Bill C-2 (Historical)

Federal Accountability Act

An Act providing for conflict of interest rules, restrictions on election financing and measures respecting administrative transparency, oversight and accountability

Part 1 enacts the Conflict of Interest Act and makes consequential amendments in furtherance of that Act. That Act sets out substantive prohibitions governing public office holders. Compliance with the Act is a deemed term and condition of a public office holder’s appointment or employment. The Act also sets out a detailed regime of compliance measures to ensure conformity with the substantive prohibitions, certain of which apply to all public office holders and others of which apply to reporting public office holders. The Act also provides for a regime of detailed post-employment rules. Finally, the Act establishes a complaints regime, sets out the powers of investigation of the Commissioner and provides for public reporting as well as a regime of administrative monetary penalties.
Amongst other matters, the consequential amendments to the Parliament of Canada Act provide for the appointment and office of the Conflict of Interest and Ethics Commissioner along with his or her tenure, expenses, duties and other administrative matters.
Part 1 also amends the Canada Elections Act to
(a) reduce to $1,000 the amount that an individual may contribute annually to a registered party, and create a distinct $1,000 annual limit on contributions to the registered associations, the nomination contestants and the candidates of a registered party;
(b) reduce to $1,000 the amount that an individual may contribute to an independent candidate or to a leadership contestant;
(c) reduce to $1,000 the amount that a nomination contestant, a candidate or a leadership contestant may contribute to his or her own campaign in addition to the $1,000 limit on individual contributions;
(d) totally ban contributions by corporations, trade unions and associations by repealing the exception that allows them to make an annual contribution of $1,000 to the registered associations, the candidates and the nomination contestants of a registered party and a contribution of $1,000 to an independent candidate during an election period;
(e) ban cash donations of more than $20, and reduce to $20 the amount that may be contributed before a receipt must be issued or, in the case of anonymous contributions following a general solicitation at a meeting, before certain record-keeping requirements must be met; and
(f) increase to 5 years after the day on which the Commissioner of Canada Elections became aware of the facts giving rise to a prosecution, and to 10 years following the commission of an offence, the period within which a prosecution may be instituted.
Other amendments to the Canada Elections Act prohibit candidates from accepting gifts that could reasonably be seen to have been given to influence the candidate in the performance of his or her duties and functions as a member, if elected. The wilful contravention of this prohibition is considered to be a corrupt practice. A new disclosure requirement is introduced to require candidates to report to the Chief Electoral Officer any gifts received with a total value exceeding $500. Exceptions are provided for gifts received from relatives, as well as gifts of courtesy or of protocol. The amendments also prohibit registered parties and registered associations from transferring money to candidates directly from a trust fund.
The amendments to the Lobbyists Registration Act rename the Act and provide for the appointment by the Governor in Council of a Commissioner of Lobbying after approval by resolution of both Houses of Parliament. They broaden the scope for investigations by the Commissioner, extend to 10 years the period in respect of which contraventions may be investigated and prosecuted, and increase the penalties for an offence under the Act. In addition, they empower the Commissioner to prohibit someone who has committed an offence from lobbying for a period of up to two years, prohibit the acceptance and payment of contingency fees and prohibit certain public office holders from lobbying for a period of five years after leaving office. They require lobbyists to report their lobbying activities involving certain public office holders and permit the Commissioner to request those office holders to confirm or correct the information reported by lobbyists.
Amendments to the Parliament of Canada Act prohibit members of the House of Commons from accepting benefits or income from certain trusts and require them to disclose all trusts to the Conflict of Interest and Ethics Commissioner. The amendments also authorize the Conflict of Interest and Ethics Commissioner to issue orders requiring members to terminate most trusts and prohibiting them from using the proceeds from their termination for political purposes. In cases where the trusts are not required to be terminated, the amendments authorize the Conflict of Interest and Ethics Commissioner to make orders prohibiting members from using the trusts for political purposes. An offence is created for members who do not comply with such orders. The amendments also provide that, in the event of a prosecution, a committee of the House of Commons may issue an opinion that is to be provided to the judge before whom the proceedings are held.
Finally, Part 1 amends the Public Service Employment Act to remove the right of employees in ministers’ offices to be appointed without competition to positions in the public service for which the Public Service Commission considers them qualified.
Part 2 harmonizes the appointment and removal provisions relating to certain officers.
Amendments to the Parliament of Canada Act establish within the Library of Parliament a position to be known as the Parliamentary Budget Officer, whose mandate is to provide objective analysis to the Senate and House of Commons about the estimates of the government, the state of the nation’s finances and trends in the national economy, to undertake research into those things when requested to do so by certain Parliamentary committees, and to provide estimates of the costs of proposals contained in Bills introduced by members of Parliament other than in their capacity as ministers of the Crown. The amendments also provide the Parliamentary Budget Officer with a right of access to data that are necessary for the performance of his or her mandate.
Part 3 enacts the Director of Public Prosecutions Act which provides for the appointment of the Director of Public Prosecutions and one or more Deputy Directors. That Act gives the Director the authority to initiate and conduct criminal prosecutions on behalf of the Crown that are under the jurisdiction of the Attorney General of Canada. That Act also provides that the Director has the power to make binding and final decisions as to whether to prosecute, unless the Attorney General of Canada directs otherwise, and that such directives must be in writing and published in the Canada Gazette. The Director holds office for a non-renewable term of seven years during good behaviour and is the Deputy Attorney General of Canada for the purposes of carrying out the work of the office. The Director is given responsibility, in place of the Commissioner of Canada Elections, for prosecutions of offences under the Canada Elections Act.
Part 3 also amends the Access to Information Act to ensure that all parent Crown corporations, and their wholly-owned subsidiaries, within the meaning of section 83 of the Financial Administration Act are encompassed by the definition “government institution” in section 3 of the Access to Information Act and to add five officers, five foundations and the Canadian Wheat Board to Schedule I of that Act. It adjusts some of the exemption provisions accordingly and includes new exemptions or exclusions relating to the added officers and the Crown corporations. It empowers the Governor in Council to prescribe criteria for adding a body or an office to Schedule I and requires Ministers to publish annual reports of all expenses incurred by their offices and paid out of the Consolidated Revenue Fund. It adds any of those same officers and foundations that are not already included in the schedule to the Privacy Act to that schedule, ensures that all of those parent Crown corporations and subsidiaries are encompassed by the definition “government institution” in section 3 of that Act, and makes other consequential amendments to that Act. It amends the Export Development Act to include a provision for the confidentiality of information. It revises certain procedures relating to the processing of requests and handling of complaints and allows for increases to the number of investigators the Information Commissioner may designate to examine records related to defence and national security.
Amendments to the Library and Archives of Canada Act provide for an obligation to send final reports on government public opinion research to the Library and Archives of Canada.
Finally, Part 3 amends the Public Servants Disclosure Protection Act to
(a) establish the Public Servants Disclosure Protection Tribunal and empower it to make remedial orders in favour of victims of reprisal and to order disciplinary action against the person or persons who took the reprisal;
(b) provide for the protection of all Canadians, not only public servants, who report government wrongdoings to the Public Sector Integrity Commissioner;
(c) remove the Governor in Council’s ability to delete the name of Crown corporations and other public bodies from the schedule to the Act;
(d) require the prompt public reporting by chief executives and the Public Sector Integrity Commissioner of cases of wrongdoing; and
(e) permit the Public Sector Integrity Commissioner to provide access to legal advice relating to the Act.
Part 4 amends the Financial Administration Act to create a new schedule that identifies and designates certain officials as accounting officers and, within the framework of their appropriate minister’s responsibilities and accountability to Parliament, sets out the matters for which they are accountable before the appropriate committees of Parliament. A regime for the resolution of issues related to the interpretation or application of a policy, directive or standard issued by the Treasury Board is established along with a requirement that the Treasury Board provide a copy of its decision to the Auditor General of Canada.
Part 4 also amends the Financial Administration Act and the Criminal Code to create indictable offences for fraud with respect to public money or money of a Crown corporation, and makes persons convicted of those offences ineligible to be employed by the Crown or the corporation or to otherwise contract with the Crown.
Other amendments to the Financial Administration Act clarify the authority of the Treasury Board to act on behalf of the Queen’s Privy Council for Canada on matters related to internal audit in the federal public administration. They also set out the deputy head’s responsibility for ensuring that there is an internal audit capacity appropriate to the needs of the department and requires them, subject to directives of the Treasury Board, to establish an audit committee. The Financial Administration Act, the Farm Credit Canada Act and the Public Sector Pension Investment Board Act are amended to require Crown corporations to establish audit committees composed of members who are not officers or employees of the corporation. Other amendments to the Financial Administration Act require, subject to directions of the Treasury Board, that all grant and contribution programs be reviewed at least every five years to ensure their relevance and effectiveness.
Amendments made to the Financial Administration Act and to the constituent legislation of a number of Crown corporations provide for appointments of directors for up to four years from a current maximum of three years.
Part 4 also amends the Canadian Dairy Commission Act, the Enterprise Cape Breton Corporation Act and the National Capital Act to require different individuals to perform the duties of chair of the Board of Directors and chief executive officer of the corporation.
Part 5 amends the Auditor General Act by expanding the class of recipients of grants, contributions and loans into which the Auditor General of Canada may inquire as to the use of funds, whether received from Her Majesty in right of Canada or a Crown corporation. Other amendments provide certain immunities to the Auditor General.
Amendments to the Department of Public Works and Government Services Act provide for the appointment and mandate of a Procurement Auditor.
Part 5 also amends the Financial Administration Act to provide for a government commitment to fairness, openness and transparency in government contract bidding, and a regulation-making power to deem certain clauses to be set out in government contracts in relation to prohibiting the payment of contingency fees and respecting corruption and collusion in the bidding process for procurement contracts, declarations by bidders in respect of specific criminal offences, and the provision of information to the Auditor General of Canada by recipients under funding agreements.

Motions in amendment

[Paul Szabo, Liberal, Mississauga South, ON]

Mr. Speaker, I do not know whether I heard the minister clearly, but Motion No. 5 was ruled out of order by the Speaker. The minister wants to reinstate it in Group No. 1. Are there any amendments? I doubt that it is in order to overrule the Speaker's decision. Perhaps the Table could advise.

[John Baird, Conservative, Ottawa West—Nepean, ON]

We did it for the member for Notre-Dame-de-Grâce—Lachine.

[Paul Szabo, Liberal, Mississauga South, ON]

No, that is not true. The Chair could advise whether or not we can overrule the Speaker's decision on the admissibility of Motion No. 5 by unanimous consent. I wonder if we could get that advice.

I would also ask that, in conjunction with the response, there be some explanation given as to the reasons why Motion No. 5 in fact was excluded and ruled out of order by the Speaker. There may be a possibility of repairing Motion No. 5, which would take an amendment to Motion No. 5, if the House agreed.

This is something that there is interest in pursuing, provided that there is a full understanding by the House that the Speaker's ruling is being summarily overturned by the member's request.

[The Acting Speaker, Andrew Scheer]

Motion No. 5 was not selected by the Speaker because it could have been moved in committee.

However, there are precedents where the House can select a motion that was not selected by the Speaker and include it in a group of amendments. Therefore, it is in order for the President of the Treasury Board to seek the unanimous consent.

[John Baird, Conservative, President of the Treasury Board]

Mr. Speaker, I move:

That proposed Motion No. 5 be included in Group No. 1.

[The Acting Speaker, Andrew Scheer]

Does the President of the Treasury Board have the unanimous consent of the House to move the motion?

[Some hon. members]

Agreed.

[The Acting Speaker, Andrew Scheer]

Is it the pleasure of the House to adopt the motion?

[Some hon. members]

Agreed.

[The Acting Speaker, Andrew Scheer]

(Motion agreed to)

[Paul Szabo, Liberal, Mississauga South, ON]

Mr. Speaker, I rise on a point of order. It is somewhat unusual that a matter is added on to a group of motions after all of the principal speakers have already spoken to it. Under the rules they cannot speak again, but I wonder if there would be consent to allow each of the parties to put up one speaker to address any matters with regard to this reinstated Motion No. 5.

[The Acting Speaker, Andrew Scheer]

Does the House give its consent?

[Some hon. members]

Agreed.

No.

[Carole Lavallée, Bloc, Saint-Bruno—Saint-Hubert, QC]

Mr. Speaker, I am pleased to speak at this stage, to address the first group of amendments, which takes certain powers away from certain committees.

I have had the pleasure of sitting on both the legislative committee on Bill C-2 and the Standing Committee on Access to Information, Privacy and Ethics. I say that I have had the pleasure, but I should rather say that I have had the experience of working on them, because I will admit that it was not always pleasant.

Yesterday, as well, we had the pleasure of meeting with the Minister of Justice and Attorney General of Canada at the Standing Committee on Access to Information, Privacy and Ethics. He came with some reservations about the Information Commissioner’s proposed open government act, and he asked us to bring forward a bill. Obviously, that was not our intention, because that is the job of the government. On occasion, some of us have brought forward private member’s bills, which is proper, but we may not bring forward bills that involve an expenditure of money. It would seem that a bill on transparency would cost this government a good deal of money.

The minister told us then to continue our studies and our reports, to modernize and strengthen the act that was passed in 1987. When I asked him whether he had a timetable for this bill, he did not answer. We know what that means: he had no timetable.

And why he has not set a timetable? Because he has no political will. What would he have done if he had had the political will to bring forward a real transparency bill, a real bill on access to public information, one that really modernized and strengthened the act? He would have done exactly as was done for Bill C-2; he would have done it himself and he would have submitted it to a legislative committee. In fact, for Bill C-2, he stretched it to its limit, if I may say so. Not only did he have the political will, but it rose to the level of arrogance. We have seen and felt it; each one of us has complained about it among ourselves. The timetable was much too tight. The witnesses were zipping past at a great rate and we had no time to think about what they were saying. We had no time to read the invaluable documents being given to us. We had no time to do research, to compare, and to seek out more information. None at all. The committee sat as many as 45 hours in a single week. And then, we told them what I will say again now: Watch out! We are going so fast that we are putting together a flawed bill full of holes. The proof of this is that once again the minister has just brought forward a last-minute amendment to fix it. So we know that this bill will be flawed.

This bill also includes some amendments, not a lot, to the Access to Information Act. That is why the Minister of Justice and Attorney General of Canada is not going to do anything more.

Indeed the real changes he wanted to make to the Access to Information Act are contained in Bill C-2. We should not expect anything else of this government or of this minister. In my humble opinion, this government will not table another bill on access to information. We also know that Bill C-2 contains a few partisan elements, such as the one that might throw a wrench into the works of the Liberal Party leadership race. Also, as we can see now, it even takes away certain powers from certain committees, as witnessed by this group of amendments.

There should be a little more balance in this government. In fact there is no schedule proposed for the Access to Information Act.

The minister told us to take our time, to make reports and do analyses, to make sure it was perfect. We have done enough studies and reports. I could pile them up here at least a foot or two high.

It must be understood that there is no political will behind the Access to Information Act. This is so true that yesterday, in our committee, when we were discussing our fall action plan and were getting ready to vote on a measure that would have enabled us to ask the Minister of Labour and the Minister of the Economic Development Agency of Canada for the Regions of Quebec Act to come back, when the House resumes in September, with a government bill on access to information this time, what happened? The Conservative members on the committee monopolized the floor.

The member for Dufferin—Caledon, among others, talked for the rest of the meeting. There were 10 or 15 minutes remaining. He talked the whole time. He said things and contradicted them. He said the opposite of what he thinks. The members were contradictory, talking non-stop, stating figures. They said any old thing to use up all the time so that we could not discuss a bill that would come from the department.

It was too bad for democracy and too bad for transparency. Some transparency! If this government does not intend to rewrite the Access to Information Act, let it say so quite simply instead of beating around the bush and avoiding real debates. One of the Conservative members even said yesterday in committee—this is a laugh—that a minister was also a member, and that a member was also a minister. I did not know I was a minister. I learned this from a colleague in the Conservative Party, who said so in committee.

How can we expect this government to offer us a real transparency act? In committee, I asked this government to propose an access to information act. That motion was rejected by the Conservative members. The same request was made last November, and the motion was adopted unanimously. The same motion that was rejected by the Conservatives in committee on May 15 had been adopted unanimously last November. Remember that there was even a Conservative Party opposition day, last November 15, regarding a new access to information act. What has changed between last November and now? Simply that this party got itself elected and is forgetting its election promises one after the other.

The Conservative government promised to reform the Access to Information Act many times during the last election campaign. It was in their last election platform. Yesterday we saw that this was not true. There will be no new access to information act.

The pity of it is that an accountability act is a fine and proper idea, even though this act is very imperfect and even though the Bloc Québécois has many reservations. This government can expect the Bloc to vote in favour of this bill. But an accountability act without a transparency act is not going to work. It would not prevent a new sponsorship scandal, or other scandals. It is in fact the intention of this government to avoid transparency. It does not want to be transparent. The unfortunate result of this is that Bill C-2 is not going to achieve the goals we thought it would.

The Gomery report recommended many things, including new transparency legislation. One can see that few of those recommendations have been adopted in Bill C-2.

From now on, when people talk about an election promise that is forgotten as soon as the party is elected, they will use the term “Conservative promise”. That is what this is. We thought that a transparency act and a modernized and strengthened Access to Information Act would be forthcoming from this government. Alas, no, it was a “Conservative promise”. There will be no new access to information act.

This government is not seeking to avoid a new scandal. That is not what it wants to avoid. Its initiative is partisan, opportunistic and superficial. All that it wants to tell its electors the next time it goes on the campaign trail is “mission accomplished: we created an accountability act”. That is all it did, but it did it. That is all.

When we look at what is in this bill, we see that it is a very timid step in the right direction and does not include transparency. As I was saying earlier, accountability without transparency will not go far.

This Bill C-2 is a small step forward, but a very small step, a feeble, tottering step. However it is better than a step backward, and therefore the Bloc Québécois will be supporting this bill.

[Guy André, Bloc, Berthier—Maskinongé, QC]

Mr. Speaker, I listened carefully to my colleague's speech on Bill C-2. As she stated, it is a small step forward.

Following the sponsorship scandal in recent years, the Conservatives attacked the Liberals repeatedly in this House, together with the Bloc Québécois and the NDP. We would have thought that the Conservative party would have included and even given more prominence to the Access to Information Act, but it did not do so.

I would like the member to explain why the Conservative Party is so hesitant about having greater transparency in this House with regard to the work, policies and programs of this government. And why this resistance with regard to the Access to Information Act?