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This Act is current to October 28, 2020
See the Tables of Legislative Changes for this Act’s legislative history, including any changes not in force.

Balanced Budget and Ministerial Accountability Act

[SBC 2001] CHAPTER 28

Assented to August 16, 2001

Contents
1Definitions and interpretation
2Prohibition against deficit budgets
2.1Repealed
2.2Deficits permitted for 2021–2022 to 2023–2024 fiscal years
3Salary holdback
4Payment of 1/2 of holdback for achieving collective responsibilities
5Payment of 1/2 of holdback for achieving individual responsibilities
6Making public a comparison of expected and actual results
7Calculation of deficit or surplus, and operating expenses
8Application of Act in relation to change of government
9Regulations
10Spent
11Commencement

Definitions and interpretation

1   (1) In this Act:

"government reorganization" means the assignment of responsibilities to members of the Executive Council made by Order in Council under any of the following provisions of the Constitution Act:

(a) section 9 (2) [designation of minister with portfolio and ministers without portfolio];

(b) section 10 [transfer of powers and duties between ministers];

(c) section 13 [organization of ministries];

"member of the Executive Council" includes a person who was a member of the Executive Council at any time in the applicable fiscal year;

"operating expenses" means operating expenses accounted for in the consolidated revenue fund.

(2) In this Act, words and expressions have the same meanings as in the Budget Transparency and Accountability Act.

Prohibition against deficit budgets

2   The main estimates for a fiscal year must not contain a forecast of a deficit for that fiscal year.

Repealed

2.1   [Repealed 2009-2-2.]

Deficits permitted for 2021–2022 to 2023–2024 fiscal years

2.2   The prohibition in section 2 [prohibition against deficit budgets] does not apply to the main estimates for the 2021–2022 to 2023–2024 fiscal years.

Salary holdback

3   (1) The salary otherwise payable under section 4 of the Members' Remuneration and Pensions Act to each member of the Executive Council must be reduced by 20%.

(2) A reduction in salary, under this section, of a member of the Executive Council is to be restored, in full or in part, to the member as provided in, and subject to, sections 4 and 5.

Payment of 1/2 of holdback for achieving collective responsibilities

4   Half of the 20% reduction in salary under section 3, for a fiscal year, becomes due and payable to a member of the Executive Council on the next day after the public accounts for that fiscal year are made public, if,

(a) in the main estimates for that fiscal year, a surplus was estimated and there is a surplus of at least 50% of the amount estimated, or

(b) in any case other than described in paragraph (a), there is not a deficit.

Payment of 1/2 of holdback for achieving individual responsibilities

5   (1) Half of the 20% reduction in salary under section 3, for any period in a fiscal year when a member of the Executive Council was a minister with portfolio responsible for operating expenses authorized by a vote, becomes due and payable to that member on the next day after the public accounts for that fiscal year are made public, if the actual amount of those operating expenses does not exceed the estimated amount of those operating expenses for that fiscal year in the main estimates, subject to any revision under section 6 (1.1), (1.2) or (1.3).

(1.1) [Repealed 2009-14-2.]

(2) [Repealed 2010-5-164.]

(3) Half of the 20% reduction in salary under section 3, for any period in a fiscal year when a member of the Executive Council was without responsibilities referred to in subsection (1) of this section, becomes due and payable to that member of the Executive Council on the day after the applicable information is made public under section 6 (3) for expected results that are specified by regulation of Treasury Board, if the actual results for that fiscal year are the same or better than those expected results.

(4) As an additional condition, if during any period in a fiscal year

(a) a member of the Executive Council held more than one portfolio, or

(b) a member of the Executive Council had responsibilities under subsection (3) transferred to the member by regulation under section 9 (2) (b),

no part of the salary reduction under section 3 in relation to that period becomes due and payable to the member unless all conditions under subsections (1) and (3) applicable to that member during the period are satisfied for the fiscal year.

Making public a comparison of expected and actual results

6   (1) The following information for a fiscal year must be made public with the main estimates for that fiscal year:

(a) the estimated amount referred to in section 5 (1);

(b) [Repealed 2010-5-165.]

(c) the expected results referred to in section 5 (3).

(1.1) If

(a) there is a government reorganization after the main estimates for a fiscal year have been presented, and

(b) the reorganization affects a member of the Executive Council to whom section 5 (1) applies,

within 90 days after that reorganization the minister must make public a statement of the information referred to in subsection (1) (a) in relation to that fiscal year, revised to reflect any transfers under section 14 [transferred powers, duties and functions] of the Constitution Act of spending authority in relation to operating expenses to which section 5 (1) of this Act applies.

(1.2) If supplementary estimates are presented for a fiscal year, the minister must make public with the supplementary estimates a statement of the information referred to in subsection (1) (a) in relation to that fiscal year, revised to reflect the supplementary estimates.

(1.3) If a reallocation of spending authority in relation to operating expenses occurs during a fiscal year among members of the Executive Council under a vote that authorizes spending by more than one member, within 90 days after the reallocation the minister must make public a statement of the information referred to in subsection (1) (a) in relation to that fiscal year, revised to reflect the reallocation.

(2) The following information for a fiscal year must be made public with the public accounts for that fiscal year:

(a) the actual surplus or deficit under section 4;

(b) the actual amount of those operating expenses referred to in section 5 (1);

(c) [Repealed 2010-5-165.]

(d) the related information required for the purposes of section 5.

(3) The following information for a fiscal year must be made public with the public accounts for that fiscal year, or as soon as reasonably practicable after that time, and in any case before December 31 in the year in which the public accounts for the fiscal year are made public:

(a) the actual results referred to in section 5 (3);

(b) the related information required for the purposes of section 5.

(4) The actual results referred to in section 5 (3) may be included in the applicable annual service plan report under section 16 of the Budget Transparency and Accountability Act.

Calculation of deficit or surplus, and operating expenses

7   (1) For the purpose of sections 4 to 6 and 8, the deficit or surplus, and operating expenses, for a fiscal year must be determined and made public on the basis of

(a) the government reporting entity used in the preparation of the main estimates for the fiscal year, and

(b) the accounting policies and practices used in those estimates.

(2) Subsection (1) of this section applies even if there is a change referred to in section 11 (1) (a) [change to government reporting entity], or section 11 (2) (a) [change in accounting policies and practices] of the Budget Transparency and Accountability Act.

Application of Act in relation to change of government

8   (1) In this section, "new Premier's appointment date" means the date, following a general election or other event referred to in subsection (2), on which a Premier is appointed under section 9 of the Constitution Act.

(2) This section applies if the political party that forms the government after a general election or other event is different from the political party that formed the government immediately before the general election or other event.

(3) Subject to subsection (4), for the purpose of ascertaining the payment due and payable under sections 4 and 5 to a member of the Executive Council appointed to that office before the new Premier's appointment date,

(a) the references in sections 4 to 6 to the public accounts for a fiscal year must be read as references to

(i) those public accounts for that fiscal year if the public accounts are made public before the new Premier's appointment date, or

(ii) if subparagraph (i) does not apply, the most recent quarterly report for that fiscal year made public before the new Premier's appointment date, and

(b) the amount for a fiscal year of a deficit or surplus and operating expenses must be determined,

(i) if paragraph (a) (i) applies, by reference to the public accounts, or

(ii) if paragraph (a) (ii) applies, by reference to the forecast of deficit or surplus and operating expenses contained in the quarterly report.

(4) Despite sections 3 (2), 4 and 5, if a quarterly report in respect of a fiscal year is not made public before the new Premier's appointment date, a reduction in salary under section 3, for the fiscal year, of a member of the Executive Council appointed to that office before the new Premier's appointment date is to be restored in full and is due and payable to the member on that date.

(5) Section 3 does not apply to a member of the Executive Council appointed to that office on or after the new Premier's appointment date until a Supply Act is enacted after that date.

Regulations

9   (1) The Treasury Board may make regulations for the purposes of section 5 (3).

(2) A regulation referred to in section 5 (3) may

(a) prescribe differently for different members of the Executive Council or classes of members, and

(b) if there has been a government reorganization, transfer previously assigned responsibilities to any other member of the Executive Council or establish responsibilities for a new ministerial position.

Spent

10   [Repeal. Spent. 2001-28-10.]

Commencement

11   Sections 1 to 9 come into force on April 1, 2002.