SoVote

Decentralized Democracy

Ontario Assembly

43rd Parl. 1st Sess.
May 29, 2023 09:00AM
  • May/29/23 9:30:00 a.m.
  • Re: Bill 91 

My thanks to the minister for his inspiring words this morning. I know, on a Monday morning, it’s exciting for all the new pages who are here in the House. This is some of the first debate that they’ve had the opportunity to enjoy and I can tell you, the way it started off this morning, they’re going to be getting a lot more of this sort of interesting discussion of the affairs of state that we have here to discuss in the Ontario Legislature.

I just wanted to begin by thanking the minister for his leadership, for his vision and for his steadfast tenacity in fighting job-killing red tape and in fighting unnecessary regulations that waste time, that waste money and that don’t serve a practical purpose. When it comes to good regulations that protect health, that protect safety, that protect our environment, I know that the minister is one of the first to say we need to keep those important regulations in place. Yet, at the same time, when it comes to cutting unnecessary, onerous and duplicative processes that do nothing to add value, that do nothing to protect health and safety and the environment, this is a minister who listens and then acts, who doesn’t just speak but gets the job done. I would say he’s an example of some of the best that this government has to offer in serving the people of the province of Ontario. My thanks to the minister for his participation in debate this morning. I’m honoured to be able to build on the work that the minister has spoken about and worked closely with my team on.

I also want to begin this morning just briefly by acknowledging that my beautiful wife, Keri, and my son, Sullivan, are at home right now watching this. Hi, Sullivan. I hope you understand some of what dad’s talking about this morning. I know for them too it’s a good Monday morning when we can discuss red tape reduction and what we’re doing to keep a strong future for my son and for so many others here in the province of Ontario.

Before I dig into some of the details of the legislation that the minister didn’t have the opportunity to get into yet this morning, I do want to take a few moments and remind everyone about why what we’re doing to reduce burdens is so important.

Last year, the Canadian Federation of Independent Business estimated that red tape costs small businesses in Canada approximately $11 billion each year—$11 billion, Speaker. And that’s just small businesses. Ontario used to be known as the most heavily regulated province in the country. When we formed government in 2018, we knew that had to change urgently. We set out to make that happen, to remove the unnecessary and outdated regulations that cost Ontarians time and money. And we did. Since July 1 of 2018, our government has reduced the number of regulatory compliance requirements affecting businesses by 6.5%. Why does this matter? Because these changes ensure that we’re able to increase jobs and investment in Ontario, making it less expensive, faster and easier to do business, to set out one of the best regulatory service standards in North America.

It’s not just what we’re doing, Speaker, it’s why we’re doing it: to ensure that future generations continue to see an Ontario that is the economic driver and innovator of this country. We’re delivering on that commitment. Our government has taken more than 450 burden-reducing actions to date, reducing 16,000 individual compliance requirements while continuing to look for ways to improve.

We’ve continued the practice of introducing two high-impact red tape reduction bills every year, one each fall and one in the spring. In fact, this government has delivered some nine high-impact pieces of red tape reduction legislation in the last five years. And here we are today, at the third reading of our 10th and largest red tape burden reduction bill to date.

We have made a commitment to save Ontario businesses, including not-for-profit organizations in the broader public sector, at least $400 million in annual compliance costs by March of 2022, not to mention the numerous hours that have been saved as well. I’m pleased to state that for the record, we have not only met but actually exceeded this goal. Our red tape reduction measures have so far saved businesses, not-for-profit organizations, municipalities, school boards, colleges and universities, and hospitals nearly $700 million in annual compliance costs. That’s $700 million each year that Ontario businesses and public-serving organizations can put to better use. Our newest red tape reduction bill, the proposed Less Red Tape, Stronger Economy Act, will save Ontario businesses even more when fully implemented.

Speaker, we’ve come a long way. We continue to be grateful for the ideas that we’ve received from stakeholders, from people across the province and from our ministry partners, who have worked diligently to streamline processes and modernize outdated practices across multiple areas of government. It’s what has allowed us to continue delivering on our commitment to support economic competitiveness and create high-quality, well-paying jobs and an attractive investment climate.

I’m going to tell you a little bit more about how we do the work that we do. Every time the Ministry of Red Tape Reduction gathers together and considers a new idea, a new bill or change to the regulatory structure or the legislative structure, we draw on seven guiding principles, which consistently direct our efforts to reduce red tape. These principles are enshrined in the Modernizing Ontario for People and Businesses Act.

The first principle is that recognized national and international standards should be adopted when possible. This is because we know that harmonizing requirements across jurisdictions reduces costs, reduces the time that it takes for compliance and makes it easier to do business across borders. On this note, I think of last week’s announcement from the Minister of Labour, Immigration, Training and Skills Development with the news that engineers are now going to be able to practise here in Ontario as soon as they arrive in this great province.

The second pillar is that small businesses should have less onerous requirements when it comes to compliance when compared to larger businesses. It recognizes that smaller businesses, the mom-and-pop shops, don’t have the same resources as their larger counterparts to focus on compliance. I’m sure this is something we’ve all seen when we visit job creators in our communities. Small businesses don’t have large legal divisions. They don’t have the resources to be able to dig through mountains of paperwork and they’re not able to meet some of the same requirements in some heavily regulated areas that a larger business would.

The third is that any entity subject to regulations should be provided accessible digital services whenever possible, because in 2023, we shouldn’t be asking people or businesses to have to fill out long paper forms anymore.

The fourth principle we operate under is that regulated entities, such as businesses, services and broader public sector organizations, which demonstrate excellent compliance should be recognized. Businesses which have been known to break the rules should be penalized, while those which are known to follow the rules should be given a break.

The fifth pillar is that unnecessary reporting should be reduced and steps should be taken to avoid requiring regulated entities to provide the same information to the government again and again and again, for little to no reason. Nothing is more frustrating than filling out the same form over and over and over, or having to repeat the same story to multiple ministries or different levels of government. The Premier sometimes has called this the merry-go-round. You go around the circle, around the circle, and every time, you fill out all the requirements; one person makes one change at one point, and you’ve got to go back around the merry-go-round and make changes all over again.

The sixth pillar is that instruments should prioritize the user by using clear communication, setting reasonable response times and establishing a centralized point of contact. This is a straightforward requirement. People and businesses should be able to understand the requirements imposed on them by government. You shouldn’t need a legal background. You shouldn’t need to speak bureaucratese or governmentese, as I know so many in this building do, in order to be able to access the services that you rely upon.

The seventh principle is that an instrument should specify the desired result that regulated entities must meet, rather than the specific methods used to attain that result. Good outcomes are really, at the end of the day, what we’re concerned about, and we recognize that there can be many different ways to get to that same result. We want to encourage innovation, not discourage it.

As the minister mentioned in his remarks earlier this year, this year’s spring red tape reduction package focuses on three key themes: (1) paving the way for better services; (2) helping Ontario businesses grow; and (3), saving Ontarians time. I’m going to spend a few minutes this morning speaking to a few more initiatives from our spring package which help us realize these three commitments.

First, when it comes to paving the way for better services, I’d like to highlight an initiative that’s coming from the Ministry of Transportation which looks to modernize agency governance at the Ontario Northland Transportation Commission. The Ontario Northland Transportation Commission is an agency which has an important role to play in our government’s plan to build a stronger Ontario. We’ve committed to restoring passenger rail service from Toronto to northern Ontario, and we’re well on our way to delivering on that promise, with planning under way and three new state-of-the-art trainsets on order from Siemens Mobility.

Along with this work, our government is proceeding with developing a new and clearly defined transportation-focused mandate for Ontario Northland, which will be brought forward in this House in the future as part of new, modernized legislation. This is a necessary change because the Ontario Northland Transportation Commission Act is a legacy statute from 1902, which has seen limited changes and does not align with modern agency legislation. Speaker, 1902: To remind everyone, that’s six years before the Ford Motor Co. invented the Model T and 34 years before the Minister for Seniors and Accessibility was born. Clarifying the agency’s mandate will help increase agency alignment with the government’s strategic vision and empower that agency to deliver on priority projects like the Northlander.

Another way we’re proposing to improve access to services is by proposing amendments to the Ontario Energy Board to better protect ratepayers. Speaker, I was elected in the fall of 2016 on a theme of hydro and hard work. Those who weren’t perhaps here in the bad old days under the former Liberal government don’t remember the havoc that skyrocketing hydro rates played in Ontario’s economy. It led to manufacturing jetting out of this province as fast as they could go. It led to residents in my community speaking about having to make the choice between heating and eating. And, I would argue, it led to my by-election victory in the fall of 2016. But since that time, Speaker, our government has been able to move forward on taking actions which protect ratepayers and ensure we have a clean, reliable and affordable source of hydro.

But Speaker, you might be surprised to learn that currently, utilities can pass on costs that they’ve incurred from failing to comply with their statutory obligations to ratepayers through increases to rates. You heard that right: They break the rules, and you pay the tab—absolutely mind-blowing. We’re putting an end to that practice. This amendment will protect ratepayers from paying for the costs incurred because of non-compliant situations and help to keep rates predictable—a step in the right direction, and yet another demonstration of our government’s commitment to keeping hydro rates low.

Speaking of the Ministry of Energy, I would love to share some more information about another way that this red tape reduction package is actually helping some innovative businesses grow here in the province of Ontario. We know that Ontario’s clean energy grid is a competitive advantage in attracting investments and jobs to the province. We’ve heard about this from businesses, and we’ve heard about this also internationally. Speaking with the Minister of Energy, when he went to eastern Europe, there was a huge amount of interest in our nuclear grid, our amazing combination of clean, reliable nuclear power and our hydro stations, of course, that in the Niagara region are not just part of our history but an integral part of our industry. As we see the energy sources of the future coming online, we know that there’s more that can be done in this space.

That’s why we’re proposing amendments through this legislation to the Ontario Energy Board Act. This would allow the Ontario Energy Board to remove certain regulatory barriers to innovative pilot and demonstration projects. The Ontario Energy Board has put forward a proposal which will expand the Ontario Energy Board’s authority to facilitate innovative pilot and demonstration projects, such as exploring the idea of peer-to-peer energy trading. There is a vast potential for energy innovation that will revolutionize the way we produce, distribute and consume energy, and eliminating the red tape associated with these pilot and demonstration projects has a real potential to demonstrate value for consumers, ratepayers and the broader economy. Now, innovative projects which come from this program and are scalable could provide electricity ratepayers benefit, not just through lower rates and a more reliable and resilient system, but also by providing a positive impact to Ontarians by making it easier for businesses that provide stable, well-paying jobs to thrive.

Speaker, we’re also proposing amendments to reduce costs and red tape for retailers though the Cannabis Licence Act for those who wish to transfer their operating licence, retail authorization and inventory to a new retail licence holder. These changes would also apply to licence holders who have changed their ownership structure. It’s important to emphasize these proposed changes would not change any of the existing eligibility rules for a cannabis retail authorization or an operating licence, including limits on the number of stores that can be owned by a single operator or restrictions that exist around the location of stores.

Speaker, something I also care about that this legislation helps move forward on is what we’re doing to save the most valuable resource that any of us have, which is time. At the end of the day, I believe, we have around two billion seconds in our average lifespan, and so if you think about each of those seconds, it’s the most finite resource that any one of us will ever have. To be able to use that time wisely, to be able to use that time well, is a gift, and not to have to waste that time on endless government bureaucracy, endless government red tape and regulations, especially when they’re unnecessary or outdated, is an important way that we as legislators can help safeguard for our constituents their most important resource: time.

For this example, I would like to highlight an initiative coming from the Ministry of Labour, Immigration, Training and Skills Development—say that three times fast, eh? The ministry is seeking to clarify the concept of “survivor” in the Workplace Safety and Insurance Act in relation to terms such as “surviving spouse” and “cohabiting” as well as other related issues. Modernizing the approach that the WSIB takes in relation to survivors will improve operational consistency in decision-making, reduce administrative burdens and enable the WSIB to process claims faster and save Ontarians time.

Now, there are a few other ways we are working to save Ontarians time as well. We have proposed amendments to electronic forms of delivery under the Pension Benefits Act. Currently, pension plan administrators are required under the act to provide reminder notices to members by regular mail, even if they’ve opted in to receive communications in electronic form. In other words, you get a note saying, “Sign up for a digital copy of this particular notification for your pension plan,” and being someone who wants to not just save time but also perhaps save emissions and reduce your paper output, you go online, you go to the website connected through the paper notification you got and you sign up to receive these email notifications. And you do, which is great. You get your first notification, and perhaps a week later, all of a sudden you get the duplicate of this information in the mail. Okay, perhaps they missed it. The next notification comes out perhaps a month later and once again, you get it through email—great—and a week later or a few days later, you get it again via mail. That’s because it’s mandated under Ontario law that you have to get those notifications, even if you opt in to the electronic form, by regular mail. But the proposed amendments in this legislation would eliminate that need to send retiring plan members unneeded reminder notices. In other words, they would still be able to get those notices if they wanted them, but they would also be able to not get those notices and have it only online if they want. This will also in turn reduce costs and duplication for the pension plan administrators, and we all know that if we can cut that management fee just a little bit, that’s savings directly in the pockets of those pension plan holders.

We’ve also proposed changes to allow for virtual board meetings to be made permanent. You might recall the early days of the pandemic, when so much happened so quickly and we were forced to take processes that had always been done on paper or in person and put them online. At that time, temporary legislative amendments were made to several business law statutes and the Condominium Act as well to generally allow corporations, including not-for-profits, to hold virtual meetings regardless of requirements in their governing documents or in the legislation. It goes without saying that this has been extremely popular and a very successful measure, particularly for smaller organizations who may not have had the physical infrastructure, such as the office space, to host these meetings in person. That’s why the Less Red Tape, Stronger Economy Act is proposing to implement permanent changes to replicate the purpose of the temporary measures with respect to virtual meetings and to enhance additional virtual processes related to notices and records. We believe that this change will modernize virtual process rules, reduce the burden and make life easier for individuals as well as for businesses and corporations.

Alongside this change, we’re proposing to amend the Corporations Act to modernize the board composition requirements for mutual insurers. Currently, the Corporations Act requires the boards to constitute insurer boards in multiples of three. The ministry proposes to amend the act and remove that requirement by making it consistent, rather, with similar requirements under the Business Corporations Act. The proposed change, if approved, would give these companies flexibility and save money for their insurance policy holders.

These are all measures that impact people directly, but we know that a significant part of red tape reduction is also about reviewing the way we do things here in government to make them more efficient and more effective. A great example of this is the three initiatives in our bill put forward by the Ministry of Tourism, Culture and Sport. One of the proposed changes is to amend some outdated legislation to strengthen board governance for Ontario’s tourism and culture agencies. The proposed amendments would reduce unnecessary red tape and delays in the appointment process, and support business continuity as well as increased flexibility in appointments to support strengthened agency oversight and governance. For example, this legislation will standardize board terms of office to be up to three years at pleasure, rather than a fixed term, which will provide for flexibility to meet operational, policy or business needs. These are relatively straightforward amendments that just make sense. They’re about allowing Ontario’s tourism and culture agencies to run more efficiently and effectively.

The ministry is also seeking to modernize agency governance and clarify rules for Ontario’s public appointees by incorporating “protection from personal liability” provisions in legislation and regulations for their agencies and transfer payment entities. The amendments would strengthen board governance and make it easier to attract the best candidate for board service, allowing the ministry agencies and transfer payment entities to maximize their economic impact.

Additionally, the ministry is proposing legislative amendments that, if passed, would streamline approvals for Ontario’s people, businesses and agencies. The proposed changes to the Niagara Parks Act, for example, would make it easier and faster for routine land adjustments to be made on or near Niagara Parks Commission properties. The change would allow for routine utility work to take place faster, giving the residents of Niagara much-needed access to things such as cable, natural gas and water systems. The proposed changes to the Art Gallery of Ontario Act would support the government and the AGO’s commitment to transparency by getting annual reporting information to the public faster.

There are also several modernization measures of this type that originate from the Ministry of the Attorney General. The ministry is proposing to amend the Courts of Justice Act to remove the requirement that the Auditor General examine and report on the accounts and financial transactions of the Office of the Children’s Lawyer. This is a historical and antiquated requirement. It dates back to a time when the Office of the Children’s Lawyer was not embedded within the Ministry of the Attorney General. But today it operates as a program area of the Ministry of the Attorney General, and it doesn’t have any funds in the bank or trust accounts outside of the Consolidated Revenue Fund. It means that its financial position is already reported in the province’s public accounts and there’s no other set of books maintained for the office to report on its own finances. As a result, to comply with the Auditor General’s audit requirements, the office is required to create a separate set of financial documents which are not used for any other purpose; solely for this audit. Even with our proposed amendment, the Auditor General will still retain the ability to audit the Office of the Children’s Lawyer as part of the Auditor General office’s normal scope and powers; the only difference is that it will no longer be compulsory to do so on an annual basis.

The ministry is also proposing to update the Creditors’ Relief Act, 2010, which governs the distribution of money among eligible creditors where the sheriff has enforced a court or tribunal order for the payment of money. Currently, the only way a sheriff can deliver this notice is by mail or in person. Speaker, it’s 2023. We know that there are faster, better ways to communicate. This change, if approved, would permit the sheriff to serve documents by email, improving and simplifying communications between sheriffs’ offices and stakeholders. It’s simple, it’s straightforward, and it just makes sense.

We’ve also proposed to make amendments to the Execution Act which, if passed, would clarify when the principal-residence exemption in forced sales can apply. It’s a housekeeping change which would provide clarification as to the original intent of the act.

The Attorney General ministry is also proposing a change to the Trustee Act to make it clear that investment managers of trust property may invest in mutual funds, pooled funds or segregated funds on behalf of a trustee. This would remove the current limitations on investment-manager activities and make the law more consistent with current industry practice.

Speaker, the minister spoke about this, but there’s a lot of work that goes into the consultation and development of these red tape reduction packages. We’ve been working collaboratively with stakeholders from across our ministry partners. We’ve been consulting with a wide range of partners, people and stakeholders from across the province to build an unparalleled inventory of ideas. I want to encourage those who are watching today who may have ideas to go to ontario.ca/redtape, and provide your feedback and solutions and ideas and ways that we could unleash the potential of Ontario through that portal. I want to take a moment to recognize some of the pieces coming out of this package that directly address ideas and requests such as those that came from stakeholders and people across the province.

Earlier, the minister spoke about an initiative coming from the Ministry of Labour, Immigration, Training and Skills Development which updated mining regulations to reflect current practice and technology, keep the regulations up to date and reduce regulatory burden on the sector. We know that Ontario’s mining sector is a crucial part of our economy, providing jobs, investments and raw materials which are essential for the manufacturing and construction industries. That’s why I want to thank the labour partners and the management leaders of the mining sector advisory committee for helping our government identify these much-needed amendments. They will help us to strengthen occupational health and safety for miners who support this vital sector by leveraging new technology, such as drones, to better protect them from airborne hazards.

Another example is that the Ministry of the Environment, Conservation and Parks recently repealed outdated recycling regulations for soft-drink containers. This was supported by the Canadian Beverage Association. Before curbside blue box programs became common, Ontario required a portion of soft-drink containers to be refillable to encourage their diversion from landfill. As you can imagine, a lot has changed with time, and the regulations in place are no longer reflective of current recycling practices or consumer behaviours. So we’ve revoked out-of-date regulations associated with soft-drink containers because producers already have ambitious targets and collection diversion requirements under Ontario’s new blue box regulations.

One last example is the Ontario Ministry of Agriculture, Food and Rural Affairs’s intention to make regulatory amendments under the Milk Act. Dairy farmers are a vital component of the province’s agricultural sector, and coming from a long-time dairy family, I know how important it is to ensure that they’re supported. While Ontario’s dairy industry has evolved significantly over the last decades, regulations haven’t kept pace with the new technologies, practices and products. This has resulted in unnecessary costs for dairy producers and processors. So after receiving a request from the Ontario Dairy Council, the ministry set out to find ways to amend the regulations to minimize the regulatory burden, enable innovation and improve consistency with other jurisdictions. And that’s exactly what we’ve done. We’re ensuring our dairy farmers can focus on what’s important: producing the highest quality milk and dairy products.

Speaker, I’m very proud of the work that’s gone into today’s legislation, and I’m proud of the work that’s happened because of so many coming together to work together to reduce the regulatory burdens on people and business. I’m eager, as I know every member in this House is, to support this great work going forward. The 42 initiatives in the Less Red Tape, Stronger Economy Act and in the spring red tape reduction budget will pave the way for better services, helping Ontario businesses grow and saving the people of this province time and money. The items in this, our 10th and largest burden reduction bill to date, build on over five years of progress, moving forward in modernizing legislation, regulations and policies that are burdensome, inefficient and inflexible for the people of Ontario. Simply put, this bill will lead Ontario to more economic certainty, confidence and stability and continue to position Ontario as a key player in the North American and global landscape now and for generations to come.

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  • May/29/23 11:40:00 a.m.

Speaker, I’m pleased to take this opportunity to acknowledge my chief of staff, Krystle Caputo. She has been an invaluable asset to our ministry and to me personally since I’ve come to this role as the new Minister of Children, Community and Social Services. And before that, she was a great support to both Dr. Fullerton and the Minister of Municipal Affairs. As she takes her next step, I want to say to Krystle, thank you for everything that you’ve done for all of us, and I wish you all the very best.

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