Ontario Mortgage and Housing Corporation Act, R.S.O. 1990, c. O.21

Ontario Mortgage and Housing Corporation Act

R.S.O. 1990, CHAPTER O.21

Historical version for the period December 20, 2006 to July 24, 2007.

Amended by: 2000, c. 27, s. 177; 2004, c. 17, s. 32; 2006, c. 32, Sched. E, ss. 1, 2; 2006, c. 35, Sched. C, s. 100 (2).

Definitions

1. In this Act,

“Board” means the Board of Directors of the Corporation; (“conseil”)

“Corporation” means the Ontario Mortgage and Housing Corporation; (“Société”)

“Minister” means the Minister of Municipal Affairs and Housing or such other member of the Executive Council to whom the administration of this Act may be assigned under the Executive Council Act; (“ministre”)

“prescribed” means prescribed by regulation; (“prescrit”)

“regulations” means the regulations made under this Act. (“règlements”) R.S.O. 1990, c. O.21, s. 1; 2000, c. 27, s. 177 (1); 2006, c. 32, Sched. E, s. 1 (2, 3).

Ontario Mortgage and Housing Corporation

2. (1) The Ontario Housing Corporation is continued as a corporation without share capital under the name Ontario Mortgage and Housing Corporation in English and Société ontarienne d’hypothèques et de logement in French. 2006, c. 32, Sched. E, s. 1 (4).

Powers of a natural person

(2) For the purposes of exercising its powers under this Act, the Corporation has the capacity and the rights, powers and privileges of a natural person, subject to the limitations set out in this Act. 2006, c. 32, Sched. E, s. 1 (4).

Composition

(2.1) The Corporation shall consist of at least five members appointed by the Lieutenant Governor in Council. 2006, c. 32, Sched. E, s. 1 (4).

Term of office

(2.2) A member shall hold office at the pleasure of the Lieutenant Governor in Council. 2006, c. 32, Sched. E, s. 1 (4).

Seal

(3) The Corporation shall have a seal which shall be adopted by resolution or by-law. R.S.O. 1990, c. O.21, s. 2 (3).

Fiscal year

(4) On and after April 1, 2007, the Corporation’s fiscal year shall commence on April 1 in each year and end on March 31 in the following year. 2006, c. 32, Sched. E, s. 1 (5).

Transition

(4.1) The fiscal year that commenced on January 1, 2006 shall end on March 31, 2007. 2006, c. 32, Sched. E, s. 1 (5).

Exception

(5) The Corporations Act does not apply to the Corporation. R.S.O. 1990, c. O.21, s. 2 (5).

Board of Directors

3. (1) The members for the time being of the Corporation form and are its Board of Directors, and the Lieutenant Governor in Council shall designate one of them as chair of the Board. R.S.O. 1990, c. O.21, s. 3 (1); 2000, c. 27, s. 177 (3).

(2) Repealed: 2000, c. 27, s. 177 (4).

Quorum

(3) A majority of the directors for the time being constitutes a quorum at meetings of the Board. R.S.O. 1990, c. O.21, s. 3 (3).

By-laws

(4) The Board may make by-laws regulating its proceedings and generally for the conduct and management of the affairs of the Corporation. R.S.O. 1990, c. O.21, s. 3 (4).

Management

4.The affairs of the Corporation are under the management and control of the Board for the time being, and the chair shall preside at all meetings of the Board, or, in his or her absence or if the office of chair is vacant, the vice-chair has all the powers and shall perform all the duties of the chair. R.S.O. 1990, c. O.21, s. 4.

Staff

5. Such officers and employees may be appointed under the Public Service Act as are considered necessary from time to time for the proper conduct of the business of the Corporation. R.S.O. 1990, c. O.21, s. 5.

Note: On a day to be named by proclamation of the Lieutenant Governor, section 5 is repealed by the Statutes of Ontario, 2006, chapter 35, Schedule C, subsection 100 (2) and the following substituted:

Officers and employees

5. Such officers and employees as are considered necessary for the proper conduct of the business of the Corporation may be appointed under Part III of the Public Service of Ontario Act, 2006. 2006, c. 35, Sched. C, s. 100 (2).

See: 2006, c. 35, Sched. C, ss. 100 (2), 137 (1).

Agent of the Crown

5.1 Subject to section 10.2, the Corporation is an agent of the Crown in right of Ontario and may exercise its powers only as an agent of the Crown. 2006, c. 32, Sched. E, s. 1 (6).

Ministerial policies and directives

5.2 (1) The Minister may issue policies and directives in writing to the Corporation in respect of any matter under this Act. 2006, c. 32, Sched. E, s. 1 (6).

Corporation to follow policies and directives

(2) The Corporation’s board of directors shall ensure that a policy or directive issued under subsection (1) is followed. 2006, c. 32, Sched. E, s. 1 (6).

Policies and directives are not regulations

(3) Policies and directives are not regulations within the meaning of the Regulations Act. 2006, c. 32, Sched. E, s. 1 (6).

Note: On October 19, 2007 or an earlier day to be named by proclamation of the Lieutenant Governor, subsection (3) is amended by the Statutes of Ontario, 2006, chapter 32, Schedule E, subsection 2 (3) by striking out “the Regulations Act” and substituting “Part III (Regulations) of the Legislation Act, 2006”. See: 2006, c. 32, Sched. E, ss. 2 (3), 8.

Powers of Corporation

6. (1) The Corporation, with the approval of the Lieutenant Governor in Council, may make any loan, grant, guarantee or advance that may be made by the Lieutenant Governor in Council under section 2 of the Housing Development Act, or by the Minister under section 3 of that Act. 2006, c. 32, Sched. E, s. 1 (7).

Power of Corporation to enter into agreements

(2)The Corporation, with the approval of the Lieutenant Governor in Council, may enter into any agreement that Her Majesty in right of Ontario or the Minister is authorized to enter into under the Housing Development Act. R.S.O. 1990, c. O.21, s. 6 (2).

Power to create subsidiaries

(3) The Corporation, with the approval of the Lieutenant Governor in Council, may create a subsidiary corporation. 2006, c. 32, Sched. E, s. 1 (8).

Power to acquire property

(4) The Corporation may acquire and hold real property and dispose of such property from time to time. R.S.O. 1990, c. O.21, s. 6 (4).

(5) Repealed: 2000, c. 27, s. 177 (7).

Ontario Mortgage and Housing Initiative

6.1 (1) The Corporation shall administer an initiative known as the Ontario Mortgage and Housing Initiative. 2006, c. 32, Sched. E, s. 1 (9).

Purpose of Ontario Mortgage and Housing Initiative

(2) The purpose of the Ontario Mortgage and Housing Initiative is to facilitate the development of affordable housing. 2006, c. 32, Sched. E, s. 1 (9).

Powers re Ontario Mortgage and Housing Initiative

(3) The Corporation may do anything it considers necessary to fulfil the purpose described in subsection (2), including,

(a) developing and managing a roster of approved lenders who may provide mortgage financing for the purposes of developing affordable housing, and making the roster available to persons interested in developing affordable housing;

(b) providing other information about affordable housing to approved lenders or potential approved lenders and to persons interested in developing affordable housing; and

(c) entering into agreements in relation to the Ontario Mortgage and Housing Initiative. 2006, c. 32, Sched. E, s. 1 (9).

Definition

(4) In this section,

“affordable housing” means,

(a) affordable housing within the meaning of the Affordable Housing Program Agreement, and

(b) any other prescribed housing or prescribed type of housing. 2006, c. 32, Sched. E, s. 1 (9).

Powers to administer housing programs

6.2 (1) The Corporation shall manage, administer and deliver all or part of the program known as “Program A2 – Affordable Home Ownership Program”, set out in Schedule A of the Affordable Housing Program Agreement. 2006, c. 32, Sched. E, s. 1 (9).

Same

(2) The Corporation shall manage, administer and deliver such housing programs or parts of housing programs as may be prescribed. 2006, c. 32, Sched. E, s. 1 (9).

Same

(3) For the purposes of subsections (1) and (2), the Corporation may,

(a) enter into an agreement with any person; and

(b) make any loan, grant, guarantee or advance related to the program, and take security for the loan, guarantee or advance. 2006, c. 32, Sched. E, s. 1 (9).

Definition

6.3 (1) In sections 6.1, 6.2 and this section,

“Affordable Housing Program Agreement” means the agreement signed April 29, 2005 and effective April 1, 2003 between the Canada Mortgage and Housing Corporation and Her Majesty the Queen in right of the Province of Ontario as represented by the Minister of Public Infrastructure Renewal. 2006, c. 32, Sched. E, s. 1 (9).

Agreement to be publicly available

(2) The Minister shall ensure that a copy of the Affordable Housing Program Agreement is publicly available on the website of the Ministry of Municipal Affairs and Housing. 2006, c. 32, Sched. E, s. 1 (9).

Corporation to be management corporation

7.The Corporation, in addition to its other powers, shall be deemed to be a corporation constituted under subsection 7(2) of the Housing Development Act. R.S.O. 1990, c. O.21, s. 7.

Borrowing powers

8.(1)Subject to the approval of the Lieutenant Governor in Council, the Corporation may from time to time borrow or raise by way of loan such sums of money as the Corporation may consider requisite for any of the purposes of the Corporation in any one or more, or partly in one and partly in another, of the following ways,

(a) by the issue and sale of debentures, bills or notes of the Corporation in such form or forms, in such denomination or denominations, bearing interest at such rate or rates and payable as to principal and interest at such time or times, in such currency or currencies and at such place or places as the Board may determine; and

(b) by temporary loan or loans from any bank or banks listed in Schedule I or II to the Bank Act (Canada) or from any person either by way of bank overdraft or loan or in any other manner whatsoever as the Board may determine; and

(c) by charge or mortgage of all or any of the real property of the Corporation.

Payment of loans and indebtedness

(2)The purposes of the Corporation, without limiting the generality thereof, include,

(a) the carrying out of the powers of the Corporation mentioned in sections 6 and 7;

(b) the payment, refunding or renewal from time to time of the whole or any part of any sum or sums of money raised by way of loan or of any securities issued by the Corporation; and

(c) the payment of the whole or any part of any obligation, liability or indebtedness of the Corporation.

Sale, etc., of Corporation’s securities

(3)Subject to the approval of the Lieutenant Governor in Council, the Corporation may sell any debentures, bills or notes of the Corporation either at, or at less or more than, the par value thereof and may charge, pledge or otherwise deal with any such debentures, bills or notes as collateral security.

Authorization

(4)A recital or declaration in any resolution or minute of the Board, authorizing the issue and sale of debentures, bills or notes of the Corporation, to the effect that it is necessary to issue and sell such debentures, bills or notes for the purposes of the Corporation in the amount authorized, is conclusive evidence to that effect.

Sealing, signing, etc.

(5)Debentures, bills or notes of the Corporation shall be sealed with the seal of the Corporation and may be signed by the chair or vice-chair of the Corporation and by the secretary or other officer of the Corporation, and any interest coupon that may be attached to any debenture, bill or note of the Corporation may be signed by the secretary or other officer of the Corporation.

Mechanical reproduction of seal and signature authorized

(6)The seal of the Corporation may be engraved, lithographed, printed or otherwise mechanically reproduced on any debenture, bill or note, and any signature upon any debenture, bill or note and upon any coupon may be engraved, lithographed, printed or otherwise mechanically reproduced, and the seal of the Corporation when so reproduced has the same force and effect as if manually affixed, and any such signature is for all purposes valid and binding upon the Corporation even though any person whose signature is so reproduced has ceased to hold office.

Securities of Corporation redeemable in advance

(7)Any debenture, bill or note of the Corporation may be made redeemable in advance of maturity at such time or times, at such price or prices and on such terms and conditions as the Board may determine at the time of the issue thereof.

Lost debentures

(8)Where a debenture, bill or note of the Corporation is defaced, lost or destroyed, the Board may provide for its replacement on such terms as to evidence and as to indemnity as the Board may require. R.S.O. 1990, c. O.21, s. 8.

Guarantee of payment by Ontario

9. (1) The Lieutenant Governor in Council may authorize the Treasurer of Ontario to guarantee payment by the Crown in right of Ontario of any debentures, bills, notes, charges or mortgages issued or made by or of any temporary loan made to the Corporation under the authority of this Act. R.S.O. 1990, c. O.21, s. 9 (1); 2006, c. 32, Sched. E, s. 1 (10).

Form of guaranty

(2) The form of guaranty and the manner of execution shall be determined by the Lieutenant Governor in Council. R.S.O. 1990, c. O.21, s. 9 (2).

Validity of guaranty

(3) Every guaranty given or purporting to be given under the authority of this section is binding upon the Crown in right of Ontario and is not open to question upon any ground whatsoever. R.S.O. 1990, c. O.21, s. 9 (3); 2006, c. 32, Sched. E, s. 1 (11).

Guarantee debentures, etc., to be indefeasible

(4) Any debenture, bill, note, charge or mortgage issued or made by or temporary loan made to the Corporation, payment whereof is guaranteed by the Crown in right of Ontario under this section, is valid and binding upon the Corporation, its successors and assigns, according to its terms, and the validity of any debenture, bill, note, charge, mortgage or temporary loan so guaranteed is not open to question on any ground whatsoever. R.S.O. 1990, c. O.21, s. 9 (4); 2006, c. 32, Sched. E, s. 1 (12).

Sale of Corporation’s securities to Province and provincial advances to Corporation authorized

10. (1) The Lieutenant Governor in Council may authorize the Minister of Finance,

(a) to purchase any debentures, bills or notes of the Corporation; and

(b) to make advances to the Corporation in such amounts, at such times and on such terms and conditions as the Lieutenant Governor in Council may consider expedient. R.S.O. 1990, c. O.21, s. 10 (1); 2000, c. 27, s. 177 (8).

Idem

(2) The money required for the purposes of subsection (1) shall be paid out of the Consolidated Revenue Fund. R.S.O. 1990, c. O.21, s. 10 (2).

Protection from personal liability

10.1 (1) No proceeding shall be commenced against any director, officer, employee, servant or agent of the Corporation or of a subsidiary of the Corporation created under subsection 6 (3) for any act done in good faith in the performance or intended performance of his or her duty or for any alleged neglect or default in the performance in good faith of that duty. 2006, c. 32, Sched. E, s. 1 (13).

Corporation’s liability

(2) Subsection (1) does not relieve the Corporation or a subsidiary of the Corporation created under subsection 6 (3) of any liability to which it would otherwise be subject in respect of a cause of action arising from any act, neglect or default referred to in subsection (1). 2006, c. 32, Sched. E, s. 1 (13).

Agent of the Crown, restriction

10.2 (1) The Corporation may declare in writing in a contract, security or instrument that it is not acting as an agent of the Crown in right of Ontario for the purpose of the contract, security or instrument. 2006, c. 32, Sched. E, s. 1 (13).

Effect

(2) If the Corporation makes a declaration under subsection (1), it is deemed not to be an agent of the Crown in right of Ontario for the purpose of the contract, security or instrument and,

(a) the Crown is not liable for any liabilities or obligations incurred by the Corporation under the contract, security or instrument; and

(b) no proceeding shall be commenced against the Crown in respect of any act or omission of the Corporation or of any of its officers, directors, employees, servants or agents relating to the contract, security or instrument. 2006, c. 32, Sched. E, s. 1 (13).

Same

(3) Clause (2) (b) prohibits a proceeding against the Crown in respect of an act or omission of any officer, director, employee, servant or agent of the Corporation who is a Crown employee, despite clause 5 (1) (a) of the Proceedings Against the Crown Act. 2006, c. 32, Sched. E, s. 1 (13).

Exception

(4) Clause (2) (b) does not apply to a proceeding to enforce against the Crown in right of Ontario its obligations under a contract, security or instrument to which it is a party. 2006, c. 32, Sched. E, s. 1 (13).

Conflict of interest and indemnification

10.3 Sections 132, 134 and 136 of the Business Corporations Act apply to the Corporation and to its directors and officers with necessary modifications. 2006, c. 32, Sched. E, s. 1 (13).

Assets and revenues

10.4 Despite Part I of the Financial Administration Act, the assets and revenues of the Corporation shall not form part of the Consolidated Revenue Fund. 2006, c. 32, Sched. E, s. 1 (13).

Non-application of Mortgage Brokers Act

10.5 The Mortgage Brokers Act does not apply to the Corporation. 2006, c. 32, Sched. E, s. 1 (13).

Non-application of Loan and Trust Corporations Act

10.6 The Loan and Trust Corporations Act does not apply to the Corporation except as specified by regulation. 2006, c. 32, Sched. E, s. 1 (13).

Investments in debentures

11. Despite any other Act, debentures issued by the Corporation and guaranteed by the Crown in right of Ontario are at all times a lawful investment for municipal, school and trust funds. R.S.O. 1990, c. O.21, s. 11; 2006, c. 32, Sched. E, s. 1 (14).

Audit

12. The accounts and financial transactions of the Corporation shall be audited annually by the Auditor General, and a report of the audit shall be made to the Corporation and to the Minister. R.S.O. 1990, c. O.21, s. 12; 2004, c. 17, s. 32.

Annual report

13.The Corporation shall make a report annually to the Minister upon the affairs of the Corporation, and the Minister shall submit the report to the Lieutenant Governor in Council and shall then lay the report before the Assembly if it is in session or, if not, at the next session. R.S.O. 1990, c. O.21, s. 13.

Regulations

14. The Lieutenant Governor in Council may make regulations,

(a) prescribing housing or types of housing for the purposes of clause (b) of the definition of “affordable housing” in subsection 6.1 (4);

(b) prescribing housing programs or parts of housing programs for the purposes of subsection 6.2 (2);

(c) prescribing provisions of the Loan and Trust Corporations Act that apply to the Corporation under section 10.6. 2006, c. 32, Sched. E, s. 1 (15).

____________________