Vol. 149, No. 12 — June 17, 2015
SI/2015-47 June 17, 2015
ECONOMIC ACTION PLAN 2014 ACT, NO. 2
Order Fixing the Day on which this Order is made as the Day on which Certain Sections of the Act Come into Force
P.C. 2015-752 June 4, 2015
His Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to section 359 of the Economic Action Plan 2014 Act, No. 2, chapter 39 of the Statutes of Canada, 2014, fixes the day on which this Order is made as the day on which sections 334 to 357 of that Act come into force.
(This note is not part of the Order.)
To fix the date that sections 334 to 357 of the Economic Action Plan 2014 Act, No. 2 come into force as the day the Order comes into force.
These amendments are intended to ensure that Canada’s national payments clearing and settlement infrastructure is operated for the benefit of Canadian consumers and businesses.
The Government outlined a commitment in the Economic Action Plan 2014 to strengthen the governance of Canada’s payment sector by developing a comprehensive framework for the oversight of the Canadian payments system, which includes the Canadian Payments Association (CPA), a statutory body with the mandate to establish and operate national systems for the exchange, clearing, and settlement of payments between banks, credit unions, and other CPA members. The Economic Action Plan 2014 Act, No. 2 received royal assent on December 16, 2014.
The amendments to the Canadian Payments Act make changes to its governance structure and add new accountability framework obligations.
Governance structure: The amended Canadian Payments Act reduces the size of the CPA’s Board of Directors to 13 members, the majority of whom will be independent. Specifically, the number of independent directors is increased from 3 to 7; the number of member directors is reduced from 12 to 5; and the President of the Association becomes an ex officio director.
Accountability requirements: In addition, the Act imposes a new accountability framework, including a requirement for the CPA to annually submit a five-year corporate plan to the Minister of Finance for approval, and to publish its annual report, including audited financial statements, on its Web site.
The implementation of the amendments to the Canadian Payments Act made through the Act is the result of a wide consultation conducted in 2010 by the Department of Finance. The amendments incorporate, in a balanced fashion, comments and suggestions that were made by various stakeholders.
Financial Sector Division
Department of Finance
90 Elgin Street, 13th Floor