Government Notices Respecting Corporations

Certificate of Dissolution

Notice Is Hereby Given that a certificate of dissolution under the Business Corporations Act, has been endorsed. The effective date of dissolution precedes the corporation listings.

Date	Name of Corporation	Ontario Corporation Number
2000-5-19	Q Monitoring Inc.	910633
2000-6-5	Kwok International Limited	980927
2000-6-5	Moose Woods Trail Centre Ltd.	1160069
2000-6-5	Simcoe County Arbitration And Alternative Dispute Resolution Inc.	1017839
2000-6-5	462876 Ontario Limited	462876
2000-6-5	637888 Ontario Ltd.	637888
2000-6-7	Bcs International Inc.	1130565
2000-6-7	Enviro-Trax Limited	1123779
2000-6-7	Red Pepper (Market Village) Ltd.	989141
2000-6-8	Bf Leasing Inc.	514419
2000-6-8	Emerging Concepts Inc.	1172370
2000-6-8	Vermil Marketing Corporation	983989
2000-6-8	1088092 Ontario Inc.	1088092
2000-6-8	1134115 Ontario Limited	1134115
2000-6-9	Peterborough Area Step-On Guide Service Ltd.	824840
2000-6-9	1358735 Ontario Limited	1358735
2000-6-12	B F S Metals Limited	90787
2000-6-12	Candent Management Systems Inc.	1238757
2000-6-12	Cinemark Theatres Ontario, Inc.	1024089
2000-6-12	Magusta Holdings (Ontario) Ltd.	819156
2000-6-12	Sydmar Enterprises Limited	72870
2000-6-12	Vynex Sign Systems Ltd.	1105617
2000-6-12	669943 Ontario Ltd.	669943
2000-6-12	1012750 Ontario Limited	1012750
2000-6-12	1345990 Ontario Limited	1345990
2000-6-13	Chan Video Inc.	876297
2000-6-13	Denis Connor & Associates Inc.	695944
2000-6-13	Grantech Mfg. Inc.	635058
2000-6-13	Penny’s Weight Loss Clinic Inc.	579870
2000-6-13	Pioneer Motel Limited	123442
2000-6-13	Silver World & Co. Ltd.	1132323
2000-6-13	852698 Ontario Limited	852698
2000-6-13	862195 Ontario Inc.	862195
2000-6-13	1101881 Ontario Limited	1101881
2000-6-13	1158533 Ontario Inc.	1158533
2000-6-14	Baltimore Ennis Land Development Ltd.	208975
2000-6-14	Honey Window & Plate Ltd.	663742
2000-6-14	John Epp Electric Incorporated	357252
2000-6-14	Richfield Holdings Inc.	857995
2000-6-14	497736 Ontario Inc.	497736
2000-6-14	776585 Ontario Limited	776585
2000-6-14	1188641 Ontario Ltd.	1188641
2000-6-15	Artaco Promotions Inc.	1404741
2000-6-15	Cencore Administration Inc.	1098372
2000-6-15	Gordon Griffith Farms Ltd.	582355
2000-6-15	Technical Environmental Services (Dartmouth) Limited	1033689
2000-6-15	Tritech Energy Corporation	1007206
2000-6-16	Asaaje Enterprise Inc.	653003
2000-6-16	Bayside International Group Inc.	1294465
2000-6-16	Coastal Restaurant And Catering Ltd.	1260098
2000-6-16	Dragon Sight Development (Canada) Limited	852015
2000-6-16	Enris Enterprises Limited	98475
2000-6-16	Greenlane Auto Collision Inc.	1127845
2000-6-16	Minchen Trading International Inc.	1110324
2000-6-16	Nissin Foods (Canada) Inc.	1100930
2000-6-16	Onda Enterprise Co. Ltd.	1241056
2000-6-16	1049658 Ontario Limited	1049658

Carol D. Kirsh,
Director, Companies Branch
27/00

Cancellation for Cause (Business Corporations Act)

Notice Is Hereby Given that by orders under section 240 of the Business Corporation Act, the certificates set out hereunder have been cancelled for cause and in the case of certificates of incorporation the corporations have been dissolved. The effective date of cancellation precedes the corporation listing.

Date	Name of Corporation	Ontario Corporation Number
2000-6-21	Prut Trucking Ltd.	1371077

Carol D. Kirsh,
Director, Companies Branch
27/00

Erratum Notice

Vide Ontario Gazette, Vol. 127-34 dated August 20, 1994.

The following corporation was dissolved in error under subsection 241 (4) of the Business Corporations Act (or subsection 317 (9) of the Corporations Act) and has been returned to active status.

	Name of Corporation	Ontario Corporation Number
1	Midco (Waterloo) Limited	123495

Carol D. Kirsh,
Director, Companies Branch
27/00

Cancellation of Certificates of Incorporation (Business Corporations Act)

Notice Is Hereby Given that by orders under subsection 241(4) of the Business Corporation Act, the certificates of incorporation set out hereunder have been cancelled and corporation(s) have been dissolved. The effective date of cancellation precedes the corporation listing.

Date	Name of Corporation	Ontario Corporation Number
2000-6-21	Satouri Financial Services Inc.	1335362
2000-6-21	1304997 Ontario Limited	1304997
2000-6-21	1315169 Ontario Limited	1315169
2000-6-21	1322925 Ontario Inc.	1322925
2000-6-21	1322927 Ontario Inc.	1322927
2000-6-21	1326580 Ontario Inc.	1326580
2000-6-21	1335319 Ontario Inc.	1335319
2000-6-21	1361153 Ontario Limited	1361153

Carol D. Kirsh,
Director, Companies Branch
27/00

Co-operative Corporations Act (Certificate of Incorporation Issued)

Notice Is Hereby Given that, under the Co-operative Corporations Act, a certificate of incorporation has been issued to:

Date	Name of Corporation	Head Office
2000-6-20	Traditional Trades Co-operative Ltd.	Perth
2000-6-21	Jarrett Value 2 Co-operative Inc.	Sudbury

John M. Harper,
Director, Examination
Licensing and Enforcement Division
by delegated authority from
Dina Palozzi
Superintendant of Financial Services.
27/00

Public Guardian and Trustee

Certificate Of The Public Guardian And Trustee

(pursuant to s. 13.1 of the Public Guardian and Trustee Act, R.S.O 1990, c. P.51, as amended)

Effective July 1, 2000, interest shall be computed from the day on which the money was received by the Public Guardian and Trustee to the day before the date on which the money is available for payment to the person or trust entitled thereto and be added to each account and compounded at the end of each month;
1. subject to subparagraphs (b) and (c) and paragraph 2 of this Certificate, on funds managed under the Mental Health Act, Substitute Decisions Act, Trustee Act, Victims’ Right to Proceeds of Crime Act, Family Benefits Act, Powers of Attorney Act, Canada Pension Plan Act or other trust accepted by the Public Guardian and Trustee, at the rate of 5.00% per annum payable monthly and calculated on the closing daily balance;
2. on funds managed under the Crown Administration of Estates Act, at the rate of 5.00% per annum payable monthly and calculated on the closing daily balance;
3. on funds managed under the Cemeteries Act, at the rate of 5.00% per annum, payable monthly and calculated on the closing daily balance.
Effective July 1, 2000, funds managed by the Public Guardian and Trustee pursuant to the Escheats Act and funds transferred to the Unadministered Estates Account of the Public Guardian and Trustee shall bear interest at the rate of 0%.
1. Effective July 1, 2000, interest shall be computed from the day on which money was received by the Accountant of the Superior Court of Justice to the day before the date on which the money is available for payment to the person entitled thereto and be added to each account and compounded at the end of each month.
2. Money paid or transferred to the Accountant of the Superior Court of Justice bears interest on the closing daily balance,
  1. in the case of money required to be held in United States currency, at the rate of 6.50%;
  2. in the case of money deposited for the benefit of minors and parties under disability, at the rate of 5.00% per annum, payable monthly; and
  3. in the case of all other money including litigants, at the rate of 5.00% per annum, payable monthly.

Dated this 16^th day of June, 2000.

Public Guardian And Trustee,

Louise Stratford

Approved by the Investment Advisory Committee pursuant to section 13.1 of the Public Guardian and Trustee Act, on June 16, 2000.

Robert Kay,
Chair Investment Advisory Committee.
(6676) 27

Financial Services Commission of Ontario

Financial Services Commission Of Ontario

Statement Of Priorities

2001-2002

Background

The Financial Services Commission of Ontario (FSCO) is an arm’s- length agency of the Ministry of Finance. It is a regulatory and adjudicative body established under the Financial Services Commission of Ontario Act, 1997 (the FSCO Act).

FSCO regulates insurance, pension plans, loan and trust companies, credit unions, caisses populaires, mortgage brokers and co-operative corporations in Ontario. Its mandate is to protect the public interest and enhance public confidence in the regulated sectors. To do this, FSCO provides regulatory services that protect consumers and support a healthy and competitive industry.

FSCO is comprised of three elements: the five-person Commission or “Board”, the Superintendent of Financial Services and staff, and the Financial Services Tribunal.

The Board has a number of responsibilities under the FSCO Act, such as publishing this annual Statement of Priorities and making recommendations to the Minister of Finance on matters affecting the regulated sectors.

The Chief Executive Officer and Superintendent of Financial Services is responsible for the general supervision of the regulated sectors, the administration and enforcement of the FSCO Act and other statutes governing the regulated sectors, and FSCO’s financial and administrative affairs. The staff of FSCO support the Superintendent in carrying out these roles.

The Financial Services Tribunal (Fst) is an adjudicative body that conducts hearings arising from regulatory and proposed regulatory decisions of the Superintendent.

FSCO’s offices are located in north Toronto. The agency has approximately 375 employees and an annual budget of $35 million. FSCO’s costs are recovered from the regulated sectors.

In pursuing its mandate, FSCO maintains crucial relationships with a wide range of stakeholders – such as financial services providers and consumers, professional advisors, pension plan members and beneficiaries, people injured in automobile accidents, and other federal and provincial regulators. Under the legislation FSCO is required to deliver to the Minister of Finance and publish by June 30 each year a statement setting out its proposed priorities for the following fiscal year. The annual Statement of Priorities and the process used to develop it represent valuable channels for communication between FSCO and its stakeholders.

On May 2, 2000, the Minister of Finance announced that FSCO will be merged with the Ontario Securities Commission (OSC) to create an integrated financial services regulator in Ontario. The creation of a consolidated financial services regulator is key to ensuring that Ontario is at the forefront of changing marketplace structures. A single agency will strengthen consumer protection, and improve both the efficiency and the effectiveness of financial services regulation in Ontario.

FSCO will work with the OSC to create the new organization and will continue to address operational and efficiency improvements and ensure that there is no interruption of service to stakeholders. FSCO is committed to implementing the strategic priorities and objectives outlined in this document, with necessary modifications to take into account the announced merger.

This is FSCO’s third Statement of Priorities, covering the period April 1, 2001 to March 31, 2002. The document contains:

A Progress Report on activities during 1999-2000 to achieve the agenda outlined in FSCO’s second Statement of Priorities, published in summer 1999 for the period April 1, 2000 to March 31, 2001;
A description of the Challenging Environment in the financial services industry, which FSCO’s priorities are intended to address; and
An outline of FSCO’s proposed Strategic Priorities for 2001-2002 and how they will be implemented. While these priorities are for the next fiscal year, FSCO will begin work on them immediately.

The priorities outlined are derived from FSCO’s five-year Strategic Plan for 2000-2005 and are designed to further the achievement of FSCO’s long-term goals. FSCO will implement these priorities with approximately the same budget as it had in 1999-2000. The priorities set the stage for operational planning to assign resources to specific initiatives. FSCO’s aim is to deliver value for the dollars allocated to the agency - value to consumers in terms of more effective and comprehensive protection and value to the industry in terms of lower compliance costs and a more positive business climate.

Progress Report

Last year, FSCO’s second Statement of Priorities outlined a series of initiatives to move FSCO toward its vision of being a vigilant, fair- minded and forward-looking regulator with a constructive and responsive presence in Ontario’s financial services marketplace. The following is a report on the solid progress that has been achieved in implementing this agenda in the 1999-2000 fiscal year.

Harmonized National Financial Services Regulation

FSCO continues to play a leadership role in national financial services regulation and harmonization through the Canadian Association of Pension Supervisory Authorities (Capsa), the Canadian Council of Insurance Regulators (Ccir) and the Joint Forum of Financial Market Regulators (Joint Forum), which represents pension, insurance and securities regulators across the country. To support co-ordination efforts, Capsa has established a permanent secretariat based at FSCO and Ccir is in the process of doing the same.

The Joint Forum has released a series of recommendations for harmonizing the regulation of mutual funds and individual variable insurance contracts (segregated funds), the product of extensive research and consultation. Implementation will require further work by the various regulators in consultation with affected industry participants.

FSCO chaired a Ccir working group on national consumer protection initiatives for the insurance industry. The group circulated a report proposing national standards for point of sale disclosure, policy contract wording and errors and omissions coverage. Feedback was incorporated into a further report, with recommendations which were adopted by the Ccir.

In addition, Ccir and the Canadian Insurance Self-Regulatory Organization (Cisro) have issued a consultation paper outlining a new national, harmonized standard for life agent education. The paper attracted more than 60 responses, largely supporting the concept of increased entry-level requirements and a pre-licensing training course. Revised recommendations were presented to and approved by Ccir and Cisro.

Co-ordinated Provincial Regulation

At the provincial level, FSCO and the OSC started to work on joint initiatives. FSCO and the OSC conducted joint consultations on a plan to establish a uniform proficiency standard for securities registrants and insurance licensees who hold themselves out as having special expertise in financial planning.

To reduce duplication, the Deposit Insurance Corporation of Ontario (Dico) and FSCO have adopted a single on-site financial verification process for credit unions and caisses populaires, replacing overlapping examinations and inspections. Dico conducts the on-site process, while FSCO performs quality control checks on the data. FSCO and Dico have also implemented an annual information return that has established a one-window filing process for credit unions and caisses populaires, further reducing duplication and facilitating electronic filing.

Enhanced Regulatory Framework

FSCO worked with the Ministry to develop a package of amendments to the Pension Benefits Act that were enacted in December 1999 – the first reopening of the Act in a decade. The amendments were proclaimed in force March 3, 2000. FSCO also worked with the Ministry to develop consequential amendments to regulations for release in two stages.

FSCO also contributed to the government’s red tape initiative, which resulted in the enactment of the Red Tape Reduction Act, 1999. This legislation will enable Ontario’s financial services industry to provide enhanced consumer protection and better customer service. For example, the Bill adds new cost-of-borrowing disclosure requirements for insurers, credit unions and caisses populaires, loan and trust companies and mortgage brokers in a move to harmonize federal and provincial legislation. These cost-of-credit provisions await proclamation.

Following consultations to review the Credit Unions and Caisses Populaires Act, 1994, FSCO has submitted a report to the Minister, with recommendations to improve the administration and effectiveness of the Act. The participating stakeholders viewed the legislation as fundamentally sound.

Consultations have been held on FSCO’s discussion paper, “Appointed Actuary Requirements: Increasing the Stability of the Insurance Sector and Harmonizing with Federal Legislation”, which proposes increasing responsibilities and protections for actuaries. Based on these consultations, FSCO has made recommendations for changes to the Insurance Act.

As well, FSCO considered a more flexible “prudent portfolio” approach to investment by insurers. A discussion paper, “Prudent Portfolio Amendments Updating Investment Rules, Corporate Governance, and Related Party Transactions for Ontario Insurance Companies”, was released to insurers and other affected stakeholders. Consultations were undertaken and, after considering the input, FSCO has made recommendations for legislative amendments. This measure will complement Ontario’s recent initiative to harmonize pension investment standards with federal investment rules by adopting the relevant federal regulations by reference.

A cost recovery proposal was released describing a new fee and assessment structure to allocate costs fairly among sectors and make FSCO a fully self- funded organization. The proposal was distributed to stakeholders, consultation meetings were held and changes were made to reflect stakeholder input. The revised proposal has been forwarded to the Minister of Finance.

Improved Operational Effectiveness and Service

With the help of an industry committee, FSCO reviewed recommendations from a consultant’s study to streamline the automobile insurance rate filing process. Revised filing guidelines are being prepared.

FSCO has developed a risk-based system for reviewing the financial condition of pension plans. Designed to identify high-risk plans for in-depth analysis, the new system is being tested.

The Superintendent of Financial Services has appointed the Ontario Mutual Insurance Association to act on her behalf as financial exam- iner for farm mutual insurance companies. This shift will allow FSCO to divert resources to other priorities.

In 1998 the Honourable George Adams reviewed FSCO’s dispute resolution system for resolving personal injury disputes involving statutory automobile accident benefits. While stressing the high level of satisfaction with the existing processes, his report pinpointed a number of areas for improvement. The key operational recommendations have now been implemented.

FSCO views dispute resolution as a continuum ranging from informal complaint resolution through binding arbitration. Building on the Adams report, FSCO has established a project to review options for the broader use of dispute resolution services in FSCO and in the financial services sectors FSCO regulates.

In order to improve the efficiency of Designated Assessment Centres (Dacs), the entry point into the legislated auto insurance dispute resolution process, FSCO has released revised guidelines for residual earning capacity, disability, medical and rehabilitation, and attendant care DACs.

With FSCO’s support, a facilitator is assisting in negotiations of fee and utilization guidelines between the automobile insurance industry and various health professional associations. The guidelines are expected to stabilize costs and reduce disputes.

FSCO launched a new website in February 2000, incorporating a feed- back process to respond to comments and questions.

Y2K was a top priority in 1999-2000 for FSCO as it was for all organizations throughout the world. It was an anticipated event that was enveloped in a “doomsday” scenario targeting the two dates (December 31 to January 10 and February 29). This projected scenario led all facets of business and government to review every aspect of their business that had even remote access to a computer. FSCO followed a process of Self Assessment which was a detailed checklist and sign-off of all projects that was provided under the guidelines of the government’s Framework for Ministry Self Assessment of Year 2000 readiness. Self assessment suspended any new computer hardware and software developments and provided FSCO with the time to finely detail all computer software and hardware as it applied to its business operations. Corrections and adjustments were made and the two critical periods of Y2K went smoothly with no business interruptions

In tandem with the Self Assessment, a Business Continuity Plan was developed for FSCO to ensure continuity if Y2K should impede business operations or cause failure. The Business Continuity Plan provided a venue in which FSCO was able to conduct a survey of 101 Ontario licensed insurers to determine what coverage was being provided to consumers in relation to losses sustained due to the Y2K event as well as developing a Y2K Doomsday Plan to respond to service situations in the event that an individual or institution in a regulated sector was unable to operate as a result of Y2K. This Business Continuity Plan developed crisis recovery plans for FSCO at all levels and programs of the organization. FSCO has adapted this plan and will maintain the benefits of having contingencies built for all the business areas.

Finally, to promote consumer education and awareness, FSCO developed seven consumer publications - Shopping for Car Insurance, Ontario’s Insurance Ombudsman-Working for You, Your Pension Rights: A Guide for Members of Registered Pension Plans in Ontario, Shopping for Travel Health Insurance, Somewhere to Turn: Consumer Protection in the Financial Marketplace (A guide to understanding FSCO’s role and services), A Real Alternative (A guide to dispute resolution services at FSCO) and A Guide to Applying for Special Access (which provides information on the circumstances under which individuals may access locked-in retirement accounts) - which were unveiled as part of a consumer awareness launch on May 30, 2000.

A Challenging Environment

As of March 31, 1999, FSCO regulated 6,548 pension plans, 442 insurance companies, 378 credit unions and caisses populaires, 370 mortgage brokers and five loan and trust companies – as well as approximately 27,000 insurance agents, 3,000 corporate insurance agencies, 1,200 adjusters and 1,400 co-operative corporations. The regulated sectors represent a large, dynamic and evolving industry that plays a vital role in the provincial economy and the financial security of individuals and families.

The past decade has been a time of rapid social and economic change – with the advance of information technology, the spread of market economies, the expansion of world trade and investment, the globalization of capital markets, the emergence of e-business and, demo- graphically, the aging of the baby boom generation.

Industry Trends

These trends have created powerful forces for change in the financial services industry.

Technological advances and a more open world economy have made it easier for financial services providers to enter new markets, both domestic and international. On the other hand, once- safe markets have been exposed to new competitive pressures. International financial conglomerates have emerged as companies consolidate to gain economies of scale and fiscal strength.
The barriers between the traditional four pillars – banks, trust companies, insurance companies and stockbrokers – have been largely dismantled. Previously discrete segments of the industry are converging, disparate services are becoming integrated and products are growing in number and complexity. Geographical borders are also diminishing in relevance for institutions large and small. Community-based credit unions and caisses populaires, for instance, are forging alliances with their counterparts in other provinces.
The industry is increasingly doing business over the internet. E-business is changing who its customers are, what they buy and how they buy it - a trend that is accelerating the evolution of distribution channels. Insurance is a prime example. Once sold only in face-to-face settings and more recently by direct mail and over the phone, insurance can now be purchased via the internet.
Innovation is rapid as financial institutions introduce new products to compete for the same customer base. At the same time, the industry is shifting from transaction-based business to relationship-driven business. Traditional sales representatives are being superseded by financial planners holding multiple licences with access to a full range of products. At the same time, the independence of advisors is threatened by the trend toward industry consolidation. The proliferation of services, products and providers threatens to overwhelm consumers with an unprecedented array of choices.
Consumer profiles and needs are shifting with a mobile work- force and a stronger emphasis on saving for retirement. Corporate restructuring has contributed to a drop in pension plan membership while a decline in interest rates has made investment returns less certain, complicating the task of pension fund management. A trend toward money-purchase retirement arrangements is growing. This development parallels an increasing emphasis on individual responsibility for financial security.

Emerging Issues

What is emerging is a single financial services marketplace linked by e-business and cutting across both sectoral and jurisdictional boundaries. However, the current regulatory structure continues to segment the financial services industry into product lines based on the four pillars, resulting in regulatory overlaps, gaps and inconsistencies. The problem is compounded by the existence of different regulatory regimes in different jurisdictions, which increases the compliance burden on industry and can distort investment decisions. Differing pension rules, for example, may influence business decisions about where to locate. In addition, regulatory processes designed for the paper age can pose inadvertent barriers to an industry entering the digital age.

New Regulatory Directions

The overriding challenge for financial service regulators in Canada and elsewhere is to align the regulation of financial services with evolving market realities. This challenge must be met to protect the interests of consumers and to create a level playing field for growth of an innovative, competitive industry.

The move toward e-business throughout the economy demands that regulators do so as well. With streamlined regulatory processes supported by the latest technology, regulators will increasingly do business with the industry electronically and reach consumers who more and more favour on-line communication.

While solvency remains an important concern with the new risks facing financial institutions, increased emphasis is being placed on market conduct. More consistent regulatory treatment of similar services and products is imperative –regardless of their packaging, the type of institution offering them or the distribution channel. In short, regulation should be based on functions or activities, rather than institutional structures. At the same time, new measures are essential to empower consumers to take control of their own financial affairs. In the long run, it may be necessary to adopt new approaches such as rule making, for keeping the regulatory framework up to date, given the scope and speed of changes in the marketplace.

This Statement of Priorities indicates how FSCO intends to meet the challenges of this complex and changing environment.

Strategic Priorities

FSCO’s strategic priorities for 2001-2002 are to:

Provide a fair and balanced regulatory approach
Be a leader in financial services regulation in Canada
Promote and vigorously enforce compliance
Deliver a high standard of customer service
Increase emphasis on consumer protection through education

As indicated above, FSCO will begin implementing these priorities immediately. The following sections explain why these priorities have been adopted, and how FSCO will achieve them.

Fair And Balanced Regulatory Approach

A fair and balanced regulatory approach is the key to sustaining public confidence in the financial services industry. To provide enhanced protection for consumers without unnecessary barriers to the development of a healthy, competitive marketplace, FSCO is committed to effectiveness and efficiency in regulatory processes. FSCO places strong emphasis on the market conduct of financial institutions while ensuring solvency oversight. FSCO supports a fair regulatory environment where all stakeholders are treated impartially.

Rethinking the Regulatory System

To facilitate a balanced approach, FSCO will define the elements of an effective insurance regulatory system, with particular emphasis on consumer protection.

FSCO will also conduct research on different approaches to pension regulation and define the elements of an effective system designed to protect the pension promise.

Enhancing the Regulatory Framework

With the objective of eliminating barriers to e-business, FSCO will undertake a thorough review of the legislation and regulations it administers. Based on the findings, recommendations will be made to facilitate e-business among financial services providers, consumers and regulators.
The Pension Benefits Statute Law Amendment Act, 1999, introduced measures to streamline and harmonize pension regulation and provide for access to locked-in retirement accounts in cases of shortened life expectancy or serious financial hardship. FSCO will incorporate these changes into its operations.
FSCO will also work with the Ministry to develop recommendations for additional changes to the Pension Benefits Act and regulations to improve further the regulatory framework for pension plans. In particular, FSCO will work with Ministry staff to develop options concerning surplus withdrawal on plan wind-up, since the regulation on surplus withdrawal expires on December 31, 2000. FSCO awaits the outcome of legal proceedings on partial wind-ups to assess whether there are issues that need to be addressed.
FSCO’s consultations on the regulation of insurance distribution established solid support for the principle that consumers are entitled to comparable protection no matter what kind of insurance they buy or how they buy it. With the help of stakeholder working groups, FSCO will develop proposals for changes to policies on such topics as: specialized licence categories; referrals and commission splitting; an indemnity fund; group contract distribution; accountability; supervision; ownership requirements for corporate distributors; part-time employment; sole occupation requirements; and registration. Consultations will be held on the proposals.

The Red Tape Reduction Act, 1999 requires the Superintendent to review the Mortgage Brokers Act. FSCO will conduct the review and recommend to the Minister amendments to improve the Act’s effectiveness and administration.

Streamlining Regulatory Processes

With the objective of optimizing the use of regulatory resources, FSCO will conduct a review of its solvency examinations function.
FSCO will work with stakeholders to conduct research and review its regulatory functions as related to co-operative corporations.
Automobile insurers are required to obtain FSCO approval to change their rates or systems for classifying risks. Following up on a recent study, FSCO will obtain the required approvals to implement and monitor a streamlined process for the filing of changes to rates and risk classification systems. The new process is expected to decrease insurers’ costs in preparing filings, which can be passed on to consumers in the form of reduced rates, and allow more flexibility in implementing changes.

Supporting a Fair Regulatory Environment

FSCO will work with the Ministry on the government’s biannual review of statutory automobile accident benefits and implement directions resulting from the review.
Auto insurers currently use the territory where a driver lives as part of their rating systems and, increasingly, are segmenting urban areas for this purpose. FSCO will study the issue of territorial rating and develop guidelines to protect consumers.
The Pension Benefits Guarantee Fund (Pbgf) maintains a mini- mum level of protection for members of defined benefit pension plans, which provide a predetermined benefit level upon retirement. FSCO will study the recommendations from a review of the Pbgf now under way, and will take action to improve the efficiency and effectiveness of the fund.
A new fee and assessment structure for FSCO will be introduced, apportioning costs fairly among the regulated sectors and reflecting a user-pay principle, as well as openness and accountability.

Leader In Financial Services Regulation In Canada

A common Canadian financial services market is emerging. Regulators overseeing different sectors of the industry and in different jurisdictions are working together to harmonize rules and procedures and fill gaps in consumer protection. This effort requires unprecedented co-operation and co-ordination across both jurisdictional borders and sectoral boundaries. FSCO is playing a lead role in developing a co- ordinated national regulatory system.

National Co-ordination

FSCO will continue to provide leadership in national co-ordinating bodies – the Joint Forum of Financial Market Regulators, (Joint Forum) the Canadian Council of Insurance Regulators (Ccir) and the Canadian Association of Pension Supervisory Authorities (Capsa).
Through the Joint Forum, FSCO will continue to help develop a framework for a harmonized regulatory regime for individual variable insurance contracts (segregated funds) and mutual funds. The regulators’ aim is to provide consumers with similar protection for both types of investment vehicles, which offer similar investment opportunities.
A further priority for the Joint Forum will be to develop nation- wide practice standards to apply to all financial services intermediaries, strengthening the protection of Canadian consumers.
As noted in the Progress Report, Capsa has established an ongoing secretariat based at FSCO, and Ccir is in the process of doing the same. The purpose is to provide research, project management, technical and administrative support to facilitate implementation of the strategic priorities and objectives of the two organizations.
FSCO will approach other jurisdictions to consider national harmonization initiatives in the credit union and caisse populaire sector and in the mortgage broker industry.

Insurance Initiatives

FSCO will continue to take part in Ccir initiatives to develop harmonized national requirements for life insurance point-of-sale disclosure, policy contract wording and errors and omissions coverage, as well as harmonized definitions of classes of insurance. To protect consumers, FSCO will also address disclosure issues concerning universal life insurance products that invest in mutual funds.
In addition, FSCO will continue to work closely with Ccir and the Canadian Insurance Self-Regulatory Organization (Cisro) to establish national education standards for life agents.
Ccir and the industry have previously developed proposals for uniform nationwide life and accident and sickness insurance regulation. FSCO will urge Ccir to revisit these recommendations, which could form a basis for updating Ontario’s Insurance Act that originated in 1924.

Pension Initiatives

In defined contribution pension plans, the investment risk is borne by plan members. For this reason, the Joint Forum and Capsa are developing recommendations for national standards for investment disclosure in defined contribution plans. FSCO will participate in this initiative to increase the financial knowledge and awareness of plan members.
FSCO intends to work with Capsa to develop lasting solutions regarding the regulation of multi-jurisdictional pension plans, long a problem for employers operating in more than one province, as well as principles for a model pension statute.
It is generally agreed that pension plan governance would be significantly improved by the widespread adoption of industry best practices, especially by small and medium-size plans. FSCO will work with Capsa and the industry to formulate common guidelines for pension plan governance as well as a governance self-assessment process.

Co-operation with the OSC

Within Ontario, at the same time as working on the merger initiative, FSCO will continue to work co-operatively with the OSC on joint initiatives.
FSCO and the OSC will continue to work toward establishing uniform proficiency requirements for financial services intermediaries holding themselves out as having special expertise in financial planning. Both regulators view this as a major consumer protection issue.

Promote And Vigorously Enforce Compliance

FSCO works to protect consumers and pension plan members by ensuring that the regulated sectors conduct business in accordance with the relevant legislation. To promote compliance, FSCO is working to increase the industry’s understanding of regulatory requirements. At the same time, a risk-based approach to supervision is being introduced, to focus on areas where in-depth review is necessary. The ultimate goal is greater regulatory compliance thus requiring less intervention by FSCO.

Risk-Based Supervision

FSCO will move toward risk-based supervision of pension plans through better use of technology. The annual information return, actuarial information summary, application for plan registration and application for registration of amendments will be redesigned to enable the inputting of essential information in a central database for electronic processing. Computerized screening will identify high-risk plans for further examination.
FSCO will also implement a process to deal with non-compliant pension plans in a timely manner.

Insurance Activities

In co-operation with the life insurance industry, consumers and other stakeholders, FSCO will develop a process for performing market conduct audits of life companies. This initiative will build on the success of the current audit process for automobile insurers and self-assessment models used by other regulators. Under the plan, life companies will complete and file a self-assessment questionnaire, and FSCO will follow up with on-site audits.
FSCO will review the Plan of Operation and other aspects of the Facility Association to ensure legislative objectives are being met.
Fighting insurance fraud remains a key objective. Under the law auto insurers are required to perform pre-insurance inspections of vehicles meeting certain conditions as a fraud prevention measure. FSCO will work with the industry to study the cost impact of fraud in more depth.

Raising Awareness

Pension policies guide the application and interpretation of pension legislation. FSCO will continue the ongoing review of policies to help the industry better understand its obligations.

Deliver A High Standard Of Customer Service

FSCO demands of itself the same high standard of customer service expected of the regulated sectors. To ensure that its pro- grams and services are accessible and responsive, FSCO constantly reassesses its activities from the customer’s perspective. FSCO has recently implemented common service standards and is committed to ongoing quality improvement. Opportunities to do business with FSCO electronically are being expanded, in line with the growth of e-business.

Performance Measurement

FSCO will establish new performance measures using an improved performance measurement system, which stresses out- comes and makes FSCO accountable to the industry for the achievement of performance goals.
In addition, FSCO will establish service standards for the handling of pension plan transactions. As a result, pension applications will be processed more quickly against set time frames.
The Financial Services Tribunal will establish and adhere to performance standards and measures specifically designed to encourage quality and efficiency in the hearing and decision- making process.

E-business

FSCO has identified regulatory activities that could take place through e-business. FSCO will follow-up on this work and take action to increase the emphasis on electronic interfacing and pro- cessing to reduce paperwork for both the industry and the regulator.
FSCO will continue the development of a system for electronic filing of auto insurance rates, risk classification systems and underwriting rules.
FSCO will also collaborate with other regulators to explore opportunities to facilitate the conduct of regulatory activities electronically.

Call Centre

FSCO will establish a call centre to provide stakeholders with one-window telephone access and respond to information needs more quickly and effectively. In the call centre, information requests will be transferred to a central team of service-oriented staff. Call tracking will identify emerging trends and information needs.

Advance Pension Rulings

At present, FSCO rules on pension transactions after the fact.

FSCO will consult with the industry on a workable model for

offering advance rulings on complex pension issues, similar to advance taxation rulings. Such early expert opinions on how the pension regulator views a particular section of the law, for example, could assist plans in meeting regulatory requirements.

Motor Vehicle Accident Claims Fund

The Motor Vehicle Accident Claims Fund (Mvacf), administered by FSCO, provides compensation for automobile accidents involving uninsured, unidentified or stolen vehicles. FSCO will continue to work with the Ministry on appropriate funding for Mvacf to meet its consumer protection mandate.

Expanding Dispute Resolution Services

The Dispute Resolution Group, which handles disputes about automobile insurance accident benefits, is regarded as a pioneer in the alternative dispute resolution (Adr) field in Canada. FSCO will continue to review options for the expansion of dispute resolution services to other regulated sectors to help consumers and the industry find mutually satisfactory solutions to disputes. Options could range from a formal mediation or arbitration system for insurance complaints not resolved by FSCO’s informal Ombudsman process, to applying ADR approaches to disputes between mortgage brokers and their clients.
FSCO will consider adapting the Insurance Ombudsman system to other sectors.

Automobile Insurance

In conjunction with auto insurers and health care providers, FSCO will develop a standardized billing form, to be used by providers. The form will allow consistent reporting of services throughout the province.
FSCO will continue to assist the auto insurance industry and health care providers in negotiating fee and utilization guide- lines, to stabilize rehabilitation costs and avoid disputes.

FST Proceedings

Proceedings before the Financial Services Tribunal are guided by its Rules of Practice and Procedure and Practice Directions. The FST will continue to review its Rules and will amend them as required. Practice Directions will be adopted and published as needed.

Emphasis On Consumer Protection Through Education

In today’s complex financial services marketplace, it is essential for consumers to understand thoroughly the risks and benefits of the various products being offered. FSCO is working to facilitate efforts to increase consumers’ skills, knowledge and access to timely and relevant information.

Consumer Education Program

FSCO will implement a consumer education program to provide consumers in all regulated sectors with the information required to understand and make informed choices about the products they buy and services they use. The program will also raise awareness of the regulator’s role.
FSCO will work with industry, consumer and educational groups to ensure that consumers have convenient access to the right information at the right time.
The OSC and FSCO will develop consumer education strategies, including consumer brochures, to support harmonized segregated fund and mutual fund regulations and financial planer proficiency requirements.
As a basis for future planning, research will be conducted to gauge consumer awareness of FSCO’s role and to define current consumer information needs.

Collaboration and Co-ordination

FSCO will organize a forum for public and private sector organizations involved in consumer education and information delivery to promote opportunities for collaborative action. Links will also be established with other jurisdictions and regulators to ensure that consumer education initiatives are consistent and integrated and reflect the increasing convergence in the marketplace.
Within FSCO, a process will be established to co-ordinate the development, delivery and communication of consumer education and information programs.

In conclusion

The foregoing has outlined FSCO’s priorities for 2001-2002, together with the reasons for their adoption and the steps needed to implement them.

The priorities will be implemented effective immediately. We look forward to working with the industry, consumers and other stake- holders to achieve our objectives and move us toward our vision of being a vigilant, fair- minded and forward-looking regulatory agency.

Dina Palozzi
Chief Executive Officer
Financial Services Commission of Ontario

Superintendent of Financial Services

Martha Milczynski
Chair
Financial Services Commission of Ontario

Chair
Financial Services Tribunal

(6674) 27

Municipal Act

Order Of The Commission Made Under The Municipal Act R.S.O 1990, c.M. 45

County Of Victoria

Town Of Lindsay, Municipality Of Bobcaygeon/Verulam, Village Of Fenelon Falls, Village Of Omemee, Village Of Sturgeon Point, Village Of Woodville, Township Of Bexley, Township Of Carden/Dalton, Township Of Eldon, Township Of Emily, Township Of Fenelon, Township Of Laxton, Digby And Longford, Township Of Manvers, Township Of Mariposa, Township Of Ops, Township Of Somerville

Section 1 of the Order of the Commission, dated April 19, 2000, and published in the Ontario Gazette on May 6, 2000, is amended by adding the following definition:

“former Police Village of Pleasant Point” means the Police Village of Pleasant Point as it exists prior to January 1, 2001;”
Section 10 of the Order is repealed and the following substituted:
1. Police Village
  1. The Police Village of Kirkfield and the Police Village of Pleasant Point are dissolved on January 1, 2001.
  2. The terms of office of the trustees of the former Police Village of Kirkfield and the former Police Village of Pleasant Point expire on December 31, 2000.
  3. All by-laws or resolutions of the former Police Village of Kirkfield and the former Police Village of Pleasant Point shall be deemed to be by-laws or resolutions of the new municipality.
  4. The assets and liabilities, rights and obligations including employees, of the former Police Village of Kirkfield and the former Police Village of Pleasant Point become the assets and liabilities, rights and obli- gations including employees, under the control and management of the new municipality.
Schedule A of the Order is repealed and the following substituted:

Schedule A

Ward Descriptions

Ward One
All of Carden, Dalton and Eldon Townships north of the Trent Canal; all of Longford Town- ship; all of Digby Township except Lots 1 to 14, Concession 1; all Lots 1 to 13, Concessions 1 to 7 of Laxton Township; and all lands west of County Road 41, and north of County Road 48 in Bexley Township, including all of the islands.

Ward Two
All land lying north of the Trent Canal including all of Grand Island in Bexley, Laxton and Digby Townships that is not included in Ward One. In Somerville Township all land lying west of Lot 16, Concessions 13 and 14 and Lots 37 to 74, Concession Fronting on the River (Gull River and Silver and Shadow Lakes), including all of the islands.

Ward Three
All remaining land in Somerville Township that is not included in Ward Two, including all of the islands.

Ward Four
All of Carden and Eldon Townships south of the Trent Canal; the Village of Woodville; Lots 1 to 10, Concession 15 Mariposa Township; and Lots 11 to 24, Concessions 8 to 15 Mariposa Township, including all of the islands.

Ward Five
Bexley Township south of the Trent Canal; Fenelon Township west of the Trent Canal between Rosedale and Lindsay excluding that area described as being in Ward Six.

Ward Six
All of the Village of Fenelon Falls. In Fenelon Township Lots 21 to 32, Concessions 7 and 8; east half of Lot 20, Concession 8, all land lying north of and including Lot 20, Concession 9, the west half of Lot 17, Concession 10 and Lots 18 to 32 in Concessions 10 and 11 that are not within the Village.

Ward Seven
In Fenelon Township Lots 11 to 17, Concessions 10 and 11 excluding the west half of Lot 17, Concession 10 as described in Ward Six; the Village of Sturgeon Point; and all land north of the Trent Canal in the Municipality of Bobcaygeon/Verulam, including all of the islands.

Ward Eight
All land in Mariposa Township excluding that included in Ward Four.

Ward Nine
Within Lindsay, all land north of Colborne St. W., west of Victoria Ave. N. In Ops Township all land lying north of Dew Drop Inn Road and the Kent St. West extension on the west side of Lindsay, west of the Scugog River.

Ward Ten
Within Lindsay all land lying north of Kent St. East and West and Riverview Road, east of Victoria Ave. N. and its projection northward to the Town limit then east to the Scugog River. In Ops Township all land lying north of Pigeon Lake Road (County Road 17), east of the Scugog River and bounded on the east by Post Road.

Ward Eleven
In Ops Township all lands lying south of Dew Drop Inn Road and the Kent St. West extension on the west side of Lindsay and west of the Scugog River. Within Lindsay, all land south of Colborne St. W., west of Victoria Ave. N. and north of Kent St. W. South of Kent St. W., all land west of Albert St. S. and its extension south to the Town limit then east to the Scugog River.

Ward Twelve
In Ops Township, all land south of Pigeon Lake Rd. (County Rd. 17), west of Post Road south to Tracey’s Hill Road, all land west of Highway 7 between Concessions 7 and 8 and west of Hillhead Rd. southward to the Township boundary westward over to the Scugog River, including all of the islands. In Manvers Town- ship, Lots 1 to 16, Concession 14. Within Town of Lindsay, south of Kent St. East and West and Riverview Rd. and east of Albert St. S. and its extension south to the Town Limit.

Ward Thirteen
All land south of the Trent Canal in the Municipality of Bobcaygeon/Verulam, including all of the islands.

Ward Fourteen
In Fenelon Township all land south of the Trent Canal between Lindsay and Bobcaygeon. In Ops Township, land lying east of Post Road north of Tracey’s Hill Rd., land east of Highway 7 between Concessions 7 and 8, and east of Hillhead Rd. south of Tracey’s Hill Rd. and north of Confederation and Crosswinds Roads. In Emily Township, land north of and bounded on the south by Highway 7, west of Omemee, the Village boundary to Sturgeon Rd. (County. Rd. 7), north to Beaver Road and then east along Beaver Road to the Pigeon River and includes all land west of Pigeon Lake and River north of this line. In the Village of Omemee it includes land north of Highway 7 (King St. W.) and west of Sturgeon Rd. N. (County Rd. 7). and west of Sturgeon Rd. N. (County Rd. 7).

Ward Fifteen
Includes the remaining land in Emily Township and the Village of Omemee that is not within Ward Fourteen. It also includes the land south of Confederation and Crosswind Roads east of Hillhead Rd. in Ops Township and Lots 17 to 25, Concession 14 in Manvers Township.

Ward Sixteen
All land in Manvers Township except Lots 1 to 25, Concession 14.

Harry Kitchen,
Commissioner.

Dated at Peterborough, this 8^th day of June, 2000.

Order Made Under The Municipal Act R.S.O c.M.45

County Of Grey

Township Of Artemesia, Township Of Euphrasia, Township Of Osprey, Village Of Markdale

Change of Name for the Municipality of Artemesia, Euphrasia, Markdale, Osprey

The name of “The Corporation of the Municipality of Artemesia, Euphrasia, Markdale, Osprey” established under section 2 of the Order of the Minister of Municipal Affairs and Housing dated December 14, 1999, as published in the Ontario Gazette on December 25, 1999, is hereby changed to “The Corporation of the Municipality of Grey Highlands”.

Tony Clement,
Minister of Municipal Affairs and Housing.

Dated at Toronto, this 14^th day of June, 2000.

Order Made Under The Municipal Act R.S.O c.M.45

Town Of Bosanquet, Town Of Forest Village Of Arkona, Village Of Grand Bend Village Of Thedford, Township Of Plympton Township OF WARWICK

Schedule C to the Order of the Minister of Municipal Affairs and Housing, dated November 4, 1998, and published in the Ontario Gazette on November 21, 1998, that provided for the establishment of The Corporation of the Municipality of North Lambton, to take effect on January 1, 2001, and amended by Minister’s Order dated June 9, 1999, and published in the Ontario Gazette on June 26, 1999, is further amended as follows:

Ward Two is amended by:
1. striking out “20” in the fourth line and substituting “21”;
2. striking out “southwest” in the eighth line and substi- tuting “southeast”; and
3. striking out “north west” twice in the ninth line and substituting “north east” both times.
Ward Three is amended by striking out “34” in the first line and substituting “33”.
Ward Seven is amended by striking out “north east” in the third line and substituting “south east”.

Tony Clement,
Minister of Municipal Affairs and Housing.

Dated at Toronto, this 9^th day of June, 2000.

(6673) 27

Ministry of Finance—Interest Rates

Notice

Change Of Tax Interest Rates

Effective July 1, 2000, the rate of interest payable on tax underpayments, and amounts payable with respect to small business development grants administered by the Ministry of Finance, will be 10%. The general rate of interest on overpayment of taxes will be 5%. These rates apply to the following statutes:

Retail Sales Tax Act
Gasoline Tax Act
Land Transfer Tax Act
Mining Tax Act
Corporations Tax Act
Tobacco Tax Act
Succession Duty Act
Employer Health Tax Act
Fuel Tax Act
Provincial Land Tax Act
Race Tracks Tax Act
Commercial Concentration Tax Act

and

Small Business Development Corporations Act.

Also effective July 1, 2000, the rate of interest will be 7% on amounts refunded or credited after an objection or appeal of Commercial Concentration Tax, Corporations Tax, Employer Health Tax, Gasoline Tax, Fuel Tax, Land Transfer Tax, Mining Tax, Retail Sales Tax or Tobacco Tax. Under retroactive regulation changes coming into force in September 1999, the rate of interest on amounts refunded or credited after successful objections or appeals is increased by two points over the general rate on refunds, applicable to periods after 1998 for Commer- cial Concentration Tax, Gasoline Tax, Fuel Tax, Land Transfer Tax, Retail Sales Tax and Tobacco Tax, and to taxation years ending after 1997 for Corporations Tax, Employer Health Tax and Mining Tax.

The tables below show the respective rates of interest applicable to past periods of time in the five years ending June 30, 2000, and the new rates now in effect.

Table 1

Tax Interest Rates

Time Period	Payable on Underpayments - All Underpayments %	Payable on Overpayments - General Rate %	Payable on Overpayments - Appeals Rate %
Jul. 1/95 — Sep. 30/95	10	10	N/A
Oct. 1/95 — Dec. 31/95	8	8	N/A
Jan. 1/96 — Mar. 31/96	8	8	N/A
Apr. 1/96 — Jun. 30/96	8	8	N/A
Jul. 1/96 — Sep. 30/96	7	7	N/A
Oct. 1/96 — Dec. 31/96	7	7	N/A
Jan. 1/97 — Mar. 31/97	9	4	N/A
Apr. 1/97 — Jun. 30/97	8	3	N/A
Jul. 1/97 — Sep. 30/97	8	3	N/A
Oct. 1/97 — Dec. 31/97	8	3	N/A
Jan. 1/98 — Mar. 31/98	8	3	5
Apr. 1/98 — Jun. 30/98	9	4	6
Jul. 1/98 — Sep. 30/98	10	5	7
Oct. 1/98 — Dec. 31/98	10	5	7
Jan. 1/99 — Mar. 31/99	10	5	7
Apr. 1/99 — Jun. 30/99	10	5	7
Jul. 1/99 — Sep. 30/99	10	5	7
Oct. 1/99 — Dec. 31/99	9	4	6
Jan. 1/00 — Mar. 31/00	9	4	6
Apr. 1/00 — Jun. 30/00	10	5	7
Jul. 1/00 —	10	5	7

Table 2

Tax Interest Rates

Small Business Development Corporations Act

	Time Period	Rate %
1	Jul. 1/95 — Sep. 30/95	10
2	Oct. 1/95 — Dec. 31/95	8
3	Jan. 1/96 — Mar. 31/96	8
4	Apr. 1/96 — Jun. 30/96	8
5	Jul. 1/96 — Sep. 30/96	7
6	Oct. 1/96 — Dec. 31/96	7
7	Jan. 1/97 — Mar. 31/97	9
8	Apr. 1/97 — Jun. 30/97	8
9	Jul. 1/97 — Sep. 30/97	8
10	Oct. 1/97 — Dec. 31/97	8
11	Jan. 1/98 — Mar. 31/98	8
12	Apr. 1/98 — Jun. 30/98	9
13	Jul. 1/98 — Sep. 30/98	10
14	Oct. 1/98 — Dec. 31/98	10
15	Jan. 1/99 — Mar. 31/99	10
16	Apr. 1/99 — Jun. 30/99	10
17	Jul. 1/99 — Sep. 30/99	10
18	Oct. 1/99 — Dec. 31/99	9
19	Jan. 1/00 — Mar. 31/00	9
20	Apr. 1/00 — Jun. 30/00	10
21	Jul. 1/00 —	10

Dated at Oshawa, this 9^th day of June, 2000.

Ministry Of Finance,
Tax Revenue Division,
Roy A. Lawrie,
Assistant Deputy Minister.

Updated: June 15, 2016

Published: July 01, 2000