Budget Implementation Act, 1997 (S.C. 1997, c. 26)

Marginal note:Investment policies

21. The board shall establish investment policies, standards and procedures that a reasonably prudent person would apply in respect of a portfolio of investments to avoid undue risk of loss and obtain a reasonable return, having regard to the foundation’s obligations and anticipated obligations.

Marginal note:Investments

• 22. (1) Subject to any conditions of a donation restricting the investment of the money donated until it can be used to make grants to eligible recipients for eligible projects, the foundation shall invest its funds, and reinvest any income from those funds, in accordance with the investment policies, standards and procedures established by the board.

• Marginal note:Restriction

  (2) The foundation shall not invest its funds in, or acquire any right in any property of, an eligible recipient that has received, is about to receive or has applied for a grant from the foundation.

• Marginal note:Incorporation of other corporations

  (3) The foundation shall not cause any corporation to be incorporated or participate in the incorporation of a corporation or become a partner in a partnership.

• Marginal note:Control of corporation

  (4) The foundation shall not carry on any business for gain or profit otherwise than in the investment of its funds, and shall not hold or acquire a controlling interest in any corporation or enterprise.

Marginal note:Borrowing prohibited

• 23. (1) The foundation shall not borrow money, issue any debt obligations or securities, give any guarantees to secure a debt or other obligation of another person or mortgage, pledge or otherwise encumber property of the foundation.

• Marginal note:Real property

  (2) The foundation shall not purchase or accept a donation of real property.

Marginal note:Delegation by directors

• 24. (1) Subject to subsection (2), the board may delegate to the Chairperson, a committee of directors or an officer of the foundation any of the powers of the board.

• Marginal note:Restrictions on delegation

  (2) The board shall not delegate any power or right of the board

  • (a) to enact, amend or repeal by-laws;

  • (b) to authorize the making of grants to eligible recipients;

  • (c) to appoint directors to, or fill vacancies on, a committee of the board;

  • (d) to appoint officers of the foundation or fix their remuneration;

  • (e) to accept donations;

  • (f) to approve an annual financial statement or a report of the foundation; or

  • (g) to submit to the members any matter requiring the approval of the members.