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1997 Legislative Session: 2nd Session, 36th Parliament

THIRD READING

The following electronic version is for informational

purposes only.

The printed version remains the official version.

Certified correct as passed Third Reading on the 6th day of May, 1997

Ian D. Izard, Law Clerk

ANDREW PETTER

MINISTER OF FINANCE AND

CORPORATE RELATIONS AND

MINISTER RESPONSIBLE FOR

INTERGOVERNMENTAL RELATIONS

BILL 2 – 1997

BUDGET MEASURES IMPLEMENTATION ACT, 1997

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province

of British Columbia, enacts as follows:

Agricultural Credit Act

Section 8 of the Agricultural Credit Act, R.S.B.C. 1996, c. 9, is repealed.

Assessment Authority Act

Section 17 of the Assessment Authority Act, R.S.B.C. 1996, c. 21, is

amended by adding the following subsections:

(5) Each year before December 31, the Minister of Municipal Affairs and Housing

may submit a requisition to the authority for the amount required to cover the

anticipated costs to the government, for its next fiscal year, of appeals under the

Assessment Act to the Courts of Revision and the Assessment Appeal Board.

(6) Subject to subsection (7), the authority must pay the amount requisitioned under

subsection (5) to the government in quarterly installments, with the first

instalment due on June 30 in the year for which the requisition is made.

(7) The Minister of Municipal Affairs and Housing may require the authority to

adjust the final instalment for a fiscal year such that the total amounts paid for the

fiscal year cover the actual costs of the appeals referred to in subsection (5) for

that fiscal year.

(8) An amount requisitioned under subsection (5), as adjusted under subsection (7),

is deemed to be part of the annual operating and capital expenses of the authority

for the purposes of this section.

Financial Administration Act

3 The Financial Administration Act, R.S.B.C. 1996, c. 138, is amended

by adding the following:

Staff utilization

11.1

(1) In this section, "staff" means those individuals employed by the government

whose salaries are paid directly out of an appropriation.

(2) When the Minister of Finance and Corporate Relations presents the estimates of

revenue and expenditure for a fiscal year to the Legislative Assembly, the

minister must also present a

schedule showing authorized staff utilization for that

fiscal year.

(3) Total actual staff utilization for a fiscal year must not exceed authorized staff

utilization set out in the estimates of revenue and expenditure for that year, except

with the approval of the Lieutenant Governor in Council.

(4) The public accounts for a fiscal year must include a

schedule showing actual staff

utilization for that fiscal year.

Section 23 (6) to (8) is repealed.

Section 48 (2) (

c) is amended by adding "except for

management fees or financial services fees deducted in relation to expenditures

incurred by the office of the chief investment officer" after "section

47 (4) to (6)" .

Fire Services Act

Section 37 of the Fire Services Act, R.S.B.C. 1996, c.

144, is amended

(

a) by repealing subsection (1) and substituting the following:

(1) In this section:

"commissioner" means commissioner as defined in the Insurance Premium Tax

Act;

"property insurance" means insurance against the loss of, or damage to, property

but does not include aircraft insurance, automobile insurance or hail insurance

within the meaning of the Insurance Companies Act (Canada). , and

(

b) in subsection (2) by striking out "policies insuring property

against a fire hazard located in British Columbia, other than automobiles,"

and substituting "policies of property insurance, in respect of property

located in British Columbia," .

Grazing Enhancement Special Account Act

Section 5 of the Grazing Enhancement Special Account Act, R.S.B.C.

1996, c. 175, is repealed and the following substituted:

Sunset provision

5 This Act, except

section 6, is repealed on March 31, 2005.

Hotel Room Tax Act

Section 17 of the Hotel Room Tax Act, R.S.B.C. 1996, c. 207, is amended

(

a) by adding the following subsection:

(3.1) If it appears from an inspection, audit or examination or from other information

available to the director that a person has received a refund of tax under this Act

that was in excess of the refund amount that was due to the person, the director

must make an assessment against the person in an amount equal to the excess

amount refunded plus interest at the rate prescribed by the Lieutenant Governor

in Council. ,

(

b) in subsection (4) by striking out "subsection (3) (b)"

and substituting "subsection (3) (

b) or (3.1)" , and

(

c) in subsection (9) by striking out "subsection (3)"

and substituting "subsection (3) or (3.1)" .

Section 18 (1) (

b) is amended by striking out "17 (3)" and

substituting "17 (3) or (3.1)" .

Industrial Development Incentive Act

Section 3 (2) (

b) of the Industrial Development Incentive Act,

R.S.B.C. 1996, c. 221, is amended by striking out "$400 million."

and substituting "$450 million."

Insurance Premium Tax Act

11 Sections 17 (1) and 18 (3) of the Insurance Premium Tax Act,

R.S.B.C. 1996, c. 232, is amended by striking out "60" wherever

it appears and substituting "90" .

Local Government Grants Act

Section 2 of the Local Government Grants Act, R.S.B.C. 1996,

c. 275, is repealed.

Section 3 is repealed and the following substituted:

Unconditional grants

3 Without limiting

section 1, the amount of a class of unconditional

grants may be determined on the basis of one or more of the following,

as prescribed by regulation, but subject to any minimum or maximum prescribed

by regulation:

(

a) a fixed amount for each municipality or regional district;

(

b) the population of a municipality or regional district;

(

c) the total annual expenditures or revenues of a municipality

or regional district;

(

d) the converted value of land and improvements within a municipality

or regional district, within the meaning of

section 820 of the

Municipal Act ;

(

e) any other prescribed basis.

Section 6 is repealed and the following substituted:

Consultation with local governments

6 At least annually, the minister must consult with representatives

of the Union of British Columbia Municipalities regarding the amount

and the administration of grants under this Act.

Section 7 (2) is amended

(

a) by repealing paragraph (

d) and substituting the following:

(

d) specifying conditions on which a grant may be paid and

making a grant subject to further conditions specified by the

minister; , and

(

b) by repealing paragraph (h).

Logging Tax Act

16 Sections 23 (2) and 24 (3) of the Logging Tax Act, R.S.B.C.

1996, c. 277, is amended by striking out "60" and substituting

"90" .

Mining Tax Act

17 Sections 23 (1) and 24 (3) of the Mining Tax Act, R.S.B.C.

1996, c. 295, is amended by striking out "60" and substituting

"90" .

Motor Fuel Tax Act

18 The definition of "coloured fuel" in

section 1 of the Motor

Fuel Tax Act, R.S.B.C. 1996, c. 317, is amended by adding "and"

at the end of paragraph (

a) and by repealing paragraph (b).

19 The following

section is added:

Tax on alcohol based fuel and compressed natural gas

3.1

(1) Subject to subsection (2), alcohol based fuel and compressed

natural gas are deemed to be liable to be taxed under this Act.

(2) Fuel described in subsection (1) is exempt from tax payable

under this Act when purchased to propel a motor vehicle.

Section 9 (

e) is repealed and the following substituted:

(

e) if the natural gas is used or purchased for use in a stationary

internal combustion engine that compresses gas or pumps oil for

transmission through pipes, 1.9¢ on every 810.32 litres,

at standard reference conditions, of natural gas used or purchased

by the person, .

Section 22 (1) is repealed and the following substituted:

(1) If a person has paid tax imposed under

section 4 or 10 in

respect of fuel used for a purpose for which coloured fuel is authorized

to be used under

section 15 (1) (d), (

e) or (

h) or in respect of

fuel used in a family farm truck while being operated internationally

for the purpose specified in

section 15 (1) (j), the director must

pay to that person from the consolidated revenue fund a refund equal

to the difference between the tax paid on the fuel under

section

4 or 10 and the tax that would have been payable under

section 5

had the fuel been coloured fuel.

Section 43 is amended by adding the following subsection:

(2.1) If it appears from an inspection, audit or examination or

from other information available to the director that a person has

received a refund of tax under this Act that was in excess of the

refund amount that was due to the person, the director must make

an assessment against the person in an amount equal to the excess

amount refunded plus interest at the rate prescribed by the Lieutenant

Governor in Council.

Municipal Act

Section 339 of the Municipal Act, R.S.B.C. 1996, c. 323, is

amended

(

a) by repealing subsection (1) (

q) and substituting the following:

(

q) to the extent established by subsection (3), land and improvements that

were exempted for the 1996 taxation year under a pollution abatement provision,

(

i) the land and improvements were exempted under that

provision for the 1996 taxation year on final determination

under the Assessment Act, and

(ii) as applicable,

(

A) for an exemption in relation to land only, the

land continues to be exclusively or primarily used for

the purpose of abating pollution,

(

B) for an exemption in relation to improvements only,

the improvements continue to be exclusively or primarily

used for the purpose of abating pollution, or

(

C) for an exemption in relation to land and improvements,

the land and improvements continue to be exclusively

or primarily used for the purpose of abating pollution;

, and

(

b) by adding the following subsections:

(3) The amount of an exemption under subsection (1) (

q) for

a taxation year is limited to the portion of the assessed value

of land and improvements that is the least of the following:

(

a) the portion that the assessment commissioner, in his

or her discretion, determines is attributable to the use of

pollution abatement for that taxation year, subject to final

determination under the Assessment Act ;

(

b) the portion that was exempted for pollution abatement

purposes for the immediately preceding taxation year on final

determination under the Assessment Act ;

(

c) the portion that was exempted for the 1996 taxation

year on final determination under the Assessment Act .

(4) In this section,

"final determination under the Assessment Act " means a determination

on the assessment roll for a taxation year, subject to any change that is finally

determined under the Assessment Act by supplementary assessment roll,

by correction of a Court of Revision, on complaint to a Court of Revision or

on further appeal;

"pollution abatement provision" means

section 339 (1)

(

q) of this Act,

section 15 (1) (

s) of the Taxation (Rural

Area) Act or

section 396 (1) (e.01) of the Vancouver Charter ,

as those provisions read before their repeal and replacement by

the Budget Measures Implementation Act, 1997 .

Property Transfer Tax Act

Section 14 (1) of the Property Transfer Tax Act, R.S.B.C. 1996,

c. 378, is amended by repealing the definition of "family farm corporation"

and substituting the following:

"family farm corporation" means a corporation of which

the principal activity is farming farm land; .

Section 14 (3) is amended

(

a) in paragraph (f) (

i) by adding "is the sole shareholder or"

after "the transferor" , and

(

b) in paragraph (g) (

i) by adding "is the sole shareholder or"

after "the transferee" .

Public Service Labour Relations Act

Section 1 (1) of the Public Service Labour Relations Act, R.S.B.C.

1996, c. 388, is amended in paragraph (

q) of the definition of "employee"

by adding "the Office of the Chief Investment Officer," after

"the Treasury Board Staff Division," .

Shelter Aid for Elderly Renters Act

Section 2 (5) of the Shelter Aid for Elderly Renters Act, R.S.B.C.

1996, c. 424, is repealed and the following substituted:

(5) The eligibility committee may delegate its powers, duties

and functions to persons who are appointed to administer this Act.

Section 5 is repealed and the following substituted:

Employees

5 The employees required for the administration of this Act

may be appointed.

Social Service Tax Act

Section 80 (1) (

a) of the Social Service Tax Act, R.S.B.C.

1996, c. 431, is amended by striking out "$1" and substituting

"$10" .

Section 115 is amended by adding the following subsection:

(4.1) If it appears from an inspection, audit or examination or

from other information available to the commissioner that a person

has received a refund of tax under this Act that was in excess of

the refund amount that was due to the person, the commissioner must

make an assessment against the person in an amount equal to the

excess amount refunded plus interest at the rate prescribed by the

Lieutenant Governor in Council.

Section 118 (1) (

b) is amended by striking out "115

(1) or (2)," and substituting "115 (1), (2) or (4.1)," .

South Moresby Implementation Account Act

Section 2 (2) (

a) of the South Moresby Implementation Account

Act, R.S.B.C. 1996, c. 435, is repealed.

Taxation (Rural Area) Act

Section 15 of the Taxation (Rural Area) Act, R.S.B.C. 1996,

c. 448, is amended

(

a) by repealing subsection (1) (

s) and substituting the following:

(

s) to the extent established by subsection (3), land and improvements that

were exempted for the 1996 taxation year under a pollution abatement provision,

(

i) the land and improvements were exempted under that

provision for the 1996 taxation year on final determination

under the Assessment Act, and

(ii) as applicable,

(

A) for an exemption in relation to land only, the

land continues to be exclusively or primarily used for

the purpose of abating pollution,

(

B) for an exemption in relation to improvements only,

the improvements continue to be exclusively or primarily

used for the purpose of abating pollution, or

(

C) for an exemption in relation to land and improvements,

the land and improvements continue to be exclusively

or primarily used for the purpose of abating pollution; ,

(

b) by repealing subsection (3) and substituting the following:

(3) The amount of an exemption under subsection (1) (

s) for

a taxation year is limited to the portion of the assessed value

of land and improvements that is the least of the following:

(

a) the portion that the assessment commissioner, in his

or her discretion, determines is attributable to the use of

pollution abatement for that taxation year, subject to final

determination under the Assessment Act ;

(

b) the portion that was exempted for pollution abatement

purposes for the immediately preceding taxation year on final

determination under the Assessment Act ;

(

c) the portion that was exempted for the 1996 taxation year on final determination

under the Assessment Act . , and

(

c) by adding the following subsection:

(5) In this section,

"final determination under the Assessment Act "

means a determination on the assessment roll for a taxation year, subject to

any change that is finally determined under the Assessment Act by supplementary

assessment roll, by correction of a Court of Revision, on complaint to a Court

of Revision or on further appeal;

"pollution abatement provision" means

section 15 (1)

(

s) of this Act,

section 339 (1) (

q) of the Municipal Act

section 396 (1) (e.01) of the Vancouver Charter , as

those provisions read before their repeal and replacement by the

Budget Measures Implementation Act, 1997 .

Tobacco Tax Act

Section 2 (3) of the Tobacco Tax Act, R.S.B.C. 1996, c. 452, is amended

by striking out "8.4¢" and substituting "11¢" .

Section 22 is amended

(

a) by adding the following subsection:

(2.1) If, on the basis of an inspection, audit or examination

under

section 21 or from other information available to the director,

it appears that a person has received a refund of tax under this

Act that was in excess of the refund amount that was due to the

person, the director must make an assessment against the person

in an amount equal to the excess amount refunded plus interest

at the rate prescribed by the Lieutenant Governor in Council.

(

b) in subsection (7) by striking out "subsection (1) or (2),"

and substituting "subsection (1), (2) or (2.1)," , and

(

c) in subsection (8) by striking out "under subsection (1)"

and substituting "under subsection (1) or (2.1)" .

Vancouver Charter

Section 396 of the Vancouver Charter, S.B.C. 1953, c. 55, is

amended

(

a) by repealing subsection (1) (e.01) and substituting the following:

(e.01) To the extent established by subsection (3), land and

improvements that were exempted for the 1996 taxation year under

a pollution abatement provision, if

(

i) the land and improvements were exempted under that

provision for the 1996 taxation year on final determination

under the Assessment Act , and

(ii) as applicable,

(

A) for an exemption in relation to land only, the

land continues to be exclusively or primarily used for

the purpose of abating pollution,

(

B) for an exemption in relation to improvements only,

the improvements continue to be exclusively or primarily

used for the purpose of abating pollution, or

(

C) for an exemption in relation to land and improvements,

the land and improvements continue to be exclusively

or primarily used for the purpose of abating pollution;

, and

(

b) by adding the following subsections:

(3) The amount of an exemption under subsection (1) (e.01) for

a taxation year is limited to the portion of the assessed value

of land and improvements that is the least of the following:

(

a) the portion that the assessment commissioner, in his

or her discretion, determines is attributable to the use of

pollution abatement for that taxation year, subject to final

determination under the Assessment Act ;

(

b) the portion that was exempted for pollution abatement

purposes for the immediately preceding taxation year on final

determination under the Assessment Act ;

(

c) the portion that was exempted for the 1996 taxation

year on final determination under the Assessment Act .

(4) In this section,

"final determination under the Assessment Act "

means a determination on the assessment roll for a taxation year, subject to

any change that is finally determined under the Assessment Act by supplementary

assessment roll, by correction of a Court of Revision, on complaint to a Court

of Revision or on further appeal;

"pollution abatement provision" means

section

396 (1) (e.01) of this Act,

section 339 (1) (

q) of the Municipal

Act or

section 15 (1) (

s) of the Taxation (Rural Area)

Act, as those provisions read before their repeal and replacement

by the Budget Measures Implementation Act, 1997 .

Transitional – recovery of costs for assessment appeals

(1) Despite

section 17 (5) of the Assessment Authority

Act, the Minister of Municipal Affairs and Housing may submit a

requisition to the British Columbia Assessment Authority, at any time

before the end of the fiscal year ending March 31, 1998, for the amount

required to cover the costs to the government for that fiscal year of

appeals under the Assessment Act to the Courts of Revision and

the Assessment Appeal Board.

(2) Section 17 (6) to (8) of the Assessment Authority Act applies

in relation to an amount requisitioned under this

section as if

it were an amount requisitioned under

section 17 (5) of that Act.

Transition costs – Motor Vehicle Act

38 The Insurance Corporation of British Columbia must pay to

the Minister of Finance and Corporate Relations in the 1997-98 fiscal

year, as a recovery to the Ministry Operations Vote of the Ministry

of Transportation and Highways, the costs, net of the amount appropriated

under the Motor Vehicles subvote, reported by the Minister of Transportation

and Highways as having been incurred by that ministry during that fiscal

year for programs under the Motor Vehicle Act promoting and improving

highway safety.

Transitional – transfer of assets related to SAFER program

39 The Lieutenant Governor in Council may, by regulation, transfer

to the British Columbia Housing Management Commission assets of the

government, consisting of accounts receivable by the government and

provision for doubtful accounts, in relation to the program operated

under the Shelter Aid for Elderly Renters Act .

Commencement

(1) Section 6 is deemed to have come into force on January

1, 1997 and is retroactive to the extent necessary to give it effect

for the purposes of the 1997 calendar year.

(2) Sections 23, 33 and 36 are deemed to have come

into force on January 1, 1997 and are retroactive to the extent

necessary to give them effect for the purposes of the 1997 taxation

year.

(3) Sections 27 and 28 are deemed to have come into force on March

3, 1997 and are retroactive to the extent necessary to give them

effect on and after that date.

(4) Sections 8, 9, 11, 16, 17, 20 to 22, 24, 25, 29 to 31, 34

and 35 are deemed to have come into force on March 26, 1997

and are retroactive to the extent necessary to give them effect

on and after that date.

(5) Section 32 is deemed to have come into force on March 31,

1997 and is retroactive to the extent necessary to give it effect

on and after that date.

(6) Sections 3, 4, 12 to 15, 18 and 19 are deemed to have

come into force on April 1, 1997 and are retroactive to the

extent necessary to give them effect on and after that date.

Copyright

© 1997: Queen's Printer, Victoria, British Columbia, Canada