealed.

   22.  Subsections 26 (1), (1.1) and (2) of the Act are repealed and the following substituted:

Group contributions

   (1)  No contribution to a political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall be made through any trade union, unincorporated association or organization, except an affiliated political organization in accordance with subsection (3).

Same

   (2)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall accept a contribution made in contravention of subsection (1).

   23.  Section 28 of the Act is repealed and the following substituted:

Parties, etc., not to receive contributions in excess of limitations

   28.  No political party, constituency association, nomination contestant, leadership contestant or candidate registered under this Act and no person on their behalf shall knowingly accept any contributions in excess of the limits imposed by this Act.

   24.  Subsection 29 (1) of the Act is repealed and the following substituted:

Prohibition on acceptance, transfer, etc.

   (1)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly knowingly accept contributions from any corporation or trade union.

No contribution from outside Ontario

   (1.1)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly knowingly accept contributions from any person normally resident outside Ontario.

No transfer to unregistered entities

   (1.2)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly contribute or transfer funds to any political party, constituency association, nomination contestant, candidate or leadership contestant not registered under this Act, including a federal political party registered under the Canada Elections Act, any federal constituency association or candidate at a federal election endorsed by such federal political party, any federal nomination contestant or leadership contestant and any candidate at a municipal election under the Municipal Elections Act, 1996, except that during an election period as defined in the Canada Elections Act a registered party may transfer to a federal political party registered under the Canada Elections Act an amount not exceeding, in the aggregate, $100 for each candidate at a federal election in a federal electoral district in Ontario who is endorsed as a candidate by that federal political party.

   25.  Section 31 of the Act is repealed.

   26.  Section 32 of the Act is amended by striking out "registered candidate" and substituting "registered nomination contestant, registered candidate".

   27.  The Act is amended by adding the following section:

Quarterly Allowance

Quarterly allowance

   32.1  (1)  The Chief Electoral Officer shall determine, for each quarter of a calendar year, an allowance payable to a registered party whose candidates at the most recent general election before that quarter received at least,

  (a)  two per cent of the number of valid votes cast; or

  (b)  five per cent of the number of valid votes cast in the electoral districts in which the registered party endorsed a candidate.

How allowance calculated

   (2)  Each registered party's allowance for a quarter is the amount calculated by the following rules:

    1.  In the 2017 calendar year, $0.678 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    2.  In the 2018 calendar year, $0.636 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    3.  In the 2019 calendar year, $0.594 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    4.  In the 2020 calendar year, $0.552 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    5.  In each subsequent calendar year, $0.510 multiplied by the indexation factor determined for the calendar year under section 40.1 and further multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

Merged parties

   (3)  A merged party is entitled to the aggregate of the allowances to which the merging parties of which it is composed would have been entitled if they had not merged.

Constituency association allowance

   (4)  The Chief Electoral Officer shall determine, for each quarter of a calendar year commencing with the 2017 calendar year, an allowance payable to each registered constituency association.

How allowance calculated

   (5)  Each registered constituency association's allowance for a quarter is the amount calculated by the following rules:

    1.  For each electoral district, take $6,250, multiplied by the indexation factor determined for the calendar year under section 40.1.

    2.  Subject to paragraphs 3 and 4, divide the amount determined under paragraph 1 among the registered constituency associations of the electoral district, based on the percentage of the total number of valid votes the registered candidates associated with the registered parties of the constituency associations received in the electoral district at the most recent election.

    3. No amount is payable to a registered constituency association where the registered candidate associated with the registered party of the constituency association received fewer than two per cent of the valid votes cast at the most recent election.

    4.  If, since the most recent election, a redistribution of electoral districts has necessitated changes regarding registered constituency associations in order to align registered constituency associations with the redistributed electoral districts, the amount shall be divided among the registered constituency associations of the redistributed electoral district in a manner determined by the Chief Electoral Officer.

Condition of payment

   (6)  An allowance is only payable to a registered constituency association for a quarter if all documents that it was required to file with the Chief Electoral Officer in the four year period immediately before the quarter have been filed and are complete.

Review

   (7)  On or before December 31, 2021, the Lieutenant Governor in Council shall conduct a review of this section.

   28.  (1)  Subsection 33 (2) of the Act is amended by striking out "Every candidate" at the beginning and substituting "Every nomination contestant, every candidate".

   (2)  Subsection 33 (3) of the Act is amended by adding "nomination contestant" after "constituency association" wherever it appears.

   (3)  Subsection 33 (4) of the Act is amended by adding "nomination contestant" after "constituency association" wherever it appears in the portion before clause (a).

   29.  Subsections 34 (2) and (3) of the Act are repealed and the following substituted:

Recording of contributions

   (2)  A contribution shall be recorded if it is accepted,

  (a)  on behalf of a registered political party, registered constituency association or registered nomination contestant, in any year;

  (b)  on behalf of a registered candidate, in a campaign period; or

   (c)  on behalf of a registered leadership contestant, in the leadership contest period or in any period during which the contestant is required to be registered by virtue of subsection 14 (2.1).

   30.  (1)  Clause 34.1 (2) (a) of the Act is repealed and the following substituted:

  (a)  on behalf of a registered political party, in any year; or

   (2)  Subsection 34.1 (4) of the Act is amended by striking out "10 days" and substituting "two days".

   (3)  Subsection 34.1 (6) of the Act is repealed.

   31.  (1)  Subsection 35 (1) of the Act is repealed and the following substituted:

Borrowing

   (1)  A political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act may, if subsection (2) is complied with, borrow money from,

  (a)  a financial institution; or

  (b)  a registered party or constituency association.

   (2)  Subsections 35 (3), (4), (5) and (6) of the Act are repealed and the following substituted:

Prohibition, receiving loan

   (3)  No party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall receive any support in the form of a loan, except as provided in subsection (1).

Prohibition, receiving support in form of guarantee, etc.

   (4)  No party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall receive any support in the form of a guarantee or collateral security, except from,

  (a)  a financial institution or entity that would be entitled to make a loan to the party, constituency association, nomination contestant, candidate or leadership contestant under subsection (1); or

  (b)  a person who would be entitled to make a contribution under this Act.

Prohibition, making loan

   (5)  No person or entity, other than one listed in clause (1) (a) or (b), shall make a loan to a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

Financial institutions and market rate

   (6)  No financial institution that may make a loan under this section may make the loan at a rate of interest below the applicable market rate charged by the financial institution for an equivalent amount at or about the time and in the market area where the loan is provided.

Prohibition, giving guarantee, etc.

   (6.1)  No person or entity, other than a person who would be entitled to make a contribution under this Act, shall guarantee or provide collateral security for a loan to a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

   (3)  Subsection 35 (8) of the Act is repealed and the following substituted:

Guarantee as contribution

   (8)  The amount of a guarantee made by a guarantor who is entitled to make a contribution is a contribution for the purposes of this Act.

Time limits, loan

   (9)  Every nomination contestant, leadership contestant, candidate, party or constituency association who receives a loan to which this section applies shall repay the loan in full no more than two years from,

  (a)  in the case of a nomination contestant, the date that a candidate is selected for the electoral district for the nomination contestant's party;

  (b)  in the case of a leadership contestant, the date that a leader is selected for the contestant's party;

   (c)  in the case of a candidate, polling day; or

  (d)  in the case of a party or constituency association, the day that the loan is due according to its terms.

Time limits, guarantee

   (10)  No person who makes a guarantee of a loan to which this section applies shall guarantee the loan for a period longer than the applicable period under subsection (9).

   32.  Subsections 36.1 (1) and (2) of the Act are repealed and the following substituted:

Prohibition

   (1)  No person, organization or entity, including, for greater certainty, a political party, constituency association, corporation, trade union or third party shall publish, broadcast or transmit to the public, in an electoral district on polling day before the close of all the polling stations in that electoral district, the results of an election survey that have not previously been made available to the public.

   33.  The Act is amended by adding the following section:

Considerations re political advertising

   37.0.1  In determining whether an advertisement is a political advertisement, the Chief Electoral Officer shall consider, in addition to any other relevant factors,

  (a)  whether it is reasonable to conclude that the advertising was specifically planned to coincide with the period referred to in section 37.10.1;

  (b)  whether the formatting or branding of the advertisement is similar to a registered political party's or registered candidate's formatting or branding or election material;

   (c)  whether the advertising makes reference to the election, election day, voting day, or similar terms;

  (d)  whether the advertisement makes reference to a registered political party or registered candidate either directly or indirectly;

  (e)  whether there is a material increase in the normal volume of advertising conducted by the person, organization, or entity;

   (f)  whether the advertising has historically occurred during the relevant time of the year;

  (g)  whether the advertising is consistent with previous advertising conducted by the person, organization, or entity;

  (h)  whether the advertising is within the normal parameters of promotion of a specific program or activity; and

    (i)  whether the content of the advertisement is similar to the political advertising of a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

   34.  The Act is amended by adding the following section:

Non-application re government advertising

   37.0.2  For greater certainty,

  (a)  nothing in this Act affects government advertising by the Government of Canada, the Government of Ontario, the government of another province or territory of Canada, or the government of a municipality, or by any part of such a government;

  (b)  no government or part of a government mentioned in clause (a) is a third party for the purposes of this Act.

   35.  (1)  The definitions of "third party election advertising" and "third party election advertising expense" in section 37.1 of the Act are repealed.

   (2)  Section 37.1 of the Act is amended by adding the following definitions:

"third party political advertising" means political advertising placed by or on behalf of a third party, and "third party political advertisement" has a corresponding meaning; ("publicité politique de tiers", "annonce politique de tiers")

"third party political advertising expense" means an expense incurred in relation to,

  (a)  the production of a third party political advertisement, or

  (b)  the acquisition of the means of transmission of a third party political advertisement to the public. ("dépenses de publicité politique de tiers")

   36.  Section 37.2 of the Act is repealed and the following substituted:

Categorization of expenses

   37.2  The following rules apply in determining whether an amount of expenses is incurred for third party political advertising during a period referred to in section 37.10.1:

    1.  An amount that is paid by a third party for third party political advertising with respect to a relevant period is included whether it is paid before, during or after the period.

    2.  If a combined amount is paid for both third party political advertising with respect to a relevant period and other third party political advertising, the amount shall be apportioned according to when the advertising appears.

   37.  Section 37.4 of the Act is amended by striking out "third party election advertisements" at the end and substituting "third party political advertisements during a period referred to in section 37.10.1".

   38.  (1)  Subsection 37.5 (1) of the Act is repealed and the following substituted:

Registration requirement for third parties

   (1)  A third party shall apply for registration under this section immediately after having incurred expenses of a total amount of $500 for third party political advertising during a period referred to in section 37.10.1.

   (2)  Subsection 37.5 (5) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   (3)  Subsection 37.5 (7) of the Act is repealed.

   (4)  Subsection 37.5 (10) of the Act is repealed and the following substituted:

Registration ends

   (10)  The registration of a third party ceases to be valid at the end of every election period in respect of which the third party was registered, but the third party continues to be subject to the requirement to file a third party political advertising report under subsection 37.12 (1).

   39.  Clause 37.6 (2) (d) of the Act is amended by striking out "third party advertising election report" and substituting "third party political advertising report".

   40.  (1)  Subsection 37.7 (1) of the Act is repealed and the following substituted:

Requirement to appoint auditor

   (1)  A third party that incurs expenses in an aggregate amount of $5,000 or more for third party political advertising during a period referred to in section 37.10.1 shall appoint an auditor without delay.

   (2)  Paragraph 5 of subsection 37.7 (3) of the Act is amended by adding "or of another registered third party" at the end.

   41.  (1)  Subsection 37.9 (1) of the Act is repealed and the following substituted:

Duty of chief financial officer

Acceptance of contributions

   (1)  Every contribution that is made to a registered third party during a period referred to in section 37.10.1 shall be accepted by its chief financial officer if it is made for the purpose of third party political advertising.

   (2)  Subsection 37.9 (2) of the Act is amended by striking out "third party election advertising expense" and substituting "third party political advertising expense".

   42.  (1)  Subsection 37.10 (1) of the Act is amended by striking out "third party election advertising" in the portion before clause (a) and substituting "third party political advertising during a period referred to in section 37.10.1".

   (2)  Subsection 37.10 (2) of the Act is repealed and the following substituted:

Same

   (2)  No third party shall use a contribution for the purpose of third party political advertising if the third party does not know the name and address of the contributor or is otherwise unable to determine within which class of contributor referred to in subsection 37.12 (6) they fall.

   (3)  Subsection 37.10 (3) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   43.  The Act is amended by adding the following section:

Spending limit

   37.10.1  (1)  No third party shall spend,

  (a)  more than $4,000 in any electoral district for the purpose of third party political advertising in that district during any election period, whether for a by-election or a general election, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar; or

  (b)  more than $100,000 in total for the purpose of third party political advertising during any election period for a general election, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar.

Same, non-election period

   (2)  No third party shall spend,

  (a)  more than $24,000 in in any electoral district for the purpose of third party political advertising in that district during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar; or

  (b)  more than $600,000 in total for the purposes of third party political advertising during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar.

No combination to exceed limit

   (3)  No third party shall circumvent, or attempt to circumvent, a limit set out in this section in any manner, including by splitting itself into two or more third parties for the purpose of circumventing the limit or acting in collusion with another third party so that their combined political advertising expenses exceed the applicable limit or by colluding with a registered political party, registered constituency association, registered candidate, or registered nomination contestant for the purpose of circumventing the limit.

Collusion

   (4)  No third party that is not entitled to make a contribution under subsection 16 (1) shall engage in third party political advertising in a manner that would, if the third party were a person, constitute a contribution under section 22.

   44.  (1)  Subsection 37.11 (1) of the Act is amended by striking out "third party election advertising" in the portion before clause (a) and substituting "third party political advertising".

   (2)  Subsection 37.11 (2) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   45.  Section 37.12 of the Act is repealed and the following substituted:

Third party political advertising report

   37.12  (1)  The chief financial officer of every third party that is required to be registered in accordance with subsection 37.5 (1) shall file a third party political advertising report in the prescribed form with the Chief Electoral Officer within six months after polling day for an election in respect of which it was registered.

Details re expenses

   (2)  A third party political advertising report shall contain a list of all third party political advertising expenses and the time and place of broadcast or publication of the advertisements to which the expenses relate.

When no expenses

   (3)  If a third party has not incurred third party political advertising expenses, that fact shall be indicated in its third party political advertising report.

Details re contributions

   (4)  The third party political advertising report shall include,

  (a)  the amount, by class of contributor, of contributions for third party political advertising purposes that were received in the period beginning six months before the relevant period under section 37.10.1 and ending three months after polling day;

  (b)  for each contributor who made contributions of a total amount of more than $100 for third party political advertising purposes during the period referred to in clause (a), their name, address and class, and the amount and date of each contribution; and

   (c)  the amount, other than an amount of a contribution referred to in clause (a), that was paid out of the third party's own funds for third party political advertising expenses.

Same

   (5)  If the chief financial officer is unable to identify which contributions were received for third party political advertising purposes during the period referred to in clause (4) (a), the third party political advertising report shall list the names and addresses of every contributor who donated a total of more than $100 to the third party during that period.

Classes of contributors

   (6)  For the purposes of clauses (4) (a) and (b), the following are the classes of contributors:

    1.  Individuals.

    2.  Corporations.

    3.  Trade unions.

Bills, receipts

   (7)  A third party shall, at the request of the Chief Electoral Officer, provide the original of any bill, voucher or receipt in relation to a third party political advertising expense that is in an amount of more than $50.

Certification regarding no coordination

   (8)  Every registered third party in its third party political advertising report shall certify that the registered third party and its agents, employees, and independent contractors did not act in coordination with any registered political party, registered candidate, registered constituency association, registered nomination contestant, or registered leadership contestant, or any of their agents, employees or independent contractors.

   46.  (1)  Subsections 37.13 (1) and (2) of the Act are repealed and the following substituted:

Auditor's report

   (1)  The third party political advertising report of a third party that incurs $5,000 or more in third party political advertising expenses shall include a report made under subsection (2).

Same

   (2)  The third party's auditor shall report on the third party political advertising report and shall make any examination that will enable the auditor to give an opinion in the auditor's report as to whether the third party political advertising report presents fairly the information contained in the accounting records on which it is based.

   (2)  Clause 37.13 (3) (a) of the Act is amended by striking out "third party election advertising report" and substituting "third party political advertising report".

   47.  (1)  Subsection 38 (2) of the Act is repealed and the following substituted:

Applicable amount

   (2)  For the purposes of subsection (1), the applicable amount is 80 cents, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (2)  Subsection 38 (3.1) of the Act is repealed and the following substituted:

Applicable amount

   (3.1)  For the purposes of subsection (3), the applicable amount is $1.28, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (3)  Subsection 38 (3.4) of the Act is repealed and the following substituted:

Applicable amount

   (3.4)  For the purpose of subsection (3.3), the applicable amount is $9,310, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (4)  Section 38 of the Act is amended by adding the following subsection:

Amounts to be made public

   (3.5)  The Chief Electoral Officer shall publish the campaign expense limits for a campaign period, calculated in accordance with this section, promptly after the issuing of a writ for an election.

   48.  The Act is amended by adding the following sections immediately before the heading "Foundation":

Non-campaign expenses

   38.1  The total political advertising expenses incurred by a registered party during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, shall not exceed $1,000,000, multiplied by the indexation factor determined under section 40.1 for the calendar year and rounded to the nearest dollar.

Nomination contestants

   38.2  The total nomination period expenses incurred by a nomination contestant and any person, corporation, trade union, unincorporated association or organization acting on behalf of the nomination contestant during a nomination contest period shall not exceed,

  (a)  20 per cent of the amount that a candidate in the electoral district for which the contestant is seeking the nomination and the persons, corporations, trade unions, unincorporated associations and organizations acting on the contestant's behalf were allowed to incur during the campaign period for the most recent election before the nomination contest period; or

  (b)  if there has been a change in the boundaries of the electoral district since the most recent election, an amount determined by the Chief Electoral Officer.

   49.  Section 39 of the Act is repealed.

   50.  (1)  Section 40 of the Act is amended by adding the following subsection:

Nomination contestants

   (1.1)  Every registered nomination contestant shall appoint an auditor or firm who meets the qualifications described in subsection (1) within 30 days of receiving at least $10,000 in contributions with respect to a nomination contest or incurring expenses of at least $10,000 with respect to a nomination contest, and shall advise the Chief Electoral Officer in accordance with subsection (1).

   (2)  Subsection 40 (2) of the Act is amended,

  (a)  by striking out "appointed under subsection (1)" and substituting "appointed under subsection (1) or (1.1)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (3)  Subsection 40 (3) of the Act is repealed and the following substituted:

Persons not eligible

   (3)  No returning officer, deputy returning officer or election clerk and no nomination contestant, candidate or leadership contestant, or chief financial officer of a nomination contestant, candidate or leadership contestant, or chief financial officer of a registered party or constituency association shall act as the auditor for the nomination contestant, candidate, leadership contestant, registered party or constituency association, but nothing in this subsection makes ineligible the partners or firm with which such a person is associated from acting as an auditor for a nomination contestant, candidate or registered party or constituency association or leadership contestant.

   (4)  Subsection 40 (4) of the Act is amended,

  (a)  by striking out "subsection (1) or (2)" and substituting "subsection (1), (1.1) or (2)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (5)  Subsection 40 (6) of the Act is amended,

  (a)  by striking out "subsection (1) or (2)" and substituting "subsection (1), (1.1) or (2)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (6)  Subsection 40 (7) of the Act is amended by adding "nomination contestants" after "constituency associations" in the portion before clause (a).

   (7)  Subclause 40 (7) (a) (i) of the Act is repealed and the following substituted:

           (i)  $1,596, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (8)  Subclause 40 (7) (b) (i) of the Act is repealed and the following substituted:

           (i)  $798, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (9)  Subsection 40 (7) of the Act is amended by adding the following clause:

(b.1) to the auditor of a nomination contestant who is required to make an appointment under subsection (1.1),

           (i)  $1,064, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

          (ii)  the amount of the auditor's account to the nomination contestant;

   (10)  Subclause 40 (7) (c) (i) of the Act is repealed and the following substituted:

           (i)  $1,330, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (11)  Subclause 40 (7) (d) (i) of the Act is repealed and the following substituted:

           (i)  $1,064, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   51.  Section 40.1 of the Act is repealed and the following substituted:

Indexation factor

   40.1  (1)  For the purposes of every provision of this Act that refers to the indexation factor determined for a calendar year, and subject to subsection (2), the indexation factor is,

  (a)  for 2017, 1; and

  (b)  for a subsequent calendar year, the amount represented by the formula:

A + [A × (B/C − 1)]

in which,

         "A"  is the indexation factor for the previous year,

         "B"  is the Consumer Price Index for Ontario for the 12-month period that ended on September 30 of the previous year, and

         "C"  is the Consumer Price Index for Ontario for the 12-month period preceding the 12-month period mentioned in the description of "B".

Exception

   (2)  For the purposes of section 32.1, the indexation factor is the amount that would be represented by the formula in subsection (1) if clause (a) read "for 2021, 1; and".

Publication

   (3)  As soon as possible after the beginning of every calendar year after 2017, the Chief Electoral Officer shall publish, in accordance with subsection (4), statements of,

  (a)  the indexation factor for the current year; and

  (b)  all applicable amounts for the current year under every provision of this Act that refers to an indexation factor.

Same

   (4)  The statements shall be published,

  (a)  on a website on the Internet; and

  (b)  anywhere else the Chief Electoral Officer considers appropriate.

Two annual periods

   (5)  If a campaign period falls partly in one calendar year and partly in the next it shall, for the purposes of determining an applicable amount under section 38, be deemed to fall entirely in the earlier one.

Consumer Price Index

   (6)  In this section, the Consumer Price Index for Ontario for any 12-month period is the result arrived at by,

  (a)  determining the sum of the Consumer Price Index for Ontario as published by Statistics Canada under the authority of the Statistics Act (Canada), adjusted in the manner set in rules made and published by the Chief Electoral Officer, for each month in that period; and

  (b)  dividing the sum obtained under clause (a) by 12.

Rounding

   (7)  The result obtained from the formula in clause (6) (b) shall be adjusted in the manner set in rules made and published by the Chief Electoral Officer and rounded to the nearest thousandth or, if the result obtained is equidistant between two consecutive thousandths, to the higher thousandth.

   52.  Section 41 of the Act is repealed and the following substituted:

Annual filing of financial statement and report

   41.  (1)  The chief financial officer of every political party and constituency association registered under this Act shall, on or before May 31 in each year, file with the Chief Electoral Officer a financial statement,

  (a)  of assets and liabilities as at the end of the previous year;

  (b)  of income and expenses for the previous year, excluding election campaign expenses; and

   (c)  setting out all the information required to be recorded under subsection 34 (1) for the previous year,

of the political party or constituency association for which the chief financial officer acts, together with the auditor's report as required by subsection 40 (4).

Report to Chief Electoral Officer

   (2)  A party or constituency association that waives repayment of an amount under subsection 36 (1) shall include the details in the annual financial statement filed under this section.

   53.  The Act is amended by adding the following section:

Reporting, nomination contestants

   41.1  (1)  When a candidate is nominated with respect to a registered party for an electoral district, the registered party or the registered constituency association, if the candidate is selected by the association, shall, within 30 days after the candidate is selected, file with the Chief Electoral Officer a report setting out,

  (a)  the name of the electoral district, the registered constituency association and the registered party that the nomination concerns;

  (b)  the date on which the contest for the nomination began and the date on which the candidate was selected;

   (c)  the name and address of each nomination contestant as of the date the candidate was selected, and of their chief financial officer; and

  (d)  the name of the candidate who was selected.

Notice

   (2)  The Chief Electoral Officer shall,

  (a)  communicate to each nomination contestant the information that was reported with respect to that contestant under subsection (1); and

  (b)  publish on a website on the Internet a notice containing the information referred to in subsection (1).

Filing of nomination contestant's report

   (3)  The chief financial officer of every registered nomination contestant shall file financial statements with the Chief Electoral Officer in accordance with the following rules:

    1.  Within four months after the date that a candidate is selected, a statement shall be filed with respect to the nomination contest period.

    2.  Each statement shall show all income received and expenses incurred during the relevant period and all information required to be recorded under subsection 34 (1) in respect of that period.

    3.  Each statement shall be accompanied by the auditor's report required by subsection 40 (4), if applicable.

   54.  (1)  Subsections 42 (1) , (2) and (3) of the Act are repealed and the following substituted:

Filing of statement relating to campaign period

   (1)  The chief financial officer of every registered political party shall, within six months after polling day, file with the Chief Electoral Officer a financial statement,

  (a)  of the expenses relating to the election incurred in the campaign period; and

  (b)  of all campaign expenses, paid and outstanding, incurred in a campaign period and a statement of all disputed claims, of the political party for which the chief financial officer acts, together with the auditor's report as required by subsection 40 (4).

Filing of financial statements, candidate

   (2)  The chief financial officer of every registered candidate and every registered constituency association shall, within six months after polling day, file with the Chief Electoral Officer a financial statement,

  (a)  of all income and expenses received or incurred in the campaign period;

  (b)  of all campaign expenses, paid and outstanding, incurred in a campaign period and a statement of all disputed claims; and

   (c)  setting out all the information required to be recorded under subsection 34 (1) that relates to the campaign period,

of the candidate or constituency association for whom the chief financial officer acts, together with the auditor's report required by subsection 40 (4).

By-elections

   (3)  In relation to a by-election, subsections (1) and (2) apply only to registered political parties and registered constituency associations that received income or made expenditures in relation to the by-election and to registered candidates at the by-election.

Where general election called

   (3.1)  Where writs for a general election are issued during a campaign period relating to a by-election, the campaign period relating to the by-election shall, for the purposes of subsections (1) and (2), be deemed to have terminated on the day before the day the writs for the general election were issued and the financial statements referred to in subsections (1) and (2) shall be filed with the Chief Electoral Officer within three months after the deemed termination of the campaign period.

   (2)  The French version of subsection 42 (4) of the Act is amended by striking out "candidats à la direction d'un parti inscrits" in the portion before paragraph 1 and substituting "candidats à la direction inscrits".

   55.  Clause 43 (2) (b) of the Act is amended by striking out "section 42" and substituting "subsection 41.1 (3) or section 42, as the case may be".

   56.  (1)  Subsection 44 (1) of the Act is amended by striking out "15 per cent" in the portion before clause (a) and substituting "five per cent".

   (2)  Subsection 44 (6) of the Act is amended by striking out "statement of income and expenses" and substituting "statement of expenses".

   57.  The Act is amended by adding the following section:

Additional penalty, third parties

   46.0.2  Any third party that contravenes section 37.10.1 is liable, in addition to the any other applicable penalty, to a further fine not exceeding five times the amount by which the third party exceeded the applicable limit under that section.

   58.  The French version of the Act is amended by striking out "candidat inscrit à la direction d'un parti" wherever it appears and substituting in each case "candidat à la direction inscrit".

Government Advertising Act, 2004

   59.  Subsection 8 (3) of the Government Advertising Act, 2004 is repealed and the following substituted:

On use during election periods

   (3)  Despite notice or deemed notice that an item meets the standards, a government office shall not publish, display, broadcast, distribute or convey the item, unless permitted under subsection (4), during the following periods:

    1.  The period beginning on the day of the issue of a writ under the Election Act for a general election and ending on polling day, in the case of any general election.

    2.  The additional period of 60 consecutive days ending on the day of the issue of a writ under the Election Act, in the case of a general election held in accordance with subsection 9 (2) of the Election Act.

Taxation Act, 2007

   60.  (1)  Subsection 53.1 (2) of the Taxation Act, 2007 is amended by striking out "A contribution made by a corporation during a taxation year" at the beginning and substituting "A contribution made by a corporation during a taxation year and before January 1, 2017".

   (2)  Clause 53.2 (b) of the Act is repealed and the following substituted:

  (b)  the amount determined by multiplying the corporation's basic tax rate for the year by,

           (i)  if the taxation year ends before January 1, 2017, the amount determined by multiplying $15,000 by the indexation factor determined under section 40.1 of the Election Finances Act, as it read at the end of that taxation year, in respect of the calendar year in which the taxation year ends, or

          (ii)  if the taxation year ends after December 31, 2016, $19,950; and

   (3)  The definitions of "eligible contributions" and "recorded agent" in subsection 102 (6) of the Act are repealed and the following substituted:

"eligible contributions" means, in respect of an individual for a taxation year, all contributions made by the individual in the year to leadership contestants, candidates, constituency associations or parties registered under the Election Finances Act; ("contributions admissibles")

"recorded agent" means a person on record with the Chief Electoral Officer as being authorized to accept contributions on behalf of a leadership contestant, political party, constituency association or candidate registered under the Election Finances Act; ("agent désigné")

   (4)  The definition of "first contribution level" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$300" and substituting "$399"; and

  (b)  striking out "five-year period" and substituting "calendar year".

   (5)  The definition of "second contribution level" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$1,000" and substituting "$1,330"; and

  (b)  striking out "five-year period" and substituting "calendar year".

   (6)  The definition of "tax credit limit" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$1,000" and substituting "$1,330"; and

  (b)  striking out "five-year period" and substituting "calendar year".

Commencement and Short Title

Commencement

   61.  This Act comes into force on January 1, 2017.

Short title

   62.  The short title of this Act is the Election Finances Statute Law Amendment Act, 2016.

 

EXPLANATORY NOTE

This Explanatory Note was written as a reader's aid to Bill 2 and does not form part of the law.  Bill 2 has been enacted as Chapter 22 of the Statutes of Ontario, 2016.

A number of amendments are made to the Election Finances Act. Among them:

    1.   Corporations and trade unions are prohibited from making contributions to parties, constituency associations, nomination contestants, candidates and leadership contestants. Contribution limits for individuals are reduced.

    2.   "Nomination contestants" - persons seeking to be endorsed as a party's candidate in an electoral district - are brought within the Act, on and from July 1, 2017.

    3.   Quarterly allowances are made payable to registered parties and constituency associations.

    4.   The rules regarding loans and loan guarantees are made more restrictive.

    5.   Restrictions are placed on the persons who may attend fund-raising events.

    6.   Restrictions are placed on the amounts that third parties may spend on political advertising during elections and the six-month period before scheduled general election periods.

    7.   Restrictions are placed on the political advertising spending of registered political parties during the six-month period before scheduled general elections periods.

    8.   The indexation factor used for inflation adjustment is put on an annual basis, based on changes in the Consumer Price Index for Ontario.

    9.   The threshold at which candidates are entitled to receive partial reimbursement of their campaign expenses is reduced from 15 per cent of the popular vote to five per cent.

The Government Advertising Act, 2004 is amended to extend the prohibition on government advertising to 60 days before the issue of an election writ for scheduled general elections.

The Taxation Act, 2007 is amended to make contributions to leadership contestants eligible for tax credits, and to deal with the prohibition on corporate contributions.

[41] Bill 2 As Amended by Standing Committee (PDF)

Bill 2 2016

An Act to amend various statutes with respect to election matters

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

Election Finances Act

   1.  (1)  The definition of "contribution" in subsection 1 (1) of the Election Finances Act is repealed and the following substituted:

"contribution" does not include,

  (a)  any goods produced, or services performed, for any political party, constituency association, nomination contestant, candidate or leadership contestant by voluntary labour, and

  (b)  any money, goods or services solicited by or donated to a political party, constituency association, nomination contestant, candidate or leadership contestant for purposes other than the purposes set forth in subsections 10 (1), 11 (1), 12.1 (1), 13 (2) and 14 (1), respectively; ("contribution")

   (2)  Subsection 1 (1) of the Act is amended by adding the following definitions:

"nomination contestant" means a person seeking endorsement as an official party candidate for an electoral district; ("candidat à l'investiture")

"nomination contest period" means, with respect to a nomination contestant, the period that begins when the contestant first receives or spends funds for the purpose of achieving the endorsement, and ends when the candidate for the electoral district is selected; ("période de course à l'investiture")

   (3)  The definition of "person" in subsection 1 (1) of the Act is repealed and the following substituted:

"person" includes a nomination contestant, a candidate and a leadership contestant, but does not include a corporation or trade union; ("personne")

   (4)  The definition of "political advertising" in subsection 1 (1) of the Act is repealed and the following substituted:

"political advertising" means advertising in any broadcast, print, electronic or other medium with the purpose of promoting or opposing any registered party or its leader or the election of a registered candidate and includes advertising that takes a position on an issue that can reasonably be regarded as closely associated with a registered party or its leader or a registered candidate and "political advertisement" has a corresponding meaning, but for greater certainty does not include,

  (a)  the transmission to the public of an editorial, a debate, a speech, an interview, a column, a letter, a commentary or news,

  (b)  the distribution of a book, or the promotion of the sale of a book, for no less than its commercial value, if the book was planned to be made available to the public regardless of whether there was to be an election,

   (c)  communication in any form directly by a person, group, corporation or trade union to their members, employees or shareholders, as the case may be,

  (d)  the transmission by an individual, on a non-commercial basis on the Internet, of his or her personal political views, or

  (e)  the making of telephone calls to electors only to encourage them to vote; ("publicité politique", "annonce politique")

   (5)  Subsection 1 (1) of the Act is amended by adding the following definition:

"registered nomination contestant" means a nomination contestant registered under this Act; ("candidat à l'investiture inscrit")

   (6)  Subsection 1 (1) of the Act is amended by adding the following definition:

"voluntary labour" means any service provided free of charge by a person outside their working hours, but does not include such a service provided by a person who is self-employed if the service is one that is normally charged for by that person; ("travail bénévole")

   (7)  Subsection 1 (3) of the Act is repealed.

   (7)  Subsection 1 (3) of the Act is repealed and the following substituted:

Application re nomination contestants

   (3)  The requirements of this Act respecting nomination contests, nomination contestants and registered nomination contestants apply on and after July 1, 2017.

   (8)  Subsection 1 (4) of the Act is repealed.

   2.  (1)  Clause 2 (1) (a) of the Act is amended by adding "nomination contestants" after "constituency associations".

   (2)  Clause 2 (1) (b) of the Act is amended by adding "registered nomination contestant" after "constituency association".

   (3)  Clause 2 (1) (d) of the Act is amended by adding "registered nomination contestants" after "registered constituency associations".

   (4)  Clause 2 (1) (j) of the Act is amended by adding "nomination contestants" after "constituency associations".

   (5)  Clauses 2 (5) (a) and (b) of the Act are repealed and the following substituted:

  (a)  changes in limits on contributions to registered constituency associations, nomination contestants, candidates, political parties or leadership contestants;

  (b)  changes in limits on campaign expenses that may be incurred during a relevant period by candidates, political parties, nomination contestants or leadership contestants;

   (6)  Clause 2 (5) (d) of the Act is amended by adding "nomination contestants" after "constituency associations".

   3.  Section 6 of the Act is amended by adding "nomination contestant" after "constituency association".

   4.  Subsection 7 (1) of the Act is amended by adding "nomination contestant" after "constituency association".

   5.  Subsection 10 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

   6.  Subsection 11 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

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

Nomination contestants

   12.1  (1)  No person and no person, organization or entity acting on behalf of that person and no political party or any of its associations or organizations acting on behalf of that person shall accept contributions for the candidacy of that person in a contest related to seeking endorsement as an official party candidate unless that person is a nomination contestant registered under this Act.

Notice of nomination contest

   (2)  A registered party or registered constituency association that proposes to hold a nomination contest shall file with the Chief Electoral Officer a statement setting out the date of the official call of the nomination contest and the date fixed for the vote.

Application for registration

   (3)  The Chief Electoral Officer shall maintain a register of nomination contestants in relation to each nomination contest and, subject to this section, shall register in it any nomination contestant who files an application for registration with the Chief Electoral Officer setting out,

  (a)  the full name of the nomination contestant;

  (b)  the address of the place or places in Ontario where records of the nomination contestant are maintained and of the place in Ontario to which communications may be addressed;

   (c)  the party affiliation of the nomination contestant;

  (d)  the names of the principal officers, including the chief financial officer of the nomination contestant and the auditor, if any;

  (e)  the names of all persons authorized by the nomination contestant to accept contributions;

   (f)  the name and address of every financial institution that is lawfully entitled to accept deposits to be used by or on behalf of the nomination contestant as the depositories for all contributions made to that nomination contestant; and

  (g)  the names of the persons responsible for each depository referred to in clause (f).

Deemed registered on day of filing

   (4)  A nomination contestant who files an application under subsection (3) shall be deemed to be registered on the day of filing.

Variation of register

   (5)  Where any of the information referred to in clauses (3) (b) to (g) is altered, the nomination contestant shall promptly notify in writing the Chief Electoral Officer of the alteration and, upon receipt of the notice, the Chief Electoral Officer shall vary the register of nomination contestants accordingly.

Contestant's funds considered contribution

   (6)  Any money used for a registered nomination contestant's campaign out of the contestant's own funds shall be considered to be a contribution for the purposes of this Act and every registered nomination contestant shall submit to his or her chief financial officer a statement in writing setting forth all nomination contest expenses paid or to be paid out of the contestant's own funds, together with all receipts and claims therefor, within three months after the date that a candidate is selected.

Surplus funds

   (7)  Where, after the candidate is selected for the electoral district, there is a surplus in the funds raised for the purposes of the nomination contestant's campaign, the contestant shall pay the funds over to the relevant constituency association, except that if the nomination contestant is selected as the candidate for the electoral district, he or she may pay the funds into his or her depository for contributions as a candidate.

   8.  Subsection 13 (2) of the Act is amended by striking out "and no person, corporation or trade union" and substituting "and no person, organization or entity".

   9.  (1)  Subsection 14 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

   (2)  Section 14 of the Act is amended by adding the following subsections:

Requirement to register

   (2.1)  When the post of leader of a registered party has become vacant, a person who is seeking election as leader of the registered party is required to register under this section even if the party has not filed a statement under subsection (2).

When seeking election

   (2.2)  For the purposes of subsection (2.1), a person is deemed to be seeking election as leader of a registered party as soon as the person or a person, organization or entity acting of the behalf of the person incurs expenses for goods or services in relation to a leadership contest or accepts contributions in relation to a leadership contest.

   (3)  Subsection 14 (4) of the Act is repealed.

   10.  (1)  Subsection 16 (1) of the Act is repealed and the following substituted:

Contributions

Who may contribute

   (1)  Contributions to parties, constituency associations, nomination contestants, candidates and leadership contestants registered under this Act may be made only by persons individually.

   (2)  Subsection 16 (2) of the Act is amended by adding "nomination contestants" after "constituency associations" in the portion before clause (a).

   (3)  Subsection 16 (3) of the Act is amended by adding "nomination contestant" after "constituency association".

   11.  (1)  Subsection 17 (1) of the Act is amended by adding "nomination contestant" after "constituency association".

   (2)  Subsection 17 (2) of the Act is amended by adding "nomination contestant" after "constituency association".

   12.  (1)  Subsection 18 (1) of the Act is repealed and the following substituted:

Maximum contributions

Registered parties

   (1)  The contributions a person makes to any one registered party shall not exceed, in a calendar year, $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

Constituency associations, nomination contestants

   (1.1)  The contributions a person makes to registered constituency associations and registered nomination contestants of any one registered party shall not exceed, in a calendar year, $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

Candidates of party

   (1.2)  The contributions a person makes to registered candidates of any one registered party shall not exceed, in a campaign period, $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the campaign period commences and rounded to the nearest dollar.

Non-party candidates

   (1.3)  The contributions a person makes to all registered candidates not endorsed by a registered party shall not exceed, in a campaign period, $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the campaign period commences and rounded to the nearest dollar.

Leadership contestants

   (1.4)  The contributions a person makes to any one registered leadership contestant of a registered party shall not exceed, in a calendar year that falls during a leadership contest period or during which the contestant is required to be registered by virtue of subsection 14 (2.1), $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

   (2)  Section 18 of the Act is amended by adding the following subsections:

Exception for own campaign, candidate

   (4)  Despite subsections (1.2) and (1.3), a registered candidate may make contributions, to be used for the candidate's own campaign, and out of the candidate's own funds, that do not exceed $5,000 in total during a campaign period.

Same, leadership contestant

   (5)  Despite subsection (1.4), a registered leadership contestant may make contributions, to be used for the contestant's own leadership campaign, and out of the contestant's own funds, that do not exceed $25,000 in total during a leadership contest period, combined with any period during which the contestant is required to be registered under subsection 14 (2.1).

Other limits not reduced

   (6)  For greater clarity, subsections (4) and (5) do not reduce the amount that the registered candidate or registered leadership contestant, as the case may be, may contribute under this section to other registered candidates or registered leadership contestants, as the case may be.

   13.  (1)  Subsection 19 (1) of the Act is repealed and the following substituted:

Contributor to contribute only funds belonging to contributor

   (1)  No person shall contribute to any political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act,

  (a)  funds that do not actually belong to the person; or

  (b)  any funds that have been given or furnished by any person or group of persons or by a corporation or trade union for the purpose of making a contribution.

   (2)  Subsection 19 (2) of the Act is amended by adding "nomination contestant" after "constituency association".

   (3)  Section 19 of the Act is amended by adding the following subsection:

Certification by donor

   (3)  Every person who makes a contribution described in section 18 shall, at the time of making the contribution, certify, in a form approved by the Chief Electoral Officer, that the person has not acted contrary to subsection (1) of this section.

   14.  Section 20 of the Act is amended by adding "nomination contestant" after "constituency association".

   15.  (1)  Subsection 21 (1) of the Act is amended by adding "nomination contestant" after "constituency association" in the portion before clause (a).

   (2)  Subsection 21 (2) of the Act is repealed and the following substituted:

Amounts of $100 or less may be considered not a contribution

   (2)  The provision of goods or services to a political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act in any year, having a value, in the aggregate, of $100 or less may, at the option of the person providing the goods or services, be considered not to be a contribution for the purposes of this Act.

   (3)  Subsection 21 (3) of the Act is amended by adding "nomination contestant" after "constituency association".

   16.  (1)  Subsections 22 (1), (2) and (3) of the Act are repealed and the following substituted:

Advertising as contribution

   (1)  Political advertising constitutes a contribution for the purposes of this Act if,

  (a)  it promotes a registered party, the nomination of a registered nomination contestant, the election of a registered candidate or the leadership of a registered leadership contestant;

  (b)  it is provided or arranged for by a person, organization or entity in coordination with the party, contestant or candidate, or the registered constituency association of the candidate; and

   (c)  its value as determined under section 21 is more than $100.

Cost

   (2)  Clause (1) (c) applies to,

  (a)  a single political advertisement whose value is more than $100; and

  (b)  two or more political advertisements whose aggregate value is more than $100, if they,

           (i)  appear during the same calendar year, and

          (ii)  are provided or arranged for by the same person.

Campaign expense

   (3)  A contribution described in subsection (1) that is made during an election campaign constitutes a campaign expense of the party or candidate promoted.

   (2)  Subsection 22 (5) of the Act is repealed and the following substituted:

Identification

   (5)  No person, registered party or registered constituency association shall cause a political advertisement to appear without providing the following information to the broadcaster or publisher, in writing:

    1.  The name of the person, registered party or registered constituency association who is causing the political advertisement to appear.

    2.  The name, business address and telephone number of the individual who deals with the broadcaster or publisher on behalf of the person or entity mentioned in paragraph 1.

    3.  The name of any other person, registered party or registered constituency association who is sponsoring or paying for the political advertisement.

   (3)  Subsection 22 (9) of the Act is repealed and the following substituted:

Information to be included in political advertisement

   (9)  A political advertisement in any medium shall name,

  (a)  the person, registered party, registered constituency association or other organization or entity who is causing it to appear; and

  (b)  any other person, registered party, registered constituency association or other organization or entity who is sponsoring or paying for it.

   17.  The Act is amended by adding the following section:

Coordination rules

   22.1  (1)  Coordination, as referred to in clause 22 (1) (b), is deemed to have occurred if a registered political party, registered candidate, registered constituency association, registered nomination contestant or registered leadership contestant, or any of their agents, employees or independent contractors,

  (a)  requested or suggested that the advertisement be created, produced or distributed, or assented to its creation, production or distribution;

  (b)  was materially involved in decisions regarding the content, audience, dissemination, or distribution of the advertisement;

   (c)  engaged in substantial discussions regarding the advertisement with the person, organization or entity responsible for the advertisement or its agents, employees or independent contractors that were material to the creation, production, or distribution of the advertisement; or

  (d)  conveyed information about the plans or needs of a registered political party, registered candidate, registered nomination contestant or registered leadership contestant for the purpose of contributing materially to the creation, production or distribution of the advertisement.

No formal agreement necessary

   (2)  For greater certainty, coordination can occur even in the absence of a formal agreement.

Activities not constituting coordination

   (3)  The following activities do not, on their own, constitute coordination:

    1.  Endorsement of a registered political party, registered candidate, registered nomination contestant or registered leadership contestant, or the communication directly, in any form, of such an endorsement by a person, group, corporation or trade union to their members, employees or shareholders, as the case may be.

    2.  Inquiries as to the position of a registered political party, registered candidate, registered constituency association, registered nomination contestant or registered leadership contestant on legislation or a policy matter.

    3.  The exchange of, or reliance upon, publicly available information.

    4.  Mutual attendance at a public event or an invitation to attend a public event.

    5.  The use of a common vendor.

    6.  The conveyance of information that is not material to the creation, production or distribution of the advertisement.

   18.  (1)  The definition of "fund-raising activity" in subsection 23 (1) of the Act is amended by adding "nomination contestant" after "constituency association".

   (2)  Subsection 23 (2) of the Act is amended by adding "nomination contestant" after "constituency association".

   (3)  Subsection 23 (3) of the Act is amended by adding "nomination contestant" after "constituency association".

   (4)  Section 23 of the Act is amended by adding the following subsections:

Information re fund-raising activities

   (6)  Every registered party to which section 25.1 applies shall post on its website the following information respecting every fund-raising activity held by or on behalf of the party, its constituency associations and candidates:

    1.  The date of the fund-raising activity.

    2.  The location of the fund-raising activity.

    3.  The amount of the charge, if any, for attending the fund-raising activity.

    4.  The identity of the recipient or recipients of the funds to be raised at the fund-raising activity.

Timing

   (7)  The registered party shall post the information described in subsection (6),

  (a)  at least seven days before the date of the fund-raising activity; or

  (b)  in the case of a fund-raising activity that is to take place during the period commencing with the issue of a writ for an election and terminating on election day, at least three days before the date of a fund-raising activity.

   (5)  Section 23 of the Act is amended by adding the following subsection:

Limit on contributions

   (8)  The total contribution made with respect to a single fund-raising activity by a contributor may not exceed $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the fund-raising activity is held and rounded to the nearest dollar.

   18.  Section 23 of the Act is repealed and the following substituted:

Fund-raising events

   23.  (1)  In this section,

"fund-raising event" means an event held for the purpose of raising funds for the party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act by whom or on whose behalf the event is held, and where a charge by the sale of tickets or otherwise is made for attendance.

Income to be reported

   (2)  The gross income from any fund-raising event shall be recorded and reported to the Chief Electoral Officer by the chief financial officer of the party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act that held the event or on whose behalf the event was held.

Where amounts to be considered contribution

   (3)  Any amount paid for goods or services, other than advertising services, offered for sale at a fund-raising event in excess of the highest amount charged, at or about the time the goods or services are provided, by any other person providing similar goods on a commercial retail basis or similar services on a commercial basis in the market area in which the goods or services are provided, shall be considered to be a contribution for the purposes of this Act.

Same, advertising

   (4)  Any amount paid for advertising services offered for sale in connection with a fund-raising event shall be considered to be a contribution for the purposes of this Act.

Information re fund-raising events

   (5)  Every registered party to which section 25.1 applies shall post on its website the following information respecting every fund-raising event to be held by or on behalf of the party, its constituency associations and candidates:

    1.  The date of the fund-raising event.

    2.  The location of the fund-raising event.

    3.  The amount of the charge for attending the fund-raising event.

    4.  The identity of the recipient or recipients of the funds to be raised at the fund-raising event.

Timing

   (6)  The registered party shall post the information described in subsection (5),

  (a)  at least seven days before the date of the fund-raising event; or

  (b)  in the case of a fund-raising event that is to take place during the period commencing with the issue of a writ for an election and terminating on election day, at least three days before the date of a fund-raising event.

Limit on contributions

   (7)  The total contribution made with respect to a single fund-raising event by a contributor may not exceed $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the fund-raising event is held and rounded to the nearest dollar.

Attendance at fund-raising events prohibited

   23.1  (1)  None of the following may attend a fund-raising event:

    1.  A member of the Assembly.

    2.  The leader of a registered party.

    3.  A nomination contestant, candidate or leadership contestant registered under this Act.

    4.  Any person employed in the Office of the Premier.

    5.  The Chief of Staff of a Minister of the Crown, or a person holding an equivalent position for a Minister of the Crown, regardless of title.

    6.  Any person employed as a member of the staff of the leader of a recognized party within the meaning of subsection 62 (5) of the Legislative Assembly Act.

Saving

   (2)  For greater certainty, nothing in subsection (1) prevents a person mentioned in that subsection from,

  (a)  attending an event held by or on behalf of a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act where a charge by the sale of tickets or otherwise is made exclusively to recover the costs of holding the event, and where any money raised in excess of the amount required for cost recovery is promptly paid to the Chief Electoral Officer; or

  (b)  soliciting contributions by mail, telephone, electronic communication or other means.

Definitions

   (3)  In this section,

"fund-raising event" has the same meaning as in section 23.

   19.  Section 24 of the Act is amended by striking out "candidate" wherever it appears and substituting in each case "nomination contestant, candidate".

   20.  (1)  Subsection 25 (1) of the Act is amended by striking out "candidate" and substituting "nomination contestant, candidate".

   (2)  Subsection 25 (2) of the Act is amended by striking out "candidate" and substituting "nomination contestant, candidate".

   21.  (1)  Clause 25.1 (1) (a) of the Act is amended by striking out "and registered candidates" and substituting "registered candidates and registered leadership contestants".

   (2)  Section 25.1 of the Act is amended by adding the following subsection:

Same

   (4.1)  The chief financial officer of a registered leadership contestant is responsible for ensuring that all contributions received by the contestant are recorded in the party's electronic database.

   (3)  Subsection 25.1 (6) of the Act is repealed and the following substituted:

Same

   (6)  The chief financial officers of registered constituency associations, registered candidates and registered leadership contestants shall not issue receipts for contributions, and subsection 25 (1) and clause 33 (4) (c) do not apply to them.

   (4)  Subsection 25.1 (8) of the Act is repealed.

   22.  Subsections 26 (1), (1.1) and (2) of the Act are repealed and the following substituted:

Group contributions

   (1)  No contribution to a political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall be made through any trade union, unincorporated association or organization, except an affiliated political organization in accordance with subsection (3).

Same

   (2)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall accept a contribution made in contravention of subsection (1).

   23.  Section 28 of the Act is repealed and the following substituted:

Parties, etc., not to receive contributions in excess of limitations

   28.  No political party, constituency association, nomination contestant, leadership contestant or candidate registered under this Act and no person on their behalf shall knowingly accept any contributions in excess of the limits imposed by this Act.

   24.  Subsection 29 (1) of the Act is repealed and the following substituted:

Prohibition on acceptance, transfer, etc.

   (1)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly knowingly accept contributions from any corporation or trade union.

No contribution from outside Ontario

   (1.1)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly knowingly accept contributions from any person normally resident outside Ontario.

No transfer to unregistered entities

   (1.2)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly contribute or transfer funds to any political party, constituency association, nomination contestant, candidate or leadership contestant not registered under this Act, including a federal political party registered under the Canada Elections Act, any federal constituency association or candidate at a federal election endorsed by such federal political party, any federal nomination contestant or leadership contestant and any candidate at a municipal election under the Municipal Elections Act, 1996, except that during an election period as defined in the Canada Elections Act a registered party may transfer to a federal political party registered under the Canada Elections Act an amount not exceeding, in the aggregate, $100 for each candidate at a federal election in a federal electoral district in Ontario who is endorsed as a candidate by that federal political party.

   25.  Section 31 of the Act is repealed.

   26.  Section 32 of the Act is amended by striking out "registered candidate" and substituting "registered nomination contestant, registered candidate".

   27.  The Act is amended by adding the following section:

Quarterly Allowance

Quarterly allowance

   32.1  (1)  The Chief Electoral Officer shall determine, for each quarter of a calendar year, an allowance payable to a registered party whose candidates at the most recent general election before that quarter received at least,

  (a)  two per cent of the number of valid votes cast; or

  (b)  five per cent of the number of valid votes cast in the electoral districts in which the registered party endorsed a candidate.

How allowance calculated

   (2)  Each registered party's allowance for a quarter is the amount calculated by the following rules:

    1.  In the 2017 calendar year, $0.678 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    2.  In the 2018 calendar year, $0.636 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    3.  In the 2019 calendar year, $0.594 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    4.  In the 2020 calendar year, $0.552 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    5.  In each subsequent calendar year, $0.510 multiplied by the indexation factor determined for the calendar year under section 40.1 and further multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

Merged parties

   (3)  A merged party is entitled to the aggregate of the allowances to which the merging parties of which it is composed would have been entitled if they had not merged.

Constituency association allowance

   (3.1)  The Chief Electoral Officer shall determine, for each quarter of a calendar year commencing with the 2017 calendar year, an allowance payable to each registered constituency association.

How allowance calculated

   (3.2)  Each registered constituency association's allowance for a quarter is the amount calculated by the following rules:

    1.  For each electoral district, take $6,250, multiplied by the indexation factor determined for the calendar year under section 40.1.

    2.  Subject to paragraphs 3 and 4, divide the amount determined under paragraph 1 among the registered constituency associations of the electoral district, based on the percentage of the total number of valid votes the registered candidates associated with the registered parties of the constituency associations received in the electoral district at the most recent election.

    3. No amount is payable to a registered constituency association where the registered candidate associated with the registered party of the constituency association received fewer than two per cent of the valid votes cast at the most recent election.

    4.  If, since the most recent election, a redistribution of electoral districts has necessitated changes regarding registered constituency associations in order to align registered constituency associations with the redistributed electoral districts, the amount shall be divided among the registered constituency associations of the redistributed electoral district in a manner determined by the Chief Electoral Officer.

Condition of payment

   (3.3)  An allowance is only payable to a registered constituency association for a quarter if all documents that it was required to file with the Chief Electoral Officer in the four year period immediately before the quarter have been filed and are complete.

Review

   (4)  On or before December 31, 2021, the Lieutenant Governor in Council shall conduct a review of this section.

   28.  (1)  Subsection 33 (2) of the Act is amended by striking out "Every candidate" at the beginning and substituting "Every nomination contestant, every candidate".

   (2)  Subsection 33 (3) of the Act is amended by adding "nomination contestant" after "constituency association" wherever it appears.

   (3)  Subsection 33 (4) of the Act is amended by adding "nomination contestant" after "constituency association" wherever it appears in the portion before clause (a).

   29.  Subsections 34 (2) and (3) of the Act are repealed and the following substituted:

Recording of contributions

   (2)  A contribution shall be recorded if it is accepted,

  (a)  on behalf of a registered political party, registered constituency association or registered nomination contestant, in any year;

  (b)  on behalf of a registered candidate, in a campaign period; or

   (c)  on behalf of a registered leadership contestant, in the leadership contest period or in any period during which the contestant is required to be registered by virtue of subsection 14 (2.1).

   30.  (1)  Clause 34.1 (2) (a) of the Act is repealed and the following substituted:

  (a)  on behalf of a registered political party, in any year; or

   (2)  Subsection 34.1 (4) of the Act is amended by striking out "10 days" and substituting "two days".

   (3)  Subsection 34.1 (6) of the Act is repealed.

   31.  (1)  Subsection 35 (1) of the Act is repealed and the following substituted:

Borrowing

   (1)  A political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act may, if subsection (2) is complied with, borrow money from,

  (a)  a financial institution; or

  (b)  a registered party or constituency association.

   (2)  Subsections 35 (3), (4), (5) and (6) of the Act are repealed and the following substituted:

Prohibition, receiving loan

   (3)  No party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall receive any support in the form of a loan, except as provided in subsection (1).

Prohibition, receiving support in form of guarantee, etc.

   (4)  No party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall receive any support in the form of a guarantee or collateral security, except from,

  (a)  a financial institution or entity that would be entitled to make a loan to the party, constituency association, nomination contestant, candidate or leadership contestant under subsection (1); or

  (b)  a person who would be entitled to make a contribution under this Act.

Prohibition, making loan

   (5)  No person or entity, other than one listed in clause (1) (a) or (b), shall make a loan to a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

Financial institutions and market rate

   (6)  No financial institution that may make a loan under this section may make the loan at a rate of interest below the applicable market rate charged by the financial institution for an equivalent amount at or about the time and in the market area where the loan is provided.

Prohibition, giving guarantee, etc.

   (6.1)  No person or entity, other than a person who would be entitled to make a contribution under this Act, shall guarantee or provide collateral security for a loan to a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

   (3)  Subsection 35 (8) of the Act is repealed and the following substituted:

Guarantee as contribution

   (8)  The amount of a guarantee made by a guarantor who is entitled to make a contribution is a contribution for the purposes of this Act.

Time limits, loan

   (9)  Every nomination contestant, leadership contestant, candidate, party or constituency association who receives a loan to which this section applies shall repay the loan in full no more than two years from,

  (a)  in the case of a nomination contestant, the date that a candidate is selected for the electoral district for the nomination contestant's party;

  (b)  in the case of a leadership contestant, the date that a leader is selected for the contestant's party;

   (c)  in the case of a candidate, polling day; or

  (d)  in the case of a party or constituency association, the day that the loan is due according to its terms.

Time limits, guarantee

   (10)  No person who makes a guarantee of a loan to which this section applies shall guarantee the loan for a period longer than the applicable period under subsection (9).

   32.  Subsections 36.1 (1) and (2) of the Act are repealed and the following substituted:

Prohibition

   (1)  No person, organization or entity, including, for greater certainty, a political party, constituency association, corporation, trade union or third party shall publish, broadcast or transmit to the public, in an electoral district on polling day before the close of all the polling stations in that electoral district, the results of an election survey that have not previously been made available to the public.

   33.  The Act is amended by adding the following section:

Considerations re political advertising

   37.0.1  In determining whether an advertisement is a political advertisement, the Chief Electoral Officer shall consider, in addition to any other relevant factors,

  (a)  whether it is reasonable to conclude that the advertising was specifically planned to coincide with the period referred to in section 37.10.1;

  (b)  whether the formatting or branding of the advertisement is similar to a registered political party's or registered candidate's formatting or branding or election material;

   (c)  whether the advertising makes reference to the election, election day, voting day, or similar terms;

  (d)  whether the advertisement makes reference to a registered political party or registered candidate either directly or indirectly;

  (e)  whether there is a material increase in the normal volume of advertising conducted by the person, organization, or entity;

   (f)  whether the advertising has historically occurred during the relevant time of the year;

  (g)  whether the advertising is consistent with previous advertising conducted by the person, organization, or entity;

  (h)  whether the advertising is within the normal parameters of promotion of a specific program or activity; and

    (i)  whether the content of the advertisement is similar to the political advertising of a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

   34.  The Act is amended by adding the following section:

Non-application re government advertising

   37.0.2  For greater certainty,

  (a)  nothing in this Act affects government advertising by the Government of Canada, the Government of Ontario, the government of another province or territory of Canada, or the government of a municipality, or by any part of such a government;

  (b)  no government or part of a government mentioned in clause (a) is a third party for the purposes of this Act.

   35.  (1)  The definitions of "third party election advertising" and "third party election advertising expense" in section 37.1 of the Act are repealed.

   (2)  Section 37.1 of the Act is amended by adding the following definitions:

"third party political advertising" means political advertising placed by or on behalf of a third party, and "third party political advertisement" has a corresponding meaning; ("publicité politique de tiers", "annonce politique de tiers")

"third party political advertising expense" means an expense incurred in relation to,

  (a)  the production of a third party political advertisement, or

  (b)  the acquisition of the means of transmission of a third party political advertisement to the public. ("dépenses de publicité politique de tiers")

   36.  Section 37.2 of the Act is repealed and the following substituted:

Categorization of expenses

   37.2  The following rules apply in determining whether an amount of expenses is incurred for third party political advertising during a period referred to in section 37.10.1:

    1.  An amount that is paid by a third party for third party political advertising with respect to a relevant period is included whether it is paid before, during or after the period.

    2.  If a combined amount is paid for both third party political advertising with respect to a relevant period and other third party political advertising, the amount shall be apportioned according to when the advertising appears.

   37.  Section 37.4 of the Act is amended by striking out "third party election advertisements" at the end and substituting "third party political advertisements during a period referred to in section 37.10.1".

   38.  (1)  Subsection 37.5 (1) of the Act is repealed and the following substituted:

Registration requirement for third parties

   (1)  A third party shall apply for registration under this section immediately after having incurred expenses of a total amount of $500 for third party political advertising during a period referred to in section 37.10.1.

   (2)  Subsection 37.5 (5) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   (3)  Subsection 37.5 (7) of the Act is repealed.

   (4)  Subsection 37.5 (10) of the Act is repealed and the following substituted:

Registration ends

   (10)  The registration of a third party ceases to be valid at the end of every election period in respect of which the third party was registered, but the third party continues to be subject to the requirement to file a third party political advertising report under subsection 37.12 (1).

   39.  Clause 37.6 (2) (d) of the Act is amended by striking out "third party advertising election report" and substituting "third party political advertising report".

   40.  (1)  Subsection 37.7 (1) of the Act is repealed and the following substituted:

Requirement to appoint auditor

   (1)  A third party that incurs expenses in an aggregate amount of $5,000 or more for third party political advertising during a period referred to in section 37.10.1 shall appoint an auditor without delay.

   (2)  Paragraph 5 of subsection 37.7 (3) of the Act is amended by adding "or of another registered third party" at the end.

   41.  (1)  Subsection 37.9 (1) of the Act is repealed and the following substituted:

Duty of chief financial officer

Acceptance of contributions

   (1)  Every contribution that is made to a registered third party during a period referred to in section 37.10.1 shall be accepted by its chief financial officer if it is made for the purpose of third party political advertising.

   (2)  Subsection 37.9 (2) of the Act is amended by striking out "third party election advertising expense" and substituting "third party political advertising expense".

   42.  (1)  Subsection 37.10 (1) of the Act is amended by striking out "third party election advertising" in the portion before clause (a) and substituting "third party political advertising during a period referred to in section 37.10.1".

   (2)  Subsection 37.10 (2) of the Act is repealed and the following substituted:

Same

   (2)  No third party shall use a contribution for the purpose of third party political advertising if the third party does not know the name and address of the contributor or is otherwise unable to determine within which class of contributor referred to in subsection 37.12 (6) they fall.

   (3)  Subsection 37.10 (3) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   43.  The Act is amended by adding the following section:

Spending limit

   37.10.1  (1)  No third party shall spend,

  (a)  more than $4,000 in any electoral district for the purpose of third party political advertising in that district during any election period, whether for a by-election or a general election, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar; or

  (b)  more than $100,000 in total for the purpose of third party political advertising during any election period for a general election, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar.

Same, non-election period

   (2)  No third party shall spend,

  (a)  more than $24,000 in in any electoral district for the purpose of third party political advertising in that district during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar; or

  (b)  more than $600,000 in total for the purposes of third party political advertising during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar.

No combination to exceed limit

   (3)  No third party shall circumvent, or attempt to circumvent, a limit set out in this section in any manner, including by splitting itself into two or more third parties for the purpose of circumventing the limit or acting in collusion with another third party so that their combined political advertising expenses exceed the applicable limit or by colluding with a registered political party, registered constituency association, registered candidate, or registered nomination contestant for the purpose of circumventing the limit.

Collusion

   (4)  No third party that is not entitled to make a contribution under subsection 16 (1) shall engage in third party political advertising in a manner that would, if the third party were a person, constitute a contribution under section 22.

   44.  (1)  Subsection 37.11 (1) of the Act is amended by striking out "third party election advertising" in the portion before clause (a) and substituting "third party political advertising".

   (2)  Subsection 37.11 (2) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   45.  Section 37.12 of the Act is repealed and the following substituted:

Third party political advertising report

   37.12  (1)  The chief financial officer of every third party that is required to be registered in accordance with subsection 37.5 (1) shall file a third party political advertising report in the prescribed form with the Chief Electoral Officer within six months after polling day for an election in respect of which it was registered.

Details re expenses

   (2)  A third party political advertising report shall contain a list of all third party political advertising expenses and the time and place of broadcast or publication of the advertisements to which the expenses relate.

When no expenses

   (3)  If a third party has not incurred third party political advertising expenses, that fact shall be indicated in its third party political advertising report.

Details re contributions

   (4)  The third party political advertising report shall include,

  (a)  the amount, by class of contributor, of contributions for third party political advertising purposes that were received in the period beginning six months before the relevant period under section 37.10.1 and ending three months after polling day;

  (b)  for each contributor who made contributions of a total amount of more than $100 for third party political advertising purposes during the period referred to in clause (a), their name, address and class, and the amount and date of each contribution; and

   (c)  the amount, other than an amount of a contribution referred to in clause (a), that was paid out of the third party's own funds for third party political advertising expenses.

Same

   (5)  If the chief financial officer is unable to identify which contributions were received for third party political advertising purposes during the period referred to in clause (4) (a), the third party political advertising report shall list the names and addresses of every contributor who donated a total of more than $100 to the third party during that period.

Classes of contributors

   (6)  For the purposes of clauses (4) (a) and (b), the following are the classes of contributors:

    1.  Individuals.

    2.  Corporations.

    3.  Trade unions.

Bills, receipts

   (7)  A third party shall, at the request of the Chief Electoral Officer, provide the original of any bill, voucher or receipt in relation to a third party political advertising expense that is in an amount of more than $50.

Certification regarding no coordination

   (8)  Every registered third party in its third party political advertising report shall certify that the registered third party and its agents, employees, and independent contractors did not act in coordination with any registered political party, registered candidate, registered constituency association, registered nomination contestant, or registered leadership contestant, or any of their agents, employees or independent contractors.

   46.  (1)  Subsections 37.13 (1) and (2) of the Act are repealed and the following substituted:

Auditor's report

   (1)  The third party political advertising report of a third party that incurs $5,000 or more in third party political advertising expenses shall include a report made under subsection (2).

Same

   (2)  The third party's auditor shall report on the third party political advertising report and shall make any examination that will enable the auditor to give an opinion in the auditor's report as to whether the third party political advertising report presents fairly the information contained in the accounting records on which it is based.

   (2)  Clause 37.13 (3) (a) of the Act is amended by striking out "third party election advertising report" and substituting "third party political advertising report".

   47.  (1)  Subsection 38 (2) of the Act is repealed and the following substituted:

Applicable amount

   (2)  For the purposes of subsection (1), the applicable amount is 80 cents, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (2)  Subsection 38 (3.1) of the Act is repealed and the following substituted:

Applicable amount

   (3.1)  For the purposes of subsection (3), the applicable amount is $1.28, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (3)  Subsection 38 (3.4) of the Act is repealed and the following substituted:

Applicable amount

   (3.4)  For the purpose of subsection (3.3), the applicable amount is $9,310, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (4)  Section 38 of the Act is amended by adding the following subsection:

Amounts to be made public

   (3.5)  The Chief Electoral Officer shall publish the campaign expense limits for a campaign period, calculated in accordance with this section, promptly after the issuing of a writ for an election.

   48.  The Act is amended by adding the following sections immediately before the heading "Foundation":

Non-campaign expenses

   38.1  The total political advertising expenses incurred by a registered party during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, shall not exceed $1,000,000, multiplied by the indexation factor determined under section 40.1 for the calendar year and rounded to the nearest dollar.

Nomination contestants

   38.2  The total nomination period expenses incurred by a nomination contestant and any person, corporation, trade union, unincorporated association or organization acting on behalf of the nomination contestant during a nomination contest period shall not exceed,

  (a)  20 per cent of the amount that a candidate in the electoral district for which the contestant is seeking the nomination and the persons, corporations, trade unions, unincorporated associations and organizations acting on the contestant's behalf were allowed to incur during the campaign period for the most recent election before the nomination contest period; or

  (b)  if there has been a change in the boundaries of the electoral district since the most recent election, an amount determined by the Chief Electoral Officer.

   49.  Section 39 of the Act is repealed.

   50.  (1)  Section 40 of the Act is amended by adding the following subsection:

Nomination contestants

   (1.1)  Every registered nomination contestant shall appoint an auditor or firm who meets the qualifications described in subsection (1) within 30 days of receiving at least $10,000 in contributions with respect to a nomination contest or incurring expenses of at least $10,000 with respect to a nomination contest, and shall advise the Chief Electoral Officer in accordance with subsection (1).

   (2)  Subsection 40 (2) of the Act is amended,

  (a)  by striking out "appointed under subsection (1)" and substituting "appointed under subsection (1) or (1.1)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (3)  Subsection 40 (3) of the Act is repealed and the following substituted:

Persons not eligible

   (3)  No returning officer, deputy returning officer or election clerk and no nomination contestant, candidate or leadership contestant, or chief financial officer of a nomination contestant, candidate or leadership contestant, or chief financial officer of a registered party or constituency association shall act as the auditor for the nomination contestant, candidate, leadership contestant, registered party or constituency association, but nothing in this subsection makes ineligible the partners or firm with which such a person is associated from acting as an auditor for a nomination contestant, candidate or registered party or constituency association or leadership contestant.

   (4)  Subsection 40 (4) of the Act is amended,

  (a)  by striking out "subsection (1) or (2)" and substituting "subsection (1), (1.1) or (2)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (5)  Subsection 40 (6) of the Act is amended,

  (a)  by striking out "subsection (1) or (2)" and substituting "subsection (1), (1.1) or (2)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (6)  Subsection 40 (7) of the Act is amended by adding "nomination contestants" after "constituency associations" in the portion before clause (a).

   (7)  Subclause 40 (7) (a) (i) of the Act is repealed and the following substituted:

           (i)  $1,596, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (8)  Subclause 40 (7) (b) (i) of the Act is repealed and the following substituted:

           (i)  $798, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (9)  Subsection 40 (7) of the Act is amended by adding the following clause:

(b.1) to the auditor of a nomination contestant who is required to make an appointment under subsection (1.1),

           (i)  $1,064, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

          (ii)  the amount of the auditor's account to the nomination contestant;

   (10)  Subclause 40 (7) (c) (i) of the Act is repealed and the following substituted:

           (i)  $1,330, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (11)  Subclause 40 (7) (d) (i) of the Act is repealed and the following substituted:

           (i)  $1,064, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   51.  Section 40.1 of the Act is repealed and the following substituted:

Indexation factor

   40.1  (1)  For the purposes of every provision of this Act that refers to the indexation factor determined for a calendar year, and subject to subsection (2), the indexation factor is,

  (a)  for 2017, 1; and

  (b)  for a subsequent calendar year, the amount represented by the formula:

A + [A × (B/C − 1)]

in which,

         "A"  is the indexation factor for the previous year,

         "B"  is the Consumer Price Index for Ontario for the 12-month period that ended on September 30 of the previous year, and

         "C"  is the Consumer Price Index for Ontario for the 12-month period preceding the 12-month period mentioned in the description of "B".

Exception

   (2)  For the purposes of section 32.1, the indexation factor is the amount that would be represented by the formula in subsection (1) if clause (a) read "for 2021, 1; and".

Publication

   (3)  As soon as possible after the beginning of every calendar year after 2017, the Chief Electoral Officer shall publish, in accordance with subsection (4), statements of,

  (a)  the indexation factor for the current year; and

  (b)  all applicable amounts for the current year under every provision of this Act that refers to an indexation factor.

Same

   (4)  The statements shall be published,

  (a)  on a website on the Internet; and

  (b)  anywhere else the Chief Electoral Officer considers appropriate.

Two annual periods

   (5)  If a campaign period falls partly in one calendar year and partly in the next it shall, for the purposes of determining an applicable amount under section 38, be deemed to fall entirely in the earlier one.

Consumer Price Index

   (6)  In this section, the Consumer Price Index for Ontario for any 12-month period is the result arrived at by,

  (a)  determining the sum of the Consumer Price Index for Ontario as published by Statistics Canada under the authority of the Statistics Act (Canada), adjusted in the manner set in rules made and published by the Chief Electoral Officer, for each month in that period; and

  (b)  dividing the sum obtained under clause (a) by 12.

Rounding

   (7)  The result obtained from the formula in clause (6) (b) shall be adjusted in the manner set in rules made and published by the Chief Electoral Officer and rounded to the nearest thousandth or, if the result obtained is equidistant between two consecutive thousandths, to the higher thousandth.

   52.  Section 41 of the Act is repealed and the following substituted:

Annual filing of financial statement and report

   41.  (1)  The chief financial officer of every political party and constituency association registered under this Act shall, on or before May 31 in each year, file with the Chief Electoral Officer a financial statement,

  (a)  of assets and liabilities as at the end of the previous year;

  (b)  of income and expenses for the previous year, excluding election campaign expenses; and

   (c)  setting out all the information required to be recorded under subsection 34 (1) for the previous year,

of the political party or constituency association for which the chief financial officer acts, together with the auditor's report as required by subsection 40 (4).

Report to Chief Electoral Officer

   (2)  A party or constituency association that waives repayment of an amount under subsection 36 (1) shall include the details in the annual financial statement filed under this section.

   53.  The Act is amended by adding the following section:

Reporting, nomination contestants

   41.1  (1)  When a candidate is nominated with respect to a registered party for an electoral district, the registered party or the registered constituency association, if the candidate is selected by the association, shall, within 30 days after the candidate is selected, file with the Chief Electoral Officer a report setting out,

  (a)  the name of the electoral district, the registered constituency association and the registered party that the nomination concerns;

  (b)  the date on which the contest for the nomination began and the date on which the candidate was selected;

   (c)  the name and address of each nomination contestant as of the date the candidate was selected, and of their chief financial officer; and

  (d)  the name of the candidate who was selected.

Notice

   (2)  The Chief Electoral Officer shall,

  (a)  communicate to each nomination contestant the information that was reported with respect to that contestant under subsection (1); and

  (b)  publish on a website on the Internet a notice containing the information referred to in subsection (1).

Filing of nomination contestant's report

   (3)  The chief financial officer of every registered nomination contestant shall file financial statements with the Chief Electoral Officer in accordance with the following rules:

    1.  Within four months after the date that a candidate is selected, a statement shall be filed with respect to the nomination contest period.

    2.  Each statement shall show all income received and expenses incurred during the relevant period and all information required to be recorded under subsection 34 (1) in respect of that period.

    3.  Each statement shall be accompanied by the auditor's report required by subsection 40 (4), if applicable.

   54.  (1)  Subsections 42 (1) , (2) and (3) of the Act are repealed and the following substituted:

Filing of statement relating to campaign period

   (1)  The chief financial officer of every registered political party shall, within six months after polling day, file with the Chief Electoral Officer a financial statement,

  (a)  of the expenses relating to the election incurred in the campaign period; and

  (b)  of all campaign expenses, paid and outstanding, incurred in a campaign period and a statement of all disputed claims, of the political party for which the chief financial officer acts, together with the auditor's report as required by subsection 40 (4).

Filing of financial statements, candidate

   (2)  The chief financial officer of every registered candidate and every registered constituency association shall, within six months after polling day, file with the Chief Electoral Officer a financial statement,

  (a)  of all income and expenses received or incurred in the campaign period;

  (b)  of all campaign expenses, paid and outstanding, incurred in a campaign period and a statement of all disputed claims; and

   (c)  setting out all the information required to be recorded under subsection 34 (1) that relates to the campaign period,

of the candidate or constituency association for whom the chief financial officer acts, together with the auditor's report required by subsection 40 (4).

By-elections

   (3)  In relation to a by-election, subsections (1) and (2) apply only to registered political parties and registered constituency associations that received income or made expenditures in relation to the by-election and to registered candidates at the by-election.

Where general election called

   (3.1)  Where writs for a general election are issued during a campaign period relating to a by-election, the campaign period relating to the by-election shall, for the purposes of subsections (1) and (2), be deemed to have terminated on the day before the day the writs for the general election were issued and the financial statements referred to in subsections (1) and (2) shall be filed with the Chief Electoral Officer within three months after the deemed termination of the campaign period.

   (2)  The French version of subsection 42 (4) of the Act is amended by striking out "candidats à la direction d'un parti inscrits" in the portion before paragraph 1 and substituting "candidats à la direction inscrits".

   55.  Clause 43 (2) (b) of the Act is amended by striking out "section 42" and substituting "subsection 41.1 (3) or section 42, as the case may be".

   56.  (1)  Subsection 44 (1) of the Act is amended by striking out "15 per cent" in the portion before clause (a) and substituting "five per cent".

   (2)  Subsection 44 (6) of the Act is amended by striking out "statement of income and expenses" and substituting "statement of expenses".

   57.  The Act is amended by adding the following section:

Additional penalty, third parties

   46.0.2  Any third party that contravenes section 37.10.1 is liable, in addition to the any other applicable penalty, to a further fine not exceeding five times the amount by which the third party exceeded the applicable limit under that section.

   58.  The French version of the Act is amended by striking out "candidat inscrit à la direction d'un parti" wherever it appears and substituting in each case "candidat à la direction inscrit".

Government Advertising Act, 2004

   59.  Subsection 8 (3) of the Government Advertising Act, 2004 is repealed and the following substituted:

On use during election periods

   (3)  Despite notice or deemed notice that an item meets the standards, a government office shall not publish, display, broadcast, distribute or convey the item, unless permitted under subsection (4), during the following periods:

    1.  The period beginning on the day of the issue of a writ under the Election Act for a general election and ending on polling day, in the case of any general election.

    2.  The additional period of 60 consecutive days ending on the day of the issue of a writ under the Election Act, in the case of a general election held in accordance with subsection 9 (2) of the Election Act.

Taxation Act, 2007

   60.  (1)  Subsection 53.1 (2) of the Taxation Act, 2007 is amended by striking out "A contribution made by a corporation during a taxation year" at the beginning and substituting "A contribution made by a corporation during a taxation year and before January 1, 2017".

   (2)  Clause 53.2 (b) of the Act is repealed and the following substituted:

  (b)  the amount determined by multiplying the corporation's basic tax rate for the year by,

           (i)  if the taxation year ends before January 1, 2017, the amount determined by multiplying $15,000 by the indexation factor determined under section 40.1 of the Election Finances Act, as it read at the end of that taxation year, in respect of the calendar year in which the taxation year ends, or

          (ii)  if the taxation year ends after December 31, 2016, $19,950; and

   (3)  The definitions of "eligible contributions" and "recorded agent" in subsection 102 (6) of the Act are repealed and the following substituted:

"eligible contributions" means, in respect of an individual for a taxation year, all contributions made by the individual in the year to leadership contestants, candidates, constituency associations or parties registered under the Election Finances Act; ("contributions admissibles")

"recorded agent" means a person on record with the Chief Electoral Officer as being authorized to accept contributions on behalf of a leadership contestant, political party, constituency association or candidate registered under the Election Finances Act; ("agent désigné")

   (4)  The definition of "first contribution level" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$300" and substituting "$399"; and

  (b)  striking out "five-year period" and substituting "calendar year".

   (5)  The definition of "second contribution level" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$1,000" and substituting "$1,330"; and

  (b)  striking out "five-year period" and substituting "calendar year".

   (6)  The definition of "tax credit limit" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$1,000" and substituting "$1,330"; and

  (b)  striking out "five-year period" and substituting "calendar year".

Commencement and Short Title

Commencement

   61.  This Act comes into force on January 1, 2017.

Short title

   62.  The short title of this Act is the Election Finances Statute Law Amendment Act, 2016.

 

This reprint of the Bill is marked to indicate the changes that were made in Committee.

The changes are indicated by underlines for new text and a strikethrough for deleted text.

 

______________

 

 

 

EXPLANATORY NOTE

A number of amendments are made to the Election Finances Act. Among them:

    1.   Corporations and trade unions are prohibited from making contributions to parties, constituency associations, nomination contestants, candidates and leadership contestants. Contribution limits for individuals are reduced.

    2.   "Nomination contestants" - persons seeking to be endorsed as a party's candidate in an electoral district - are brought within the Act, on and from July 1, 2017.

    3.   Quarterly allowances are made payable to registered parties and constituency associations.

    4.   The rules regarding loans and loan guarantees are made more restrictive.

4.1   Restrictions are placed on the persons who may attend fund-raising events.

    5.   Restrictions are placed on the amounts that third parties may spend on political advertising during elections and the six-month period before scheduled general election periods.

    6.   Restrictions are placed on the political advertising spending of registered political parties during the six-month period before scheduled general elections periods.

    7.   The indexation factor used for inflation adjustment is put on an annual basis, based on changes in the Consumer Price Index for Ontario.

    8.   The threshold at which candidates are entitled to receive partial reimbursement of their campaign expenses is reduced from 15 per cent of the popular vote to five per cent.

The Government Advertising Act, 2004 is amended to extend the prohibition on government advertising to 60 days before the issue of an election writ for scheduled general elections.

The Taxation Act, 2007 is amended to make contributions to leadership contestants eligible for tax credits, and to deal with the prohibition on corporate contributions.

[41] Bill 2 Original (PDF)

Bill 2 2016

An Act to amend various statutes with respect to election matters

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

Election Finances Act

   1.  (1)  The definition of "contribution" in subsection 1 (1) of the Election Finances Act is repealed and the following substituted:

"contribution" does not include,

  (a)  any goods produced, or services performed, for any political party, constituency association, nomination contestant, candidate or leadership contestant by voluntary labour, and

  (b)  any money, goods or services solicited by or donated to a political party, constituency association, nomination contestant, candidate or leadership contestant for purposes other than the purposes set forth in subsections 10 (1), 11 (1), 12.1 (1), 13 (2) and 14 (1), respectively; ("contribution")

   (2)  Subsection 1 (1) of the Act is amended by adding the following definitions:

"nomination contestant" means a person seeking endorsement as an official party candidate for an electoral district; ("candidat à l'investiture")

"nomination contest period" means, with respect to a nomination contestant, the period that begins when the contestant first receives or spends funds for the purpose of achieving the endorsement, and ends when the candidate for the electoral district is selected; ("période de course à l'investiture")

   (3)  The definition of "person" in subsection 1 (1) of the Act is repealed and the following substituted:

"person" includes a nomination contestant, a candidate and a leadership contestant, but does not include a corporation or trade union; ("personne")

   (4)  The definition of "political advertising" in subsection 1 (1) of the Act is repealed and the following substituted:

"political advertising" means advertising in any broadcast, print, electronic or other medium with the purpose of promoting or opposing any registered party or its leader or the election of a registered candidate and includes advertising that takes a position on an issue that can reasonably be regarded as closely associated with a registered party or its leader or a registered candidate and "political advertisement" has a corresponding meaning, but for greater certainty does not include,

  (a)  the transmission to the public of an editorial, a debate, a speech, an interview, a column, a letter, a commentary or news,

  (b)  the distribution of a book, or the promotion of the sale of a book, for no less than its commercial value, if the book was planned to be made available to the public regardless of whether there was to be an election,

   (c)  communication in any form directly by a person, group, corporation or trade union to their members, employees or shareholders, as the case may be,

  (d)  the transmission by an individual, on a non-commercial basis on the Internet, of his or her personal political views, or

  (e)  the making of telephone calls to electors only to encourage them to vote; ("publicité politique", "annonce politique")

   (5)  Subsection 1 (1) of the Act is amended by adding the following definition:

"registered nomination contestant" means a nomination contestant registered under this Act; ("candidat à l'investiture inscrit")

   (6)  Subsection 1 (1) of the Act is amended by adding the following definition:

"voluntary labour" means any service provided free of charge by a person outside their working hours, but does not include such a service provided by a person who is self-employed if the service is one that is normally charged for by that person; ("travail bénévole")

   (7)  Subsection 1 (3) of the Act is repealed.

   (8)  Subsection 1 (4) of the Act is repealed.

   2.  (1)  Clause 2 (1) (a) of the Act is amended by adding "nomination contestants" after "constituency associations".

   (2)  Clause 2 (1) (b) of the Act is amended by adding "registered nomination contestant" after "constituency association".

   (3)  Clause 2 (1) (d) of the Act is amended by adding "registered nomination contestants" after "registered constituency associations".

   (4)  Clause 2 (1) (j) of the Act is amended by adding "nomination contestants" after "constituency associations".

   (5)  Clauses 2 (5) (a) and (b) of the Act are repealed and the following substituted:

  (a)  changes in limits on contributions to registered constituency associations, nomination contestants, candidates, political parties or leadership contestants;

  (b)  changes in limits on campaign expenses that may be incurred during a relevant period by candidates, political parties, nomination contestants or leadership contestants;

   (6)  Clause 2 (5) (d) of the Act is amended by adding "nomination contestants" after "constituency associations".

   3.  Section 6 of the Act is amended by adding "nomination contestant" after "constituency association".

   4.  Subsection 7 (1) of the Act is amended by adding "nomination contestant" after "constituency association".

   5.  Subsection 10 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

   6.  Subsection 11 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

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

Nomination contestants

   12.1  (1)  No person and no person, organization or entity acting on behalf of that person and no political party or any of its associations or organizations acting on behalf of that person shall accept contributions for the candidacy of that person in a contest related to seeking endorsement as an official party candidate unless that person is a nomination contestant registered under this Act.

Notice of nomination contest

   (2)  A registered party or registered constituency association that proposes to hold a nomination contest shall file with the Chief Electoral Officer a statement setting out the date of the official call of the nomination contest and the date fixed for the vote.

Application for registration

   (3)  The Chief Electoral Officer shall maintain a register of nomination contestants in relation to each nomination contest and, subject to this section, shall register in it any nomination contestant who files an application for registration with the Chief Electoral Officer setting out,

  (a)  the full name of the nomination contestant;

  (b)  the address of the place or places in Ontario where records of the nomination contestant are maintained and of the place in Ontario to which communications may be addressed;

   (c)  the party affiliation of the nomination contestant;

  (d)  the names of the principal officers, including the chief financial officer of the nomination contestant and the auditor, if any;

  (e)  the names of all persons authorized by the nomination contestant to accept contributions;

   (f)  the name and address of every financial institution that is lawfully entitled to accept deposits to be used by or on behalf of the nomination contestant as the depositories for all contributions made to that nomination contestant; and

  (g)  the names of the persons responsible for each depository referred to in clause (f).

Deemed registered on day of filing

   (4)  A nomination contestant who files an application under subsection (3) shall be deemed to be registered on the day of filing.

Variation of register

   (5)  Where any of the information referred to in clauses (3) (b) to (g) is altered, the nomination contestant shall promptly notify in writing the Chief Electoral Officer of the alteration and, upon receipt of the notice, the Chief Electoral Officer shall vary the register of nomination contestants accordingly.

Contestant's funds considered contribution

   (6)  Any money used for a registered nomination contestant's campaign out of the contestant's own funds shall be considered to be a contribution for the purposes of this Act and every registered nomination contestant shall submit to his or her chief financial officer a statement in writing setting forth all nomination contest expenses paid or to be paid out of the contestant's own funds, together with all receipts and claims therefor, within three months after the date that a candidate is selected.

Surplus funds

   (7)  Where, after the candidate is selected for the electoral district, there is a surplus in the funds raised for the purposes of the nomination contestant's campaign, the contestant shall pay the funds over to the relevant constituency association, except that if the nomination contestant is selected as the candidate for the electoral district, he or she may pay the funds into his or her depository for contributions as a candidate.

   8.  Subsection 13 (2) of the Act is amended by striking out "and no person, corporation or trade union" and substituting "and no person, organization or entity".

   9.  (1)  Subsection 14 (1) of the Act is amended by striking out "no person, corporation or trade union" and substituting "no person, organization or entity".

   (2)  Section 14 of the Act is amended by adding the following subsections:

Requirement to register

   (2.1)  When the post of leader of a registered party has become vacant, a person who is seeking election as leader of the registered party is required to register under this section even if the party has not filed a statement under subsection (2).

When seeking election

   (2.2)  For the purposes of subsection (2.1), a person is deemed to be seeking election as leader of a registered party as soon as the person or a person, organization or entity acting of the behalf of the person incurs expenses for goods or services in relation to a leadership contest or accepts contributions in relation to a leadership contest.

   (3)  Subsection 14 (4) of the Act is repealed.

   10.  (1)  Subsection 16 (1) of the Act is repealed and the following substituted:

Contributions

Who may contribute

   (1)  Contributions to parties, constituency associations, nomination contestants, candidates and leadership contestants registered under this Act may be made only by persons individually.

   (2)  Subsection 16 (2) of the Act is amended by adding "nomination contestants" after "constituency associations" in the portion before clause (a).

   (3)  Subsection 16 (3) of the Act is amended by adding "nomination contestant" after "constituency association".

   11.  (1)  Subsection 17 (1) of the Act is amended by adding "nomination contestant" after "constituency association".

   (2)  Subsection 17 (2) of the Act is amended by adding "nomination contestant" after "constituency association".

   12.  (1)  Subsection 18 (1) of the Act is repealed and the following substituted:

Maximum contributions

Registered parties

   (1)  The contributions a person makes to any one registered party shall not exceed, in a calendar year, $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

Constituency associations, nomination contestants

   (1.1)  The contributions a person makes to registered constituency associations and registered nomination contestants of any one registered party shall not exceed, in a calendar year, $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

Candidates of party

   (1.2)  The contributions a person makes to registered candidates of any one registered party shall not exceed, in a campaign period, $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the campaign period commences and rounded to the nearest dollar.

Non-party candidates

   (1.3)  The contributions a person makes to all registered candidates not endorsed by a registered party shall not exceed, in a campaign period, $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the campaign period commences and rounded to the nearest dollar.

Leadership contestants

   (1.4)  The contributions a person makes to any one registered leadership contestant of a registered party shall not exceed, in a calendar year that falls during a leadership contest period or during which the contestant is required to be registered by virtue of subsection 14 (2.1), $1,200, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar.

   (2)  Section 18 of the Act is amended by adding the following subsections:

Exception for own campaign, candidate

   (4)  Despite subsections (1.2) and (1.3), a registered candidate may make contributions, to be used for the candidate's own campaign, and out of the candidate's own funds, that do not exceed $5,000 in total during a campaign period.

Same, leadership contestant

   (5)  Despite subsection (1.4), a registered leadership contestant may make contributions, to be used for the contestant's own leadership campaign, and out of the contestant's own funds, that do not exceed $25,000 in total during a leadership contest period, combined with any period during which the contestant is required to be registered under subsection 14 (2.1).

Other limits not reduced

   (6)  For greater clarity, subsections (4) and (5) do not reduce the amount that the registered candidate or registered leadership contestant, as the case may be, may contribute under this section to other registered candidates or registered leadership contestants, as the case may be.

   13.  (1)  Subsection 19 (1) of the Act is repealed and the following substituted:

Contributor to contribute only funds belonging to contributor

   (1)  No person shall contribute to any political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act,

  (a)  funds that do not actually belong to the person; or

  (b)  any funds that have been given or furnished by any person or group of persons or by a corporation or trade union for the purpose of making a contribution.

   (2)  Subsection 19 (2) of the Act is amended by adding "nomination contestant" after "constituency association".

   (3)  Section 19 of the Act is amended by adding the following subsection:

Certification by donor

   (3)  Every person who makes a contribution described in section 18 shall, at the time of making the contribution, certify, in a form approved by the Chief Electoral Officer, that the person has not acted contrary to subsection (1) of this section.

   14.  Section 20 of the Act is amended by adding "nomination contestant" after "constituency association".

   15.  (1)  Subsection 21 (1) of the Act is amended by adding "nomination contestant" after "constituency association" in the portion before clause (a).

   (2)  Subsection 21 (2) of the Act is repealed and the following substituted:

Amounts of $100 or less may be considered not a contribution

   (2)  The provision of goods or services to a political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act in any year, having a value, in the aggregate, of $100 or less may, at the option of the person providing the goods or services, be considered not to be a contribution for the purposes of this Act.

   (3)  Subsection 21 (3) of the Act is amended by adding "nomination contestant" after "constituency association".

   16.  (1)  Subsections 22 (1), (2) and (3) of the Act are repealed and the following substituted:

Advertising as contribution

   (1)  Political advertising constitutes a contribution for the purposes of this Act if,

  (a)  it promotes a registered party, the nomination of a registered nomination contestant, the election of a registered candidate or the leadership of a registered leadership contestant;

  (b)  it is provided or arranged for by a person, organization or entity in coordination with the party, contestant or candidate, or the registered constituency association of the candidate; and

   (c)  its value as determined under section 21 is more than $100.

Cost

   (2)  Clause (1) (c) applies to,

  (a)  a single political advertisement whose value is more than $100; and

  (b)  two or more political advertisements whose aggregate value is more than $100, if they,

           (i)  appear during the same calendar year, and

          (ii)  are provided or arranged for by the same person.

Campaign expense

   (3)  A contribution described in subsection (1) that is made during an election campaign constitutes a campaign expense of the party or candidate promoted.

   (2)  Subsection 22 (5) of the Act is repealed and the following substituted:

Identification

   (5)  No person, registered party or registered constituency association shall cause a political advertisement to appear without providing the following information to the broadcaster or publisher, in writing:

    1.  The name of the person, registered party or registered constituency association who is causing the political advertisement to appear.

    2.  The name, business address and telephone number of the individual who deals with the broadcaster or publisher on behalf of the person or entity mentioned in paragraph 1.

    3.  The name of any other person, registered party or registered constituency association who is sponsoring or paying for the political advertisement.

   (3)  Subsection 22 (9) of the Act is repealed and the following substituted:

Information to be included in political advertisement

   (9)  A political advertisement in any medium shall name,

  (a)  the person, registered party, registered constituency association or other organization or entity who is causing it to appear; and

  (b)  any other person, registered party, registered constituency association or other organization or entity who is sponsoring or paying for it.

   17.  The Act is amended by adding the following section:

Coordination rules

   22.1  (1)  Coordination, as referred to in clause 22 (1) (b), is deemed to have occurred if a registered political party, registered candidate, registered constituency association, registered nomination contestant or registered leadership contestant, or any of their agents, employees or independent contractors,

  (a)  requested or suggested that the advertisement be created, produced or distributed, or assented to its creation, production or distribution;

  (b)  was materially involved in decisions regarding the content, audience, dissemination, or distribution of the advertisement;

   (c)  engaged in substantial discussions regarding the advertisement with the person, organization or entity responsible for the advertisement or its agents, employees or independent contractors that were material to the creation, production, or distribution of the advertisement; or

  (d)  conveyed information about the plans or needs of a registered political party, registered candidate, registered nomination contestant or registered leadership contestant for the purpose of contributing materially to the creation, production or distribution of the advertisement.

No formal agreement necessary

   (2)  For greater certainty, coordination can occur even in the absence of a formal agreement.

Activities not constituting coordination

   (3)  The following activities do not, on their own, constitute coordination:

    1.  Endorsement of a registered political party, registered candidate, registered nomination contestant or registered leadership contestant, or the communication directly, in any form, of such an endorsement by a person, group, corporation or trade union to their members, employees or shareholders, as the case may be.

    2.  Inquiries as to the position of a registered political party, registered candidate, registered constituency association, registered nomination contestant or registered leadership contestant on legislation or a policy matter.

    3.  The exchange of, or reliance upon, publicly available information.

    4.  Mutual attendance at a public event or an invitation to attend a public event.

    5.  The use of a common vendor.

    6.  The conveyance of information that is not material to the creation, production or distribution of the advertisement.

   18.  (1)  The definition of "fund-raising activity" in subsection 23 (1) of the Act is amended by adding "nomination contestant" after "constituency association".

   (2)  Subsection 23 (2) of the Act is amended by adding "nomination contestant" after "constituency association".

   (3)  Subsection 23 (3) of the Act is amended by adding "nomination contestant" after "constituency association".

   (4)  Section 23 of the Act is amended by adding the following subsections:

Information re fund-raising activities

   (6)  Every registered party to which section 25.1 applies shall post on its website the following information respecting every fund-raising activity held by or on behalf of the party, its constituency associations and candidates:

    1.  The date of the fund-raising activity.

    2.  The location of the fund-raising activity.

    3.  The amount of the charge, if any, for attending the fund-raising activity.

    4.  The identity of the recipient or recipients of the funds to be raised at the fund-raising activity.

Timing

   (7)  The registered party shall post the information described in subsection (6),

  (a)  at least seven days before the date of the fund-raising activity; or

  (b)  in the case of a fund-raising activity that is to take place during the period commencing with the issue of a writ for an election and terminating on election day, at least three days before the date of a fund-raising activity.

   (5)  Section 23 of the Act is amended by adding the following subsection:

Limit on contributions

   (8)  The total contribution made with respect to a single fund-raising activity by a contributor may not exceed $1,200, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the fund-raising activity is held and rounded to the nearest dollar.

   19.  Section 24 of the Act is amended by striking out "candidate" wherever it appears and substituting in each case "nomination contestant, candidate".

   20.  (1)  Subsection 25 (1) of the Act is amended by striking out "candidate" and substituting "nomination contestant, candidate".

   (2)  Subsection 25 (2) of the Act is amended by striking out "candidate" and substituting "nomination contestant, candidate".

   21.  (1)  Clause 25.1 (1) (a) of the Act is amended by striking out "and registered candidates" and substituting "registered candidates and registered leadership contestants".

   (2)  Section 25.1 of the Act is amended by adding the following subsection:

Same

   (4.1)  The chief financial officer of a registered leadership contestant is responsible for ensuring that all contributions received by the contestant are recorded in the party's electronic database.

   (3)  Subsection 25.1 (6) of the Act is repealed and the following substituted:

Same

   (6)  The chief financial officers of registered constituency associations, registered candidates and registered leadership contestants shall not issue receipts for contributions, and subsection 25 (1) and clause 33 (4) (c) do not apply to them.

   (4)  Subsection 25.1 (8) of the Act is repealed.

   22.  Subsections 26 (1), (1.1) and (2) of the Act are repealed and the following substituted:

Group contributions

   (1)  No contribution to a political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall be made through any trade union, unincorporated association or organization, except an affiliated political organization in accordance with subsection (3).

Same

   (2)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall accept a contribution made in contravention of subsection (1).

   23.  Section 28 of the Act is repealed and the following substituted:

Parties, etc., not to receive contributions in excess of limitations

   28.  No political party, constituency association, nomination contestant, leadership contestant or candidate registered under this Act and no person on their behalf shall knowingly accept any contributions in excess of the limits imposed by this Act.

   24.  Subsection 29 (1) of the Act is repealed and the following substituted:

Prohibition on acceptance, transfer, etc.

   (1)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly knowingly accept contributions from any corporation or trade union.

No contribution from outside Ontario

   (1.1)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly knowingly accept contributions from any person normally resident outside Ontario.

No transfer to unregistered entities

   (1.2)  No political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall directly or indirectly contribute or transfer funds to any political party, constituency association, nomination contestant, candidate or leadership contestant not registered under this Act, including a federal political party registered under the Canada Elections Act, any federal constituency association or candidate at a federal election endorsed by such federal political party, any federal nomination contestant or leadership contestant and any candidate at a municipal election under the Municipal Elections Act, 1996, except that during an election period as defined in the Canada Elections Act a registered party may transfer to a federal political party registered under the Canada Elections Act an amount not exceeding, in the aggregate, $100 for each candidate at a federal election in a federal electoral district in Ontario who is endorsed as a candidate by that federal political party.

   25.  Section 31 of the Act is repealed.

   26.  Section 32 of the Act is amended by striking out "registered candidate" and substituting "registered nomination contestant, registered candidate".

   27.  The Act is amended by adding the following section:

Quarterly Allowance

Quarterly allowance

   32.1  (1)  The Chief Electoral Officer shall determine, for each quarter of a calendar year, an allowance payable to a registered party whose candidates at the most recent general election before that quarter received at least,

  (a)  two per cent of the number of valid votes cast; or

  (b)  five per cent of the number of valid votes cast in the electoral districts in which the registered party endorsed a candidate.

How allowance calculated

   (2)  Each registered party's allowance for a quarter is the amount calculated by the following rules:

    1.  In the 2017 calendar year, $0.678 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    2.  In the 2018 calendar year, $0.636 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    3.  In the 2019 calendar year, $0.594 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    4.  In the 2020 calendar year, $0.552 multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

    5.  In each subsequent calendar year, $0.510 multiplied by the indexation factor determined for the calendar year under section 40.1 and further multiplied by the number of valid votes cast for the party's candidates in the election referred to in subsection (1).

Merged parties

   (3)  A merged party is entitled to the aggregate of the allowances to which the merging parties of which it is composed would have been entitled if they had not merged.

Review

   (4)  On or before December 31, 2021, the Lieutenant Governor in Council shall conduct a review of this section.

   28.  (1)  Subsection 33 (2) of the Act is amended by striking out "Every candidate" at the beginning and substituting "Every nomination contestant, every candidate".

   (2)  Subsection 33 (3) of the Act is amended by adding "nomination contestant" after "constituency association" wherever it appears.

   (3)  Subsection 33 (4) of the Act is amended by adding "nomination contestant" after "constituency association" wherever it appears in the portion before clause (a).

   29.  Subsections 34 (2) and (3) of the Act are repealed and the following substituted:

Recording of contributions

   (2)  A contribution shall be recorded if it is accepted,

  (a)  on behalf of a registered political party, registered constituency association or registered nomination contestant, in any year;

  (b)  on behalf of a registered candidate, in a campaign period; or

   (c)  on behalf of a registered leadership contestant, in the leadership contest period or in any period during which the contestant is required to be registered by virtue of subsection 14 (2.1).

   30.  (1)  Clause 34.1 (2) (a) of the Act is repealed and the following substituted:

  (a)  on behalf of a registered political party, in any year; or

   (2)  Subsection 34.1 (4) of the Act is amended by striking out "10 days" and substituting "two days".

   (3)  Subsection 34.1 (6) of the Act is repealed.

   31.  (1)  Subsection 35 (1) of the Act is repealed and the following substituted:

Borrowing

   (1)  A political party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act may, if subsection (2) is complied with, borrow money from,

  (a)  a financial institution; or

  (b)  a registered party or constituency association.

   (2)  Subsections 35 (3), (4), (5) and (6) of the Act are repealed and the following substituted:

Prohibition, receiving loan

   (3)  No party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall receive any support in the form of a loan, except as provided in subsection (1).

Prohibition, receiving support in form of guarantee, etc.

   (4)  No party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act shall receive any support in the form of a guarantee or collateral security, except from,

  (a)  a financial institution or entity that would be entitled to make a loan to the party, constituency association, nomination contestant, candidate or leadership contestant under subsection (1); or

  (b)  a person who would be entitled to make a contribution under this Act.

Prohibition, making loan

   (5)  No person or entity, other than one listed in clause (1) (a) or (b), shall make a loan to a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

Financial institutions and market rate

   (6)  No financial institution that may make a loan under this section may make the loan at a rate of interest below the applicable market rate charged by the financial institution for an equivalent amount at or about the time and in the market area where the loan is provided.

Prohibition, giving guarantee, etc.

   (6.1)  No person or entity, other than a person who would be entitled to make a contribution under this Act, shall guarantee or provide collateral security for a loan to a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

   (3)  Subsection 35 (8) of the Act is repealed and the following substituted:

Guarantee as contribution

   (8)  The amount of a guarantee made by a guarantor who is entitled to make a contribution is a contribution for the purposes of this Act.

Time limits, loan

   (9)  Every nomination contestant, leadership contestant, candidate, party or constituency association who receives a loan to which this section applies shall repay the loan in full no more than two years from,

  (a)  in the case of a nomination contestant, the date that a candidate is selected for the electoral district for the nomination contestant's party;

  (b)  in the case of a leadership contestant, the date that a leader is selected for the contestant's party;

   (c)  in the case of a candidate, polling day; or

  (d)  in the case of a party or constituency association, the day that the loan is due according to its terms.

Time limits, guarantee

   (10)  No person who makes a guarantee of a loan to which this section applies shall guarantee the loan for a period longer than the applicable period under subsection (9).

   32.  Subsections 36.1 (1) and (2) of the Act are repealed and the following substituted:

Prohibition

   (1)  No person, organization or entity, including, for greater certainty, a political party, constituency association, corporation, trade union or third party shall publish, broadcast or transmit to the public, in an electoral district on polling day before the close of all the polling stations in that electoral district, the results of an election survey that have not previously been made available to the public.

   33.  The Act is amended by adding the following section:

Considerations re political advertising

   37.0.1  In determining whether an advertisement is a political advertisement, the Chief Electoral Officer shall consider, in addition to any other relevant factors,

  (a)  whether it is reasonable to conclude that the advertising was specifically planned to coincide with the period referred to in section 37.10.1;

  (b)  whether the formatting or branding of the advertisement is similar to a registered political party's or registered candidate's formatting or branding or election material;

   (c)  whether the advertising makes reference to the election, election day, voting day, or similar terms;

  (d)  whether the advertisement makes reference to a registered political party or registered candidate either directly or indirectly;

  (e)  whether there is a material increase in the normal volume of advertising conducted by the person, organization, or entity;

   (f)  whether the advertising has historically occurred during the relevant time of the year;

  (g)  whether the advertising is consistent with previous advertising conducted by the person, organization, or entity;

  (h)  whether the advertising is within the normal parameters of promotion of a specific program or activity; and

    (i)  whether the content of the advertisement is similar to the political advertising of a party, constituency association, nomination contestant, candidate or leadership contestant registered under this Act.

   34.  The Act is amended by adding the following section:

Non-application re government advertising

   37.0.2  For greater certainty,

  (a)  nothing in this Act affects government advertising by the Government of Canada, the Government of Ontario, the government of another province or territory of Canada, or the government of a municipality, or by any part of such a government;

  (b)  no government or part of a government mentioned in clause (a) is a third party for the purposes of this Act.

   35.  (1)  The definitions of "third party election advertising" and "third party election advertising expense" in section 37.1 of the Act are repealed.

   (2)  Section 37.1 of the Act is amended by adding the following definitions:

"third party political advertising" means political advertising placed by or on behalf of a third party, and "third party political advertisement" has a corresponding meaning; ("publicité politique de tiers", "annonce politique de tiers")

"third party political advertising expense" means an expense incurred in relation to,

  (a)  the production of a third party political advertisement, or

  (b)  the acquisition of the means of transmission of a third party political advertisement to the public. ("dépenses de publicité politique de tiers")

   36.  Section 37.2 of the Act is repealed and the following substituted:

Categorization of expenses

   37.2  The following rules apply in determining whether an amount of expenses is incurred for third party political advertising during a period referred to in section 37.10.1:

    1.  An amount that is paid by a third party for third party political advertising with respect to a relevant period is included whether it is paid before, during or after the period.

    2.  If a combined amount is paid for both third party political advertising with respect to a relevant period and other third party political advertising, the amount shall be apportioned according to when the advertising appears.

   37.  Section 37.4 of the Act is amended by striking out "third party election advertisements" at the end and substituting "third party political advertisements during a period referred to in section 37.10.1".

   38.  (1)  Subsection 37.5 (1) of the Act is repealed and the following substituted:

Registration requirement for third parties

   (1)  A third party shall apply for registration under this section immediately after having incurred expenses of a total amount of $500 for third party political advertising during a period referred to in section 37.10.1.

   (2)  Subsection 37.5 (5) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   (3)  Subsection 37.5 (7) of the Act is repealed.

   (4)  Subsection 37.5 (10) of the Act is repealed and the following substituted:

Registration ends

   (10)  The registration of a third party ceases to be valid at the end of every election period in respect of which the third party was registered, but the third party continues to be subject to the requirement to file a third party political advertising report under subsection 37.12 (1).

   39.  Clause 37.6 (2) (d) of the Act is amended by striking out "third party advertising election report" and substituting "third party political advertising report".

   40.  (1)  Subsection 37.7 (1) of the Act is repealed and the following substituted:

Requirement to appoint auditor

   (1)  A third party that incurs expenses in an aggregate amount of $5,000 or more for third party political advertising during a period referred to in section 37.10.1 shall appoint an auditor without delay.

   (2)  Paragraph 5 of subsection 37.7 (3) of the Act is amended by adding "or of another registered third party" at the end.

   41.  (1)  Subsection 37.9 (1) of the Act is repealed and the following substituted:

Duty of chief financial officer

Acceptance of contributions

   (1)  Every contribution that is made to a registered third party during a period referred to in section 37.10.1 shall be accepted by its chief financial officer if it is made for the purpose of third party political advertising.

   (2)  Subsection 37.9 (2) of the Act is amended by striking out "third party election advertising expense" and substituting "third party political advertising expense".

   42.  (1)  Subsection 37.10 (1) of the Act is amended by striking out "third party election advertising" in the portion before clause (a) and substituting "third party political advertising during a period referred to in section 37.10.1".

   (2)  Subsection 37.10 (2) of the Act is repealed and the following substituted:

Same

   (2)  No third party shall use a contribution for the purpose of third party political advertising if the third party does not know the name and address of the contributor or is otherwise unable to determine within which class of contributor referred to in subsection 37.12 (6) they fall.

   (3)  Subsection 37.10 (3) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   43.  The Act is amended by adding the following section:

Spending limit

   37.10.1  (1)  No third party shall spend,

  (a)  more than $4,000 in any electoral district for the purpose of third party political advertising in that district during any election period, whether for a by-election or a general election, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar; or

  (b)  more than $100,000 in total for the purpose of third party political advertising during any election period for a general election, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar.

Same, non-election period

   (2)  No third party shall spend,

  (a)  more than $24,000 in in any electoral district for the purpose of third party political advertising in that district during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar; or

  (b)  more than $600,000 in total for the purposes of third party political advertising during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, multiplied by the indexation factor determined under section 40.1 for the calendar year in which the election period begins and rounded to the nearest dollar.

No combination to exceed limit

   (3)  No third party shall circumvent, or attempt to circumvent, a limit set out in this section in any manner, including by splitting itself into two or more third parties for the purpose of circumventing the limit or acting in collusion with another third party so that their combined political advertising expenses exceed the applicable limit or by colluding with a registered political party, registered constituency association, registered candidate, or registered nomination contestant for the purpose of circumventing the limit.

Collusion

   (4)  No third party that is not entitled to make a contribution under subsection 16 (1) shall engage in third party political advertising in a manner that would, if the third party were a person, constitute a contribution under section 22.

   44.  (1)  Subsection 37.11 (1) of the Act is amended by striking out "third party election advertising" in the portion before clause (a) and substituting "third party political advertising".

   (2)  Subsection 37.11 (2) of the Act is amended by striking out "third party election advertising" and substituting "third party political advertising".

   45.  Section 37.12 of the Act is repealed and the following substituted:

Third party political advertising report

   37.12  (1)  The chief financial officer of every third party that is required to be registered in accordance with subsection 37.5 (1) shall file a third party political advertising report in the prescribed form with the Chief Electoral Officer within six months after polling day for an election in respect of which it was registered.

Details re expenses

   (2)  A third party political advertising report shall contain a list of all third party political advertising expenses and the time and place of broadcast or publication of the advertisements to which the expenses relate.

When no expenses

   (3)  If a third party has not incurred third party political advertising expenses, that fact shall be indicated in its third party political advertising report.

Details re contributions

   (4)  The third party political advertising report shall include,

  (a)  the amount, by class of contributor, of contributions for third party political advertising purposes that were received in the period beginning six months before the relevant period under section 37.10.1 and ending three months after polling day;

  (b)  for each contributor who made contributions of a total amount of more than $100 for third party political advertising purposes during the period referred to in clause (a), their name, address and class, and the amount and date of each contribution; and

   (c)  the amount, other than an amount of a contribution referred to in clause (a), that was paid out of the third party's own funds for third party political advertising expenses.

Same

   (5)  If the chief financial officer is unable to identify which contributions were received for third party political advertising purposes during the period referred to in clause (4) (a), the third party political advertising report shall list the names and addresses of every contributor who donated a total of more than $100 to the third party during that period.

Classes of contributors

   (6)  For the purposes of clauses (4) (a) and (b), the following are the classes of contributors:

    1.  Individuals.

    2.  Corporations.

    3.  Trade unions.

Bills, receipts

   (7)  A third party shall, at the request of the Chief Electoral Officer, provide the original of any bill, voucher or receipt in relation to a third party political advertising expense that is in an amount of more than $50.

Certification regarding no coordination

   (8)  Every registered third party in its third party political advertising report shall certify that the registered third party and its agents, employees, and independent contractors did not act in coordination with any registered political party, registered candidate, registered constituency association, registered nomination contestant, or registered leadership contestant, or any of their agents, employees or independent contractors.

   46.  (1)  Subsections 37.13 (1) and (2) of the Act are repealed and the following substituted:

Auditor's report

   (1)  The third party political advertising report of a third party that incurs $5,000 or more in third party political advertising expenses shall include a report made under subsection (2).

Same

   (2)  The third party's auditor shall report on the third party political advertising report and shall make any examination that will enable the auditor to give an opinion in the auditor's report as to whether the third party political advertising report presents fairly the information contained in the accounting records on which it is based.

   (2)  Clause 37.13 (3) (a) of the Act is amended by striking out "third party election advertising report" and substituting "third party political advertising report".

   47.  (1)  Subsection 38 (2) of the Act is repealed and the following substituted:

Applicable amount

   (2)  For the purposes of subsection (1), the applicable amount is 80 cents, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (2)  Subsection 38 (3.1) of the Act is repealed and the following substituted:

Applicable amount

   (3.1)  For the purposes of subsection (3), the applicable amount is $1.28, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (3)  Subsection 38 (3.4) of the Act is repealed and the following substituted:

Applicable amount

   (3.4)  For the purpose of subsection (3.3), the applicable amount is $9,310, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest cent.

   (4)  Section 38 of the Act is amended by adding the following subsection:

Amounts to be made public

   (3.5)  The Chief Electoral Officer shall publish the campaign expense limits for a campaign period, calculated in accordance with this section, promptly after the issuing of a writ for an election.

   48.  The Act is amended by adding the following sections immediately before the heading "Foundation":

Non-campaign expenses

   38.1  The total political advertising expenses incurred by a registered party during the six-month period immediately before the issue of a writ of election for a general election held in accordance with subsection 9 (2) of the Election Act, shall not exceed $1,000,000, multiplied by the indexation factor determined under section 40.1 for the calendar year and rounded to the nearest dollar.

Nomination contestants

   38.2  The total nomination period expenses incurred by a nomination contestant and any person, corporation, trade union, unincorporated association or organization acting on behalf of the nomination contestant during a nomination contest period shall not exceed,

  (a)  20 per cent of the amount that a candidate in the electoral district for which the contestant is seeking the nomination and the persons, corporations, trade unions, unincorporated associations and organizations acting on the contestant's behalf were allowed to incur during the campaign period for the most recent election before the nomination contest period; or

  (b)  if there has been a change in the boundaries of the electoral district since the most recent election, an amount determined by the Chief Electoral Officer.

   49.  Section 39 of the Act is repealed.

   50.  (1)  Section 40 of the Act is amended by adding the following subsection:

Nomination contestants

   (1.1)  Every registered nomination contestant shall appoint an auditor or firm who meets the qualifications described in subsection (1) within 30 days of receiving at least $10,000 in contributions with respect to a nomination contest or incurring expenses of at least $10,000 with respect to a nomination contest, and shall advise the Chief Electoral Officer in accordance with subsection (1).

   (2)  Subsection 40 (2) of the Act is amended,

  (a)  by striking out "appointed under subsection (1)" and substituting "appointed under subsection (1) or (1.1)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (3)  Subsection 40 (3) of the Act is repealed and the following substituted:

Persons not eligible

   (3)  No returning officer, deputy returning officer or election clerk and no nomination contestant, candidate or leadership contestant, or chief financial officer of a nomination contestant, candidate or leadership contestant, or chief financial officer of a registered party or constituency association shall act as the auditor for the nomination contestant, candidate, leadership contestant, registered party or constituency association, but nothing in this subsection makes ineligible the partners or firm with which such a person is associated from acting as an auditor for a nomination contestant, candidate or registered party or constituency association or leadership contestant.

   (4)  Subsection 40 (4) of the Act is amended,

  (a)  by striking out "subsection (1) or (2)" and substituting "subsection (1), (1.1) or (2)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (5)  Subsection 40 (6) of the Act is amended,

  (a)  by striking out "subsection (1) or (2)" and substituting "subsection (1), (1.1) or (2)"; and

  (b)  by striking out "the candidate" and substituting "the nomination contestant, candidate".

   (6)  Subsection 40 (7) of the Act is amended by adding "nomination contestants" after "constituency associations" in the portion before clause (a).

   (7)  Subclause 40 (7) (a) (i) of the Act is repealed and the following substituted:

           (i)  $1,596, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (8)  Subclause 40 (7) (b) (i) of the Act is repealed and the following substituted:

           (i)  $798, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (9)  Subsection 40 (7) of the Act is amended by adding the following clause:

(b.1) to the auditor of a nomination contestant who is required to make an appointment under subsection (1.1),

           (i)  $1,064, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

          (ii)  the amount of the auditor's account to the nomination contestant;

   (10)  Subclause 40 (7) (c) (i) of the Act is repealed and the following substituted:

           (i)  $1,330, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   (11)  Subclause 40 (7) (d) (i) of the Act is repealed and the following substituted:

           (i)  $1,064, multiplied by the indexation factor determined for the calendar year under section 40.1 and rounded to the nearest dollar, and

   51.  Section 40.1 of the Act is repealed and the following substituted:

Indexation factor

   40.1  (1)  For the purposes of every provision of this Act that refers to the indexation factor determined for a calendar year, and subject to subsection (2), the indexation factor is,

  (a)  for 2017, 1; and

  (b)  for a subsequent calendar year, the amount represented by the formula:

A + [A × (B/C − 1)]

in which,

         "A"  is the indexation factor for the previous year,

         "B"  is the Consumer Price Index for Ontario for the 12-month period that ended on September 30 of the previous year, and

         "C"  is the Consumer Price Index for Ontario for the 12-month period preceding the 12-month period mentioned in the description of "B".

Exception

   (2)  For the purposes of section 32.1, the indexation factor is the amount that would be represented by the formula in subsection (1) if clause (a) read "for 2021, 1; and".

Publication

   (3)  As soon as possible after the beginning of every calendar year after 2017, the Chief Electoral Officer shall publish, in accordance with subsection (4), statements of,

  (a)  the indexation factor for the current year; and

  (b)  all applicable amounts for the current year under every provision of this Act that refers to an indexation factor.

Same

   (4)  The statements shall be published,

  (a)  on a website on the Internet; and

  (b)  anywhere else the Chief Electoral Officer considers appropriate.

Two annual periods

   (5)  If a campaign period falls partly in one calendar year and partly in the next it shall, for the purposes of determining an applicable amount under section 38, be deemed to fall entirely in the earlier one.

Consumer Price Index

   (6)  In this section, the Consumer Price Index for Ontario for any 12-month period is the result arrived at by,

  (a)  determining the sum of the Consumer Price Index for Ontario as published by Statistics Canada under the authority of the Statistics Act (Canada), adjusted in the manner set in rules made and published by the Chief Electoral Officer, for each month in that period; and

  (b)  dividing the sum obtained under clause (a) by 12.

Rounding

   (7)  The result obtained from the formula in clause (6) (b) shall be adjusted in the manner set in rules made and published by the Chief Electoral Officer and rounded to the nearest thousandth or, if the result obtained is equidistant between two consecutive thousandths, to the higher thousandth.

   52.  Section 41 of the Act is repealed and the following substituted:

Annual filing of financial statement and report

   41.  (1)  The chief financial officer of every political party and constituency association registered under this Act shall, on or before May 31 in each year, file with the Chief Electoral Officer a financial statement,

  (a)  of assets and liabilities as at the end of the previous year;

  (b)  of income and expenses for the previous year, excluding election campaign expenses; and

   (c)  setting out all the information required to be recorded under subsection 34 (1) for the previous year,

of the political party or constituency association for which the chief financial officer acts, together with the auditor's report as required by subsection 40 (4).

Report to Chief Electoral Officer

   (2)  A party or constituency association that waives repayment of an amount under subsection 36 (1) shall include the details in the annual financial statement filed under this section.

   53.  The Act is amended by adding the following section:

Reporting, nomination contestants

   41.1  (1)  When a candidate is nominated with respect to a registered party for an electoral district, the registered party or the registered constituency association, if the candidate is selected by the association, shall, within 30 days after the candidate is selected, file with the Chief Electoral Officer a report setting out,

  (a)  the name of the electoral district, the registered constituency association and the registered party that the nomination concerns;

  (b)  the date on which the contest for the nomination began and the date on which the candidate was selected;

   (c)  the name and address of each nomination contestant as of the date the candidate was selected, and of their chief financial officer; and

  (d)  the name of the candidate who was selected.

Notice

   (2)  The Chief Electoral Officer shall,

  (a)  communicate to each nomination contestant the information that was reported with respect to that contestant under subsection (1); and

  (b)  publish on a website on the Internet a notice containing the information referred to in subsection (1).

Filing of nomination contestant's report

   (3)  The chief financial officer of every registered nomination contestant shall file financial statements with the Chief Electoral Officer in accordance with the following rules:

    1.  Within four months after the date that a candidate is selected, a statement shall be filed with respect to the nomination contest period.

    2.  Each statement shall show all income received and expenses incurred during the relevant period and all information required to be recorded under subsection 34 (1) in respect of that period.

    3.  Each statement shall be accompanied by the auditor's report required by subsection 40 (4), if applicable.

   54.  (1)  Subsections 42 (1) , (2) and (3) of the Act are repealed and the following substituted:

Filing of statement relating to campaign period

   (1)  The chief financial officer of every registered political party shall, within six months after polling day, file with the Chief Electoral Officer a financial statement,

  (a)  of the expenses relating to the election incurred in the campaign period; and

  (b)  of all campaign expenses, paid and outstanding, incurred in a campaign period and a statement of all disputed claims, of the political party for which the chief financial officer acts, together with the auditor's report as required by subsection 40 (4).

Filing of financial statements, candidate

   (2)  The chief financial officer of every registered candidate and every registered constituency association shall, within six months after polling day, file with the Chief Electoral Officer a financial statement,

  (a)  of all income and expenses received or incurred in the campaign period;

  (b)  of all campaign expenses, paid and outstanding, incurred in a campaign period and a statement of all disputed claims; and

   (c)  setting out all the information required to be recorded under subsection 34 (1) that relates to the campaign period,

of the candidate or constituency association for whom the chief financial officer acts, together with the auditor's report required by subsection 40 (4).

By-elections

   (3)  In relation to a by-election, subsections (1) and (2) apply only to registered political parties and registered constituency associations that received income or made expenditures in relation to the by-election and to registered candidates at the by-election.

Where general election called

   (3.1)  Where writs for a general election are issued during a campaign period relating to a by-election, the campaign period relating to the by-election shall, for the purposes of subsections (1) and (2), be deemed to have terminated on the day before the day the writs for the general election were issued and the financial statements referred to in subsections (1) and (2) shall be filed with the Chief Electoral Officer within three months after the deemed termination of the campaign period.

   (2)  The French version of subsection 42 (4) of the Act is amended by striking out "candidats à la direction d'un parti inscrits" in the portion before paragraph 1 and substituting "candidats à la direction inscrits".

   55.  Clause 43 (2) (b) of the Act is amended by striking out "section 42" and substituting "subsection 41.1 (3) or section 42, as the case may be".

   56.  (1)  Subsection 44 (1) of the Act is amended by striking out "15 per cent" in the portion before clause (a) and substituting "five per cent".

   (2)  Subsection 44 (6) of the Act is amended by striking out "statement of income and expenses" and substituting "statement of expenses".

   57.  The Act is amended by adding the following section:

Additional penalty, third parties

   46.0.2  Any third party that contravenes section 37.10.1 is liable, in addition to the any other applicable penalty, to a further fine not exceeding five times the amount by which the third party exceeded the applicable limit under that section.

   58.  The French version of the Act is amended by striking out "candidat inscrit à la direction d'un parti" wherever it appears and substituting in each case "candidat à la direction inscrit".

Government Advertising Act, 2004

   59.  Subsection 8 (3) of the Government Advertising Act, 2004 is repealed and the following substituted:

On use during election periods

   (3)  Despite notice or deemed notice that an item meets the standards, a government office shall not publish, display, broadcast, distribute or convey the item, unless permitted under subsection (4), during the following periods:

    1.  The period beginning on the day of the issue of a writ under the Election Act for a general election and ending on polling day, in the case of any general election.

    2.  The additional period of 60 consecutive days ending on the day of the issue of a writ under the Election Act, in the case of a general election held in accordance with subsection 9 (2) of the Election Act.

Taxation Act, 2007

   60.  (1)  Subsection 53.1 (2) of the Taxation Act, 2007 is amended by striking out "A contribution made by a corporation during a taxation year" at the beginning and substituting "A contribution made by a corporation during a taxation year and before January 1, 2017".

   (2)  Clause 53.2 (b) of the Act is repealed and the following substituted:

  (b)  the amount determined by multiplying the corporation's basic tax rate for the year by,

           (i)  if the taxation year ends before January 1, 2017, the amount determined by multiplying $15,000 by the indexation factor determined under section 40.1 of the Election Finances Act, as it read at the end of that taxation year, in respect of the calendar year in which the taxation year ends, or

          (ii)  if the taxation year ends after December 31, 2016, $19,950; and

   (3)  The definitions of "eligible contributions" and "recorded agent" in subsection 102 (6) of the Act are repealed and the following substituted:

"eligible contributions" means, in respect of an individual for a taxation year, all contributions made by the individual in the year to leadership contestants, candidates, constituency associations or parties registered under the Election Finances Act; ("contributions admissibles")

"recorded agent" means a person on record with the Chief Electoral Officer as being authorized to accept contributions on behalf of a leadership contestant, political party, constituency association or candidate registered under the Election Finances Act; ("agent désigné")

   (4)  The definition of "first contribution level" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$300" and substituting "$399"; and

  (b)  striking out "five-year period" and substituting "calendar year".

   (5)  The definition of "second contribution level" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$1,000" and substituting "$1,330"; and

  (b)  striking out "five-year period" and substituting "calendar year".

   (6)  The definition of "tax credit limit" in subsection 102 (6) of the Act is amended by,

  (a)  striking out "$1,000" and substituting "$1,330"; and

  (b)  striking out "five-year period" and substituting "calendar year".

Commencement and Short Title

Commencement

   61.  This Act comes into force on January 1, 2017.

Short title

   62.  The short title of this Act is the Election Finances Statute Law Amendment Act, 2016.

 

EXPLANATORY NOTE

A number of amendments are made to the Election Finances Act. Among them:

    1.   Corporations and trade unions are prohibited from making contributions to parties, constituency associations, nomination contestants, candidates and leadership contestants. Contribution limits for individuals are reduced.

    2.   "Nomination contestants" - persons seeking to be endorsed as a party's candidate in an electoral district - are brought within the Act.

    3.   Quarterly allowances are made payable to registered parties.

    4.   The rules regarding loans and loan guarantees are made more restrictive.

    5.   Restrictions are placed on the amounts that third parties may spend on political advertising during elections and the six-month period before scheduled general election periods.

    6.   Restrictions are placed on the political advertising spending of registered political parties during the six-month period before scheduled general elections periods.

    7.   The indexation factor used for inflation adjustment is put on an annual basis, based on changes in the Consumer Price Index for Ontario.

    8.   The threshold at which candidates are entitled to receive partial reimbursement of their campaign expenses is reduced from 15 per cent of the popular vote to five per cent.

The Government Advertising Act, 2004 is amended to extend the prohibition on government advertising to 60 days before the issue of an election writ for scheduled general elections.

The Taxation Act, 2007 is amended to make contributions to leadership contestants eligible for tax credits, and to deal with the prohibition on corporate contributions.