1992 BILL 51 Fourth Session, 22nd Legislature, 41 Elizabeth II THE LEGISLATIVE ASSEMBLY OF ALBERTA BILL 51 MUNICIPAL GOVERNMENT ACT MR. CLEGG First Reading Second Reading Committee of the Whole Third Reading Royal Assent Title: 1992 (22nd, 4th) Bill 51, Municipal Government Act

Bill 51 Mr. Clegg BILL 51 1992 MUNICIPAL GOVERNMENT ACT (Assented to , 1992) Table of Contents

Interpretation 1 Conflicting Acts 2 Purpose of the Act 3

Part 1 Powers and Duties of Municipalities Division 1 Jurisdiction of Municipalities Individual capacity, rights, powers and privileges 4 Division 2 General Power to Pass Bylaws Spheres of jurisdiction 5 Restriction on power to pass bylaws 6 Natural person powers 7 Guides to interpreting power to pass bylaws 8 Examples 9 Division 3 Scope of Bylaws Geographic area of bylaws 10 Relationship to Provincial law 11 Division 4 Passing a Bylaw Bylaw readings 12 Cancellation of previous bylaw readings 13 Coming into force 14 Amendment and repeal 15 1

Part 2 Formation, Annexation, Status Change and Dissolution of Municipalities Division 1 General Criteria Principles, standards and criteria 16 Application to Commission 17 Division 2 Formation of Municipalities Types of municipality that may be formed under this Act 18 Municipal formation rules 19 Municipal district 20 Summer village 21 Village 22 Town 23 City 24 Specialized municipality 25 Commencement of procedure by formation study request 26 Formation study 27 Vote on formation 28 Deemed application 29 Division 3 Change of Status Change of status 30 Division 4 Annexation and Amalgamation Commencement of annexation or amalgamation proceedings 31 Annexations of same land 32 Direct negotiations with other affected municipalities 33 Negotiation report on direct negotiations 34 Disposition of negotiation report 35 Governance Commission’s convening of non-direct negotiations 36 Confirmation of application 37 Division 5 Dissolution Minister’s recommendation to dissolve 38 Dissolution study 39 Vote on dissolution 40 Application for dissolution 41 2

Division 6 Report and Recommendations of Governance Commission Action on application 42 Commission’s report to Minister 43 Division 7 Orders for Formation, Annexation, Amalgamation, Dissolution and Change of Status Implementation 44 Formation Orders Formation 45 Green areas 46 Specialized municipality - improvement districts 47 Specialized municipalities - roads 48 Regulations 49 Corporate and municipal status 50 Change of Status Order Change of status 51 Annexation and Amalgamation Order Annexation order 52 Dissolution Order Dissolution order 53 Division 8 General Provisions Effect of formation, annexation and dissolution orders 54 Power to effectuate transfer of land and other property 55 Other necessary orders 56 Retroactivity of orders 57 Division 9 Publication of Orders Orders published 58 3

Part 3 Councils, Councillors, Council Committees Division 1 Councils Councils as governing bodies 59 Number of councillors for municipalities 60 Bylaw changing number of councillors 61 Composition of council committees 62 Bylaws re council and council committees 63 Division 2 Elections, Appointments and Ward System Election of councillors 64 Division of municipality into wards 65 Time for passing bylaws 66 Election or appointment of chief elected official 67 Deputy and acting chief elected officials 68 Division 3 Duties, Titles and Oaths of Councillors General duties of councillors 69 General duties of chief elected officials 70 Titles of chief elected official and other councillors 71 Taking of oath 72 Division 4 Term of Council Office Positions elected at general election 73 Council positions elected at by-election 74 Appointed chief elected officials 75 Division 5 Vacancies and Quorum Positions unfilled at general election 76 Vacancy in position of councillor 77 Chief elected official (elected) vacancy 78 Chief official (appointed) vacancy 79 Nomination day 80 Quorum 81 Vacancies precluding quorum 82 Precluding quorum at particular meeting 83 Pecuniary interest preventing a quorum of council 84 Resignation 85 4

Division 6 Pecuniary Interest of Councillors

Definitions 86 Disclosing names of relatives 87 Disclosure of pecuniary interest 88 Effect of pecuniary interest on agreements 89 Insider information 90 Division 7 Disqualification of Councillors Reasons for disqualification 91 Division 8 Enforcement of Disqualification Resignation on disqualification 92 Decision on disqualification application 93 Inadvertence or genuine error 94 Appeal 95 Reimbursement of costs and expenses 96 Division 9 Council Proceedings Requirements for Valid Action Methods in which council may act 97 Requirements for valid bylaw or resolution 98 Voting and Meetings Restriction to one vote per person 99 Requirement to vote and abstentions 100 Abstention from voting on matter discussed at public hearing 101 Recording of votes 102 Tied vote 103 Prohibitions against voting for certain proposals 104 Organizational meetings 105 Regular council meetings 106 Special council meetings 107 Public presence at meetings 108 Right of public to be present 109 Electronic communication system meetings 110 Power to require taking of oath 111 Certain agreements prohibited 112 5

Part 4 Municipal Organization and Administration Council’s principal role in municipal organization 113 Delegation of powers and duties by council 114 Municipal office 115 Establishment of chief administrative officer 116 Chief administrative officers’ responsibilities 117 Designated officers 118 Performance of major administrative duties 119 Signing or authorization of municipal documents 120 Prohibition of certain agreements with employees 121

Part 5 Special Municipal Powers Division 1 Expropriation Expropriation powers 122 Expropriating part of a parcel 123 Temporary roads and rights of way 124 Division 2 Sharing Taxes and Grants Sharing taxes and grants 125 Division 3 Insurance Exercise of powers of insurance company 126 Division 4 Water Bodies, Air Space and Roads Water bodies and air space 127 Vesting of title to roads 128 Division 5 Holidays Civic holidays 129 Division 6 . Limits on Corporate Activities of Municipalities Land Disposal of land 130 Acquisition of land outside municipal boundaries 131 6

Weather Modification Agreements Weather modification agreements 132 Municipal Benefits and Services and Public Utilities Providing municipal benefits and services 133 Municipally operated public utilities 134 Water and sewer connections 135 Appeal 136 Other authorizations and approvals 137 Granting rights to provide public utilities 138 Long term supply agreements to public utilities 139 Granting rights for linear property 140 Division 7 Limits on Making Certain Bylaws Firearms 141 Forest protection areas 142 Division 8 Revision and Consolidation of Bylaws Revision authorized 143 Examination of revised bylaws 144 Requirements relating to substituted bylaws 145 Effects of revised bylaws 146 References to repealed bylaws 147 Mistakes made during revision 148 Consolidation of bylaws 149

Part 6 Public Participation Access to Information Statement of principle 150 What information must a municipality provide 151 Appeal about information disclosure decisions 152 Annual and Public Meetings Annual and public meetings 153 Public Hearings When public hearing advertised 154 7

Electors Vote on Bylaws and Resolutions Petition to amend or repeal a bylaw or resolution 155 Electors to vote on a question 156 Result of a vote on a question 157 Petition for vote on advertised bylaws and resolutions 158 Two or more bylaws or resolutions advertised at one time 159 Delaying votes 160 Local Authorities Election Act applies 161 One year moratorium on similar subject matter 162 Amendments or repeal of bylaws voted on by electors 163 Petitions Rules for petitions 164 CAO duties 165 Petition sufficiency requirements 166 Who can petition 167 Number of petitioners 168 Other requirements for a petition 169 Counting petitioners 170 Report on sufficiency of petition 171 Petition for public meeting 172

Part 7 Financial Administration Division 1 Accounts and Financial Year Establishment of municipal accounts 173 Municipal revenue 174 Financial year 175 Division 2 Budgets and Investments Adoption of operating budget 176 Contents of operating budget 177 Adoption of capital budget 178 Contents of capital budget 179 Expenditure of money 180 Civil liability of councillors 181 Special purpose reserve funds 182 Investments 183 Interest in a corporation 184 Division 3 Borrowing Borrowing power 185 Use of money intended for capital purposes 186 8

Temporary borrowing for operating expenditures 187 Temporary borrowing for capital expenditures 188 Bylaws that do not need to be advertised 189 Borrowing until financing is received 190 Division applies to loans and guarantees 191 Division 4 Debenture Borrowing Debenture borrowing 192 Contents of debenture bylaw 193 Time limits 194 Unused balance of debenture borrowing 195 Cancellation and substitution of debenture 196 Consolidation of debenture bylaws 197 Seal and signatures 198 Debenture Register 199 Certificate of ownership 200 Sinking fund account 201 Division 5 Annual Financial Statements and Auditor’s Report Annual financial statements 202 Auditors for municipality 203 Access to information by auditors 204 Auditor’s reports 205 Other auditors 206

Part 8 Local Taxes

Definitions 207 Partial exemptions 208 Division 1 Property Tax Application of Division 209 Taxable property 210 Exemption under Property Assessment Act 211 Exemption due to land use 212 Exemption for Crown and other bodies 213 Exemption by bylaw 214 Manufacturing or processing machinery and equipment 215 Exemption by Local Authorities Board 216 Exemption by private Act 217 Licensed premises not exempt 218 Grants instead of taxes 219 Property tax bylaw 220 Tax rates 221 Special provisions of property tax bylaw 222 9

Requisitions 223 Calculation of property tax 224 Supplementary property tax bylaw 225 Person liable to pay property tax 226 Tax agreement 227 Division 2 Business Tax Application of Division 228 Taxable business 229 Business tax bylaw 230 Contents of business tax bylaw 231 Business tax rate bylaw 232 Preparation of business assessment 233 Person liable to pay business tax 234 Business tax roll 235 Application of 2 tax bylaws 236 Supplementary business tax 237 Division 3 Special Tax Application of Division 238 Taxable property 239 Special tax bylaw 240 Public hearing 241 Use of revenue 242 Division 4 Provincially Authorized Local Tax Application of Division 243 Authority to impose tax on specific property 244 Authority to impose tax on any property 245 Consultation 246 Minister’s regulations 247 Division 5 Local Improvement Tax Definition 248 Authority to impose tax 249 Taxable property 250 Proposal of a local improvement 251 Petitioning rules 252 Withdrawal of petitioning rights 253 Local improvement plan 254 Contents of a local improvement plan 255 Adoption of a local improvement plan on council’s initiative 256 Approval or discontinuance of plan 257 Implementation of plan and tax 258 10

Local improvement tax bylaw 259 Calculation of local improvement tax 260 Portion of local improvement payable by municipality 261 Person liable to pay local improvement tax 262 Local improvement tax roll 263 Paying off a local improvement tax 264 Start-up of a local improvement 265 Land required for local improvement 266 Variation of local improvement tax bylaw 267 Variation of local improvement tax rate 268 Exemption from local improvement tax 269 Limitation on local improvement tax 270 Exempt land 271 Division 6 Business Revitalization Zones Purpose 272 Request 273 Bylaw process 274 Contents of bylaw 275 Board 276 Capital projects 277 Budget 278 Business revitalization zone levies 279 Financial restrictions 280 Annual report 281 Changing the zone 282 Terminating the zone 283 Division 7 Petitions for Public Works in a Hamlet Definition 284 Petition for public works 285 Agreement to delay public work 286 Hamlet advisory boards 287 Division 8 General Provisions Relating to Local Taxes Tax roll 288 Entry of date on tax roll 289 Form of tax roll 290 Inspection of rolls 291 Severability 292 Obligation to pay tax 293 Instalments 294 Sending tax notices 295 Tax notices 296 Interim property tax bylaw 297 Correction of tax notice 298 11

Correction of tax roll 299 Amended tax notice 300 Date taxes imposed 301 Penalty for unpaid current taxes 302 Penalty for arrears of taxes 303 Authority of a council 304 Penalty becomes a tax 305 Effect of bylaws 306 Prepayment incentives 307 Receipt for payment of taxes 308 Application of tax payment 309 Fire insurance proceeds 310 Tax becomes debt to municipality 311 Interest on refund 312 Tax certificates 313 Appeals 314

Part 9 Liability of Municipalities, Enforcement of Municipal Law and Other Legal Matters Division 1 Legal Liability of Municipalities Non-negligence actions 315 Exercise of discretion 316 Inspections and maintenance 317 Snow on roads 318 Repair of roads, public places and public works 319 Things on or adjacent to roads 320 Public works affecting adjacent land 321 Option to remove cause of loss 322 Judgments 323 Recovery of legal costs 324 Division 2 Liability of Councillors and Municipal Officers

Definitions 325 Protection from liability 326 Division 3 Inquiries Inquiry 327 Division 4 Challenging Bylaws and Resolutions Application to the Court of Queen’s Bench 328 Form and procedure 329 12

Validity involving plebiscites 330 General grounds of challenge 331 Effect of councillor being disqualified 332 Division 5 Enforcement of Municipal Law Municipal inspections and enforcement 333 Court authorized inspections and enforcement 334 Order to remedy contraventions 335 Appeal to council 336 Appeal to Court of Queen’s Bench 337 Action or measure by municipality 338 Recovery of amounts owing by civil action 339 Lien on land 340 Lien on personal property 341 Injunction 342 Bylaw enforcement officers 343 Powers and duties of bylaw enforcement officers 344 Division 6 Offences and Penalties General offences 345 Offences applicable to officials 346 Unauthorized use of heraldic emblems 347 Documents used to enforce bylaws 348 Obstructing construction of public work or utilities 349 Operating a business without a licence 350 Prosecutions 351 Penalty 352 Order for compliance 353 Fines and penalties 354 Civil liability not affected 355

Part 10 Miscellaneous Division 1 Regulations and Directives Regulations 356 Ministerial directions for information 357 Altering dates 358 Regulations Act does not apply to directives 359 Division 2 Advertising Requirements for advertising 360 When advertisement must take place 361 13

Division 3 Boundaries Actual location of specific boundaries 362 Division 4 Other Rules Adverse possession of land 363 Lost or unclaimed property 364 Unclaimed utility deposits 365 Certified copies 366 Division 5 Local Governance Commission Local Governance Commission - formation and composition 367 Payments to members 368 Governance Commission’s expenses 369 Purposes of Governance Commission 370 Governance Commission’s procedures 371 Notice to municipality 372 Termination of negotiation 373 Costs of assistance 374 Implementation of Commission recommendations 375

Part 11 Transitional Provisions, Consequential Amendments and Commencement Division 1 Charters Calgary Charter 376 Edmonton Charter 377 Royal Alexandra Hospital 378 Division 2 Transition from Former Acts to this Act

Definitions 379 Transitional regulations 380 Annexations in process 381 Authorizations 382 Bylaws 383 Resolutions and other decisions 384 Municipalities continued 385 Contracts 386 Agreements under M-31 sl7 (franchises) 387 Funds and reserves under the former Act 388 Variation of provisions 389 14

Division 3 Consequential Amendments, Repeal and Commencement Consequential amendments 390,391 Repeal 392 Coming into force 393

Schedule HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Alberta, enacts as follows:

Interpretation1

(1) In this Act, (a) “business” means (

i) a commercial, merchandising or industrial activity or undertaking, (ii) a profession, trade, occupation, calling or employment, and (iii) an activity providing goods or services, whether or not for profit and in whatever form the business is practised, including a co-operative or association of persons; (b) “business revitalization zone” means a business revitalization zone established under Division 6 of

Part 8; (c) “by-election” means an election to fill a vacancy on a council other than at a general election; (d) “chief administrative officer” means a person appointed to a position under

section 116; (e) “chief elected official” means the person elected or appointed as chief elected official in accordance with

section 67; (f) “council” means (

i) the council of a city, town, village, summer village, municipal district or specialized municipality, 15

(ii) the board of administrators of a new town under the New Towns Act, (iii) the council of a county under the County Act, (iv) the council of a town under the Parks Towns Act, or (

v) the council of a municipality incorporated by a special Act; (g) “council committee” means a committee, board or other body established by a council under this Act; (h) “councillor” includes the chief elected official; (i) “designated officer” means a person appointed to a position under

section 118(1) or, if no person has been appointed, the chief administrative officer; (j) “elector” means a person who is eligible to vote for the election of the members of a council under the Local Authorities Election Act; (k) “enactment” means (

i) an Act of the Legislature of Alberta and a regulation made under

an Act of the Legislature of Alberta, and (ii)

an Act of the Parliament of Canada and a statutory instrument made under

an Act of the Parliament of Canada, but does not include a bylaw made by a council; (l) “general election” means an election held to fill vacancies on council caused by the passage of time, and includes a first election; (m) “Governance Commission” means the Local Governance Commission established under

section 367; (n) “hamlet” means (

i) an unincorporated community consisting of a group of 5 or more occupied dwellings, a majority of which are on parcels of less 16

than 1850 square metres, with a defined boundary, a distinct name and the existence of or provision for non-residential uses, that is designated as a hamlet by the council for the municipal district, county or specialized municipality in which the community is located or by the Minister, (ii) a hamlet as defined in the Improvement Districts Act, or (iii) any area declared to be a hamlet by the Minister before July 1, 1986 unless the declaration is revoked by the Minister; (o) “hospital” has the same meaning as it has in the Hospitals Act; (p) “land” means an estate or interest in land, or physical land including buildings, or both, excluding mines and minerals; (q) “Land Compensation Board” means the Land Compensation Board established under the Expropriation Act; (r) “linear property” has the same meaning as it has in the Property Assessment Act; (s) “local authority” means (

i) a municipal authority, (ii) a district as defined in the Hospitals Act, (iii) a district or division as defined in the School Act, (iv) a regional services commission under the Regional Municipal Services Act, and (

v) a regional planning commission established under the Planning Act and if there is no regional planning commission, the Deputy Minister; (t) “local tax” means any of the following: (

i) property tax; 17

(ii) business tax; (iii) special tax; (iv) provincially authorized local tax; (

v) local improvement tax; (vi) business revitalization zone levies; (u) “Minister” means the Minister of Municipal Affairs; (v) “municipal associations” means (

i) the Alberta Association of Municipal Districts and Counties or any successor of that Association, (ii) the Alberta Urban Municipalities Association or any successor of that Association, and (iii) the Rural and Improvement Districts Association of Alberta or any successor of that Association; (w) “municipal authority” means a municipality, improvement district and special area and, if the context requires, in the case of an improvement district and special area, (

i) the geographical area of the improvement district or special area, or (ii) the Minister, where the improvement district or special area is authorized or required to act; (x) “municipal formation rules” means the applicable rules for the formation of a municipality contained in sections 19 to 25; (y) “municipality” means (

i) a city, town, village, summer village, municipal district or specialized municipality, (ii) a new town under the New Towns Act, 18

(iii) a county under the County Act, (iv) a town under the Parks Towns Act, or (

v) a municipality formed by special Act, or, if the context requires, the geographical area within the boundaries of a municipality described in subclauses (

i) to (v); (z) “owner” means (

i) in respect of unpatented land, the Crown, (ii) in respect of other land, the person who is registered under the Land Titles Act as the registered owner of it, or (iii) in respect of personal property, the person in lawful possession of it; (aa) “parcel” means (

i) any unsubdivided block or any lot, or any part of such a block or lot, in any area of land of which a plan of subdivision is registered in a land titles office; (ii) where a building affixed to the land that would without special mention be transferred by a transfer of land has been erected on 2 or more lots, all those lots; (iii) if there is no plan of subdivision, a quarter

section of land according to the system of surveys under the Surveys Act or any other area the description of which has been approved by the proper land titles office; (iv) the land forming a railway, irrigation or drainage right of way; (bb) “pecuniary interest” means pecuniary interest within the meaning of Division 6 of

Part 3; (cc) “population” means the population as determined in accordance with the regulations; (dd) “public utility” means a system or works requiring property of a municipality, property under the 19

direction, control and management of the municipality or a watercourse for its construction, operation or maintenance and that provides one or more of the following for public consumption, benefit, convenience or use: (

i) water or steam; (ii) sewage disposal; (iii) public transportation; (iv) irrigation; (

v) fuel; (vi) electric power; (vii) heat; (viii) waste management; (ee) “road” (

i) means land used or surveyed for use as a public road, and (ii) includes a bridge forming part of a public road and any structure incidental to the public road or bridge; (ff) “taxpayer” means a person liable to pay a local tax; (gg) “whole council” means (

i) the number of councillors comprising the council as provided under

section 60, (ii) if the council is not required to hold a by-election during a period referred to in

section 77 or 78, the remaining councillors, or (iii) if the Minister orders that a lesser number of councillors constitutes a quorum, the lesser number ordered by the Minister to be a whole council. 20

(2) For purposes of this Act, the place of residence of a person is governed by the rules set out in

section 48(1) of the Local Authorities Election Act, as far as they are applicable.

(3) If a person maintains 2 or more residences under the rules in the Local Authorities Election Act, the person must elect which is to be that person’s residence under this Act. Conflicting Acts 2 If there is an inconsistency between this Act and (

a) the County Act, (

b) the New Towns Act, (

c) the Parks Towns Act, or (

d) a special Act forming a municipality, those other Acts prevail. Purpose of the Act 3 The purpose of this Act is to provide a framework for municipal government in Alberta that will enable municipalities (

a) to provide necessary or desirable services and facilities for the benefit of people and property generally, (

b) to promote safe, viable and pleasing communities, and (

c) to be effective and efficient and also responsive and accountable.

PART 1 POWERS AND DUTIES OF MUNICIPALITIES Division 1 Jurisdiction of Municipalities Individual capacity, rights, powers and privileges 4(1) A municipality (

a) except to the extent provided by this or any other enactment has the capacity of a natural person and the rights, powers and privileges of a natural person. 21

(

b) has the functions that are described in this and other enactments, (

c) has the duties that are imposed on it by this and other enactments and those that the municipality imposes on itself as a matter of policy, and (

d) has, through its council, the power to make laws by passing bylaws under this and other enactments.

(2) Subject to

section 114, the powers, other than the power to make bylaws, given to a municipality by this Act, any other enactment or bylaw may be exercised by the council or by the chief administrative officer, unless the council otherwise provides. Division 2 General Power to Pass Bylaws Spheres of jurisdiction 5(1) A council may pass bylaws in relation to matters coming within the following spheres of jurisdiction: (

a) the protection of persons and property and the regulation of nuisances; (

b) the regulation of (

i) gatherings of people, and (ii) any activity or thing in a public place or place that is open to the public; (

c) the regulation of transport and transportation systems; (

d) the regulation of business, business activities and persons engaged in business; (

e) the regulation of services, public utilities or other activities that are necessary or desirable for persons or property; (

f) the regulation of wild and domestic animals and activities in relation to them; (

g) the regulation of any activity or thing that endangers or affects the safety, health or convenience of others; 22

(

h) the regulation of any activity or thing that endangers or affects the environment; (

i) respecting the establishment and collection of fees, costs, rates, tolls or charges for services, activities of or things provided or done by the municipality, or for the use of the municipality’s property including property under the direction, management and control of the municipality; (

j) the enforcement of bylaws made under this

section or any other enactment, including any or all of the following; (

i) the creation of offences; (ii) for each offence, imposing a fine not exceeding $10 000 or imprisonment for not more than one year, or both; (iii) providing for the imposition of a penalty for an offence that is in addition to a fine or imprisonment so long as the penalty relates to a fee, cost, rate, toll or charge that is associated with the conduct that gives rise to the offence; (iv) providing for imprisonment for not more than one year for non-payment of a fine or penalty; (

v) providing that a person who contravenes a bylaw may pay an amount established by bylaw and if the amount is paid, the person will not be prosecuted for the contravention; (vi) providing for inspections to determine if bylaws are being complied with; (vii) providing for the remedy of contraventions of bylaws; (

k) the good government of the municipality.

(2) In this section, “regulation” includes the power to prohibit. 23

Restriction on power to pass bylaws 6 The power to pass a bylaw under this Division (

a) does not include the power to pass a bylaw in respect of a matter over which other sections of this or any other enactment empowers the passing of a bylaw, and (

b) cannot be used to expand the power to pass a bylaw in respect of a matter over which other sections of this or any other enactment empowers the passing of a bylaw. Natural person powers 7 The power to pass bylaws under this Division does not affect the natural person capacity or the natural person rights, powers and privileges of a municipality. Guides to interpreting power to pass bylaws 8 The power to pass bylaws under this Division is stated in general terms to (

a) give broad authority to councils and to respect their right to govern the municipality in whatever way the council considers appropriate, within the jurisdiction given to them under this or any other enactment, (

b) enhance the ability of councils to respond to present and future issues in their municipalities, and (

c) allow councils to carry out the purposes of this Act in a way that the councils consider to be appropriate. Examples9(1) The

Schedule sets out examples of bylaws that may be passed by a council under this Division.

(2) The examples in the

Schedule (

a) are illustrative and indicative only, not exhaustive, and (

b) do not and are not intended to limit the powers to pass bylaws of council. 24

Division 3 Scope of Bylaws Geographic area of bylaws10 Bylaws of a municipality apply only inside its boundaries unless (

a) one municipality agrees with another municipality that a bylaw passed by one municipality has effect inside the boundaries of the other municipality and the council of each municipality passes a bylaw approving the agreement, or (

b) this or any other enactment says that the bylaw applies outside the boundaries of the municipality. Relationship to Provincial law11 If there is an inconsistency between this or another enactment and a bylaw, the bylaw is of no effect to the extent of the inconsistency. Division 4 Passing a Bylaw Bylaw readings 12(1) Every proposed bylaw must have 3 distinct and separate readings.

(2) Each councillor present at the meeting at which first reading is to take place must be given or have had the opportunity to review the full text of the proposed bylaw before the bylaw receives first reading.

(3) Each councillor present at the meeting at which third reading is to take place must, before the proposed bylaw receives third reading, be given or have had the opportunity to review the full text of any amendments that were passed after first reading.

(4) A proposed bylaw cannot have more than 2 readings at a council meeting unless the councillors present unanimously agree to consider third reading.

(5) Only the title or identifying number need be read at each reading of the bylaw. Cancellation of previous bylaw readings 13 The previous readings of a proposed bylaw are rescinded if the proposed bylaw (

a) does not receive third reading within 2 years of first reading, or 25

(

b) is defeated on second or third reading. Coming into force 14 Unless otherwise provided in this or any other enactment, a bylaw comes into force (

a) when it receives third reading, (

b) at the beginning of the day or days specified in the bylaw after the bylaw receives third reading, or (

c) if approval of the bylaw is required under this or any other enactment, at the beginning of the day the approval is given or at the beginning of the day or days specified in the bylaw after the approval is given. Amendment and repeal 15(1) The power to pass a bylaw under this or any other enactment includes a power to amend or repeal the bylaw.

(2) The amendment or repeal must be made in the same way as the original bylaw and is subject to the same consents or conditions that apply to the passing of the original bylaw, unless this or any other enactment provides otherwise.

PART 2 FORMATION, ANNEXATION, STATUS CHANGE AND DISSOLUTION OF MUNICIPALITIES Division 1 General Criteria Principles, standards and criteria 16 The Minister may by order establish and publish principles, standards and criteria about the viability of municipal authorities which are to be taken into account in considering any matter relating to the formation, dissolution, amalgamation or annexation of land or other changes to the boundaries or municipal status of municipal authorities. Application to Commission 17 Every application to (

a) form or dissolve a municipality, (

b) change the status of a municipal authority, (

c) amalgamate municipal authorities, or 26

(

d) annex land to or separate land from a municipal authority must be made to the Governance Commission. Division 2 Formation of Municipalities Types of municipality that may be formed under this Act 18 The following types of municipality may be formed under this Division: (

a) a summer village; (

b) a village; (

c) a municipal district; (

d) a town; (

e) a city; (

f) a specialized municipality being (

i) a combination of 2 or more of the types specified in clauses (

a) to (

e) or a modification of any one or more of them, or (ii) a new type of municipality, that is given the status of a city, town, village, summer village or municipal district or some other status that is appropriate to its form. Municipal formation rules 19(1) In order to establish viable municipalities that are capable of generating local leadership and providing and paying for necessary and desirable facilities and services, the rules provided in sections 20 to 25 apply to the formation of the types of municipalities referred to in

section 18.

(2) The Minister may by order, in a particular case, make minor modifications to the municipal formation rules if the Minister considers there is justifiable reason for doing so. 27

Municipal district 20 A municipal district may be formed for an area in which (

a) a majority of the buildings used as dwellings are on parcels with an area of at least 1850 square metres, and (

b) there is a population of 1000 residents or more. Summer village 21 A summer village may be formed for an area in which, at the time a request for a formation study under

section 26 was made, (

a) there were at least 60 parcels that had buildings used as dwellings located on them, (

b) a majority of the persons whose names are on the tax roll for land in that area did not reside in that area, and (

c) there was a population of less than 300 residents. Village 22 A village may be formed for an area in which (

a) a majority of the buildings are on parcels smaller than 1850 square metres, and (

b) there is a population of 300 residents or more. Town 23 A town may be formed for an area in which (

a) a majority of the buildings are on parcels smaller than 1850 square metres, and (

b) there is a population of 1000 residents or more. City 24 A city may be formed for an area in which (

a) a majority of the buildings are on parcels smaller than 1850 square metres, and (

b) there is a population of 10 000 residents or more. Specialized municipality 25 A specialized municipality may be formed for an area (

a) in which the Minister is satisfied that a type of municipality referred to in

section 18(

a) to (

e) does 28

not meet the needs of the residents of the proposed municipality, (

b) to provide for a form of local government that, in the opinion of the Minister, will provide for the orderly development of the municipality to a type of municipality referred to in

section 18(

a) to (

e) or to another form of specialized municipality, or (

c) in which the Minister is satisfied for any other reason that it is appropriate in the circumstances. Commence­ ment of procedure by formation study request 26(1) The procedure for forming a summer village, village, municipal district, specialized municipality, town or city under this Division commences with the making of a request to the Governance Commission for a formation study.

(2) A request for a formation study for a summer village must be made (

a) by a petition of a majority of the persons whose names are on the tax roll for land inside the boundaries of the proposed summer village, or (

b) by a council.

(3) A request for a formation study for a village, municipal district, town, city or specialized municipality must be made (

a) by a petition of electors numbering at least 30% of the population residing inside the boundaries of the proposed municipality, (

b) by a council, or (

c) by the Minister acting alone or with an advisory council.

(4) The Governance Commission shall send a copy of a request for a formation study to the Minister as soon as possible after it is received by the Governance Commission.

(5) A request under this

section must specify the boundaries of the proposed municipality. 29

Formation study 27(1) If the Governance Commission is satisfied that the municipal formation rules applicable to the proposed municipality are met or, in the case of a proposed specialized municipality, that there are circumstances that make the formation of a specialized municipality desirable, the Governance Commission shall, unless the Minister otherwise orders, prepare a formation study in which it shall consider at least (

a) the overall viability, including the financial viability, of (

i) the proposed municipality operating as a separate entity, and (ii) any remaining municipality continuing to operate as a separate entity, (

b) sound land use planning principles as they relate to the proposal, (

c) the principles, standards and criteria referred to in

section 16, (

d) any agreements on common boundaries that are filed with the Governance Commission, and (

e) whether the name proposed for the municipality complies with the Historical Resources Act.

(2) The Governance Commission shall, in preparing the formation study, (

a) invite comments on the proposal from all local authorities that the Governance Commission considers may be affected by the formation of the proposed municipality and from any other person it considers necessary, (

b) invite comments on the proposal from the public, and (

c) conduct at least one public meeting to discuss the probable effects of the proposal.

(3) At a public meeting referred to in subsection (2)(c), the Governance Commission may conduct a vote of the persons who would be electors in the proposed municipality on the formation.

(4) On completion of the formation study, the Governance Commission shall send a copy to the Minister and to the local 30

authorities and other persons that the Governance Commission considers may be affected by the proposed formation. Vote on formation 28(1) After the formation study has been provided to the Minister, the Minister must hold a vote of those persons who would be electors in the proposed municipality on the proposed formation if (

a) the Governance Commission found in the formation study that the financial and overall viability described in

section 27(l)(

a) are established, and (

b) the study is otherwise satisfactory to the Minister.

(2) The Minister shall conduct the vote (

a) in accordance with the Local Authorities Election Act, or (

b) if in the opinion of the Minister all or any of the procedures under that Act should be modified, in accordance with that Act as modified by directions given by the Minister.

(3) A vote on the proposed formation need not be held if (

a) the Minister is satisfied that a vote held under

section 27(3) fairly represents the opinion of the persons who would be electors in the proposed municipality, or (

b) the Minister acting alone or with an advisory council made the request for a formation study.

(4) The Regulations Act does not apply to directions under subsection (2). Deemed application 29(1) If the vote under

section 28(1) or the vote referred to in

section 28(3) is in favour of the formation, an application to the Governance Commission for formation is deemed to have been made.

(2) If a vote referred to in subsection (1) was not in favour of the formation and the Minister had requested the formation study, the Minister may apply to the Governance Commission for the formation. 31

Division 3 Change of Status Change of status 30(1) The procedure for changing the status of a summer village, village, municipal district, specialized municipality, town or city commences with the making of an application to the Governance Commission.

(2) An application for a change in status may be made (

a) by a petition of a majority of the electors in the municipality, (

b) by a council, or (

c) by the Minister, if in the opinion of the Minister the municipality no longer meets the municipal formation rules applicable to its existing municipal status or, in the case of a specialized municipality, the reasons for its original formation as a specialized municipality no longer exist, and if the Minister has told the council that he intends to make the application. Division 4 Annexation and Amalgamation Commence­ ment of annexation or amalgamation proceedings 31

(1) The procedure for the annexation by a municipal authority of land abutting its boundaries or for the amalgamation of 2 or more municipal authorities commences when a municipal authority gives written notice of its proposed annexation or amalgamation to the one or more municipal authorities from which the land is to be annexed or with which it proposes to amalgamate, and to the Governance Commission.

(2) The notice for an annexation must (

a) include a description of the land sought to be annexed and the reasons for the proposed annexation, (

b) state that the initiating municipal authority proposes either (

i) to negotiate the annexation directly with the municipal authorities from which the land is to be annexed, or (ii) to request the Governance Commission to take responsibility for the negotiations 32

between the initiating municipal authority and the one or more municipal authorities from which the land is to be annexed, and (

c) if the notice proposes direct negotiations with the affected municipal authorities from which the land is to be annexed, include proposals for (

i) consulting with the public about the proposed annexation, and (ii) meeting with the owners of that land, and keeping them informed about the progress of the negotiations.

(3) The notice for an amalgamation must (

a) include the names of all the municipal authorities that are to be amalgamated and the reasons for the proposed amalgamation, (

b) state that the municipal authority proposes either (

i) to negotiate the amalgamation directly with the other municipal authorities with which it proposes to amalgamate, or (ii) to request the Commission to take responsibility for the negotiations between the municipal authority and the municipal authorities with which it proposes to amalgamate, and (

c) if the notice proposes direct negotiations with the municipal authorities with which it proposes to amalgamate, include proposals for (

i) consulting with the public about the proposed amalgamation, and (ii) meeting with the owners of that land, and keeping them informed about the progress of the negotiations. 33

(4) The initiating municipal authority shall give a copy of the notice to every local authority the initiating municipal authority considers affected by the proposed annexation or amalgamation. Annexations of same land 32(1) A municipal authority may not initiate or proceed with more than one proposed annexation at any one time concerning the same land.

(2) If an application by a municipal authority for annexation is refused under this Division, no further application concerning the same land by that municipal authority may be made for a period of one year after the application was refused. Direct negotiations with other affected municipalities 33(1) The initiating municipal authority and the municipal authorities from which the land is to be annexed or with which it proposes to amalgamate, on receipt by those municipal authorities of the notice under

section 31 proposing direct negotiations with them, shall meet to discuss the proposals included in the notice and shall negotiate the proposals in good faith.

(2) The initiating municipal authority shall keep the Governance Commission informed of the progress of the direct negotiations.

(3) The initiating municipal authority or a municipal authority from which the land is to be annexed or with which it proposes to amalgamate may, at any time, request the Governance Commission to take responsibility for the negotiations between the municipal authorities. Negotiation report on direct negotiations 34(1) On conclusion of the direct negotiations, the initiating municipal authority shall prepare a negotiation report that describes the results of the negotiations and specifically includes (

a) a list of the matters agreed and those on which there is no agreement between the municipal authorities, (

b) a description of the public consultation processes involved in the negotiations, and (

c) a

summary of the views, if any, expressed during the public consultation processes.

(2) The negotiation report must be signed on behalf of the initiating municipal authority and the municipal authorities from which the land is to be annexed or with which it proposes to amalgamate that are prepared to sign and must include a certificate 34

by the initiating municipal authority stating that the report accurately reflects the results of the negotiations.

(3) If any of the municipal authorities from which the land is to be annexed or which are proposed to be amalgamated, does not wish to sign the negotiation report, it may prepare an explanation to be included in the report of the reasons for not signing it. Disposition of negotiation report 35(1) On completion of the negotiation report, the initiating municipal authority shall submit the report to the Governance Commission and send a copy of it to the municipal authorities from which the land is to be annexed or with which it proposes to amalgamate and any other local authority the initiating municipal authority considers affected.

(2) The Governance Commission shall, as soon as is reasonably practicable, complete a review of the negotiation report to determine if the principles for annexation or amalgamation established by the Minister under

section 16 have been considered and shall advise the municipal authority and local authorities referred to in subsection (1) of the results of the review. Governance Commission’s convening of non-direct negotiations 36 If under

section 31(2)(b)(ii) or (3)(b)(ii) or 33(3) the Governance Commission takes responsibility for the negotiations, it shall issue an annexation or amalgamation report, as the case may be, on completion of the negotiations. Confirmation of application 37 After reviewing the negotiation report submitted under

section 35(1) or on issuing the annexation or amalgamation report under

section 36, as the case may be, the Governance Commission shall ask the initiating municipal authority if it wishes to apply for the annexation or the amalgamation, and the municipal authority may then apply. Division 5 Dissolution Minister’s recommend­ ation to dissolve 38(1) The procedure for dissolving a city, town, village, summer village, municipal district or specialized municipality under this Division commences with the making of a request to the Governance Commission for a dissolution study.

(2) A request for a dissolution study for a municipality may be made 35

(

a) by petition of electors numbering at least 30% of the population resident in the municipality, (

b) by a council, or (

c) by the Minister, if the Minister is of the opinion that (

i) the municipality cannot balance its revenues with its required expenditures, (ii) the municipality does not meet the applicable municipal formation rules or, in the case of a specialized municipality, the reasons for its original formation as a specialized municipality no longer exist, or (iii) vacancies on a council cannot be filled.

(3) If a request is made by petition or by a council, the Governance Commission shall send a copy of the request for a dissolution study received by it to the Minister as soon as possible after it is received. Dissolution study 39(1) The Governance Commission shall, unless the Minister otherwise orders, undertake a dissolution study in which it shall consider the effect that the dissolution will have on all local authorities that the Commission considers may be affected by the dissolution.

(2) The Governance Commission shall, during the dissolution study, (

a) invite comments on the proposed dissolution from all local authorities that the Commission considers may be affected by the dissolution of the municipality, (

b) invite comments from the public, (

c) conduct at least one public meeting to discuss the implications of the dissolution, and (

d) consider the principles, standards and criteria referred to in

section 16.

(3) On completion of the dissolution study, the Governance Commission shall send a copy to the Minister.

(4) The Minister may by order levy the whole or a part of the cost of a dissolution study on persons other than the Governance 36

Commission, and those persons shall pay their levies to the Commission, which may be recovered in an action in debt Vote on dissolution 40(1) If the dissolution study is satisfactory to the Minister, the Minister shall hold a vote of the electors of the municipality on the proposed dissolution.

(2) The Minister shall conduct the vote (

a) in accordance with the Local Authorities Election Act, or (

b) if the Minister considers that all or any of the procedures under that Act should be modified, in accordance with that Act as modified by directions given by the Minister.

(3) The Regulations Act does not apply to directions under subsection (2). Application for dissolution 41(1) An application for dissolution is deemed to have been made if the vote under

section 40 is in favour of the dissolution.

(2) If a vote referred to in subsection (1) was not in favour of the dissolution and the Minister had requested the dissolution study, the Minister may apply to the Governance Commission for the dissolution. Division 6 Report and Recommendations of Governance Commission Action on application 42(1) On receiving an application under this Part, the Governance Commission (

a) shall notify the Minister and all the local authorities that it considers would be affected by the matter, and anyone else the Commission considers should be notified, and (

b) may investigate, analyze and make findings of fact about the matter, including the probable effect on local authorities and on the residents of an area.

(2) The Governance Commission shall conduct one or more hearings or public meetings in respect of the application and allow 37

any affected person to appear before the Governance Commission before making its report.

(3) The Governance Commission shall publish a notice of the hearing or public meeting at least once a week for 2 consecutive weeks in a newspaper or other publication circulating in the affected area, the 2nd notice being not less than 6 days before the hearing or meeting. Commission’s report to Minister 43(1) After considering any views expressed at a public meeting and any reports and representations made to it, the Governance Commission shall prepare a written report of its findings and recommendations to the Minister.

(2) In addition, the report, in the case of an annexation, (

a) must recommend whether or not land should be annexed to the initiating municipal authority or other municipal authority and, if so, identify that land, and (

b) may include recommended terms and conditions and any other thing the Governance Commission considers necessary or desirable to implement the annexation.

(3) In addition, the report, in the case of an amalgamation, (

a) must recommend whether or not the amalgamation should take place, and (

b) may include recommended terms and conditions of the amalgamation and any other thing the Governance Commission considers necessary or desirable to implement the amalgamation.

(4) The Governance Commission shall provide a copy of its report to the Minister and the local authorities affected by the application not later than 6 months after receiving the application or a later time agreed by a majority of the affected local authorities.

(5) The Governance Commission shall make the report available to members of the public, on request, at a fee fixed by the Governance Commission.

(6) The Governance Commission may withhold from the public any portion of the report that in the opinion of the Governance Commission contains information described in

section 151(2) and the Minister and the affected local authorities that received the 38

report must also withhold those portions from any copies that they distribute to the public. Division 7 Orders for Formation, Annexation, Amalgamation, Dissolution and Change of Status Implementa­ tion 44(1) Before making a recommendation to the Lieutenant Governor in Council under subsection (2), the Minister must consider (

a) the report of the Governance Commission under

section 43, (

b) in the case of a formation, (

i) the vote on the proposed formation, (ii) whether or not the municipal formation rules are met or, in the case of a specialized municipality, whether or not there are circumstances which make the formation of a specialized municipality desirable, and (iii) the corporate strategy if one was prepared, (

c) in the case of a dissolution, the vote on the proposed dissolution, and (

d) in the case of a change in status, whether or not the municipal formation rules applicable to the proposed municipal status have been met or where the change in status is to that of a specialized municipality, circumstances that make it desirable that it become a specialized municipality.

(2) The Lieutenant Governor in Council, on the recommendation of the Minister, may do any one or more of the following: (

a) form, dissolve or change the status of a city, town, village, summer village, municipal district or specialized municipality; (

b) amalgamate municipal authorities; (

c) annex land to a municipal authority; (

d) change the boundaries of a municipality. 39

(3) If the Minister proposes to make a different recommendation from those in the Governance Commission’s report, the Minister must inform the affected local authorities of the reasons for doing so at least 30 days before making the recommendation to the Lieutenant Governor in Council. Formation Orders Formation45(1) An order that forms a municipality must (

a) describe the boundaries of the municipality formed by the order, (

b) give the municipality the municipal status of city, town, village, summer village or municipal district, as the case may be, or, in the case of a specialized municipality, give it the municipal status appropriate to its form, and (

c) give the municipality an official name, and may authorize the municipality to use a variation of its official name.

(2) If a municipal district is formed, the order must (

a) state the number of councillors that is to comprise its council, and (

b) establish wards for it and describe their boundaries.

(3) If a specialized municipality is formed, the order must state the number of councillors that is to comprise its council and apply either

section 67(2) or (3) to the municipality and may (

a) establish wards for it and describe their boundaries; (

b) specify or describe by reference, the provisions of this or other enactments that do not apply to the specialized municipality, or that apply with or without modification; (

c) specify or describe by reference, any provisions which are to be added to or replace the provisions of this or other enactments; (

d) prescribe matters or conditions that govern the functions, powers and duties of the specialized municipality. 40

(4) If a specialized municipality is formed all or partly from an improvement district, the order may (

a) appoint an interim council; (

b) provide for the election of the first councillors under the Local Authorities Election Act; (

c) designate ministerial orders made under the Improvement Districts Act as the first bylaws of the specialized municipality.

(5) An order under this

section may contain provisions relating to the municipality formed by the order or the municipal authority from which it was formed (

a) respecting, despite

Part 8 or the Property Assessment Act, the valuation and assessment or the taxation of property, (

b) respecting any matter required to properly effect or deal with the formation, or matters resulting from it, whether transitional or otherwise, and (

c) respecting the addition, change or substitution of any provision of this or other enactments to give effect to the order to deal with a difficulty arising from the order or the application of this or other enactments to the formation or matters resulting from it. Green areas46(1) In this section, (a) “green area” means a part of Alberta shown outlined in green on the map annexed to a ministerial order dated May 7, 1985 made under

section 10 of the Public Lands Act; (b) “land use bylaw” has the meaning given to it in the Planning Act; (c) “statutory plan” has the meaning given to it in the Planning Act.

(2) When an order is made relating to a formation under

section 45, a land use bylaw or statutory plan does not apply to a part of a municipality that is included in a green area unless the Minister of Forestry, Lands and Wildlife approves. 41

Specialized municipality - improvement districts 47(1) On the formation of a specialized municipality, in whole or in part from an improvement district, the Minister may, by order, provide that the Improvement Districts Act continues to apply to the specialized municipality as if it were an improvement district.

(2) Pursuant to subsection (1) and subject to an order under

section 45, the Minister may at any time, in respect of the specialized municipality, (

a) exercise any of the powers that the Minister has in respect of an improvement district under the Improvement Districts Act or any other enactment; (

b) limit the power, authority or jurisdiction of the specialized municipality; (

c) prescribe how or the conditions under which the specialized municipality may exercise any power or authority; (

d) delegate to the council the power to exercise in respect of the specialized municipality, subject to any conditions the Minister imposes, any of the powers, rights or duties of the Minister under the Improvement Districts Act, including the power to impose and collect local taxes; (

e) authorize the council to make bylaws in respect of any matter, subject to sections 48 and 49 and to any conditions the Minister imposes; (

f) specify that a power, right or duty of a municipality must be exercised or performed by the specialized municipality. Specialized municipalities - roads 48(1) The Minister of Transportation and Utilities has the direction, control and management of roads within the specialized municipality referred to in

section 47.

(2) Despite subsection (1), the Minister of Transportation and Utilities and the council of the specialized municipality may enter into an agreement providing that all or part of the direction, control and management of roads within the specialized municipality may be exercised by the specialized municipality.

(3) If there is an agreement under subsection (2), the Minister of Transportation and Utilities may require that a specialized municipality pay for the cost of fulfilling the Minister’s responsibilities with respect to roads within the specialized 42

municipality, and the specialized municipality shall pay the amount of the requisition as soon as practicable after the requisition is made. Regulations49 The Minister may, with respect to one or more specialized municipalities for which an order has been made under

section 47, make regulations (

a) respecting the form and content of a corporate strategy; (

b) respecting the financial administration of specialized municipalities; (

c) respecting the administration, operation and management of specialized municipalities. Corporate and municipal status 50 On the effective date of the formation order, the electors of the municipality described in the order become formed as an incorporated municipality according to the terms of the order. Change of Status Order Change of status 51 In an order to change the status of a city, town, village, summer village, municipal district or specialized municipality to another status within that group, the Lieutenant Governor in Council, to the extent that the change of status effects applicable changes, (

a) shall make the provisions that on a formation are required to be made under

section 45(2), and (

b) may deal with any of the other matters referred to in

section 45. Annexation and Amalgamation Order Annexation order 52(1) An order to annex or amalgamate one or more municipalities may (

a) require a municipal authority to pay compensation to another municipal authority set out in the order or by means determined in the order including arbitration under the Arbitration Act, 43

(

b) require that the annexed property be valued or assessed on any basis despite the Property Assessment Act and for any period considered appropriate, (

c) dissolve a municipal authority as a result of the annexation or amalgamation, (

d) deal with any of the matters referred to in

section 45, or (

e) impose other terms or conditions respecting annexation or amalgamation and matters consequential to annexation or amalgamation, as the case may be.

(2) The Minister may recommend to the Lieutenant Governor in Council that land be annexed to a municipal authority without sections 31 to 37 necessarily having been applied if (

a) the Minister considers that the proposed annexation is of a minor nature, and (

b) in the Minister’s opinion there is no dispute about the proposal. Dissolution Order Dissolution order 53(1) An order to dissolve a city, town, village, summer village, municipal district or specialized municipality may (

a) order that all or part of the land in the dissolved municipality become part of another municipal authority, (

b) deal with any of the matters referred to in

section 45, and (

c) deal with other matters respecting dissolution and matters consequential to dissolution.

(2) If the liabilities of the dissolved municipality exceed its assets, the Minister may authorize the successor of the dissolved municipality to impose a special tax on the land previously in the dissolved municipality to pay for those excess liabilities. 44

Division 8 General Provisions Effect of formation, annexation and dissolution orders 54(1) Where an order under this Part has the effect of including or placing the whole or part of land in a municipal authority (in this

section called the “old municipal authority”) in another municipal authority (in this

section called the “new municipal authority”) as a result of the formation, annexation, amalgamation, change of status or dissolution of a municipal authority, then, unless the order otherwise provides, (

a) the new municipal authority becomes the successor of the old municipal authority in all respects with respect to that land and the old municipal authority ceases to have any jurisdiction with respect to that land, (

b) all the assets, liabilities, rights and obligations of the old municipal authority that relate to that land automatically pass to the new municipal authority and cease to be those of the old municipal authority, (

c) local taxes due with respect to that land and remedies for their collection pass to the new municipal authority, but on collection must be paid to the old municipal authority, unless dissolved, (

d) if at the time of the notice under

section 31, any land or any portion of it is designated or required to be provided as a public utility lot, environmental reserve, municipal reserve or municipal and school reserve under the Planning Act, it becomes vested in the new municipal authority in place of the old municipal authority, and (

e) bylaws and resolutions of the old municipal authority that apply specifically to the land continue to apply to it until repealed or others are made in their place by the new municipal authority.

(2) If the land referred to in subsection (1)(

d) is sold or money instead of land is received by the old municipal authority after the notice under

section 31 is received, the proceeds of the sale or the money received must be paid to the new municipal authority.

(3) The new municipal authority may only use the proceeds of the sale or the money received for purposes for which the old municipal authority could have used it.

(4) The Lieutenant Governor in Council may 45

(

a) authorize the council of the new municipal authority to impose a special tax under

Part 8 on the land to meet debentures issued by the old municipal authority in respect of that land, (

b) make any provision necessary to protect any rights that any person has in relation to the land, or (

c) direct the transfer of assets and liabilities from one municipal authority to another.

(5) This

section does not abrogate or affect agreements described in

section 138 or 139. Power to effectuate transfer of land and other property 55 Where an order under this Division requires the ownership of land or other assets to be transferred to a municipal authority, the Minister may do whatever is necessary to give effect to

section 54(1) or a direction under

section 54(4)(c). Other necessary orders 56 The Lieutenant Governor in Council may make any other orders necessary to implement a formation, annexation, amalgamation, change of status, or dissolution or other change in boundaries, as the case may be. Retroactivity of orders 57(1) An order under this Division and Division 7 may provide (

a) for the retroactive application of the order or any of its provisions, and (

b) that the order or any of its provisions come into force on different dates.

(2) An order or any of its provisions may only be made retroactive to a date in the year immediately before the calendar year in which the order is made.

(3) Any error in any order made under this Part may be corrected by subsequent order, and the correcting order may be made effective as of the date of the original order or on some other later date that is specified in the order. 46

Division 9 Publication of Orders Orders published 58(1) An order of the Lieutenant Governor in Council or the Minister under this Part must be published in The Alberta Gazette.

(2) Publication of an order of (

a) the Lieutenant Governor in Council, or (

b) the Minister, made under this

Part is conclusive proof of the fulfilment of any conditions precedent to the Lieutenant Governor in Council’s or Minister’s order.

PART 3 COUNCILS, COUNCILLORS, COUNCIL COMMITTEES Division 1 Councils Councils as governing bodies 59(1) Each municipality is to be governed by a council.

(2) A council is a continuing body. Number of Councillors for municipalities 60(1) A council consists of the number of councillors provided for under this section, one of whom is the chief elected official, but in no case may a council consist of fewer than 3 councillors.

(2) The council of a city or town consists of 7 councillors unless the council passes a bylaw specifying a higher or lower odd number.

(3) The council of a village or summer village consists of 3 councillors or, if the council passes a bylaw so providing, 5 councillors.

(4) The council of a municipal district or specialized municipality consists of the number of councillors specified in the order forming it unless the council passes a bylaw specifying a higher or lower odd number.

(5) The council of any other type of municipality consists of the number of councillors provided for it by or under the relevant enactment establishing it. 47

Bylaw changing number of councillors 61(1) A bylaw changing the number of councillors on council must be passed at least 180 days before the general election at which it is to take effect.

(2) If a bylaw is passed less than 180 days before the next general election, it takes effect at the 2nd general election after the date on which it is passed.

(3) The bylaw remains in effect until it is amended or repealed.

(4) The municipality must advertise a bylaw made under this section. Composition of council committees 62 A council committee may consist (

a) entirely of councillors, (

b) of a combination of councillors and other persons, or (

c) subject to

section 70(2), entirely of persons who are not councillors. Bylaws re council and council committees 63 A council may pass bylaws in relation to the following: (

a) the establishment and functions of council committees and other bodies; (

b) the procedure and conduct of council, council committees and other bodies established by the council, the conduct of councillors, the conduct of members of council committees and other bodies established by the council. Division 2 Elections, Appointments and Ward System Election of councillors 64(1) Subject to Division 5, councillors other than a chief elected official are to be elected in accordance with the Local Authorities Election Act.

(2) The election is to be by a vote of the electors of the whole municipality unless the municipality is divided into wards, in which case

section 65 applies. 48

Division of municipality into wards 65(1) A council may by bylaw (

a) divide the municipality into wards and establish their boundaries, (

b) in the case of wards established under

section 45(3) for a municipal district or under

section 45(4) for a specialized municipality, change the number of wards and their boundaries, (

c) give each ward established or changed a name or number, or both, and (

d) state the number of councillors to be elected for each ward established or changed.

(2) A municipal district must at all times have a ward system, unless otherwise provided by the Minister.

(3) The bylaw may make provision for the election by the electors of the whole municipality of a specified number of councillors in addition to the councillors to be elected in each ward.

(4) The number of councillors to be elected by the electors of a ward must be determined in such a way that the population of the ward divided by that number is neither more than 25% above nor more than 25% below the total population of the municipality divided by the number of councillors to be elected by all the wards, unless a bylaw has been passed under

section 47(2) of the Local Authorities Election Act.

(5) For the purposes of determining the number of councillors to be elected by all the wards in subsection (4), that number must not include a councillor who is to be elected by the whole of the electors of the municipality.

(6) If to comply with subsection (4) would significantly and negatively affect the community of interests of the inhabitants of the proposed ward, the council may pass a bylaw that does not comply with subsection (4), but the bylaw, or any subsequent amendment to it, has no effect unless it is approved by the Minister before third reading. Time for passing bylaw 66(1) A bylaw under

section 65 must be passed at least 180 days before the general election at which it is to take effect.

(2) If a bylaw is passed less than 180 days before the next general election, it takes effect at the 2nd general election after the date on which it is passed. 49

(3) A bylaw made under

section 65 by a municipal district or specialized municipality may change an order respecting wards made under

section 45 or any predecessor provision.

(4) The bylaw remains in effect until it is amended or repealed.

(5) The bylaw must be reviewed by the council at least once every 10 years to determine if it complies with

section 65(4).

(6) The municipality must advertise a bylaw made under

section 65. Election or appointment of chief elected official 67(1) Subject to Division 5, a chief elected official is to be (

a) elected in accordance with the Local Authorities Election Act and this section, or (

b) appointed in accordance with this section.

(2) The chief elected official of a city or town is to be elected by a vote of the electors of the whole municipality unless the council passes a bylaw (

a) requiring council to appoint the chief elected official from among the councillors, (

b) specifying when the appointment is to start, and (

c) specifying the term of the appointment.

(3) The chief elected official of a village, summer village or municipal district is to be appointed by council from among the councillors unless the council passes a bylaw providing that the official is to be elected by a vote of the electors of the whole municipality. (4) Subsection (2) or (3) applies to a specialized municipality, depending on the applicable provision of the order under

section 45(4).

(5) A bylaw under this

section must be passed at least 180 days before the general election at which it is to take effect.

(6) If a bylaw is passed less than 180 days before the next general election, it takes effect at the 2nd general election after the date on which it is passed.

(7) The bylaw remains in effect until it is amended or repealed. 50

(8) The municipality must advertise a bylaw made under this section. Deputy and acting chief elected officials 68(1) A council shall appoint one or more councillors as deputy chief elected official so that (

a) only one councillor will hold that office at any one time, and (

b) the office will be filled at all times.

(2) A deputy chief elected official shall act as the chief elected official (

a) when the chief elected official is unable to perform the duties of the chief elected official, or (

b) if the office of chief elected official is vacant.

(3) A council may appoint an acting chief elected official from among themselves to act as the chief elected official (

a) if both the chief elected official and the deputy chief elected official are unable to perform the duties of the chief elected official, or (

b) if both the office of chief elected official and deputy chief elected official are vacant. Division 3 Duties, Titles and Oaths of Councillors General duties of councillors 69 It is the responsibility of councillors (

a) to consider the welfare and interests of the municipality as a whole and to bring to council’s attention anything that would promote the welfare or interests of the municipality; (

b) to participate generally in developing and evaluating the policies and programs of the municipality; (

c) to participate in council meetings and council committee meetings and meetings of other bodies to which they are appointed by the council; 51

(

d) to obtain information about the operation or administration of the municipality from the chief administrative officer or a person designated by the chief administrative officer; (

e) to keep in confidence matters discussed in private at a council or council committee meeting until discussed at a meeting held in public; (

f) to perform any other duty or function imposed on councillors by this or any other enactment or by the council. General duties of chief elected official 70(1) A chief elected official, in addition to performing the duties of a councillor, shall (

a) preside when in attendance at a council meeting unless a bylaw provides that another councillor or other person is to preside, and (

b) perform any other duty imposed on a chief elected official by this or any other enactment or bylaw.

(2) The chief elected official, by virtue of the office, is a member of all council committees and all bodies to which council has the right to appoint members under this Act, unless the council provides otherwise. Titles of chief elected official and other councillors 71 A councillor is to have the title “councillor” and a chief elected official that of “chief elected official” unless the council directs another title that is appropriate to the office. Taking of oath72(1) A councillor, a chief elected official and a deputy and acting chief elected official may not carry out any power, duty or function until that person has taken the official oath prescribed by the Oaths of Office Act.

(2) A designated officer shall retain the signed oath with the municipality’s official records. 52

Division 4 Term of Council Office Positions elected at general election 73(1) The term of office of councillors elected at a general election (

a) starts at the beginning of the organizational meeting following that election, and (

b) ends immediately before the beginning of the organizational meeting after the next general election.

(2) If the first election of a newly formed municipality, whether formed under this or another enactment, is less than 18 months before the date set by the Local Authorities Election Act for the next general election, the Minister may order that the next general election not take place.

(3) If the Minister makes an order under subsection (2), the terms of the offices are to continue until immediately before the beginning of the organizational meeting following the next general election after that date. Council positions elected at by­ election 74 The term of office of councillor elected at a by-election is the period (

a) starting at the beginning of the first meeting of council after the by-election, and (

b) ending immediately before the beginning of the organizational meeting after the next general election. Appointed chief elected officials 75(1) A chief elected official who is to be appointed in accordance with

section 72 must be appointed at each organizational meeting of the council, unless otherwise provided by bylaw.

(2) The term starts immediately on appointment and ends on the appointment of the next chief elected official.

(3) The term of office of an appointed chief elected official may not extend beyond the term of office of that person as councillor. 53

Division 5 Vacancies and Quorum Positions unfilled at general election 76(1) If at a general election persons are not elected to fill all the offices on council, the Minister may (

a) fill the vacancies by appointing persons as councillors, (

b) if there is no quorum, order that the councillors who have been elected constitute a quorum, or (

c) appoint an official administrator.

(2) Persons appointed under subsection (1) hold office until the vacancies are filled by a by-election.

(3) If council is unable to or does not within a reasonable time hold a by-election to fill a vacancy referred to in subsection (1), the Minister may direct that a by-election be held to fill the vacancy. Vacancy in position of councillor 77 A council shall hold a by-election to fill a vacancy on council unless (

a) the vacancy occurs in the 6 months before a general election, or (

b) the council is to consist of 6 or more councillors and the vacancy occurs (

i) in the 18 months before a general election and there is only one vacancy, or (ii) in the 12 months before a general election and the number of councillors remaining is at least one more than the quorum of the whole council. Chief elected official (elected) vacancy 78 If the chief elected official is elected by a vote of the electors of the whole municipality and the office becomes vacant, the vacancy shall be filled (

a) if there are 12 months or more before a general election, by a by-election, or (

b) if there are less than 12 months before a general election, either by a by-election or by council 54

appointing at the next council meeting one or more councillors as chief elected official so that (

i) only one councillor holds that office at any one time, and (ii) the office is filled all the time. Chief elected official (appointed) vacancy 79 If, under

section 67, the chief elected official is appointed by council from among the councillors and the office becomes vacant, council shall at the next council meeting appoint one or more councillors as chief elected official so that (

a) only one councillor holds that office at any one time, and (

b) the office is filled all the time. Nomination day 80 Unless a council sets an earlier date, election day for a by-election under

section 77 or 78 is 90 days after the vacancy occurs. Quorum 81

(1) Except as provided in this or another enactment, a majority of the whole council is the quorum of the council.

(2) For the purposes of determining a quorum, a councillor to whom

section 88 or 101 applies is deemed not to be present at the meeting in respect of the matter to be voted on. Vacancies precluding quorum 82(1) If vacancies reduce the number of councillors to less than a quorum, the Minister may (

a) order that the remaining councillors constitute a quorum, (

b) appoint an official administrator, or (

c) order that the remaining councillors constitute a quorum and appoint a comptroller under

section 14 of the Department of Municipal Affairs Act, until the vacancies are filled.

(2) If a vacancy must be filled under

section 77 or 78 and the council is unable to or does not within a reasonable time hold a 55

by-election to fill the vacancies, the Minister may direct that a by-election be held to fill the vacancies. Precluding quorum at particular meeting 83(1) If the number of councillors able to attend a council meeting is less than a quorum, the Minister may (

a) order that the remaining councillors constitute a quorum, or (

b) appoint an official administrator.

(2) The appointment or order remains in effect until revoked. Pecuniary interest preventing a quorum of council 84(1) If councillors are required to abstain from voting because of their pecuniary interest in a matter and the number of remaining councillors able to vote is less than a quorum, the Minister may (

a) order that those remaining councillors constitute a quorum for the purpose of voting on that matter, (

b) order that all councillors may vote on the matter, if otherwise eligible, even though a councillor has a pecuniary interest, or (

c) direct the chief administrative officer to conduct a vote of the electors on the matter to be voted on by the council, with directions respecting the date of the vote of the electors, the question to be voted on by the electors and procedural matters.

(2) The council shall comply with the result of the vote of the electors.

(3) If a councillor votes on a matter (

a) in accordance with the Minister’s order under subsection (l)(b), or (

b) for the purpose of complying with the results of a vote conducted under subsection (l)(c), the councillor is not disqualified for having voted. Resignation85(1) A councillor may resign by giving written notice to the chief administrative officer. 56

(2) A chief elected official appointed by council who resigns remains on the council as a councillor unless he also resigns as councillor.

(3) The resignation is effective on the date the notice is received by the chief administrative officer even if a later date is set out in the notice.

(4) The chief administrative officer shall report the resignation at the first council meeting after receipt of the resignation. Division 6 Pecuniary Interest of Councillors

Definitions86(1) In this Division, (a) “corporation”, “director”, “distributing corporation”, “officer”, “shareholder”, “voting rights” and “voting shares” have the same meaning as they have in the Business Corporations Act; (b) “pecuniary interest” means an interest in a matter that could monetarily affect (

i) the councillor, (ii) a corporation, other than a distributing corporation, in which the councillor is a shareholder, director or officer, (iii) a distributing corporation in which the councillor beneficially owns voting shares carrying at least 10% of the voting rights attached to the voting shares of the corporation or of which the councillor is a director or officer, (iv) a partnership or firm of which the councillor is a member, or (

v) a person, partnership, firm or government that employs the councillor; (c) “spouse” includes a party to a relationship between a man and woman who are living together on a bona fide domestic basis but does not include a spouse who is living apart from the councillor if the councillor and spouse have separated pursuant to a written separation agreement or if their support 57

obligations and family property have been dealt with by a court order.

(2) For the purposes of this Division, the pecuniary interests of (

a) the spouse of the councillor, the councillor’s children and the parents of the councillor, and (

b) the parents of the councillor’s spouse that are known to the councillor or of which the councillor reasonably should know, are deemed to be the pecuniary interests of the councillor.

(3) For the purposes of this Division, a councillor does not have a pecuniary interest by reason only of any interest that the councillor may have (

a) as an elector, taxpayer or utility customer of the municipality, (

b) by reason of the councillor’s appointment by the council as a director of a company incorporated for the purpose of carrying on business for and on behalf of the municipality or by reason of the councillor being appointed as the representative of the council on another body, (

c) with respect to any allowance, honorarium, remuneration or benefit to which the councillor may be entitled by being a councillor or by being appointed by the council to a position described in clause (b), (

d) by reason of the councillor’s employment by the Government of Canada, the Government of Alberta or a federal or provincial Crown corporation or agency, except with respect to a matter directly affecting the department, corporation or agency of which the councillor is an employee, (

e) by reason of a person referred to in subsection (2) being employed by a person, partnership, firm or government that is monetarily affected by a decision of the municipality, (

f) by reason of the councillor being a member or director of a credit union, a co-operative association or a non-profit organization formed under

an Act of 58

the Legislature or of the Parliament of Canada, or a service club, (

g) by reason of the councillor’s appointment as the volunteer chief or other volunteer officer of a fire or ambulance service or emergency measures organization or other volunteer organization or service or by reason of remuneration received as a volunteer member of any of those voluntary organizations or services, (

h) by reason of having an interest that is an interest in common with the majority of electors of the municipality or, if the matter affects only part of the municipality, with the majority of electors in that part, (

i) by reason of an interest that is so remote or insignificant that it cannot reasonably be regarded as likely to influence the councillor, or (

j) by reason of discussing or voting on a bylaw respecting businesses or business activities when the councillor has an interest in a business that is affected by the bylaw. (4) Subsection (3)(

e) and (

f) do not apply to a councillor who is (

a) an employee of a credit union or co-operative association, or (

b) an employee of an organization or club referred to in those clauses.

(5) The exemptions under subsection (3) in respect of a councillor also apply with respect to the persons named in subsection (2). Disclosing names of relatives 87 A council may by bylaw (

a) require that each councillor file with a designated officer a statement of (

i) the names of the councillor’s spouse, children and parents, and the parents of the councillor’s spouse, and (ii) any person, partnership, firm or government referred to in

section 86(l)(b), 59

and (

b) require the designated officer to compile a list of all the names reported on the statements filed with the officer and give a copy of the list to the employees of the municipality indicated in the bylaw. Disclosure of pecuniary interest 88(1) When a councillor has a pecuniary interest in a matter before the council, a council committee or any other body to which the councillor is appointed as a representative of the council, the councillor must, if present (

a) disclose the general nature of the pecuniary interest prior to any discussion of the matter, (

b) abstain from voting on any question relating to the matter, (

c) subject to subsection (3), abstain from any discussion of the matter, and (

d) subject to subsections (2), (3) and (6), leave the room in which the meeting is being held until discussion and voting on the matter are concluded.

(2) If the matter with respect to which the councillor has a pecuniary interest is the payment of an account for which funds have previously been committed, it is not necessary for the councillor to leave the room.

(3) If the matter with respect to which the councillor has a pecuniary interest is a question on which, under this Act or another enactment, the councillor as a taxpayer, an elector or owner has a right to be heard by the council, (

a) it is not necessary for the councillor to leave the room, and (

b) the councillor may exercise a right to be heard in the same manner as a person who is not a councillor.

(4) If a councillor is temporarily absent from a meeting when a matter in which the councillor has a pecuniary interest arises, the councillor must immediately on returning to the meeting, or as soon as the councillor becomes aware that the matter has been considered, disclose the general nature of the councillor’s interest in the matter. 60

(5) The abstention of a councillor under subsection (1) and the disclosure of a councillor’s interest under subsection (1) or (4) must be recorded in the minutes of the meeting.

(6) If a councillor has declared a pecuniary interest at a council committee meeting and council considers a report of the committee in respect of which the councillor declared a pecuniary interest, the councillor need not re-declare the interest nor leave the room when council discusses and votes on the matter.

(7) Subject to

section 84(3), a councillor who contravenes this

section is disqualified from council. Effect of pecuniary interest on agreements 89(1) No agreement with a municipality under which a councillor of the municipality has a pecuniary interest is binding on the municipality unless (

a) the agreement is for work in an emergency, (

b) the agreement is for the sale of goods or the provision of services to the municipality or to persons contracting with the municipality at competitive prices by a dealer in those goods or services that is incidental to or in the ordinary course of the business, or (

c) the agreement is approved by council.

(2) A councillor who has a pecuniary interest in an agreement with the municipality, other than an agreement referred to in subsection (1)(a), (

b) or (

c) or in the circumstances described in

section 84, is disqualified from council. Insider information 90 A councillor is disqualified from council if the councillor uses information gained through being on council to gain a pecuniary benefit in respect of any matter. Division 7 Disqualification of Councillors Reasons for disquali­ fication 91(1) A councillor is disqualified from council if (

a) the councillor never was or ceases to be eligible for nomination as a candidate under the Local Authorities Election Act; 61

(

b) the councillor becomes a judge of a court or a member of the Senate or House of Commons of Canada or of the Legislative Assembly of Alberta; (

c) the councillor is absent from all regular council meetings held during any period of 8 consecutive weeks, starting with the date that the first meeting is missed, unless subsection (2) applies; (

d) the councillor is convicted (

i) of an offence punishable by imprisonment for 5 or more years, or (ii) of an offence under

section 123, 124 or 125 of the Criminal Code (Canada); (

e) the councillor does not vote on a matter at a council meeting at which the councillor is present, unless the councillor is required or is permitted to abstain from voting under this or any other enactment; (

f) the councillor discloses information the councillor is required to keep in confidence under

section 69(e); (

g) the councillor becomes an employee of the municipality.

(2) A councillor is not disqualified by being absent from regular council meetings under subsection (1)(

c) if the absence is authorized by a resolution of council passed (

a) at any time before the end of the last regular meeting of the council in the 8-week period, or (

b) if there is no other regular meeting of the council during the 8-week period, at any time before the end of the next regular meeting of the council.

(3) For the purposes of this section, a councillor is not considered to be absent from a council meeting if (

a) the councillor is elected or appointed by the council to the executive, board or committee of a municipal association and is absent on association business, or (

b) the councillor is absent on council business at the direction of council. 62

(4) Despite

section 24 of the Local Authorities Election Act, a councillor who is disqualified under this

section is eligible to be elected at the next ensuing general election in the municipality if qualified for nomination under the Local Authorities Election Act. Division 8 Enforcement of Disqualification Resignation on dis­ qualification 92(1) A councillor must resign immediately after being disqualified from council.

(2) If a councillor does not resign immediately, (

a) the council may apply by originating notice to a judge of the Court of Queen’s Bench for (

i) an order determining whether the person was never qualified to be or has ceased to be qualified to remain a councillor, or (ii) an order declaring the person to be disqualified from council, or (

b) an elector who (

i) files an affidavit showing reasonable grounds for believing that a person never was or has ceased to be qualified as a councillor, and (ii) pays into court the sum of $500 as security for costs, may apply by originating notice to a judge of the Court of Queen’s Bench for an order declaring the person to be disqualified from council.

(3) An application under this

section may only be made within 3 years of the date the disqualification is alleged to have occurred.

(4) An application under this

section may be started or continued whether or not an election has been held between the time the disqualification is alleged to have occurred and the time the application is or was commenced and whether or not the person in respect of whom the application is being brought (

a) resigns before or after the election, 63

(

b) was re-elected in the election, (

c) was not re-elected or did not run in the election, or (

d) has completed a term of office. Decision on disquali­ fication application 93(1) After hearing an application under this Division and any evidence, either oral or by affidavit, that is required, the judge may (

a) declare the person to be disqualified and a position on council to be vacant, (

b) declare the person able to remain a councillor, or (

c) dismiss the application.

(2) If a judge declares a person disqualified because information obtained through being on council was used to gain a pecuniary benefit, the judge may order the person to pay to the municipality a sum of damages determined by the court. Inadvertence or genuine error 94 A judge who hears an application under this Division and finds that the person is disqualified under

section 88, 89 or 90 may still dismiss the application if the judge is of the opinion that the disqualification arose inadvertently or by reason of a genuine error in judgment. Appeal 95(1) The decision of a judge under this Division may be appealed to the Court of Appeal.

(2) A person who is declared disqualified under this Division and appeals that declaration remains disqualified until the appeal is finally determined.

(3) If, on the final determination of the appeal, the disqualification is set aside, (

a) the Court must reinstate the person as a councillor for any unexpired portion of the term of office for which the person was elected and require any person who has been elected to fill the balance of that term to vacate the office, and (

b) the Court may order that any money paid to the municipality under

section 93(2) be repaid. 64

(4) If on the final disposition of the appeal the disqualification is set aside but the term of office for which the person was elected has expired, the person must not be reinstated but is eligible to be elected at the next election in the municipality if otherwise qualified. Reimburse­ ment of costs and expenses 96 The council may reimburse the person in respect of whom an application under this Division was made for any costs and expenses that the council considers reasonable, other than costs that have already been awarded to the person by the judge, if (

a) the application is dismissed, or (

b) an order is issued declaring the person able to remain a councillor. Division 9 Council Proceedings Requirements for Valid Action Methods in which council may act 97(1) A council may act only by resolution or bylaw.

(2) Where a council is required or authorized under this or any other enactment or by bylaw to do something by bylaw, it may only be done by bylaw.

(3) Where a council is required or authorized under this or any other enactment or bylaw to do something by resolution it may be done by bylaw or resolution. Requirements for valid bylaw or resolution 98(1) A bylaw or resolution of council is not valid unless passed at a council meeting held in public at which there is a quorum present.

(2) A resolution of a council committee is not valid unless passed at a meeting of that committee held in public at which there is a quorum present. Voting and Meetings Restriction to one vote per person 99 A councillor has one vote each time a vote is held at a council meeting at which the councillor is present. 65

Requirement to vote and abstentions 100(1) A councillor attending a council meeting shall vote on a matter put to a vote at the meeting unless the councillor abstains from voting under

section 88 or 101.

(2) The council shall ensure that each abstention is recorded in the minutes of the meeting. Abstention from voting on matter discussed at public hearing 101 When a public hearing on a proposed bylaw or resolution is held, a councillor (

a) must abstain from voting on the bylaw or resolution if the councillor was absent from all of the public hearing, and (

b) may abstain from voting on the bylaw or resolution if the councillor was only absent from a part of the public hearing. Recording of votes 102(1) Before a vote is taken by council, a councillor may request that the vote be recorded.

(2) If a vote is recorded, the minutes must show the names of the councillors present and whether each councillor voted for or against the proposal or abstained. Tied vote 103 If there is an equal number of votes for and against a resolution or bylaw, the resolution or bylaw is defeated. Prohibitions against voting for certain proposals 104(1) A councillor shall not vote (

a) in favour of any action which, if taken, would contravene an order or a direction of the Minister to the municipality under this or any other enactment, (

b) to spend for an operating purpose any money in the possession of the municipality for a capital purpose, except as permitted by

section 186, or (

c) to spend money borrowed by the issue of a debenture for a capital purpose for another purpose, except as permitted by

section 195.

(2) A councillor who votes in contravention of subsection (1) is jointly and severally liable for the money spent in accordance with the vote and the municipality may recover the money spent by an action in debt. 66

(3) If the municipality does not bring an action under subsection (2) within 30 days of a written request by an elector, taxpayer or debenture holder to do so, the action may be brought either by a taxpayer, elector or debenture holder alone or on that person’s own behalf and on behalf of others. Organizational meetings 105(1) Except in a summer village, a council shall hold an organizational meeting annually not later than 2 weeks after the third Monday in October.

(2) The council of a summer village shall hold an organizational meeting annually not later than August 31. Regular council meetings 106(1) A council may decide at a council meeting at which all the councillors are present to hold regularly scheduled council meetings on specified dates, times and places.

(2) Notice of regularly scheduled meetings need not be given.

(3) If council changes the date, time or place of a regularly scheduled meeting, the municipality shall give notice of the change (

a) to any councillors not present at the meeting at which the change was made, and (

b) to the public. Special council meetings 107(1) The chief elected official (

a) may call a special council meeting whenever the official considers it appropriate to do so, and (

b) shall call a special council meeting if the official receives a written request for the meeting, stating its purpose, from a majority of the councillors.

(2) The chief elected official calls a special council meeting by giving notice in writing to each councillor stating the purpose of the meeting and the date, time and place at which it is to be held.

(3) Notice of a special meeting is deemed to have been given to a councillor if it is delivered at least 24 hours before the meeting to the councillor or to an adult person at the councillor’s home or place of work.

(4) A special council meeting may be held with less than 24 hours’ notice to all councillors if at least 2/3 of the whole council 67

agrees in writing before the beginning of the meeting to hold the meeting.

(5) A special council meeting called under subsection (l)(

a) shall be held within 14 days of the date the chief elected officer receives the request or any shorter period provided for by bylaw.

(6) No matter other than that stated in the notice calling the special council meeting may be transacted at the meeting unless all of the councillors are present at the meeting and the council agrees to deal with the matter in question. Public presence at meetings 108(1) Councils and council committees must conduct their meetings in public unless subsection (2) or (3) applies.

(2) Council and council committees may conduct all or part of their meetings that are closed to the public if a majority of the members of council or the committee present at the meeting decide that (

a) the matter to be discussed is within one of the categories of information that may be withheld under

section 151(2), and (

b) the matter should be discussed in a meeting closed to the public.

(3) A council committee may regularly conduct meetings closed to the public if it is authorized to do so by bylaw and the matter to be discussed is within one of the categories of information that may be withheld under

section 151(2).

(4) When a meeting is closed to the public, no resolution or bylaw may be passed at the meeting, except a resolution to revert to a meeting held in public. Right of public to be present 109 Everyone has a right to be present at council meetings and council committee meetings conducted in public unless the person chairing the meeting expels a person for improper conduct. Electronic communi­ cation system meetings 110(1) A council meeting or council committee meeting may be conducted by means of electronic or other communication facilities if (

a) notice is given to the public of the meeting, including the way in which it is to be conducted, 68

(

b) the facilities enable the public to watch or listen to the meeting at a place specified in that notice and a designated officer is in attendance at that place, and (

c) the facilities enable all the meeting’s participants to watch or hear each other.

(2) Councillors participating in a meeting held by means of a communication facility are deemed to be present at the meeting. Power to require taking of oath 111 A council or council committee may require a person appearing before it or making any claim or submission to it to do so under oath. Certain agreements prohibited 112(1) A councillor of a municipality, alone or jointly, may not enter into an agreement with the municipality by which the municipality supplies a service or goods, except for services or goods that the municipality supplies to the public generally or that are supplied to him under

section 86(3)(c).

(2) An agreement made contrary to subsection (1) is void.

PART 4 MUNICIPAL ORGANIZATION AND ADMINISTRATION Council’s principal role in municipal organization 113 The council is responsible for (

a) developing and evaluating the policies and programs of the municipality; (

b) making sure that the functions and duties of the municipality are appropriately carried out; (

c) carrying out the functions and duties expressly given to it under this or any other enactment. Delegation of powers and duties by council 114(1) A council may by bylaw delegate any of its powers or duties under this or any other enactment to a council committee, the chief administrative officer or a designated officer, unless this or any other enactment provides otherwise.

(2) A council may not delegate (

a) its power or duty to pass bylaws, 69

(

b) its powers to adopt budgets under

Part 7, (

c) its powers to reduce, defer, cancel or refund local tax under

section 304, (

d) its powers that are required by this or any other enactment to be carried out by the council, and (

e) a duty to decide appeals imposed on it by this or another enactment or bylaw, whether generally or on a case by case basis, unless the delegation is to a council committee and authorized by bylaw.

(3) The council when delegating a matter to a person may authorize the person to further delegate the matter. Municipal office 115 A council must name a place as its municipal office. Establishment of chief administrative officer 116(1) Every council must establish by bylaw a position of chief administrative officer.

(2) One or more persons may be appointed to carry out the powers, duties and functions of the position of chief administrative officer.

(3) If more than one person is appointed, the council shall by bylaw determine what powers, duties and functions are to be exercised by each person.

(4) The appointment or the revocation of the appointment of a chief administrative officer may only be made by a 2/3 majority vote of the whole council.

(5) A council may, by resolution passed by a majority of the whole council, suspend a chief administrative officer.

(6) A council shall not revoke the appointment of or suspend a chief administrative officer unless it gives the officer (

a) written notice of the proposed revocation or suspension with a statement of the reasons for it, and (

b) a reasonable opportunity to be heard before it in person or through a representative.

(7) Council may give the chief administrative officer any title it considers appropriate. 70

Chief administrative officers’ responsibilities 117 The chief administrative officer (

a) is the administrative head of the municipality; (

b) is responsible for the implementation of the policies and programs of the municipality; (

c) shall advise and inform the council on the operation and affairs of the municipality; (

d) shall perform the duties, and may exercise the powers and functions, assigned to a chief administrative officer by this and other enactments or assigned by council. Designated officers 118(1) A council may by bylaw establish one or more positions to carry out the duties and powers of a designated officer under this or any other enactment or bylaw.

(2) The position or positions established under subsection (1) may be given the title or titles the council considers appropriate.

(3) The bylaw must include which of the powers, duties and functions referred to in subsection (1) are to be exercised by each position.

(4) If no position of designated officer is established or if no person is appointed to a position of a designated officer or a power or duty is not specified to be exercised by the position of designated officer, the chief administrative officer has the powers and duties of a designated officer under this and other enactments and bylaws. Performance of major administrative duties 119(1) The chief administrative officer or a designated officer, if the council has assigned the responsibility to a designated officer, must ensure that the following are carried out: (

a) to record in the English language, without note or comment, all minutes of council meetings, (

b) to record the names of the councillors present at council meetings, (

c) to give the minutes of each council meeting to council for adoption at a subsequent council meeting, 71

(

d) to keep safe the originals of bylaws and minutes of council meetings, (

e) to keep safe all records and other documents presented at council meetings or provided by council to the chief administrative officer, (

f) to send the Minister a list of the councillors and any other information the Minister requires within 5 days of each organizational meeting, (

g) to keep custody of the corporate seal, if any, (

h) to collect and control the revenues of the municipality and issue receipts in the manner directed by council, (

i) to deposit in a financial institution designated by council all money belonging to the municipality, (

j) to pay accounts that are a proper charge against the municipality for any purpose authorized in the operating or capital budget or by resolution of the council, (

k) to maintain, hold and administer municipal accounts and keep accurate records of the financial affairs of the municipality, (

l) to report to council, as often as council directs, on the actual revenues and expenditures of the municipality compared with the estimates in the operating or capital budget approved by council, and (

m) to prepare business assessments for the purposes of Division 2 of

Part 8. (2) Subsection (1)(a), (b), (c), (

d) and (

e) apply to the chief administrative officer or a designated officer in respect of council committees that are carrying out duties delegated to it by the council. Signing or authorization of municipal documents 120(1) Minutes of council and council committee meetings must be signed by (

a) the person presiding at the meeting or the chief elected official, and (

b) a designated officer. 72

(2) Bylaws must be signed by (

a) the person presiding at the meeting at which the bylaw was given third reading or the chief elected official, and (

b) a designated officer.

(3) Agreements and cheques and other negotiable instruments must be signed or authorized (

a) by the chief elected official or by another person authorized by council to sign them, and (

b) by a designated officer, or by a designated officer acting alone if so authorized by council.

(4) A signature may be printed, lithographed or otherwise reproduced if so authorized by council. Prohibition of certain agreements with employees 121 An employee of a municipality, alone or jointly with others, shall not make an agreement with that municipality by which the municipality provides a service or commodity to the employee, except a service or commodity that the municipality supplies to the public generally or with respect to employment.

PART 5 SPECIAL MUNICIPAL POWERS Division 1 Expropriation Expropriation powers 122(1) If a council wants to acquire an estate or interest in land, inside or outside the municipality, (

a) for a purpose authorized by an enactment, (

b) for a purpose authorized by council that is consistent with a purpose of this Act, (

c) in connection with an area redevelopment plan under the Planning Act, whether undertaken by the municipality alone or in conjunction with another person, or (

d) to improve land owned by the municipality, 73

it may acquire the estate or interest in the land by expropriation under the Expropriation Act.

(2) The expropriation of an estate or interest in land that is outside the municipality is subject to

section 131.

(3) When the council is of the opinion that the municipality can obtain at a more reasonable price or obtain greater advantage by acquiring the whole or a greater portion of any parcel of which a part may be expropriated by the municipality, the municipality may expropriate the whole or the greater portion of the parcel. Expropriating part of a parcel 123(1) If a municipality’s notice of intention to expropriate proposes to expropriate a portion of a parcel, the owner of the parcel may apply to the Land Compensation Board to direct the municipality to expropriate the whole of the parcel.

(2) The Land Compensation Board may direct the municipality to expropriate the whole of the parcel if, in the opinion of the Board, the expropriation of a part of the parcel is unfair or discriminatory in respect of the owner of the parcel. Temporary roads and rights of way 124(1) A council may by bylaw open a temporary road on private land or establish a temporary right of way for public purposes on private land.

(2) The owner and occupier of land over which the temporary road or right of way passes are entitled to compensation from the municipality for loss or damage resulting from the bylaw.

(3) If there is no agreement on compensation, the compensation must be decided by the Land Compensation Board.

(4) The Expropriation Act does not apply to the opening of a temporary road or the establishment of a temporary right of way under this section. Division 2 Sharing Taxes and Grants Sharing taxes and grants125(1) A municipality may agree with (

a) another municipality, or (

b) a collecting board as defined in

section 163 of the School Act, 74

to share local taxes or grants paid under

section 219.

(2) The agreement must include a means to settle disputes arising from the agreement. Division 3 Insurance Exercise of powers of insurance company 126(1) A municipality may exercise those powers of an insurance company pursuant to the Insurance Act that will enable the municipality to establish and maintain a plan of insurance to cover losses that may occur to the property of the municipality by reason of fire and other occurrences and to cover the municipality’s legal liability to others arising out of accidents and occurrences, and to adjust and settle any loss, whether on a strictly legal basis or otherwise.

(2) A municipality may do all things necessary for the proper conduct and handling of the business of insurance, including reinsurance of any of those risks that may be covered by the plan with any insurance company authorized to deal in reinsurance risks.

(3) A municipality may apply for an insurance company to be incorporated by a special Act of the Legislature.

(4) The name of the company must be “The __________ Municipal Insurance Company Limited” or another similar name.

(5) The municipality may (

a) set aside the capital necessary for the company, (

b) deposit with the Government any money or security that the Insurance Act may require, and (

c) otherwise comply with all the provisions of the Insurance Act. Division 4 Water Bodies, Air Space and Roads Water bodies and air space 127(1) Subject to any other enactment, a municipality has the direction, control and management of the rivers, streams, watercourses, lakes and other bodies of water within the municipality, including the air space above and the ground below.

(2) Nothing in this

section gives a municipality the direction, control and management of mines and minerals. 75

Vesting of title to roads 128(1) When a municipality agrees with the owner to acquire land for the purpose of a road, culvert, ditch or drain, title to the land is vested in the city, or in the case of any other municipality, the Crown in right of Alberta, by filing with the Registrar of Land Titles (

a) plans of survey showing the land to be acquired, and (

b) an affidavit of a designated officer stating that (

i) an agreement has been reached with the registered owners of the land to be acquired and the price to be paid, and (ii) all persons registered on certificates of title that have an interest in land that is within 40 metres of the boundary of the land to be acquired as shown on the plans of survey have been notified by registered mail.

(2) When the title to land vests under subsection (1), it is not necessary to register a transfer for that land.

(3) A municipality is not entitled to mines and minerals in any land vested in it pursuant to this

section and the title to any mines or minerals is not affected by the filing of any plan of survey pursuant to this section.

(4) In subsection (1), “registered owners” means (

a) the owners of the fee simple estate in land; (

b) in the case of land that is being acquired under an agreement for sale, the owners of the fee simple estate in the land and the purchasers under the agreement for sale who have registered their interest against the certificate of title for the land; (

c) in the case of land that is subject to a lease for which a certificate of title has been issued, the owners of the fee simple estate in the land and the lessees under that lease. 76

Division 5 Holidays Civic holidays129(1) A council may declare up to 2 days in a year as civic holidays.

(2) The minimum length of a civic holiday is a half day. Division 6 Limits on Corporate Activities of Municipalities Land Disposal of land 130(1) If a municipality proposes to dispose of or grant an estate or interest in (

a) land for less than its market value, or (

b) a public park or recreation or exhibition grounds, the proposal must be advertised. (2) Subsection (1) does not apply when a municipality disposes of or grants an estate or interest in land for a public utility or in land to (

a) the Crown in right of Alberta, the Crown in right of Canada or an agent of either Crown, (

b) a municipality or an agency of a municipality, (

c) the board of trustees of a school district or division, (

d) a technical institute, public college or university, or (

e) a non-profit organization formed under a law of Alberta.

(3) This

section does not apply to the disposition or grant of an estate or interest in land under the Tax Recovery Act before the period of redemption under that Act. Acquisition of land outside municipal boundaries 131(1) A municipality may acquire an estate or interest in land outside its boundaries only if (

a) the council of the municipal authority in whose boundaries the land is located consents in writing to the acquisition or, in the case of a municipal 77

authority that is an improvement district or special area, the Minister consents in writing to the acquisition, and (

b) after the written consent is given, the council who wishes to acquire the land authorizes the acquisition.

(2) If the consent cannot be obtained, either municipality may request the Governance Commission to assist in negotiations.

(3) This

section does not apply when a municipality acquires an option on land outside its boundaries. Weather Modification Agreements Weather modification agreements 132(1) A municipality must not make an agreement with a person to provide weather modification services to the municipality, or amend the agreement, unless the agreement or amendment is authorized by a bylaw.

(2) A bylaw under subsection (1) must be advertised. Municipal Benefits and Services and Public Utilities Providing municipal benefits and services 133(1) A municipality may (

a) supply for public consumption, (

b) provide for public benefit or convenience, or (

c) acquire, construct and operate anything that the council considers is reasonably necessary for all or part of the municipality.

(2) A municipality may provide anything under subsection (1) in another municipality with the agreement of that other municipality. Municipally operated public utilities 134(1) When it operates a public utility, the council may by bylaw prohibit any other person from operating the same public utility in all or any part of the municipality.

(2) A municipally operated public utility, when it is able to do so and subject to any terms established by council, must supply all buildings on land lying along the line of the public utility on request of the owner or occupant of the building. 78

(3) In accordance with its bylaws, a municipality may, for any lawful reason, (

a) discontinue supplying or providing a public utility to a person or property after giving reasonable notice of its intention to do so, and (

b) remove the equipment supplying or providing the public utility. Water and sewer connections 135(1)