Evidence of meeting #75 for Transport, Infrastructure and Communities in the 42nd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was clause.
A recording is available from Parliament.
4:45 p.m.
Liberal
Ken Hardie Liberal Fleetwood—Port Kells, BC
Is there something that is in the act or perhaps elsewhere to the effect that if you get a bad act or somebody who is prepared to take an administrative penalty as the cost of doing business, then the heavier hand could indeed come down?
4:45 p.m.
General Counsel and Deputy Executive Director, Department of Transport
It would be criminal prosecution. Criminal prosecution is another enforcement tool, but that's criminal.
4:45 p.m.
General Counsel and Deputy Executive Director, Department of Transport
It's in the act already.
4:45 p.m.
Liberal
Sean Fraser Liberal Central Nova, NS
There are different administrative monetary penalties in different pieces of federal legislation. I think there are some in the Aeronautics Act and in the Canada Marine Act. There are a few out there.
4:45 p.m.
General Counsel and Deputy Executive Director, Department of Transport
Yes.
4:45 p.m.
Liberal
Sean Fraser Liberal Central Nova, NS
How are they structured? Are they exactly the same as the legislation that's being proposed here, and has it been an effective way to promote compliance with the act?
4:45 p.m.
General Counsel and Deputy Executive Director, Department of Transport
They are all a bit different, but this one has been tailored to the most modern one that we've done lately. They're in line with case law. To go back to Ms. Block's comments, the case law, word for word, is that the purpose of an administrative regime is to ensure compliance with the regulatory framework.
4:45 p.m.
Liberal
Sean Fraser Liberal Central Nova, NS
You're saying it's one of the reasons we use that language specifically. It's so that we don't attract the charter protections that might—
4:45 p.m.
General Counsel and Deputy Executive Director, Department of Transport
Yes.
4:45 p.m.
Conservative
Ben Lobb Conservative Huron—Bruce, ON
What is the maximum penalty that has been enforced to date? I'll start with that question.
4:45 p.m.
General Counsel and Deputy Executive Director, Department of Transport
Under an administrative monetary penalty, obviously none, because they don't exist. The introduction of the tool is in this legislation.
4:45 p.m.
Conservative
Ben Lobb Conservative Huron—Bruce, ON
Sorry; what projections could you see, then, based on historical cases? What would we be talking about? You see where I'm coming from, right?
4:45 p.m.
Director General, Road Safety and Motor Vehicle Regulation, Department of Transport
The intent is that we would be developing the maximum levels of the penalties within regulation and that what we would do through the regulatory process is determine, depending on the egregiousness of the violation, what level of penalty there would be. What it would include is the ability to say that it could be on a per vehicle basis or on a per day basis.
Even though we may set a fairly low level, it could increase quite significantly, depending on the scope of the issue. However, the intent would be to go through the regulatory process to develop those levels, the maximum levels, and to say that for a series of violations, this would be the cap we'd put on it.
4:45 p.m.
Conservative
Ben Lobb Conservative Huron—Bruce, ON
Administrative monetary penalties in the case of a corporation, which I'm assuming could be an airbag manufacturer or the assembler itself—
4:45 p.m.
Director General, Road Safety and Motor Vehicle Regulation, Department of Transport
For us, it would be the manufacturer.
4:45 p.m.
Conservative
Ben Lobb Conservative Huron—Bruce, ON
Okay, yes.
Then it could be $200,000, the way it says it here, “payable for each violation”. Is the manufacturer of, let's say hypothetically, a defective airbag—
4:45 p.m.
Director General, Road Safety and Motor Vehicle Regulation, Department of Transport
For us, just to confirm, companies are manufacturers and importers. They're not component developers.
4:50 p.m.
Conservative
Ben Lobb Conservative Huron—Bruce, ON
However you want to say it, it would be $200,000 per vehicle. Is that the way, or are you saying—
