Hazel McCallion Act (Peel Dissolution), 2023, S.O. 2023, c. 13 - Bill 112

• Jurisdiction: Ontario
• Bill Number: 112
• Date: 08 June 2023

EXPLANATORY NOTE

This Explanatory Note was written as a reader’s aid to Bill 112 and does not form part of the law. Bill 112 has been enacted as Chapter 13 of the Statutes of Ontario, 2023.

The Bill enacts the Hazel McCallion Act (Peel Dissolution), 2023. Here are some highlights of the Act:

1. Section 2 provides that, on January 1, 2025, The Regional Municipality of Peel is dissolved and the City of Mississauga, the City of Brampton and the Town of Caledon are continued as single-tier municipalities.

2. Section 3 provides for a transition board consisting of members appointed by the Minister. The transition board must, among other things, provide recommendations to the Minister respecting the municipal restructuring required for the purposes of section 2 and must monitor the actions, duties or decisions of the councils of the municipalities and their local boards, and those actions that have been delegated to committees, staff or officers.

3. Section 5 requires that the municipalities and their local boards, when considering entering into a transaction, commitment or agreement on or after May 18, 2023 and before January 1, 2025, act in the public interest having regard to the municipal restructuring required for the purposes of section 2, including acting in a manner that does not unreasonably impact another municipality.

4. Section 6 enables the transition board to direct a municipality or local board to take certain actions with respect to a transaction, commitment or agreement, or a proposed transaction, commitment or agreement, if the transition board is of the opinion that a municipality or local board has acted or proposes to act contrary to section 5. If the municipality or local board, despite the direction from the transition board, proceeds with the transaction, commitment or agreement or does not modify or undo the transaction, commitment or agreement, the transition board may notify the Minister and the Minister may, by order, modify or terminate the transaction, commitment or agreement or prohibit the municipality or local board from proceeding with the transaction, commitment or agreement.

5. Section 7 provides for immunity from personal liability in specified circumstances for the members, employees and agents of the transition board and any employee or agent of a municipality or of its local board who acts under the direction of the transition board or Minister.

6. Section 8 enables the Minister to apply to the Superior Court of Justice for an order requiring a person or entity to comply with any provision of the Act or of a regulation made under it, a direction of the transition board or an order made by the Minister.

7. Section 10 enables the Minister to make regulations that, among other things, govern the transition board. Section 11 enables the Lieutenant Governor in Council to make regulations that are necessary or advisable to facilitate or implement the municipal restructuring required for the purposes of section 2. Regulations may be retroactive to a period before they are filed, but not earlier than May 18, 2023.

8. On January 1, 2025, the Regional Municipality of Peel Act, 2005 is repealed.

chapter 13

An Act to provide for the dissolution of The Regional Municipality of Peel

Assented to June 8, 2023

Preamble

The people of Ontario and their Government:

Respect and support the effective administration of local governance.

Recognize that municipalities should be empowered with the tools needed to plan for population growth, including the tools needed to build more housing options, and should work together fairly and in good partnership with neighbouring municipalities.

Understand that safe communities and the delivery of effective frontline services are key pillars of local government, including by preserving frontline workers.

Appreciate the importance of value for money and high-quality services delivered in an efficient manner for taxpayers.

Acknowledge that where there are shared assets and services, municipalities should be treated in an equitable and fair manner whereby all residents, regardless of where they live, are respected and have access to excellent services.

Therefore, His Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

Interpretation

1 In this Act,

“Minister” means the Minister of Municipal Affairs and Housing; (“ministre”)

“prescribed” means prescribed by the regulations made under this Act; (“prescrit”)

“transition board” means the transition board established under subsection 3 (1). (“conseil de transition”)

Dissolution

2 (1) The Regional Municipality of Peel is dissolved on January 1, 2025.

Single-tier municipalities

(2) The City of Mississauga, the City of Brampton and the Town of Caledon are continued as single-tier municipalities on January 1, 2025.

Transition board

3 (1) A transition board is established consisting of up to five members appointed by the Minister, or up to such other number as may be prescribed.

Chair

(2) The Minister may designate one of the members of the transition board as chair.

Body corporate

(3) The transition board is a body corporate without share capital.

Non-application of corporate Acts

(4) The Not-for-Profit Corporations Act, 2010 and the Corporations Information Act do not apply to the transition board except, in the case of the Not-for-Profit Corporations Act, 2010, as is prescribed by regulation.

Duties

(5) The transition board shall do the following:

1. Provide recommendations to the Minister, by the date or dates directed by the Minister, respecting the municipal restructuring required for the purposes of section 2, including recommendations with respect to,

i. winding down the financial operations of The Regional Municipality of Peel,

ii. transferring assets of The Regional Municipality of Peel,

iii. assigning liabilities, debt and other financial obligations of The Regional Municipality of Peel,

iv. employment matters, including pension and benefit obligations,

v. the allocation, governance, use and control of services provided by The Regional Municipality of Peel, including whether joint municipal service boards or other entities should be established or other shared servicing arrangements would be advisable,

vi. the impact on any municipality that may be affected by the dissolution of The Regional Municipality of Peel,

vii. the...