Tarion Accountability and Oversight Act, 2013 Marchese, Rosario — Bill 139 (40th Parliament, 2nd Session)

Bill 139, 40-2

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Bill 139, Tarion Accountability and Oversight Act, 2013

Marchese, Rosario

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Bill 139 2013

An Act to amend

various Acts in respect of the corporation designated under the Ontario New

Home Warranties Plan Act

Her

Majesty, by and with the advice and consent of the Legislative Assembly of the

Province of Ontario, enacts as follows:

Ombudsman Act

1. The

Ombudsman Act is amended by adding the following

section:

Investigation

of Corporation under Ontario New Home Warranties Plan Act

14.1

(1) Anything

that the Ombudsman may do under this Act in respect of a governmental

organization, the Ombudsman may do in respect of the corporation designated

under the Ontario New Home Warranties Plan Act .

Interpretation

(2) For the purposes of

an investigation under subsection (1),

(

a) any

reference in this Act to a governmental organization is deemed to be a

reference to the corporation mentioned in subsection (1); and

(

b) the

references in subsections 18 (1) and 25 (2) to the head of the governmental

organization are deemed to be references to the Chief Executive Officer of the

corporation mentioned in subsection (1).

Ontario New Home

Warranties Plan Act

(1) Clause

(

c) of the definition of "home" in

section 1 of the Ontario

New Home Warranties Plan Act is repealed and the following substituted:

(

c) a

condominium dwelling unit, including a unit in a conversion condominium, and

the common elements, or

(2) The definition of "regulation" in

section 1 of the Act is amended by adding "except if the context requires otherwise"

at the end.

(3) Section 1 of the Act is amended by

adding the following subsection:

Associated person

(2) For the purposes of

section 3.1 and

subsection 7 (4), one person is associated with another person if the persons

are related to one another in the manner specified by regulations made under

section

Section

2 of the Act is amended by adding the following subsection:

Same

(2.1) On the day this subsection comes into

force, the objects of the Corporation are extended to include serving as a consumer

protection agency.

4. The

Act is amended by adding the following section:

Board

of Corporation

2.1

(1) On

the day that is 180 days after this

section comes into force, the Corporation's

board of directors is dissolved and reconstituted in accordance with this section.

Composition

(2) The board of directors shall consist of

15 members appointed or elected as follows:

1. Eight

members shall be appointed by the Minister.

2. Seven

members shall be appointed or elected in accordance with the Corporation's

by-laws.

Chair

and vice chair

(3) The Minister shall appoint the chair

and the vice-chair of the board from among the directors.

Quorum

(4) A majority of the board constitutes a

quorum.

Transition

(5) The persons who are the directors of

the Corporation immediately before the day this

section comes into force

continue as directors of the Corporation until replaced or removed.

Remake

by-laws

(6) The Corporation shall take all

necessary steps to amend its by-laws within 179 days after this

section comes

into force so that the by-laws do not conflict with this section.

5. The

Act is amended by adding the following section:

Publication

by Registrar

3.1 The

Registrar shall publish on the Corporation's website a directory of all

builders of homes described in clause (

c) of the definition of "home" in

section

1 who are registered under this Act, and the directory shall include the

following information:

1. All

previous business names used by each builder and each associated builder within

the preceding 10 years.

2. Any

publicly available information with respect to the builder's performance within

the preceding 10 years.

3. The

Corporation's risk assessment of the builder.

4. Any

information that the Registrar considers to be in the public interest.

5. Any

other information specified by regulations made under

section

Section

4 of the Act is amended by striking out "subsection 2 (2)" at the end and

substituting "section 2".

7. The

Act is amended by adding the following sections:

Accountability

agreement

5.1

(1) Within

90 days after this

section comes into force, the Minister and the Corporation

shall enter into an accountability agreement in respect of the services to be

provided by the Corporation under this Act.

Content

(2) The accountability agreement must

include, at a minimum, commitments in respect of the content specified by regulations

made under

section 24.

Minister's

terms

(3) On giving the notice to the Corporation

that the Minister considers reasonable in the circumstances, the Minister may

amend or insert a term in the accountability agreement or delete a term from it

if,

(

a) the

term relates to the administration of the Act; and

(

b) the

Minister considers it advisable to do so in the public interest.

no agreement

(4) If the Minister and the Corporation are

unable to conclude an accountability agreement through negotiations, the Minister

may set the terms of the agreement which must include, at a minimum,

commitments in respect of the content specified by regulations made under

section 24.

Availability

to the public

(5) The Minister and the Corporation shall

make copies of the accountability agreement available to the public on a Government

of Ontario website and on the Corporation's website.

Minutes

of board meetings

5.2 The

Corporation shall give a copy of the minutes of each meeting of its board of

directors to the Minister within 45 days after the date of the meeting.

Auditor

General

5.3 The

Auditor General may, at any time, audit any aspect of the operations of the

Corporation.

Section

7 of the Act is amended by adding the following subsection:

Disclosure

of business names

(4) For the purposes of enabling a

determination to be made under clauses (1) (

b) and (c), an applicant who seeks

to be registered as a builder or a registrant who seeks to have a registration

as a builder renewed shall provide to the Registrar in writing a list of all

names under which the applicant or registrant and any associated builders have

conducted business as a builder in the 10 years preceding the application for

registration or renewal.

9. (1) Subsection

13 (4) of the Act is amended by adding "Subject to subsection (4.1)" at the

beginning.

(2) Section 13 of the Act is amended by

adding the following subsections:

Same,

condominium dwelling unit

(4.1) In the case of a condominium dwelling

unit, a warranty under subsection (1) applies only in respect of claims made

within five years after the warranty takes effect if the claim is for any of

the following reasons:

1. The

home is not constructed in a workmanlike manner.

2. There

are defects in windows, doors and caulking and other material, such that the

building envelope of the home does not prevent water penetration.

3. There

are defects in the work in respect of material mentioned in paragraph 2.

4. There

are defects in material and work in respect of,

i. electrical,

plumbing or heating delivery and distribution systems, or

ii. exterior

cladding of the home resulting in detachment, displacement or physical deterioration.

5. There

are violations of the Ontario Building Code under which the building permit was

issued affecting health and safety including, but not limited to, fire safety,

insulation, air and vapour barriers, ventilation, heating and structural

adequacy.

6. There

are major structural defects.

Same

(4.2) In subsection (4.1),

"building

envelope" means the wall and roof assemblies that contain the building space,

and includes all those elements of the assemblies that contribute to the separation

of the outdoor and indoor environments so that the indoor environment can be

controlled within acceptable limits; ("enveloppe")

"delivery and distribution systems" includes all wires,

conduits, pipes, junctions, switches, receptacles and seals, but does not

include appliances, fittings and fixtures; ("réseaux de distribution")

"exterior cladding" means all exterior wall coverings and

includes siding and above-grade masonry as required and detailed in the

relevant sections of the Ontario Building Code under which the building permit

was issued. ("habillage extérieur")

10. The Act is amended

by adding the following section:

Timelines

13.1

(1) If

an owner submits a claim form for a home in accordance with the requirements

for claim forms in the regulations, the builder shall have until the end of the

30th day after the date on which the Corporation receives the form to repair or

resolve the claim items that are listed on the form and covered by a warranty.

Same

(2) If

the builder does not repair or resolve all of the claim items that are listed

on the form and covered by a warranty, the owner may request a conciliation by

contacting the Corporation at any time from the 31st day until the end of the

60th day after the date on which the Corporation receives the form under

subsection (1).

Same

(3) If

the owner requests a conciliation under subsection (2), the builder shall have

until the end of the 30th day after the date of the owner's request to repair

or resolve all of the claim items that are listed on the form and covered by a

warranty.

Transition

(4) Claims

submitted before the day this

section comes into force shall be dealt with in

accordance with the regulations under clause 24 (b).

11. Clause 15 (

a) of the

Act is amended by adding "or a corporation for a conversion condominium" after

"a condominium corporation".

Section 17 of the

Act is amended by adding the following subsection:

Time

(3.1) The

Corporation shall complete its efforts to effect conciliation within the

prescribed time.

(1) The

portion of subsection 23 (1) of the Act before clause (

a) is repealed and the

following substituted:

(1) Subject

to the approval of the Minister, the Corporation may make by-laws,

. . . . .

(2) Subsection 23 (1) of the Act is amended

by adding the following clause:

(0.

a) defining

"conversion condominium" for the purposes of this Act;

(3) Clause 23 (1) (

n) of the Act is amended

by adding "subject to

section 24" at the beginning.

14. The

Act is amended by adding the following section:

Regulations

24. The

Lieutenant Governor in Council may make regulations,

(

a) specifying

the minimum content to be contained in an accountability agreement required

under

section 5.1;

(

b) governing

transitional matters that, in the opinion of the Lieutenant Governor in

Council, are necessary or desirable to facilitate the implementation of the Tarion Accountability and Oversight Act, 2013 .

Commencement and Short

Title

Commencement

(1) Subject

to subsection (2), this Act comes into force on the day it receives Royal

Assent.

Same

(2) Section 5 comes into force six months

after the day this Act receives Royal Assent.

Short

title

16. The

short title of this Act is the Tarion Accountability and

Oversight Act, 2013 .

EXPLANATORY

NOTE

Various

statutes are amended in connection with Tarion Warranty Corporation, which is

the corporation designated to administer the Ontario New

Home Warranties Plan Act .

The

Ontario New Home Warranties Plan Act is amended to

provide that the Minister responsible for that Act shall appoint the majority

of Tarion's board members. The Minister and Tarion are required to enter into

an accountability agreement. Tarion's objects are extended to include serving

as a consumer protection agency.

Tarion

is required to publish a directory of home builders on the Internet, and the

directory must contain specified information about each builder's performance.

Document details

Collection	Ontario — Bills
Citation	Bill 139, 40-2
Type	bill
Volume / chapter	p40 s2 bill 139 html
Language	en
Format	html
Source	PROVINCIAL
Identifier	3cdf992c7a084e69161468b13101c8b9fbd20117

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