Federal Accountability Act (S.C. 2006, c. 9)
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Assented to 2006-12-12
PART 4ADMINISTRATIVE OVERSIGHT AND ACCOUNTABILITY
R.S., c. 41 (4th Supp.), Part IIEnterprise Cape Breton Corporation Act
Amendments to Act
248. Section 27 of the Act and the heading before it are replaced by the following:
Corporation Continued
Marginal note:Composition
27. The Enterprise Cape Breton Corporation is continued as a corporation consisting of a Board of Directors comprising the Chairperson, a Chief Executive Officer and five other directors appointed in accordance with subsection 28(2).
249. Subsections 28(1) to (3) of the Act are replaced by the following:
Marginal note:Appointment of Chief Executive Officer
28. (1) The Chief Executive Officer shall be appointed by the Governor in Council for a term that the Governor in Council considers appropriate, and may be removed at any time by the Governor in Council.
Marginal note:Appointment of directors
(2) Each director, other than the Chairperson and the Chief Executive Officer, shall be appointed by the Minister, with the approval of the Governor in Council, to hold office for a term not exceeding four years that will ensure, as far as possible, the expiration in any one year of the terms of office of not more than one half of the directors. Each director may be removed at any time by the Minister, with the approval of the Governor in Council.
Marginal note:Re-appointment
(3) The Chief Executive Officer is eligible for re-appointment on the expiration of a term of office. Notwithstanding subsection 105(3) of the Financial Administration Act, any other director who has served two consecutive terms is not, during the twelve months following the completion of a second term, eligible for appointment except as Chairperson or Chief Executive Officer.
250. Sections 29 and 30 of the Act are replaced by the following:
Marginal note:Chairperson to preside
29. The Chairperson shall preside at meetings of the Board, but in the event of the absence or incapacity of the Chairperson or a vacancy in that office, the Chief Executive Officer shall preside.
Marginal note:Authority of Chief Executive Officer
30. (1) The Chief Executive Officer of the Corporation has, on behalf of the Board, the direction and control of the business of the Corporation with authority to act in the conduct of that business in all matters that are not by this Part or by the by-laws of the Corporation specifically reserved to be done by the Board.
Marginal note:Absence or incapacity
(2) In the event of the absence or incapacity of the Chief Executive Officer or a vacancy in that office, the Board shall authorize another officer or director of the Corporation to act as the Chief Executive Officer, but no person may act as such for a period exceeding sixty days without the approval of the Governor in Council.
251. (1) Subsection 31(1) of the Act is replaced by the following:
Marginal note:Salaries and fees
31. (1) The Chief Executive Officer shall be paid by the Corporation a salary to be fixed by the Governor in Council. The other directors, except the Chairperson, shall be paid by the Corporation the fees fixed by the Governor in Council for attendance at meetings of the Board or any committee of the Board.
(2) Subsection 31(2) of the English version of the Act is replaced by the following:
Marginal note:Expenses
(2) Each director other than the Chairperson is entitled to be paid by the Corporation the travel and living expenses incurred in the performance of the director’s duties that are fixed by by-law of the Corporation.
252. (1) Paragraph 39(c) of the English version of the Act is replaced by the following:
(c) fixing the travel and living expenses to be paid to directors other than the Chairperson;
(2) Paragraph 39(e) of the Act is replaced by the following:
(e) respecting the establishment, management and administration of a pension fund for the Chief Executive Officer and the officers and employees of the Corporation and dependants of those persons, the contributions to be made to the fund by the Corporation and the investment of the pension fund moneys; and
Transitional Provision
Marginal note:Transitional — Vice-President
253. On the day on which this section comes into force, the person occupying the position of Vice-President of the Enterprise Cape Breton Corporation ceases to occupy that position and becomes the Chief Executive Officer of the Corporation, as if appointed to that position under subsection 28(1) of the Enterprise Cape Breton Corporation Act, for a term of office equivalent to the remainder of the person’s term as Vice-President.
R.S., c. E-20; 2001, c. 33, s. 2(F)Export Development Act
Marginal note:2001, c. 33, s. 13(E)
254. Subsection 4(1) of the Export Development Act is replaced by the following:
Marginal note:Appointment of directors
4. (1) Each director, other than the Chairperson and the President, shall be appointed by the Minister, with the approval of the Governor in Council, to hold office during pleasure for a term not exceeding four years that will ensure, as far as possible, the expiration in any one year of the terms of office of not more than one half of the directors.
1993, c. 14; 2001, c. 22, s. 2Farm Credit Canada Act
Marginal note:1994, c. 38, par. 25(1)(j)
255. Subsection 5(2) of the Farm Credit Canada Act is replaced by the following:
Marginal note:Appointment
(2) The directors, other than the Chairperson and the President, shall be appointed by the Minister of Agriculture and Agri-Food, with the approval of the Governor in Council, for a term not exceeding four years that will ensure, as far as possible, the expiration in any one year of the terms of office of not more than one half of the directors.
256. Subsection 8(1) of the Act is replaced by the following:
Marginal note:Committees
8. (1) The Board may establish an executive committee and any other committees that the Board considers advisable, and may determine their composition and duties and the tenure of their members.
R.S., c. F-11Financial Administration Act
Amendments to Act
257. Section 3 of the Financial Administration Act is amended by adding the following after subsection (9):
Marginal note:Schedule VI
(10) The Governor in Council may, by order,
(a) add to Part I of Schedule VI the name of any department named in Schedule I;
(b) add to Part II or III of Schedule VI the name of any department and a reference to the accounting officer for the department;
(c) amend Part II or III of Schedule VI by replacing a reference to the accounting officer for a department with a new reference;
(d) move from Part II to Part III of Schedule VI, or from Part III to Part II of that Schedule, the name of a department and the reference to its accounting officer;
(e) amend Part I, II or III of Schedule VI by replacing the former name of a department with the new name; and
(f) delete the name of a department and the reference to its accounting officer from Part I, II or III of Schedule VI, where the department has ceased to exist or become part of another department.
258. Subsection 7(1) of the Act is amended by adding the following after paragraph (e.1):
(e.2) internal audit in the federal public administration;
259. The Act is amended by adding the following after section 16:
PART I.1INTERNAL AUDIT AND ACCOUNTING OFFICERS
Marginal note:Audit capacity
16.1 The deputy head or chief executive officer of a department is responsible for ensuring an internal audit capacity appropriate to the needs of the department.
Marginal note:Audit committees
16.2 Subject to and except as otherwise provided in any directives issued by the Treasury Board under paragraph 7(1)(e.2), the deputy head or chief executive officer of a department shall establish an audit committee for the department.
Marginal note:Appointment
16.21 (1) A person who does not occupy a position in the federal public administration but who meets the qualifications established by directive of the Treasury Board may be appointed to an audit committee by the Treasury Board on the recommendation of the President of the Treasury Board.
Marginal note:Term of office
(2) A member of an audit committee so appointed holds office during pleasure for a term not exceeding four years, which may be renewed for a second term.
Marginal note:Remuneration
(3) A member of an audit committee so appointed shall be paid the remuneration and expenses fixed by the Treasury Board.
Definition of “accounting officer”
16.3 In sections 16.4 and 16.5, “accounting officer”
(a) with respect to a department named in Part I of Schedule VI, means its deputy minister; and
(b) with respect to a department named in Part II or III of Schedule VI, means the person occupying the position set out opposite that name.
Marginal note:Accountability of accounting officers within framework of ministerial accountability
16.4 (1) Within the framework of the appropriate minister’s responsibilities and his or her accountability to Parliament, and subject to the appropriate minister’s management and direction of his or her department, the accounting officer of a department named in Part I of Schedule VI is accountable before the appropriate committees of the Senate and the House of Commons for
(a) the measures taken to organize the resources of the department to deliver departmental programs in compliance with government policies and procedures;
(b) the measures taken to maintain effective systems of internal control in the department;
(c) the signing of the accounts that are required to be kept for the preparation of the Public Accounts pursuant to section 64; and
(d) the performance of other specific duties assigned to him or her by or under this or any other Act in relation to the administration of the department.
Marginal note:Accountability of accounting officers within framework of ministerial accountability
(2) Within the framework of the appropriate minister’s responsibilities under the Act or order constituting the department and his or her accountability to Parliament, the accounting officer of a department named in Part II or III of Schedule VI is accountable before the appropriate committees of the Senate and the House of Commons for
(a) the measures taken to organize the resources of the department to deliver departmental programs in compliance with government policies and procedures;
(b) the measures taken to maintain effective systems of internal control in the department;
(c) the signing of the accounts that are required to be kept for the preparation of the Public Accounts pursuant to section 64; and
(d) the performance of other specific duties assigned to him or her by or under this or any other Act in relation to the administration of the department.
Marginal note:Appearance before committee
(3) The obligation of an accounting officer under this section is to appear before the appropriate committee of the Senate or the House of Commons and answer questions put to him or her by members of the committee in respect of the carrying out of the responsibilities and the performance of the duties referred to in subsection (1) or (2), as the case may be.
Marginal note:Written guidance from Secretary
16.5 (1) Where the appropriate minister and the accounting officer for a department named in Part I or II of Schedule VI are unable to agree on the interpretation or application of a policy, directive or standard issued by the Treasury Board, the accounting officer shall seek guidance in writing on the matter from the Secretary of the Treasury Board.
Marginal note:Referral to Treasury Board
(2) Where guidance is provided under subsection (1) and the matter remains unresolved, the appropriate minister shall refer the matter to the Treasury Board for a decision.
Marginal note:Copy to Auditor General
(3) A decision by the Treasury Board shall be in writing and a copy shall be provided to the Auditor General of Canada.
Marginal note:Cabinet confidence
(4) The copy of a decision provided to the Auditor General of Canada is a confidence of the Queen’s Privy Council for Canada for the purposes of any Act of Parliament.
260. The Act is amended by adding the following before the heading “PART IV” before section 43:
Marginal note:Five-year reviews
42.1 (1) Subject to and except as otherwise provided in any directives issued by the Treasury Board, every department shall conduct a review every five years of the relevance and effectiveness of each ongoing program for which it is responsible.
Definition of “program”
(2) In this section, “program” means a program of grants or contributions made to one or more recipients that are administered so as to achieve a common objective and for which spending authority is provided in an appropriation Act.
261. Section 80 of the Act is renumbered as subsection 80(1) and is amended by adding the following:
Marginal note:Fraud against Her Majesty
(2) Every officer or person acting in any office or employment connected with the collection, management or disbursement of public money who, by deceit, falsehood or other fraudulent means, defrauds Her Majesty of any money, securities, property or service is guilty of an indictable offence and liable on conviction,
(a) if the amount of the money or the value of the securities, property or service does not exceed $5,000, to a fine not exceeding $5,000 and to imprisonment for a term not exceeding five years; or
(b) if the amount of the money or the value of the securities, property or service exceeds $5,000, to a fine not exceeding that amount or that value and to imprisonment for a term not exceeding fourteen years.
Marginal note:2005, c. 30, s. 51
262. (1) Subsection 85(1) of the Act is replaced by the following:
Marginal note:Exemption for Bank of Canada
85. (1) Divisions I to IV, except for section 154.01, do not apply to the Bank of Canada.
(2) Section 85 of the Act is amended by adding the following after subsection (1):
Marginal note:Exemption for Canada Pension Plan Investment Board
(1.01) Divisions I to IV, except for section 154.01, do not apply to the Canada Pension Plan Investment Board.
Marginal note:2005, c. 30, s. 51
(3) Subsections 85(1.1) and (1.2) of the Act are replaced by the following:
Marginal note:Exempted Crown corporations
(1.1) Divisions I to IV, except for sections 131 to 148 and 154.01, do not apply to the Canada Council for the Arts, the Canadian Broadcasting Corporation, the International Development Research Centre or the National Arts Centre Corporation.
Marginal note:Exemption for Telefilm Canada
(1.2) Divisions I to IV, except for sections 131 to 148 and 154.01 and subject to subsection 21(2) of the Telefilm Canada Act, do not apply to Telefilm Canada.
Marginal note:1994, c. 47, s. 116
263. Subsection 89.2(1) of the Act is replaced by the following:
Marginal note:Directive
89.2 (1) Notwithstanding subsections 85(1) to (1.2), the Governor in Council may give a directive pursuant to subsection 89(1) to any parent Crown corporation for the purpose of implementing any provision of the WTO Agreement that pertains to that Crown corporation.
Marginal note:1996, c. 17, s. 16
264. Section 89.3 of the Act is replaced by the following:
Marginal note:Directive
89.3 Notwithstanding subsections 85(1) to (1.2), the Governor in Council may give a directive pursuant to subsection 89(1) to any parent Crown corporation for the purpose of implementing any provision of the Agreement as that term is defined in section 2 of the Agreement on Internal Trade Implementation Act that pertains to that Crown corporation.
Marginal note:1997, c. 14, s. 79
265. Subsection 89.4(1) of the Act is replaced by the following:
Marginal note:Directive
89.4 (1) Notwithstanding subsections 85(1) to (1.2), the Governor in Council may give a directive under subsection 89(1) to any parent Crown corporation for the purpose of implementing any provision of the Canada-Chile Free Trade Agreement that pertains to that Crown corporation.
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