THE SASKATCHEWAN GAZETTE, 7 JUILLET 2017 383 The ......PUBLISHED WEEKLY BY AUTHORITY OF THE QUEEN’S PRINTER/PUBLIÉE CHAQUE SEMAINE SOUS L’AUTORITÉ DE L’IMPRIMEUR DE LA REINE

383THE SASKATCHEWAN GAZETTE, 7 JUILLET 2017

PART II/PARTIE IIREVISED REGULATIONS OF SASKATCHEWAN/

RÈGLEMENTS RÉVISÉS DE LA SASKATCHEWANTABLE OF CONTENTS/TABLE DES MATIÈRES

I-9.11 Reg 1 The Insurance Regulations ........................................................... 385S-10.2 Reg 1 The Saskatchewan Commercial Innovation Incentive (Patent Box) Regulations .......................................................... 444Y-2 Reg 1 The Youth Justice Administration Regulations .......................... 449SR 50/2017 The Open Seasons Game Amendment Regulations, 2017 ........... 466SR 51/2017 The Barley Development Plan Amendment Regulations, 2017 .. 470SR 52/2017 The Commercial Egg Marketing Plan Amendment Regulations, 2017 ...................................................................... 474SR 53/2017 The Oat Development Plan Amendment Regulations, 2017 ....... 476SR 54/2017 The Wheat Development Plan Amendment Regulations, 2017 ... 480SR 55/2017 The Medical Care Insurance Beneficiary and Administration Amendment Regulations, 2017 ................................................. 484SR 56/2017 The Chiropractic Services Payment Negotiation Repeal Regulations ................................................................................ 486SR 57/2017 The Saskatchewan Medical Care Insurance Payment Amendment Regulations, 2017 ................................................. 487SR 58/2017 The Chiropody Services Repeal Regulations ............................... 488SR 60/2017 The Special-care Homes Rates Amendment Regulations, 2017 .. 489SR 62/2017 The Coal Disposition (Audit Assessments) Amendment Regulations, 2017 ...................................................................... 491SR 63/2017 The Crown Mineral Royalty (Audit Assessments) Amendment Regulations, 2017 ...................................................................... 493SR 64/2017 The Crown Oil and Gas Royalty (Audit Assessments) Amendment Regulations, 2017 ................................................. 494

PART II/PARTIE II

The Saskatchewan GazettePUBLISHED WEEKLY BY AUTHORITY OF THE QUEEN’S PRINTER/PUBLIÉE CHAQUE SEMAINE SOUS L’AUTORITÉ DE L’IMPRIMEUR DE LA REINE

Volume 113 REGINA, FRIDAY, JULY 7, 2017/REGINA, VENDREDI, 7 JUILLET 2017 No. 27 /nº 27

384 THE SASKATCHEWAN GAZETTE, JULY 7, 2017

Revised Regulations of Saskatchewan 2017/ Règlements Révisés de la Saskatchewan 2017

July 7, 2017The Insurance Regulations ............................................................................................................................................................... I-9.11 Reg 1The Saskatchewan Commercial Innovation Incentive (Patent Box) Regulations .......................................................................... S-10.2 Reg 1The Youth Justice Administration Regulations .............................................................................................................................. Y-2 Reg 1The Open Seasons Game Amendment Regulations, 2017 ............................................................................................................... SR 50/2017The Barley Development Plan Amendment Regulations, 2017 ....................................................................................................... SR 51/2017The Commercial Egg Marketing Plan Amendment Regulations, 2017 .......................................................................................... SR 52/2017The Oat Development Plan Amendment Regulations, 2017 ........................................................................................................... SR 53/2017The Wheat Development Plan Amendment Regulations, 2017 ....................................................................................................... SR 54/2017The Medical Care Insurance Beneficiary and Administration Amendment Regulations, 2017 ................................................... SR 55/2017The Chiropractice Services Payment Negotiation Repeal Regulations ........................................................................................... SR 56/2017The Saskatchewan Medical Care Insurance Payment Amendment Regulations, 2017................................................................. SR 57/2017The Chiropody Services Repeal Regulations .................................................................................................................................... SR 58/2017The Special-care Homes Rates Amendment Regulations, 2017 ...................................................................................................... SR 60/2017The Coal Disposition (Audit Assessments) Amendment Regulations, 2017 ................................................................................... SR 62/2017The Crown Mineral Royalty (Audit Assessments) Amendment Regulations, 2017........................................................................ SR 63/2017The Crown Oil and Gas Royalty (Audit Assessments) Amendment Regulations, 2017 ................................................................. SR 64/2017The Freehold Oil and Gas Production Tax (Audit Assessments) Amendment Regulations, 2017 ................................................ SR 66/2017The Potash Production Tax (Audit Assessments) Amendment Regulations, 2017 ........................................................................ SR 67/2017The Sodium Chloride Production Tax (Audit Assessments) Amendment Regulations, 2017 ....................................................... SR 68/2017The Oil and Gas Conservation Amendment Regulations, 2017 ...................................................................................................... SR 70/2017The Pipelines Amendment Regulations, 2017.................................................................................................................................. SR 71/2017The Seismic Exploration Amendment Regulations, 2017 ............................................................................................................... SR 72/2017The Labour-sponsored Venture Capital Corporations Amendment Regulations, 2017 ................................................................. SR 73/2017The Fur Animals Open Seasons Amendment Regulations, 2017 ................................................................................................... SR 74/2017The Securities Commission (Adoption of National Instruments) (NI 94-102) Amendment Regulations, 2017 .................... SR 75/2017The Apprenticeship and Trade Certification Commission (Miscellaneous) Amendment Regulations, 2017 ........................ SR 76/2017

SR 66/2017 The Freehold Oil and Gas Production Tax (Audit Assessments) Amendment Regulations, 2017 ................................................. 496

SR 67/2017 The Potash Production Tax (Audit Assessments) Amendment Regulations, 2017 ................................................. 497

SR 68/2017 The Sodium Chloride Production Tax (Audit Assessments) Amendment Regulations, 2017 ................................................. 498

SR 70/2017 The Oil and Gas Conservation Amendment Regulations, 2017 . 500SR 71/2017 The Pipelines Amendment Regulations, 2017 ............................. 504SR 72/2017 The Seismic Exploration Amendment Regulations, 2017 ........... 506SR 73/2017 The Labour-sponsored Venture Capital Corporations

Amendment Regulations, 2017 ................................................. 507SR 74/2017 The Fur Animals Open Seasons Amendment

Regulations, 2017 ...................................................................... 508SR 75/2017 The Securities Commission (Adoption of National

Instruments) (NI 94-102) Amendment Regulations, 2017 ... 510SR 76/2017 The Apprenticeship and Trade Certification Commission

(Miscellaneous) Amendment Regulations, 2017 .................. 539


THE SASKATCHEWAN GAZETTE, JANUARY 18, 200219

REVISED REGULATIONS OF SASKATCHEWAN

THE SASKATCHEWAN GAZETTE, 7 JUILLET 2017 385

CHAPTER I‑9.11 REG 1

The Insurance ActSections 1-17, 2-44, 2-46, 2-69, 3-124, 3-166, 4-20, 5-84, 5-89,

6-21, 7-27, 8-34, 8-212, 9-26 and 10-48

Order in Council 325/2017, dated June 22, 2017(Filed June 26, 2017)

PART 1Preliminary Matters

DIVISION 1Title and Interpretation

Title

1‑1 These regulations may be cited as The Insurance Regulations.

Definitions and Interpretation

1‑2(1) In these regulations:

“accident and sickness insurance” means insurance:

(a) against loss resulting from bodily injury to or the death of a personcaused by an accident;

(b) under which an insurer undertakes to pay a certain sum or sumsof insurance money in the event of bodily injury to or the death of aperson caused by an accident;

(c) against loss resulting from the sickness or disability of a person,excluding loss resulting from an accident or death;

(d) under which an insurer undertakes to pay a certain sum or sumsof insurance money in the event of the sickness or disability of a personnot caused by an accident; or

(e) under which an insurer undertakes to pay insurance money withrespect to the health care, including dental care and preventativecare, of a person;

“Act” means The Insurance Act;

“aircraft insurance” means insurance against:

(a) liability arising out of bodily injury to or the death of a person, orthe loss of or damage to property, in each case caused by an aircraftor the use of an aircraft; or

(b) the loss of, the loss of use of or damage to an aircraft;

“automobile insurance” means insurance:

(a) against liability arising out of bodily injury to or the death of aperson, or the loss of or damage to property, in each case caused by anautomobile or the use or operation of an automobile;

https://publications.saskatchewan.ca:443/api/v1/products/103755/formats/115127/download


(b) against the loss of, the loss of use of or damage to an automobile; or

(c) that falls within clause (a) or (b) of the definition of “accidentand sickness insurance”, if the accident is caused by an automobile orthe use or operation of an automobile, whether or not liability existswith respect to the accident, and the policy includes insurance againstliability arising out of bodily injury to or the death of a person causedby an automobile or the use or operation of an automobile;

“boiler and machinery insurance” means insurance:

(a) against liability arising out of bodily injury to or the death of aperson, or the loss of or damage to property, or against the loss of ordamage to property, in each case caused by the explosion or ruptureof or accident to pressure vessels of any kind or pipes, engines andmachinery connected to or operated by those pressure vessels; or

(b) against liability arising out of bodily injury to or the death of aperson, or the loss of or damage to property, or against the loss of ordamage to property, in each case caused by a breakdown of machinery;

“credit insurance” means insurance against loss to a person who has granted credit if the loss is the result of the insolvency or default of the person to whom the credit was given;

“credit protection insurance” means insurance under which an insurer undertakes to pay off credit balances or debts of an individual, in whole or in part, in the event of an impairment or potential impairment in the individual’s income or ability to earn an income;

“crop hail insurance” means insurance against loss of or damage to growing crops caused by hail;

“fidelity insurance” means insurance:

(a) against loss caused by the theft, the abuse of trust or the unfaithfulperformance of duties by a person in a position of trust; or

(b) under which an insurer undertakes to guarantee the properfulfilment of the duties of an office;

“foreign financial institution” means a foreign financial institution as defined in section 3-132 of the Act;

“legal expenses insurance” means insurance against the costs incurred by a person or persons for legal services specified in the policy, including any retainer and fees incurred for the services, and other costs incurred with respect to the provision of the services;

“liability insurance” means insurance, other than insurance that falls within another class of insurance:

(a) against liability arising out of bodily injury to or the disability ordeath of a person, including an employee;


(b) against liability arising out of the loss of or damage to property; or

(c) if the policy includes the insurance described in clause (a), againstexpenses arising out of bodily injury to a person other than the insuredor a member of the insured’s family, whether or not liability exists;

“life insurance” means:

(a) any insurance that is payable:

(i) on death;

(ii) on the happening of an event or contingency dependent onhuman life;

(iii) at a fixed or determinable future time; or

(iv) for a term dependent on human life; and

(b) without restricting the generality of clause (a), includes:

(i) insurance under which an insurer, as part of a contract oflife insurance, undertakes to pay an additional sum of insurancemoney in the event of the death by accident of the person whoselife is insured;

(ii) insurance under which an insurer, as part of a contract oflife insurance, undertakes to pay insurance money or to provideother benefits in the event that the person whose life is insuredbecomes disabled as a result of bodily injury or disease; and

(iii) an undertaking to provide an annuity, or what would bean annuity except that the periodic payments may be unequalin amount, for a term dependent solely or partly on the life of aperson;

“marine insurance” means insurance against any of the following occurring during a voyage or marine adventure at sea or on an inland waterway, or during a delay or a transit other than by water that is incidental to a voyage or marine adventure at sea or on an inland waterway:

(a) liability arising out of bodily injury to or the death of a person;

(b) liability arising out of the loss of or damage to property;

(c) the loss of or damage to property;

“other approved products insurance” means insurance against risks that do not fall within another class of insurance;

“property insurance” means insurance against the loss of or damage to property and includes insurance against loss caused by forgery;

“surety insurance” means insurance under which an insurer undertakes to guarantee the due performance of a contract or undertaking or the payment of a penalty or indemnity for any default;


“third party administrator” means a business that, for compensation, carries out activities to administer a contract of insurance on behalf of an insurer, other than solely clerical activities, but does not include a business that is licensed as an insurance agent or managing general agent;

“title insurance” means insurance against loss or damage caused by:

(a) the existence of a mortgage, charge, lien, encumbrance, servitudeor any other restriction on real property;

(b) the existence of a mortgage, charge, lien, pledge, encumbrance orany other restriction on personal property;

(c) a defect in any document that evidences the creation of anyrestriction mentioned in clause (a) or (b);

(d) a defect in the title to property; or

(e) any other matter affecting the title to property or affecting theright to the use and enjoyment of property.

(2) In the Act and these regulations, “growing crop” includes a crop that is:

(a) lying in windrows for the period specified in the policy of crop hailinsurance for that crop; and

(b) desiccated before harvesting for the period specified in the policy ofcrop hail insurance for that crop.

(3) For the purposes of clause (e) of the definition of “financial institution” insubsection 1-2(1) of the Act, the following entities are financial institutions:

(a) a cooperative credit society within the meaning of the CooperativeCredit Associations Act (Canada) that is incorporated, continued or regulatedby or pursuant to an Act or an Act of any province or territory of Canada;

(b) an association incorporated or continued pursuant to the CooperativeCredit Associations Act (Canada);

(c) an entity that is incorporated, continued or licensed pursuant to an Actof Parliament or of any province or territory and that is primarily engagedin dealing in securities, including portfolio management and investmentcounselling;

(d) a foreign financial institution.

(4) For the purposes of clause (h) of the definition of “senior official” insubsection 1-2(1) of the Act, in the case of an entity that is a provincial company,a senior official of the provincial company includes:

(a) each of the 5 highest paid employees of the provincial company;

(b) branch managers of the provincial company; and

(c) other persons who perform for the provincial company functions thatare normally performed by a branch manager.


(5) For the purposes of clause 1-2(2)(h) of the Act, a person is not an insuranceagent if the insurance agent action performed by that person is solely related toissuing a policy of insurance pursuant to The Automobile Accident Insurance Act.

(6) For the purposes of clause 1-2(4)(g) of the Act, the following are not adjusters:

(a) a third party administrator that holds a valid third party administrator’slicence and is adjusting a policy that the third party administrator otherwiseadministers;

(b) a duly qualified medical practitioner who provides information to aninsurer for the purposes of assisting a person with making a claim underan insurance policy or a contract of insurance;

(c) a licensed pharmacist as defined in The Pharmacy and PharmacyDisciplines Act who provides information to an insurer for the purposesof assisting a person with making a claim under an insurance policy or acontract of insurance.

DIVISION 2Application of Act

Non‑application to certain mutual benefit societies

1‑3(1) For the purposes of clause 1-13(2)(a) of the Act, the amount is $12.

(2) For the purposes of clause 1-13(2)(b) of the Act, the amount is $400.

Exemption re Canadian Blood Services

1‑4 The Act does not apply to:

(a) CBS Insurance Company Limited; or

(b) Canadian Blood Services Captive Insurance Company Limited.

Exemption re Saskatchewan Teachers’ Federation

1‑5(1) In this section:

“annual return” means the annual return required by subsection 2-33(2) of the Act;

“Federation” means the Saskatchewan Teachers’ Federation.

(2) Subject to subsection (3), section 2-31 and clause 2-33(3)(b) of the Act donot apply to the Federation.

(3) As a condition of being exempted from complying with section 2-31 andclause 2-33(3)(b) of the Act, the Federation shall:

(a) designate in its bylaws the period commencing on July 1 in one yearand ending on June 30 in the following year as its financial year; and

(b) file the annual return within 120 days after the end of the financialyear for which the return is prepared.


Exemption re BCAA Insurance Corporation

1‑6(1) In this section, “corporation” means the BCAA Insurance Corporation.

(2) Subject to subsection (3), section 2-31 of the Act does not apply to thecorporation.

(3) As a condition of being exempted from complying with section 2-31 of the Act,the corporation shall designate in its bylaws the period commencing on October 1in one year and ending on September 30 in the following year as its financial year.

Exemption re Saskatchewan Municipal Hail Insurance Association

1‑7 The Act does not apply to the Saskatchewan Municipal Hail Insurance Association.

DIVISION 3General

Fees

1‑8 The fees payable pursuant to the Act and these regulations are set out in Table 1 of the Appendix.

PART 2Licensing of Insurers

DIVISION 1Licensing of Insurers

Base capital

2‑1 For the purposes of clause 2-12(a) of the Act, the prescribed amount of base capital is:

(a) for life companies, $5,000,000; and

(b) for property and casualty companies, $3,000,000.

Term of licence

2‑2 For the purposes of subsection 2-16(2) of the Act, an insurer’s licence continues in force indefinitely unless it is suspended or cancelled in accordance with the Act.

Payment of annual fee

2‑3 For the purposes of subsection 2-18(2) of the Act, a licensed insurer shall submit the annual fee on or before April 1 of each year.

Classes of insurance

2‑4 For the purposes of subsection 2-24(2) of the Act, a licence may authorize an insurer to transact any one or more of the following classes of insurance:

(a) accident and sickness insurance;

(b) aircraft insurance;

(c) automobile insurance;

(d) boiler and machinery insurance;

(e) credit insurance;


(f) credit protection insurance;

(g) crop hail insurance;

(h) fidelity insurance;

(i) legal expenses insurance;

(j) liability insurance;

(k) life insurance;

(l) marine insurance;

(m) mortgage insurance as defined in section 5-69 of the Act;

(n) other approved products insurance;

(o) property insurance;

(p) surety insurance;

(q) title insurance.

Composite companies

2‑5 For the purposes of subclause 2-26(b)(ii) of the Act, the following classes of insurance are prescribed:

(a) travel insurance as defined in section 5-69 of the Act;

(b) credit insurance;

(c) credit protection insurance.

Annual return of licensed provincial company

2‑6(1) For the purposes of clause 2-33(4)(d) of the Act, the annual return must be approved and signed by resolution of the directors or in any other manner that may be set out in the bylaws of the provincial company.

(2) For the purposes of subsection 2-33(5) of the Act, the assets of a provincialcompany, including investments, must be valued in accordance with generallyaccepted accounting principles, published by Chartered Professional Accountantsof Canada, as amended from time to time.

(3) For the purposes of clause 2-33(6)(a) of the Act, the annual return must beaccompanied by the following:

(a) financial statements for the financial year for which the return isprepared;

(b) an auditor’s report that:

(i) is prepared in accordance with the Act and these regulations; and

(ii) is satisfactory to the Superintendent;

(c) if required by the Superintendent, an actuary’s report that:

(i) is prepared in accordance with the Act and these regulations; and

(ii) is satisfactory to the Superintendent.


Records

2‑7 For the purposes of subsection 2-39(2) of the Act, the records must be kept:

(a) in the case of records related to a contract of insurance, for 6 yearsfrom the date on which the contract of insurance expired, was terminatedor was completed; and

(b) in the case of all other records, for 6 years from the date on which therecord was created.

Notice of change

2‑8(1) For the purposes of section 2-42 of the Act, an applicant for a licence or a licensed insurer shall notify the Superintendent of the following changes in circumstances within 7 days after the change:

(a) a change to the address, phone number or email address of the applicantor licensed insurer:

(i) that was provided to the Superintendent in the licence applicationsubmitted by the applicant or licensed insurer; or

(ii) that was provided to the Superintendent by the applicant orlicensed insurer pursuant to this clause;

(b) a change to the name of the applicant or licensed insurer;

(c) any of the following actions respecting, or changes to, the authority ofthe applicant or licensed insurer to engage in the transacting of insurancein another jurisdiction:

(i) a suspension;

(ii) a cancellation;

(iii) an imposition of terms and conditions or other restrictions;

(iv) a surrendering;

(d) if the applicant or licensed insurer is found liable by a court ofcompetent jurisdiction in a civil action of fraud, breach of trust, deceit ormisrepresentation;

(e) if the applicant or licensed insurer is found guilty of:

(i) an offence contrary to the Criminal Code; or

(ii) any other offence against any law of any country, province orstate, excluding traffic offences;

(f) a change to the external auditor or chief actuary of the applicant orlicensed insurer.


(2) In addition to the requirements in subsection (1), an applicant for a licenceas a provincial company or a licensed provincial company shall notify theSuperintendent of the following changes in circumstances within 7 days afterthe change:

(a) a change to the list of officers and directors of the applicant or licensedprovincial company:

(i) that was provided to the Superintendent in the licence applicationsubmitted by the applicant or licensed provincial company; or

(ii) that was provided to the Superintendent by the applicant orlicensed provincial company pursuant to this clause;

(b) the applicant or licensed provincial company is charged with:

(i) an offence contrary to the Criminal Code; or

(ii) any other offence against any law of any country, province orstate, excluding traffic offences;

(c) a civil action or administrative proceeding is brought against theapplicant or licensed provincial company alleging fraud, breach of trust,deceit or misrepresentation by the applicant or licensed provincial company;

(d) a change to the insurance products provided by the applicant or licensedprovincial company;

(e) a change to the business plan or strategic plan of the applicant orprovincial licensed company;

(f) a change to the auditor or actuary of the applicant or licensed provincialcompany.

Capital and liquidity – extraprovincial company

2‑9 For the purposes of subsection 2-44(1) of the Act:

(a) an extraprovincial property and casualty company maintains adequatecapital if the amount of capital available to it on an ongoing basis isequal to or exceeds the minimum amount of capital calculated using theMinimum Capital Test in the form designated “P & C”, as provided by theSuperintendent; and

(b) an extraprovincial life company maintains adequate capital if theamount of capital available to it on an ongoing basis is equal to or exceedsthe minimum amount of capital calculated using the Life Insurance CapitalAdequacy Test in the form provided by the Superintendent.


DIVISION 2Licensing of Reciprocal Insurance Exchanges

Classes of insurance

2‑10 For the purposes of section 2-49 of the Act, a reciprocal insurance exchange may be licensed to undertake the following classes of insurance:

(a) aircraft insurance;

(b) automobile insurance;

(c) boiler and machinery insurance;

(d) credit insurance;

(e) credit protection insurance;

(f) crop hail insurance;

(g) fidelity insurance;

(h) legal expenses insurance;

(i) liability insurance;

(j) marine insurance;

(k) mortgage insurance as defined in section 5-69 of the Act;

(l) property insurance;

(m) title insurance.

Automobile insurance

2‑11(1) For the purposes of clause 2-51(a) of the Act, the prescribed number of automobiles is 500.

(2) For the purposes of clause 2-51(b) of the Act, the prescribed limit is $1,000,000.

Property insurance

2‑12(1) For the purposes of clause 2-52(a) of the Act, the prescribed number of separate risks in Saskatchewan or elsewhere is 75.

(2) For the purposes of clause 2-52(b) of the Act, the prescribed amountis $1,500,000.

Reserve fund

2‑13 For the purposes of section 2-61 of the Act, every reciprocal insurance exchange shall maintain, with its attorney, a reserve fund in cash or approved securities in the amount A calculated in accordance with the following formula:

A = [0.5 × (B – C)] + [(D – E) – (F – G)]

where:

B is the amount of premiums collected or credited to the accounts of subscribers on reciprocal contracts that are in force but have 1 year or less until expiration;

C is the amount paid to licensed insurers to reinsure the reciprocal contracts mentioned in variable B;


D is the amount of premiums collected or credited to the accounts of subscribers on reciprocal contracts that are in force but have more than 1 year until expiration;

E is the amount of premiums mentioned in variable D that are attributable to the expired portions of the reciprocal contracts mentioned in variable D;

F is the amount paid to licensed insurers to reinsure the reciprocal contracts mentioned in variable D; and

G is the amount paid to licensed insurers mentioned in variable F that is attributable to the expired portions of the reciprocal contracts mentioned in variable D.

Guarantee fund

2‑14(1) In this section, “unearned premiums” means the portion of premiums collected or credited to the accounts of subscribers on reciprocal contracts that is attributable to the unexpired portion of those reciprocal contracts.

(2) For the purposes of section 2-63 of the Act, every reciprocal insuranceexchange shall maintain a guarantee fund in cash or approved securities in theamount A calculated in accordance with the following formula:

A = B – C + D

where:

B is the amount of all liabilities, other than unearned premiums, associated with the operation of the reciprocal insurance exchange, including liabilities under reciprocal contracts undertaken by the reciprocal insurance exchange;

C is the amount that is recoverable from licensed insurers that have reinsured the reciprocal contracts mentioned in variable B; and

D is $50,000.

PART 3Provincial Companies

DIVISION 1Business Dealings

Security interests

3‑1 For the purposes of clause 3-3(2)(c) of the Act, the prescribed amount is the amount that is equal to 2% of the total assets of the provincial company.

DIVISION 2Liquidation

Proposal made by shareholder

3‑2 Sections 131 and 204 of The Business Corporations Act apply, with any necessary modification, to the voluntary liquidation and dissolution of a provincial company that is initiated by way of a proposal made by a shareholder who is entitled to vote at an annual meeting of shareholders pursuant to clause 3-72(1) (b) of the Act.


DIVISION 3Head Office, Records, Financial Statements and Directors

Records

3‑3(1) Every provincial company shall keep a copy of its annual return filed pursuant to section 2-33 of the Act at its head office.

(2) Every reciprocal insurance exchange shall keep a copy of the followingrecords at its head office:

(a) the name of its principal attorney;

(b) the reserve fund and guarantee fund calculations made pursuant tosections 2-13 and 2-14, respectively.

(3) For the purposes of subsection 3-96(3) of the Act:

(a) subject to clause (b), the records mentioned in clauses 3-96(1)(a) and (b)of the Act and subsection (1) and clause (2)(b) of this section must be keptfor at least 6 years from the date on which the record was created;

(b) the records mentioned in clause 3-96(1)(b) of the Act related to acontract of insurance must be kept for at least 6 years from the date onwhich a contract of insurance expired, was terminated or was completed; and

(c) the records mentioned in clauses 3-96(1)(c) to (p) of the Act andclause (2)(a) of this section must be kept on a permanent basis.

Information to be given to Superintendent

3‑4 For the purposes of clauses 3-99(1)(c) and (d) and section 10-16 of the Act, the following actions or proceedings are prescribed:

(a) any criminal action or proceeding brought against the provincialcompany;

(b) any action or proceeding brought against the provincial company bya regulatory body;

(c) any class action or proceeding brought against the provincial company;

(d) any civil action or proceeding brought against the provincial company.

DIVISION 4Adequacy of Capital and Liquidity

Capital and liquidity

3‑5 For the purposes of subsection 3-124(1) of the Act:

(a) a provincial property and casualty company maintains adequatecapital if the amount of capital available to it on an ongoing basis isequal to or exceeds the minimum amount of capital calculated using theMinimum Capital Test in the form designated “P & C”, as provided by theSuperintendent; and

(b) a provincial life company maintains adequate capital if the amountof capital available to it on an ongoing basis is equal to or exceeds theminimum amount of capital calculated using the Life Insurance CapitalAdequacy Test in the form provided by the Superintendent.


DIVISION 5Investments

Commercial loan amount

3‑6(1) For the purposes of subclause (a)(i) of the definition of “commercial loan” in section 3-126 of the Act, the prescribed amount is $250,000.

(2) For the purposes of subclauses (a)(ii) and (b)(ii) of the definition of“commercial loan” in section 3-126 of the Act, the following international agenciesare prescribed:

(a) Asian Development Bank;

(b) Inter-American Bank;

(c) International Bank for Reconstruction and Development;

(d) International Finance Corporation;

(e) European Bank for Reconstruction and Development.

Prohibited investments

3‑7(1) For the purposes of section 3-129 of the Act, a person is connected to another person if:

(a) one of them is an affiliate of the other; or

(b) with respect to a loan by a third party to both of those persons or aninvestment by a third party in both of those persons, those persons are notto a material extent financially independent of each other and:

(i) the loans or investments are for the same purpose;

(ii) the expected source of repayment on the loans or investments isthe same; or

(iii) the security for the loans or investments is the same.

(2) Subject to subsection (3), the prescribed percentage of the company’s assetsfor the purposes of clause 3-129(1)(b) of the Act is 5%.

(3) For commercial loans, the prescribed percentage of the company’s assetsfor the purposes of clause 3-129(1)(b) of the Act is 2%.

(4) For the purposes of clause 3-129(2)(e) of the Act, a provincial company mayacquire or make investments in the following:

(a) any deposit with or any debt obligation or acceptance of a deposit-takinginstitution if the deposit, debt obligation or acceptance has a residualmaturity of less than 1 year;

(b) any deposit with a deposit-taking institution that controls theprovincial company;

(c) any foreign exchange, interest rate, equity or commodity contract witha deposit-taking institution if the contract has a residual maturity of lessthan 1 year;


(d) any foreign exchange, interest rate, equity or commodity contract, inthe normal course of business, with a financial institution that controls theprovincial company or is affiliated with the provincial company;

(e) any direct obligation of and that portion of any obligation fully andunconditionally guaranteed by any of the following:

(i) a municipality or an agency of a municipality;

(ii) a government that is a member of the Organization of EconomicCooperation and Development or an agency of that government.

Leasing and related agreements


“agreement” means:

(a) a security agreement as defined in The Personal Property SecurityAct, 1993; or

(b) a financial lease agreement, being an agreement for a lease ofpersonal property in which credit is extended by the lessor to the lesseefor the purpose of enabling the lessee to meet the lessee’s obligationsunder the lease;

“property” means the personal property to which an agreement relates.

(2) No provincial company shall beneficially own shares in a financial leasingcorporation described in clause 3-9(2)(b) unless:

(a) the aggregate of:

(i) the book value of all of the property that is subject to agreementsheld by the financial leasing corporation; and

(ii) all amounts owing as receivables with respect to those agreements;

is equal to at least 80% of the assets of the financial leasing corporation; and

(b) the financial leasing corporation meets the requirements of theagreements.

(3) A provincial company may enter into or acquire an agreement only if thefollowing requirements are met:

(a) the company must not direct its customers or potential customers toparticular dealers in the property;

(b) at no time may the aggregate of the estimated residual values of allthe property of the company, excluding motor vehicles, leased under thefinancial lease agreements exceed 10% of the aggregate of the costs ofacquisition of that leased property to the company;

(c) the estimated residual value of property leased under a financial leaseagreement must not exceed:

(i) in the case of motor vehicles, 50% of their cost of acquisition; or

(ii) in the case of any other property, 20% of its cost of acquisition tothe company;


(d) the agreement must be entered into or acquired for the purpose ofextending credit to the lessee or purchaser;

(e) the property that is the subject of the agreement must be selected bythe lessee or buyer and:

(i) must be acquired by the company at the request of the lessee orbuyer; or

(ii) must have been acquired by the company through the operationof an earlier agreement;

(f) the agreement must yield a return that:

(i) will compensate the company for not less than its full investmentin the property;

(ii) is reasonable, taking into account:

(A) the term of the agreement and the other terms and conditionsof it;

(B) the technological obsolescence of the property; and

(C) the rate of return sought by other lessors with respect tosimilar agreements with respect to similar property and underthe same terms and conditions; and

(iii) is calculated by taking into account:

(A) rental charges paid by the lessee or purchaser;

(B) estimated tax benefits of the agreement to the company,including tax credits and capital cost allowance claims; and

(C) the amount of:

(I) if the lessee or purchaser or a third party who is dealingat arm’s length with the company has, on or before thecommencement of the agreement, contracted to purchasethe property or unconditionally guaranteed the resale valueof the property at the date of expiry of the agreement, thepurchase price or the resale value so guaranteed; or

(II) in any other case, but subject to clause (c), the estimatedresidual value of the property;

(g) the agreement must contain a provision:

(i) assigning and conveying to the lessee or purchaser the benefit of allwarranties, guarantees or other undertakings made by a manufactureror supplier relating to the property; or

(ii) setting out the responsibilities of the company with respectto the warranties, guarantees or other undertakings mentioned insubclause (i);


(h) the agreement must substantially transfer to the lessee or purchaserthe benefits and risks incidental to the operation of the property and mustnot place responsibility on the part of the company to install, promote,service, clean, maintain or repair the property;

(i) if the lessee or purchaser defaults in the manner set out in theagreement and the default is not waived or the agreement, including anyrenewals or extensions of it, expires, the company must:

(i) liquidate its interest in the property; or

(ii) enter into a new agreement with respect to that property within2 years after that default or expiry or, if proceedings with respect tothat property have prevented the company from complying with thatrequirement within that period, within 2 years after the completionof those proceedings.

(4) An agreement may be renewed on its expiry and may be extended duringits term.

Limitation on shareholding

3‑9(1) In this section and in sections 3-10 and 3-12:

“real property corporation” means a body corporate that is primarily engaged in holding, managing or otherwise dealing with:

(a) real property; or

(b) shares of a body corporate or ownership interests in anunincorporated entity that is primarily engaged in holding, managingor otherwise dealing with real property, including another real propertycorporation or a real property holding vehicle;

“real property holding vehicle” means a limited partnership or a trust that is primarily engaged in holding, managing or otherwise dealing with:

(a) real property; or

(b) shares of a body corporate or ownership interests in anunincorporated entity that is primarily engaged in holding, managingor otherwise dealing with real property, including a real propertycorporation or another real property holding vehicle.

(2) For the purposes of clause 3-132(4)(e) of the Act, a provincial company may,with the approval of the Superintendent, have a substantial investment in thefollowing bodies corporate:

(a) a factoring corporation, being a body corporate whose activities arelimited to acting as a factor in relation to accounts receivable, includingthe lending of money and the raising of money for the purpose of financingthose activities;

(b) a financial leasing corporation, being a body corporate that enters intoor acquires agreements as defined in subsection 3-8(1);


(c) an information management corporation, being a body corporate thatcarries on the business of:

(i) the collection, manipulation and transmission of information thatis primarily financial or economic in nature; or

(ii) the sale of related software;

(d) an investment counselling corporation, being a body corporate that isregistered as an investment counsel pursuant to The Securities Act, 1988 orin a similar capacity under comparable legislation in another jurisdictionin Canada;

(e) a mutual fund corporation, being a body corporate whose activitiesare limited to the investing of the funds of the body corporate or a bodycorporate that is an issuer of securities that entitle the holder to receive, ondemand or within a specified period after demand, an amount computed byreference to the value of a proportionate interest in the whole or in a partof the net assets, including a separate fund or trust account, of the issuerof those securities;

(f) a mutual fund distribution corporation, being a body corporate that isregistered as a mutual fund dealer pursuant to The Securities Act, 1988 orin a similar capacity under comparable legislation in another jurisdictionin Canada;

(g) a portfolio management corporation, being a body corporate that isregistered as a portfolio manager pursuant to The Securities Act, 1988 orin a similar capacity under comparable legislation in another jurisdictionin Canada;

(h) a real property brokerage corporation, being a body corporate whoseactivities are limited to acting as an agent for vendors or purchasers ofreal estate;

(i) a real property corporation;

(j) a real property holding vehicle;

(k) a securities dealer;

(l) an insurance agency corporation, being a body corporate that sellsinsurance;

(m) a service corporation, being a body corporate whose activities arelimited to the provision of management services to:

(i) a provincial company;

(ii) a financial institution that is affiliated with a provincial company;or

(iii) a body corporate in which a provincial company or financialinstitution that is affiliated with a provincial company holds orbeneficially owns, separately or in the aggregate, more than 50% ofthe issued and outstanding voting shares;

(n) a specialized financing corporation, being a body corporate that isprimarily engaged in providing specialized business management in makinginvestments or providing financing or advisory services.


DIVISION 6Portfolio Limits

Exclusion from portfolio limits

3‑10(1) For the purposes of sections 3-139 and 3-141 of the Act and this section, “interest in real property” means:

(a) an interest in real property that, under the generally acceptedaccounting principles published by Chartered Professional Accountants ofCanada, as amended from time to time, would be shown as real propertyowned by the provincial company in its financial statements;

(b) an ownership interest, including shares, in a real property corporationor a real property holding vehicle that is not a joint venture and in whichthe provincial company or a subsidiary of the company that is not a financialinstitution has a substantial interest;

(c) a debt obligation:

(i) issued by a real property corporation or a real property holdingvehicle that is not a joint venture and in which the provincial companyor a subsidiary of the company that is not a financial institution hasa substantial interest; and

(ii) beneficially owned by the company or a subsidiary of the companythat is not a financial institution;

(d) a loan to a real property corporation or a real property holdingvehicle that is not a joint venture and in which the provincial companyor a subsidiary of the company that is not a financial institution has asubstantial interest, if the loan is made by the company or a subsidiary ofthe company that is not a financial institution;

(e) a loan to:

(i) a real property corporation or a real property holding vehicle inwhich a financial institution controlled by the provincial company has asubstantial interest, if the loan is made by the company or a subsidiaryof the company that is not a financial institution; and

(ii) a real property corporation or a real property holding vehiclethat is controlled by a real property corporation or a real propertyholding vehicle described in subclause (i) if the loan is made by theprovincial company or a subsidiary of the company that is not afinancial institution;

(f) a debt obligation issued by a real property corporation or a real propertyholding vehicle described in clause (e) and beneficially owned by theprovincial company or a subsidiary of the company that is not a financialinstitution;


(g) a debt obligation:

(i) issued by a real property corporation or a real property holdingvehicle that is not a joint venture and in which the provincial companyor a subsidiary of the company that is not a financial institution hasa substantial interest; and

(ii) beneficially owned by a third party and guaranteed by the companyor a subsidiary of the company that is not a financial institution; or

(h) a loan made by a third party to a real property corporation or a realproperty holding vehicle and guaranteed by the provincial company or asubsidiary of the company that is not a financial institution;

but does not include an interest in real property owned by a financial institution or by an entity controlled by the financial institution, if the financial institution is controlled by the provincial company.

(2) Subsection 3-136(1) of the Act does not apply to interests in real propertymentioned in subsection (1) that are acquired by a provincial company or any ofits subsidiaries as a result of a realization of a security interest.

Exclusion from portfolio limits – financial institutions

3‑11 Sections 3-138 to 3-141 of the Act do not apply to:

(a) a subsidiary that is a financial institution; or

(b) a subsidiary of a financial institution.

Additional interest in real property


“designated entity” means an entity other than:

(a) a joint venture;

(b) a financial institution; or

(c) an entity that is controlled by a financial institution;

“related real property entity”, with respect to a provincial company, means:

(a) a real property corporation or a real property holding vehicle,other than a designated entity controlled by the company, in which thecompany or a designated entity controlled by the company beneficiallyowns sufficient shares or ownership interests to cause the company ordesignated entity to have a substantial interest in the real propertycorporation or real property holding vehicle; or

(b) a real property corporation or a real property holding vehicle thatis controlled by a real property corporation or a real property holdingvehicle described in clause (a).


(2) For the purposes of sections 3-139 and 3-141 of the Act, if a provincialcompany or a designated entity controlled by a provincial company makes aloan to, or beneficially owns or guarantees the debt obligation of, a third party,the loan or debt obligation is an interest of the company in real property if it issecured by:

(a) real property beneficially owned by a third party in conjunction with:

(i) the company;

(ii) the designated entity;

(iii) a related real property entity of the company;

(iv) a financial institution controlled by the company;

(v) an entity controlled by a financial institution mentioned insubclause (iv); or

(vi) a real property corporation described in clause 3-10(1)(e); or

(b) shares or ownership interests beneficially owned by a third party in:

(i) an entity that beneficially owns real property in conjunctionwith the company, a related real property entity of the company or adesignated entity that is controlled by the company; or

(ii) a related real property entity of the company.

Limits on equity acquisitions

3‑13 For the purposes of subsection 3-140(2) of the Act, the prescribed percentage of the total assets of the company and its subsidiaries is 25%.

DIVISION 7Transactions with Related Parties

Definitions for Division

3‑14 In this Division, “Table 2” means Table 2 of the Appendix.

Meaning of “related party”

3‑15 Notwithstanding subsection 3-145(2) of the Act, a financial institution that wholly owns a provincial company and a subsidiary of a provincial company that is wholly owned by the company are related parties of that provincial company for the purposes of:

(a) a transfer of real estate or securities between the provincial companyand a related party of the company; or

(b) a transaction, guarantee or investment that involves the provincialcompany and a related party of the company that is not at fair market rate.

Permitted transactions

3‑16(1) A provincial company or a subsidiary of a provincial company may enter into a transaction mentioned in subclause 3-150(1)(c)(i) of the Act if the purpose of the transaction is:

(a) to support the short-term liquidity needs of the provincial company orsubsidiary or the related party; or

(b) to enable the clearance of cheques.


(2) A provincial company or a subsidiary of a provincial company may enter into a transaction mentioned in subclause 3-150(1)(c)(ii) of the Act if the transaction consists of the acquisition of securities in which the provincial company or subsidiary is permitted to invest pursuant to Divisions 11 and 12 of Part III of the Act, other than securities issued by a related party.

Prescribed securities

3‑17 For the purposes of clause 3-151(1)(e) of the Act, a provincial company or its subsidiary may:

(a) sell to or redeem from a related party other than a subsidiary the provincial company’s or subsidiary’s own subordinated notes, debentures or shares; and

(b) sell to or acquire from a related party the following securities:

(i) securities that are issued or guaranteed by the Government of Canada or the government of a province or by any of their agencies, or issued by a university, a municipality or a hospital or school board in Canada;

(ii) debt securities including banker’s acceptances, other than subordinated debt securities, that are issued or guaranteed by a financial institution;

(iii) bonds, debentures or commercial paper issued by a body corporate incorporated in Canada that have, at the date of acquisition or sale, a rating in accordance with Table 2.

Prescribed conditions

3‑18 A loan may be made or a guarantee may be given pursuant to clause 3-151(1) (g) of the Act only if the loan or guarantee is fully secured by one or more of the following:

(a) real estate valued at fair market rate at the time of the loan or guarantee, or securities that have a rating in accordance with Table 2 at the time of the loan or guarantee;

(b) securities that are issued or fully guaranteed by the Government of Canada or of a province or by a municipality;

(c) securities evidencing deposits with a deposit-taking institution other than one that is a related party;

(d) bonds, debentures or commercial paper issued by a body corporate incorporated in Canada, other than a financial institution that is a related party, that have, at the date of acquisition, a rating in accordance with Table 2.

Prescribed qualifications and purposes

3‑19 A loan may be made pursuant to clause 3-151(1)(j) of the Act only if the loan:

(a) is fully secured by securities of the following type:

(i) securities that are issued or fully guaranteed by the Government of Canada or of a province or by a municipality;

(ii) securities evidencing deposits with a deposit-taking institution other than one that is a related party;


(iii) bonds, debentures or commercial paper issued by a bodycorporate incorporated in Canada, other than a financial institutionthat is a related party, that have, at the date of acquisition, a ratingin accordance with Table 2; and

(b) is made for the purpose of supporting the short-term liquidity needsof the provincial company or its subsidiary.

Permitted transactions


“financial future” means a contract to buy or sell a standard quantity of a specified financial instrument on or before a specified future date at an agreed price;

“forward contract” means a contract to buy or sell currency or a specified financial instrument on or before a specified future date at an agreed price;

“option” means a contract under which a person acquires the right to buy or sell a particular security at a specified future date at an agreed price;

“swap” means an agreement between 2 parties whereby one party offers to pay specified obligations of another party and in exchange the other party agrees to pay specified obligations of the first party.

(2) The following transactions are prescribed for the purposes ofclause 3-151(1) (m) of the Act:

(a) a swap or a similar agreement;

(b) an agreement for the purchase or sale of financial futures, optionsor forward contracts with a securities dealer that is a related party if thesecurities dealer is acting as agent, not as principal, and the transactionis at fair market rate;

(c) a transaction with a securities dealer that is a related party involvingthe underwriting of the provincial company’s securities or the provisionof other services associated with a primary distribution of the company’ssecurities.

(3) If a provincial company enters into a swap with another party, referred to asthe counter-party, the counter-party must be an issuer of and have issued debtsecurities that are outstanding and have a rating in accordance with Table 2.

Limits on permitted transactions

3‑21 For the purposes of section 3-155 of the Act, the limits are the following:

(a) the aggregate of all of the following must not exceed 10% of theprovincial company’s total assets:

(i) the outstanding principal and interest owing on all loans by aprovincial company to related parties of the company;

(ii) the book value of all current investments by a provincial companyin the securities of related parties of the company;

(iii) the contracted amount of all outstanding guarantees made orentered into by a provincial company on behalf of related parties ofthe company;


(b) no provincial company shall allow the aggregate amount of its liabilitywith respect to deposits received by it from financial institutions that arerelated parties of the company to exceed 2% of the company’s total assets.

PART 4Fraternal Societies

Amount payable on death

4‑1 For the purposes of clause 4-3(1)(c) of the Act, no fraternal society is to be licensed if the sum or sums payable on the death of any one member, other than a funeral benefit, exceed:

(a) in the case of a provincial or extraprovincial fraternal insurancecompany authorized to offer life insurance, $10,000; and

(b) in the case of a federally licensed fraternal insurance companyauthorized to offer life insurance, the amount calculated in accordance withthe Insurance Companies Act (Canada).

PART 5Insurance Intermediaries and Insurance Councils

DIVISION 1Insurance Intermediaries and Adjusters

Insurance agent’s licence required

5‑1 For the purposes of clause 5-4(2)(d) of the Act, no individual shall act or offer to act as an insurance agent with respect to a class of insurance unless the individual is an employee or independent contractor or partner of a partnership of a third party administrator and the individual holds a valid insurance agent’s licence for that class of insurance.

Exemption – insurer’s representatives, managing general agents and third party administrators

5‑2(1) Section 5-5 of the Act does not apply to an employee of an insurer when the employee is acting for or on behalf of his or her employer and is engaged solely in the performance of clerical or administrative duties for his or her employer.

(2) Sections 5-6 and 5-8 of the Act do not apply to an insurer that is licensedin Saskatchewan pursuant to Part II of the Act.

Interpretation – agreements

5‑3(1) For the purposes of clause 5-11(f) of the Act, “managing general agent agreement” means an agency contract and includes an agency contract in draft form.

(2) For the purposes of clause 5-11(g) of the Act, “third party administratoragreement” means an agency contract and includes an agency contract in draftform.


Contents of licence

5‑4 For the purposes of clause 5-16(1)(f) of the Act, if a licensee is an insurer’s representative, the licence must state the name of the insurer that the individual is authorized to represent.

Recommendations – life insurance

5‑5(1) If an applicant or a holder of an insurance agent’s licence for life insurance is recommended by a managing general agent pursuant to clause 5-18(1)(b) of the Act, the designated representative of the managing general agent shall certify that the applicant or holder is:

(a) of good character;

(b) qualified to act as an insurance agent; and

(c) knowledgeable about the class of insurance for which the designated representative is recommending that the applicant or insurance agent be licensed.

(2) For the purposes of subsection 5-18(3) of the Act, “designated representative of the licensed life company” means a person authorized to recommend applicants or insurance agents for the purposes of Part V of the Act.

Designated representative required

5‑6(1) For the purposes of subsection 5-20(1) of the Act, “life insurance” includes accident and sickness insurance.

(2) For the purposes of clause 5-20(2)(b) of the Act, the designated representative must:

(a) be an individual;

(b) in the case of a designated representative of a business licensed as an insurance agent, managing general agent or third party administrator for property and casualty insurance, meet the education and experience requirements to manage a business licensed as a general agent as set out in the bylaws of the General Insurance Council of Saskatchewan;

(c) in the case of a designated representative of a business licensed as an insurance agent, managing general agent or third party administrator for life insurance or accident and sickness insurance, meet the education and experience requirements to be licensed as a life agent that is able to supervise other life agents as set out in the bylaws of the Life Insurance Council of Saskatchewan; and

(d) in the case of a designated representative of a business licensed as a managing general agent or third party administrator for a required class of insurance, be recommended by an insurer with whom the managing general agent or third party administrator has entered into an agreement mentioned in clause 5-11(f) or (g) of the Act, as the case may be.

(3) Clause 5-20(2)(c) of the Act does not apply to a business that is licensed as a managing general agent or a third party administrator.


(4) For the purposes of clause 5-20(2)(d) of the Act, the designated representativeshall do all of the following:

(a) assume responsibility for the management and supervision of thebusiness;

(b) establish appropriate standards relating to the supervision of otherlicensees employed by the business or engaged as independent contractorsof the business, taking into account:

(i) the levels of qualification, education and experience of thelicensees;

(ii) the nature of the insurance business being conducted; and

(iii) the requirements of the Act and these regulations;

(c) establish appropriate standards relating to the delegation of his orher duties.

Delegation

5‑7 For the purposes of subsections 5-20(3) and 5-43(3) of the Act, a designated representative may delegate his or her duties to make or cancel recommendations if the delegation and any recommendations or cancellations made pursuant to the delegation are conducted in accordance with the standards established pursuant to clauses 5-6(4)(c) and 5-17(2)(c) of these regulations.

Temporary designated representative

5‑8(1) For the purposes of subsection 5-21(13) of the Act, the Superintendent may approve any person as a temporary designated representative of a business if:

(a) the designated representative of the business has cancelled one ormore recommendations for the licensees of the business;

(b) the designated representative of the business has resigned; and

(c) in the opinion of the Superintendent, it is in the public interest.

(2) An approval of a temporary designated representative made pursuant tosubsection (1) expires on the earlier of:

(a) the day on which the business submits to the Superintendent awritten designation of an individual who meets the requirements ofsubsection 5-20(2) or 5-43(1) of the Act, as the case may be, to be thedesignated representative of the business; and

(b) the day that is 14 days after the day on which the temporary designatedrepresentative was approved.

Changes in designated representative

5‑9 A designated representative that is designated in writing by a business or approved as a temporary designated representative pursuant to subsection 5-8(1) shall assume all of the responsibilities and carry out all of the duties of any former designated representative of the business, including the power to cancel recommendations pursuant to section 5-23 of the Act.


Financial security – insurance intermediaries and adjusters

5‑10(1) For the purposes of subsections 5-26(1) and 5-47(1) of the Act:

(a) every business that applies for or holds an insurance agent’s licencefor life, accident and sickness, or life and accident and sickness insuranceshall maintain and provide annually proof of a valid policy of errors andomissions insurance that:

(i) provides a minimum of:

(A) $1,000,000 coverage with respect to any one occurrenceand a minimum aggregate limit of $1,000,000 with respect to alloccurrences within a year; and

(B) $1,000,000 extended coverage for loss resulting fromfraudulent or dishonest acts;

(ii) covers the insurance activities of the licensee; and

(iii) is underwritten by an insurance company licensed to do businessin Canada;

(b) every business that applies for or holds an insurance agent’s licencefor one or more classes of property and casualty insurance other than crophail insurance shall maintain and provide annually:

(i) proof of a valid policy of errors and omissions insurance that:

(A) provides a minimum of $1,000,000 coverage with respect toany one occurrence and a minimum aggregate limit of $2,000,000with respect to all occurrences within a year;

(B) covers the insurance activities of the licensee; and

(C) is underwritten by an insurance company licensed to dobusiness in Canada; and

(ii) a bond in the amount of $20,000;

(c) every business that applies for or holds an insurance agent’s ormanaging general agent’s licence for crop hail insurance shall maintain andprovide annually proof of a valid policy of errors and omissions insurancethat:

(i) provides a minimum of $250,000 coverage with respect to any oneoccurrence and a minimum aggregate limit of $500,000 with respectto all occurrences within a year;




(d) every business that applies for or holds a third party administrator’slicence or a managing general agent’s licence, other than a managing generalagent’s licence for crop hail insurance, shall maintain and provide annuallyproof of a valid policy of errors and omissions insurance that:

(i) provides a minimum of $1,000,000 coverage with respect to anyone occurrence and a minimum aggregate limit of $2,000,000 withrespect to all occurrences within a year;



(e) every business that applies for or holds an adjuster’s licence for oneor more classes of property and casualty insurance other than crop hailinsurance shall maintain and provide annually proof of a valid policy oferrors and omissions insurance that:

(i) provides a minimum of $1,000,000 coverage with respect to anyone occurrence and a minimum aggregate limit of $2,000,000 withrespect to all occurrences within a year;


(iii) is underwritten by an insurance company licensed to do businessin Canada.

(2) Notwithstanding that the Crown in right of Saskatchewan has not sufferedany loss or damage:

(a) every bond filed with the Superintendent pursuant to the Act must beconstrued as being a penal bond; and

(b) if any bond is forfeited pursuant to this section, the amount due andowing as a debt to the Crown in right of Saskatchewan by the person boundby the bond must be determined as if the Crown had suffered a loss ordamage that would entitle the Crown to be indemnified to the maximumamount of liability set out in the bond.

(3) For the purposes of subsections 5-26(3) and 5-47(3) of the Act, every bondfiled as financial security with the Superintendent pursuant to the Act is forfeitedon the demand of the Superintendent if:

(a) all or any of the following occurs:

(i) the licensee with respect to whose conduct the bond is conditionedor any representative or agent of that licensee has been convicted of:

(A) a contravention of the Act or these regulations;

(B) an offence involving fraud or theft or conspiracy to commitan offence involving fraud or theft pursuant to the Criminal Code;

(ii) a judgment with respect to a claim arising out of the transactingof insurance has been given against the licensee with respect to whoseconduct the bond is conditioned or against any representative or agentof that licensee;


(iii) the licensee with respect to whose conduct the bond is conditioned commits an act of bankruptcy, whether or not proceedings have been taken pursuant to the Bankruptcy and Insolvency Act (Canada);

(iv) a decision has been rendered by the Superintendent in writing stating in effect that, after consideration and investigation of a complaint, the Superintendent is satisfied that the licensee respecting whose conduct the bond is conditioned or any agent or representative of that licensee:

(A) has contravened a provision of the Act or these regulations; or

(B) has breached a contract with an insurer or an insured; and

(b) in the case of a conviction, judgment, order or decision mentioned in clause (a), the conviction, judgment, order or decision has become final by reason of lapse of time or of having been confirmed by the highest court to which any appeal may be taken.

(4) The Superintendent may pay any money realized pursuant to this section to any of the following on any conditions the Superintendent considers appropriate:

(a) the local registrar of the court in trust for any persons who may become judgment creditors of the licensee with respect to whose conduct the bond or letter of credit is conditioned or any representative or agent of that licensee with respect to a claim arising out of the transacting of insurance;

(b) any trustee, custodian, interim receiver, receiver or liquidator of the licensee with respect to whose conduct the bond is conditioned or any representative or agent of that licensee;

(c) any person that the Superintendent considers entitled to the money for a claim arising out of the transacting of insurance.

(5) The Superintendent shall pay any money not paid pursuant to subsection (4) to the surety or obligor under the surety bond after the payment of any expenditures incurred by the Superintendent in connection with the realization on the financial security and the determination and settlement of valid claims.

Term of licence

5‑11 For the purposes of subsections 5-28(2) and 5-55(2) of the Act, an insurance intermediary’s licence or an adjuster’s licence continues in force indefinitely unless it is suspended or cancelled in accordance with the Act.

Independent contractor

5‑12 Sections 5-21, 5-22, 5-30, 5-31 and 5-32, subsection 5-33(1), section 5-37, subsection 5-39(6) and sections 5-57 and 5-68 of the Act apply, with any necessary modification, to an independent contractor engaged by a business in the same way that those sections apply to an employee.

Affiliate of insurer

5‑13 For the purposes of clause 5-31(2)(b) of the Act, a prescribed affiliate is an affiliate that is licensed for at least one of the same classes of insurance as the insurer that employs the insurer’s representative.


Disclosure by telephone

5‑14(1) For the purposes of section 5-38 of the Act, if the purchase of insurance occurs over the telephone, the requirement that the disclosure be in writing is satisfied if the disclosure is:

(a) recorded; and

(b) accessible so as to be usable for subsequent reference.

(2) Every individual who records a disclosure for the purposes of thissection shall inform the potential insured of the recording and that the recordingis being made for the purposes of compliance with the Act before making therecording.

Penalties affecting insurance intermediary’s licence

5‑15(1) For the purposes of clause 5-39(2)(b) of the Act, the Superintendent may impose the following:

(a) if the Superintendent is satisfied that the holder of the licencehas demonstrated incompetence to act as an insurance intermediary, acondition on the licence that the licence will not be continued or reinstatedunless the holder takes a written examination or courses approved by theSuperintendent and achieves a mark specified by the Superintendent;

(b) a condition on the licence that the licensee complete specified trainingor counselling;

(c) a condition on the licence that the licensee accept a letter of warning;

(d) a condition on the licence that the licensee not offer or provide specifiedtypes of services or advice;

(e) a condition on the licence mandating supervision of the licensee;

(f) any other condition on the licence that the Superintendent considersnecessary and in the public interest.

(2) For the purposes of clause 5-39(2)(c) of the Act, the Superintendent mayimpose the following penalties on a holder or former holder:

(a) in the case of an individual, a penalty in an amount not exceeding$25,000;

(b) in the case of a body corporate, a penalty in an amount not exceeding$50,000.

(3) For the purposes of subsection 5-39(5) of the Act, the prescribed rate ofinterest is the rate of interest established pursuant to The Pre-judgment InterestAct.

Adjuster’s licence – loss amount in contract

5‑16 For the purposes of subclauses 5-42(1)(b)(iii) and (2)(b)(ii) of the Act, the amount is $10,000.


Designated representative for business that holds adjuster’s licence

5‑17(1) For the purposes of clause 5-43(1)(a) of the Act, the designated representative of a business that holds an adjuster’s licence must:

(a) be an individual;

(b) hold a valid adjuster’s licence; and

(c) meet the education and experience requirements to manage a businesslicensed as an adjuster as set out in the bylaws of the General InsuranceCouncil of Saskatchewan.

(2) For the purposes of clause 5-43(1)(b) of the Act, the designated representativeshall do all of the following:

(a) assume responsibility for the management and supervision of thebusiness;

(b) establish appropriate standards relating to the supervision of otherlicensees employed by the business or engaged as independent contractorsof the business, taking into account:

(i) the levels of qualification, education and experience of the licensees;

(ii) the nature of the insurance business being conducted; and

(iii) the requirements of the Act and these regulations;

(c) establish appropriate standards relating to the delegation of his orher duties.

Automatic suspension of adjuster’s licence

5‑18(1) If a business’s adjuster’s licence is suspended pursuant to clause 5-60(a) of the Act, the adjuster’s licence for each of the business’s employees is automatically suspended.

(2) If a business that has recommended that an employee of the business beissued an adjuster’s licence cancels the recommendation, the employee’s licence isautomatically suspended unless, before the cancellation of the recommendation,the employee submits to the Superintendent a new business’s recommendationmentioned in clause 5-44(1)(b) of the Act.

Penalties affecting adjusters’ licences

5‑19(1) For the purposes of clause 5-64(2)(b) of the Act, the Superintendent may impose the following:

(a) if the Superintendent is satisfied that the holder of the licence hasdemonstrated incompetence to act as an adjuster, a condition on the licencethat the licence will not be continued or reinstated unless the holder takesa written examination or courses approved by the Superintendent andachieves a mark specified by the Superintendent;

(b) a condition on the licence that the licensee complete specified trainingor counselling;

(c) a condition on the licence that the licensee accept a letter of warning;


(d) a condition on the licence that the licensee not offer or provide specifiedtypes of services or advice;

(e) a condition on the licence mandating supervision of the licensee;

(f) any other condition on the licence that the Superintendent considersnecessary and in the public interest.

(2) For the purposes of clause 5-64(2)(c) of the Act, the Superintendent mayimpose the following penalties on a holder or former holder:

(a) in the case of an individual, a penalty in an amount not exceeding$25,000;

(b) in the case of a body corporate, a penalty in an amount not exceeding$50,000.

(3) For the purposes of subsection 5-64(5) of the Act, the prescribed rate ofinterest is the rate of interest established pursuant to The Pre-judgment InterestAct.

DIVISION 2Restricted Insurance Agents


5‑20 In this Division:

“automobile gap insurance” means insurance respecting an automobile that:

(a) is paid to a creditor under the loan being used to finance thepurchase of the automobile on the primary insurer’s determinationthat the automobile is a total loss or total write-off; and

(b) is calculated as the difference between:

(i) the amount outstanding on a loan used to finance thepurchase of an automobile; and

(ii) the value of the automobile as assessed by the primaryinsurer of the debtor;

“car rental agency” means a person or entity that carries on the business of renting automobiles to the public for a period of 120 days or less;

“crematorium” means a crematorium as defined in The Funeral and Cremation Services Act that is licensed pursuant to that Act;

“funeral expense insurance” means insurance that is within the class of life insurance and under which the insurer undertakes to pay a maximum of $25,000 for funeral services or cremation services, as those terms are defined in The Funeral and Cremation Services Act;

“funeral home” means a funeral home as defined in The Funeral and Cremation Services Act that is licensed pursuant to that Act;


“portable electronics insurance” means insurance that is within the class of property insurance and that provides coverage against damage to or the loss of a portable electronic device;

“portable electronics vendor” means a person or entity that:

(a) sells or leases portable electronics devices; or

(b) otherwise provides portable electronics devices in connection witha transaction between the person or entity and another person or entity;

“rented‑automobile accidental injury or death insurance” means insurance that is within the class of automobile insurance and that provides coverage to an automobile renter and other occupants of the rented automobile for bodily injury or death and reimbursement for medical expenses resulting from a vehicular accident involving the rented automobile that occurs during the rental period;

“rented‑automobile contents insurance” means insurance that is within the class of property insurance and that provides coverage to an automobile renter and other occupants of the rented automobile against damage to or the loss of personal property in the rented automobile during the rental period;

“rented‑automobile liability insurance” means insurance that is within the class of automobile insurance and that provides coverage to an automobile renter and other authorized drivers of the rented automobile for liability arising from its operation.

Application for restricted insurance agent’s licence

5‑21 For the purposes of clause 5-70(1)(h) of the Act, the following businesses may apply to the Superintendent for a restricted insurance agent’s licence:

(a) a funeral home;

(b) a crematorium;

(c) a portable electronics vendor.

Authority to act or offer to act as a restricted insurance agent

5‑22 For the purposes of clause 5-71(3)(m) of the Act, the Superintendent may authorize a restricted licensee to act or offer to act as a restricted insurance agent with respect to the following classes of insurance:

(a) funeral expense insurance;

(b) portable electronics insurance;

(c) rented-automobile accidental injury or death insurance;

(d) rented-automobile contents insurance;

(e) rented-automobile liability insurance;

(f) automobile gap insurance.


Financial security – restricted licensees

5‑23(1) Subject to subsection (2), every business that applies for or holds a restricted insurance agent’s licence shall maintain and provide annually proof of a valid policy of errors and omissions insurance that:

(a) provides a minimum of $1,000,000 coverage with respect to any oneoccurrence and a minimum aggregate limit of $2,000,000 with respect toall occurrences within a year;

(b) covers the insurance activities of the licensee; and

(c) is underwritten by an insurance company licensed to do business inCanada.

(2) Subsection (1) does not apply to:

(a) a deposit-taking institution;

(b) a financing corporation; or

(c) a member institution within the meaning of the Canada DepositInsurance Corporation Act.

Designated representative for a restricted licensee

5‑24 For the purposes of clause 5-78(1)(a) of the Act, the designated representative must be an individual.

DIVISION 3Insurance Councils


5‑25 In this Division:

“Advocis” means The Financial Advisors Association of Canada incorporated pursuant to a special Act of Parliament;

“applicant” means a person, other than an insurer, who applies to be licensed pursuant to Part V of the Act;

“bylaws” means the bylaws of an insurance council;

“CIAA” means the Canadian Independent Adjusters’ Association incorporated pursuant to the Canada Not-for-profit Corporations Act;

“CLHIA” means the Canadian Life and Health Insurance Association incorporated pursuant to Part II of the Canada Corporations Act;

“IBAS” means the Insurance Brokers Association of Saskatchewan incorporated pursuant to The Non-profit Corporations Act, 1995;

“IBC” means the Insurance Bureau of Canada incorporated pursuant to the Canada Not-for-profit Corporations Act;

“IFB” means the Independent Financial Brokers of Canada incorporated pursuant to the Canada Not-for-profit Corporations Act;

“Insurance Register” means the Insurance Register as defined in section 10-5 of the Act;


“licensee” means a person who is licensed pursuant to Part V of the Act and these regulations;

“member” means a member of an insurance council.

Insurance Council of Saskatchewan

5‑26(1) The Insurance Council of Saskatchewan is to consist of:

(a) 3 members of the General Insurance Council of Saskatchewanappointed by the General Insurance Council of Saskatchewan; and

(b) 3 members of the Life Insurance Council of Saskatchewan appointedby the Life Insurance Council of Saskatchewan.

(2) Subject to subsections (3) and (4), a person appointed pursuant tosubsection (1):

(a) holds office at pleasure for a term not exceeding 3 years and until asuccessor is appointed; and

(b) is eligible for reappointment.

(3) No member of the Insurance Council of Saskatchewan shall hold office formore than 2 consecutive terms.

(4) If a member of the Insurance Council of Saskatchewan dies or resigns, theperson ceases to be a member on the date of death or on the date the resignationis received, as the case may be.

(5) In accordance with subsection (6), if the office of a person appointed pursuantto subsection (1) becomes vacant, the General Insurance Council of Saskatchewanor the Life Insurance Council of Saskatchewan, as the case may be, may:

(a) appoint a person for the remainder of the term of the person whovacated the office; or

(b) appoint a person for the term mentioned in subsection (2).

(6) A vacancy in the membership of the Insurance Council of Saskatchewandoes not impair the power of the remaining members of the council to act.

(7) The Insurance Council of Saskatchewan shall elect from among its membersa chairperson and may elect from among its members a vice-chairperson.

(8) If the chairperson is absent or unable to act or the office of chairperson isvacant, the vice-chairperson, if any, and in the absence of a vice-chairperson, amember of the council elected at a meeting for that purpose, may exercise allthe powers and shall perform all the duties of the chairperson.

Powers of Insurance Council of Saskatchewan

5‑27(1) The Insurance Council of Saskatchewan is authorized to do all of the following:

(a) to accept and exercise powers and carry out duties and functionsdelegated to it by the Superintendent;


(b) to fix and collect licence, registration or other annual and special fees from applicants, registrants and licensees in the insurance industry that are necessary to allow it, the General Insurance Council of Saskatchewan and the Life Insurance Council of Saskatchewan to finance the exercise of their assigned powers and the performance of their duties and functions;

(c) to maintain all or any part of the Insurance Register;

(d) to issue certificates to the same effect as those of the Superintendent pursuant to section 10-39 of the Act;

(e) to make decisions respecting the fees, levies, penalties and other charges that are to be paid to it by applicants, licensees and persons who are required to be licensees for anything it does pursuant to the authority of the Act and respecting the means of enforcing payment of the fees, levies, penalties or other charges;

(f) to subdelegate its powers to employees, subcouncils, committees or agents, subject to any terms and conditions imposed by it;

(g) to collect the costs of investigations and hearings conducted by the General Insurance Council of Saskatchewan and the Life Insurance Council of Saskatchewan.

(2) The Insurance Council of Saskatchewan shall appoint an administrator to exercise the functions, powers and duties delegated to the insurance councils by the Act or these regulations.

(3) The Insurance Council of Saskatchewan may appoint any other employees required to exercise the functions, powers and duties delegated to the insurance councils by the Act or these regulations.

Bylaws of Insurance Council of Saskatchewan

5‑28(1) The Insurance Council of Saskatchewan shall make bylaws governing:

(a) its banking and financial dealings;

(b) how it, its employees, subcouncils, committees, officers and agents accept and exercise powers and carry out duties and functions delegated to it;

(c) the fixing and collecting of licence, registration or other annual or special fees from applicants, registrants or licensees in the insurance industry that are necessary to allow it, the General Insurance Council of Saskatchewan and the Life Insurance Council of Saskatchewan to finance the exercise of their assigned powers and the performance of their duties and functions;

(d) the enforcement of its bylaws; and

(e) the indemnification of officers and members with respect to the performance of their duties and functions.

(2) Every applicant and licensee shall comply with the bylaws made pursuant to subsection (1), and failure to so comply is deemed to be a contravention of these regulations.


General Insurance Council

5‑29(1) The General Insurance Council of Saskatchewan is to consist of:

(a) 4 persons who are residents of Saskatchewan and engaged in theproperty and casualty insurance business in Saskatchewan and areappointed by IBAS;

(b) 1 person who is a resident of Saskatchewan and engaged in the propertyand casualty insurance business in Saskatchewan and is appointed by IBC;

(c) 1 person who is a resident of Saskatchewan and engaged in the businessof adjusting property and casualty losses in Saskatchewan and is appointedby CIAA; and

(d) 3 other persons appointed by the Superintendent.

(2) Subject to subsections (3) and (4), a person appointed pursuant tosubsection (1):

(a) holds office at pleasure for a term not exceeding 3 years and until asuccessor is appointed; and


(3) No member of the General Insurance Council of Saskatchewan shall holdoffice for more than 2 consecutive terms.

(4) If a member of the General Insurance Council of Saskatchewan dies orresigns, the person ceases to be a member on the date of death or on the datethe resignation is received, as the case may be.

(5) In accordance with subsection (6), if the office of a person appointed pursuantto subsection (1) becomes vacant, IBAS, IBC, CIAA or the Superintendent, asthe case may be, may:

(a) appoint a person for the remainder of the term of the person whovacated the office; or


(6) A vacancy in the membership of the General Insurance Council ofSaskatchewan does not impair the power of the remaining members of thecouncil to act.

(7) The General Insurance Council of Saskatchewan shall elect from among itsmembers a chairperson and may elect from among its members a vice-chairperson.

(8) If the chairperson is absent or unable to act or the office of chairperson isvacant, the vice-chairperson, if any, and in the absence of a vice-chairperson, amember of the council elected at a meeting for that purpose, may exercise allthe powers and shall perform all the duties of the chairperson.

Life Insurance Council

5‑30(1) The Life Insurance Council of Saskatchewan is to consist of:

(a) 3 persons who are residents of Saskatchewan and engaged in the lifeinsurance business in Saskatchewan and are appointed by CLHIA;


(b) 2 persons who are residents of Saskatchewan and engaged in the life insurance business in Saskatchewan and are appointed by Advocis;

(c) 1 person who is a resident of Saskatchewan and engaged in the life insurance business in Saskatchewan and is appointed by IFB; and

(d) 3 other persons appointed by the Superintendent.

(2) Subject to subsections (3) and (4), a person appointed pursuant to subsection (1):

(a) holds office at pleasure for a term not exceeding 3 years and until a successor is appointed; and


(3) No member of the Life Insurance Council of Saskatchewan shall hold office for more than 2 consecutive terms.

(4) If a member of the Life Insurance Council of Saskatchewan dies or resigns, the person ceases to be a member on the date of death or on the date the resignation is received, as the case may be.

(5) In accordance with subsection (6), if the office of a person appointed pursuant to subsection (1) becomes vacant, CLHIA, Advocis, IFB or the Superintendent, as the case may be, may:

(a) appoint a person for the remainder of the term of the person who vacated the office; or


(6) A vacancy in the membership of the Life Insurance Council of Saskatchewan does not impair the power of the remaining members of the council to act.

(7) The Life Insurance Council of Saskatchewan shall elect from among its members a chairperson and may elect from among its members a vice-chairperson.

(8) If the chairperson is absent or unable to act or the office of chairperson is vacant, the vice-chairperson, if any, and in the absence of a vice-chairperson, a member of the council elected at a meeting for that purpose, may exercise all the powers and shall perform all the duties of the chairperson.

Function and powers of General Insurance Council and Life Insurance Council

5‑31(1) The function of the General Insurance Council of Saskatchewan is:

(a) to establish standards for applicants and licensees in the property and casualty insurance industry that will promote high standards of professionalism, competence and integrity in the property and casualty insurance industry; and

(b) to serve as a link between the property and casualty insurance industry and consumers of its products and services.


(2) The function of the Life Insurance Council of Saskatchewan is:

(a) to establish standards for applicants and licensees in the life insuranceindustry that will promote high standards of professionalism, competenceand integrity in the life insurance industry; and

(b) to serve as a link between the life insurance industry and consumersof its products and services.

(3) Each of the General Insurance Council of Saskatchewan and the LifeInsurance Council of Saskatchewan is authorized to do all of the following:

(a) to accept and exercise powers and carry out duties and functionsdelegated to it by the Superintendent;

(b) to establish the educational, training and other standards andqualifications required for the licensing or registration of applicants,licensees and persons who are required to be licensees;

(c) to establish, with respect to persons or classes of persons to whom it hasissued a licence or has the authority to issue a licence, standards of conduct,competence and proficiency and standards of training and education,including additional and continuing training and education requirements;

(d) to issue, refuse, suspend, cancel make conditional or reinstate licencesin accordance with the Act, these regulations and the bylaws;

(e) to assess the costs of investigations and hearings conducted by it andsuspend licences for the licensee’s failure to pay those costs;

(f) to establish and enforce ethical, operational and trade practices forapplicants, licensees and persons who are required to be licensees;

(g) to initiate and engage in programs of consumer protection;

(h) to subdelegate its powers to subcouncils, committees or agents, subjectto any terms and conditions imposed by it;

(i) to investigate complaints and to adjudicate or mediate disputesrespecting alleged non-compliance with the Act, these regulations or thebylaws by applicants, licensees or persons who are required to be licensees;

(j) to carry out audits, examinations, inspections and investigations oflicensees and persons who are required to be licensees;

(k) to make decisions respecting the penalties and other charges thatare to be paid to the Insurance Council of Saskatchewan by licensees andpersons who are required to be licensees for anything the General InsuranceCouncil of Saskatchewan or the Life Insurance Council of Saskatchewandoes pursuant to the authority of the Act and respecting the means ofenforcing payment of the penalties or other charges.


Bylaws

5‑32(1) Each of the General Insurance Council of Saskatchewan and the Life Insurance Council of Saskatchewan shall make bylaws governing all of the following:

(a) how it, its subcouncils, committees, officers and agents accept andexercise powers and carry out duties and functions delegated to them;

(b) the establishment of educational, training and other standards andqualifications required for the licensing or registration of persons to whomit has the authority to issue a licence or registration;

(c) the establishment and enforcement of ethical, operational and tradepractices for persons to whom it has issued a licence or registration;

(d) the establishment, with respect to licensees and applicants, ofstandards of conduct, competence and proficiency and standards of trainingand education, including additional and continuing training and educationrequirements;

(e) the investigation of complaints regarding services provided to anyperson by a licensee or a person who is required to be a licensee;

(f) procedures for the determination of appropriate sanctions for breachesof the Act, these regulations and the bylaws by a licensee or a person whois required to be a licensee;

(g) the enforcement of its bylaws;

(h) the indemnification of officers and members with respect to theperformance of their functions and duties.

(2) The bylaws made pursuant to subsection (1) apply to:

(a) applicants, licensees or persons who are required to be licensees inthe property and casualty insurance industry, in the case of bylaws madeby the General Insurance Council of Saskatchewan; and

(b) applicants, licensees or persons who are required to be licensees in thelife insurance industry, in the case of bylaws made by the Life InsuranceCouncil of Saskatchewan.

(3) Every applicant and licensee shall comply with the bylaws of the appropriateinsurance council made pursuant to subsection (1), and failure to so comply isdeemed to be a contravention of these regulations.

Bylaws binding

5‑33 The bylaws of the Insurance Council of Saskatchewan, the General Insurance Council of Saskatchewan and the Life Insurance Council of Saskatchewan bind the respective insurance council and every licensee and applicant governed by it as if the respective insurance council and each licensee and applicant had agreed to those bylaws.


Powers of Superintendent re bylaws

5‑34 Notwithstanding section 5-85 of the Act and sections 5-28 and 5-32 of these regulations, the Superintendent may:

(a) initiate new bylaws for an insurance council; and

(b) require an insurance council to publish in the Gazette any bylaw thatthe Superintendent requires to be published.

Complaints

5‑35(1) Every insurance council is authorized, in accordance with its bylaws, to receive complaints from any person regarding alleged non-compliance with the Act, these regulations or the bylaws by applicants, licensees or persons who are required to be licensees.

(2) Any complaint received by the Insurance Council of Saskatchewanpursuant to this section must be forwarded to the General Insurance Council ofSaskatchewan or the Life Insurance Council of Saskatchewan, as the case may be.

Contracts

5‑36 Every insurance council is authorized and has the power to enter into contracts with any person for any purpose related to the exercise of its powers and duties pursuant to these regulations.

Inspection by Superintendent

5‑37 Every insurance council shall:

(a) at all reasonable times allow the Superintendent free and full accessto the records, documents, books, papers, correspondence and any otherinformation held by an insurance council that relates to the exercise ofpowers, functions and responsibilities delegated to the insurance councilor prescribed by these regulations; and

(b) permit the Superintendent to take possession of those materials andto retain them for any period that the Superintendent considers necessary.

Direction by Superintendent

5‑38(1) Notwithstanding the delegation of any of the Superintendent’s powers, functions and responsibilities to an insurance council pursuant to section 10-1 of the Act, the Superintendent may:

(a) direct an insurance council to issue, refuse, suspend, cancel, makeconditional or reinstate any licence, and the council shall issue, refuse,suspend, cancel, make conditional or reinstate the licence, as the case maybe, when so directed by the Superintendent; and

(b) issue, refuse, suspend, cancel, make conditional or reinstate any licence,whether or not the insurance council has taken any of those actions, byexercising the powers vested in the Superintendent by the Act.


(2) The Superintendent may, by notice in writing to an insurance council,revoke any powers, functions or responsibilities delegated to an insurance councilpursuant to section 10-1 of the Act, and the insurance council shall immediately:

(a) cease to exercise those powers, functions or responsibilities, as thecase may be; and

(b) forward to the Superintendent all documents, records, and moneys inthe possession of the insurance council connected with the revoked powers,functions or responsibilities, as the case may be.

Exercise of powers regarding licences

5‑39(1) In exercising powers delegated by the Superintendent to an insurance council pursuant to section 10-1 of the Act to issue, refuse, suspend, cancel, make conditional or reinstate licences, the insurance council shall:

(a) issue, refuse, suspend, cancel, make conditional or reinstate licencesonly in accordance with the Act, these regulations and its bylaws; and

(b) record how each applicant or licensee satisfied or failed to satisfy therequirements determined pursuant to clause (a).

(2) Immediately after exercising its powers to refuse, suspend, cancel or makeconditional a licence, an insurance council shall:

(a) notify the Superintendent of the action taken and the reasons for it; and

(b) in the case of a suspension of a licence, a cancellation of a licence oran imposition of a condition on a licence, adjust the Insurance Register toreflect the action taken and the reasons for the action.

(3) Section 10-11 of the Act applies, with any necessary modification, to anyaction of an insurance council pursuant to this section.

Penalties and costs

5‑40(1) If an insurance council acts pursuant to section 5-39 or 5-64 of the Act, the insurance council is authorized to order:

(a) that the licensee pay to the Insurance Council of Saskatchewan withina fixed period:

(i) the penalty imposed pursuant to section 5-39 or 5-64 of the Act; and

(ii) the costs of the investigation and hearing into the licensee’sconduct and related costs, including the expenses of any investigationor enforcement committee established pursuant to the bylaws and thecosts of legal services and witnesses; and

(b) if a licensee fails to make payment in accordance with an order pursuantto clause (a), that the licensee’s licence be suspended.

(2) Section 10-11 of the Act applies, with any necessary modification, to anyaction by an insurance council pursuant to this section.

(3) An insurance council shall inform the licensee of the licensee’s right pursuantto section 10-34 of the Act to appeal the decision or order made by the insurancecouncil or a committee of the insurance council to the appeal panel.


Publication of order

5‑41 Immediately after acting pursuant to section 5-39 or 5-64 of the Act, an insurance council shall:

(a) publish the order and the reasons for the order on the website of the Insurance Council of Saskatchewan; or

(b) if, in the opinion of the insurance council, it is not in the public interest to publish the order, notify the Superintendent of the order, the reasons for the order and the reasons for the decision not to publish the order.

Issues not covered in Act, regulations or bylaws

5‑42 An insurance council shall refer to the Superintendent for decision any issue that comes before it that is not clearly addressed in the Act, these regulations or the bylaws of the insurance council.

Reference to Superintendent

5‑43 An insurance council may, at any time, refer an issue to the Superintendent for directions or for a decision.

Fees

5‑44(1) As soon as possible after its approval by the Superintendent, the Insurance Council of Saskatchewan shall publish in the Gazette every fee established pursuant to clause 5-27(1)(b).

(2) The Insurance Council of Saskatchewan shall use a method approved by the Superintendent for calculating fees and accounting for fees collected.

Examinations

5‑45(1) Subject to subsection (2), the Insurance Council of Saskatchewan shall administer all examinations of applicants and licensees required pursuant to its bylaws.

(2) The Superintendent may approve a person to administer the examinations mentioned in subsection (1) on behalf of the Insurance Council of Saskatchewan.

Annual report

5‑46(1) Every insurance council shall, in accordance with the requirements established by the Superintendent, prepare and submit to the Superintendent an annual report that includes:

(a) a financial statement summarizing the income and expenditures of the insurance council;

(b) the number of persons registered in each licence category;

(c) the number of persons in each licence category:

(i) who were refused registration; and

(ii) whose licences were suspended, cancelled or made conditional;

(d) the reasons for each action taken pursuant to clause (c);

(e) a list of the current members and officers of the insurance council;


(f) in the case of the General Insurance Council of Saskatchewan and theLife Insurance Council of Saskatchewan, the number of audits of licenseesconducted;

(g) a summary of the insurance council’s activities; and

(h) any other information that the Superintendent may require.

(2) Every insurance council shall submit the report required pursuant tosubsection (1) within 90 days after the end of the fiscal year of the insurancecouncil.

Evidence re certificate

5‑47 Section 10-39 of the Act applies, with any necessary modification, to any certification by the Insurance Council of Saskatchewan.

PART 6Unsolicited Insurance and Special Brokers

DIVISION 1Unsolicited Insurance

Document to be delivered by the insured

6‑1 For the purposes of subclause 6-2(1)(c)(ii) of the Act, the insured shall deliver to the Superintendent a written declaration that sets out:

(a) the name of the insured;

(b) contact information for the insured;

(c) the amount of insurance obtained;

(d) a description of the nature of the insurance obtained;

(e) whether or not the insured received assistance from any person otherthan the insurer to purchase the insurance;

(f) an explanation satisfactory to the Superintendent as to why theinsurance was obtained, including a list of companies licensed inSaskatchewan that refused to provide coverage to the insured;

(g) the name of the unlicensed insurer who is providing coverage to theinsured;

(h) the premium paid to the unlicensed insurer; and

(i) the particulars of the calculation used to determine the amount of taxpayable pursuant to clause 6-2(1)(c) of the Act.


DIVISION 2Special Brokers

Financial security required

6‑2(1) For the purposes of subsection 6-9(1) of the Act, a person holding a special broker’s endorsement for a class of insurance shall provide and maintain financial security in one of the following forms:

(a) letter of credit;

(b) bond;

(c) any other form satisfactory to the Superintendent.

(2) The financial security provided and maintained must be in the amount of$25,000 or in any greater amount that the Superintendent may, by order, require.

Forfeiture of financial security

6‑3(1) Notwithstanding that the Crown in right of Saskatchewan has not suffered any loss or damage:

(a) every bond filed with the Superintendent pursuant to the Act must beconstrued as being a penal bond; and

(b) if any bond is forfeited pursuant to this section, the amount due andowing as a debt to the Crown in right of Saskatchewan by the person boundby the bond must be determined as if the Crown had suffered a loss ordamage that would entitle the Crown to be indemnified to the maximumamount of liability set out in the bond.

(2) For the purposes of subsection 6-9(2) of the Act, every bond filed as financialsecurity with the Superintendent pursuant to the Act is forfeited on the demandof the Superintendent if:

(a) all or any of the following occurs:

(i) the special broker with respect to whose conduct the bond isconditioned or any representative or agent of that special broker failsto pay the amount required pursuant to clause 6-16(b) of the Act;

(ii) the special broker with respect to whose conduct the bond isconditioned or any representative or agent of that special broker hasbeen convicted of:

(A) a contravention of the Act or these regulations;

(B) an offence involving fraud or theft or conspiracy to commitan offence involving fraud or theft pursuant to the Criminal Code;

(iii) a judgment with respect to a claim arising out of the transactingof insurance has been given against the special broker with respect towhose conduct the bond is conditioned or against any representativeor agent of that special broker;


(iv) the special broker with respect to whose conduct the bond isconditioned commits an act of bankruptcy, whether or not proceedingshave been taken pursuant to the Bankruptcy and Insolvency Act(Canada);

(v) a decision has been rendered by the Superintendent in writingstating in effect that, after consideration and investigation of acomplaint, the Superintendent is satisfied that the special brokerrespecting whose conduct the bond is conditioned or any agent orrepresentative of that special broker:

(A) has contravened a provision of the Act or these regulations;or

(B) has breached a contract with an insurer or an insured; and

(b) in the case of a conviction, judgment, order or decision mentioned inclause (a), the conviction, judgment, order or decision has become final byreason of lapse of time or of having been confirmed by the highest court towhich any appeal may be taken.

(3) Notwithstanding that the Crown in right of Saskatchewan has notsuffered any loss or damage, the Superintendent may have recourse to a letterof credit provided to the Superintendent pursuant to the Act by presenting ademand to the issuer of the letter of credit, together with the letter of credit,if the Superintendent has reason to believe that any of the grounds set out insubsection (2) exist.

(4) On a demand of the Superintendent pursuant to subsection (3), theamount of the proceeds of the letter of credit is forfeited to the Crown in rightof Saskatchewan.

(5) The Superintendent may pay any money realized pursuant to this section toany of the following on any conditions the Superintendent considers appropriate:

(a) the local registrar of the court in trust for any persons who may becomejudgment creditors of the special broker with respect to whose conduct thebond or letter of credit is conditioned or any representative or agent ofthat special broker with respect to a claim arising out of the transactingof insurance;

(b) any trustee, custodian, interim receiver, receiver or liquidator of thespecial broker with respect to whose conduct the bond or letter of credit isconditioned or any representative or agent of that special broker;

(c) any person that the Superintendent considers entitled to the moneyfor a claim arising out of the transacting of insurance.

(6) The Superintendent shall pay any money not paid pursuant to subsection (5)to the following after the payment of any expenditures incurred by theSuperintendent in connection with the realization on the financial security andthe determination and settlement of valid claims:

(a) in the case of a surety bond, to the surety or obligor under the suretybond;

(b) in the case of a letter of credit, to the obligor under the letter of credit.


Application for endorsement

6‑4 For the purposes of clause 6-11(f) of the Act, every applicant for a special broker’s endorsement for a class of insurance must have a valid Saskatchewan level 3 insurance agent licence as set out in the bylaws of the General Insurance Council of Saskatchewan.

Cancellation of endorsement

6‑5 For the purposes of clause 6-14(3)(b) of the Act, the Superintendent may cancel the endorsement if it has not been reinstated within 60 days.

Document to be submitted by the special broker

6‑6 For the purposes of clause 6-16(a) of the Act, a special broker shall submit to the Superintendent a written declaration that sets out:

(a) the name of the insured;

(b) contact information for the insured;

(c) the amount of insurance obtained;

(d) a description of the nature of the insurance obtained;

(e) the name of any licensed insurer who refused to provide coverage tothe insured;

(f) the name of the unlicensed insurer who is providing coverage to theinsured;

(g) the particulars of the calculation used to determine the amount of taxpayable pursuant to subclause 6-2(1)(c)(i) of the Act; and

(h) a declaration by the special broker that, to the best of his or herknowledge:

(i) sufficient insurance was not obtainable at reasonable rates froman insurer licensed pursuant to the Act; or

(ii) sufficient insurance was not obtainable on the terms stipulatedby the insured from an insurer licensed pursuant to the Act.

PART 7Market Conduct

DIVISION 1General Rules

Payments to third party administrators

7‑1 Subsection 7-6(3) of the Act does not apply with respect to a third party administrator.

Disclosure of name – advertising and general correspondence

7‑2(1) Subject to subsection (2), section 7-11 of the Act does not apply with respect to a licensed insurer or insurance intermediary that issues advertising or general correspondence in Saskatchewan that:

(a) is part of an advertising or correspondence campaign for one or moreregions outside Saskatchewan; and

(b) is not targeted specifically to residents of Saskatchewan.


(2) Every licensed insurer and insurance intermediary shall ensure that thename of the insurer as set out in the insurer’s licence is shown in a conspicuousmanner in all of the advertising and correspondence mentioned in subsection (1).

Exception – restricted licensees

7‑3 Subclause 7-12(1)(b)(iv) of the Act does not apply to a restricted licensee that is a lender for a financing agreement mentioned in section 7-17 of the Act with respect to a contract of insurance given as security to the lender, as long as the licensee does not require that the insurance be purchased from the restricted licensee.

Permitted inducements to insureds and prospective insureds

7‑4 For the purposes of subsection 7-12(3) of the Act, an insurance intermediary is permitted to make or give or offer to make or give a direct or indirect payment, allowance or gift, or make an offer to directly or indirectly pay, allow or give money or anything of value to induce a prospective insured or an insured to transact insurance with an insurer or a managing general agent as long as the fair market value of the payment, allowance, gift or offer to the prospective insured or the insured does not exceed $25 per year.

DIVISION 2Fair Practices

Right to rescind contract of insurance

7‑5 Subsection 7-21(1) of the Act does not apply to contracts of:

(a) group insurance for accident and sickness; or

(b) creditor’s group insurance for accident and sickness.

Procedures for dealing with claims and complaints

7‑6 For the purposes of subsection 7-26(4) of the Act, an insurer shall make available all of the following information on how to contact the Superintendent or any other entity designated by the Superintendent:

(a) telephone number;

(b) email address;

(c) mailing address.

PART 8Contracts of Insurance

DIVISION 1General

Interpretation – Statutory Conditions

8‑1 For the purposes of clause 8-28(1)(b), subsection 8-41(2), subsection 8-95(2) and clause 8-166(b) of the Act, it is not a variation or omission of a Statutory Condition if the number of a Statutory Condition is varied or omitted, as long as the title of the Statutory Condition is reproduced in conspicuous type.


DIVISION 2Contract Provisions

Statutory Conditions do not apply

8‑2 Section 8-28 of the Act does not apply to contracts of the following classes of insurance:

(a) creditor’s loss of employment insurance as defined in section 5-69 ofthe Act;

(b) export credit insurance as defined in section 5-69 of the Act;

(c) mortgage insurance as defined in section 5-69 of the Act;

(d) title insurance.

Recovery by innocent persons

8‑3(1) For the purposes of clause 8-29(1)(d) of the Act, the prescribed class is any class of persons other than individuals.

(2) For the purposes of subsection 8-29(3) of the Act, a person whose coverageunder a contract of insurance would be excluded but for subsection 8-29(1) ofthe Act must:

(a) cooperate with the insurer with respect to the investigation of the loss,including, without limitation, by submitting to an examination under oathor affirmation, if requested by the insurer; and

(b) produce for examination, at any reasonable place and time that isdesignated by the insurer, all documents that relate to the loss in additionto those required by the contract.

Limitation of liability clause

8‑4 For the purposes of subsection 8-30(2) of the Act, the contract must have printed or stamped on the first page in conspicuous bold type the words:

“This policy contains a clause which may limit the amount payable”.

Prescribed exclusions for fire and other perils


“biological hazard” means any process or phenomenon of organic origin or conveyed by biological vectors, including exposure to pathogenic micro-organisms, toxins and bioactive substances that may cause loss of life, injury, illness or other health impacts, property damage, social and economic disruption or environmental damage in the absence of its control;

“chemical hazard” means any physical agent that may cause loss of life, injury, illness or other health impacts, property damage, social and economic disruption or environmental damage in the absence of its control;

“commercial property” means all property other than residential property;

“nuclear energy hazard” means the radioactive, toxic, explosive or other hazardous properties of nuclear substances as defined in the Nuclear Safety and Control Act (Canada);


“pressure vessel” means any boiler, vessel or apparatus and their connected pipes while under pressure or while in use or operation, but does not include any tank with an internal diameter of 610 mm or less used for storage of hot water or any vessel if the maximum internal working pressure of the vessel does not exceed 103 kilopascals above atmospheric pressure;

“radioactive material” includes:

(a) spent nuclear fuel rods that have been exposed to radiation in anuclear reactor;

(b) radioactive waste material; and

(c) unused enriched nuclear fuel rods;

“residential property” means property used primarily for residential purposes, including, without limitation, the units and common property of a residential condominium building;

“terrorism” means any unlawful act, including, without limitation, the use of violence or force or threat of violence or force committed by one or more persons acting on behalf of any group, organization or government for the purposes of influencing any government or instilling fear in the public, but does not include vandalism;

“vandalism” means the wilful or malicious destruction or defacement of public or private property, including, without limitation, religious and cultural property, but does not include the wilful or malicious destruction or defacement of public or private property intended to cause:

(a) a risk to the health or safety of the public or any segment of thepublic;

(b) endangerment to a person’s life; or

(c) death or bodily harm to a person.

(2) For the purposes of subsection 8-32(2) of the Act, the prescribed perils arelightning and explosion.

(3) For the purposes of clause 8-32(2)(a) of the Act, the following are prescribedexclusions under a contract of insurance:

(a) with respect to residential property:

(i) fire occasioned by or happening through:

(A) in the case of goods, their undergoing any process involvingthe application of heat; or

(B) riot, civil commotion, war, invasion, an act of a foreign enemy,hostilities, whether war is declared or not, civil war, rebellion,revolution, insurrection or military power;

(ii) lightning causing destruction or loss to electric devices orappliances;

(iii) an explosion of natural, coal or manufactured gas in a buildingnot forming part of a gas works occasioned by or happening throughone or more perils specified in paragraph (i)(B);


(iv) loss or damage to property caused by contamination by radioactivematerial directly or indirectly resulting from fire, lightning or explosion;

(v) subject to section 8-29 of the Act, loss or damage to propertydirectly or indirectly resulting from fire or explosion caused by acriminal or intentional act or omission of an insured;

(vi) biological hazard, chemical hazard or nuclear energy hazard,including contamination by radioactive material directly or indirectlyresulting from fire or explosion caused by terrorism; or

(vii) explosion of any pressure vessel, gas turbine or any moving orrotating machinery or its parts;

(b) with respect to commercial property:

(i) an exclusion described in clause (a); or

(ii) fire or explosion caused by terrorism;

(c) with respect to property insured under a contract of boiler andmachinery insurance, explosion of gas or unconsumed fuel within anyfurnace or within the passage from a furnace or pressure vessel to theatmosphere.

(4) For the purposes of clause 8-32(2)(b) of the Act, the prescribed circumstancesof the fire relating to which an insurer may not provide an exclusion in a contractare as follows:

(a) occurrence of fire within 30 days after the insured property becamevacant;

(b) occurrence of fire after the insurer has issued a vacancy permit withrespect to the insured property.

DIVISION 3Automobile Insurance

Advance payments

8‑6 The court may make an order pursuant to section 8-63 of the Act, on any conditions it considers appropriate, requiring an insurer to make a payment to a person who commences an action with respect to a contract of insurance if the court is satisfied that:

(a) as a result of the person’s injuries, the person is unable to pay for thenecessities of life; or

(b) the payment is otherwise appropriate.

Physical damage cover – partial payment of loss

8‑7 For the purposes of subsection 8-65(3) of the Act, the policy must have printed or stamped on the first page in conspicuous bold type the words:

“This policy contains a partial payment of loss clause”.


DIVISION 4Crop Hail Insurance

Notice that application declined

8‑8 For the purposes of clause 8-85(4)(a) of the Act, if an insurer provides a notice by electronic means pursuant to clause 8-85(3)(b) of the Act, the applicant is deemed to have received the notice on the date the notice was provided unless the applicant establishes that, through no fault of his or her own, the applicant did not receive the notice or received it at a later date.

Partial payment of loss clause

8‑9 For the purposes of subsection 8-89(2) of the Act, the policy must have printed or stamped on the first page in conspicuous bold type the words:

“This policy contains a partial payment of loss clause”.

Agents’ commission

8‑10(1) Every insurer shall, before May 1 in each year, file with the Superintendent the rate of commission payable to its agents with respect to its contracts issued during the current year.

(2) No insurer or its managing general agent shall, directly or indirectly, payor allow or offer or agree to pay or allow any compensation or anything of valueto any person for acting or attempting or assuming to act as its insurance agentin excess of that offered, paid or allowed to any one of its agents on risks forwhich similar rates of premium are payable.

(3) If, on investigation by the Superintendent, an insurer or its managinggeneral agent is found to have contravened subsection (2), the same rate ofcommission must be paid to all agents on risks for which those similar rates ofpremium are charged.

DIVISION 5Life Insurance

Application of Division 5 of Part VIII of Act – creditor’s group insurance

8‑11 In the case of a contract of creditor’s group insurance made with an insurer authorized to transact insurance in Saskatchewan at the time the contract was made, Division 5 of Part VIII of the Act applies in determining:

(a) the rights and status of the debtor insured’s personal representatives,and any debtor who is jointly liable for the debt with the debtor insured,with respect to claims for payment of insurance money if the debtor insuredwas resident in Saskatchewan at the time the debtor insured becameinsured; and

(b) the rights and obligations of the debtor insured if the debtor insured wasresident in Saskatchewan at the time the debtor insured became insured.

Particulars in policy

8‑12 For the purposes of subsection 8-104(3) of the Act, the policy must have printed or stamped on the front page in conspicuous bold type the words:

“This policy contains a provision removing or restricting the right of the insured to designate persons to whom or for whose benefit insurance money is to be payable”.


Particulars in group certificate

8‑13 For the purposes of subclause 8-106(1)(d)(ii) of the Act, the certificate or other document must have printed or stamped on it in conspicuous bold type the words:

“This policy contains a provision removing or restricting the right of the group life insured to designate persons to whom or for whose benefit insurance money is to be payable”.

DIVISION 6Accident and Sickness Insurance

Application of Division 6 of Part VIII of Act – creditor’s group insurance

8‑14 In the case of a contract of creditor’s group insurance made with an insurer authorized to transact insurance in Saskatchewan at the time the contract was made, Division 6 of Part VIII of the Act applies in determining:

(a) the rights and status of the debtor insured’s personal representatives, and any debtor who is jointly liable for the debt with the debtor insured, with respect to claims for payment of insurance money if the debtor insured was resident in Saskatchewan at the time the debtor insured became insured; and

(b) the rights and obligations of the debtor insured if the debtor insured was resident in Saskatchewan at the time the debtor insured became insured.

Particulars in policy

8‑15 For the purposes of subsection 8-160(3) of the Act, the policy must have printed or stamped on the front page in conspicuous bold type the words:

“This policy contains a provision removing or restricting the right of the insured to designate persons to whom or for whose benefit insurance money is to be payable”.

Particulars in group certificate

8‑16 For the purposes of subclause 8-164(1)(d)(ii) of the Act, the certificate or other document must have printed or stamped on it in conspicuous bold type the words:

“This policy contains a provision removing or restricting the right of the group person insured to designate persons to whom or for whose benefit insurance money is to be payable”.

Exclusions, exceptions or reductions

8‑17 Section 8-165 of the Act does not apply to a contract of:

(a) group insurance; or

(b) creditor’s group insurance.

Notice of Statutory Conditions

8‑18 For the purposes of section 8-168 of the Act, the policy must have printed or stamped on it in conspicuous bold type the words:

“Despite any other provision contained in this contract, this contract is subject to the statutory conditions in The Insurance Act respecting contracts of accident insurance”.


Persons insurable

8‑19 In addition to the criteria mentioned in clause 8-171(1)(a) of the Act, a primary person who is an individual is a person who has an insurable interest in:

(a) his or her own life or well-being or both; and

(b) the life or well-being or both of a person in the duration of whose lifeor well-being or both the primary person has a pecuniary interest.

Disclosure of material facts

8‑20 In the case of a contract of creditor’s group insurance to which Division 6 of Part VIII of the Act applies, a failure to disclose or a misrepresentation of that fact with respect to a debtor insured or a person insured under the contract does not render the contract voidable, but if evidence of insurability is specifically requested by the insurer, the insurance with respect to that person is, subject to section 8-174 of the Act, voidable by the insurer.

Presumption against agency

8‑21(1) In this section, “insurance” means accident insurance, sickness insurance or accident and sickness insurance.

(2) An officer, agent or employee of an insurer, or a person soliciting insurance,whether or not an agent of the insurer, must not be considered to be the agentof the insured, person insured, group person insured or debtor insured, to thatperson’s prejudice, with respect to any question arising out of a contract.

DIVISION 7Life and Accident and Sickness Insurance

Access to documents – application of sections 8‑103 and 8‑159 of the Act

8‑22(1) In this section, “confidential commercial information” means information in a policy of group insurance or creditor’s group insurance, the disclosure of which:

(a) could reasonably be expected to harm the competitive position of theinsurer or insured; or

(b) would reveal plan design and benefits information relating to adifferent class of group life insured, group person insured or debtor insuredthan the group life insured, group person insured or debtor insured to whomor with respect to whom the disclosure is being made.

(2) Access to the documents mentioned in clauses 8-103(5)(b), 8-103(6)(b),8-159(5)(b) and 8-159(6)(b) of the Act does not extend to:

(a) information contained in those documents that would reveal personalinformation, as defined in the Personal Information Protection andElectronic Documents Act (Canada), about a person without that person’sconsent, other than information about:

(i) the group life insured or debtor insured with respect to whom theclaim is made; or

(ii) the person who requests access to the information; or


(b) confidential commercial information that:

(i) does not relate to the rights, responsibilities or coverage of thegroup life insured, group person insured or debtor insured under thecontract; and

(ii) the insurer did not rely on to determine the rights, responsibilitiesor coverage of the group life insured, group person insured or debtorinsured under the contract.

Rights exercisable by insured where irrevocable beneficiary designated ‑ life and accident and sickness contracts


“contract” means:

(a) a contract of life insurance;

(b) a contract of accident insurance;

(c) a contract of sickness insurance; or

(d) a contract of accident and sickness insurance;

“exempt policy” has the same meaning as in Part III of the Income Tax Regulations (Canada);

“irrevocable beneficiary” means a person who is designated as a beneficiary irrevocably pursuant to subsection 8-122(1) or 8-179(1) of the Act.

(2) This section applies to a contract if the insured has designated an irrevocablebeneficiary for a benefit under the contract.

(3) An insured may, without an irrevocable beneficiary’s consent, exercise aright under a contract if one or both of the following apply:

(a) the exercise of the right is required by law;

(b) the contract is an exempt policy and if the insured does not exercisethe right the contract will no longer be an exempt policy.

(4) Subject to subsection (5), an insured may, without an irrevocable beneficiary’sconsent, exercise one or more of the following rights under a contract:

(a) a right relating to any insurance money or benefit to which theirrevocable beneficiary designation does not apply;

(b) a right to increase the amount of insurance;

(c) a right to add a new insured, or additional coverage, provisions orbenefits to the contract;

(d) a right to make transfers between accounts or investment options, orto change the type of accounts or investment options;

(e) a right to assign the insured’s rights and duties under the contract;

(f) a right to add, remove or substitute a revocable contingent beneficiary,if no contingent irrevocable beneficiary is designated;

(g) a right to add a contingent irrevocable beneficiary, if no contingentirrevocable beneficiary is designated.


(5) An insured may not exercise a right pursuant to subsection (4) if the exercise of the right:

(a) reduces the amount of any insurance money or benefit to which the irrevocable beneficiary designation applies; or

(b) results in the cancellation or surrender of:

(i) the contract; or

(ii) a coverage, provision or benefit of the contract to which the irrevocable beneficiary designation applies.

PART 9Inspections, Investigations, Enforcement and Administration

Insurance compliance self‑evaluative audit

9‑1(1) For the purposes of clause 9-5(2)(a) of the Act, an insurer conducting an insurance compliance self-evaluative audit on request of the Superintendent shall:

(a) submit the audit to the Superintendent within 60 days after receipt of the request from the Superintendent; and

(b) include:

(i) any insurance compliance self-evaluative audit document prepared for or used in the audit;

(ii) an implementation plan that addresses past non-compliance, improves current compliance and prevents future non-compliance; and

(iii) any other information that the Superintendent may require.

(2) If an auditor’s report or actuarial report is prepared as part of an insurance compliance self-evaluative audit, that report must be prepared in accordance with the following:

(a) in the case of an auditor’s report:

(i) generally accepted accounting principles published by Chartered Professional Accountants of Canada, as amended from time to time;

(ii) generally accepted auditing standards published by Chartered Professional Accountants of Canada, as amended from time to time; and

(iii) any modification of the principles or standards mentioned in subclauses (i) and (ii) that are established by the Superintendent and any additional requirements, principles, standards or practices established by the Superintendent; or

(b) in the case of an actuarial report:

(i) generally accepted actuarial practices described in the Standards of Practice of the Canadian Institute of Actuaries, as amended from time to time; and

(ii) any modification of the practices mentioned in subclause (i) that are established by the Superintendent and any additional requirements, principles, standards or practices established by the Superintendent.


PART 10General

DIVISION 1Superintendent and Register

Insurance Register

10‑1(1) For the purposes of clause 10-5(3)(i) of the Act, the Insurance Register must contain the category of licence issued to the insurer.

(2) For the purposes of clause 10-5(4)(d) of the Act, the Insurance Register mustcontain the following information with respect to each special broker:

(a) the address for service of the special broker;

(b) the category of licence issued to the special broker.

(3) For the purposes of clause 10-5(5)(g) of the Act, the Insurance Register mustcontain the following information with respect to each licensed insurance agent,managing general agent, insurer’s representative as defined in Part V of the Actand adjuster:

(a) the address for service of the insurance agent, managing general agent,insurer’s representative as defined in Part V of the Act and adjuster;

(b) the category of licence issued to the insurance agent, managing generalagent, insurer’s representative as defined in Part V of the Act and adjuster.

(4) For the purposes of clause 10-5(6)(g) of the Act, the Insurance Registermust contain the following information with respect to each restricted licenseeas defined in Division 4 of Part V of the Act:

(a) the address for service of the restricted licensee;

(b) the category of licence issued to the restricted licensee.

(5) For the purposes of subsection 10-5(7) of the Act, the Insurance Registermust contain the following information with respect to each licensed third partyadministrator:

(a) the name and business address of the third party administrator;

(b) all terms and conditions imposed on a licence;

(c) the classes of insurance with respect to which the third partyadministrator is authorized to transact business;

(d) the name and business address of any designated representative of thethird party administrator;

(e) information on any suspension or cancellation of a licence;

(f) any compliance undertaking provided by the third party administrator;

(g) the address for service of the third party administrator;

(h) the category of licence issued to the third party administrator.


Service of notice ‑ opportunity to be heard

10‑2(1) This section applies to any notice or document required to be served for the purposes of section 10-11 of the Act with respect to an action taken for:

(a) a failure to pay licence, registration or other annual or special fees; or

(b) a failure to file a report or any other information that must be filed inaccordance with the bylaws of an insurance council.

(2) Any notice or other document to which this section applies may be servedby ordinary mail.

(3) A notice or document sent by ordinary mail pursuant to subsection (2) isdeemed to have been served on the seventh business day following the date ofits mailing unless the person to whom it was mailed establishes that, throughno fault of his or her own, the person did not receive the notice or document orreceived it at a later date.

(4) Service of any notice or document by ordinary mail pursuant to subsection (2)may be proved by affidavit or oral evidence of the person claiming to have servedit.

DIVISION 2Compensation Plans

Definitions for Part

10‑3 In this Part and in Division 6 of Part X of the Act:

“designated compensation association” means an entity designated as a compensation association pursuant to section 10-4;

“member” means every insurer who is or is required to be a member of the designated compensation association;

“memorandum of operation” means a memorandum enacted by resolution of the board of directors or provisional board of directors of the designated compensation association setting forth the detailed rules and procedures that are to be followed by the designated compensation association in making voluntary payments to policy holders and other claimants with respect to claims under insurance policies that are unpaid by reason of a member becoming an insolvent insurer.

Designation of compensation associations

10‑4(1) The Property and Casualty Insurance Compensation Corporation is designated as a compensation association for the purposes of the Act for property and casualty companies other than those property and casualty companies whose licences are limited to one or more of the following classes of insurance:

(a) accident and sickness insurance;

(b) aircraft insurance;

(c) credit insurance;

(d) crop hail insurance;


(e) fidelity insurance;

(f) marine insurance;

(g) mortgage insurance as defined in section 5-69 of the Act;

(h) surety insurance;

(i) title insurance.

(2) The Canadian Life and Health Insurance Compensation Corporation is designated as the compensation association for the purposes of the Act for insurers who:

(a) are eligible for membership in that corporation; and

(b) enter into a contract or policy of:

(i) accident and sickness insurance; or

(ii) life insurance.

Reciprocal insurers exempted

10‑5 Subsection 10-43(1) of the Act does not apply to members of an exchange or a reciprocal or inter-insurance exchange.

Compliance

10‑6 Subject to section 10-11 of the Act, the Superintendent may suspend, cancel or impose terms or conditions on the licence of any member who fails to comply with the requirements imposed pursuant to Division 6 of Part X of the Act.

PART 11Transitional, Repeal and Coming into Force

Transitional – licence fee

11‑1(1) In this section, “existing licence holder” means an insurer who held a licence issued pursuant to The Saskatchewan Insurance Act on the day before the day on which these regulations come into force.

(2) Notwithstanding section 1-8, the annual fee for an existing licence holder who applied for a licence on or before the day on which these regulations come into force is $200 for each year remaining in his or her licence term.

Transitional – application of sections 8‑133 and 8‑191 of the Act

11‑2 Sections 8-133 and 8-191 of the Act apply only to claims incurred on or after the first day of the period commencing 2 years before the day on which those sections came into force.

RRS c S‑26 Reg 2 repealed

11‑3 The Saskatchewan Insurance Councils Regulations are repealed.


11‑4 The Saskatchewan Insurance Compensation Plan Regulations, 1990 are repealed.


11‑5 The Saskatchewan Insurance Regulations, 2003 are repealed.

Coming into force

11‑6 These regulations come into force on the day on which section 1 of The Insurance Act comes into force.


Appendix

TABLE 1Fees

[Section 1-8]

Item Description Amount ($)

1 Annual fee [subsection 2-18(2) of the Act]

(a) for a fraternal society 500

(b) for a mutual or co-operative insurance companynot registered pursuant to the Insurance CompaniesAct (Canada)

500

(c) for a discontinued insurer 500

(d) for a reciprocal insurance exchange 800

(e) for an underwriters agency 800

(f) for a reinsurer 800

(g) for all other insurers

(i) that are licensed for one class of insurance

(ii) that are licensed for two classes of insurance

(iii) that are licensed for three or more classes ofinsurance

1,400

2,000

2,600

2 Late filing fee [section 2-19 of the Act]

(a) for the first day 1,000

(b) for each additional day 100

3 Reinstatement fee [clause 2-23(b) of the Act] 1,000

4 Fee to reinstate licence of federally authorized company [subsection 2-43(3) of the Act]

250

5 Fee to reinstate licence of extraprovincial company [subsection 2-45(5) of the Act]

250

6 Fee to restore one or more classes of insurance to licence of extraprovincial company [subsection 2-45(5) of the Act]

250

7 Application for endorsement [clause 6-11(e) of the Act] 500

8 Fee for copy of information in Insurance Register [clauses 10-8(b) and 10-9(b) of the Act]

(a) application fee, and 10

(b) fee per page 1

9 Application fee for insurers [clause 2-5(1)(d) of the Act] 1,000

10 Fee for certificate under seal of the Superintendent [section 10-39]

200

11 Fee for reviewing an application to amalgamate [clause 10-48(2)(e) of the Act]

1,000


TABLE 2Table of Securities’ Ratings

[Section 3-14]

Rating Organization

Commercial Paper

Bonds and Debentures

Preferred Shares

DBRS R - 1 A Pfd - 2

Standard and Poor’s Financial Services LLP

A - 1 A P - 1

Moody’s Investors Services P - 1 A a

Fitch Ratings Inc. F1 A Not applicable

CHAPTER S‑10.2 REG 1

The Saskatchewan Commercial Innovation Incentive (Patent Box) Act

Section 27


Title

1 These regulations may be cited as The Saskatchewan Commercial Innovation Incentive (Patent Box) Regulations.

Definitions

2(1) In these regulations:

“Act” means The Saskatchewan Commercial Innovation Incentive (Patent Box) Act;

“eligible cascading”, with respect to an innovation, means goods, services or processes that are:

(a) developed from the same intellectual property source, in wholeor in part, that was included in the original application for which anSCII certificate has been issued and that meet the requirements ofsection 6; and

(b) an incremental or generation improvement on the originalproposed innovation;

“eligible forking”, with respect to an innovation, means goods, services or processes that represent a significant innovation or change in the features, benefits, application or use in relation to the same intellectual property source, in whole or in part, that was included in the original application for which an SCII certificate has been issued and that meet the requirements of section 6;



“eligible intellectual property” includes;

(a) patents;

(b) plant breeders’ rights;

(c) trade secrets;

(d) copyright related to computer programs, algorithms and computerscience; and

(e) licences pertaining to any of the intellectual property mentionedin clauses (a) to (d);

“technological readiness level”, with respect to a proposed innovation, means the readiness level, including any remaining activities required to complete its development, with respect to bringing the proposed innovation to the Canadian marketplace, as described in section 3.

(2) In the Act and in these regulations:

“exceptional innovation”, with respect to a proposed innovation, meansthat the good, service or process possesses any or all of the qualities setout in subsection 3(1);

“proposed innovation” means the combination of eligible intellectualproperty and the resulting goods, services or processes that is the subjectof an applicant’s application.

Review of application – scientific eligibility test

3(1) For the purposes of section 6 of the Act, an innovation is an exceptional innovation if it possesses all or any of the following qualities:

(a) it has no equivalent in the Canadian marketplace;

(b) it is a substantial advance on the current state of the art, with respectto any comparable good, service or process, in Canada;

(c) it has unique features and benefits that materially distinguish it fromcurrent competitive offerings in the Canadian marketplace to the extentthat the innovation has the potential to create a competitive advantage oran entirely new segment of the marketplace.

(2) In providing its opinion to the minister with respect to whether a proposedinnovation is an exceptional innovation, the technical assessor shall also considerthe technological readiness level of the proposed innovation, as described insubsection (3).

(3) The technical assessor, in considering the technological readiness level ofthe proposed innovation, shall have regard to whether or not:

(a) there is a model or prototype of the innovation that represents anear-desired configuration and that model or prototype has been successfullytested in a simulated operational environment or laboratory;


(b) a prototype of the innovation at the planned operational level is readyfor demonstration in an operational environment; or

(c) the innovation is in its final form, has been proven to work in that formand under expected conditions.

(4) For the purposes of section 6 of the Act, January 1, 2017 is the earliest datethat may be used for the assessment of an applicant’s commercialization of itsproposed innovation with respect to the Canadian marketplace.

Economic eligibility test – benchmarks

4(1) The economic growth benchmarks set out in this section are to be assessed on a cumulative basis.

(2) For the purposes of clauses 9(1)(a) to (e) of the Act, the economic growthbenchmarks with respect to the innovation are as follows:

(a) the creation and maintenance of 10 net new full-time or full-timeequivalent positions in Saskatchewan over any period commencing onor after the day on which the minister provided the notice mentioned inclause 7(a) of the Act to the applicant;

(b) $10,000,000 in net new capital expenditures in Saskatchewan over anyperiod commencing on or after the day on which the minister provided thenotice mentioned in clause 7(a) of the Act to the applicant;

(c) $3,500,000 in new Saskatchewan corporate income tax paid over anyperiod commencing on or after the day on which the minister provided thenotice mentioned in clause 7(a) of the Act to the applicant;

(d) one of the following:

(i) $3,000,000 in new research and development expenditures madein Saskatchewan over any period commencing on or after the day onwhich the minister provided the notice mentioned in clause 7(a) of theAct to the applicant;

(ii) $3,000,000 in research and development expenditures made inSaskatchewan that can be directly attributed to the original proposedinnovation;

(iii) $3,000,000 in combined research and development expendituresas described in subclauses (i) and (ii).

(3) If an applicant intends to request the minister to consider an economicbenefit for the purposes of subsection 9(2) of the Act, the applicant must submitto the minister, in writing:

(a) a detailed explanation of the economic benefit the applicant claims;

(b) the expected demonstrable new economic benefits to Saskatchewanresulting from the commercialization of the proposed innovation; and

(c) a detailed explanation with respect to how the economic benefit theapplicant claims is to be measured and verified by the minister.


(4) For the purpose of calculating the net new full-time or full-time equivalentpositions described in clause (2)(a):

(a) employees who have been transferred to the eligible corporation froma related person or associated corporation are not to be included in thecalculation if, in the opinion of the minister, the transfer has not creatednet new Saskatchewan-based jobs; and

(b) employees who have been converted from independent contractors ofthe applicant or eligible corporation are not to be included in the calculationif, in the opinion of the minister, the conversion has not created net newSaskatchewan-based jobs.

Eligibility for 15‑year tax rebate

5(1) For the purposes of subsection 11(3) of the Act, an applicant or eligible corporation must provide evidence satisfactory to the minister that at least 50% of the research and development related to the proposed innovation was conducted in Saskatchewan.

(2) An applicant or eligible corporation mentioned in subsection (1) mustprovide the information regarding its research and development activities to theminister as part of the information and material that it submits to the ministerin accordance with section 8 of the Act.

Eligible cascading and eligible forking

6(1) An eligible corporation that has developed a cascading innovation or forking innovation may, before commercializing that innovation, request the minister to determine whether the cascading innovation or forking innovation is an eligible cascading innovation or eligible forking innovation, as the case may be, in accordance with this section.

(2) An eligible corporation that makes the request mentioned in subsection (1)is not required to apply for an SCII certificate pursuant to section 5 of the Actwith respect to cascading innovation or forking innovation, but must submit anotice to the minister, in a form acceptable to the minister, at least 120 daysbefore commercializing the cascading innovation or forking innovation, as thecase may be, in the Canadian marketplace.

(3) The form mentioned in subsection (2) must include:

(a) a detailed description of the proposed cascading innovation or forkinginnovation;

(b) evidence satisfactory to the minister demonstrating a definitive linkbetween the eligible intellectual property contained in the applicant’soriginal application for an SCII certificate and the intellectual propertyforming the basis of the proposed cascading innovation or forking innovation;and

(c) any other information requested by the minister that is reasonablyrequired to make the assessment of the eligibility of the cascadinginnovation or forking innovation set out in this section.


(4) The minister may cause the form mentioned in subsection (2) to be posted on the ministry’s website and to be made known to the public in any manner that the minister considers appropriate.

(5) The minister may appoint a technical assessor to evaluate the eligibility of the cascading innovation or forking innovation, and subsections 6(3) and (4) of the Act apply, with any necessary modification.

(6) On completing its review of the material forwarded to it pursuant to this section, the technical assessor shall provide an opinion to the minister with respect to whether the eligible corporation’s proposed cascading or forking innovation is an eligible cascading innovation or eligible forking innovation, as the case may be.

(7) On reviewing an opinion provided by a technical assessor pursuant to subsection (6), the minister shall:

(a) if the minister is satisfied that the cascading innovation is an eligible cascading innovation or that the forking innovation is an eligible forking innovation, provide notice to the eligible corporation, in writing, that the cascading innovation or forking innovation is an eligible cascading innovation or eligible forking innovation, as the case may be; or

(b) if the minister is not satisfied that the cascading innovation is an eligible cascading innovation or that the forking innovation is an eligible forking innovation, provide notice to the eligible corporation, in writing, that the cascading innovation or forking innovation is not an eligible cascading innovation or eligible forking innovation, as the case may be.

(8) The eligible corporation that has been provided the notice mentioned in clause (7)(a) with respect to its eligible cascading innovation or eligible forking innovation may include the income associated with the eligible cascading innovation or eligible forking innovation, as the case may be, in its claim for a rebate in accordance with section 64.6 of The Income Tax Act, 2000 for the remaining rebate period associated with the eligible corporation’s SCII certificate.

Interest rate re recovery of overpayment or rebate to which corporation is not entitled

7(1) For the purposes of clause 23(1)(c) of the Act, the rate of interest per annum with respect to the recovery of a tax rebate paid to a corporation to which that corporation was not entitled is the rate equal to the sum of:

(a) the prime lending rate of the bank holding the general revenue fund as determined and adjusted in accordance with this section; and

(b) 3%.

(2) The interest rate set out in this section is to be determined on June 15 and December 15 in each year and:

(a) the interest rate as determined on June 15 applies to interest on the amount mentioned in the certificate filed pursuant to clause 23(1)(c) of the Act accruing from July 1; and

(b) the interest rate as determined on December 15 applies to interest on the amount mentioned in the certificate filed pursuant to clause 23(1)(c) of the Act accruing from January 1 of the following year.


Service of notice or documents

8 In addition to the methods mentioned in subsection 26(1) of the Act, any notice, decision or other document required to be given or served may be served:

(a) by email to the last email address provided to the minister by theperson to be served; or

(b) by any other manner of electronic submission that is satisfactory tothe minister.

Coming into force

9(1) Subject to subsection (2), these regulations come into force on the day on which section 1 of The Saskatchewan Commercial Innovation Incentive (Patent Box) Act comes into force.

(2) If these regulations are filed with the Registrar of Regulations after theday on which section 1 of The Saskatchewan Commercial Innovation Incentive(Patent Box) Act comes into force, these regulations come into force on the dayon which they are filed with the Registrar of Regulations.

CHAPTER Y‑2 REG 1

The Youth Justice Administration ActSection 15


PART 1Preliminary Matters

Title

1 These regulations may be cited as The Youth Justice Administration Regulations.

Definitions

2 In these regulations:

“Act” means The Youth Justice Administration Act;

“Advocate” means the Advocate for Children and Youth within the meaning of The Advocate for Children and Youth Act;

“business day” means a day other than a Saturday, Sunday or holiday;

“communication” means communication made or intended to be made by oral, written or electronic means between a young person and any other person, including another young person;

“contraband” means any of the following:

(a) an intoxicant;



(b) a weapon, any component of a weapon or ammunition for a weapon,or anything that is designed to kill, injure or disable or is altered insuch a way that it, if used for the altered purposes, could kill, injureor disable;

(c) an explosive or bomb, or any component of an explosive or bomb;

(d) if possessed without prior authorization, any currency;

(e) if possessed without prior authorization, tobacco leaves or anyproducts produced from tobacco in any form or for any use;

(f) if possessed without prior authorization, any other object orsubstance that may jeopardize the security of the custody facility orthe safety of young persons, youth workers or the public;

(g) any other object or substance in the possession of a person contraryto the rules of the custody facility or these regulations;

“director” means the director of the custody facility, the director of operations or the director of programs;

“intoxicant” means a substance that, if taken into the body, has the potential to impair or alter judgment, behaviour or the capacity to recognize reality or meet the ordinary demands of life, but does not include caffeine, nicotine or any authorized medication used in accordance with directions given by youth workers or a health care professional;

“offence” means an offence against an Act, the Criminal Code or any other Act of the Parliament of Canada, an Act of another province or territory of Canada or any regulation or bylaw made pursuant to any of those Acts;

“supervisor” means a youth worker whose primary responsibility is to exercise authority and perform functions that are supervisory in nature, but who is not the director or the provincial director.

Young person to be advised of rules and provided with related materials

3(1) As soon as is reasonably practicable after a young person is admitted to a custody facility, the director shall advise the young person, both orally and in writing, of the rules of the custody facility and the disciplinary procedures of the custody facility.

(2) The director shall provide a young person reasonable access to the following:

(a) the Act;

(b) these regulations;

(c) information with respect to how to appeal:

(i) a decision made pursuant to section 6; or

(ii) an order of separate confinement pursuant to section 23.

(3) The director shall advise the young person of:

(a) his or her right to communicate with the Advocate;

(b) the services provided by the Advocate; and

(c) how to communicate with the Advocate, including the contactinformation for the Advocate.


(4) The director shall ensure that an appropriate number of copies of thematerials mentioned in subsections (1) and (2) are available at locations withinthe custody facility accessible to all young persons.

(5) The director shall make reasonable efforts to ensure that a young person whois unable to adequately understand the material mentioned in subsections (1)and (2) receives assistance to understand the material.

PART 2Informal Discipline

Disciplinary infractions

4 A young person commits a disciplinary infraction if the young person does any of the following:

(a) disobeys a direction of a youth worker;

(b) enters an area of the custody facility in which the young person is notauthorized to be without the permission of a youth worker;

(c) enters a living unit or room that is not assigned to the young personwithout the permission of a youth worker;

(d) wilfully or recklessly damages or destroys property that is not theproperty of the young person;

(e) steals property or possesses stolen property;

(f) possesses property that is not the property of the young person, withoutthe permission of a youth worker;

(g) provides or sells contraband to another young person;

(h) behaves in an insulting or an abusive manner towards a person;

(i) behaves in a manner towards a person that:

(i) threatens or demeans the person or violates that person’s dignity;or

(ii) shows hatred or contempt for the person based on the person’srace, colour, ancestry, place of origin, religion, marital status, familystatus, physical or mental disability, sex, sexual orientation, age orgender identity;

(j) engages in an indecent act;

(k) engages in horseplay or roughhousing;

(l) physically fights with another person;

(m) assaults or threatens another person;

(n) takes an intoxicant into his or her body;

(o) uses, without prior authorization, any products produced from tobaccoin any form or for any use;


(p) obstructs a youth worker in the execution of his or her duties;

(q) creates or participates in:

(i) a disturbance; or

(ii) any other activity that threatens or is likely to threaten themanagement, operation, discipline or security of, or the safety of anyperson in, the custody facility;

(r) does anything for the purpose of escaping custody;

(s) offers, gives or accepts a bribe;

(t) gambles;

(u) gives to or accepts from another young person money or other propertywithout permission of a youth worker;

(v) engages in activity that promotes or encourages the creation, statusor activities of a gang, including the display of an item or symbol or the useof a signal associated with a gang;

(w) makes a communication that:

(i) is indecent, threatening or abusive;

(ii) contravenes a court order;

(iii) a youth worker has prohibited the young person from making; or

(iv) counsels, aids or abets a person to commit an offence;

(x) provides a false or misleading statement to a youth worker;

(y) possesses or attempts to obtain contraband;

(z) fails to comply with a demand or direction to provide a sample for aurinalysis pursuant to section 20;

(aa) attempts to do, assists another person to do or attempts to assist another person in doing anything mentioned in clauses (a) to (z).

Steps to be taken by youth worker

5(1) If a youth worker believes on reasonable grounds that a young person is committing or has committed a disciplinary infraction, the youth worker must do all of the following, if the circumstances allow:

(a) either:

(i) stop the disciplinary infraction from continuing; or

(ii) give the young person an opportunity:

(A) to discontinue the disciplinary infraction; or

(B) to correct his or her behaviour;

(b) inform the young person:

(i) of the disciplinary infraction committed; and

(ii) what the disciplinary infraction consists of;

(c) take steps to resolve the matter informally.


(2) If, in the opinion of the youth worker mentioned in subsection (1), thedisciplinary infraction has not been or cannot be satisfactorily resolved bythe actions described in that subsection, the youth worker must, as soon as ispracticable, file a written report with the director that includes:

(a) the disciplinary infraction that has been committed;

(b) the circumstances surrounding the disciplinary infraction; and

(c) the action taken, if any, pursuant to subclause (1)(a)(ii).

(3) The report mentioned in subsection (2) must, if provided by the young person,include a written statement of the young person’s account of the circumstancessurrounding the disciplinary infraction.

(4) A written statement of a young person mentioned in subsection (3) may be:

(a) written by the young person; or

(b) written by a youth worker, other than the youth worker mentioned insubsection (1), based on a description provided by the young person.

Behaviour management consequences

6(1) If a young person commits a disciplinary infraction, the youth worker mentioned in subsection 5(1) may order one or more of the following consequences:

(a) a warning or reprimand;

(b) an oral or written apology;

(c) a reduction in the monetary allowance to which the young person wouldotherwise be entitled;

(d) full or partial monetary compensation for damage to or loss of property;

(e) temporary or permanent loss of one or more privileges or activitiesnormally available to the young person;

(f) confinement in a room, locked or unlocked, for a specified period notlonger than 2 hours;

(g) transfer of the young person to a different room or living unit in thecustody facility.

(2) In addition to any consequences ordered pursuant to subsection (1), the youthworker may recommend to the director the revocation of a reintegration leaveauthorized pursuant to section 11 of the Act with respect to the young person.

(3) In determining appropriate consequences pursuant to subsection (1) and inmaking a recommendation pursuant to subsection (2), the youth worker mustconsider:

(a) the minimum level of intervention required to correct the behaviourof the young person;

(b) the need to ensure the security of the custody facility and the safety ofyoung persons, youth workers and the public; and

(c) the need for the consequences to be:

(i) meaningful to the particular young person;


(ii) fair in the circumstances; and

(iii) proportionate to the harm done.

Review by supervisor

7(1) A supervisor may conduct a review of an order made pursuant to section 6.

(2) The supervisor has a duty to act fairly and must conduct a full and unbiasedreview, including reviewing the relevant information.

(3) The supervisor may interview the young person and any other relevantpersons.

(4) The supervisor shall notify the young person and the youth workermentioned in subsection 5(1) in writing of the review decision and includereference to applicable legislation, provincial policies, local procedural directivesand the rules of the custody facility.

Appeal to director

8(1) If the young person disagrees with the order of the youth worker pursuant to clause 6(1)(c),(d),(e) or (g), the recommendation made pursuant to subsection 6(2) or the review decision made pursuant to subsection 7(4), the young person may appeal the decision to the director, in the form and manner approved by the director.

(2) The director shall:

(a) review the order made pursuant to section 6, or the decision madepursuant to subsection 7(4), and any submissions made by the young person;

(b) uphold, dismiss, amend or overturn the order or decision; and

(c) notify the young person, the youth worker mentioned in section 6and the supervisor of the director’s decision within 2 business days afterreceiving the appeal mentioned in subsection (1).

(3) If the director is unable to provide a decision within 2 business days, thedirector shall provide the young person with an update with respect to the statusof the appeal in writing.

Appeal to the provincial director

9(1) If the young person disagrees with the decision of the director in relation to an order made pursuant to clause 6(1)(g) or subsection 6(2), the young person may appeal, in the form and manner approved by the director, that decision to the provincial director.

(2) The provincial director shall:

(a) review the decision made pursuant to section 8 and any submissionsmade by the young person;

(b) uphold, dismiss, amend or overturn the decision; and

(c) notify the young person, the youth worker mentioned in section 6, thesupervisor and the director of the provincial director’s decision within 2business days after receiving the appeal mentioned in subsection (1).

(3) If the provincial director is unable to provide a decision within 2 businessdays, the provincial director shall provide the young person with an update withrespect to the status of the appeal in writing.

(4) The decision of the provincial director on appeal is final.


PART 3Searches

Definitions for Part

10 In this Part:

“contraband” means any of the following:

(a) an intoxicant;

(b) a weapon, any component of a weapon or ammunition for aweapon, or anything that is designed to kill, injure or disable or isaltered so as to be capable of killing, injuring or disabling;

(c) an explosive or bomb, or any component of an explosive or bomb;

(d) if possessed without prior authorization, any other object orsubstance that may jeopardize the security of the custody facility orthe safety of young persons, youth workers or the public;

“non‑intrusive search” means a search by means of:

(a) a walk-through metal detector;

(b) a hand-held scanner;

(c) a medical imaging device; or

(d) a canine search;

and may include a search of personal possessions, including any clothing the person may be carrying and any coat, jacket or footwear that the person has been requested to remove;

“pat down search” means a search by hand conducted by a youth worker of a clothed person from head to foot, down the front and rear of the body, around the arms and legs and inside clothing folds, pockets and footwear, and may include:

(a) a search of personal possessions, including any clothing the personmay be carrying and any coat, jacket or footwear that the person hasbeen requested to remove; and

(b) in the case of a young person, a search of the young person’s roomand its contents;

“strip search” means a visual search by a youth worker of a nude person that includes:

(a) a visual inspection of the following:

(i) the person undressing completely;

(ii) the open mouth, hands and arms of the person;

(iii) the soles of the feet and the insides of the ears of the person;

(iv) the person running his or her fingers through his or herhair; and

(v) the person bending over; and


(b) the person doing anything else that is necessary for the purposesof the strip search;

and includes a search of personal possessions, including any clothing the person may be carrying and any coat, jacket or footwear that the person has been requested to remove.

Search of young person

11(1) A non-intrusive search or pat down search of a young person may be conducted without individualized suspicion when he or she:

(a) enters, leaves or returns to a custody facility;

(b) enters or leaves a separate confinement area in accordance withsection 23;

(c) meets with an outside service provider;

(d) meets with a visitor;

(e) moves between different areas of the custody facility; or

(f) has been requested to submit a urinalysis and the search is conductedimmediately before the sample is provided.

(2) For the purposes of detecting contraband, a youth worker may, withoutindividualized suspicion, conduct periodic searches of:

(a) a young person and any personal possessions, including clothing, thatthe young person may be carrying or wearing; and

(b) a young person’s room and its contents.

Strip search of young person

12(1) A youth worker of the same gender as the young person may conduct a strip search of a young person without individualized suspicion when he or she:

(a) enters, leaves or returns to a custody facility;

(b) enters or leaves a separate confinement area pursuant to section 23; or

(c) returns from reintegration leave authorized pursuant to section 11 ofthe Act.

(2) A youth worker of the same gender as the young person may conduct a stripsearch of a young person if the youth worker:

(a) believes on reasonable grounds that:

(i) the young person is carrying contraband or carrying evidence withrespect to an offence; and

(ii) a strip search is necessary to find the contraband or evidence; and

(b) satisfies the provincial director that there are reasonable grounds tobelieve that the circumstances mentioned in clause (a) exist.


Strip search – general

13(1) If the circumstances allow, a youth worker must, before conducting a strip search:

(a) inform the person to be strip searched of the reasons for the stripsearch; and

(b) explain how the strip search is to be conducted.

(2) A strip search that is conducted by a youth worker must be:

(a) observed by one other youth worker;

(b) carried out in as private an area as the circumstances allow; and

(c) carried out as quickly as the circumstances allow.

(3) The youth worker mentioned in clause (2)(a) must be the same gender asthe person who is the subject of the strip search unless the director believes onreasonable grounds that the delay that would be necessary in order to complywith this requirement would result in danger to human life or safety.

(4) Notwithstanding subsection (3) and section 12, in the case of a young personwhose gender identity differs from the sex the young person had or was identifiedas having at birth, the youth worker may allow the young person to be searchedby a male or female youth worker.

Warnings about searches

14 At each custody facility a warning must be posted stating that all visitors and vehicles at the custody facility are subject to being searched in accordance with these regulations.

Search and detention of visitors

15(1) A youth worker may, after giving the visitor the option of voluntarily leaving the custody facility, conduct a non-intrusive search or pat down search of a visitor, without individualized suspicion, when the visitor enters a custody facility.

(2) If a visitor refuses to undergo a search pursuant to subsection (1), the youthworker may:

(a) prohibit a contact visit with the young person and authorize anon-contact visit; or

(b) request the visitor to leave the facility immediately.

(3) If a youth worker suspects on reasonable grounds that a visitor is carryingcontraband or evidence with respect to an offence, the youth worker shall givethe visitor the option of voluntarily leaving the facility.

(4) If the visitor mentioned in subsection (3) advises the youth worker that thevisitor does not wish to leave the facility, the youth worker may conduct a patdown search of the visitor.

(5) If a visitor advises the youth worker pursuant to subsection (4) that thevisitor does not wish to leave the facility, then refuses to undergo a searchpursuant to that subsection, the youth worker may authorize the detention ofthe visitor in order to obtain the services of the police.


(6) With the visitor’s consent, a search pursuant to subsection (4) may includea strip search by a youth worker of the same gender as the visitor in accordancewith these regulations.

(7) If contraband or evidence with respect to an offence is found in a searchconducted in accordance with this section, the director may authorize the furtherdetention of the visitor in order to obtain the services of the police.

(8) A person detained pursuant to this section must:

(a) be informed promptly of the reasons for the detention and of his orher right to retain and instruct counsel; and

(b) be given a reasonable opportunity to retain and instruct counsel.

Search and detention of youth workers

16(1) A non-intrusive or pat down search of a youth worker may be conducted, without individualized suspicion, when the youth worker enters a custody facility.

(2) A youth worker may, with the prior authorization of the director, withoutindividualized suspicion, conduct a search of another youth worker’s locker forthe purpose of ensuring the security of the custody facility or the safety of youngpersons, youth workers or the public.

(3) If a youth worker believes on reasonable grounds that another youth workeris carrying contraband or evidence with respect to an offence and that a patdown search or strip search is necessary to find the contraband or evidence, theyouth worker may detain the other youth worker in order to:

(a) obtain the authorization of the director to conduct a pat down searchor strip search; or

(b) obtain the services of the police.

(4) If the director is satisfied on reasonable grounds by the youth workermentioned in subsection (3) that another youth worker is carrying contrabandor evidence with respect to an offence and that a pat down or strip search isnecessary to find the contraband or evidence, the director may:

(a) authorize the youth worker to conduct a pat down search of the otheryouth worker; or

(b) authorize a youth worker of the same gender as the other youth workerto conduct a strip search of the other youth worker.

(5) A youth worker detained pursuant this section must:

(a) be informed promptly of the reasons for the detention and of his orher right to retain and instruct counsel; and

(b) be given a reasonable opportunity to retain and instruct counsel.

Search of vehicles

17(1) A search of a vehicle on the property of a custody facility may be conducted, without individualized suspicion.

(2) A search mentioned in subsection (1) may involve stopping the vehicle,entering the vehicle, visually inspecting any part of the vehicle or its contentsand manually manipulating any article or contents contained in or on the vehicle.


Strip searches requiring written reports

18 A youth worker conducting a strip search under any of the following circumstances must complete a written report of the search and submit the report to the director as soon as is practicable after the search:

(a) search pursuant to subsection 12(2) of a youth for contraband orevidence relating to an offence;

(b) search and detention of a visitor;

(c) search and detention of a youth worker.

Body cavity search

19(1) In this section:

“body cavity” means the rectum or the vagina;

“body cavity search” means the physical probing of a body cavity in the manner set out in subsection (4).

(2) If a youth worker believes on reasonable grounds that a young person hasingested contraband or is carrying contraband in a body cavity, the youth workershall not seize or attempt to seize that contraband, but shall inform the director.

(3) If the director is satisfied that there are reasonable grounds to believe thata young person has ingested contraband or is carrying contraband in a bodycavity, the director may authorize any or all of the following:

(a) the use of a medical imaging machine to find the contraband, if theconsent of the young person and of a duly qualified medical practitioneris obtained;

(b) the detention of the young person in a separate confinement withoutoperating plumbing fixtures, with notice to the custody facility’s medicalstaff, on the expectation that the contraband will be expelled.

(4) If the director is satisfied that there are reasonable grounds to believethat a young person is carrying contraband in a body cavity and that a bodycavity search is necessary in order to find or seize the contraband, the directormay authorize a body cavity search to be conducted by a duly qualified medicalpractitioner in a health care facility, if the consent of the young person and of aduly qualified medical practitioner is obtained.

Urinalysis – young persons and youth workers

20(1) In this section, “urinalysis” means a procedure by which a person provides a urine sample, by the normal excretory process, for analysis.

(2) The director may request that a young person provide a sample for aurinalysis:

(a) at any time, if the director believes on reasonable grounds that theyoung person has taken an intoxicant into the young person’s body; or


(b) if abstention from an intoxicant is a condition of a reintegrationleave or a privilege, and urinalysis is required to monitor a young person’scompliance with the condition:

(i) at regular intervals; or

(ii) at any time, if the director suspects on reasonable grounds thatthe young person has breached the condition.

(3) Subject to subsection (4), if a request is made pursuant to subsection (2),the director must:

(a) inform the young person of the basis of the request and the consequences of failure to comply with the request;

(b) give the young person the opportunity to object to the request; and

(c) if the young person agrees to provide the sample, carry out the requestand take the sample in accordance with subsection (7).

(4) If a young person objects to providing a sample for a urinalysis, the directorshall:

(a) consider the young person’s objections to determine whether there arereasonable grounds on which to require the sample; and

(b) ensure that the young person is kept separate for no more than 2 hoursfrom other people until a determination is made pursuant to clause (a).

(5) If the director determines that there are reasonable grounds on which torequire the sample, the director shall direct the young person to provide thesample.

(6) If a young person fails to comply with a request made pursuant tosubsection (2) or a direction pursuant to subsection (5), the director may takeone or more of the following actions:

(a) impose a behaviour management consequence pursuant to section 6;

(b) impose any other loss of privileges that the director considersappropriate.

(7) A urine sample must be provided in accordance with the followingprocedures:

(a) the person who supervises the taking of the sample must be of thesame gender as the person providing the urine sample;

(b) the person providing the sample must wash his or her hands beforeproviding the sample;

(c) the person who supervises the taking of the sample must provide theperson providing the urine sample with a container for the sample andmust be present as the person provides the sample;

(d) the person who supervises the taking of the sample must give theperson providing the sample up to 2 hours from the time of a request toprovide a sample;


(e) the person who supervises the taking of the sample must ensure thatthe person providing the sample is kept separate from other people, exceptthe person supervising the taking of the sample, and is not left alone duringthe period mentioned in clause (d);

(f) once the sample has been provided, the person who supervised thetaking of the sample must, in the presence of the person providing thesample:

(i) seal the container;

(ii) affix a label to the container identifying the sample in a mannerthat does not disclose the identity of the person providing the sampleto the laboratory; and

(iii) certify on the label that the container contains the sampleprovided by that person;

(g) the person who supervises the taking of the sample must keep a writtenrecord that indicates that the label affixed pursuant to subclause (f)(ii)corresponds to the name of the person providing the sample.

(8) If a person required to provide a urine sample fails to provide a urine sampleand the requirements of subsection (7) have otherwise been met, the person isconsidered to have failed to comply with the request to provide a sample forurinalysis.

(9) The director may request that a youth worker, while acting in theperformance of his or her duties within the custody facility, provide a samplefor a urinalysis if the director believes on reasonable grounds that the youthworker has taken an intoxicant into the youth worker’s body.

(10) Subsections (3) to (5), (7) and (8) apply, with any necessary modification, tothe making of the request for a urine sample from a youth worker, the carryingout of the request and the taking of the sample from the youth worker.

(11) Notwithstanding clause (7)(a), in the case of a young person whose genderidentity differs from the sex the young person had or was identified as having atbirth, the youth worker may allow the supervision of the taking of the sampleby a male or female youth worker.

Power of seizure and disposition of things seized

21(1) A youth worker may seize an object or substance if the youth worker believes on reasonable grounds that the object or substance is contraband or evidence of an offence.

(2) As soon as is practicable after an object or a substance is seized pursuantto subsection (1), the youth worker shall:

(a) submit a report to the director in a form and manner approved by thedirector describing the object or substance and the circumstances in whichit was seized; and

(b) deposit the object or substance in a secure place at the custody facility.


(3) The director shall return an object or substance seized pursuant to subsection (1) to its owner if:

(a) it is in the possession or control of the director;

(b) it is not contraband or evidence with respect to an offence; and

(c) there is no dispute about who owns it.

(4) If an object or substance is seized from a young person pursuant to subsection (1) and the object or substance is contraband, but its possession outside the custody facility would be lawful, the director may direct that:

(a) the object or substance be kept in a secure place at the custody facility and returned to the young person on his or her release from custody;

(b) the young person be given 20 business days to make arrangements for the disposal or safekeeping of the object or substance outside the custody facility; or

(c) the object or substance be disposed of if:

(i) it is of a perishable nature and subject to spoilage;

(ii) it will deteriorate in value if kept;

(iii) its possession involves unreasonable expense or inconvenience; or

(iv) keeping it is unsafe.

(5) An object or substance that is the subject of a direction pursuant to subsection (4) is forfeited to the Crown in accordance with section 22 if:

(a) within 20 business days after being notified of its seizure, the owner does not request its return;

(b) the owner cannot be located and 3 months have passed since the seizure;

(c) the object or substance is determined to be contraband and possession of it outside the custody facility would be unlawful; or

(d) in the case of an owner who is a young person:

(i) possession of it by the young person would constitute possession of contraband; and

(ii) the young person has not arranged for the disposal or safekeeping of the object or substance outside the custody facility within 20 business days after being given the opportunity to do so in accordance with clause (4)(b).

Forfeiture or disposal of seized property

22(1) For the purposes of subsection 21(5), an object or substance that is the subject of a direction pursuant to subsection 21(4) is forfeited to the Crown in the following manner:

(a) in the case of money, the money must be deposited into the general revenue fund;


(b) in the case of items, if, in the opinion of the director:

(i) the item is of no value, the item may be destroyed;

(ii) the item is of a value less than $500, the item may be donated toa charitable organization;

(iii) the item is of a value equal to or greater than $500, the itemmust be sent to the minister responsible for the administration of ThePublic Works and Services Act.

(2) If an object or substance is disposed of, the director shall ensure that:

(a) a detailed record is kept of any object or substance disposed of, includinga description of the property and the date and manner of disposition; and

(b) a copy of the record mentioned in clause (a) is provided to the youngperson on request.

PART 4Security and Safety

Separate confinement

23(1) Subject to subsection (2), a youth worker may order that a young person be confined separately from other young persons in the custody facility if the youth worker believes on reasonable grounds that:

(a) the young person:

(i) is endangering, or is likely to endanger, himself or herself oranother person; or

(ii) is threatening, or is likely to threaten, the management, operationor security of the custody facility; and

(b) all other means of dealing with the young person have been exhaustedor are not reasonable in the circumstances.

(2) Subject to subsection (3), a young person must not be separately confined fora period longer than is necessary to address the concerns set out in clause (1) (a)and, in any event, must not be separately confined for more than 72 hours.

(3) The director may, for medical or other reasons, authorize separateconfinement of a young person for more than 72 hours with the approval of theprovincial director.

(4) As soon as is practicable after a young person is separately confined and,in any event, no more than 4 hours into that confinement, a youth worker mustexplain, and provide written notice, to the young person of the reasons forseparate confinement.

(5) If a young person is separately confined for more than 24 hours, the youthworker who made the order shall ensure that the young person is given areasonable opportunity to seek advice from a lawyer or contact the Advocatewithout delay.


Review by supervisor

24(1) A supervisor shall conduct a review of a separate confinement ordered pursuant to section 23 within 2 hours after the order is made.

(2) The supervisor has a duty to act fairly and must conduct a full and unbiasedreview, including:

(a) reviewing the relevant information; and

(b) interviewing the young person and any other relevant persons.

(3) The supervisor shall notify the young person and the youth worker mentionedin subsection 23(1) in writing of the review decision and include reference toapplicable legislation, provincial policies, local procedural directives and theunit rule book.

Appeal to director

25(1) If the young person accepts the decision of the supervisor made pursuant to subsection 24(3), the young person shall sign the review form, which is to be forwarded to the director and be placed on the young person’s file.

(2) If the young person disagrees with the decision of the supervisor madepursuant to subsection 24(3), the young person may appeal the decision to thedirector in the form and manner approved by the director.

(3) The director shall:

(a) review the decision made pursuant to subsection 24(3), the materialsthat were part of the review conducted pursuant to subsection 24(2) and anysubmissions made by the young person;

(b) uphold, dismiss, amend or overturn the decision of the supervisor; and

(c) notify the young person and the supervisor mentioned in subsection 24(1)within 2 business days after receiving the appeal mentioned in subsection (2).

(4) If the director is unable to provide a decision within 2 business days, thedirector shall provide the young person with an update with respect to the statusof the appeal in writing.

Appeal to provincial director

26(1) If the young person accepts the decision of the director made pursuant to subsection 25(3), the young person shall sign the review form, which is to be placed on the young person’s file.

(2) If the young person disagrees with the decision of the director made pursuantto subsection 25(3), the young person may appeal the decision in the form andmanner provided by the director to the provincial director.

(3) The provincial director shall:

(a) review the decision made pursuant to subsection 25(3), the materialsthat were part of the appeal and any submissions made by the young person;

(b) uphold, dismiss, amend or overturn the decision of the director; and

(c) notify the young person and the director within 2 business days afterreceiving the appeal mentioned in subsection (2).


(4) If the provincial director is unable to provide a decision within 2 businessdays, the provincial director shall provide the young person with an update withrespect to the status of the appeal in writing.

(5) The decision of the provincial director on appeal is final.

Use of force

27(1) If all other means of dealing with the young person have been exhausted or are not reasonable in the circumstances, a youth worker may use a reasonable degree and means of force to:

(a) prevent or discontinue harm to another person;

(b) prevent the commission or continuation of an offence, including theapprehension of a young person at large without lawful excuse;

(c) overcome resistance or compel compliance necessary for the securityof the custody facility;

(d) prevent a young person from escaping; or

(e) maintain custody and control of a young person.

(2) A young person must not be physically restrained for a period longer thanis necessary for the reasons set out in subsection (1).

Use of physical restraint devices

28(1) A youth worker may use a type of physical restraint device that is approved by the provincial director to restrain a young person if circumstances require the use of the physical restraint device for the purposes mentioned in subsection 27(1).

(2) A physical restraint device must not be used to restrain a young person formore than 1 continuous hour unless:

(a) authorized by the director pursuant to subsection (3); or

(b) the young person is on an escorted absence from the custody facility.

(3) The director may authorize the use of a physical restraint device to restraina young person for more than 1 continuous hour but, subject to subsection (4),for no more than 8 continuous hours, if:

(a) the director believes on reasonable grounds that the use of the physicalrestraint device is necessary to ensure the safety of the young person or ofanother person, or for the security of the custody facility; and

(b) other means of dealing with the young person have been exhausted orare not reasonable in the circumstances.

(4) The director may authorize the use of a physical restraint device to restraina young person for more than 8 continuous hours with the approval of theprovincial director.

(5) A director who authorizes the use of a physical restraint device pursuant tosubsection (4) must review the condition of the young person with the provincialdirector every 8 hours following the approval of the provincial director while thephysical restraint device is being used.

(6) The provincial director may at any time revoke the approval that wasprovided pursuant to subsection (4).


PART 5Coming into Force

Coming into force

29(1) Subject to subsection (2), these regulations come into force on July 1, 2017.

(2) If these regulations are filed with the Registrar of Regulations afterJuly 1, 2017, these regulations come into force on the day on which they are filedwith the Registrar of Regulations.

SASKATCHEWAN REGULATIONS 50/2017

The Wildlife Act, 1998Section 83

Minister’s Order, dated June 26, 2017(Filed June 26, 2017)

Title

1 These regulations may be cited as The Open Seasons Game Amendment Regulations, 2017.

RRS c W‑13.12 Reg 3 amended

2 The Open Seasons Game Regulations, 2009 are amended in the manner set forth in these regulations.

Section 2 amended

3 Section 2 is amended:

(a) by adding the following clause after clause (l):

“(l.1) ‘dark geese’ means Canada geese, white-fronted geese and cackling geese”;

(b) in clause (r) by adding “, Nesslin Lake” after “Bronson Forest”;

(c) in clause (w) by adding “, Last Mountain Lake, Stalwart” after“Bradwell”; and

(d) in subclause (x)(ii) by striking out “and European grey orHungarian” and substituting “and gray, or Hungarian,”.

Section 4 amended

4 Section 4 is amended by striking out “Subject to sections 22, 27, 51 and 58” and substituting “Subject to sections 22, 27, 29.2, 51, 58 and 63”.

Section 8 amended

5 Subsection 8(2) is amended by striking out “and the Last Mountain Lake and Stalwart National Wildlife Areas,”.

Section 9 amended

6(1) Clause 9(2)(c) is amended by adding “, Nesslin Lake” after “Bronson Forest”.




(2) Clause 9(3)(c) is amended by adding “, Nesslin Lake” after “BronsonForest”.

(3) Clause 9(4)(c) is amended by adding “, Nesslin Lake” after “BronsonForest”.

Section 11 amended

7(1) Clause 11(2)(d) is amended by adding “, Nesslin Lake” after “Bronson Forest”.

(2) Clause 11(3)(d) is amended by adding “, Nesslin Lake” after “BronsonForest”.

(3) Clause 11(4)(d) is amended by adding “, Nesslin Lake” after “BronsonForest”.

Section 13 amended


(2) Clause 13(3)(b) is amended by adding “, Nesslin Lake” after “BronsonForest”.

(3) Clause 13(4)(b) is amended by striking out “and in Bronson ForestRecreation Site” and substituting “and in Bronson Forest and Nesslin LakeRecreation Sites”.

Section 19 amended

9 Clause 19(2)(b) is amended by adding “, Nesslin Lake” after “Bronson Forest”.

Section 20 amended

10 Clause 20(2)(b) is amended by striking out “and in Bronson Forest Recreation Site” and substituting “and in Bronson Forest and Nesslin Lake Recreation Sites”.

Section 22 amended


(2) Subsection 22(3) is amended:

(a) in clause (a) by adding “, Nesslin Lake” after “Bronson Forest”; and

(b) by repealing clauses (c) and (d) and substituting the following:

“(c) in Wildlife Management Zone 33 and in Moose Mountain Provincial Park, from October 15 to October 24, November 1 to November 9 and December 10 to December 19 in each year and from January 10 to January 19 in the following year; and

“(d) in Wildlife Management Zone 46, from October 15 to October 31 and December 10 to December 19 in each year and from January 10 to January 19 in the following year”.


Section 23 amended

12 Subsection 23(2) is amended by adding “, Nesslin Lake” after “Bronson Forest”.

Section 24 amended

13(1) Clause 24(2)(a) is amended by adding “, Nesslin Lake” after “Bronson Forest”.

(2) Subsection 24(3) is repealed and the following substituted:

“(3) A person who is the holder of a Guided Moose Licence may hunt a total of 1 bull moose:

(a) in Wildlife Management Zones 60 to 62, from October 1 to October 14and November 1 to November 14;

(b) in Wildlife Management Zone 69, from October 15 to October 31 andNovember 20 to November 30;

(c) in Wildlife Management Zones 70 to 76, from September 1 toNovember 30; and

(d) in Lac La Ronge, Athabasca Sand Dunes and Clearwater RiverProvincial Parks, from September 10 to November 30”.

Section 26 amended

14(1) Subsection 26(2) is amended by adding “, Nesslin Lake” after “Bronson Forest”.

(2) Subsection 26(3) is amended by adding “, Nesslin Lake” after “BronsonForest”.

Heading, Part V, amended

15 The heading to Part V is struck out and the following substituted:

“Barren‑Ground Caribou, Bison, Wolf and Black Bear Open Seasons”.

Section 29 amended

16 Subsection 29(2) is amended:

(a) in clause (a) by striking out “in Wildlife Management Zones 30, 34to 40, 42 to 50 and 52 to 76,” and substituting “in Wildlife ManagementZones 30, 34 to 50 and 52 to 76,”; and

(b) in clause (b) by adding “, Nesslin Lake” after “Bronson Forest”.

New section 29.2

17 The following section is added after section 29.1:

“Wolf archery and muzzle‑loading firearm and rifle open seasons

29.2(1) No person shall hunt wolf by any means other than a bow and arrow, crossbow or muzzle-loading firearm, or by any means other than the means prescribed in The Wildlife Regulations, 1981, during the wolf open seasons established pursuant to this section.

(2) A person who is the holder of a Saskatchewan Resident Wolf Licence mayhunt a total of 1 wolf of either sex in Wildlife Management Zones 43, 47 to 50, 53,54, 55 and 68N from October 15 in each year to March 31 in the following year”.


Section 46 amended

18 Clause 46(2)(b) is repealed and the following substituted:

“(b) in the South Game Bird District, from September 15 to November 14”.

New section 47

19 Section 47 is repealed and the following substituted:

“Gray, or Hungarian, partridge

47(1) The open seasons for gray, or Hungarian, partridge are the open seasons established pursuant to this section.

(2) A person who is the holder of a Saskatchewan Resident Game Bird Licencemay hunt gray, or Hungarian, partridge in the North Game Bird District and inthe South Game Bird District from September 15 to December 31.

(3) A person who is the holder of a Canadian Resident Game Bird Licence or aNon-resident Game Bird Licence may hunt gray, or Hungarian, partridge:

(a) in the North Game Bird District, from September 15 to December 7; and

(b) in the South Game Bird District, from September 15 to November 14”.

Section 48 amended

20(1) Subsection 48(2) is amended by striking out “in the North Game Bird District, the South Game Bird District and Last Mountain Lake and Stalwart National Wildlife Areas” and substituting “in the North Game Bird District and in the South Game Bird District”.

(2) Clause 48(3)(b) is repealed and the following substituted:

“(b) in the South Game Bird District, from September 15 to November 14”.

Section 50 amended

21 Subsection 50(2) is repealed and the following substituted:

“(2) A person who is the holder of a Saskatchewan Resident Game Bird Licence may hunt cock pheasants in the South Game Bird District from October 1 to December 31”.

Section 58 amended

22 Subsection 58(1) is amended by striking out “in the North Game Bird District and the South Game Bird District and Last Mountain Lake and Stalwart National Wildlife Areas” and substituting “in the North Game Bird District and in the South Game Bird District”.

Section 59 amended


“(2) A person who is the holder of a Saskatchewan Resident Game Bird Licence, a Canadian Resident Game Bird Licence or a Non-resident Game Bird Licence may hunt ducks, coots and snipe in the North Game Bird District and in the South Game Bird District from September 1 to December 16”.

Section 60 amended


“(2) A person who is the holder of a Saskatchewan Resident Game Bird Licence, a Canadian Resident Game Bird Licence or a Non-resident Game Bird Licence may hunt sandhill cranes in the North Game Bird District and in the South Game Bird District, other than in the Last Mountain Lake National Wildlife Area, from September 1 to December 16”.


New section 61


“Dark geese open seasons

61(1) The open seasons for dark geese are the open seasons established pursuant to this section.

(2) A person who is the holder of a Saskatchewan Resident Game Bird Licence,a Canadian Resident Game Bird Licence or a Non-resident Game Bird Licencemay hunt dark geese in the North Game Bird District and in the South GameBird District from September 1 to December 16”.

Section 62 repealed

26 Section 62 is repealed.

Section 63 amended


“(2) A person who is the holder of a Saskatchewan Resident Game Bird Licence, a Canadian Resident Game Bird Licence or a Non-resident Game Bird Licence may hunt white geese in the North Game Bird District and in the South Game Bird District from September 1 to December 16 in each year and from March 15 to June 15 in the following year”.

Coming into force


(2) If these regulations are filed with the Registrar of Regulations afterJuly 1, 2017, these regulations come into force on the day on which they arefiled with the Registrar of Regulations.


The Agri-Food Act, 2004Sections 7, 8 and 43


Title

1 These regulations may be cited as The Barley Development Plan Amendment Regulations, 2017.

RRS c A‑15.21 Reg 15 amended

2 The Barley Development Plan Regulations are amended in the manner set forth in these regulations.

Section 2 amended


(a) by repealing clause (g); and

(b) by repealing subclause (j)(ii) and substituting the following:

“(ii) has paid a levy pursuant to subsection 23(1)”.




Section 11 amended

4 Subsection 11(1) is amended by striking out “after new directors have been elected or appointed” and substituting “following the annual general meeting”.

Section 20 amended

5 The following subsection is added after subsection 20(2):

“(3) Registration remains in effect until:

(a) the registered producer applies for and the commission approves arefund pursuant to section 24;

(b) the commission has not received a levy payment from the registeredproducer for two consecutive fiscal years;

(c) the death of a registered producer who is an individual; or

(d) the dissolution of a corporation, association, society or otherdesignation”.

Section 24 amended

6(1) Clause 24(1)(a) is repealed and the following substituted:

“(a) the commission receives a written request for the refund from the producer with respect to the levy paid in a fiscal year, not later than August 31 of the following fiscal year”.


“(2) If the commission receives and verifies a written request for a refund of the levy that was paid to the commission by the producer in a fiscal year, the commission shall make the refund of that levy to the producer not later than November 30 of the following fiscal year”.

Section 27 amended

7 Subsections 27(2) to (5) are repealed and the following substituted:

“(2) If a registered producer is a corporation, partnership or other organization, it must appoint an individual who is a director, partner, shareholder, member, officer or employee as its representative.

“(3) Appointment of a representative pursuant to subsection (2) must be filed with the commission in a form and manner acceptable to the commission.

“(4) A corporation, partnership or other organization is entitled to hold office only through a representative appointed pursuant to subsections (2) and (3).

“(5) Voting by proxy is prohibited.

“(6) Every registered producer is entitled to one vote”.

Section 28 repealed


Section 29 amended


“(3) Every nomination must:

(a) be made in writing in the form required by the commission;


(b) be signed by:

(i) two registered producers;

(ii) two representatives of registered producers mentioned insubsection 27(2); or

(iii) any combination of the persons mentioned in subclauses (i)and (ii) totalling two persons;

(c) include a candidate profile, as required by the returning officer; and

(d) be delivered to the returning officer on or before the date fixed pursuantto clause (2)(a) as the last date for receipt of nominations.

“(4) Any information provided pursuant to subsection (3) shall be considered confidential and is not to be disclosed to any person until after the date fixed pursuant to clause (2)(a).

“(5) After the date fixed pursuant to clause (2)(a), the returning officer shall forward copies of all nominations to the commission”.

New section 30


“Returning officer and scrutineers

30(1) Subject to subsection (2), the commission shall appoint a returning officer to conduct an election pursuant to section 31.

(2) Producers, buyers and officers and employees of the commission are noteligible to be appointed pursuant to subsection (1).

(3) The returning officer appointed pursuant to subsection (1) is responsiblefor all administrative procedures relating to conducting an election.

(4) Any registered producer nominated pursuant to section 29 may provide ascrutineer to scrutinize the ballot verification and vote count that follow theclose of an election”.

Section 31 amended

11(1) Subsection 31(2) is amended:

(a) by striking out “and” after clause (a); and

(b) by repealing clause (b) and substituting the following:

“(b) at least 15 business days before the date fixed pursuant to clause (a), provide to every registered producer:

(i) a numbered ballot;

(ii) the candidate profile submitted pursuant to clause 29(3)(c); and

(iii) a notice that states the date and time by which and the place towhich the ballot is to be returned; and

“(c) if the commission provides ballots pursuant to subclause (b)(i) in paper form, provide an envelope with the ballot”.



“(3) Every registered producer that wishes to vote in an election shall:

(a) complete the ballot provided by the commission; and

(b) return the ballot to the returning officer in the manner stated in thenotice sent pursuant to subclause (2)(b)(iii) by the date fixed for them tobe returned”.


“(5) The ballot of a registered producer is not valid if:

(a) the registered producer votes for more than the specified number ofcandidates;

(b) it is defaced;

(c) it is marked in any way other than to vote for candidates;

(d) it is not the original ballot provided by the commission; or

(e) the individual who voted on behalf of the registered producer votedmore than once on behalf of that registered producer.

“(6) If the number of candidates nominated pursuant to section 29 is greater than the number of director positions to be filled, the commission shall not advertise in any manner any funding announcement, new program or new service provided by or delivered on behalf of the commission during the period from the date fixed pursuant to clause 29(2)(a) to the date fixed pursuant to clause (2)(a)”.

Section 33 amended


“(3) The commission shall:

(a) within 10 business days of receiving the returning officer’s writtenreport, provide to candidates notification of the election results includingtotal vote counts for all candidates; and

(b) make the written report of the returning officer available on requestto any registered producer”.

Section 34 amended

13(1) Subsection 34(1) is amended by striking out “Subject to subsections (2), (3) and (6),” and substituting “Subject to subsection (6),”.

(2) Subsections 34(2) and (3) are repealed.

New section 36


“Retention of election records

36 The returning officer shall:

(a) retain the following in his or her possession:

(i) the original nominations submitted pursuant to clause 29(3)(a);


(ii) the original candidate profiles submitted pursuant toclause 29(3) (c);

(iii) the ballots; and

(b) not destroy any nomination, candidate profile, ballot or other recordrespecting an election of directors until 35 days after the annual generalmeeting of registered producers at which the results of the election weredeclared”.

Section 37 amended

15(1) Subsection 37(1) is repealed and the following substituted:

“(1) Any registered producer nominated pursuant to section 29 may submit a written objection to the council to challenge any of the following:

(a) the results of an election of directors, as provided pursuant toclause 33(3)(a);

(b) the results of a vote to break a tie, as declared by the returning officerpursuant to subsection 35(4)”.


“(2) A written objection submitted pursuant to subsection (1) must:

(a) set out the grounds for the objection; and

(b) be received by the council within 30 days after notification of the electionresults pursuant to clause 33(3)(a)”.

Section 38 repealed


Coming into force

17 These regulations come into force on the day on which they are filed with the Registrar of Regulations.




Title

1 These regulations may be cited as The Commercial Egg Marketing Plan Amendment Regulations, 2017.


2 The Commercial Egg Marketing Plan Regulations are amended in the manner set forth in these regulations.




New section 20


“Investments

20(1) The board may invest any money in its possession or control that is not immediately required for the purposes of the plan or its operations in any security or class of securities authorized for investments of moneys in the general revenue fund pursuant to The Financial Administration Act, 1993.

(2) With the approval of the council, the board may invest any money in itspossession or control that is not immediately required for the purposes of the planor its operations in any security or class of securities other than one authorizedpursuant to subsection (1) if the board satisfies the council that the proposedinvestment is:

(a) consistent with the purposes of the plan;

(b) in the best interests of producers; and

(c) not contrary to the public interest.

(3) The board may dispose of any investment made pursuant to subsection (1)or (2) in any manner, on any terms and in any amount that the board considersexpedient”.

Section 62 amended


“(2) No payment is to be made pursuant to subsection (1) without prior approval of the board and the council if the proposed payment is:

(a) for the purpose of:

(i) supporting and conducting activities to promote and develop theproduction and marketing of eggs in Saskatchewan; or

(ii) assisting in increasing the total provincial allotment as definedin Part VII; and

(b) the amount of the proposed payment exceeds 20% of the assets of thetrust fund”.

Coming into force




The Agri-Food Act, 2004Section 7, 8 and 43


Title

1 These regulations may be cited as The Oat Development Plan Amendment Regulations, 2017.


2 The Oat Development Plan Regulations are amended in the manner set forth in these regulations.

Section 2 amended


(a) by repealing clause (g) and substituting the following:

“(g) ‘oat producer’ means:

(i) any person engaged in the production, marketing or productionand marketing of oats, and includes the employer of that person;

(ii) a person who, under any lease or agreement, is entitled to a shareof the oats or the proceeds of their sale; and

(iii) a person who takes possession of any oats under any form ofsecurity or legal proceedings for a debt”; and

(b) by repealing subclause (h)(ii) and substituting the following:

“(ii) has paid a levy pursuant to subsection 23(1)”.

Section 21 amended



(a) the registered oat producer applies for and the commission approvesa refund pursuant to section 24;

(b) the commission has not received a levy payment from the registeredoat producer for two consecutive fiscal years;

(c) the death of a registered oat producer who is an individual; or


Section 23 amended


“(1) Every oat producer engaged in the production, marketing, or production and marketing of oats shall pay to the commission, at the times and in the manner determined by the commission, a levy calculated in accordance with this section”.




(2) The following subsections are added after subsection 23(3):

“(4) The commission may require any buyer to:

(a) deduct the levy mentioned in subsection (1), and other fees and chargeson oats levied pursuant to these regulations, from any payment made toan oat producer; and

(b) forward the levy and other fees and charges to the commission.

“(5) The commission may require any producer to:

(a) deduct the levy mentioned in subsection (1), and other fees and chargeson oats levied pursuant to these regulations, from any payment from anotheroat producer; and

(b) forward the levy and other fees and charges to the commission.

“(6) The commission may recover in a court of competent jurisdiction the levies, fees and charges mentioned in this section from oat producers and buyers”.

Section 24 amended


“(a) the commission receives a written request for the refund from the oat producer with respect to the levy paid in a fiscal year, not later than August 31 of the following fiscal year”.


“(2) If the commission receives and verifies a written request for a refund of the levy that was paid to the commission by the oat producer in a fiscal year, the commission shall make the refund of that levy to the oat producer not later than November 30 of the following fiscal year”.

Section 27 amended


“(2) If a registered oat producer is a corporation, partnership or other organization, it must appoint an individual who is a director, partner, shareholder, member, officer or employee as its representative.




“(6) Every registered oat producer is entitled to one vote”.


Section 29 amended




(b) be signed by:

(i) two registered oat producers;

(ii) two representatives of registered oat producers mentioned insubsection 27(2); or






Section 31 amended




“(b) at least 15 business days before the date fixed pursuant to clause (a), provide to every registered oat producer:






“(3) Every registered oat producer that wishes to vote in an election shall:





“(5) The ballot of a registered oat producer is not valid if:

(a) the registered oat producer votes for more than the specified numberof candidates;

(b) it is defaced;



(e) the individual who voted on behalf of the registered oat producer votedmore than once on behalf of that registered oat producer.


New section 33


“Election results

33(1) The chairperson or the returning officer shall read the written report prepared pursuant to subsection 31(4) at the first annual general meeting of registered oat producers after the election, immediately after the minutes of the previous meeting have been dealt with.

(2) The reading of the written report pursuant to subsection (1) is deemed tobe the declaration of the election of the directors.

(3) The commission shall:


(b) make the written report of the returning officer available on requestto any registered oat producer”.

New section 36








(b) not destroy any nomination, candidate profile, ballot or other recordrespecting an election of directors until 35 days after the annual generalmeeting of registered oat producers at which the results of the electionwere declared”.


Section 37 amended


“(1) Any registered oat producer nominated pursuant to section 29 may submit a written objection to the council to challenge any of the following:






(b) be received by the council within 30 days after notification of theelection results pursuant to clause 33(3)(a)”.

Coming into force





Title

1 These regulations may be cited as The Wheat Development Plan Amendment Regulations, 2017.


2 The Wheat Development Plan Regulations are amended in the manner set forth in these regulations.

Section 2 amended


(a) by repealing clause (f);

(b) by repealing subclause (i)(ii) and substituting the following:

“(ii) has paid a levy pursuant to subsection 23(1)”; and

(c) by repealing subclause (j)(i) and substituting the following:

“(i) the genus species Triticum Aestivum L. em Thell and TriticumTurgidum L. var. durum Desf., and includes the cultivars for thewheat classes CWRS, CWES, CPSR, CPSW, CWAD, CWSWS,CWHWS, CNHR, and CWSP”.




Section 20 amended



(a) the registered producer applies for and the commission approves arefund pursuant to section 24;

(b) the commission has not received a levy payment from the producer fortwo consecutive fiscal years;

(c) the death of a registered producer who is an individual; or


Section 24 amended


“(a) the commission receives a written request for the refund from the producer with respect to the levy paid in a fiscal year, not later than August 31 of the following fiscal year”.


“(2) If the commission receives and verifies a written request for a refund of the levy that was paid to the commission by the producer in a fiscal year, the commission shall make the refund of that levy to the producer not later than November 30 of the following fiscal year”.

Section 27 amended


“(2) If a registered producer is a corporation, partnership or other organization, it must appoint an individual who is a director, partner, shareholder, member, officer or employee as its representative.




“(6) Every registered producer is entitled to one vote”.

Section 28 repealed


Section 29 amended




(b) be signed by:

(i) two registered producers;


(ii) two representatives of registered producers mentioned insubsection 27(2); or






New section 30


“Returning officer and scrutineers

30(1) Subject to subsection (2), the commission shall appoint a returning officer to conduct an election pursuant to section 31.

(2) Producers, buyers and officers and employees of the commission are noteligible to be appointed pursuant to subsection (1).

(3) The returning officer appointed pursuant to subsection (1) is responsiblefor all administrative procedures relating to conducting an election.

(4) Any registered producer nominated pursuant to section 29 may provide ascrutineer to scrutinize the ballot verification and vote count that follow theclose of an election”.

Section 31 amended




“(b) at least 15 business days before the date fixed pursuant to clause (a), provide to every registered producer:






“(3) Every registered producer that wishes to vote in an election shall:





“(5) The ballot of a registered producer is not valid if:

(a) the registered producer votes for more than the specified number ofcandidates;

(b) it is defaced;



(e) the individual who voted on behalf of the registered producer votedmore than once on behalf of that registered producer.


Section 33 amended


“(3) The commission shall:


(b) make the written report of the returning officer available on requestto any registered producer”.

Section 34 amended

12(1) Subsection 34(1) is amended by striking out “Subject to subsections (2), (3) and (6),” and substituting “Subject to subsection (6),”.

(2) Subsections 34(2) and (3) are repealed.

New section 36








(b) not destroy any nomination, candidate profile, ballot or other recordrespecting an election of directors until 35 days after the annual generalmeeting of registered producers at which the results of the election weredeclared”.


Section 37 amended


“(1) Any registered producer nominated pursuant to section 29 may submit a written objection to the council to challenge any of the following:






(b) be received by the council within 30 days after notification of theelection results pursuant to clause 33(3)(a)”.

Section 38 repealed


Coming into force



The Saskatchewan Medical Care Insurance ActSection 48


Title

1 These regulations may be cited as The Medical Care Insurance Beneficiary and Administration Amendment Regulations, 2017.

RRS c S‑29 Reg 13 amended

2 The Medical Care Insurance Beneficiary and Administration Regulations are amended in the manner set forth in these regulations.

Section 2 amended


(a) in clause (c) by striking out “The Corrections Act” and substituting“The Correctional Services Act, 2012”;

(b) by repealing clause (e) and substituting the following:

“(e) ‘diagnostic x‑ray procedure’ means a service of the kind listed in section X of the physician payment schedule under the heading ‘Diagnostic Radiology’”;




(c) by repealing clause (g) and substituting the following:

“(g) ‘hospital’ means a facility that has been designated as a hospital pursuant to The Regional Health Services Act”; and

(d) by repealing clause (r).

Section 5 amended


(a) in clause (a) by adding “or she” after “he”;


“(b) a person who is receiving care or treatment for a mental disorder at a mental health centre as defined in The Mental Health Services Act, other than a person who is entitled to have payment in full made at the expense of the Government of Canada with respect to any insured services he or she receives”;

(c) in clause (c) by striking out “facility, as defined in The MentalHealth Services Act, pursuant to sections 17, 18, 19, 21, 22, 23 or 24 of thatAct during the period that he continues to be an in-patient of that facility”and substituting “mental health centre, as defined in The Mental HealthServices Act, pursuant to section 17, 18, 19, 21, 22, 23 or 24 of that Actduring the period that he or she continues to receive care or treatment asan in-patient in that mental health centre”; and

(d) in clause (i) by striking out “Department of Social Services as aperson to whom rehabilitation services are being given by that department”and substituting “Ministry of Social Services as a person to whomrehabilitation services are being given by that ministry”.

Section 6 amended

5(1) Clause 6(1)(b) is amended:

(a) in subclause (iii) by striking out “department” and substituting“ministry”; and

(b) in subclause (iv) by striking out “Minister of Manpower andImmigration” and substituting “Minister of Immigration, Refugees andCitizenship Canada”.

(2) Subsection 6(6) is amended by striking out “the Department ofCitizenship and Immigration of the Government of Canada” and substituting“Immigration, Refugees and Citizenship Canada”.

Section 10 amended


(a) by repealing clause (b) and substituting the following:

“(b) services provided to a patient in a mental health centre as defined in The Mental Health Services Act”;

(b) in clause (c) by striking out “The Workers’ Compensation Act, 1979”and substituting “The Workers’ Compensation Act, 2013”;


(c) in clause (h) by striking out “, dentist or chiropractor” andsubstituting “or dentist”; and

(d) in subclause (l)(i) by striking out “an in-patient facility withinthe meaning of ” and substituting “a mental health centre as defined in”.

Section 13 amended


(a) by adding “or” after clause (c);

(b) by striking out “or” after clause (d); and

(c) by repealing clause (e).

Section 18.1 repealed

8 Section 18.1 is repealed.

Coming into force





Title

1 These regulations may be cited as The Chiropractic Services Payment Negotiation Repeal Regulations.


2 The Chiropractic Services Payment Negotiation Regulations are repealed.

Coming into force








Title

1 These regulations may be cited as The Saskatchewan Medical Care Insurance Payment Amendment Regulations, 2017.

RRS c S‑29 Reg 19 amended

2 The Saskatchewan Medical Care Insurance Payment Regulations, 1994 are amended in the manner set forth in these regulations.

Section 2 amended


(a) by adding the following clause after clause (b):

“(b.1) ‘ministry’ means the ministry over which the minister presides”; and

(b) in clause (c) by striking out “department” and substituting“ministry”.

Section 3 amended


(a) by repealing clause (a); and

(b) by striking out “department” and substituting “ministry” in eachof the following provisions:

(i) subclause (b)(i);

(ii) subclause (b)(ii);

(iii) subclause (b)(iii);

(iv) subclause (b)(iv);

(v) subclause (b)(v);

(vi) subclause (b)(vi);

(vii) subclause (c)(i);

(viii) subclause (c)(ii);

(ix) subclause (c)(iii);

(x) subclause (c)(iv);

(xi) subclause (c)(v);

(xii) subclause (c)(vi);

(xiii) the portion of subclause (d)(i) preceding paragraph (A);

(xiv) subclause (d)(ii);

(xv) the portion of subclause (d)(iii) preceding paragraph (A);

(xvi) the portion of subclause (d)(iv) preceding paragraph (A).




Section 4 amended

5 Clause 4(1)(a) is repealed.

Section 5 amended

6 Clause 5(1)(f) is amended by striking out “chiropractic payment schedule,”.

Section 6 amended

7 Clause 6(1)(a) is repealed.

Section 7 amended

8 Subsection 7(1) is repealed.

Section 20 amended

9 Section 20 is amended by striking out “department” and substituting “ministry”.

Coming into force



The Health Administration ActSection 17


Title

1 These regulations may be cited as The Chiropody Services Repeal Regulations.

RRS c D‑17 Reg 5 repealed

2 The Chiropody Services Regulations are repealed.

Coming into force






The Regional Health Services ActSection 64


Title

1 These regulations may be cited as The Special-care Homes Rates Amendment Regulations, 2017.

RRS c R‑8.2 Reg 8 amended

2 The Special-care Homes Rates Regulations, 2011 are amended in the manner set forth in these regulations.

New section 8


“Maximum resident charge

8 The maximum resident charge per month:

(a) for the period commencing on July 1, 2017 and ending onSeptember 30, 2017 is the amount MAXRC, rounded down to the nearestdollar, calculated in accordance with the following formula:

MAXRC = EMAXRC + ( EMAXRC × NMBI – EMBI ) + $624 EMBI

where:

EMAXRC is the maximum resident charge per month for the three-month period preceding July 1, 2017;

NMBI is the minimum base income for the period commencing on July 1, 2017 and ending on September 30, 2017; and

EMBI is the minimum base income for the three-month period preceding July 1, 2017;

(b) for each three-month period commencing on or after October 1, 2017is the amount MAXRC, rounded down to the nearest dollar, calculated inaccordance with the following formula:

MAXRC = EMAXRC + ( EMAXRC × NMBI – EMBI ) EMBI

where:

EMAXRC is the maximum resident charge per month for the three-month period preceding the period for which MAXRC is being calculated;

NMBI is the minimum base income for the period for which MAXRC is being calculated; and

EMBI is the minimum base income for the three-month period preceding the period for which MAXRC is being calculated”.




Section 9 amended

4(1) Subsection 9(1) is amended in the portion preceding the formula by striking out “December 31, 2017” and substituting “June 30, 2017”.


(a) in the portion preceding the formula by striking out“January 1, 2018” and substituting “July 1, 2017 and ending onDecember 31, 2017”;

(b) in the formula to calculate RC by striking out “50%” andsubstituting “57.5%”; and

(c) in the description of the variable RI by striking out“subsection (4)” and substituting “subsection (3)”.

(3) The following subsection is added after subsection 9(2):

“(2.1) Subject to subsections (5) to (7) and sections 11 to 13, for the period commencing on January 1, 2018, the monthly amount that may be charged to a resident of a special-care home is the amount RC calculated in accordance with the following formula:

RC = MINRC + (57.5% × RI)

where:

MINRC is the minimum resident charge applicable to the month; and

RI is the amount, rounded down to the nearest dollar, calculated in accordance with subsection (4)”.

(4) Subsection 9(5) is amended by striking out “subsection (1) or (2)” andsubstituting “subsection (1), (2) or (2.1)”.

(5) Subsection 9(6) is amended by striking out “subsection (1) or (2)” andsubstituting “subsection (1), (2) or (2.1)”.

Coming into force


(2) If these regulations are filed with the Registrar of Regulations afterJuly 1, 2017, these regulations come into force on the day on which they arefiled with the Registrar of Regulations.



The Crown Minerals ActSection 22


Title

1 These regulations may be cited as The Coal Disposition (Audit Assessments) Amendment Regulations, 2017.

RRS c C‑50.2 Reg 3, new sections 40.1 to 40.3

2 The following sections are added after section 40 of The Coal Disposition Regulations, 1988:

“Penalty on audit assessments

40.1(1) For the purposes of section 24.1 of the Act, every person liable to pay a royalty pursuant to a lease shall pay to the minister a penalty at the rate set out in subsection (2) on any royalty that is not paid or remitted as and when required by the Act or these regulations.

(2) For the purposes of subsection (1), the penalty is 10% of the royalty thatis not paid or remitted as and when required by the Act or these regulations.

“Interest on audit assessments

40.2(1) For the purposes of section 24.1 of the Act, every person liable to pay a royalty pursuant to a lease shall pay to the minister interest at the rate set out in subsection (2) on any royalty that is not paid or remitted as and when required by the Act or these regulations, calculated from the day on which that amount should have been paid or remitted to the date on which it is received by the minister, as shown in the records of the minister.

(2) For the purposes of subsection (1), the rate of interest per annum withrespect to any royalty that is not paid or remitted as and when required by theAct or these regulations is the rate equal to the sum of:

(a) the prime lending rate of the bank holding the general revenue fundas determined and adjusted in accordance with this section; and

(b) 3%.

(3) The interest rate set out in this section is to be determined on June 15 andDecember 15 in each year and:

(a) the interest rate as determined on June 15 applies to any royalty thatis not paid or remitted as mentioned in subsection (1) on or after July 1; and

(b) the interest rate as determined on December 15 applies to any royaltythat is not paid or remitted as mentioned in subsection (1) on or afterJanuary 1 of the following year.




“Refunds

40.3(1) Subject to subsections (2) and (3), if a person liable to pay a royalty pursuant to a lease has made an overpayment of a royalty, the minister:

(a) shall refund the amount of the overpayment to the person liable to paya royalty pursuant to the lease; and

(b) may pay interest on the amount mentioned in clause (a) at the rateand in the manner set out in subsection (6).

(2) If a person liable to pay a royalty pursuant to a lease owes any royalty tothe Crown pursuant to the Act or these regulations at the time the ministerdetermines that an overpayment has been made:

(a) the minister shall retain the amount of the overpayment, or as muchof the overpayment as is required, and apply it to the royalty owing; and

(b) the minister shall notify the person liable to pay a royalty pursuantto the lease of the set-off mentioned in clause (a).

(3) No refund is payable if the fact of the overpayment did not come tothe attention of the minister within four years after the date on which theoverpayment occurred.

(4) Notwithstanding The Limitations Act, no action may be brought to recoveran overpayment after the expiration of four years after the date on which theoverpayment occurred.

(5) The refund of an overpayment of a royalty is to be made in a mannerapproved by the minister.

(6) The rate of interest per annum to be paid on a refund of an overpaymentof a royalty pursuant to subsection (1) is equal to the prime lending rate of thebank holding the general revenue fund, and subsection 40.2(3) applies, with anynecessary modification”.

Coming into force

3(1) Subject to subsection (2), these regulations come into force on the day on which section 1 of The Miscellaneous Statutes (Economy - Audit Assessments) Amendment Act, 2017 comes into force.

(2) If these regulations are filed with the Registrar of Regulations after the dayon which section 1 of The Miscellaneous Statutes (Economy - Audit Assessments)Amendment Act, 2017 comes into force, these regulations come into force on theday on which they are filed with the Registrar of Regulations.





Title

1 These regulations may be cited as The Crown Mineral Royalty (Audit Assessments) Amendment Regulations, 2017.

RRS c C‑50.2 Reg 29 amended

2 The Crown Mineral Royalty Regulations are amended in the manner set forth in these regulations.

Section 34 amended

3 Subsection 34(7) is amended in the portion preceding clause (a) by striking out “section 43” and substituting “section 43.2”.

New heading – Part V

4 The heading preceding section 43 is struck out and the following substituted:

“PART VPenalty, Interest and Recovery of Royalty”.

Section 43 repealed


New sections 43.1 and 43.2

6 The following sections are added before section 44:


43.1(1) For the purposes of section 24.1 of the Act, every royalty payer shall pay to the minister a penalty at the rate set out in subsection (2) on any royalty that is not paid or remitted as and when required by the Act or these regulations.

(2) For the purposes of subsection (1), the rate is 10% of the royalty that is notpaid or remitted as and when required by the Act or these regulations.


43.2(1) For the purposes of section 24.1 of the Act, every royalty payer shall pay to the minister interest at the rate set out in subsection (2) on any royalty that is not paid or remitted as and when required by the Act or these regulations, calculated from the day on which that amount should have been paid or remitted to the date on which the amount is received by the minister, as shown in the records of the minister.

(2) For the purposes of subsection (1), the rate of interest per annum is therate that is equal to the sum of:


(b) 3%.





(a) the interest rate as determined on June 15 applies to any royalty thatis not paid or remitted as mentioned in subsection (1) on or after July 1; and

(b) the interest rate as determined on December 15 applies to any royaltythat is not paid or remitted as mentioned in subsection (1) on or afterJanuary 1 of the following year”.

Coming into force






Title

1 These regulations may be cited as The Crown Oil and Gas Royalty (Audit Assessments) Amendment Regulations, 2017.

RRS c C‑50.2 Reg 28 amended

2 The Crown Oil and Gas Royalty Regulations, 2012 are amended in the manner set forth in these regulations.

New section 40.1

3 The following section is added after section 40:


40.1(1) For the purposes of section 24.1 of the Act, every operator shall pay to the minister a penalty on any amount invoiced to the operator pursuant to clause 42(a).

(2) For the purposes of subsection (1), the penalty is 10% of the amount invoicedto the operator pursuant to clause 42(a)”.

Section 41 amended

4 Subsections 41(1) and (2) are repealed and the following substituted:

“(1) For the purposes of section 24.1 of the Act, every operator of an EOR project who fails to file a return within the time required pursuant to section 40 shall pay to the minister interest on any amount invoiced pursuant to clause 42(a) from the last day on which the return was required to be filed pursuant to section 40 to the day on which the minister receives the return, as shown in the records of the minister.




“(2) For the purposes of section 24.1 of the Act, every royalty payer shall pay to the minister interest on any amount invoiced to the operator pursuant to clause 42(a) as a result of any examination of the return mentioned in subsection (1) or any subsequent audit”.

New section 56.1



56.1(1) For the purposes of section 24.1 of the Act, if any amount with respect to the royalties imposed by the Act or these regulations is not remitted by an operator or special operator to the minister as and when required by these regulations, the operator or special operator shall pay to the minister a penalty on that amount at the rate set out in subsection (2).

(2) For the purposes of this section, the penalty is 10% of the royalty that is notpaid or remitted as and when required by the Act or these regulations”.

New section 57


“Interest

57(1) For the purposes of section 24.1 of the Act, if any amount with respect to the royalties imposed by the Act or these regulations is not remitted to the minister by an operator or special operator as and when required by these regulations, the operator or special operator shall pay to the minister interest on the amount at the rate set out in section 63 from the day on which that amount should have been remitted to the day on which it is remitted, as shown in the records of the minister.

(2) For the purposes of section 24.1 of the Act, if any amount with respectto the royalties imposed by the Act or these regulations is not remitted by aroyalty payer to an operator or special operator as and when required by theseregulations, the royalty payer shall:

(a) pay to the minister interest on that amount at the rate set out insection 63 from the day on which that amount should have been remitted tothe day on which it is remitted, as shown in the records of the minister; and

(b) remit the interest to the operator or special operator to which thatamount relates in the manner required by these regulations.

(3) For the purposes of section 24.1 of the Act, if any interest has been remittedto an operator or special operator pursuant to subsection (2), the operator orspecial operator shall remit the interest to the minister on or before the last dayof the month in which the interest is remitted to the operator, and section 47applies, with any necessary modification, to the interest and to the remittanceof it, except as otherwise provided in these regulations”.

Coming into force





The Freehold Oil and Gas Production Tax Act, 2010Section 60


Title

1 These regulations may be cited as The Freehold Oil and Gas Production Tax (Audit Assessments) Amendment Regulations, 2017.

RRS c F‑22.11 Reg 1 amended

2 The Freehold Oil and Gas Production Tax Regulations, 2012 are amended in the manner set forth in these regulations.

New section 39.1



39.1(1) For the purposes of section 31.1 of the Act, every taxpayer shall pay to the Crown a penalty on any amount invoiced to the operator pursuant to clause 41(a).

(2) For the purposes of subsection (1), the penalty is 10% of the amount invoicedto the operator pursuant to clause 41(a)”.

Section 40 amended


“(2) For the purposes of section 31.1 of the Act, every taxpayer shall pay to the Crown interest on any amount invoiced to the operator pursuant to clause 41(a) as a result of any examination of the return mentioned in section 39 or any subsequent audit”.

New section 64.1



64.1(1) For the purposes of section 31.1 of the Act, every taxpayer shall pay to the Crown a penalty at the rate set out in subsection (2) on any tax that is not paid or remitted as and when required by the Act or these regulations.

(2) For the purposes of subsection (1), the rate is 10% of the tax that is not paidor remitted as and when required by the Act or these regulations”.

Coming into force







The Mineral Taxation Act, 1983Section 46


Title

1 These regulations may be cited as The Potash Production Tax (Audit Assessments) Amendment Regulations, 2017.

RRS c M‑17.1 Reg 6 amended

2 The Potash Production Tax Regulations are amended in the manner set forth in these regulations.

Section 30 amended

3 Subsection 30(1.1) is amended by striking out “, sections 17.1 or 25.1 of these regulations or subsection 26(2) of the Act” and substituting “ or section 17.1 or 25.1 of these regulations”.

New sections 39.01 to 39.03

4 The following sections are added after section 39:


39.01(1) For the purposes of section 26.1 of the Act, every producer shall pay to the minister a penalty at the rate set out in subsection (2) on any tax that is not paid or remitted as and when required by the Act or these regulations.

(2) For the purposes of subsection (1), the penalty is 10% of the tax that is notpaid or remitted as and when required by the Act or these regulations.


39.02 For the purposes of section 26.1 of the Act, every producer shall pay interest pursuant to subsection 22(1) of the Act at the rate set out in subsection 30(1) of these regulations.

“Refunds

39.03(1) Subject to subsections (2) and (3), if a producer has made an overpayment of tax, the minister:

(a) shall refund the amount of the overpayment to the producer; and

(b) may pay interest at the rate and in the manner set out in subsection (6).

(2) If a producer owes any taxes pursuant to the Act or these regulations at thetime the minister determines that an overpayment has been made:

(a) the minister shall retain the amount of the overpayment, or as muchof the overpayment as is required, and apply it to the taxes owing; and

(b) the minister shall notify the producer of the set-off mentioned inclause (a).

(3) No refund is payable if the fact of the overpayment did not come tothe attention of the minister within three years after the date on which theoverpayment occurred.

(4) Notwithstanding The Limitations Act, no action may be brought to recoveran overpayment after the expiration of three years after the date on which theoverpayment occurred.




(5) The refund of an overpayment of tax is to be made in a manner approvedby the minister.

(6) The rate of interest per annum to be paid on a refund of an overpaymentof tax pursuant to subsection (1) is equal to the prime lending rate of the bankholding the general revenue fund, and subsection 22(2) applies, with anynecessary modification”.

Coming into force




The Mineral Taxation Act, 1983Section 46


Title

1 These regulations may be cited as The Sodium Chloride Production Tax (Audit Assessments) Amendment Regulations, 2017.

RRS c M‑17.1 Reg 5, new sections 5 to 5.3

2 The Sodium Chloride Production Tax Regulations are amended by repealing section 5 and substituting the following:

“Interest

5(1) For the purposes of subsection 22(1) of the Act, the interest rate is 1.5% of the amount not paid or remitted for each month and for any portion of a month that the amount is outstanding.

(2) For the purposes of subsection 22(2) of the Act, the rate of interest is the rateequal to the prime lending rate of the bank holding the general revenue fund.


5.1(1) For the purposes of section 26.1 of the Act, every producer shall pay to the minister a penalty at the rate set out in subsection (2) on any tax that is not paid or remitted as and when required by the Act or these regulations.

(2) For the purposes of subsection (1), the penalty is 10% of the tax that is notpaid or remitted as and when required by the Act or these regulations.


5.2(1) For the purposes of section 26.1 of the Act, every producer shall pay interest pursuant to subsection 22(1) of the Act at the rate set out in subsection (2).




(2) For the purposes of subsection (1), the rate of interest per annum withrespect to any tax that is not paid or remitted as and when required by the Actor these regulations is the rate equal to the sum of:


(b) 3%.


(a) the interest rate as determined on June 15 applies to any tax that isnot paid or remitted as mentioned in subsection (1) on or after July 1; and

(b) the interest rate as determined on December 15 applies to any tax thatis not paid or remitted as mentioned in subsection (1) on or after January 1of the following year.

“Refunds

5.3(1) Subject to subsections (2) and (3), if a producer has made an overpayment of tax, the minister:

(a) shall refund the amount of the overpayment to the producer; and

(b) may pay interest at the rate and in the manner set out in subsection (6).

(2) If a producer owes any taxes to the minister pursuant to the Act or theseregulations at the time the minister determines that an overpayment has beenmade:

(a) the minister shall retain the amount of the overpayment, or as muchof the overpayment as is required, and apply it to the taxes owing; and

(b) the minister shall notify the producer of the set-off mentioned inclause (a).

(3) No refund is payable if the fact of the overpayment did not come tothe attention of the minister within three years after the date on which theoverpayment occurred.

(4) Notwithstanding The Limitations Act, no action may be brought to recoveran overpayment after the expiration of three years after the date on which theoverpayment occurred.

(5) The refund of an overpayment of tax is to be made in a manner approvedby the minister.

(6) The rate of interest per annum to be paid on a refund of an overpaymentof tax pursuant to subsection (1) is equal to the prime lending rate of the bankholding the general revenue fund, and subsection 5.2(3) applies, with anynecessary modification”.

Coming into force





The Oil and Gas Conservation ActSections 16, 18, 18.2 and 20.98


Title

1 These regulations may be cited as The Oil and Gas Conservation Amendment Regulations, 2017.

RRS c O‑2 Reg 6 amended

2 The Oil and Gas Conservation Regulations, 2012 are amended in the manner set forth in these regulations.

Section 2 amended


(a) by renumbering it as subsection 2(1); and

(b) by adding the following subsection after subsection (1):

“(2) For the purposes of clause 3(1)(f) of the Act and in these regulations, ‘to protect the environment’ includes protecting the environment with respect to all matters relating to the construction, operation and maintenance of pipelines”.

Section 15 amended

4 Clause 15(a) is amended by striking out “The Environmental Management and Protection Act, 2002 ” and substituting “The Environmental Management and Protection Act, 2010 ”.

New Part III.1

5 Part III.1 is repealed and the following substituted:

“PART III.1Administrative Levy

“Definitions for Part

24.1 In this Part:

(a) ‘abandoned pipeline’ means a pipeline designated as abandoned onthe records of the ministry as of December 31 of the base year;

(b) ‘abandoned well’ means a well designated as abandoned on the recordsof the ministry as of December 31 of the base year;

(c) ‘annual adjustment factor’ means the adjustment factor set for ayear by the Lieutenant Governor in Council pursuant to subsection 16(2)of the Act;

(d) ‘base year’ means the calendar year preceding the year during whichan administrative levy is calculated and assessed pursuant to this Part;

(e) ‘pipeline kilometre’ means the surveyed length in kilometres of apipeline as shown on the records of the ministry as of December 31 of thebase year;

(f) ‘service well’ means a well licensed as an injection, disposal or storagewell;




(g) ‘well production volume’ means the sum of:

(i) the annual base year production volume of oil from the well incubic metres; and

(ii) the annual base year production volume of gas from the well inthousand cubic metres adjusted by a 1:1 conversion ratio to make thegas produced comparable to oil.

“Well and pipeline classes

24.2(1) The classes of wells to be used in the calculation of the administrative levy are the following:

(a) Class 1 - service wells that reported any injection or disposal volumeduring the base year;

(b) Class 2 - wells having well production volumes during the base yearof greater than zero and less than or equal to 300 cubic metres;

(c) Class 3 - wells having well production volumes during the base yearthat are greater than 300 cubic metres and less than or equal to 600 cubicmetres;

(d) Class 4 - wells having well production volumes during the base yearthat are greater than 600 cubic metres and less than or equal to 1 200cubic metres;

(e) Class 5 - wells having well production volumes during the base yearthat are greater than 1 200 cubic metres and less than or equal to 2 000cubic metres;

(f) Class 6 - wells having well production volumes during the base yearthat are greater than 2 000 cubic metres and less than or equal to 4 000cubic metres;

(g) Class 7 - wells having well production volumes during the base yearthat are greater than 4 000 cubic metres and less than or equal to 6 000cubic metres;

(h) Class 8 - wells having well production volumes during the base yearthat are greater than 6 000 cubic metres;

(i) Class 9 - wells, other than abandoned wells, that have no wellproduction, injection or disposal volumes during the base year.

(2) The classes of pipelines to be used in the calculation of the administrativelevy are the following:

(a) Class 1 - flowlines subject to The Pipelines Act, 1998;

(b) Class 2 - all pipelines subject to The Pipelines Act, 1998 other thanthe following:

(i) flowlines;

(ii) abandoned pipelines;

(iii) pipelines that are subject to a discontinuation, as defined in ThePipelines Regulations, 2000;

(c) Class 3 - all pipelines subject to The Pipelines Act, 1998 that are subjectto a discontinuation, as defined in The Pipelines Regulations, 2000.


“Base administrative levy

24.3(1) The base administrative levy for each class of well is the following:

(a) Class 1 - $100 per well;

(b) Class 2 - $100 per well;

(c) Class 3 - $125 per well;

(d) Class 4 - $312 per well;

(e) Class 5 - $750 per well;

(f) Class 6 - $1,250 per well;

(g) Class 7 - $1,625 per well;

(h) Class 8 - $1,875 per well;

(i) Class 9 - $25 per well.

(2) The base administrative levy for each class of pipeline is the following:

(a) Class 1 - nil;

(b) Class 2 - $40 per pipeline kilometre;

(c) Class 3 - $20 per pipeline kilometre.

“Calculation of administrative levy

24.4(1) In this section:

(a) ‘class of wells’ means, with respect to a well, the class for the well asdetermined pursuant to subsection 24.2(1);

(b) ‘class of pipelines’ means, with respect to a pipeline, the class for thepipeline as determined pursuant to subsection 24.2(2).

(2) The administrative levy imposed on each licensee that the licensee shallpay pursuant to section 9.11 of the Act is the amount A calculated in accordancewith the following formula:

A = B + C

where:

B is the amount calculated in accordance with subsection (3); and

C is the amount calculated in accordance with subsection (4).

(3) The amount B for a licensee is calculated in accordance with the followingformula:

B n

i1Di × Ni × AFWB

n

i1Di × Ni × AFW

where:

i is the class of well;

D is the base administrative levy as set out in subsection 24.3(1) for a well in that class of wells licensed by the licensee;

N is the number of wells of that class licensed by the licensee;

AFW is the applicable annual adjustment factor for wells; and

n is the total number of classes of wells set out in subsection 24.2(1).


(4) The amount C is equal to the greater of:

(a) $40; and

(b) the amount E calculated in accordance with the following formula foreach pipeline licensed by the licensee:

E n

i1Gi × PKi × AFPE

n

i1Gi × PKi × AFP

where:

i is the class of pipeline;

G is the base administrative levy as set out in subsection 24.3(2) for a pipeline in that class of pipelines;

PK is the total pipeline kilometres of all of the pipelines in that class licensed by the licensee;

AFP is the applicable annual adjustment factor for pipelines; and

n is the total number of classes of pipelines set out in subsection 24.2(2).

“Invoice of administrative levy

24.5 The minister shall, each year:

(a) determine the administrative levy imposed on a well or pipeline inaccordance with this Part; and

(b) provide to every licensee an invoice that sets out the administrativelevy mentioned in clause (a) applicable to that licensee.

“Payment of administrative levy

24.6(1) For the purposes of section 9.11 of the Act, the administrative levy shall be paid on or before the 30th day after the date of the invoice mentioned in clause 24.5(b).

(2) For the purposes of section 9.11 of the Act and these regulations, a remittanceof the administrative levy is deemed to have been received by the minister onthe date shown in the ministry’s records.

“Interest rate

24.7(1) For the purposes of section 9.12 of the Act, the prescribed annual rate of interest with respect to an unpaid administrative levy is the rate equal to the sum of:


(b) 3%.

(2) The interest rate prescribed by this section shall be determined on June 15and December 15 in each year and:

(a) the interest rate as determined on June 15 applies to an unpaidadministrative levy that is owing on or after July 1; and

(b) the interest rate as determined on December 15 applies to an unpaidadministrative levy that is owing on or after January 1 of the following year.


“Interest on overpayment

24.8(1) For the purposes of section 9.13 of the Act, the prescribed annual rate of interest with respect to an overpayment of an administrative levy is the prime lending rate of the bank holding the general revenue fund as determined and adjusted in accordance with this section.

(2) The interest rate prescribed by this section shall be determined on June 15and December 15 in each year and:

(a) the interest rate as determined on June 15 applies to an administrativelevy that is overpaid on or after July 1; and

(b) the interest rate as determined on December 15 applies to anadministrative levy that is overpaid on or after January 1 of the followingyear”.

Section 61 amended

6 Subsection 61(1) is amended in the portion preceding clause (a) by striking out “The Fire Prevention Act, 1992” and substituting “The Fire Safety Act”.

Section 114 amended

7 Subclause 114(e)(ii) is amended by striking out “section 46 or 47 of The Environmental Management and Protection Act, 2002” and substituting “section 55 or 56 of The Environmental Management and Protection Act, 2010”.

Coming into force

8(1) Subject to subsection (2), these regulations come into force on the day on which section 1 of The Oil and Gas Conservation Amendment Act, 2017 comes into force.

(2) If section 1 of The Oil and Gas Conservation Amendment Act, 2017 comesinto force before the day on which these regulations are filed with the Registrarof Regulations, these regulations come into force on the day on which they arefiled with the Registrar of Regulations.


The Pipelines Act, 1998Section 25


Title

1 These regulations may be cited as The Pipelines Amendment Regulations, 2017.

RRS c P‑12.1 Reg 1 amended

2 The Pipelines Regulations, 2000 are amended in the manner set forth in these regulations.

Section 3 amended

3 Subsection 3(2) is amended by striking out “department” and substituting “ministry”.




New section 3.1


“Administrative levy

3.1 It is a condition of every licence issued pursuant to the Act that the licence holder pay the administrative levy imposed in accordance with section 9.11 of The Oil and Gas Conservation Act”.

Section 4 amended


(a) in clause (b) by striking out “Department of Environmentand Resource Management (Environmental Assessment Branch)” andsubstituting “Ministry of Environment (Environmental Assessment &Stewardship Branch)”;

(b) in clause (c) by striking out “Department of Municipal Affairs,Culture and Housing (Community Planning Branch)” and substituting“Ministry of Government Relations (Community Planning Branch)”; and

(c) in clause (d) by striking out “Department of Municipal Affairs,Culture and Housing (Heritage Branch)” and substituting “Ministry ofParks, Culture and Sport (Heritage Conservation Branch)”.

Section 5 amended

6 Subsection 5(1) is amended by striking out “Where the prior written consent of the Minister of Highways and Transportation” and substituting “If the prior written consent of the minister responsible for the administration of The Highways and Transportation Act, 1997”.

New section 10


“Ministry to be notified before construction

10 A licence holder shall notify the ministry within 24 hours after the start of construction of a pipeline for which a licence has been issued”.

Section 17 amended

8(1) Subsection 17(2) is amended by striking out “department” and substituting “ministry”.

(2) Subsection 17(6) is amended by striking out “department” andsubstituting “ministry”.

Section 20 amended

9(1) Subsection 20(1) is amended in the portion preceding clause (a) by striking out “department” and substituting “ministry”.


Section 21 amended

10(1) Subsection 21(1) is amended in the portion preceding clause (a) by striking out “department” wherever it appears and in each case substituting “ministry”.



(3) Subsection 21(3) is amended by striking out “department” whereverit appears and in each case substituting “ministry”.

Section 23 amended

11(1) Subsection 23(1) is amended by striking out “The Water Corporation Act” and substituting “The Saskatchewan Water Corporation Act”.

(2) Subsection 23(2) is amended by striking out “The Boiler and PressureVessels Act” wherever it appears and in each case substituting “The Boilerand Pressure Vessels Act, 1999”.

Coming into force




The Mineral Resources Act, 1985Section 9


Title

1 These regulations may be cited as The Seismic Exploration Amendment Regulations, 2017.

RRS c M‑16.1 Reg 2 amended

2 The Seismic Exploration Regulations, 1999 are amended in the manner set forth in these regulations.

Section 2 amended

3 Clause 2(w) is amended by striking out “The Land Surveys Act” and substituting “The Land Surveys Act, 2000”.

New section 5


“Application for exploration licence

5 Every person who wishes to obtain an exploration licence must apply to the minister on an approved form”.

Section 6 amended

5 Subsection 6(1) is amended in the portion preceding clause (a) by striking out “and the prescribed fee”.

Section 11 amended


(a) by adding “and” after clause (a);

(b) by striking out “and” after clause (b); and

(c) by repealing clause (c).




Section 13 amended

7 Subsection 13(1) is amended in the portion preceding clause (a) by striking out “and the prescribed fee”.

Appendix, Part I, Table 2 repealed

8 Table 2 in Part I of the Appendix is repealed.

Coming into force




The Labour-sponsored Venture Capital Corporations ActSection 28


Title

1 These regulations may be cited as The Labour-sponsored Venture Capital Corporations Amendment Regulations, 2017.

RRS c L‑0.2 Reg 1 amended

2 The Labour-sponsored Venture Capital Corporations Regulations are amended in the manner set forth in these regulations.

Section 3.1 amended

3 Section 3.1 is amended:

(a) by repealing clause (a) and substituting the following:

“(a) the corporation’s equity shares may be issued for an annual consideration of not more than:

(i) $55,000,000, for the fiscal years 2011-12 and 2012-13;

(ii) $40,000,000, for the fiscal years 2013-14 to 2017-18; and

(iii) $35,000,000, for the fiscal year 2018-19 and subsequent fiscalyears”; and


“(b) all the corporations’ aggregate equity shares combined may be issued for an annual consideration of not more than:

(i) $80,000,000, for the fiscal years 2013-14 to 2017-18; and

(ii) $70,000,000, for the fiscal year 2018-19 and subsequent fiscalyears”.




Section 7 amended




“(b) $16,200,000, for the fiscal years 2013-14 to 2017-18; and

“(c) $12,450,000, for the fiscal year 2018-19 and subsequent fiscal years”.

Coming into force

5(1) Subject to subsection (2), these regulations come into force on the day on which section 1 of The Labour-sponsored Venture Capital Corporations Amendment Act, 2017 comes into force.

(2) If section 1 of The Labour-sponsored Venture Capital CorporationsAmendment Act, 2017 comes into force before the day on which these regulationsare filed with the Registrar of Regulations, these regulations come into force onthe day on which they are filed with the Registrar of Regulations.


The Wildlife Act, 1998Section 83


Title

1 These regulations may be cited as The Fur Animals Open Seasons Amendment Regulations, 2017.

RRS c W‑13.12 Reg 4 amended

2 The Fur Animals Open Seasons Regulations are amended in the manner set forth in these regulations.

Section 2 amended

3 Clause 2(b) is repealed and the following substituted:

“(b) ‘northern fur conservation area’ means the area of provincial land constituted as the northern fur conservation area pursuant to subsections 55(1) and (1.1) of The Wildlife Regulations, 1981;

“(c) ‘protected area’ means a protected area constituted pursuant to section 5 of The Parks Act;

“(d) ‘provincial park’ means a provincial park constituted pursuant to section 4 of The Parks Act;

“(e) ‘recreation site’ means a recreation site constituted pursuant to section 6 of The Parks Act;




“(f) ‘southern fur conservation area’ means the area constituted as the southern fur conservation area pursuant to subsection 55(1.2) of The Wildlife Regulations, 1981;

“(g) ‘wildlife management zone’ means a wildlife management zone constituted pursuant to section 3 of The Wildlife Management Zones and Special Areas Boundaries Regulations, 1990”.

Section 4 amended


(a) by repealing clause (b) and substituting the following:

“(b) black bear:

(i) in the northern fur conservation area not including protected areas,provincial parks and recreation sites, from September 1 in one year toJune 30 in the following year;

(ii) in protected areas, provincial parks and recreation sites that areopen for the hunting of black bear as specified in The Open SeasonsGame Regulations, 2009, from September 10 in one year to May 31 inthe following year; and

(iii) in wildlife management zones in the southern fur conservationarea not including protected areas, provincial parks and recreationsites that are open for the hunting of black bear as specified in TheOpen Seasons Game Regulations, 2009, from September 10 in one yearto May 31 in the following year”;

(b) by adding the following clause after clause (d):

“(d.1) cougar from October 15 in one year to March 15 in the following year”; and

(c) by repealing clause (e) and substituting the following:

“(e) coyote:

(i) in the northern fur conservation area, from October 15 in one yearto March 15 in the following year; and

(ii) in the southern fur conservation area, throughout the year”.

Coming into force





The Securities Act, 1988Section 154

Commission Order, dated June 6, 2017and

Minister’s Order, dated June 23, 2017(Filed June 27, 2017)

Title

1 These regulations may be cited as The Securities Commission (Adoption of National Instruments) (NI 94-102) Amendment Regulations, 2017.

RRS c S‑42.2 Reg 3 amended

2 The Securities Commission (Adoption of National Instruments) Regulations are amended in the manner set forth in these regulations.

Section 2 amended

3 The following clause is added after clause 2(iii):

“(jjj) National Instrument 94-102, entitled Derivatives: Customer Clearing and Protection of Customer Collateral and Positions, as set out in Part LXII of the Appendix”.

New Part LXII

4 The following Part is added after Part LXI:

“Part LXII[Clause 2(jjj)]

NATIONAL INSTRUMENT 94‑102DERIVATIVES: CUSTOMER CLEARING AND PROTECTION OF

CUSTOMER COLLATERAL AND POSITIONS

PART 1DEFINITIONS, INTERPRETATION AND APPLICATION

Definitions and interpretation

1.(1) In this Instrument

‘Canadian financial institution’ has the meaning ascribed to it in National Instrument 45-106 Prospectus Exemptions;

‘cleared derivative’ means a derivative that is, directly or indirectly, submitted to and cleared by a clearing agency;

‘clearing intermediary’ means a direct intermediary or an indirect intermediary;

‘customer’ means a counterparty to a cleared derivative other than a clearing intermediary or a regulated clearing agency;




‘customer collateral’ means all cash, securities and other property if any of the following apply:

(a) the cash, securities or other property is received or held by a clearingintermediary or regulated clearing agency from, for or on behalf of acustomer, and is intended to or does margin, guarantee, secure, settle oradjust a cleared derivative of the customer;

(b) the cash, securities or other property is posted on behalf of a customerby a clearing intermediary to satisfy the margin requirements arising fromthe customer’s cleared derivatives;

‘direct intermediary’ means a person or company that

(a) with respect to a cleared derivative, is a participant of the regulatedclearing agency at which the cleared derivative is cleared,

(b) directly provides clearing services for a customer in respect of a clearedderivative entered into by, for or on behalf of the customer, and

(c) requires, receives or holds collateral from, for or on behalf of thecustomer in providing clearing services;

‘excess margin’ means customer collateral in respect of a customer’s cleared derivatives that

(a) is delivered to a regulated clearing agency or clearing intermediaryfrom, for or on behalf of the customer, and

(b) has a value in excess of the amount required by the regulated clearingagency to clear and settle the cleared derivatives of the customer;

‘indirect intermediary’ means a person or company that

(a) indirectly provides clearing services for a customer in respect of acleared derivative entered into by, for or on behalf of the customer, and

(b) requires, receives or holds collateral from, for or on behalf of thecustomer in providing clearing services;

‘initial margin’ means, in relation to a regulated clearing agency’s margin system that manages credit exposures to its participants, collateral that is required by the regulated clearing agency to cover potential changes in the value of a customer’s cleared derivatives over an appropriate close-out period in the event of a default;

‘local customer’ means a customer that, in respect of a local jurisdiction, is any of the following:

(a) an individual who is resident in the local jurisdiction;

(b) a person or company, other than an individual, to which any of thefollowing apply:

(i) the person or company is organized under the laws of the localjurisdiction;

(ii) the head office of the person or company is in the local jurisdiction;

(iii) the principal place of business of the person or company is inthe local jurisdiction;


‘participant’ means a person or company that has entered into an agreement with a regulated clearing agency to access the services of the regulated clearing agency and is bound by the regulated clearing agency’s rules and procedures;

‘permitted depository’ means a person or company that is any of the following:

(a) a Canadian financial institution or Schedule III bank;

(b) a regulated clearing agency;

(c) the central bank of Canada or of a permitted jurisdiction;

(d) in Québec, a person recognized or exempt from recognition as a centralsecurities depository under the Securities Act (Québec);

(e) a person or company

(i) whose head office or principal place of business is in a permittedjurisdiction,

(ii) that is a banking institution or trust company of a permittedjurisdiction, and

(iii) that has shareholders’ equity, as reported in its most recentaudited financial statements, of not less than the equivalentof $100 000 000;

(f) with respect to customer collateral that it receives from a customer ora clearing intermediary for which it provides clearing services, a registeredinvestment dealer as defined in National Instrument 31-103 RegistrationRequirements, Exemptions and Ongoing Registrant Obligations;

(g) with respect to customer collateral that it receives from a customer or aclearing intermediary for which it provides clearing services, a prudentiallyregulated entity

(i) whose head office or principal place of business is located outsideof Canada, and

(ii) that is subject to and in compliance with the laws of a permittedjurisdiction relating to clearing services and the requiring, receivingand holding of customer collateral;

‘permitted investment’ means cash or a security or other financial instrument with minimal market and credit risk that is capable of being liquidated rapidly with minimal adverse price effect;

‘permitted jurisdiction’ means a foreign jurisdiction that is any of the following:

(a) a country where the head office or principal place of business of aSchedule III bank is located, and a political subdivision of that country;

(b) if a customer has provided express written consent to the clearingintermediary or the regulated clearing agency clearing a cleared derivativein a foreign currency, the country of origin of the foreign currency used todenominate the rights and obligations under the cleared derivative enteredinto by, for or on behalf of the customer, and a political subdivision of thatcountry;


‘position’ means the economic interest of a counterparty in an outstanding cleared derivative at a point in time;

‘prudentially regulated entity’ means a person or company that is subject to and in compliance with the laws of a foreign jurisdiction that is a permitted jurisdiction under paragraph (a) of the definition of ‘permitted jurisdiction’, relating to minimum capital requirements, financial soundness and risk management;

‘qualifying central counterparty’ means a person or company to which all of the following apply:

(a) it is recognized, exempt from recognition or otherwise registered orauthorized to operate as a central counterparty in a jurisdiction of Canadaor a foreign jurisdiction by a government or regulatory authority;

(b) it is subject to regulation that is consistent with the Principles formarket infrastructures published by the Bank for International Settlements’ Committee on Payments and Market Infrastructures and the InternationalOrganization of Securities Commissions in April 2012, as amended fromtime to time;

‘regulated clearing agency’ means

(a) in British Columbia, Manitoba and Ontario, a person or companyrecognized or exempt from recognition as a clearing agency in the localjurisdiction, and

(b) in Alberta, Newfoundland and Labrador, New Brunswick, theNorthwest Territories, Nova Scotia, Nunavut, Prince Edward Island,Québec, Saskatchewan and Yukon, a person or company recognized orexempt from recognition as a clearing agency or clearing house pursuantto the securities legislation of any jurisdiction of Canada;

‘Schedule III bank’ means an authorized foreign bank named in Schedule III of the Bank Act (Canada);

‘segregate’ means to separately hold or separately account for a customer’s positions or customer collateral.

(2) In this Instrument, a person or company is an affiliated entity of anotherperson or company if one of them controls the other or each of them is controlledby the same person or company.

(3) In this Instrument, a person or company (the first party) is considered tocontrol another person or company (the second party) if any of the following apply:

(a) the first party beneficially owns or directly or indirectly exercises control ordirection over securities of the second party carrying votes which, if exercised,would entitle the first party to elect a majority of the directors of the second party,unless the first party holds the voting securities only to secure an obligation;

(b) the second party is a partnership, other than a limited partnership, and thefirst party holds more than 50% of the interests of the partnership;

(c) the second party is a limited partnership and the general partner of thelimited partnership is the first party;

(d) the second party is a trust and the trustee of the trust is the first party.


(4) In this Instrument, in Alberta, British Columbia, New Brunswick, Newfoundland and Labrador, the Northwest Territories, Nova Scotia, Nunavut, Prince EdwardIsland, Saskatchewan and Yukon, ‘derivative’ means a ‘specified derivative’ asdefined in Multilateral Instrument 91-101 Derivatives: Product Determination.

Application

2.(1) This Instrument does not apply to any of the following:

(a) a regulated clearing agency whose head office or principal place of businessis in a foreign jurisdiction except with respect to a cleared derivative enteredinto by, for or on behalf of a local customer;

(b) a clearing intermediary that provides clearing services except with respectto a cleared derivative entered into by, for or on behalf of a local customer.

(2) This Instrument applies to

(a) in Manitoba,

(i) a derivative other than a contract or instrument that, for any purpose, isprescribed by any of sections 2, 4 and 5 of Manitoba Securities CommissionRule 91-506 Derivatives: Product Determination not to be a derivative, and

(ii) a derivative that is otherwise a security and that, for any purpose,is prescribed by section 3 of Manitoba Securities Commission Rule 91-506Derivatives: Product Determination not to be a security,

(b) in Ontario,

(i) a derivative other than a contract or instrument that, for any purpose,is prescribed by any of sections 2, 4 and 5 of Ontario Securities CommissionRule 91-506 Derivatives: Product Determination not to be a derivative, and

(ii) a derivative that is otherwise a security and that, for any purpose,is prescribed by section 3 of Ontario Securities Commission Rule 91-506Derivatives: Product Determination not to be a security, and

(c) in Québec, a derivative specified in section 1.2 of Regulation 91-506respecting derivatives determination, other than a contract or instrumentspecified in section 2 of that regulation.

In each other local jurisdiction, this Instrument applies to a derivative as defined in subsection 1(4) of this Instrument. This text box does not form part of this Instrument and has no official status.

(3) Despite subsection (2), this Instrument does not apply to an option on asecurity.

(4) In British Columbia, Newfoundland and Labrador, the Northwest Territories, Nunavut, Prince Edward Island and Yukon, subsection (3) does not apply to asecurity that is a derivative as defined in subsection 1(4).


PART 2TREATMENT OF CUSTOMER COLLATERAL

BY A CLEARING INTERMEDIARY

Segregation of customer collateral – clearing intermediary

3.(1) A clearing intermediary must segregate a customer’s positions and customer collateral from the positions and property of other persons or companies including the positions and property of the clearing intermediary.

(2) A clearing intermediary must segregate the positions and customer collateral of a customer of an indirect intermediary from the positions and property of theindirect intermediary.

Holding of customer collateral – clearing intermediary

4. A clearing intermediary must hold all customer collateral

(a) in one or more accounts at a permitted depository that are clearly identifiedas holding customer collateral, and

(b) in separate accounts from the property of all persons who are not customers.

Excess margin – clearing intermediary

5. A clearing intermediary must at least once each business day identify andrecord the value of excess margin it holds that is attributable to each customerfor which the clearing intermediary provides clearing services.

Use of customer collateral – clearing intermediary

6.(1) A clearing intermediary must not use or permit the use of customer collateral except in accordance with this section and sections 7 and 8.

(2) A clearing intermediary must not use or permit the use of customer collateralof a customer except to do any of the following:

(a) margin, guarantee, secure, settle or adjust a cleared derivative of thecustomer;

(b) with respect to excess margin, guarantee, secure or extend the credit ofthe customer.

(3) Other than with respect to excess margin used in accordance withparagraph (2) (b), a clearing intermediary must not create or permit to exist anylien or other encumbrance on a cleared derivative of a customer or customercollateral in respect of the cleared derivative unless the lien or other encumbrancesecures an obligation resulting from the cleared derivative in favour of any ofthe following:

(a) the customer;

(b) the regulated clearing agency or clearing intermediary responsible forclearing the cleared derivative.


Investment of customer collateral – clearing intermediary

7.(1) A clearing intermediary must not invest customer collateral or enter into an agreement for resale or repurchase of customer collateral except in accordance with subsections (2) and (3).

(2) A clearing intermediary may

(a) invest customer collateral in a permitted investment, and

(b) enter into an agreement for resale or repurchase of customer collateral ifall of the following apply:

(i) the agreement is for the resale or repurchase of a permitted investment;

(ii) the agreement is in writing;

(iii) the term of the agreement is no more than one business day, or reversalof the transaction is possible on demand;

(iv) written confirmation specifying the terms of the agreement isdelivered by the counterparty to the agreement to the clearing intermediaryimmediately on entering into the agreement;

(v) the agreement is not entered into with an affiliated entity of the clearingintermediary.

(3) A loss resulting from an investment or use of a customer’s customer collateralin accordance with subsection (1) or subsection (2) by the clearing intermediarymust be borne by the clearing intermediary making the investment and not bythe customer.

Use of customer collateral – indirect intermediary default

8.(1) A clearing intermediary must not use customer collateral of a customer of an indirect intermediary for which the clearing intermediary provides clearing services to satisfy an obligation of the indirect intermediary.

(2) Despite subsection (1), a clearing intermediary may use the customer collateral of a customer to fully or partially satisfy an obligation of an indirect intermediarythat arises or is accelerated as a consequence of the indirect intermediary’s defaultonly if the obligation is attributable to a cleared derivative of the customer.

Acting as a clearing intermediary

9.(1) A person or company must not act as a clearing intermediary for a customer unless the person or company is any of the following:

(a) a person or company that is subject to and is in compliance with the lawsof a jurisdiction of Canada relating to minimum capital requirements, financialsoundness and risk management;

(b) a person or company that is registered as a dealer under securities legislationin a local jurisdiction;

(c) a person or company that is

(i) a prudentially regulated entity, and

(ii) subject to and in compliance with the laws of a permitted jurisdictionrelating to clearing services and the requiring, receiving and holding ofcustomer collateral.


(2) A clearing intermediary must not provide clearing services for a customerunless the clearing services are provided in respect of derivatives that are clearedby a regulated clearing agency.

Risk management – clearing intermediary

10. A clearing intermediary that provides or proposes to provide clearingservices for an indirect intermediary must adopt and implement rules, policiesor procedures reasonably designed to

(a) identify, monitor and reasonably mitigate material risks arising from theprovision of clearing services, and

(b) manage a default of the indirect intermediary.

Risk management – indirect intermediary

11.(1) An indirect intermediary must establish and implement rules, policies or procedures reasonably designed to identify, monitor and reasonably mitigate the material risks to the clearing intermediary or its customers arising from the provision of indirect clearing services for a customer.

(2) An indirect intermediary that receives clearing services from a clearingintermediary must provide the clearing intermediary with all informationreasonably required to identify, monitor and reasonably mitigate any materialrisks arising from the provision of indirect clearing services for customers.

PART 3RECORDKEEPING BY A CLEARING INTERMEDIARY

Retention of records – clearing intermediary

12.(1) A clearing intermediary must keep a record required under this Part and Part 4, and all supporting documentation,

(a) in a readily accessible and safe location and in a durable form,

(b) in the case of a record or supporting documentation that relates to a clearedderivative, for a period of 7 years following the date on which the clearedderivative expires or is terminated, and

(c) in any other case, for a period of 7 years following the date on which acustomer’s last cleared derivative that is cleared for or on behalf of the customerthrough the clearing intermediary expires or is terminated.

(2) Despite subsection (1), in Manitoba, with respect to a customer or clearingintermediary located in Manitoba, the time period applicable to records andsupporting documentation kept pursuant to subsection (1) is 8 years.

Daily records – clearing intermediary

13.(1) A clearing intermediary that receives customer collateral must calculate and record all of the following at least once each business day in its records:

(a) for each customer, the amount of customer collateral it requires from, foror on behalf of the customer;

(b) the total amount of customer collateral it requires from, for or on behalf ofall customers.


(2) For each indirect intermediary that a clearing intermediary providesclearing services for, the clearing intermediary must calculate and record all ofthe following at least once each business day in its records:

(a) the amount of customer collateral it requires from, for or on behalf of eachcustomer of each indirect intermediary;

(b) the total amount of customer collateral it requires from, for or on behalf ofall customers of each indirect intermediary.

(3) For each customer, a clearing intermediary must record all of the followingin its records:

(a) each permitted depository at which it holds customer collateral of thecustomer;

(b) calculated at least once each business day, the current value of any customercollateral received from, for or on behalf of the customer, including all of thefollowing:

(i) any accruals on the customer collateral creditable to the customer;

(ii) any gains or losses in respect of the customer collateral;

(iii) any charges accruing to the customer;

(iv) any distributions or transfers of the customer collateral.

Daily records – direct intermediary

14. For each customer, a direct intermediary must record all of the followingat least once each business day in its records:

(a) the total amount of customer collateral required for the cleared derivativesof the customer by each regulated clearing agency;

(b) the total amount of the customer’s excess margin held by the directintermediary.

Daily records – indirect intermediary

15. For each customer, an indirect intermediary must record all of the followingat least once each business day in its records:

(a) the total amount of collateral required for the cleared derivatives of thecustomer by each clearing intermediary through which the indirect intermediaryclears;

(b) the sum of the amounts for the customer referred to in paragraph (a);

(c) the total amount of the customer’s excess margin held by the indirectintermediary.

Identifying records – direct intermediary

16. A direct intermediary must keep records that, at any time, enable it toidentify all of the following in its own accounts and in the accounts held witheach regulated clearing agency through which it provides clearing services:

(a) the positions and property of the direct intermediary;

(b) the positions and value of customer collateral held for or on behalf of eachof the direct intermediary’s customers.


Identifying records – indirect intermediary

17. An indirect intermediary must keep records that, at any time, enable it toidentify all of the following in its own accounts and in the accounts held witheach clearing intermediary through which it provides clearing services:

(a) the positions and property of the indirect intermediary;

(b) the positions and value of customer collateral held for or on behalf of eachof the indirect intermediary’s customers.

Identifying records – multiple clearing intermediaries

18. A clearing intermediary that provides clearing services in respect of a cleared derivative for an indirect intermediary must keep records that, at any time,enable it and each of its indirect intermediaries to identify all of the followingin the accounts held with the clearing intermediary:

(a) the positions and property of the indirect intermediary;

(b) the positions and value of customer collateral held for or on behalf of theindirect intermediary’s customers.

Records of investment of customer collateral – clearing intermediary

19. A clearing intermediary that invests customer collateral must keep recordsof all of the following with respect to each investment of customer collateral:

(a) the date of the investment;

(b) the name of each person or company through which the investment wasmade;

(c) a daily market valuation of the investment, including any unrealized gainor loss on the investment and related supporting documentation;

(d) a description of each asset or instrument in which the investment was made;

(e) the identity of each permitted depository where each asset or instrumentin which the investment was made is deposited;

(f) the date on which the investment was liquidated or otherwise disposed ofand the realized gain or loss;

(g) the name of each person or company liquidating or disposing of theinvestment.

Records of currency conversion – clearing intermediary

20. A clearing intermediary must keep a record of each conversion of customercollateral from one currency to another.


PART 4REPORTING AND DISCLOSURE BY A CLEARING INTERMEDIARY

Clearing intermediary delivery of disclosure by regulated clearing agency

21.(1) Before receiving the first cleared derivative from, for or on behalf of a customer, a clearing intermediary must provide the customer, or an indirect intermediary for which it provides clearing services, with all of the following:

(a) the written disclosure provided under subsection 41(1) by each regulatedclearing agency the direct intermediary uses to clear a cleared derivative for thecustomer or indirect intermediary;

(b) the investment guidelines and policy provided under subsection 45(1) byeach regulated clearing agency that invests customer collateral attributable tothe customer.

(2) After accepting the first cleared derivative from, for or on behalf of acustomer, each time that the clearing intermediary receives written disclosurein accordance with subsection 41(2) or subsection 45(2) from a regulated clearingagency that invests customer collateral attributable to the customer, the clearingintermediary must provide the written disclosure to the customer, or indirectclearing intermediary for which it provides clearing services, within a reasonableperiod of time.

Disclosure to customer by clearing intermediary

22.(1) Before receiving the first cleared derivative from, for or on behalf of a customer, a clearing intermediary must provide written disclosure to the customer describing the treatment of customer collateral not held at a regulated clearing agency, including the impact of relevant bankruptcy and insolvency laws, in the event of a default by the clearing intermediary.

(2) After accepting the first cleared derivative from, for or on behalf of acustomer of, each time there is a change to the written disclosure referred to insubsection (1), the clearing intermediary must provide written disclosure to thecustomer, within a reasonable period of time, describing the change.

Disclosure to customer by indirect intermediary

23.(1) Before receiving the first cleared derivative from, for or on behalf of a customer, an indirect intermediary must provide written disclosure to the customer including a description of all of the following:

(a) the material risks associated with receiving clearing services through anindirect intermediary;

(b) the rules, policies or procedures for transferring positions and customercollateral to another clearing intermediary or liquidating positions and customercollateral, in the event of the indirect intermediary’s default.

(2) After accepting the first cleared derivative from, for or on behalf of a customerof, each time there is a change to the rules, policies or procedures referred to inparagraph (1)(b), the indirect intermediary must provide written disclosure tothe customer, within a reasonable period of time, describing the change.


Customer information – clearing intermediary

24.(1) A direct intermediary must provide all of the following to a regulated clearing agency:

(a) before submitting to the regulated clearing agency the first clearedderivative for or on behalf of a customer of the direct intermediary, or of anindirect intermediary for which the direct intermediary provides clearingservices, information sufficient to identify the customer and the customer’spositions and customer collateral;

(b) at least once each business day after providing the information referred toin paragraph (a), information that identifies the customer’s positions and thecurrent value of the customer’s customer collateral.

(2) An indirect intermediary must provide all of the following to a clearingintermediary through which it provides clearing services:

(a) before submitting to the clearing intermediary the first cleared derivativefor or on behalf of a customer, information sufficient to identify the customerand the customer’s positions and customer collateral;

(b) at least once each business day after providing the information referred toin paragraph (a), information that identifies the customer’s positions and thecurrent value of the customer’s customer collateral.

Customer collateral report – regulatory

25.(1) A direct intermediary that receives customer collateral must electronically deliver to the regulator or securities regulatory authority, within 10 business days of the end of each calendar month, a completed Form 94-102F1 Customer Collateral Report: Direct Intermediary.

(2) An indirect intermediary that receives customer collateral must electronically deliver to the regulator or securities regulatory authority, within 10 businessdays of the end of each calendar month, a completed Form 94-102F2 CustomerCollateral Report: Indirect Intermediary.

Customer collateral report – customer

26.(1) A clearing intermediary must make available to each customer from, for or on behalf of whom it receives customer collateral, a report, calculated and available on a daily basis, setting out all of the following:

(a) the current value of each position of the customer;

(b) the current value of customer collateral received from, for or on behalf of thecustomer that is held by the clearing intermediary or at a permitted depository;

(c) the current value of the customer collateral received from, for or on behalfof the customer that is posted with any of the following:

(i) a regulated clearing agency;

(ii) another clearing intermediary.


(2) A clearing intermediary must make available to each indirect intermediaryfrom which it receives customer collateral a report, calculated and available ona daily basis, setting out all of the following:

(a) the current value of each position of each customer of the indirectintermediary;

(b) the current value of customer collateral received from the indirectintermediary for or on behalf of each customer of the indirect intermediary thatis held by the clearing intermediary or at a permitted depository;

(c) the current value of the customer collateral received from the indirectintermediary for or on behalf of each customer of the indirect intermediary thatis posted with any of the following:

(i) a regulated clearing agency;

(ii) another clearing intermediary.

Disclosure of investment of customer collateral

27.(1) Before receiving the first cleared derivative from, for or on behalf of a customer, a clearing intermediary that invests customer collateral must disclose in writing its investment guidelines and policy directly to the customer, or, if applicable, to the indirect intermediary that is providing clearing services to the customer.

(2) A clearing intermediary that invests customer collateral must within areasonable period of time disclose in writing any change to the investmentguidelines and policy referred to in subsection (1) directly to the customer or,if applicable, to the indirect intermediary that is providing clearing services tothe customer.

PART 5TREATMENT OF CUSTOMER COLLATERAL

BY A REGULATED CLEARING AGENCY

Collection of initial margin

28. A regulated clearing agency must collect initial margin for each customeron a gross basis.

Segregation of customer collateral – regulated clearing agency

29. A regulated clearing agency must segregate a customer’s positions andcustomer collateral from the positions and property of other persons or companiesincluding the positions and property of the regulated clearing agency.

Holding of customer collateral – regulated clearing agency

30. A regulated clearing agency must hold all customer collateral

(a) in one or more accounts at a permitted depository that are clearly identifiedas holding customer collateral, and

(b) in separate accounts from all other property that is not customer collateral.


Excess margin – regulated clearing agency

31. A regulated clearing agency must at least once each business day identifyand record the value of excess margin it holds for or on behalf of the customersof each clearing intermediary.

Use of customer collateral – regulated clearing agency

32.(1) A regulated clearing agency must not use or permit the use of customer collateral except in accordance with this section and sections 33 and 34.

(2) A regulated clearing agency must not use or permit the use of customercollateral of a customer except to do any of the following:

(a) margin, guarantee, secure, settle or adjust a cleared derivative of thecustomer;

(b) with respect to excess margin, guarantee, secure or extend the credit ofthe customer.

(3) Other than with respect to excess margin used in accordance withparagraph (2) (b), a regulated clearing agency must not create or permit to existany lien or other encumbrance on a cleared derivative of a customer or customercollateral in respect of the cleared derivative unless the lien or other encumbrancesecures an obligation resulting from the cleared derivative in favour of any ofthe following:

(a) the customer;

(b) the regulated clearing agency or a clearing intermediary responsible forclearing the cleared derivative.

Investment of customer collateral – regulated clearing agency

33.(1) A regulated clearing agency must not invest customer collateral or enter into an agreement for resale or repurchase of customer collateral except in accordance with subsections (2) and (3).

(2) A regulated clearing agency may

(a) invest customer collateral in a permitted investment, and

(b) enter into an agreement for resale or repurchase of customer collateral ifall of the following apply:

(i) the agreement is for resale or repurchase of a permitted investment;

(ii) the agreement is in writing;

(iii) the term of the agreement is no more than one business day, or reversalof the transaction is possible on demand;

(iv) written confirmation specifying the terms of the agreement is deliveredby the counterparty to the agreement to the regulated clearing agencyimmediately on entering into the agreement;

(v) the agreement is not entered into with an affiliated entity of theregulated clearing agency.


(3) A loss resulting from an investment or use of a customer’s customer collateralin accordance with subsection (1) or subsection (2) by the regulated clearingagency must be borne by the regulated clearing agency making the investment orby a clearing intermediary that is a participant of the regulated clearing agencyand not by any customer.

Use of customer collateral – clearing intermediary default

34.(1) A regulated clearing agency must not use customer collateral to satisfy an obligation of a clearing intermediary to which the regulated clearing agency provides clearing services.

(2) Despite subsection (1), a regulated clearing agency may use the customercollateral of a customer to fully or partially satisfy an obligation of a clearingintermediary that arises or is accelerated as a consequence of the clearingintermediary’s default only if the obligation is attributable to a cleared derivativeof the customer.

Risk management – NI 24‑102 applies

35. Part 3 of National Instrument 24-102 Clearing Agency Requirementsapplies to a regulated clearing agency and, for that purpose, a reference in thatinstrument to a ‘recognized clearing agency’ is to be read as a reference to a‘regulated clearing agency’.

PART 6RECORDKEEPING BY A REGULATED CLEARING AGENCY

Retention of records – regulated clearing agency

36. A regulated clearing agency must keep a record required under this Partand Part 7, and all supporting documentation, in a readily accessible and safelocation and in a durable form, until the date on which the cleared derivativethat the record or supporting documentation relates to expires or is terminated.

Daily records – regulated clearing agency

37.(1) A regulated clearing agency that receives customer collateral must calculate and record all of the following at least once each business day in its records:

(a) for each customer, the amount of customer collateral it requires from, foror on behalf of the customer;

(b) the total amount of customer collateral it requires from, for or on behalf ofall customers.

(2) A regulated clearing agency must record all of the following in its records:

(a) each permitted depository at which it holds customer collateral;


(b) calculated at least once each business day, the current value of thecustomer collateral received from, for or on behalf of the customers of each directintermediary including all of the following:

(i) any accruals on the customer collateral creditable to the directintermediary’s customers;

(ii) any gains or losses in respect of the customer collateral;

(iii) any charges accruing to the direct intermediary’s customers;

(iv) any distributions or transfers of the customer collateral.

Identifying records – regulated clearing agency

38. A regulated clearing agency must keep records that, at any time, enable itand each of its direct intermediaries to identify all of the following in the accountsheld at the regulated clearing agency:

(a) the positions and property held for the direct intermediary;

(b) the positions and value of customer collateral held for or on behalf of thedirect intermediary’s customers;

(c) the positions and value of customer collateral held for or on behalf ofcustomers of each indirect intermediary for which the direct intermediary providesclearing services.

Records of investment of customer collateral – regulated clearing agency

39. A regulated clearing agency that invests customer collateral must keep recordsof all of the following with respect to each investment of customer collateral:

(a) the date of the investment;

(b) the name of each person or company through which the investment was made;

(c) a daily market valuation of the investment, including any unrealized gainor loss on the investment and related supporting documentation;

(d) a description of each asset or instrument in which the investment was made;

(e) the identity of each permitted depository where each asset or instrumentin which the investment is made is deposited;

(f) the date on which the investment was liquidated or otherwise disposed ofand the realized gain or loss;

(g) the name of each person or company liquidating or disposing of theinvestment.

Records of currency conversion – regulated clearing agency

40. A regulated clearing agency must keep a record of each conversion of customer collateral from one currency to another.


PART 7REPORTING AND DISCLOSURE BY A REGULATED CLEARING AGENCY

Disclosure to direct intermediaries by regulated clearing agency

41.(1) Before receiving the first cleared derivative from, for or on behalf of a customer, a regulated clearing agency must provide written disclosure to the direct intermediary through which the derivative is cleared including a description of all of the following:

(a) the rules, policies or procedures of the regulated clearing agency that governthe segregation and use of customer collateral and the transfer or liquidation ofa cleared derivative of a customer in the event of a direct intermediary’s default;

(b) the impact of laws, including bankruptcy and insolvency laws, onthe customer, its positions and customer collateral in the event of a directintermediary’s default;

(c) the circumstances under which an interest or ownership rights incustomer collateral may be enforced by the regulated clearing agency, the directintermediary or the customer.

(2) After accepting the first cleared derivative from, for or on behalf of a customer, each time there is a change to the rules, policies or procedures referred to inparagraph (1)(a), the regulated clearing agency must provide written disclosureto the direct intermediary through which the derivative is cleared, within areasonable period of time, describing the change.

Customer information – regulated clearing agency

42. A regulated clearing agency must have rules, policies or procedures reasonably designed to confirm that the information it receives from a direct intermediaryin accordance with subsection 24(1) is complete and received in a timely manner.

Customer collateral report – regulatory

43. A regulated clearing agency that receives customer collateral must electronically deliver to the regulator or securities regulatory authority, within 10 businessdays of the end of each calendar month, a completed Form 94-102F3 CustomerCollateral Report: Regulated Clearing Agency.

Customer collateral report – direct intermediary

44. A regulated clearing agency must make available to each direct intermediaryfrom which it receives customer collateral a report, calculated and available ona daily basis, setting out all of the following:

(a) the current value of each position of each customer of the direct intermediary;

(b) the current value of customer collateral received from the direct intermediaryfor or on behalf of each customer of the direct intermediary that is held by theregulated clearing agency;

(c) the total current value of customer collateral received from the directintermediary that is held at a permitted depository;

(d) the location of each permitted depository at which the customer collateralis held.


Disclosure of investment of customer collateral

45.(1) Before receiving the first cleared derivative from, for or on behalf of a customer, a regulated clearing agency that invests customer collateral must disclose in writing its investment guidelines and policy to the direct intermediary through which the derivative is cleared.

(2) A regulated clearing agency that invests customer collateral must withina reasonable period of time disclose in writing any change to the investmentguidelines and policy referred to in subsection (1) to the direct intermediarythrough which the derivative is cleared.

PART 8TRANSFER OF POSITIONS

Transfer of customer collateral and positions

46.(1) On default of a direct intermediary, a regulated clearing agency and the defaulting direct intermediary must do all of the following:

(a) facilitate a transfer of the defaulting direct intermediary’s customers’positions and customer collateral, or their liquidation proceeds, from the defaulting direct intermediary to one or more non-defaulting direct intermediaries;

(b) make reasonable efforts to ensure the transfer is facilitated in accordancewith the customer’s instructions.

(2) At the request of a customer, a regulated clearing agency and a non-defaultingdirect intermediary must facilitate a transfer of the customer’s positions andcustomer collateral from the non-defaulting direct intermediary to one or morenon-defaulting direct intermediaries if all of the following apply:

(a) the customer has consented to the transfer;

(b) the customer’s account is not currently in default;

(c) the transferred positions will have appropriate margin at the receivingdirect intermediary;

(d) any remaining positions will have appropriate margin at the transferringdirect intermediary;

(e) the receiving direct intermediary has consented to the transfer.

Transfer from a clearing intermediary

47. A clearing intermediary that provides clearing services for an indirectintermediary must have rules, policies or procedures in respect of the portabilityand transfer of a customer’s positions and customer collateral that include areasonable mechanism for transferring the positions and customer collateral ofthe indirect intermediary’s customers, in the event of a default by the indirectintermediary or at the request of the indirect intermediary’s customer, to one ormore non-defaulting clearing intermediaries.


PART 9SUBSTITUTED COMPLIANCE

Substituted compliance

48.(1) A clearing intermediary whose head office or principal place of business is in a foreign jurisdiction is exempt from this Instrument in respect of a cleared derivative entered into by, for or on behalf of a local customer if all of the following apply:

(a) the cleared derivative is cleared for or on behalf of a local customer

(i) in a local jurisdiction other than British Columbia, Manitoba andOntario by a qualifying central counterparty or a regulated clearing agency,and

(ii) in British Columbia, Manitoba and Ontario, by a regulated clearingagency;

(b) the clearing intermediary is all of the following:

(i) registered, licensed or otherwise authorized to perform the servicesof a clearing intermediary in a foreign jurisdiction listed in Appendix A;

(ii) in compliance with the laws of the foreign jurisdiction applicable tothe clearing intermediary set out in Appendix A opposite the name of theforeign jurisdiction relating to clearing services and the requiring, receivingand holding of customer collateral.

(2) Despite subsection (1), a clearing intermediary relying on the exemption from the Instrument set out in subsection (1) that provides clearing services in respectof a cleared derivative entered into by, for or on behalf of a local customer mustcomply with the provisions of this Instrument set out in Appendix A opposite thename of the foreign jurisdiction referred to in paragraph (1)(b).

(3) A regulated clearing agency whose head office or principal place of businessis in a foreign jurisdiction is exempt from this Instrument in respect of a clearedderivative entered into by, for or on behalf of a local customer if the regulatedclearing agency complies with all of the following:

(a) the terms and conditions of any recognition or exemption decision made byany securities regulatory authority in respect of the regulated clearing agency;

(b) the laws of a foreign jurisdiction applicable to the regulated clearing agencyset out in Appendix A opposite the name of the foreign jurisdiction relating toclearing services and the requiring, receiving and holding of customer collateral.

(4) Despite subsection (3), a regulated clearing agency relying on the exemptionfrom the Instrument set out in subsection (3) that provides clearing services inrespect of a cleared derivative entered into by, for or on behalf of a local customermust comply with the provisions of this Instrument set out in Appendix A oppositethe name of the foreign jurisdiction referred to in paragraph (3)(b).


PART 10EXEMPTIONS

Exemption – general

49.(1) The regulator or the securities regulatory authority may grant an exemption from this Instrument, in whole or in part, subject to such conditions or restrictions as may be imposed in the exemption.

(2) Despite subsection (1), in Ontario, only the regulator may grant an exemption.

(3) Except in Alberta and Ontario, an exemption referred to in subsection (1) isgranted under the statute referred to in Appendix B of National Instrument 14-101Definitions opposite the name of the local jurisdiction.

PART 11EFFECTIVE DATE

Effective date

50. This Instrument comes into force on July 3, 2017.


APPENDIX ATO

NATIONAL INSTRUMENT 94‑102 DERIVATIVES: CUSTOMER CLEARING AND PROTECTION OF CUSTOMER POSITIONS AND COLLATERAL

Substituted Compliance(Section 48)

PART ALAWS, REGULATIONS OR INSTRUMENTS OF FOREIGN

JURISDICTIONS APPLICABLE TO CLEARING INTERMEDIARIES FOR SUBSTITUTED COMPLIANCE

Foreign Jurisdiction

Laws, Regulations or Instruments Provisions of this Instrument applicable to a clearing intermediary despite compliance with the foreign jurisdiction’s laws, regulations or instruments

European Union Regulation (EU) 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories, as amended by Regulation (EU) 600/2014 of 15 May 2014 on markets in financial instruments and amending Regulation (EU) No 648/2012.

Commission Delegated Regulation (EU) 149/2013 of 19 December 2012 supplementing Regulation (EU) No 648/2012 of the European Parliament and of the Council with regard to regulatory technical standards on indirect clearing arrangements, the clearing obligation, the public register, access to a trading venue, non-financial counterparties, and risk mitigation techniques for OTC derivatives contracts not cleared by a CCP.

Directive (EU) 39/2004 of 21 April 2004 on markets in financial instruments amending Council Directives 85/611/EEC and 93/6/EEC and Directive 2000/12/EC of the European Parliament and of the Council and repealing Council Directive 93/22/EEC.

Subsection 6(2)

Subsection 6(3)

Section 12

Section 25

Section 26

United States of America

Commodity Futures Trading Commission, General Regulations Under the Commodity Exchange Act, 17 CFR pt 1.

Commodity Futures Trading Commission, Registration, 17 CFR pt 3.

Commodity Futures Trading Commission, Cleared Swaps, 17 CFR pt 22.

Commodity Futures Trading Commission, Bankruptcy Rules, 17 CFR pt 190.

Section 12

Section 25

Section 26


PART BLAWS, REGULATIONS OR INSTRUMENTS OF FOREIGN

JURISDICTIONS APPLICABLE TO REGULATED CLEARING AGENCIES FOR SUBSTITUTED COMPLIANCE



European Union Regulation (EU) 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central counterparties and trade repositories, as amended by Regulation (EU) 600/2014 of 15 May 2014 on markets in financial instruments and amending Regulation (EU) No 648/2012.

Commission Delegated Regulation (EU) 149/2013 of 19 December 2012 supplementing Regulation (EU) No 648/2012 of the European Parliament and of the Council with regard to regulatory technical standards on indirect clearing arrangements, the clearing obligation, the public register, access to a trading venue, non-financial counterparties, and risk mitigation techniques for OTC derivatives contracts not cleared by a CCP.

Commission Delegated Regulation (EU) No 153/2013 of 19 December 2012 supplementing Regulation (EU) No 648/2012 of the European Parliament and of the Council with regard to regulatory technical standards on requirements for central counterparties, as amended by Commission Delegated Regulation (EU) 822/2016 of 21 April 2016 amending Delegated Regulation (EU) No 153/2013 as regards the time horizons for the liquidation period to be considered for the different classes of financial instruments.

Directive (EU) 39/2004 of 21 April 2004 on markets in financial instruments amending Council Directives 85/611/EEC and 93/6/EEC and Directive 2000/12/EC of the European Parliament and of the Council and repealing Council Directive 93/22/EEC.

Section 28

Subsection 32(2)

Subsection 32(3)

Section 36

Section 43

Section 44




United States of America

Commodity Futures Trading Commission, General Regulations Under the Commodity Exchange Act, 17 CFR pt 1.

Commodity Futures Trading Commission, Cleared Swaps, 17 CFR pt 22.

Commodity Futures Trading Commission, Derivatives Clearing Organizations, 17 CFR pt 39.

Commodity Futures Trading Commission, Provisions Common to Registered Entities, 17 CFR pt 40.

Commodity Futures Trading Commission, Swap Data Recordkeeping and Reporting Requirements, 17 CFR pt 45.

Commodity Futures Trading Commission, Bankruptcy Rules, 17 CFR pt 190.

Section 36

Section 43

Section 44


FORM 94‑102F1CUSTOMER COLLATERAL REPORT: DIRECT INTERMEDIARY

This Form 94-102F1 is to be completed by each direct intermediary in order to comply with its reporting obligations to the local securities regulator under subsection 25(1) of National Instrument 94-102 Derivatives: Customer Clearing and Protection of Customer Collateral and Positions (the ‘Instrument’).

Type of Filing: INITIAL AMENDMENT1

Reporting Date2 DD/MM/YY

Reporting Period3 MM/YY

Reporting direct intermediary

[LEI]4

Table ATable A is to be completed by each direct intermediary that receives customer collateral from a customer in accordance with the Instrument. For calculations in Table A, include all customers that have posted customer collateral with the reporting direct intermediary.

A.

Total value of non-cash customer collateral

posted with the direct intermediary as of the

last business day of the Reporting Period

Total value of customer collateral posted with the direct intermediary as of the last business day of

the Reporting Period

Number of customers represented by the reported total value

of customer collateral posted with the direct

intermediary5

Table BTable B is to be completed by each direct intermediary that receives customer collateral from an indirect intermediary in accordance with the Instrument. Complete a separate line for each indirect intermediary that has posted customer collateral with the reporting direct intermediary. Where an LEI is not available, please provide the complete legal name of the indirect intermediary.

B. Indirect intermediary

Customer collateral




Total value of customer collateral posted with

the direct intermediary as of the last business day of the Reporting

Period

1.

[LEI of any indirect intermediary that has posted customer collateral with the reporting direct intermediary]

(Footnotes)1 Please mark the form as ‘amendment’ if the form is being resubmitted to correct or replace a form previously filed for a Reporting Period. Otherwise, please make the form as ‘initial’.2 The Reporting Date must be within 10 business days of the end of the Reporting Period.3 The Reporting Period is the calendar month for which the form is submitted.4 Where an LEI is not available, please provide the complete legal name of the reporting indirect intermediary together with the complete address of its head office.5 Please report the number of customers whose customer collateral was included in calculating the value reported in the second column of Table A.


Table CTable C is to be completed by each direct intermediary that receives customer collateral from a customer or from an indirect intermediary in accordance with the Instrument. Complete a separate line for each location at which customer collateral is held by or for the reporting direct intermediary. Where an LEI is not available, please provide the complete legal and operating name(s) of the permitted depository.

C. Permitted depository

1. [LEI of reporting direct intermediary, if holding customer collateral itself]

2. [LEI of any permitted depository holding customer collateral for the reporting directintermediary]

Table DTable D is to be completed by each direct intermediary that has posted customer collateral with a regulated clearing agency in accordance with the Instrument. Complete a separate line for each regulated clearing agency with which the reporting direct intermediary has posted customer collateral. Where an LEI is not available, please provide the complete legal and operating name(s) of the regulated clearing agency.

D. Regulated clearing agency

Customer collateral


posted with the regulated clearing agency as of the last business day of the

Reporting Period

Total value of customer collateral posted with the regulated clearing agency as of the last business day

of the Reporting Period

1.

[LEI of any regulated clearing agency with which the reporting direct intermediary has posted customer collateral]


FORM 94‑102F2CUSTOMER COLLATERAL REPORT: INDIRECT INTERMEDIARY

This Form 94-102F2 is to be completed by each person or company that acts as an indirect intermediary in order to comply with its reporting obligations to the local securities regulator under subsection 25(2) of National Instrument 94-102 Derivatives: Customer Clearing and Protection of Customer Collateral and Positions (the ‘Instrument’).





[LEI]4

Table ATable A is to be completed by each indirect intermediary that receives customer collateral from a customer in accordance with the Instrument. For calculations in Table A include all customers that have posted customer collateral with the reporting indirect intermediary.

A.


posted with the indirect intermediary as of the


Total value of customer collateral posted with the indirect intermediary as

of the last business day of the Reporting Period

Number of customers represented by the reported total value

of customer collateral posted with the indirect

intermediary5

Table BTable B is to be completed by each indirect intermediary that receives customer collateral from a customer in accordance with the Instrument. Complete a separate line for each location at which customer collateral is held by or for the reporting indirect intermediary. Where an LEI is not available, please provide the complete legal and operating name(s) of the permitted depository.

B. Permitted depository

1. [Reporting indirect intermediary, if holding customer collateral itself]

2. [Any permitted depository holding customer collateral for the reporting directintermediary]

(Footnotes)1 Please mark the form as ‘amendment’ if the form is being resubmitted to correct or replace a form previously filed for a Reporting Period. Otherwise, please make the form as ‘initial’.2 The Reporting Date must be within 10 business days of the end of the Reporting Period.3 The Reporting Period is the calendar month for which the form is submitted. 4 Where an LEI is not available, please provide the complete legal name of the reporting indirect intermediary together with the complete address of its head office.5 Please report the number of customers whose customer collateral was included in calculating the value reported in the second column of Table A.


Table CTable C is to be completed by each indirect intermediary that has posted customer collateral with a direct intermediary in accordance with the Instrument. Complete a separate line for each direct intermediary with which the reporting indirect intermediary has posted customer collateral. Where an LEI is not available, please provide the complete legal and operating name(s) of the direct intermediary.

C. Direct intermediary

Customer collateral




Total value of customer collateral posted with the direct intermediary as of the last business day of

the Reporting Period

1.

LEI of any direct intermediary with which the reporting indirect intermediary has posted customer collateral]


FORM 94‑102F3 CUSTOMER COLLATERAL REPORT: REGULATED CLEARING AGENCY

This Form 94-102F3 is to be completed by each regulated clearing agency in order to comply with its reporting obligations to the local securities regulator under section 43 of National Instrument 94-102 Derivatives: Customer Clearing and Protection of Customer Collateral and Positions (the ‘Instrument’).





[LEI]4

Table ATable A is to be completed by each regulated clearing agency that receives customer collateral from a direct intermediary in accordance with the Instrument. Complete a separate line for each direct intermediary that has posted customer collateral with the reporting regulated clearing agency. Where an LEI is not available, please provide the complete legal name of the direct intermediary.

A. Direct intermediary

Customer collateral


posted with the regulated clearing agency as of the last business day of the

Reporting Period

Total value of customer collateral posted with the regulated clearing agency as of the last business day of the Reporting Period5

1.

[LEI of any direct intermediary that has posted customer collateral with the reporting regulated clearing agency]

(Footnotes)1 Please mark the form as ‘amendment’ if the form is being resubmitted to correct or replace a form previously filed for a Reporting Period. Otherwise, please make the form as ‘initial’.2 The Reporting Date must be within 10 business days of the end of the Reporting Period.3 The Reporting Period is the calendar month for which the form is submitted.4 Where an LEI is not available, please provide the complete legal name of the reporting regulated clearing agency together with the complete address of its head office.


Table BTable B is to be completed by each regulated clearing agency that holds customer collateral in accordance with the Instrument. Complete a separate line for each location at which customer collateral is held by or for the reporting regulated clearing agency. Where an LEI is not available, please provide the complete legal and operating name(s) of the permitted depository.

B. Permitted depository

1. LEI of reporting regulated clearing agency, if holding customer collateral itself]

2. [LEI of any permitted depository holding customer collateral for the reportingregulated clearing agency]

Coming into force



”.



The Apprenticeship and Trade Certification Act, 1999Section 26

Commission Order, dated June 30, 2017(Filed June 30, 2017)

Title

1 These regulations may be cited as The Apprenticeship and Trade Certification Commission (Miscellaneous) Amendment Regulations, 2017.


2 The Apprenticeship and Trade Certification Commission Amendment Regulations are amended in the manner set forth in these regulations.

Section 3 amended

3 Clause 3 is amended:

(a) by repealing clause (m) and substituting the following:

“(m) lather (interior systems mechanic)”;

(b) by repealing clause (v.1);

(c) by repealing clause (hh); and

(d) by repealing clause (oo) and substituting the following:

“(oo) sprinkler fitter”.

Section 54 amended

4 Subsection 54(10) is amended in the portion preceding clause (a) by striking out “1,200” and substituting “1,500”.

Section 58 amended

5(1) Clause 58(1)(b) is amended by adding “telescopic or lattice” before “boom”.


(a) in clause (a) by striking out “including boom trucks”; and

(b) by repealing clause (c).


“(5) A term of apprenticeship in the trade consists of three apprenticeship years of which a minimum of 1.8 apprenticeship years must be operating a mobile crane over 15 tons”.


“(6) Each apprenticeship year:

(a) subject to clauses (b) and (c), in the trade requires 1,800 hours oftraining that:

(i) includes on-the-job training; and

(ii) may include technical training;



(b) in the boom-truck operator ‘A’ sub-trade requires 1,500 hours of trainingthat:


(ii) may include technical training; and

(c) in the boom-truck operator ‘B’ sub-trade requires 1,000 hours of trainingthat:


(ii) may include technical training”.

(5) Subsection 58(7) is amended by repealing clause (a).

(6) Subsection 58(8) is repealed.


“(11) Notwithstanding subsection 26(3), in order to be eligible to write the journeyperson trade examination in the trade, a tradesperson must satisfy the commission that he or she has worked in the trade for an aggregate of not less than 4.5 years, of which a minimum of 2.7 years must be operating a mobile crane over 15 tons”.

New section 60


“Lather (interior systems mechanic) trade

60(1) In this section, ‘trade’ means the trade designated in accordance with Part II as ‘lather (interior systems mechanic) trade’ and includes the layout, installation, application, finishing and fabrication in the construction industry of:

(a) metal stud systems;

(b) thermal insulations and related vapour barriers and sealants;

(c) gypsum board and related products;

(d) textured coatings;

(e) demountable partitions;

(f) acoustic, linear, luminous and integrated ceilings;

(g) raised access flooring; and

(h) acoustical treatments.

(2) This section applies to employers, tradespersons, journeypersons,apprentices and any other person in the trade.

(3) No person is eligible to enter into an apprenticeship program in the tradeunless that person has educational qualifications, skills and aptitude that arerequired to complete the apprenticeship program successfully in the opinion ofthe commission.

(4) The term of apprenticeship in the trade consists of four apprenticeship years.


(5) Each apprenticeship year in the trade requires a total of 1,500 hours oftraining that:

(a) includes on-the-job training; and

(b) may include technical training”.

Section 69 amended

7 Subsection 69(5) is amended in the portion preceding clause (a) by striking out “1,350” and substituting “1,500”.

Section 69.1 repealed

8 Section 69.1 is repealed.

Section 81 repealed


New section 88


“Sprinkler fitter trade

88(1) In this section, ‘trade’ means the trade designated in accordance with Part II as ‘sprinkler fitter trade’ and includes the assembling, installing, testing, repairing, modifying, overhauling and maintaining of fixed fire suppression systems.

(2) This section applies to employers, tradespersons, journeypersons,apprentices and any other person in the trade.

(3) No person is eligible to enter into an apprenticeship program in the tradeunless that person has educational qualifications, skills and aptitude that arerequired to complete the apprenticeship program successfully in the opinion ofthe commission.

(4) The term of apprenticeship in the trade consists of four apprenticeship years.

(5) Each apprenticeship year in the trade requires a total of 1,800 hours oftraining that:

(a) includes on-the-job training; and

(b) may include technical training”.

Section 91.1 amended

11 Subsection 91.1(4) is amended by striking out “2.5” and substituting “2”.

Coming into force



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