Bill C-34
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2nd Session, 36th Parliament, 48-49 Elizabeth II, 1999-2000
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The House of Commons of Canada
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BILL C-34 |
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An Act to amend the Canada Transportation
Act
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1996, c. 10
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CANADA TRANSPORTATION ACT |
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1. (1) Subsection 50(1) of the Canada
Transportation Act is amended by striking
out the word ``or'' at the end of paragraph
(e) and by adding the following after
paragraph (e):
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(2) Section 50 of the Act is amended by
adding the following after subsection (3):
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Limitation
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(3.1) Subsection (3) does not apply in
respect of a contract entered into under
subsection 126(1) to the extent that the
information is required for the purpose of
monitoring the grain transportation and
handling system.
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Report on the
monitoring of
the grain
transporta- tion and handling system
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(3.2) The Minister must prepare, within six
months after the end of each crop year, a report
on the monitoring of the grain transportation
and handling system and cause the report to be
tabled in each House of Parliament on any of
the first fifteen days on which that House is
sitting after the Minister prepares it, if the
Minister
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2. Subsection 51(2) of the Act is amended
by striking out the word ``or'' at the end of
paragraph (a), by adding the word ``or'' at
the end of paragraph (b) and by adding the
following after paragraph (b):
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3. Subsection 93(2) of the Act is replaced
by the following:
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Variation
when running
rights granted
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(2) The Agency may vary a certificate of
fitness when it
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4. Subsection 116(4) of the Act is
amended by striking out the word ``or'' at
the end of paragraph (b) and by adding the
following after paragraph (c):
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5. (1) Subsection 141(1) of the Act is
replaced by the following:
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Three-year
plan
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141. (1) A railway company shall prepare
and keep up to date a plan indicating for each
of its railway lines whether it intends to
continue to operate the line or whether, within
the next three years, it intends to take steps to
discontinue operating the line.
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(2) Subsection 141(3) of the Act is
replaced by the following:
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When sale,
etc., permitted
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(3) A railway company may sell, lease or
otherwise transfer its railway lines, or its
operating interest in its lines, for continued
operation.
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Continued
operation of a
portion of a
line
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(4) A railway company that sells, leases or
otherwise transfers a portion of a
grain-dependent branch line listed in
Schedule I, or its operating interest in such a
portion, to a person who intends to operate the
portion shall continue to operate the
remaining portion for three years, unless the
Minister determines that it is not in the public
interest for the company to do so.
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6. Section 142 of the Act is replaced by the
following:
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Compliance
with steps for
discontinu- ance
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142. (1) A railway company shall comply
with the steps described in this Division before
discontinuing operating a railway line.
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Limitation
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(2) A railway company shall not take steps
to discontinue operating a railway line before
the company's intention to discontinue
operating the line has been indicated in its plan
for at least 12 months.
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Community-b
ased groups
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(3) Subsection (2) does not apply and a
railway company shall without delay take the
steps described in section 143 if
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7. Subsections 144(3) to (5) of the Act are
replaced by the following:
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Negotiation in
good faith
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(3) The railway company shall negotiate
with an interested person in good faith and in
accordance with the process it discloses and
the interested person shall negotiate with the
company in good faith.
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Net salvage
value
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(3.1) The Agency may, on application by a
party to a negotiation, determine the net
salvage value of the railway line and may, if it
is of the opinion that the railway company has
removed any of the infrastructure associated
with the line in order to reduce traffic on the
line, deduct from the net salvage value the
amount that the Agency determines is the cost
of replacing the removed infrastructure. The
party who made the application shall
reimburse the Agency its costs associated with
the application.
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Time limit for
agreement
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(4) The railway company has six months to
reach an agreement after the final date stated
in the advertisement for persons to make their
interest known.
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Decision to
continue
operating a
railway line
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(5) If an agreement is not reached within the
six months, the railway company may decide
to continue operating the railway line, in
which case it is not required to comply with
section 145, but shall amend its plan to reflect
its decision.
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Remedy if
bad faith by a
railway
company
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(6) If, on complaint in writing by the
interested person, the Agency finds that the
railway company is not negotiating in good
faith and the Agency considers that a sale,
lease or other transfer of the railway line, or
the company's operating interest in the line, to
the interested person for continued operation
would be commercially fair and reasonable to
the parties, the Agency may order the railway
company to enter into an agreement with the
interested person to effect the transfer and
with respect to operating arrangements for the
interchange of traffic, subject to the terms and
conditions, including consideration, specified
by the Agency.
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Remedy if
bad faith by
an interested
person
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(7) If, on complaint in writing by the
railway company, the Agency finds that the
interested person is not negotiating in good
faith, the Agency may order that the railway
company is no longer required to negotiate
with the person.
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8. The Act is amended by adding the
following after section 146:
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Compensation
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146.1 A railway company that discontinues
operating a grain-dependent branch line listed
in Schedule I, or a portion of one, that is in a
municipality or district shall, commencing on
the date on which notice was provided under
subsection 146(1), make three annual
payments to the municipality or district in the
amount equal to $10,000 for each mile of the
line or portion in the municipality or district.
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9. (1) The definitions ``joint line
movement'' and ``maximum rate scale'' in
section 147 of the Act are repealed.
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(2) The definition ``prescribed railway
company'' in section 147 of the Act is
replaced by the following:
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``prescribed
railway
company'' « compagnie de chemin de fer régie »
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``prescribed railway company'' means the
Canadian National Railway Company, the
Canadian Pacific Railway Company and
any railway company that may be specified
in the regulations;
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(3) Section 147 of the Act is amended by
adding the following in alphabetical order:
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``government
hopper car'' « wagon-trémi e du gouvernement »
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``government hopper car'' means a hopper car
provided to a prescribed railway company
by the government of Canada or a province
or by the Canadian Wheat Board;
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1996, c. 18,
s. 41
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10. The heading before section 149 and
sections 149 to 155 of the Act are replaced
by the following:
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Tariffs
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Issuance and
publication
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149. (1) A prescribed railway company
shall issue and publish tariffs that include
single car rates in respect of the movement of
grain from each grain delivery point on its
railway.
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Prohibition
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(2) No prescribed railway company shall
establish a single car rate in a tariff in respect
of the movement of grain from a grain
delivery point on one of its branch lines that is
more than three per cent higher than any single
car rate in its tariffs for the movement of the
same type of grain under substantially similar
conditions for a substantially similar distance
from the grain delivery point on one of its
main lines that is nearest, as measured in a
straight line, to the grain delivery point on the
branch line.
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Maximum Grain Revenue Entitlement
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Ceiling
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150. (1) A prescribed railway company's
revenues, as determined by the Agency, for
the movement of grain in a crop year may not
exceed the company's maximum revenue
entitlement for that year as determined under
subsection 151(1).
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Payment of
excess and
penalty
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(2) If a prescribed railway company's
revenues, as determined by the Agency, for
the movement of grain in a crop year exceed
the company's maximum revenue entitlement
for that year as determined under subsection
151(1), the company shall pay out the excess
amount, and any penalty that may be specified
in the regulations, in accordance with the
regulations.
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Items not
included in
revenue
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(3) For the purposes of this section, a
prescribed railway company's revenue for the
movement of grain in a crop year shall not
include
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Impermissible
reductions
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(4) For the purposes of this section, a
prescribed railway company's revenue for the
movement of grain in a crop year shall not be
reduced by amounts paid or allowed as
dispatch by the company for loading or
unloading grain before the expiry of the period
agreed on for loading or unloading the grain.
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Reductions
from revenue
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(5) For the purposes of this section, if the
Agency determines that it was reasonable for
a prescribed railway company to make a
contribution for the development of
grain-related facilities to a grain handling
undertaking that is not owned by the company,
the company's revenue for the movement of
grain in a crop year shall be reduced by any
amount that the Agency determines
constitutes the amortized amount of the
contribution by the company in the crop year.
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Agency to
determine
revenue
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(6) The Agency shall make the
determination of a prescribed railway
company's revenues for the movement of
grain in a crop year on or before December 31
of the following crop year.
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Maximum
revenue
entitlement
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151. (1) A prescribed railway company's
maximum revenue entitlement for the
movement of grain in a crop year is the amount
determined by the Agency in accordance with
the formula
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[A/B + ((C - D) x $0.022)] x E x F
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where
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A is the company's revenues for the
movement of grain in the base year;
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B is the number of tonnes of grain involved
in the company's movement of grain in the
base year;
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C is the number of miles of the company's
average length of haul for the movement
of grain in that crop year as determined by
the Agency;
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D is the number of miles of the company's
average length of haul for the movement
of grain in the base year;
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E is the number of tonnes of grain involved
in the company's movement of grain in the
crop year as determined by the Agency;
and
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F is the volume-related composite price
index as determined by the Agency.
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Canadian
National
Railway
Company
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(2) For the purposes of subsection (1), in the
case of the Canadian National Railway
Company,
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Canadian
Pacific
Railway
Company
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(3) For the purposes of subsection (1), in the
case of the Canadian Pacific Railway
Company,
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Volume-relate
d composite
price index
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(4) The following rules are applicable to the
volume-related composite price index:
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When Agency
to make
determina- tion
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(5) The Agency shall make the
determination of a prescribed railway
company's maximum revenue entitlement for
the movement of grain in a crop year under
subsection (1) on or before December 31 of
the following crop year and shall make the
determination of the volume-related
composite price index on or before April 30 of
the previous crop year.
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Regulations
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Regulations
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152. The Governor in Council may make
regulations
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