This document was prepared by the staff of the Parliamentary Research Branch to provide Canadian Parliamentarians with plain language background and analysis of proposed government legislation. Legislative summaries are not government documents. They have no official legal status and do not constitute legal advice or opinion. Please note, the Legislative Summary describes the bill as of the date shown at the beginning of the document. For the latest published version of the bill, please consult the parliamentary internet site at www.parl.gc.ca. LS-368E
BILL C-5: AN ACT TO ESTABLISH THE
Prepared by: LEGISLATIVE HISTORY OF BILL C-5
TABLE OF CONTENTS BILL C-5: AN ACT TO ESTABLISH THE Bill C-5, An Act to establish the Canadian Tourism Commission, was tabled by the Minister of Industry and given First Reading in the House of Commons on 15 October 1999. It had been presented in an identical form as C-75 during the 1st session of the 36th Parliament (18 March 1999), but died when that session was prorogued on 18 September 1999. The bill would make the Canadian Tourism Commission (hereinafter the Commission), which has been in existence since 1995 as a Special Operating Agency (SOA),(1) into a Crown corporation under Schedule III (Part 1) of the Financial Administration Act(2) and governed by Part X of that Act (see clause 49 of the bill). The proposed change of legal status is intended to give the Commission "more flexibility and freedom to achieve its goal of partnering with the tourism industry and the federal government to sustain a vibrant and profitable national tourism industry."(3) With the status of a Crown corporation, the Commission would enjoy greater administrative, financial and personnel independence. Consultations with private-sector partners, provincial Deputy Ministers, employees and employee representatives apparently found strong support for this legislative measure. All partners agree that the Commission "needs more independence so it can realize the full potential of its core partnerships and unique governance structure."(4) Current Commission employees have been assured that they would have job security in the new Crown corporation (see in particular clauses 31-33 of the bill, dealing with continuance of the functions of members of the Board, and clauses 41-46, dealing with human resources and staff relations). The Minister of Industry would continue to be responsible for tourism policy.(5) The Commission would be a corporation (clause 3) acting as an agent of Her Majesty in right of Canada (clause 4) and would have the capacity of a natural person (clause 6(1)). In particular, the Commission would be able to enter into agreements with provincial and territorial governments to carry out its objects (clause 26). Its objects would include sustaining a vibrant and profitable Canadian tourism industry (clause 5). Its head office would be in Canada at a place designated by the Governor in Council (clause 24). The affairs and business of the Commission would be managed by a Board of Directors (clause 7) consisting of no more than 26 directors (clause 8), comprising:
The Board would be empowered to make by-laws (clause 23), including a code of ethics for the Commission’s directors and employees (clause 23(a)). The directors (apart from the President) would be paid fees as fixed by the Governor in Council (clause 16) and would, for purposes of compensation, be deemed government employees(7) and members of the federal Public Service.(8) The President of the Commission would be its chief executive officer (clause 19), with responsibility for managing the Commission’s internal affairs, including the hiring and terminating of staff(9) (see the other provisions dealing with personnel in clauses 27-28). The President could delegate his or her authority to any other person (clause 21). The President’s salary would be fixed by the Governor in Council (clause 15). Clauses 29-46 govern the terms and conditions of the transition from the existing Commission (referred to in the bill as the "former Commission" - clause 29) and the new Commission. The new Act would come into force on a day fixed by order of the Governor in Council. While stakeholders have generally expressed broad support for Bill C-5, opposition members in the House of Commons raised certain concerns during second reading debate:
(1) For information on the nature of an SOA, please consult the following document: Treasury Board Secretariat, Becoming a Special Operating Agency, March 1986, 36p. It is available electronically at http://www.tbs-sct.gc.ca/SI-SI/ASD/english/resources/download/becomsoa_e.pdf. (2) R.S.C. 1985, c. F-11. (3) Press Release, Industry Canada, Minister Manley Re-Introduces Legislation Designed to Strengthen Role of the Canadian Tourism Commission, Information Bulletin, Ottawa, 15 October 1999. The bulletin is available electronically at (4) Ibid., (5) Ibid., (6) The expressions "private sector director," "tourism operator" and "private sector representative" are defined in clause 11(5) of the bill. (7) Government Employees Compensation Act, R.S.C. 1985, c. G-5. (8) Presumption for application of the regulations made under the Aeronautics Act, R.S.C. 1985, c. A-2. (9) According to the CTC Backgrounder, the Commission would "assume the role of employer and have the authority to hire, manage and negotiate terms and conditions of employment for all staff." Canadian employees would be governed and protected by the Canada Labour Code, R.S.C. 1985, c. L-2. Press Release, Industry Canada, Minister Manley Re-Introduces Legislation Designed to Strengthen Role of the Canadian Tourism Commission, Information Bulletin, Ottawa, 15 October 1999, p. 3 of 6. The bulletin is available electronically at |
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