ONTARIO REGULATION 277/08
made under the
INVESTING IN ONTARIO ACT, 2008
Made: July 23, 2008
Filed: August 1, 2008
Published on e-Laws: August 1, 2008
Printed in The Ontario Gazette: August 16, 2008
PAYMENTS UNDER THE ACT IN RESPECT OF THE 2007-2008 FISCAL YEAR
Interpretation
1. In this Regulation,
“available amount” means, in relation to any fiscal year of the province, the amount authorized to be paid to eligible recipients under subsection 2 (1) of the Act in respect of that fiscal year;
“preliminary surplus” means the amount that, but for the payments made under the Act in respect of a fiscal year, would be the surplus for the fiscal year as provided in the province’s consolidated financial statements.
Allocation of preliminary surplus to reduction of accumulated deficit
2. For the purposes of the definition of “B” in subsection 2 (2) of the Act, the amount of the preliminary surplus in respect of the fiscal year commencing April 1, 2007 to be allocated to the reduction of the accumulated deficit shown in the province’s consolidated financial statements shall be determined as follows:
1. If the preliminary surplus is less than $800,000,000, all of the preliminary surplus is to be allocated to the reduction of the accumulated deficit.
2. If the preliminary surplus is greater than or equal to $800,000,000 but less than or equal to $2,600,000,000, $600,000,000 of the preliminary surplus is to be allocated to the reduction of the accumulated deficit.
3. If the preliminary surplus is greater than $2,600,000,000, the amount of the preliminary surplus to be allocated to the reduction of the accumulated deficit is the sum of $600,000,000 plus the amount of the preliminary surplus in excess of $2,600,000,000.
Eligible recipients
3. Every municipality in Ontario is an eligible recipient in respect of the fiscal year commencing April 1, 2007.
Eligible purposes
4. Payments made under the Act, if any, in respect of the fiscal year commencing April 1, 2007,
(a) may only be used by an eligible recipient for expenditures that are capital expenditures with respect to the eligible recipient under generally accepted accounting principles for local governments as recommended, from time to time, by the Public Sector Accounting Board of the Canadian Institute of Chartered Accountants; and
(b) shall not be used for the purpose of reducing or paying out the amount of any debt relating to a capital expenditure if the debt was incurred by the eligible recipient before the date on which the relevant payment is received.
Method of and basis for allocations to eligible recipients
5. (1) In this section,
“municipal group” means a group of municipalities consisting of a municipality that as of March 31, 2008 is an upper-tier municipality and every municipality that as of March 31, 2008 is a lower-tier municipality that forms part of the upper-tier municipality for municipal purposes;
“population” means, in respect of an eligible recipient that is a lower-tier municipality, single-tier municipality or upper-tier municipality, the 2006 Census of Population census subdivision population that falls within the boundaries of the eligible recipient, as reported by Statistics Canada under the Statistics Act (Canada) as of March 31, 2008;
“total population of all municipalities in Ontario” means the 2006 Census of Population census subdivision total population that falls within the boundaries of all single-tier municipalities and upper-tier municipalities in Ontario, as reported by Statistics Canada under the Statistics Act (Canada) as of March 31, 2008.
(2) The available amount for the fiscal year commencing on April 1, 2007 shall be allocated among eligible recipients as follows:
1. The amount allocated to each eligible recipient that is a single-tier municipality as of March 31, 2008 and, subject to paragraphs 2 and 3, to each municipal group is calculated using the formula,
A × B/C
in which,
“A” is the available amount for the fiscal year,
“B” is the population of the eligible recipient or of the upper-tier municipality of a particular municipal group, as the case may be, and
“C” is the total population of all municipalities in Ontario.
2. From the amount allocated to a particular municipal group under paragraph 1, the amount allocated to the upper-tier municipality in the municipal group is calculated using the formula,
D × E/F
in which,
“D” is the amount allocated to the municipal group under paragraph 1 for the fiscal year,
“E” is the arithmetic mean of the capital expenditures reported in Column 07 (Capital Expenditures) of Row 9910 (Total) of Schedule 52 (Sources of Capital Fund Financing Expenditures) of the Financial Information Returns provided as of March 31, 2008 by the upper-tier municipality to the Ministry of Municipal Affairs and Housing for the years 2001 to 2005, and
“F” is the arithmetic mean of the aggregate of all capital expenditures reported in Column 07 (Capital Expenditures) of Row 9910 (Total) of Schedule 52 (Sources of Capital Fund Financing Expenditures) of the Financial Information Returns provided as of March 31, 2008 by the upper-tier municipality and each lower-tier municipality that formed part of the upper-tier municipality for municipal purposes to the Ministry of Municipal Affairs and Housing for the years 2001 to 2005.
3. From the amount allocated to a particular municipal group under paragraph 1, the amount allocated to a particular lower-tier municipality in the municipal group is calculated using the formula,
(D – G) × H/I
in which,
“D” is the amount allocated to the municipal group under paragraph 1 for the fiscal year,
“G” is the amount allocated to the upper-tier municipality in the municipal group under paragraph 2 for the fiscal year,
“H” is the population of the lower-tier municipality, and
“I” is the population of the upper-tier municipality in the municipal group.
(3) The amounts of “E” and “F” referred to in paragraph 2 of subsection (2) may be obtained from the Ministry of Municipal Affairs and Housing.
Commencement
6. This Regulation is deemed to have come into force on March 18, 2008.
