Bill C-50: An Act to amend the Canada Elections Act (political financing)

Bill C-50 If you have any questions or comments regarding the accessibility of this publication, please contact us at [email protected]. LEGISinfo First Reading Second Reading Third Reading Royal Assent Bilingual view XML PDF Skip to Document Navigation Skip to Document Content Canada Elections Act Transitional Provisions Coming into Force First Session, Forty-second Parliament, 64-65-66-67 Elizabeth II, 2015-2016-2017-2018 STATUTES OF CANADA 2018 CHAPTER 20 An Act to amend the Canada Elections Act (political financing) ASSENTED TO June 21, 2018 BILL C-50 SUMMARY This enactment amends the Canada Elections Act to (a) enact an advertising and reporting regime for fundraising events attended by Ministers, party leaders or leadership contestants; and (b) harmonize the rules applicable to contest expenses of nomination contestants and leadership contestants with the rules applicable to election expenses of candidates. Available on the House of Commons website at the following address: www.ourcommons.ca 64-65-66-67 Elizabeth II CHAPTER 20 An Act to amend the Canada Elections Act (political financing) [Assented to 21st June, 2018] Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows: 2000, c. 9 Canada Elections Act 2014, c. 12, s. 2(2) 1 The definitions leadership campaign expense and nomination campaign expense in subsection 2(1) of the Canada Elections Act are repealed. 2 The Act is amended by adding the following after section 384: DIVISION 1.‍1  Regulated Fundraising Events Interpretation Definition of regulated fundraising event 384.‍1 (1) In this Division, regulated fundraising event means an event (a) that is organized for the financial benefit of (i) a registered party that is represented in the House of Commons on the day the event occurs or, if Parliament is dissolved, on the date of dissolution, or (ii) a registered association, nomination contestant, candidate or leadership contestant of a registered party described in subparagraph (i); and (b) that is attended by (i) a leader, interim leader or leadership contestant of the registered party for whose financial benefit the event is organized or the registered party described in subparagraph (a)‍(ii), or a minister of the Crown or minister of state who is a member of the registered party for whose financial benefit the event is organized or the registered party described in that subparagraph, and (ii) at least one person who, in order to attend it, is required (A) to have made a contribution or contributions of a total amount of more than $200 to the registered party or any of its registered associations, nomination contestants, candidates or leadership contestants, or to any combination of them, or to be the guest of a person who has made such a contribution or contributions, or (B) to have paid more than $200, the amount including a contribution to the registered party or any of its registered associations, nomination contestants, candidates or leadership contestants, or to any combination of them, or to be the guest of a person who has made such a payment. Exclusion — conventions and leadership contestant debates (2) Despite subsection (1), a regulated fundraising event does not include a convention, including a leadership convention, of a registered party referred to in subparagraph (1)‍(a)‍(i), or a leadership contestants’ debate. Inclusion — fundraising events that are part of conventions (3) Despite subsection (2), a regulated fundraising event includes an event that is part of a convention referred to in that subsection if the event is attended by at least one person who, in order to attend it, is required (a) to make a contribution or contributions — in addition to any amount that they were required to pay to attend the convention — of a total amount of more than $200 to the registered party or any of its registered associations, nomination contestants, candidates or leadership contestants, or to any combination of them, or to be the guest of a person who has made such a contribution or contributions; or (b) to pay more than $200 — in addition to any amount that they were required to pay to attend the convention — to attend the event, the amount including a contribution to the registered party or any of its registered associations, nomination contestants, candidates or leadership contestants, or to any combination of them, or to be the guest of a person who has made such a payment. Exclusion — contributor appreciation events (4) Despite subsection (3), a regulated fundraising event does not include any event that is part of a convention referred to in subsection (2) and that is organized to express appreciation for persons who have made a contribution to the registered party or any of its registered associations, nomination contestants, candidates or leadership contestants. Publication and Report Regulated fundraising event organized by registered party 384.‍2 (1) If a registered party organizes all or part of a regulated fundraising event for its own financial benefit or for the financial benefit of one of its registered associations, nomination contestants, candidates or leadership contestants, the registered party shall publish the information set out in subsection (2) in a prominent location on its Internet site for the period beginning five days before the day the regulated fundraising event takes place and ending at the time the event starts. Information (2) The information to be published under subsection (1) and provided under subsection (3) is the following: (a) the date, time and location of the regulated fundraising event; (b) the name of each entity or person referred to in paragraph 384.‍1(1)‍(a) for whose financial benefit the event is organized; (c) the name of each person referred to in subparagraph 384.‍1(1)‍(b)‍(i) who will be attending the event; (d) the total amount of contributions that a person will be required to have made, or the amount that they will be required to have paid, in order to attend the event; and (e) the contact information of an individual who may be contacted and from whom further information about the event may be obtained. Regulated fundraising event not organized by registered party (3) If a regulated fundraising event is organized entirely by one or more persons or entities other than the registered party for whose financial benefit the event is organized, or for the financial benefit of whose registered association, nomination contestant, candidate or leadership contestant the event is organized, each person or entity that organizes the event or any part of it shall provide the information set out in subsection (2) to the registered party in time for the registered party to be able to publish the information as required under subsection (4). Registered party to publish information (4) If at least one person or entity referred to in subsection (3) complies with the obligation under that subsection — to provide information to the registered party in time for the registered party to be able to publish it — the registered party shall publish that information in a prominent location on its Internet site for the period beginning five days before the day the regulated fundraising event takes place and ending at the time the event starts. Registered party to notify Chief Electoral Officer (4.‍1) If a registered party is required to publish information under subsection (1) or (4), it shall also notify the Chief Electoral Officer of the regulated fundraising event no later than five days before the day the event takes place. Updating published information (5) If a registered party referred to in subsection (1) or (4) becomes aware, after publishing information under this section, of any change to that information, the registered party shall replace the old information on its Internet site with the new information as soon as feasible after becoming aware of the change. Updating information provided (6) If a person or entity referred to in subsection (3) becomes aware, after providing information to a registered party under this section, of any change to that information, the person or entity shall provide the new information to the registered party as soon as feasible after becoming aware of the change. Updating published information (7) If new information is provided to a registered party under subsection (6), the registered party shall replace the old information on its Internet site with the new information as soon as feasible after being provided with it. Exception — election period (8) Subsections (1) to (7) do not apply in respect of a regulated fundraising event that takes place during the election period of a general election. Report on regulated fundraising event organized by registered party 384.‍3 (1) If a registered party organizes all or part of a regulated fundraising event for its own financial benefit or for the financial benefit of one of its registered associations, nomination contestants, candidates or leadership contestants, the registered party’s chief agent shall provide the Chief Electoral Officer with a report, in the prescribed form, on the regulated fundraising event. Contents of report (2) Subject to subsection (3), the report referred to in subsection (1) shall set out the following: (a) the date, time and location of the regulated fundraising event; (b) the name of each entity or person referred to in paragraph 384.‍1(1)‍(a) for whose financial benefit the event was organized; (c) the name of each person referred to in subparagraph 384.‍1(1)‍(b)‍(i) who attended the event; (d) the name of each person — other than any person referred to in paragraph (c) — who attended the event, along with the name of their municipality or its equivalent, their province and their postal code; (e) the total amount of contributions that a person was required to have made, or the amount that they were required to have paid, in order to attend the event; and (f) the name of each person or entity that organized the event or any part of it. Information not to be included in report (3) The registered party’s chief agent shall not include in the report referred to in subsection (1) the name of any of the following persons who attended the regulated fundraising event, nor the name of their municipality or its equivalent, their province or their postal code: (a) any person who was under 18 years of age on the day on which the event took place; (a.‍1) any person who attended the event solely to assist a person with a disability; (b) any person who attended the event solely because they were employed in the organization of the event; (c) any of the following persons who attended the event solely in the course of their employment: (i) an employee or other representative of any media organization, as well as any freelance journalist, and (ii) a member of the support staff, including security staff, of any person referred to in subparagraph 384.‍1(1)‍(b)‍(i) who attended the event; and (d) any person who attended the event solely in order to provide volunteer labour. Regulated fundraising event not organized by registered party (4) If a regulated fundraising event is organized entirely by one or more persons or entities other than the registered party for whose financial benefit the event is organized, or for the financial benefit of whose registered association, nomination contestant, candidate or leadership contestant the event is organized, each person or entity that organizes the event or any part of it shall, subject to subsection (5), provide the information set out in subsection (2) to the registered party in time for the registered party’s chief agent to be able to provide the Chief Electoral Officer with a report on the event as required under subsection (6). Updating information provided (4.‍1) If a person or entity referred to in subsection (4) becomes aware, after providing information to a registered party under that subsection or this subsection, of any change to that information, the person or entity shall provide the new information to the registered party as soon as feasible after becoming aware of the change. Information not to be provided (5) No person or entity referred to in subsection (4) or (4.‍1) shall include in the information provided to the registered party under that subsection the name of any person referred to in paragraphs (3)‍(a) to (d) who attended the regulated fundraising event, nor the name of their municipality or its equivalent, their province or their postal code. Report on regulated fundraising event (6) If at least one person or entity referred to in subsection (4) complies with the obligation under that subsection — to provide information to the registered party in time for the registered party’s chief agent to be able to provide the Chief Electoral Officer with the report — that chief agent shall provide the Chief Electoral Officer with a report, in the prescribed form, on the regulated fundraising event setting out that information. Period for providing report (6.‍1) The registered party’s chief agent shall provide the Chief Electoral Officer with the reports referred to in subsections (1) and (6) within 30 days after the day the regulated fundraising event takes place. Exception — election period (7) Subsections (1) to (6.‍1) do not apply in respect of a regulated fundraising event that takes place during the election period of a general election. Election period (8) A registered party’s chief agent shall provide the Chief Electoral Officer with a single report, in the prescribed form, on all the regulated fundraising events that were held during the election period for a general election and (a) all or part of which were organized by the registered party for its own financial benefit or for the financial benefit of one of its registered associations, nomination contestants, candidates or leadership contestants; or (b) in respect of which at least one person or entity that organized the event or any part of it complied with the obligation under subsection (9). Period for providing report (8.‍1) The registered party’s chief agent shall provide the Chief Electoral Officer with the report referred to in subsection (8) within 60 days after polling day at the general election. Regulated fundraising event not organized by registered party (9) If a regulated fundraising event that was held during the election period for a general election was organized entirely by one or more persons or entities other than the registered party for whose financial benefit the event was organized, or for the financial benefit of whose registered association, nomination contestant, candidate or leadership contestant the event was organized, each person or entity that organized the event or any part of it shall, subject to subsection (10), provide the information set out in subsection (2) to the registered party in time for the registered party’s chief agent to be able to provide the Chief Electoral Officer with the report as required under subsection (8). Updating information provided (9.‍1) If a person or entity referred to in subsection (9) becomes aware, after providing information to a registered party under that subsection or this subsection, of any change to that information, the person or entity shall provide the new information to the registered party as soon as feasible after becoming aware of the change. Information not to be provided (10) No person or entity referred to in subsection (9) or (9.‍1) shall include in the information provided to the registered party under that subsection the name of any person referred to in paragraphs (3)‍(a) to (d) who attended the regulated fundraising event, nor the name of their municipality or its equivalent, their province or their postal code. Contents of report (11) Subject to subsection (12), the report referred to in subsection (8) shall set out the information referred to in subsection (2) for each regulated fundraising event referred to in subsection (8). Information not to be included in report (12) The registered party’s chief agent shall not include in the report referred to in subsection (8), in respect of a given regulated fundraising event, the name of any person referred to in paragraphs (3)‍(a) to (d) who attended that event, nor the name of their municipality or its equivalent, their province or their postal code. Publication of reports (13) The Chief Electoral Officer shall publish reports provided under subsections (1), (6) and (8), and any corrected or revised versions of those reports, as soon as feasible after receiving them, in the manner that he or she considers appropriate. Contributions Return of contributions 384.‍4 If a registered party, a registered association, a nomination contestant, a candidate or a leadership contestant receives a contribution in respect of a regulated fundraising event in respect of which section 384.‍2 or 384.‍3 is not complied with, the chief agent of the registered party, the financial agent of the registered association, the official agent of the candidate or the financial agent of the nomination contestant or leadership contestant, as the case may be, shall, within 30 days after becoming aware of the non-compliance, return the contribution unused to the contributor or, if that is not possible, pay the amount of it — or, in the case of a non-monetary contribution, an amount of money equal to its commercial value — to the Chief Electoral Officer, who shall forward that amount to the Receiver General. Corrections, Revisions and Extended Reporting Periods Minor corrections — Chief Electoral Officer 384.‍5 The Chief Electoral Officer may correct a report referred to in subsection 384.‍3(1), (6) or (8) if the correction does not materially affect its substance. Extensions — Chief Electoral Officer 384.‍6 (1) The Chief Electoral Officer, on the written application of a registered party’s chief agent or, if the chief agent is absent or unable to perform their duties, its leader, shall authorize the extension of the period referred to in subsection 384.‍3(6.‍1) or (8.‍1) unless he or she is satisfied that the chief agent’s failure to provide the report was deliberate or was the result of the chief agent’s failure to exercise due diligence. Deadline (2) The application may be made within the period referred to in subsection 384.‍3(6.‍1) or (8.‍1) or within two weeks after the end of that period. Corrections or revisions — Chief Electoral Officer 384.‍7 (1) The Chief Electoral Officer, on the written application of a registered party’s chief agent or, if the chief agent is absent or unable to perform their duties, its leader, shall authorize the correction or revision of a report referred to in subsection 384.‍3(1), (6) or (8) if he or she is satisfied by the evidence submitted by the applicant that the correction or revision is necessary in order for the requirements of this Act to be complied with. Application made without delay (2) The application shall be made immediately after the applicant becomes aware of the need for correction or revision. Deadline for corrections or revisions (3) The applicant shall provide the Chief Electoral Officer with the corrected or revised version of the report within 30 days after the day on which the correction or revision is authorized or within any extension of that period authorized under subsection (4) or (5). New deadline (4) The Chief Electoral Officer, on the written application of the applicant made within two weeks after the end of the 30-day period referred to in subsection (3), shall authorize the extension of that period, unless he or she is satisfied that the applicant’s failure to provide the corrected or revised version of the report was deliberate or was the result of the applicant’s failure to exercise due diligence. Extension of new deadline (5) The Chief Electoral Officer, on the written application of the applicant made within two weeks after the end of an extension authorized under subsection (4) or under this subsection, shall authorize the further extension of that period, unless he or she is satisfied that the applicant’s failure to provide the corrected or revised version of the report was deliberate or was the result of the applicant’s failure to exercise due diligence. Extensions, corrections or revisions — judge 384.‍8 (1) The chief agent of a registered party or, if the chief agent is absent or unable to perform their duties, its leader, may apply to a judge for an order (a) authorizing an extension referred to in subsection 384.‍6(1); or (b) authorizing a correction or revision referred to in subsection 384.‍7(1). The applicant shall notify the Chief Electoral Officer that the application has been made. Deadline (2) The application may be made (a) under paragraph (1)‍(a), within two weeks after, as the case may be, (i) if an application for an extension is not made to the Chief Electoral Officer within the period referred to in subsection 384.‍6(2), the end of the two-week period referred to in that subsection, (ii) the rejection of an application for an extension made in accordance with section 384.‍6, or (iii) the end of the extended period referred to in subsection 384.‍6(1); or (b) under paragraph (1)‍(b), within two weeks after the rejection of an application for a correction or revision made in accordance with section 384.‍7. Grounds — extension (3) The judge shall grant an order authorizing an extension unless the judge is satisfied that the chief agent’s failure to provide the required report was deliberate or was the result of the chief agent’s failure to exercise due diligence. Grounds — corrections or revisions (4) The judge shall grant an order authorizing a correction or revision if the judge is satisfied by the evidence submitted by the applicant that the correction or revision is necessary in order for the requirements of this Act to be complied with. Contents of order (5) The order may require that the applicant satisfy any condition that the judge considers necessary for carrying out the purposes of this Act. 3 The Act is amended by adding the following after section 476: Nomination campaign expenses 476.‍01 A nomination campaign expense of a nomination contestant is an expense reasonably incurred as an incidence of the nomination contest, including (a) a nomination contest expense; (b) a personal expense; and (c) a fee of any auditor appointed under subsection 476.‍77(1). Nomination contest expenses 476.‍02 (1) A nomination contest expense is any of the following: (a) any cost incurred, or non-monetary contribution received, by a nomination contestant, to the extent that the property or service that the cost was incurred for or that was received as a non-monetary contribution is used to directly promote or oppose a registered party, its leader, a nomination contestant or a candidate during a nomination contest; and (b) any acceptance by a nomination contestant of a provision of goods or services that is permitted under paragraph 364(2)‍(c), to the extent that the goods or services are used to directly promote or oppose a registered party, its leader, a nomination contestant or a candidate during a nomination contest. Inclusions (2) A nomination contest expense includes a cost incurred for, a non-monetary contribution in relation to, or a provision of goods and services in relation to, (a) the production of advertising or promotional material; (b) the distribution, broadcast or publication of such material in any media or by any other means during the nomination contest, including by the use of a capital asset; (c) the payment of remuneration and expenses to or on behalf of a person for their services as a financial agent or in any other capacity; (d) securing a meeting space or the supply of light refreshments at meetings; (e) any product or service provided by a government, a Crown corporation or any other public agency; and (f) the conduct of surveys or research during a nomination contest. Definition of cost incurred (3) In this section, cost incurred means an expense that is incurred by a nomination contestant, whether it is paid or unpaid. 2014, c. 12, s. 86 4 The portion of section 476.‍67 of the Act before paragraph (a) is replaced by the following: Limits on nomination contest expenses 476.‍67 The limit for nomination contest expenses that is allowed for a nomination contestant in an electoral district is the amount 2014, c. 12, s. 86 5 Subsection 476.‍68(1) of the Act is replaced by the following: Prohibition — expenses more than maximum 476.‍68 (1) No nomination contestant and no financial agent of a nomination contestant shall incur total nomination contest expenses in an amount that is more than the limit allowed for that electoral district under section 476.‍67. 2014, c. 12, s. 86 6 Paragraph 476.‍75(2)‍(a) of the Act is replaced by the following: (a) a statement of nomination contest expenses; (a.‍1) a statement of nomination campaign expenses, other than nomination contest expenses; 7 The Act is amended by adding the following after section 478: Leadership campaign expenses 478.‍01 A leadership campaign expense of a leadership contestant is an expense reasonably incurred as an incidence of the leadership contest, including (a) a leadership contest expense; (b) a personal expense; and (c) a fee of any auditor appointed under this Division. Leadership contest expenses 478.‍02 (1) A leadership contest expense is any of the following: (a) any cost incurred, or non-monetary contribution received, by a leadership contestant, to the extent that the property or service that the cost was incurred for or that was received as a non-monetary contribution is used to directly promote or oppose a registered party, its leader or a leadership contestant during a leadership contest; and (b) any acceptance by a leadership contestant of a provision of goods or services that is permitted under paragraph 364(2)‍(c), to the extent that the goods or services are used to directly promote or oppose a registered party, its leader or a leadership contestant during a leadership contest. Inclusions (2) A leadership contest expense includes a cost incurred for, a non-monetary contribution in relation to, or a provision of goods and services in relation to, (a) the production of advertising or promotional material; (b) the distribution, broadcast or publication of such material in any media or by any other means during the leadership contest, including by the use of a capital asset; (c) the payment of remuneration and expenses to or on behalf of a person for their services as a financial agent or in any other capacity; (d) securing a meeting space or the supply of light refreshments at meetings; (e) any product or service provided by a government, a Crown corporation or any other public agency; and (f) the conduct of surveys or research during a leadership contest. Definition of cost incurred (3) In this section, cost incurred means an expense that is incurred by a leadership contestant, whether it is paid or unpaid. 2014, c. 12, s. 86 8 Paragraph 478.‍8(2)‍(a) of the Act is replaced by the following: (a) a statement of leadership contest expenses; (a.‍1) a statement of leadership campaign expenses, other than leadership contest expenses; 9 The Act is amended by adding the following after section 497: Offences under Division 1.‍1 of Part 18 (Regulated Fundraising Events) Strict liability offences — summary conviction 497.‍01 Every person is guilty of an offence who (a) being a registered party, contravenes subsection 384.‍2(1) or (4) (failure to publish information about regulated fundraising event); (b) being a person or entity, contravenes subsection 384.‍2(3) (failure to provide information about regulated fundraising event); (b.‍1) being a registered party, contravenes subsection 384.‍2(4.‍1) (failure to notify Chief Electoral Officer of regulated fundraising event); (c) being a registered party, contravenes subsection 384.‍2(5) or (7) (failure to replace old information about regulated fundraising event on its Internet site); (d) being a person or entity, contravenes subsection 384.‍2(6) (failure to provide new information about regulated fundraising event); (e) being a chief agent, contravenes subsection 384.‍3(1), (6) or (6.‍1) (failure to provide report on regulated fundraising event); (f) being a chief agent, contravenes subsection 384.‍3(3) (including prohibited name or address in report on regulated fundraising event); (g) being a person or entity, contravenes subsection 384.‍3(4), (4.‍1), (9) or (9.‍1) (failure to provide information about regulated fundraising event); (h) being a person or entity, contravenes subsection 384.‍3(5) or (10) (including prohibited name or address in information about regulated fundraising event); (i) being a chief agent, contravenes subsection 384.‍3(8) or (8.‍1) (failure to provide report on all regulated fundraising events); (j) being a chief agent, contravenes subsection 384.‍3(12) (including prohibited name or address in report on all regulated fundraising events); (k) being the chief agent of a registered party, the financial agent of a registered association, the official agent of a candidate or the financial agent of a nomination contestant or leadership contestant, contravenes section 384.‍4 (failure to return or pay amount of contribution); or (l) being a chief agent or the leader of a registered party, contravenes subsection 384.‍7(3) (failure to provide corrected or revised report within 30-day period or any extension of that period). 2014, c. 12, s. 99 10 (1) Paragraph 497.‍3(1)‍(f) of the Act is replaced by the following: (f) being a nomination contestant or the financial agent of one, contravenes subsection 476.‍68(1) (exceeding nomination contest expenses limit); 2014, c. 12, s. 99 (2) Paragraphs 497.‍3(2)‍(g) and (h) of the Act are replaced by the following: (g) being a nomination contestant or the financial agent of one, knowingly contravenes subsection 476.‍68(1) (exceeding nomination contest expenses limit); (h) being a person or entity, contravenes subsection 476.‍68(2) (circumventing nomination contest expenses limit); 11 Section 500 of the Act is amended by adding the following after subsection (1): Punishment — strict liability offences (1.‍1) Every person who is guilty of an offence under section 497.‍01 is liable on summary conviction to a fine of not more than $1,000. Transitional Provisions Coming into force during election period — regulated fundraising events 12 If section 2 comes into force during an election period, the Canada Elections Act, as it read immediately before the day on which that section comes into force, applies with respect to that election and all related obligations and rights including obligations to report. Coming into force during nomination contest 13 (1) If section 3 comes into force during a nomination contest, the Canada Elections Act, as it read immediately before the day on which that section comes into force, applies with respect to that nomination contest and all related obligations and rights including obligations to report. Prior nomination contests (2) All obligations and rights arising out of any nomination contest that took place before the day on which section 3 comes into force and that are still outstanding on that day, including obligations to report, are subject to the Canada Elections Act as it read at the time of that nomination contest. Coming into force during leadership contest 14 (1) If section 7 comes into force during a leadership contest, the Canada Elections Act, as it read immediately before the day on which that section comes into force, applies with respect to that leadership contest and all related obligations and rights including obligations to report. Prior leadership contests (2) All obligations and rights arising out of any leadership contest that took place before the day on which section 7 comes into force and that are still outstanding on that day, including obligations to report, are subject to the Canada Elections Act as it read at the time of that leadership contest. Coming into Force Six months after royal assent 15 This Act comes into force on the day that, in the sixth month after the month in which it receives royal assent, has the same calendar number as the day on which it receives royal assent or, if that sixth month has no day with that number, the last day of that sixth month. Published under authority of the Speaker of the House of Commons Publication Explorer Publication Explorer ParlVU