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2003 Legislative Session: 4th Session, 37th Parliament

FIRST READING

The following electronic version is for informational

purposes only.

The printed version remains the official version.

HONOURABLE GARY COLLINS

MINISTER OF FINANCE

BILL 59 – 2003

FINANCIAL ADMINISTRATION AMENDMENT ACT, 2003

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of British Columbia, enacts as follows:

Section 1 of the Financial Administration Act, R.S.B.C. 1996,

c. 138, is amended by repealing the definition of "Minister of Finance

and Corporate Relations" and substituting the following:

"Minister of Finance" means the minister who has

administration of this Act; .

2 Sections 3, 6, 12, 14, 15, 22, 37, 39 to 41, 43 to 45, 47, 56.1,

57 to 62, 70, 72, 75 to 79, 79.2, 79.3, 80, 82 and 83 are amended by striking

out "Minister of Finance and Corporate Relations" wherever it

appears and substituting "Minister of Finance" .

3 Sections 5, 8, 13 and 47 are amended by striking out "Ministry

of Finance and Corporate Relations" wherever it appears and substituting

"Ministry of Finance" .

Section 27 (2) (b) (

i) is repealed and the following substituted:

(

i) to honour an obligation of the government under a

financial agreement described in

Part 9, a commodity derivative as defined in

Part 9.1, a security, a guarantee or an indemnity, or .

Section 45 (2) is amended by striking out "section 36

or 40." and substituting "section 36, 40 or 54."

Section 51 is repealed and the following substituted:

Borrowing money by the government

(1) Subject to subsection (5), the government

may borrow money in any currency for the benefit of the government, including,

without limitation, for all of the following purposes:

(

a) the efficient management of the consolidated revenue fund;

(

b) the investment of money for the benefit of the government in investments authorized under

section 40 (6);

(

c) repaying any securities issued or assumed by the government that are maturing, have been called for redemption, or are otherwise repayable;

(

d) making a disbursement lawfully authorized to be made from the consolidated revenue fund.

(2) Subject to subsection (5), the government may borrow

money in any currency for the purpose of lending money to government bodies.

(3) The Lieutenant Governor in Council may authorize the Minister of Finance to borrow money on behalf of the government under this or any other Act.

(4) In an authorization under subsection (3), the Lieutenant Governor in Council

(

a) must establish a maximum amount in accordance with

section 53.1, and

(

b) may establish other restrictions, limits or conditions on borrowing money under the authorization.

(5) The government may not borrow money under the authority of this or another Act

(

a) without an authorization of the Lieutenant Governor in Council under subsection (3),

(

b) in excess of the maximum amount established under subsection (4) (a), or

(

c) contrary to any restrictions, limits or conditions established under subsection (4) (b).

(

a) make arrangements for any listing of securities on a securities or other exchange,

(

b) make arrangements with depositories, custodians, their agents or any other persons for the delivery and holding of securities,

(

c) effect the issue of warrants, receipts, coupons, talons or other rights or instruments attached or relating to securities,

(

d) enter into any of the following agreements or instruments:

(

i) underwriting, agency, loan, credit or other similar agreements with investment dealers, financial institutions or other persons;

(iv) trust deeds, deed polls or other similar instruments constituting or relating to securities;

(

v) agreements or instruments appointing agents to accept legal process in foreign jurisdictions in relation to borrowings by the government in those jurisdictions;

(vi) any other agreements or instruments related to the borrowing or the issue of securities,

(

e) prepare, update, file or deliver any registration statement, prospectus, information memorandum, offering circular or other document necessary or advisable with respect to the borrowing or the issue of securities,

(

f) apply for exemptions from registration, requirements of securities or other exchanges or other requirements,

(

g) make arrangements for securities to be issued in physical, book-based, electronic or any other form acceptable to the Minister of Finance, and

(

h) make other arrangements specified by the Lieutenant Governor in Council.

(8) The Minister of Finance may, for the purpose of facilitating the borrowing of money by the government under this or another Act,

(

a) make arrangements with financial institutions, investment dealers or other persons for the establishment and maintenance of borrowing programs and credit facilities, or

(

b) make application to, and comply with the requirements of, the applicable regulatory authorities for registration of securities in jurisdictions where registration of issues of securities by the government is necessary or advisable.

Section 52 is repealed.

8 Sections 53 and 54 are repealed and the following substituted:

Authority to lend money to government bodies

(1) Subject to subsection (4), the government

may lend money in any currency to government bodies.

(2) The Lieutenant Governor in Council may authorize the Minister of Finance to make loans on behalf of the government to government bodies under this or another Act.

(3) In an authorization under subsection (2), the Lieutenant Governor in Council

(

a) must establish a maximum amount in accordance with

section 53.1, and

(

b) may establish other restrictions, limits or conditions on the lending of money under the authorization.

(4) The government may not lend money to government bodies under the authority of this or another Act

(

a) without an authorization of the Lieutenant Governor in Council under subsection (2),

(

b) contrary to any restrictions, limits or conditions on the borrowing authority of government bodies unless permitted by

section 53 (5) or 54 (6),

(

c) in excess of the maximum amount established under subsection (3) (a), or

(

d) contrary to any restrictions, limits or conditions established under subsection (3) (b).

(5) If a loan to a government body is authorized under subsection (2), any approval or determination by the Lieutenant Governor in Council or the Minister of Finance that any other Act requires respecting borrowing by the government body is not required with respect to that loan.

Specifying and calculating amounts

53.1 In establishing a maximum amount under

section

51 (4) (

a) or 53 (3) (a), the Lieutenant Governor in Council must specify

(

a) the currency of the maximum amount,

(

b) a method of calculating the borrowings or loans to be applied for the purpose of comparison with the maximum amount, which method may be based on

(

i) the proceeds borrowed or loaned after any specified deductions,

(ii) the aggregate principal amount of securities issued in respect of the borrowings or loans,

(iii) the amount of borrowings or loans outstanding,

(iv) any combination of methods described in subparagraphs (

i) to (iii), or

(

v) any other specified basis, and

(

c) if borrowings or loans are authorized in currencies other than the currency in which the maximum amount has been specified, a method of calculating the equivalent in the currency in which the maximum amount has been specified of any borrowings or loans made in other currencies.

Loans to government bodies

(1) In order to borrow money under this section,

a government body must submit to the Minister of Finance a request to borrow

that

(

a) is in a form and contains information as required by the Minister of Finance,

(

b) proposes the borrowing on terms that are within its authority to borrow and that are satisfactory to the Minister of Finance, and

(

c) is made through a person who the Minister of Finance considers is authorized by the government body to make the request.

(2) If a government body submits a request in accordance with subsection (1), the Minister of Finance may, on behalf of the government, lend money to the government body substantially in accordance with the terms of the request.

(3) If this or another Act authorizes a loan by the government to a government body, the Minister of Finance may, on behalf of the government enter into agreements or make other arrangements for the loan including, without limitation,

(

a) for the receipt and safekeeping of any securities issued by the government body, and

(

b) as specified by the Lieutenant Governor in Council.

(4) The Minister of Finance may pay out of the consolidated revenue fund amounts to be lent under subsection (2).

(5) If a government body makes a request under subsection (1) and then fails to borrow money substantially in accordance with the terms of the request, as determined by the Minister of Finance, the government body must reimburse the minister for any losses, as determined by the minister, suffered by the government as a result of that failure.

(6) Despite any other Act, if money is lent to a government body under subsection (2), the government body may issue a security to the government that provides for repayment, redemption, extension or exchange on demand or otherwise.

9 Sections 55 and 56 are repealed and the following substituted:

Report respecting borrowings

56 As soon as practicable after March 31 of each

year, the Minister of Finance must lay before the Legislative Assembly a statement

respecting the following:

(

a) the amounts borrowed under

section 51 (1) and (2) since March 31 of the previous year, together with the rate of interest or yield to the investor, and the term and currency, of each borrowing;

(

b) the amounts lent to government bodies under

section 54 (2) since March 31 of the previous year, together with the rate of interest or yield to the government, and the term and currency, of each loan.

10 The following sections are added:

Bankers' acceptances and other forms of credit

56.2

(1) The Minister of Finance may make arrangements

with financial institutions for the government to raise money, other than by

borrowing, through the issue and sale of bankers' acceptances or other prescribed

credit instruments.

(2) Any money raised or to be raised by the government under subsection (1) is deemed to be money borrowed or to be borrowed by the government for the purposes of

section 51, 53.1 or 56.

Assumption of government body debt obligations

56.3

(1) Subject to the approval of the Lieutenant

Governor in Council, the government may assume debt obligations of a government

body with the agreement of the government body.

(2) On the assumption by the government of debt obligations under subsection (1),

(

a) the debt obligations become enforceable against the government,

(

b) the government body is released from all liability for the debt obligations, and

(

c) the assets of any sinking fund for the repayment of the debt obligations become the assets of the government.

(3) In this section, "debt obligations" includes parts of "debt obligations".

Debt services fees

56.4

(1) The Minister of Finance may by directive

set debt services fees to be paid by a government body relating to any of the

following services provided by the government to the government body:

(

a) the making or guaranteeing of loans to the government body and the management of those loans;

(

b) the making and management of agreements under

section 77 (1) (b);

(

c) the making and management of commodity derivatives under

section 79.3 (2);

(

d) the management of sinking funds for repayment of loans to the government body;

(

e) the provision of advice or assistance to the government body respecting the matters described in paragraphs (

a) to (

d) and other matters relating to the obtaining and management of credit or financing, or the acquisition or disposition of assets, by the government body;

(

f) any other services provided by the Minister of Finance under

Part 8, 9 or 9.1 for which no fee is payable under any other

section of this Act or any other enactment .

(2) The Minister of Finance may set different debt services fees under subsection (1) for different government bodies based on their creditworthiness or other factors.

(3) If a debt services fee set under subsection (1) is for services in relation to a loan, agreement or other arrangement under which the government is to make payments to a government body, the Minister of Finance may deduct from those payments some or all of the fee then due.

Management of borrowings and loans

56.5

(1) The Minister of Finance may do all things

necessary or advisable to manage the borrowings of the government and the loans

of the government made to government bodies, including, without limitation,

(

a) purchase securities, in the open market or otherwise, issued by the government,

(

b) retain, resell, lend or otherwise dispose or arrange for the cancellation of securities purchased under paragraph (a),

(

c) acquire, in the open market or otherwise, securities issued by the government by exchanging them for securities of equivalent value or amount, as determined by the Minister of Finance, issued by the government for that purpose,

(

d) issue securities on behalf of the government for the purpose of paragraph (c),

(

e) if securities acquired by the government under paragraph (

a) or (

c) are cancelled and relate to money borrowed by the government that was loaned to government bodies, cancel or agree to amend any securities issued by government bodies and held by the government in relation to those loans,

(

f) issue securities on behalf of the government to replace lost, stolen, destroyed, damaged, defaced or mutilated securities previously issued by the government, or

(

g) any borrowing or loan management activities specified by the Lieutenant Governor in Council.

(2) The Minister of Finance must arrange for cancellation of securities acquired under subsection (1) (c).

11 Sections 57 to 63 are repealed and the following substituted:

Sinking funds

(1) The Minister of Finance may provide for

the creation, management, application and dissolution of sinking funds, including

funds, with respect to securities issued by the government.

(2) Where money has been or will be borrowed by a government body, the Minister of Finance may, with the prior approval of the government body, direct that

(

b) no sinking fund be established for repayment of the borrowing, or

(

c) if a sinking fund has already been established for repayment of the borrowing,

(ii) the sinking fund be dissolved and, unless this or another Act requires otherwise, the assets in the sinking fund be paid over to the government body in proportion to payments made into the fund by the government body.

(3) The Minister of Finance may certify that the assets of a sinking fund with respect to which the minister acts as trustee are sufficient to meet all payment obligations at maturity or on early redemption under the securities with respect to which the sinking fund was established.

(4) When the Minister of Finance makes a certification under subsection (3) in respect of a sinking fund

(

a) all obligations to make further payments into the sinking fund are extinguished except the crediting of any earnings to the fund, and

(

b) unless another Act requires otherwise, any surplus assets in the sinking fund as of the date of certification, as determined by the Minister of Finance, must be paid to the entity or entities that made the sinking fund payments in proportion to the respective amounts of their payments.

(5) When the Minister of Finance applies the assets of a sinking fund that has been certified under subsection (3) to the payments at maturity or on early redemption under the securities with respect to which the sinking fund was established,

(

a) if the value of the assets in the sinking fund is greater than the amount of the payments to be made in respect of the securities, the government is entitled to the surplus, and

(

b) if the value of the assets in the sinking fund is less than the amount of the payments to be made in respect of the securities, the government must pay out of the consolidated revenue fund the amount of the deficiency and apply it to making the payments required by the securities.

(6) Subsections (2) to (5) and (7 ) apply despite any other Act but are subject to the provisions of any securities requiring payments into a sinking fund.

(7) The assets in a sinking fund established under this or any other Act for repayment of a borrowing by a government body from the government are not subject to any process of garnishment, attachment, execution or seizure by a creditor of the government body.

Section 64 is repealed.

Section 65 is repealed and the following is substituted:

Execution of government securities

(1) Subject to subsection (2), securities issued

by the government must be signed by the Minister of Finance, the Deputy Minister

of Finance or another person designated by the Lieutenant Governor in Council,

and the securities must be countersigned by

(

a) an officer of the Ministry of Finance, or

(

b) another person

designated by the Lieutenant Governor in Council.

(2) The following rights or instruments issued by the government must be signed in accordance with subsection (1) but are not required to be countersigned:

(

a) coupons, talons, receipts or warrants;

(

b) any other rights or instruments attached or relating to securities that are designated by the Lieutenant Governor in Council for the purposes of this section.

(3) If a designation is made under subsection (1), it may be a designation of a person by the person's name or it may be a designation of a title or office and, if a title or office is designated, the designation applies to every person holding or appointed to that title or office while the person holds that title or office, including in an acting capacity.

(4) The engraved, lithographed, printed or electronic signature of a person required to execute a security under this

section is for all purposes the signature of that person and is binding on the government even though the person whose signature is reproduced may not have held office at the date of the securities or at the date of the delivery of them.

(5) Securities issued by the government are not required to bear the seal of the ministry described in

section 5.

(6) For the purposes of this Part, the rights and instruments described in subsection (2) are deemed to be securities.

Section 66 is repealed and the following substituted:

Fiscal agent, registrar and transfer agent

(1) The Minister of Finance is the fiscal agent

of the government for the purpose of borrowing by the government under this

or another Act and for the purpose of all other activities of the government

described in this Part, and as fiscal agent that minister may arrange all details

and do, transact and execute all deeds, matters and things necessary or advisable

for the government to borrow or engage in those activities.

Section 68 is repealed.

Section 69 is amended

(

a) in paragraphs (

a) to (

e) by adding "or assumed" after

"issued" ,

(

b) in paragraph (

e) by striking out "registrars and transfer

agents" and substituting "registrars, transfer agents and other

agents" ,

(

c) by repealing paragraph (

f) and substituting the following:

(

f) for all costs, expenses and charges incurred in relation

to borrowings by the government or in the issue, redemption, repurchase, servicing,

payment and management of borrowings by the government and of securities issued

in respect of those borrowings; , and

(

d) by adding the following paragraphs:

(

g) to purchase securities of the government under

section 56.5 (a);

(

h) to make payments required by arrangements made for overdrafts under

section 51 (7) or bankers' acceptances and other prescribed credit instruments under

section 56.2;

(

i) to pay the fees and other charges relating to registration with the applicable regulatory authorities or listing of securities of the government on securities or other exchanges.

Section 71 is repealed.

18 The following

section is added to

Part 11:

Delegation

87.1 The Lieutenant Governor in Council may, by

order, delegate to an officer of the Ministry of Finance any or all of the powers,

duties and functions of the Minister of Finance under

Part 8, 9 or 9.1.

Section 88 (2) is repealed and the following substituted:

(2) Without limiting subsection (1), the Lieutenant Governor in Council may make the following regulations:

(

a) prescribing pension funds for the purpose of the definition of pension fund in

section 1;

(

b) deeming an organization to be a government body for the purposes of Parts 8, 9 and 9.1 of this Act.

Consequential Amendments and Transitional

Hydro and Power Authority Act

Section 32 (7) (

k) of the Hydro and Power Authority Act, R.S.B.C.

1996, c. 212, is repealed and the following substituted:

(

k) sections 4.1, 53, 53.1, 54, 56, 56.3, 56.4, 63, 77

and 79 of the Financial Administration Act ; .

(1) In the provisions set out in

Schedule A "Minister

of Finance and Corporate Relations" is struck out and "Minister

of Finance" is substituted, and

(2) In the provisions set out in

Schedule B "Ministry of Finance

and Corporate Relations" is struck out and "Ministry of Finance"

is substituted.

Transitional

22 Nothing in this Act impairs or prejudicially

affects the rights of the holder of securities issued by the government before

this Act comes into effect.

Commencement

23 This Act comes into force by regulation of

the Lieutenant Governor in Council.

Schedule A

Act being amended

Section or other provision

Agricultural Credit Act

R.S.B.C. 1996, c. 9

3 (1) in both places, (2) and (3)

(3) Assessment Act

R.S.B.C. 1996, c. 20

32 (2)

(2) Assessment Authority Act

R.S.B.C. 1996, c. 21

20 (3) and

(5) British Columbia Buildings Corporation Act

R.S.B.C. 1996, c. 33

3 (2)

7 (3)

9 (9)

11 (2)

12 (2), (3) in both places and

(4) 13 (1) in both places

14 (2) (

a) in both places and (2) (i)

15 (2)

(2) British Columbia Transit Act

R.S.B.C. 1996, c. 38

23 (3)

28 (1), (7) and (11)

29 (2)

(2) Build BC Act

R.S.B.C. 1996, c. 40

12 (4) (e)

18 (1) (a), (3), (7) (

b) and (11)

19 (1)

23 (1) in both places, (5) and (9)

25 (2) (

c) and (3) (

b) College and Institute Act

R.S.B.C. 1996, c. 52

31 (1)

34 (1)

(2) Columbia Basin Trust Act

R.S.B.C. 1996, c. 53

3 (2)

14 (1) in both places

26 (1) and (4)

28 (1) (

b) Community Care Facility Act

R.S.B.C. 1996, c. 60

10 (3) (

c) and

(4) Community Financial Services Act

R.S.B.C. 1996, c. 61

3 (2), (3), (4) and (5) in both places

5 (4)

14 (1) (

a) and (b)

15 (1)

19 (3) (a) (ii)

21 (3)

26 (3)

(7) Company Act

R.S.B.C. 1996, c. 62

233 (5) and

(6) Company Clauses Act

R.S.B.C. 1996, c. 63

Constitution Act

R.S.B.C. 1996, c. 66

(1) Continuing Care Act

R.S.B.C. 1996, c. 70

8 (2) (

d) Cooperative Association Act

R.S.B.C. 1996, c. 28

Court Order Enforcement Act

R.S.B.C. 1996, c. 78

(3) Crown Proceeding Act

R.S.B.C. 1996, c. 89

13 (4)

14 (1), (2) and (4)

15 (1) and

(2) Electronic Transactions Act

S.B.C. 2001, c. 10

14 (1) and

(2) Emergency Program Act

R.S.B.C. 1996, c. 111

17 (1)

23 (3) (

c) Escheat Act

R.S.B.C. 1996, c. 120

(2) Expropriation Act

R.S.B.C. 1996, c. 125

1 in paragraph (

f) of the definition of "approving authority"

Farm Income Insurance Act

R.S.B.C. 1996, c. 130

2 (

a) and (

f) Ferry Corporation Act

R.S.B.C. 1996, c. 137

2 (4)

7 (a)

8 (3) and (4)

14 (11), (17), (20), (21) in both places, and

(22) 15 both places

16 (2) (c)

18 (2) (a)

19 (2) (a)

20 both places

(1) Financial Information Act

R.S.B.C. 1996, c. 140

2 (5)

(1) Financial Institutions Act

R.S.B.C. 1996, c. 141

271 (5) (

b) and (6) in both places

289 (3) (

q) Fish Inspection Act

R.S.B.C. 1996, c. 148

(4) Freedom of Information and Protection of Privacy Act

R.S.B.C. 1996, c. 165

Schedule 2

Gas Safety Act

R.S.B.C. 1996, c. 169

(2) Geothermal Resources Act

R.S.B.C. 1996, c. 171

12 (4) (

c) Greater Vancouver Transportation Authority Act

S.B.C. 1998, c. 30

39 (1) and (3) (a)

40 (6)

47 (3)

50 (1), (2) and (2) (

a) Greenbelt Act

R.S.B.C. 1996, c. 176

(1) Health Act

R.S.B.C. 1996, c. 179

74 (4) (

b) Home Owner Grant Act

R.S.B.C. 1996, c. 194

12 (1) (

b) and (4)

14 (2) and (3)

17 (1) (b), (3) (b), (4) (a), (7) (a) (

i) and (9)

18 (2) (

c) Homeowner Protection Act

S.B.C. 1998, c. 31

6 (1), (3) in both places and (8)

25 (3) and

(4) Hospital District Act

R.S.B.C. 1996, c. 202

2 (4)

3 (1) (j) (iv)

25 (3)

35 (2) (a), (2) (a) (ii) and (4)

39 (3)

41 (6) in both places

Hydro and Power Authority Act

R.S.B.C. 1996, c. 212

3 (2)

21 (10), (16), (20), (21) (

a) and (

b) and (22)

22 both places

23 (2) and (3)

24 (2) (a)

25 (g)

(1) Hydro and Power Authority Privatization Act

R.S.B.C. 1996, c. 213

18 (2) and (3)

19 (1), (2) in both places and

(3) Income Tax Act

R.S.B.C. 1996, c. 215

1 (1) in the of definition of "Provincial minister"

Independent School Act

R.S.B.C. 1996, c. 216

12 (1)

(1) Indian Self Government Enabling Act

R.S.B.C. 1996, c. 219

1 in paragraph (

a) of the definition of "Provincial

taxing authority"

5 (3)

33 (1) and

(2) Industry Training and Apprenticeship Act

S.B.C. 1997, c. 50

9 (1), (3) in both places and

(10) 10 (1) and (2)

(3) Innovation and Science Council Act

R.S.B.C. 1996, c. 415

16 (1) and (3) in both places

Institute of Technology Act

R.S.B.C. 1996, c. 225

14 (2) (a)

22 (6) and (7) in both places

(1) Insurance Corporation Act

R.S.B.C. 1996, c. 228

18 (2)

20 (3) and (7)

21 (2)

23 (1) (b)

25 (1) and (2)

29 (1)

38 both places

Interpretation Act

R.S.B.C. 1996, c. 238

29 in the definition of "Provincial Treasurer" or "Treasurer" in both

places

Islands Trust Act

R.S.B.C. 1996, c. 239

47 (2) (a)

48 (1)

49 (3)

49.7 (1), (3) (a), (4) and (5)

49.8 (2) (b)

53 (2) (k) (iv)

Land Act

R.S.B.C. 1996, c. 245

35 (3)

36 (1) and (2)

46 (2)

48 (1) (a)

59 (1) (

c) and

(7) Land Title Act

R.S.B.C. 1996, c. 250

295 (1)

296 (5) in both places, (6) and

(7) 298 (3) and (4)

302 (1) in both places

305 (3)

(9) Legislative Assembly Allowances and Pension Act

R.S.B.C. 1996, c. 257

12 (2)

16 (2) and (5)

31 (1) in both places

Legislative Assembly Management Committee

R.S.B.C. 1996, c. 258

6.1

Library Act

R.S.B.C. 1996, c. 264

22 (2) (

a) Liquor Control and Licensing Act

R.S.B.C. 1996, c. 267

(3) Liquor Distribution Act

R.S.B.C. 1996, c. 268

31 (2) and (3) (

a) Livestock Act

R.S.B.C. 1996, c. 270

(1) Local Government Act

R.S.B.C. 1996, c. 323

9 (2) (c)

23 (1) and (4)

376 (4) (b)

492 (1) and (3)

520 (3)

645 (8) (b)

756 (3) (a), (6), (7), (8) and (9) (c)

756.2 (4) in both places

770 (3)

806 (2) (

c) and (3)

806.1

(1) Local Services Act

R.S.B.C. 1996, c. 276

6 (1)

(2) Medical Health Care Services Special Account Act

R.S.B.C. 1996, c. 284

(2) Ministry of Health Act

R.S.B.C. 1996, c. 301

Motor Dealer Act

R.S.B.C. 1996, c. 316

(4) Motor Vehicle Act

R.S.B.C. 1996, c. 318

114 (1), (2) and (3)

20 (2)

40 (2)

(1) Motor Vehicle (All Terrain) Act

R.S.B.C. 1996, c. 319

(3) Municipal Finance Authority Act

R.S.B.C. 1996, c. 325

16 (4)

(4) Natural Products Marketing (BC) Act

R.S.B.C. 1996, c. 330

8 (11) (b)

22 (4) (

c) Oil and Gas Commission Act

S.B.C. 1998, c. 39

13 (1), (4) and (6)

15 (1) (b)

16 (1) and

(2) Okanagan Valley Tree Fruit Authority Act

R.S.B.C. 1996, c. 339

9 (b)

11 (3) and

(11) Open Learning Agency Act

R.S.B.C. 1996, c. 341

(1) Pacific North Coast Native Cooperative Act

R.S.B.C. 1996, c. 343

Pension Agreement Act

R.S.B.C. 1996, c. 351

Petroleum and Natural Gas Act

R.S.B.C. 1996, c. 361

3 (3)

94 (1) (c)

106 (2) and (4) in both places

Police Act

R.S.B.C. 1996, c. 367

11 (3)

38 (3)

42 (2)

(3) Provincial Court Act

R.S.B.C. 1996, c. 379

43 (2) and

(3) Public Guardian and Trustee Act

R.S.B.C. 1996, 383

9 (4) (c)

12 (4) in both places, (5), (6) and (7)

14 (b)

24 (2) (

d) and (3)

(2) Public Guardian and Trustee Act – Supplement

Public Sector Pension Plans Act

S.B.C. 1999, c. 44

6 (2)

9 (2) (d) (ii) and (v)

17 (2)

18 (4)

20 (2) (e) (ii) and (v)

27 (1)

28 (1), (2) (

a) and

(5) Schedule A – 5 (2) (h) (iv)

Public Service Benefit Plan Act

R.S.B.C. 1996, c. 386

5 both places

6 (1)

9 in paragraph (

a) of the definition of "employer"

(3) Queen's Printer Act

R.S.B.C. 1996, c. 394

9 (1) and (2)

(2) Real Estate Act

R.S.B.C. 1996, c. 397

32 (1) and

(2) Riverbank Protection Act

R.S.B.C. 1996, c. 408

8 (2)

10 (2)

13 (2)

16 (1) in both places and

(5) Scholarship Act

R.S.B.C. 1996, c. 411

1 (1), (3), (4), and (5)

2 (1) and

(2) Securities Act

R.S.B.C. 1996, c. 418

15 (4)

18 (1) and (2)

20 (1), (2) in both places and (3)

22 (3) (

b) Society Act

R.S.B.C. 1996, c. 433

73 (1) and

(2) Form 6

South Moresby Implementation Account Act

R.S.B.C. 1996, c. 435

Sustainable Environment Fund Act

R.S.B.C. 1996, c. 445

4 (

d) and (e)

(2) Taxation (Rural Area) Act

R.S.B.C. 1996, c. 448

10 (1) (a)

14 (2) in both places

Tourism British Columbia Act

S.B.C. 1997, c. 13

9 (1), (4) and (6)

12 (b)

13 (1) and (3)

14 (1) and

(2) Trade Development Corporation Act

R.S.B.C. 1996, c. 456

3 (4)

7 (b)

(3) Travel Agents Act

R.S.B.C. 1996, c. 459

16 (5), (6) and

(7) University Act

R.S.B.C. 1996, c. 468

29 (1)

(1) University Foundations Act

R.S.B.C. 1996, c. 471

(2) Vancouver Charter

S.B.C. 1953, c. 55

421B

(2.1) Vancouver Island Natural Gas Pipeline Act

R.S.B.C. 1996, c. 474

(1) Wildlife Act

R.S.B.C. 1996, c. 488

(1) Workers Compensation Act

R.S.B.C. 1996, c. 492

67 (1) and (2)

(1.3) Schedule B

Act being amended

Section or other provision

British Columbia Buildings Corporation Act

R.S.B.C. 1996, c. 33

15 (2)

(2) British Columbia Transit Act

R.S.B.C. 1996, c. 38

29 (2)

(2) Build BC Act

R.S.B.C. 1996, c. 40

23 (6) (

b) Ferry Corporation Act

R.S.B.C. 1996, c. 137

18 (2) (b)

19 (2) (

b) Hydro and Power Authority Act

R.S.B.C. 1996, c. 212

23 (2)

24 (2) (

b) Income Tax Act

R.S.B.C. 1996, c. 215

64 (5) (c) (iv)

64 (6) (a)

(1) Insurance Premium Tax Act

R.S.B.C. 1996, c. 232

12 (3)

34 (3)

(1) Interpretation Act

R.S.B.C. 1996, c. 238

29 in the definition of "Provincial Treasury" or "Treasury"

Legislative Assembly Allowances and Pension Act

R.S.B.C. 1996, c. 257

(1) Local Government Act

R.S.B.C. 1996, c. 232

770 (3)

(1) Mining Tax Act

R.S.B.C. 1996, c. 295

(4) Motor Carrier Act

R.S.B.C. 1996, c. 315

Public Sector Pension Plans Act

S.B.C. 1999, c. 44

27 (1), (2) and

(3) Public Service Labour Relations Act

R.S.B.C. 1996, c. 388

1 (1) in the definition of "employee" paragraph (

q) Queen's Printer Act

R.S.B.C. 1996, c. 394

(3) Taxation (Rural Area) Act

R.S.B.C. 1996, c. 448

Explanatory Notes

SECTIONS 1 to 3: [Financial Administration Act, amends various sections]

change references to Minister of Finance and Ministry of Finance.

SECTION 4: [Financial Administration Act, repeals and replaces

section

27 (2) (b) (i)] provides that Treasury Board cannot limit appropriations

to honour obligations under the described instruments once they are negotiated

and executed.

SECTION 5: [Financial Administration Act, amends

section 45 (2)]

adds loans to government bodies under

section 54 to the exemptions from the

approval requirements under

section 4.5 (1).

SECTION 6: [Financial Administration Act, re-enacts

section 51]

provides that money may be borrowed in any currency for making loans to

government bodies;

provides that the Lieutenant Governor in Council authorize the borrowings

by the Minister of Finance, and establish maximum amounts that may be borrowed

and may place additional restrictions or limitations on the borrowing of that

money;

authorizes the Minister of Finance to determine the currency and the other

terms of the borrowing;

authorizes the Minister of Finance to enter into a range of financial agreements;

authorizes the Minister of Finance to make overdraft arrangements with

financial institutions and may issue securities to those institutions to cover

the overdrafts;

provides for the Minister of Finance to make arrangements to establish

and maintain borrowing programs and apply to regulatory authorities in order

to register securities as necessary.

SECTION 7: [Financial Administration Act, repeals

section 52]

repeals

section 52 as the subject matter of that

section now appears in

section

SECTION 8: [Financial Administration Act, re-enacts sections 53 and 54

and enacts

section 53.1]

provides that money may be lent by the government in any currency to government

bodies;

provides that the Lieutenant Governor in Council authorize loans by the

government to government bodies, and establish maximum amounts that may be

lent and may place additional restrictions on the lending of the money;

establishes requirements for maximum borrowing and loan amounts to be specified

by the Lieutenant Governor in Council;

authorizes the Minister of Finance to enter into agreements or make other

arrangements for the loan on behalf of the government body;

gives authority to the Minister of Finance to make arrangements in relation

to loans to government bodies for safekeeping securities or as specified by

the Lieutenant Governor in Council;

authorizes government bodies to issue to the government securities that

contain certain special provisions such as early call and extension features

despite any other Act.

SECTION 9: [Financial Administration Act, repeals

section 55 and re-enacts

section 56] requires the Minister of Finance to report on monies that

have been borrowed by the government and monies that have been loaned to government

bodies.

SECTION 10: [Financial Administration Act, enacts sections 56.2 to 56.5]

permits the Minister of Finance to raise money, other than by, borrowing,

through the issue and sale of bankers' acceptances or other prescribed credit

instruments;

provides the Minister of Finance with authority to assume all or part of

a debt obligation of a government body with the approval of the Lieutenant

Governor in Council;

permits the Minister of Finance to set new debt services fees that would

be charged to government bodies who receive debt management services and enables

the minister to set different fees for different government bodies based on

their creditworthiness or other factors;

authorizes the Minister of Finance to do all things necessary or advisable

to manage government borrowings and loans to government bodies including listed

items.

SECTION 11: [Financial Administration Act, repeals sections 57 to 62

and re-enacts

section 63] deletes redundant sections and provides broad

and flexible power for the Minister of Finance to create, manage and dissolve

sinking funds.

SECTION 12: [Financial Administration Act, repeals

section 64]

repeals an obsolete provision.

SECTION 13: [Financial Administration Act, re-enacts

section 65]

sets out the mechanics of how government securities will be signed.

SECTION 14: [Financial Administration Act , re-enacts

section

66]

confirms the Minister of Finance as the fiscal agent of the government

for borrowing and related purposes;

authorizes the minister to appoint and enter into agreements with, agents

for borrowing and related purposes.

SECTION 15: [Financial Administration Act, repeals

section 68]

repeals an obsolete provision.

SECTION 16: [Financial Administration Act, amends

section 69]

provides authority to pay expenses of public debt from the consolidated revenue

fund.

SECTION 17: [Financial Administration Act, repeals

section 71]

repeals a provision no longer required.

SECTION 18: [Financial Administration Act, enacts

section 87.1]

provides for the Lieutenant Governor in Council to delegate some or all of the

Minister of Finance's powers under

Part 8, 9, or 9.1.

SECTION 19: [Financial Administration Act, repeals and replaces

section

88 (2)] provides an authority for the Lieutenant Governor in Council

to deem organizations to be "government bodies" for the purpose of their receiving

loans and other debt management services from the province.

Hydro and Power Authority Act

SECTION 20: [Hydro and Power Authority Act, repeals and replaces

section

32 (7) (k)] is consequential to sections enacted by this Bill.

SECTION 21: [Schedules A and B, amends various Acts] changes

references to Minister of Finance and Ministry of Finance.

SECTION 22: [Transitional] ensures that the amendments made by

this Bill do not prejudice current holders of Province of British Columbia securities.

Schedule A amends various Acts – changes references to Minister

of Finance.

Schedule B amends various Acts – changes references to Ministry

of Finance.

Copyright (c) 2003: Queen's Printer, Victoria, British Columbia, Canada