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Municipal Act, 2001

ONTARIO REGULATION 204/03

POWERS OF THE MINISTER OR A COMMISSION IN IMPLEMENTING A RESTRUCTURING PROPOSAL

Consolidation Period: From July 1, 2010 to the e-Laws currency date.

Last amendment: O. Reg. 86/10.

This is the English version of a bilingual regulation.

Purposes and definitions

1. (1) This Regulation sets out the powers that,

(a) the Minister may exercise in implementing a restructuring proposal made by a municipality or local body that the Minister may implement under subsection 173 (4) of the Act; and

(b) a commission under section 174 of the Act may exercise in implementing a restructuring proposal that it has developed and is authorized to implement under subsection 175 (1) of the Act. O. Reg. 204/03, s. 1 (1).

(2) In this Regulation,

“elector” means a person whose name appears on the voters’ list, as amended up until the close of voting on voting day, for the last regular municipal election; (“électeur”)

“local board” means a local board as defined in section 1 of the Municipal Affairs Act but does not include a school board, children’s aid society, committee of management or board of management of a long-term care home under Part VIII of the Long-Term Care Homes Act, 2007, conservation authority, board of health, planning board, municipal planning authority or district social services administration board; (“conseil local”)

“school board” means a board as defined in subsection 1 (1) of the Education Act. (“conseil scolaire”) O. Reg. 204/03, s. 1 (2); O. Reg. 86/10, s. 1.

Powers

2. The Minister or a commission may,

(a) annex part of a municipality to another municipality;

(b) annex a geographic area that does not form part of a municipality to a municipality;

(c) amalgamate a municipality with another municipality;

(d) separate a local municipality from an upper-tier municipality for municipal purposes;

(e) join a local municipality to an upper-tier municipality for municipal purposes;

(f) incorporate the inhabitants of a geographic area as a municipality. O. Reg. 204/03, s. 2.

Dissolution

3. (1) Subject to section 5, the Minister or a commission may dissolve all or part of a municipality so long as, on dissolution,

(a) all liabilities and obligations of the dissolved municipality or local board or all liabilities and obligations related to the dissolved part of the municipality are vested in one or more local municipalities or local boards existing in the area of the dissolved municipality or local board following the dissolution;

(b) if an upper-tier municipality has been dissolved in whole or in part, the power and obligation of the upper-tier municipality to establish and maintain a long-term care home under Part VIII of the Long-Term Care Homes Act, 2007 is transferred, for the purposes of the local municipality only, to each of the local municipalities existing in the area of the dissolved upper-tier municipality or part of the upper-tier municipality following the dissolution; and

(c) if an upper-tier municipality or local board of an upper-tier municipality is legally required to provide a service and local municipalities and their local boards do not have the authority to provide the service, the power and obligation to provide the service are transferred, for the purposes of the local municipality only, to each of the local municipalities or their local boards existing in the area of the dissolved upper-tier municipality or part of the upper-tier municipality following the dissolution. O. Reg. 204/03, s. 3 (1); O. Reg. 86/10, s. 2.

(2) The Minister or a commission may provide for the matters referred to in clauses (1) (a), (b) and (c). O. Reg. 204/03, s. 3 (2).

Restriction on powers

4. (1) The exercise of the powers set out in sections 2, 3 and 14 does not have the effect of,

(a) changing, directly or indirectly, the territorial jurisdiction of a school board; or

(b) affecting the application of a school board by-law that imposes education development charges on land undergoing development in a municipality or unorganized territory other than in the following ways:

1. The rights and duties of a treasurer of a municipality and a municipality under the by-law and Division E of Part IX of the Education Act are transferred to the treasurer of the municipality and the municipality that issues building permits on land undergoing development that is subject to the by-law after the restructuring proposal comes into effect.

2. The rights and duties of an official and a school board under paragraphs 1 and 2 of section 257.92 of the Education Act are transferred to any municipality that issues building permits on land undergoing development that is subject to the by-law after the restructuring proposal comes into effect.

3. Amounts received by the treasurer of a municipality under the by-law and Division E of Part IX of the Education Act are transferred to the municipality that exists after the restructuring proposal comes into effect where the land in respect of which the charge was imposed is located. O. Reg. 204/03, s. 4 (1).

(2) The exercise of the power set out in section 3 to dissolve an upper-tier municipality does not have the effect of removing the power and obligation to establish and maintain a long-term care home under Part VIII of the Long-Term Care Homes Act, 2007 from a local municipality that, prior to the dissolution, did not form part of the dissolved upper-tier municipality for municipal purposes. O. Reg. 204/03, s. 4 (2); O. Reg. 86/10, s. 3.

(3) Nothing in this Regulation affects the application of section 69 of the Labour Relations Act, 1995 and section 9 of the Employment Standards Act, 2000. O. Reg. 204/03, s. 4 (3).

Limitation

5. (1) The Minister or a commission may continue, create, amalgamate and dissolve local boards of municipalities so long as the exercise of such power,

(a) does not result in,

(i) a municipality having more than one local board providing the same service, unless a municipality may, under any Act, have more than one local board providing the same service,

(ii) a municipality having a type of local board other than a type the municipality is required to have or may have under any Act,

(iii) a local board having powers other than powers it has or may have under any Act,

(iv) a municipality that is required to provide police services failing to comply with section 4 of the Police Services Act,

(v) a local board, the members of which are elected; and

(b) results in a municipality having a local board of a type that the municipality is required to have under any Act. O. Reg. 204/03, s. 5 (1).

(2) The Minister or a commission may establish the composition of a county library board under the Public Libraries Act, subject to subsection 9 (5) of that Act, and may change the name of such a board to a name different from that required under subsection 7 (7) of that Act. O. Reg. 204/03, s. 5 (2).

Boards, other than local boards

6. The Minister or a commission may establish or continue a board, other than a local board, to provide municipal services and may establish the composition of the board but may not provide for the members of the board to be elected. O. Reg. 204/03, s. 6.

Transitional board

7. (1) If a restructuring proposal provides for one or more municipalities to be dissolved, incorporated or amalgamated, the Minister or a commission may, for transitional purposes, establish a board as a corporation. O. Reg. 204/03, s. 7 (1).

(2) The Minister or a commission may establish the composition of a board established under subsection (1). O. Reg. 204/03, s. 7 (2).

(3) If a restructuring proposal provides for a municipality to be dissolved or amalgamated, the Minister or a commission may provide that, until the municipality is dissolved or amalgamated,

(a) the board established under subsection (1) may exercise specified powers of the council of the municipality;

(b) the council of the municipality shall not exercise specified powers without the approval of the board. O. Reg. 204/03, s. 7 (3).

(4) If a restructuring proposal provides for a municipality to be incorporated, the Minister or a commission may provide that, until the municipality is incorporated, the board established under subsection (1) may exercise specified powers the council of the municipality will have when the municipality is incorporated. O. Reg. 204/03, s. 7 (4).

(5) If a restructuring proposal provides for municipalities to be amalgamated, the Minister or a commission may provide that, until the municipalities are amalgamated, the board established under subsection (1) may exercise specified powers the council of the municipality that will result from the amalgamation will have when the amalgamation occurs. O. Reg. 204/03, s. 7 (5).

Composition of council, municipal service board

8. (1) The Minister or a commission may establish the composition of a council of a municipality so long as,

(a) the council of a municipality has a head of council and at least four other members;

(b) the head of council of a local municipality is elected by general vote;

(c) the members of the council of a local municipality are elected in accordance with the Municipal Elections Act, 1996 and, if the members of the council of an upper-tier municipality are elected, the election is held in accordance with that Act;

(d) the members of the council of a municipality are qualified electors under section 17 of the Municipal Elections Act, 1996 and are not disqualified from holding the office under any Act; and

(e) in the case of an upper-tier municipality, the composition of the council is in accordance with paragraphs 2, 3, 5 and 6 of subsection 218 (1) of the Act. O. Reg. 204/03, s. 8 (1).

(2) The Minister or a commission may establish the composition of a municipal service board subject to the rules set out in subsections 196 (2) and (3) of the Act. O. Reg. 204/03, s. 8 (2); O. Reg. 602/06, s. 1 (1).

(3) The Minister may establish the composition of a city board, as defined in the City of Toronto Act, 2006, subject to the rules set out in subsections 141 (2) and (3) of that Act. O. Reg. 602/06, s. 1 (2).

Qualifications, title

9. (1) The Minister or a commission may provide for qualifications that must be satisfied in order for a member of a council of a municipality to act in the place of the head of the council. O. Reg. 204/03, s. 9 (1).

(2) The Minister or a commission may set out the title of a member of a council who acts in the place of the head of the council. O. Reg. 204/03, s. 9 (2).

Votes

10. (1) The Minister or a commission may provide for the number of votes a member of the council of a municipality has on council. O. Reg. 204/03, s. 10 (1).

(2) The Minister or a commission may provide for members of the council of a municipality to have different numbers of votes with respect to different matters. O. Reg. 204/03, s. 10 (2).

Wards

11. The Minister or a commission may,

(a) establish wards for a municipality; and

(b) alter or dissolve the wards of a municipality. O. Reg. 602/06, s. 2.

Two-tier system

12. (1) This section applies only if a two-tier system of municipal government will exist after the implementation of a restructuring proposal. O. Reg. 204/03, s. 12 (1).

(2) If a local municipality forms part of an upper-tier municipality for municipal purposes, the restructuring proposal covers a majority of local municipalities forming part of the upper-tier municipality for municipal purposes and they have a majority of all electors in the upper-tier municipality, the Minister or a commission may, subject to section 5 and subsections (3), (4) and (5), transfer,

(a) to the upper-tier municipality or local board of the upper-tier municipality a power of a local municipality or local board of a local municipality under any Act to provide services or facilities; and

(b) to a local municipality or local board of a local municipality a power of the upper-tier municipality or local board of the upper-tier municipality under any Act to provide services or facilities. O. Reg. 204/03, s. 12 (2).

(3) A local municipality or local board of a local municipality to which a power of an upper-tier municipality or local board of an upper-tier municipality is transferred may exercise the transferred power for the purposes of the local municipality only. O. Reg. 204/03, s. 12 (3).

(4) Subsection (2) does not authorize the transfer of the powers of an upper-tier municipality or local board of an upper-tier municipality under Part VIII of the Long-Term Care Homes Act, 2007 or the Ontario Works Act, 1997 or the transfer of any power of a municipality under the Police Services Act or the Planning Act, other than the approval of plans of subdivision under sections 51, 51.1 and 51.2 of the Planning Act and the giving of consents under section 53 of that Act. O. Reg. 204/03, s. 12 (4); O. Reg. 86/10, s. 4.

(5) A power of a municipality or local board transferred under subsection (2) becomes an exclusive power of the municipality to which the power is transferred unless it is expressly provided that the transferring municipality or local board may continue to exercise it. O. Reg. 204/03, s. 12 (5).

Transfer of power

13. The Minister or a commission may provide that a municipality or local board from which a power to provide a service or facility was transferred under section 12 may, by agreement with the municipality or local board to which the power was transferred, provide a service or facility of the type authorized under the transferred power. O. Reg. 204/03, s. 13.

Change of status, name

14. The Minister or a commission may provide for and change the status and name of a municipality and the name of a local board so long as after such a change,

(a) in a two-tier system of municipal government, the upper-tier municipality has the status of an upper-tier municipality and the lower-tier municipalities have the status of lower-tier municipalities;

(b) a local municipality that does not form part of an upper-tier municipality for municipal purposes has the status of a single-tier municipality;

(c) the name of a municipality is not the same as the name of any other municipality in Ontario. O. Reg. 204/03, s. 14.

Transfer of assets, liabilities

15. Subject to clause 3 (1) (a) and section 5, the Minister or a commission may transfer assets and liabilities, rights and obligations of municipalities and local boards to other municipalities and local boards and determine the amount a municipality or local board shall pay to another municipality or local board in settlement of the transfer. O. Reg. 204/03, s. 15.

Requirements, restrictions

16. (1) The Minister or a commission may impose requirements or restrictions on the council of a municipality affected by a restructuring proposal in relation to the following:

1. Financial matters.

2. The application of savings resulting from budgetary controls.

3. The establishment and maintenance of reserves and reserve funds.

4. Payments from a municipality or local board to a municipality or local board.

5. Spending on specified municipal services and contributions to other municipalities for specified municipal services that benefit the contributing municipality.

6. The sale of assets and the use of the proceeds.

7. Adjustments to the tax rates for taxpayers in any part of the municipality in respect of transit, police services, parks, roads, conservation authorities and ferry services.

8. The hiring of employees.

9. The establishment and composition of committees for transitional purposes.

10. The provisions of the procedure by-law governing the calling, place and proceedings of meetings. O. Reg. 204/03, s. 16 (1).

(2) Revoked: O. Reg. 602/06, s. 3.

(3) Requirements or restrictions under paragraph 1 of subsection (1) relating to financial matters may apply only in the year in which the order imposing the requirements or restrictions becomes effective and in the following year. O. Reg. 204/03, s. 16 (3).

(4) Requirements or restrictions relating to the provisions of the by-law referred to in paragraph 10 of subsection (1) do not affect the authority of the council of the municipality to subsequently amend the by-law. O. Reg. 204/03, s. 16 (4).

Requirement for review

16.1 The Minister or a commission may require the council of a municipality to review any matter at a time specified by the Minister or commission. O. Reg. 602/06, s. 4.

Roads

17. If a restructuring proposal has the effect of transferring the responsibility to construct or maintain roads from an upper-tier municipality to a local municipality, the Minister or a commission may require that the local municipality construct and maintain the roads in accordance with specified standards. O. Reg. 204/03, s. 17.

Multiple fire departments

18. The Minister or a commission may allow a municipality to have more than one fire department and may allow the municipality to have a fire chief for each department. O. Reg. 204/03, s. 18.

Transfer of employees

19. (1) In this section,

“former municipality” means a municipality that, as a result of a restructuring proposal, is being dissolved or amalgamated; (“ancienne municipalité”)

“new municipality” means a municipality that is being incorporated as a result of a restructuring proposal or that will be the result of an amalgamation under a restructuring proposal. (“nouvelle municipalité”) O. Reg. 204/03, s. 19 (1).

(2) This section applies only with respect to a person who, immediately before a former municipality is dissolved or amalgamated, is an employee of the former municipality or a local board of the former municipality. O. Reg. 204/03, s. 19 (2).

(3) The Minister or a commission may order that an employee of a former municipality shall become an employee of a new municipality or a local board of the new municipality. O. Reg. 204/03, s. 19 (3).

(4) The Minister or a commission may order that an employee of a local board of a former municipality shall become an employee of a new municipality or a local board of the new municipality. O. Reg. 204/03, s. 19 (4).

Transfer of employees not in a bargaining unit

20. (1) The definitions in subsection 19 (1) apply to this section. O. Reg. 204/03, s. 20 (1).

(2) This section applies only with respect to a person who, immediately before a former municipality is dissolved or amalgamated, is an employee of the former municipality or a local board of the former municipality and is not in a bargaining unit. O. Reg. 204/03, s. 20 (2).

(3) The Minister or a commission may order that the length of employment or service of an employee who becomes, under the order, an employee of a new municipality or a local board of the new municipality shall be deemed to include,

(a) if the employee was employed by a former municipality immediately before the former municipality is dissolved or amalgamated, a percentage of the length of employment or service the employee had with the former municipality and with any local board of the former municipality; or

(b) if the employee was employed by a local board of a former municipality immediately before the former municipality is dissolved or amalgamated, a percentage of the length of employment or service the employee had with the local board, the former municipality and any other local board of the former municipality. O. Reg. 204/03, s. 20 (3).

(4) Subsection (5) applies with respect to an employee only if,

(a) the employee becomes, under an order, an employee of a new municipality or a local board of a new municipality; and

(b) the position the employee had with the former municipality or local board of the former municipality immediately before the former municipality is dissolved or amalgamated would be in a bargaining unit if the position were with the new municipality or local board that the employee becomes an employee of under the order. O. Reg. 204/03, s. 20 (4).

(5) Subject to subsection (4), the Minister or a commission may order that an employee shall be deemed to be in the bargaining unit referred to in clause (4) (b) with seniority that shall be deemed to include,

(a) if the employee was employed by a former municipality immediately before the former municipality is dissolved or amalgamated, a percentage of the length of employment the employee had in each position with the former municipality and with any local board of the former municipality that would be in the bargaining unit the employee is deemed to be in if the position were with the new municipality or local board that the employee becomes an employee of under the order; or

(b) if the employee was employed by a local board of a former municipality immediately before the former municipality is dissolved or amalgamated, a percentage of the length of employment the employee had in each position with the local board of the former municipality and any other local board of the former municipality that would be in the bargaining unit the employee is deemed to be in if the position were with the new municipality or local board that the employee becomes an employee of under the order. O. Reg. 204/03, s. 20 (5).

(6) The percentage of length of employment or service referred to in subsections (3) and (5) shall be set out in the order and may be any percentage not exceeding 100 per cent. O. Reg. 204/03, s. 20 (6).

(7) The Minister or a commission may provide that a dispute concerning the application, in determining a right or obligation under a collective agreement, of the part of the Minister’s or commission’s order that results from the exercise of a power under this section be resolved as though the dispute were a dispute concerning the interpretation, application or administration of the collective agreement. O. Reg. 204/03, s. 20 (7).

Alternate member of council

21. The Minister or a commission may provide for an alternate to act as a member of the council of an upper-tier municipality in the absence of a member who is a member of the council of a local municipality. O. Reg. 204/03, s. 21.

Official plans, by-laws, resolutions

22. (1) Subject to section 5 and subsections (2), (3) and (4), the Minister or a commission may provide for the continuation, cessation, extension or otherwise of official plans, by-laws and resolutions of municipalities and local boards in a geographic area to which a restructuring proposal applies. O. Reg. 204/03, s. 22 (1).

(2) Official plans and zoning by-laws pertaining to an area of a geographic area to which a restructuring proposal applies shall be deemed to be official plans and zoning by-laws of municipalities and local boards in which the area is located after the restructuring proposal comes into effect, until they are amended or repealed under the Planning Act. O. Reg. 204/03, s. 22 (2).

(3) By-laws passed under section 2 of the Development Charges Act, 1997 shall not be made to apply to a greater area than that to which they applied before the restructuring. O. Reg. 204/03, s. 22 (3).

(4) By-laws or resolutions that could not be lawfully repealed by the council of a municipality or a local board shall not be repealed under subsection (1). O. Reg. 204/03, s. 22 (4).

Interim council

23. (1) Subject to clauses 8 (1) (a) and (d), the Minister or a commission may, if a restructuring proposal comes into effect at any time other than at the end of the regular term of office of a council of a municipality, provide for and establish the composition of an interim council of a municipality whose members shall hold office until the end of the regular term of office. O. Reg. 204/03, s. 23 (1).

(2) The members of an interim council shall be determined,

(a) by holding a by-election under section 65 of the Municipal Elections Act, 1996, but no such by-election shall be held in a regular municipal election year; or

(b) by designating members of the councils of the municipalities any part of which existed in the geographic area before the restructuring proposal comes into effect. O. Reg. 204/03, s. 23 (2).

(3) In this section,

“geographic area” means the geographic area to which the restructuring proposal applies. O. Reg. 204/03, s. 23 (3).

(4) In the case of a restructuring proposal to annex unorganized territory to a municipality, the members of an interim council shall be determined,

(a) by holding a by-election under section 65 of the Municipal Elections Act, 1996, but no such by-election shall be held in a regular municipal election year;

(b) by designating members of the councils of the municipalities any part of which existed in the geographic area before the restructuring proposal comes into effect;

(c) by holding a special election to determine the members of the council elected from the unorganized territory before the restructuring proposal comes into effect in accordance with the procedure set out in section 24; or

(d) by a combination of the methods described in clauses (b) and (c). O. Reg. 204/03, s. 23 (4).

(5) The Minister or a commission may,

(a) shorten the regular term of office of a council of a municipality or local board to the date on which an interim council or local board takes office;

(b) extend the regular term of office of a council of a municipality or local board to the earlier of the date a restructuring proposal comes into effect or January 1 of the year following a regular municipal election. O. Reg. 204/03, s. 23 (5).

Annexation of unorganized territory

24. (1) In the case of a restructuring proposal to annex unorganized territory to a municipality, a special election to determine the members of the council elected from the unorganized territory before the restructuring proposal comes into effect shall be held in accordance with this section. O. Reg. 204/03, s. 24 (1).

(2) A person is eligible to vote in the special election if the person would have been entitled to be an elector at that election in the unorganized territory under section 17 of the Municipal Elections Act, 1996 had the unorganized territory been a local municipality. O. Reg. 204/03, s. 24 (2).

(3) A person may be nominated for office in the special election if, on the day the person is nominated,

(a) the person would be eligible to vote in the special election under subsection (2) if the election were held on that day; or

(b) the person would be entitled to be an elector under section 17 of the Municipal Elections Act, 1996 at an election if the election were being held on that day in the municipality to which the unorganized territory is being annexed. O. Reg. 204/03, s. 24 (3).

(4) The following procedure shall be followed for the special election:

1. The clerk of the municipality with the greatest number of electors of the municipalities, any part of which existed in the geographic area before the restructuring proposal comes into effect, shall be responsible for conducting the special election.

2. Nomination day for the special election must be at least 14 days before voting day.

3. At least 14 days before nomination day, the clerk shall give notice of the offices for which persons may be nominated and of the nomination procedure as set out in this subsection.

4. A person may be nominated for an office by filing a nomination in the clerk’s office.

5. If, after the close of nomination day, the number of candidates for an office is the same or less than the number to be elected, the clerk shall declare the candidate or candidates elected by acclamation.

6. If any office remains vacant after the close of nomination day, section 263 of the Act applies if the number of members on council is sufficient to form a quorum.

7. The clerk shall call a meeting for the purpose of conducting a vote for the special election.

8. The meeting must be held in the unorganized territory or in an adjacent local municipality.

9. The clerk must give at least 14 days notice of the meeting,

i. by publication in a newspaper that, in the opinion of the clerk, is of general circulation throughout the unorganized territory, or

ii. if the clerk is of the opinion that there is no such newspaper, by any other means which, in the opinion of the clerk, will give the persons who are eligible to vote adequate notice of the meeting.

10. The notice of the meeting must set out,

i. the purpose of the meeting,

ii. where and when the meeting will be held, and

iii. a description of who may vote at the meeting.

11. The meeting shall be chaired by the clerk.

12. The clerk shall conduct a vote by the persons who attend the meeting to determine the members of the council elected from the unorganized territory. The clerk shall determine how to conduct the vote. The clerk shall record the results of the vote and the number of votes cast.

13. The clerk shall announce the results of the vote. If two or more candidates who cannot both or all be declared elected to an office have received the same number of votes, the clerk shall choose the successful candidate or candidates by lot.

14. The clerk shall retain the ballots and all other documents and materials related to the election until the successors of the persons elected at the special election held under this section have taken office. O. Reg. 204/03, s. 24 (4).

(5) In paragraph 1 of subsection (4),

“geographic area” means the geographic area to which the restructuring proposal applies. O. Reg. 204/03, s. 24 (5).

(6) The costs incurred in conducting the special election by the clerk of the municipality with the greatest number of electors shall be paid by that municipality. O. Reg. 204/03, s. 24 (6).

(7) The municipality with the greatest number of electors shall pay the costs as soon as possible after its clerk has signed a certificate verifying the amount. O. Reg. 204/03, s. 24 (7).

Special provisions during election year

25. (1) If a restructuring proposal comes into effect during a regular municipal election year as provided in section 30, the Minister or a commission may make special provisions,

(a) for holding the regular municipal election under the Municipal Elections Act, 1996 in that year; and

(b) for holding a regular election under the Education Act in that year. O. Reg. 204/03, s. 25 (1).

(2) If a restructuring proposal comes into effect between December 1 of a regular municipal election year and January 1 of the following year, both inclusive, the Minister or a commission may provide for holding the regular municipal election in accordance with the Municipal Elections Act, 1996 and a regular election under the Education Act as if the municipalities, school boards and local boards that will exist after the restructuring were already in existence. O. Reg. 204/03, s. 25 (2).

Powers re: taxes

26. (1) The Minister or a commission may provide for the phase-in of shifts in real property taxes occurring as a result of an order made under section 173 or 175 of the Act. O. Reg. 204/03, s. 26 (1); O. Reg. 602/06, s. 5 (1).

(2) The Minister or a commission may provide for tax rate adjustments that apply to taxpayers in any area of a municipality in respect of debts, deficits, surpluses, reserves or reserve funds of municipalities and local boards created before the restructuring proposal comes into effect. O. Reg. 602/06, s. 5 (2).

Dissolution of certain boards

27. (1) In this section,

“local roads board” means a board of a local roads area as defined in section 1 of the Local Roads Boards Act; (“régie des routes locales”)

“local services board” means a Local Services Board established under the Northern Services Boards Act. (“régie locale des services publics”) O. Reg. 204/03, s. 27 (1).

(2) The Minister or a commission may dissolve all or part of a local roads board or a local services board so long as, on dissolution, all liabilities and obligations of the dissolved local roads board or local services board or all liabilities and obligations related to the dissolved part of the local roads board or local services board are vested in one or more local municipalities or local boards existing in the area of the local roads board or local services board following the dissolution. O. Reg. 204/03, s. 27 (2).

(3) If a restructuring proposal provides for one or more local roads boards or local services boards to be dissolved in whole or in part, the Minister or a commission may,

(a) subject to subsection (2), transfer assets and liabilities, rights and obligations of local services boards or local roads boards to a municipality or local board and determine the amount a municipality or local board shall pay to the local services board or local roads board in settlement of the transfer;

(b) provide that tax rate adjustments apply to taxpayers in any area of a municipality in respect of debts, deficits, surpluses, reserves or reserve funds of local roads boards or local services boards created before the restructuring proposal comes into effect; and

(c) provide for the continuation, cessation, extension or otherwise of by-laws and resolutions of local roads boards or local services boards in a geographic area to which a restructuring proposal applies. O. Reg. 204/03, s. 27 (3).

(4) By-laws or resolutions that could not be lawfully repealed by a local roads board or a local services board shall not be repealed under clause (3) (c). O. Reg. 204/03, s. 27 (4).

Arbitration

28. The Minister or a commission may provide in an order that issues arising out of the interpretation of the order be resolved by arbitration in accordance with the Arbitration Act, 1991 or by another method specified in the order. O. Reg. 204/03, s. 28.

Restricted acts

29. In implementing a restructuring proposal, the Minister or a commission may order that a municipality affected by the restructuring proposal shall not do any of the following or may do them only as allowed under the order:

1. Make a restructuring proposal under section 173 of the Act.

1.1 Make a proposal for minor restructuring under section 149 of the City of Toronto Act, 2006.

2. Request the establishment of a commission under section 174 of the Act. O. Reg. 204/03, s. 29; O. Reg. 602/06, s. 6.

Effective date

30. (1) Subject to subsection (2), an order of the Minister or a commission implementing a restructuring proposal shall not come into effect between January 2 and November 30, both inclusive, in a regular municipal election year. O. Reg. 204/03, s. 30 (1).

(2) An order under subsection (1) may come into effect at any time between January 2 and July 1, both inclusive, in a regular municipal election year if,

(a) no local municipal wards that existed on January 1 in the year are being changed;

(b) no new local municipal ward is being created, other than a ward that consists solely of the entire area of one or more,

(i) local municipal wards that existed on January 1 of the year, or

(ii) local municipalities that existed and had no wards on January 1 of the year;

(c) no local municipality that existed on January 1 of the year is being split or partially dissolved; and

(d) all local municipalities and local municipal wards remain wholly within one or more of the geographic areas to which trustee positions are distributed in that year under a regulation made under clause 58.1 (2) (k) of the Education Act. O. Reg. 204/03, s. 30 (2).

Special case

30.1 Despite section 30, the Minister may implement a restructuring proposal in respect of the annexation of part of the Township of East Zorra-Tavistock to the City of Woodstock to take effect on July 1, 2006. O. Reg. 273/06, s. 1.

31. Omitted (revokes other Regulations). O. Reg. 204/03, s. 31.

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