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Annex 3:
Legislative Measures

This annex includes a number of measures (other than tax-related measures) that would be implemented through legislation.

Subject of the Measure Proposed Legislative Action
Strengthening Canada’s Anti-Money Laundering and Anti-Terrorist Financing Regime In Budget 2021 the government proposes to strengthen Canada’s Anti-Money Laundering and Anti-Terrorist Financing (AML/ATF) Regime by introducing amendments to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to enable the Financial Transactions and Reports Analysis Centre of Canada to recover its compliance costs, clarify its ability to obtain information from reporting entities and expand the information that it can disclose; strengthen criminal penalties and the registration framework for money services businesses; regulate armoured car services for AML/ATF purposes; amend certain disclosure recipients and definitions; and make other technical amendments to the Act. The government also proposes to introduce amendments to reduce the administrative burden for financial institutions filing reports under the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law).
Financial Stability Measures In Budget 2021 the government proposes to introduce amendments to the Canada Deposit Insurance Corporation Act to:
  1. (i) clarify the scope of, and support, the cross-border enforceability of the stay provisions applicable to eligible financial contracts; and
  2. (ii) clarify how investors, creditors and other participants may be compensated as a result of actions taken by financial sector authorities to sell, wind-down or restore to viability a failing bank.
The government also proposes to introduce amendments to the Payment Clearing and Settlement Act to clarify how investors, creditors and other participants may be compensated as a result of actions taken by financial sector authorities to sell, wind-down or restore to viability a failing financial market infrastructure.
Payment System Measures In Budget 2021 the government proposes to clarify the Bank of Canada’s authority to oversee payment exchanges under the Payment Clearing and Settlement Act.
Unclaimed Assets Regime In Budget 2021 the government proposes to modernize the federal unclaimed assets regime, by increasing the information available and use of electronic communication to match Canadians with their unclaimed assets, and expand the scope of the regime to include unclaimed balances from terminated federally regulated pension plans and foreign denominated bank accounts by proposing amendments the Bank of Canada Act, the Bank Act, the Trust and Loans Companies Act, and the Pension Benefits Standards Act, 1985.
Clarifying the Consumer Protection Framework In Budget 2021 the government proposes to introduce legislative amendments to clarify that application of the statutory right to cancel a contract with a bank under the Bank Act only applies to retail consumers, which are individuals and small and medium-sized businesses, and excludes large businesses.
Financial Institution Restructuring Powers (FIRP) Extension In Budget 2021 the government proposes to amend the Canada Deposit Insurance Corporation Act to provide the Canada Deposit Insurance Corporation with greater flexibility to facilitate a transaction in circumstances where it takes control of a failed member institution.
Strengthening the Canadian Deposit Insurance Framework In Budget 2021 the government proposes to introduce technical legislative amendments to the Canada Deposit Insurance Corporation Act to provide the Canada Deposit Insurance Corporation with a targeted expansion of its authorities to improve the timeliness and efficiency of the deposit insurance payout process.
2023 Sunset Date of Financial Institutions Statutes In Budget 2021 the government proposes legislative amendments to the Bank Act, the Insurance Companies Act, and the Trust and Loans Companies Act to extend the sunset dates by two years to 2025. Extending the sunset dates will enable full consideration of the impacts of the pandemic on the financial sector as part of the next legislative review.
Revised Framework for Negotiated Contribution Pension Plans In Budget 2021 the government proposes to introduce amendments to the Pension Benefits Standards Act, 1985 to establish a revised framework for multi-employer negotiated contribution pension plans that strengthens plan governance, transparency, and sustainability of benefits.
Retail Payments Oversight Framework To continue to promote growth and innovation in digital payment services, such as digital wallets, while ensuring that these payments services are safer and more secure, the government proposes to introduce legislation to implement a new retail payments oversight frameworkTo continue to promote growth and innovation in digital payment services, such as digital wallets, while ensuring that these payments services are safer and more secure, the government proposes to introduce legislation to implement a new retail payments oversight framework
Strengthening Capital Markets Stability and Enforcement Increase the statutory limit in the Canadian Securities Regulation Regime Transition Office Act to ensure additional funding for the Canadian Securities Transition Office to continue supporting federal efforts to advance the Cooperative Capital Markets Regulatory System and to strengthen capital markets stability and enforcement in Canada.
Credit Cards Acceptance Fees The government will engage with key stakeholders to work towards three objectives:
  • Lower the average overall cost of interchange fees for merchants
  • Ensure that small businesses benefit from pricing that is similar to large businesses
  • Protect existing rewards points of consumers
Following consultations with stakeholders, detailed next steps will be outlined as part of the 2021 Fall Economic Statement, including legislative amendments to the Payment Card Networks Act that would provide authority to regulate interchange fees, if necessary.
Better Supports for Exporters Budget 2021 announces the government’s intention to work with Export Development Canada to enhance supports to small and medium-sized exporters and to strengthen human rights considerations in export supports. To do so, the government may propose amendments to the Export Development Act.
Science and Technology Collaboration with Israeli Firms Budget 2021 proposes to provide additional funding of $10 million over five years, starting in 2021-2022, and $2 million per year ongoing, to expand opportunities for Canadian small and medium-sized enterprises (SMEs) to engage in research and development partnerships with Israeli SMEs. This will be sourced from existing Global Affairs Canada resources. The government also intends to implement an enhanced delivery model for this program, including possible legislation.
Improving Duty and Tax Collection on Imported Goods Budget 2021 proposes changes to the Customs Act that would improve duty and tax collection.
  • These changes would ensure that goods are valued in a fair and consistent manner by all importers.
  • In support of ongoing efforts to digitize payment of duty and tax, the changes would also modernize the payment process for commercial importers, to minimize administrative burden.
Strengthening Canada’s Trade Remedy System Budget 2021 announces the government’s intention to launch public consultations on measures to strengthen Canada’s trade remedy system and to improve access for workers and small and medium-sized enterprises. Following these consultations, the government may propose amendments to the Special Import Measures Act and the Canadian International Trade Tribunal Act. Budget 2021 also proposes to amend the Canada-United States-Mexico Agreement Implementation Act to clarify processes for the selection of trade remedy dispute settlement panels and committees under the agreement.
Canada Community-Building Fund On March 25, 2021, the government tabled a bill that proposes to provide $2.2 billion for a one-time top-up to the federal Gas Tax Fund, which would double the government’s commitment to municipalities and First Nations communities in 2020-21. The bill also proposes to rename the fund as the Canada Community-Building Fund. The government intends to proceed with this proposal.
Canada Small Business Financing Program Budget 2021 proposes to amend the Canada Small Business Financing Act, including broader eligibility and increased loan limits to help facilitate greater access to financing through the Canada Small Business Financing Program.
Public Service Employment Act

The public sector workforce should be representative of the communities it serves. In the 2020 Speech from the Throne, the government committed to implementing an action plan to increase representation in hiring and appointments within the Public Service. The government is committed to diversity and inclusion and will review key aspects of the staffing process in hopes of removing conscious and unconscious bias and systemic barriers, with the goal of increasing representation in hiring and appointments within the Public Service.

To this end, the government will propose amendments to the Public Service Employment Act to reaffirm the importance of a diverse and inclusive workforce and to strengthen provisions to address potential bias and barriers in the staffing processes.

Amendments to the Canada Elections Act Budget 2021 proposes to introduce amendments to the Canada Elections Act to specify that making or publishing a false statement in relation to a candidate, prospective candidate, or party leader would be an offence only if the person or entity knows that the statement is false.
Modernizing the Fiscal Stabilization Program As indicated in the Fall Economic Statement 2020, the government intends to introduce legislative amendments to reform the Fiscal Stabilization Program to provide a more effective backstop to provinces that face an extraordinary drop in revenues. The modernization of the program would index the maximum payment of $60 per capita, which was set in 1987, to total Canadian economic growth per person since that time, nearly tripling it to $170 per person in 2019-20 and 2020-21. The higher cap would apply to 2019-20 Stabilization claims and onward. In addition, technical changes would modernize and simplify the program, effective for 2021-22 Stabilization claims and onward.
Enhancing the Capacity of Superior Courts Budget 2021 proposes to amend the Judges Act, the Federal Courts Act, and the Tax Court of Canada Act to add 13 new superior court positions, which includes 1 Associate Chief Justice position.
Establishing a Canada-wide Early Learning and Child Care System Budget 2021 proposes to include in legislation a financial authority for the transfer of funding to provinces and territories in support of new bilateral agreements, including an asymmetrical agreement with Québec, towards a Canada-wide Early Learning and Child Care system, for the year 2021-22.
Extending Temporary Support for Seasonal Workers Who Continue to be Affected by the Pandemic

Budget 2021 proposes legislative changes to ensure that all self-employed fishers who submit an Employment Insurance (EI) claim for the winter 2021 fishing benefit period are treated equally, by extending temporary eligibility changes for the entire benefit period.

Budget 2021 proposes legislative changes to extend the rules of an existing EI seasonal pilot project for an additional year, until October 2022.

Reforming Student Financial Assistance The government proposes to introduce legislation that would extend the waiver of interest accrual on Canada Student Loans and Canada Apprentice Loans until March 31, 2023.
Support to the Government of Quebec to align the Quebec Parental Insurance Plan with Temporary EI Changes Budget 2021 proposes funding through a statutory appropriation to support the Government of Quebec in ensuring that benefits offered under the Quebec Parental Insurance Plan reflect the temporary changes in place between September 2020 and September 2021 that have made Employment Insurance maternity and parental benefits more generous for some claimants.
Establishing a $15 Federal Minimum Wage The Government of Canada is committed to help Canadians in low-wage jobs by announcing its intention to introduce amendments to the Canada Labour Code that will establish a federal minimum wage of $15 per hour, rising with inflation, with provisions to ensure that where provincial or territorial minimum wages are higher, that wage will prevail.
Legislative Authority for the Hibernia Dividend Backed Annuity Agreement The government is proposing to introduce legislation to satisfy Canada’s obligations under the Hibernia Dividend Backed Annuity Agreement with the Government of Newfoundland and Labrador.
Amendment of the Government Annuities Improvement Act The government is proposing amendments to the Government Annuities Improvement Act to reduce duplicative audit requirements. Canadians and annuitants would continue to have access to information on the program through the Public Accounts and the actuarial reports published by the Office of the Chief Actuary.
Social Security Tribunal Reforms The government is proposing amendments to the Department of Employment and Social Development Act to improve the recourse process for Income Security programs, which include the Canada Pension Plan and Old Age Security.
Extending Temporary Provisions Related to the Employment Insurance (EI) Emergency Response Benefit (ERB) To ensure that workers who accessed the Canada Emergency Response Benefit through Service Canada continue to have access to training and skills development programs and to allow integrity activities over a longer time frame, the government announces its intention to introduce amendments to the Employment Insurance Act to extend the application of certain provisions related to the Canada Emergency Response Benefit.
Annual Regulatory Modernization Bill (ARMB) The government intends to introduce a second annual cleanup legislation to concurrently amend multiple acts to improve regulations and remove outdated or duplicative regulatory requirements that will strengthen Canada’s economic competitiveness.
Enhancing Protections for Contract Workers in the Air Transportation Sector To better protect these employees, the government is announcing its intention to introduce amendments to the Canada Labour Code that will extend equal remuneration protection to more employees in the air transportation sector. This would ensure that, when a service contract changes hands, affected employees are not paid less if they are laid off and rehired to do the same work.
Parents of Young Victims of Crime The Government of Canda is announcing its intention to amend the Canada Labour Code to ensure that employees in the federally regulated private sector have job protection when they avail themselves of this new benefit.
Labour Program Authority to use the Social Insurance Number The Government of Canda is announcing its intention to amend the Department of Employment and Social Development Canada Act to provide the Minister of Labour with the authority to collect, use and retain the Social Insurance Number, for program administration.
Freezing Judicial Pension Entitlements Budget 2021 proposes to amend the Judges Act to freeze a judge’s pension entitlements, as of the date the Canadian Judicial Council recommends a judge’s removal from office.
Streamlining Express Entry The Government of Canada intends to propose amendments to the Immigration and Refugee Protection Act to provide the Minister of Immigration, Refugees and Citizenship Canada with authority to use Ministerial Instructions to help select those candidates who best meet Canada’s labour market needs from among the growing pool of candidates who wish to become permanent residents through the Express Entry System.
Assignment of revenues from the Crown for the purposes of pooled borrowing The Government of Canada proposes to amend the First Nations Fiscal Management Act (FNFMA) to allow First Nations who are borrowing members of the First Nations Finance Authority to assign their rights to certain revenues payable by Her Majesty in right of Canada, for the purpose of securing financing under the FNFMA pooled borrowing regime.
First Nations Election Cancellation and Postponement Regulations The government proposes to introduce legislation that would ensure that the First Nations Election Cancellation and Postponement Regulations (Prevention of Diseases) are deemed to have been validly made since April 7, 2020.
Amendments to the Telecommunications Act to Facilitate Broadband Delivery The government proposes to amend the Telecommunications Act to allow the Canadian Radio-television and Telecommunications Commission (CRTC) to share more information with federal, provincial, and territorial broadband partners and to take steps to avoid unnecessary delays in respect of CRTC decisions to allocate funding to recipients to expand access to telecommunications services in underserved areas.
Helping Health Care Systems Recover On March 25, 2021, the government tabled a bill that proposes to amend the Federal-Provincial Fiscal Arrangements Act to provide $4 billlion to help provinces and territories through the Canada Health Transfer to support clearing health care system backlogs caused by the pandemic. The government intends to proceed with this proposal.
Enabling National Research Council Canada Medical Production and Partnership-Building The government proposes to introduce amendments to enable the National Research Council to manufacture and produce medical products such as vaccines on a large scale to respond to public health needs and to establish and take interests in corporations to facilitate new partnership operating models.
Clarifying the Suspension of Interest on Student Loans Announced in the Fall Economic Statement The government is announcing its intention to introduce legislation that will clarify the changes made to the Canada Student Loans Act, Canada Student Financial Assistance Act and Apprentice Loans Act as part of Bill C-14 in order to ensure they reflect what was announced in the Fall Economic Statement.
Additional Fiscal Equalization Offset Payments to Nova Scotia On February 3, 2021, the government tabled a bill to amend the Nova Scotia and Newfoundland and Labrador Additional Fiscal Equalization Offset Payments Act to authorize the Minister of Finance to make an additional fiscal equalization offset payment to Nova Scotia for 2020-21 and to extend the Arrangement on Offshore Revenues with Nova Scotia to 2022-23. The government intends to proceed with this proposal.
Providing Additional Weeks of Recovery Benefits The government proposes to provide up to 12 additional weeks of income support for claimants who will start exhausting their 38 weeks of Canada Recovery Benefit (CRB) on June 19, 2021. The first four of these additional 12 weeks will be paid at $500 per week and the remaining 8 weeks will be paid at a lower amount of $300 per week. All new Canada Recovery Benefit claimants after July 17, 2021 would also receive the lower rate of $300 per week. The government also proposes to provide an additional 4 weeks, up to a maximum of 42 weeks, for the Canada Recovery Caregiver Benefit. The government will also seek legislative authorities to make further extensions, as necessary, past September 25, 2021 and until no later than November 20, 2021, to both the Canada Recovery Benefit suite of supports, including caregiving and sickness benefits, as well as Employment Insurance regular benefits. Corresponding amendments to the Canada Labour Code are also proposed.
Canada’s COVID-19 Immunization Plan Provinces and territories will face significant financial pressures as immunization campaigns accelerate. On March 25, 2021, the government tabled a bill that proposes to establish an appropriation authority of up to $1 billion to provinces and territories, in support of Canada’s COVID-19 immunization plan. Payments would be allocated to provinces and territories on a per-capita basis, and could be used for a variety of vaccine-related costs. The government intends to proceed with this proposal.
Increasing Old Age Security for Canadians 75 and Over Budget 2021 proposes to provide a taxable grant payment of $500 to Old Age Security pensioners who will be age 75 or older as of June 2022 through statutory appropriations and to amend the Old Age Security Act to exempt this payment from the definition of income for the Guaranteed Income Supplement. Budget 2021 also proposes to amend the Old Age Security Act to increase by 10 per cent the maximum benefits payable to Old Age Security pensioners age 75 or older effective July 1, 2022.
Labour protection for gig workers in the federally regulated sector Budget 2021 reiterates the government’s commitment to making legislative changes to improve labour protection for gig workers in the federally regulated sector, including those who work through digital platforms. These legislative changes will be informed by the outcomes of online consultations recently launched by the Minister of Labour.
Protecting Canada’s Historic Places In Budget 2021 the government proposes to introduce legislation to establish a framework for the transparent designation and sustainable protection of federally-owned historic places.
Maintaining Flexible Access to Employment Insurance Benefits Budget 2021 proposes amendments to the Employment Insurance Act to maintain common entrance requirements, and to simplify eligibility rules around contentious reasons for separation and the allocation of monies on separation for a period of one year, from September 2021 to September 2022.
Extending Employment Insurance Sickness Benefits to Better Support Canadians Suffering From Illness or Injury Budget 2021 proposes amendments to the Employment Insurance Act to extend the maximum duration of Employment Insurance sickness benefits from 15 weeks to 26 weeks. In addition, Budget 2021 proposes to make corresponding changes to medical leave under the Canada Labour Code.

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