Law:Provincial Subsidies Act

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R.s.c., 1985, c. P-26

An Act respecting subsidies and allowances to the provinces


Contents

Short Title

Short title

1. This Act may be cited as the Provincial Subsidies Act.

R.S., c. P-26, s. 1.


Fixed Subsidies

New Brunswick

Subsidy to New Brunswick in lieu of export duty on lumber

2. The Province of New Brunswick, in consideration of the Legislature thereof having passed an Act providing for the repeal of all duties of export on lumber exported from the Province, shall, so long as no such duties of export are imposed by the Legislature, be paid, in addition to the subsidy to which the Province is entitled, a subsidy at the rate of one hundred and fifty thousand dollars annually, as indemnity for the loss of such duties and the right to impose them.

R.S., c. P-26, s. 2.


Prince Edward Island

Subsidy to Prince Edward Island

3. (1) To the Province of Prince Edward Island, there shall continue to be paid, in addition to all other subsidies and allowances payable to the Province, an annual allowance or subsidy of twenty thousand dollars, payable half-yearly in advance on the first days of July and January in each and every year.

Additional allowance

(2) To the Province of Prince Edward Island, there shall also continue to be paid, in addition to all other sums authorized by law, an annual allowance of thirty thousand dollars, payable half-yearly in advance on the first days of July and January in each and every year.

In settlement of certain claims

(3) The annual allowance mentioned in subsection (2) shall be paid and accepted in full settlement of all claims of the Province against the Government of Canada on account of alleged non-fulfilment of the terms of union between Canada and the Province with respect to the maintenance of efficient steam communication between the Island and the mainland.

R.S., c. P-26, s. 3.


Manitoba

Subsidy to Manitoba

4. The following amounts shall be allowed as the annual subsidy to the Province of Manitoba and shall be paid yearly to the Province:

(a) for the support of the Government and Legislature, fifty thousand dollars;

(b) on an estimated population of one hundred and fifty thousand, at eighty cents per capita, one hundred and twenty thousand dollars, subject to be increased as hereinafter mentioned, that is to say, a census of the Province shall be taken in every fifth year, reckoning from the general census of 1881; and an approximate estimate of the population shall be made at equal intervals of time between each quinquennial and decennial census; and whenever the population, by any such census or estimate, exceeds one hundred and fifty thousand, which shall be the minimum on which the allowance shall be calculated, the amount of the allowance shall be increased accordingly, and so on, until the population has reached four hundred thousand; and

(c) as an indemnity for the want of public lands, one hundred thousand dollars.

R.S., c. P-26, s. 4.


Interest On Debt Allowances

Allowances to provinces in relation to amount of debt

5. (1) In the accounts between the Provinces of Ontario, Quebec, Nova Scotia, New Brunswick and British Columbia, respectively, and Canada, the amounts payable to and chargeable against those Provinces respectively, in so far as they depend on the amount of debt with which each province entered the Union, shall be calculated and allowed as if

(a) in the case of the Provinces of Ontario and Quebec respectively, the sum fixed by section 112 of the Constitution Act, 1867 was increased from sixty-two million five hundred thousand dollars to seventy-three million six hundred and eighty-eight dollars and eighty-four cents;

(b) in the case of the Province of Nova Scotia, the amount fixed by section 114 of that Act was increased in the same proportion;

(c) in the case of the Province of New Brunswick, the amount fixed by section 115 of that Act was increased in the same proportion; and

(d) in the case of the Province of British Columbia, the amount on which it was to receive interest fixed by or under the terms and conditions on which the Province was admitted into Canada was increased in the same proportion.

As to Nova Scotia

(2) The increased subsidy to be allowed to the Province of Nova Scotia under this section shall be based on the sum of nine million one hundred and eighty-six thousand seven hundred and fifty-six dollars, as if that sum had been mentioned in section 114 of the Constitution Act, 1867, instead of the sum of eight million dollars.

R.S., c. P-26, s. 5.

Calculation of allowances to Ontario and Quebec, and to Nova Scotia and New Brunswick

6. (1) In the accounts between the several provinces and Canada, the amounts by which the yearly subsidy to each province was increased by An Act to re-adjust the amounts payable to and chargeable against the several Provinces of Canada by the Dominion Government, so far as they depend on the debt with which they respectively entered the Union, chapter 30 of the Statutes of Canada, 1873, as explained with respect to the Province of Nova Scotia by An Act to declare the intention of the Act thirty-sixth Victoria, chapter thirty, as regards the subsidy to be allowed to Nova Scotia, chapter 3 of the Statutes of Canada, 1874, shall be calculated and allowed to the Provinces of Ontario and Quebec jointly, as having formed the former Province of Canada, and to the Provinces of Nova Scotia and New Brunswick, as if those Acts had directed that such increase be allowed from the day of the coming into force of the Constitution Act, 1867.

Capital bearing interest at five per cent

(2) The total amount of the half-yearly payments that would in that case have been made on account of such increase from July 1, 1867 up to and including January 1, 1873, with interest on each at five per cent per annum, from the day on which it would have been so paid to July 1, 1884, shall be deemed capital owing to those Provinces respectively, bearing interest at five per cent per annum and the interest shall be payable to them as part of their yearly subsidies from Canada.

R.S., c. P-26, s. 6.

As to British Columbia and Prince Edward Island

7. (1) In the accounts between Canada and the Provinces of British Columbia and Prince Edward Island, the amounts calculated and allowed as the debts of those Provinces respectively, on April 19, 1884, and on which they were then paid interest by Canada, shall be increased by amounts bearing the same proportion to the respective populations of those Provinces, as ascertained by the census of 1881, as the total of the amounts to be added under section 6 as capital owing to the Provinces of Ontario and Quebec and Nova Scotia and New Brunswick, bear to the combined population of the four last-named Provinces, as ascertained by the census of 1881.

Capital bearing interest at five per cent

(2) The amounts of the increases referred to in subsection (1), with respect to the Provinces of British Columbia and Prince Edward Island, shall be deemed capital owing to those Provinces respectively, bearing interest at the rate of five per cent per annum, which interest shall be payable to them as part of their respective subsidies from Canada.

R.S., c. P-26, s. 7.

Capital and yearly payments specified

8. The amount of the increase of the yearly subsidy and the capital on which the subsidy is payable to the several provinces respectively, under sections 6 and 7 shall be as follows:


Prince Edward Island.......9,148.68182,973.78
Yearly Increase Capital
Ontario and Quebec, jointly.......


$269,875.16 $5,397,503.13
Nova Scotia....... 39,939.68 798,793.45
New Brunswick....... 30,225.97 604,519.35
British Columbia....... 4,155.39 83,107.88

R.S., c. P-26, s. 8.


Manitoba

Calculation of sum on which interest is payable to Manitoba as subsidy

9. (1) The capital sum on which the Province of Manitoba is entitled to receive half-yearly payments of interest at the rate of five per cent per annum, as fixed by An Act to amend and continue the Act 32 and 33 Victoria, chapter 3; and to establish and provide for the Government of the Province of Manitoba, chapter 3 of the Statutes of Canada, 1870, and as readjusted or increased by any subsequent Act, shall continue to be calculated on a population of one hundred and twenty-five thousand at a rate per capita ascertained by dividing the sum of five hundred and fifty-one thousand four hundred and forty-seven dollars by seventeen thousand, which was the estimated population of the Province under that Act, the said sum of five hundred and fifty-one thousand four hundred and forty-seven dollars being the amount of capital on which the Province was entitled to receive interest under and by virtue of section 24 of that Act and An Act to re-adjust the amounts payable to and chargeable against the several Provinces of Canada by the Dominion Government, so far as they depend on the debt with which they respectively entered the Union, chapter 30 of the Statutes of Canada, 1873.

Charges thereon

(2) The Province of Manitoba shall be charged with such advances as had, up to July 20, 1885, been made to the Province and with such expenditure as had been made therein by Canada for purposes of a strictly local character, and with a further sum of one hundred and fifty thousand dollars, which the Government of Canada may advance to the Province to meet the expenditure of constructing a lunatic asylum, and other exceptional services.

R.S., c. P-26, s. 9.

Payments and grants under R.S.C., c. 124, 1927

10. The grant of swamp lands and of lands not exceeding one hundred and fifty thousand acres as an endowment to the University of Manitoba, authorized by Part I of the Manitoba Supplementary Provisions Act, and the payments to the Province of Manitoba hereinbefore authorized, shall be made as a full settlement of all claims made by that Province for the reimbursement of costs incurred in the government of the disputed territory, or the reference of the boundary question to the Judicial Committee of the Privy Council, and all other questions and claims discussed between Canada and the provincial governments, up to January 10, 1885.

R.S., c. P-26, s. 10.


Advances

Advances to provinces authorized

11. (1) The Governor in Council may, in his discretion, advance to any province any sums required for local improvements in the province and not exceeding in the whole the amount by which the debt of the province for which Canada is responsible then falls short of the debt with which the province was allowed to enter the Union, but no such advance shall be made to any province unless it has been previously sanctioned by an Act of the legislature of that province.

Conditions of advances

(2) The advances referred to in subsection (1) shall be deemed additions to the debt of the province and the province may repay them to Canada on such notice, in such sums and on such conditions as the Government of Canada and that of the province agree on, and any amount so repaid shall be deducted from the debt of the province in calculating the subsidy payable to it.

R.S., c. P-26, s. 11.


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