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Memorandum of Understanding

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MEMORANDUM OF UNDERSTANDING

BETWEEN

THE MINISTER OF MUNICIPAL AFFAIRS AND HOUSING

- and -

THE BUILDING CODE COMMISSION

 

1.00 INTRODUCTION

1.01 Definitions

In this MOU:

  1. “Act” means the Building Code Act, 1992;

  2. “BCC” means the Building Code Commission;

  3. “Chair” means the Chair of the BCC;

  4. “Deputy Minister” means the Deputy Minister of Municipal Affairs and Housing;

  5. “FIPPA” means the Freedom of Information and Protection of Privacy Act;

  6. “MBC” means Management Board of Cabinet;

  7. “Minister” means the Minister of Municipal Affairs and Housing;

  8. “Ministry” means the Ministry of Municipal Affairs and Housing;

  9. "MOU" means this Memorandum of Understanding;

  10. “PSOA” means Public Service of Ontario Act, 2006; and

  11. “TB” means Treasury Board.

1.02 Purpose of Memorandum of Understanding

  1. The purpose of this MOU is to clarify the mandate of the BCC and the accountability relationship between the Minister and the BCC, with respect to:

    1. The respective roles of the Minister, the Deputy Minister, the BCC and the Chair of the Building Code Commission;

    2. Operational, financial, staffing and administrative arrangements;

    3. Business and financial planning, and associated reporting requirements;

    4. Audit requirements and arrangements;

    5. Applicability of legislation, directives, policies and guidelines;

    6. Creation, collection, maintenance and disposal of records; and

    7. Agency status.

  2. This MOU and the legislation governing the BCC must be used in conjunction to determine how the BCC should govern itself. This MOU does not affect, modify, limit or interfere with the responsibilities of any of its parties under law. In the event of any conflict between this MOU and any law, the law prevails.

1.03 Agency’s Legislative Authority and Mandate

  1. The legislative authority of the BCC is set out in sections 23 and 24 of the Act.

  2. The mandate of the BCC is to resolve the following disputes:

    1. between an applicant for a permit, a holder of a permit or a person to whom an order has been given and the chief building official, registered code agency or an inspector concerning the sufficiency of compliance with the technical requirements of the Building Code;

    2. between an applicant for a permit and the chief building official concerning whether the official complied with subsection 8 (2.2) or (2.3) of the Act, or;

    3. between the holder of a permit and the chief building official, a registered code agency or an inspector concerning whether the requirements of subsection 10.2 (2) of the Act have been met.

1.04 Duration, Expiry, Renewal and Affirmation of Agreement

  1. This MOU becomes effective on the date of its signature by the parties.

  2. This MOU replaces the MOU dated December 18, 2009 and shall be in effect for five years from the date of the MOU.

  3. This MOU shall be renewed or revised on or before the day on which it expires, provided however, that this MOU shall continue to apply only for an additional six months after the expiry of this MOU.

  4. If a new Minister or Chair is appointed, the Minister and the Chair must affirm within six (6) months of their appointment, by letter to the Secretary of MBC that the MOU shall continue in force without a review or alternatively they may agree to amend the MOU.

  5. A full review of this MOU will be conducted prior to its expiry not more than five years following the date it came into effect, or immediately in the event of a change to BCC’s mandate, power or governance structure as a result of a change to the Act.

1.05 Agency Classification and Status

  1. The BCC is classified as an Adjudicative Agency under the Establishment and Accountability Directive, 2010. The BCC was classified as an Adjudicative Agency when the first Agency Establishment and Accountability Directive was approved by TB/MBC on February 1, 2000. This classification continues under the new Agency Establishment and Accountability Directive 2010 which came into effect on January 26, 2010.

  2. The BCC is designated as a public body and a Commission public body under the PSOA.

  3. The BCC is liable to pay HST.

2. GUIDING PRINCIPLES

2.01 General

The parties agree to the following principles:

  1. The Minister acknowledges that the BCC is a statutory entity which exercises powers and performs duties in accordance with its mandate under the Act. The BCC’s adjudicative decisions must be made, and be seen by the public to be made, independently and impartially.

  2. The Minister acknowledges that the BCC operates at Aarm=s length@ from the Government of Ontario.

  3. The Chair and the BCC acknowledge that accountability is a fundamental principle to be observed in the management, administration and operations of the BCC.

  4. The Chair and the BCC acknowledge that they are accountable to the government through the Minister. The BCC acknowledges that accountability to the government means accountability to the Minister through the Chair.

  5. As an agency of government, the BCC conducts itself according to the management principles of the Government of Ontario. These principles include ethical behaviour, prudent, efficient and lawful use of public resources, fairness and high quality services to the public, and openness and transparency to the extent allowed under the law.

  6. The BCC and the Ministry agree to avoid duplication of services wherever possible.

2.02 Consultation & Communications

The parties recognize that the timely exchange of information and consultation on the operations and administration of the BCC is essential to success for the Minister to meet his or her responsibilities for reporting and responding to the Legislative Assembly on the affairs of the BCC. The parties also recognize that is essential for the Chair to be kept informed of the government initiatives and broad policy directions that may affect the BCC’s mandate and functions. The parties therefore agree as follows:

  1. The Chair will keep the Minister advised of planned events and issues that concern, or can reasonably be expected to concern, the Minister in the exercise of his or her responsibilities;

  2. The Minister will consult with the Chair, as appropriate on broad government policy initiatives or legislation being considered by the government that may impact on the BCC’s mandate or functions;

  3. The Minister and the Chair will meet on an as needed basis to discuss issues relating to the fulfillment of the BCC=s mandate; and

  4. The Deputy Minister and the Chair will meet on an as needed basis to discuss issues relating to the efficient operations of the BCC and the provision of services by the Ministry to the BCC.

3. THE ACCOUNTABILITY RELATIONSHIP

3.01 General

The accountability of the parties is as follows:

  1. The Minister is accountable to the Legislature for the BCC=s fulfillment of its mandate, its compliance with government policies and for reporting to the Legislature on the BCC=s affairs.

  2. The Minister is accountable to the Cabinet for the performance of the BCC and its compliance with government’s operational policies and broad policy directions.

  3. The Minister is responsible for representing the BCC in the Cabinet and its committees, the Legislative Assembly and before committees of the Legislature.

  4. The Chair is accountable to the Minister for the performance of the BCC in fulfilling its mandate and for carrying out the roles and responsibilities assigned to the Chair by the BCA, this MOU, and the applicable TB/MBC and Ministry of Finance directives, policies and guidelines listed in Schedule “3” to this MOU.

  5. The Deputy Minister is accountable to the Minister for the performance of the Ministry in providing administrative support (including staffing and funding) to the BCC and for carrying out the roles and responsibilities assigned to him or her by the Minister, by TB/MBC directives, the applicable legislation and this MOU.

4. ROLES AND RESPONSIBILITIES

4.01 Role of the Minister

The Minister shall, as applicable:

  1. monitor the activities of the BCC to ensure that its mandate is being fulfilled and that it is in compliance with government policies;

  2. review, approve and present the estimates/recommended annual allocation for the BCC as part of the Ministry’s Business Plan;

  3. maintain communications with the BCC with respect to both relevant government policies and expectations of BCC members;

  4. ensure that proposed changes to the governing legislation/regulation are accompanied by a recommendation on the continued need for the BCC=s services and the appropriateness of its mandate;

  5. recommend appointments and reappointments in a timely manner and with due regard to transitional matters pursuant to the process for agency appointments established by legislation or by MBC;

  6. receive the BCC’s annual report and table it in the Legislative Assembly;

  7. review and approve the BCC’s business plan;

  8. submit the BCC’s business plan to the TB/MBC for review, as required;

  9. report and respond to the Legislature and Committees of the Legislature on the affairs of the BCC;

  10. report and respond to Cabinet on the BCC’s performance and compliance with the government’s operational policies and broad policy directions;

  11. develop, sign and maintain a current MOU between the Minister and the BCC;

  12. recommend the BCC’s MOU to TB/MBC for approval before it is signed by the parties;

  13. direct that a periodic review of the BCC be conducted and make subsequent recommendations to TB/MBC; and

  14. sign and submit to the Secretary of MBC an annual attestation indicating that the BCC is in compliance with the Agency Establishment and Accountability Directive, and provide documentation demonstrating compliance.

  15. The Minister is the institution head of the BCC for the purposes of FIPPA.

4.02 Role of the Chair

The Chair shall, as applicable:

  1. keep the Minister advised of issues or events that concern, or can reasonably be expected, to concern the Ministry in the exercise of the Minister’s responsibilities;

  2. provide leadership to the BCC;

  3. direct the affairs of the BCC within its mandate as defined by the Act and the approved business plan;

  4. develop and maintain a current MOU between the Minister and the BCC, and sign on behalf of the BCC;

  5. review and approve the BCC’s business plan and annual report and submit them to the Minister with the content and within the timelines established by the Agency Establishment and Accountability Directive;

  6. ensure that the BCC carries out the responsibilities assigned to it or its Chair under the Act;

  7. ensure that the members of the BCC are informed of their responsibilities under the rules of ethical conduct, including political activity, that govern the BCC;

  8. perform the duties of ethics executive for the BCC, and ensure that any conflict of interest matters are dealt with in accordance with the PSOA;

  9. ensure that members of the BCC are informed of the conflict of interest rules and are aware that they must declare any conflict of interest as the earliest opportunity; and record a declaration of conflict of interest, and, where appropriate, notify the Minister of the nature of the conflict;

  10. ensure that a process is in place for responding to and resolving complaints from the public and BCC clients;

  11. ensure that BCC members are aware of and comply with applicable TB/MBC and Ministry of Finance directives listed in Schedule 3 to this MOU;

  12. keep the Minister informed of upcoming appointment vacancies and provide recommendations for appointments and/or reappointments to the BCC;

  13. ensure that public funds are used for their intended purpose and in accordance with applicable legislation, regulations, directives and principles of integrity and honesty, and ensuring value for money;

  14. attend and/or make presentations before Cabinet or committees of Cabinet or the Legislature on matters concerning the affairs of the BCC, when requested to do so; and

  15. ensure the development of an effective performance measurement and management system for assessing the BCC’s performance.

4.03 Role of the Deputy Minister

The Deputy Minister shall, as applicable:

  1. advise the Minister and the BCC on the requirements of TB/MBC and Ministry of Finance directives affecting BCC;

  2. advise the Minister on the operation of the BCC or its transfer, consolidation or elimination;

  3. advise the Minister on meeting assigned ministerial responsibility with respect to the BCC;

  4. undertake and cooperate with any review of the BCC directed by the Minister or TB/MBC;

  5. monitor BCC on behalf of the Minister, to assess whether or not the BCC is fulfilling its legislative mandate in concert with approved government policies; and identify any need for corrective action and recommend ways to resolve any issues that are identified;

  6. provide a framework for assessing whether the BCC is fulfilling its mandate and whether its business planning and goals are developed in concert with approved government policies;

  7. assist in the development and maintenance of a current MOU between the Minister and the BCC, as directed by the Minister;

  8. ensure that the Ministry is providing the administrative support, financial and other services as set out in this MOU and in Schedule 1 appended thereto;

  9. meet with the Chair, as needed or as directed by the Minister;

  10. consult with the Chair, as required, on matters of mutual importance to the BCC and the Ministry, such as the services provided by the Ministry to the BCC, Ministry policies, and TB/MBC directives;

  11. (k)inform the BCC of the policies of the Ministry and government that apply to the BCC, including financial, administrative, human resources. French language services, freedom of information, workplace harassment and equal opportunity policies; and

  12. attest to the TB/MBC as required to the BMEC’s compliance with the mandatory accountability requirements set out in the AEAD.

4.04 Delegation

  1. The Deputy Minister may, in accordance with the PSOA and applicable government directives, delegate any of the powers and duties assigned to him or her by law.

4.05 Periodic Reviews

  1. The BCC may be subject to periodic reviews at the discretion and direction of TB/MBC or the Minister. The reviews may cover such agency matters as are determined by TB/MBC or the Minister, and may include the mandate, powers, governance structure and/or operations of the Board.

  2. The Minister will consult the Chair as appropriate during such reviews.

  3. The Chair and BMEC will co-operate in any review.

5. BUSINESS PLAN AND PERFORMANCE MEASUREMENT

5.01 Business Plans and Annual Reports

  1. The Chair shall prepare a business plan including a risk management plan and an annual report containing the content specified in the Agency Establishment and Accountability Directive, and provide these plans to the Minister, who shall submit them to TB/MBC.

  2. The Deputy Minister will ensure that the BCC is furnished with the Ministry=s annual report and business and strategic plans.

  3. The Chair of the BCC shall ensure that the BCC implements a system of performance measures and reporting, and that the system includes commitments to attaining specific performance goals through specific steps within specified time frames.

  4. The Deputy Minister shall assist the BCC in the development and implementation of its system of performance measures as needed.

  5. Results from the Performance Measures Plan will be reported and reviewed by all of the parties annually, and the BCC shall, by June 30 during the second and subsequent years of the term of this Agreement, provide to the Minister a Performance Measures Report which reports on the performance measures achieved by the Agency during the previous year, and explains significant variances between actual and planned results or performance targets.

6. ADMINISTRATIVE SUPPORT

6.01 General

  1. The BCC receives all of its services from Ministry employees as set out in Schedule “1” to this MOU.

  2. The Deputy Minister is responsible for providing the BCC with the administrative support services listed in Schedule A1" to this MOU.

  3. Schedule “1” may be reviewed at any time at the request of either party.

  4. The Deputy Minister shall ensure that the support or services provided to the BCC are of the same quality as those provided to the Ministry’s own divisions and branches.

  5. The Chair will ensure that the BCC operates in accordance with all applicable TB/MBC and Ministry of Finance directives (including the Agency Establishment and Accountability Directive and the Procurement Directive), unless specifically exempted, as well as applicable Ministry financial and administrative policies and procedures.

7. FINANCIAL ARRANGEMENTS

7.01 Financial Arrangements

  1. The BCC is funded out of the Consolidated Revenue Fund pursuant to an appropriation authorized by the Legislature, unless otherwise provided.

  2. Recovered costs and other revenues, if any, are paid, as received, to the Consolidated Revenue Fund and may not be applied to administrative expenditures of the BCC unless otherwise provided by law.

  3. Financial arrangements are subject to amendment by such revenue policy directives as the TB/MBC may issue, and financial arrangements may also be changed by amendment to the BCC=s constituting instrument.

  4. Financial procedures of the BCC will comply with the relevant TB/MBC and Ministry of Finance directives and guidelines, and with the government’s financial and administrative policies and procedures.

  5. Responsibility for the maintenance of documentation and information to support expenditures is assigned to the Secretary of the BCC as outlined in the Ministry’s accounting policy and procedures.

8. AUDIT ARRANGEMENTS

8.01 Audit Arrangements

  1. The agency is subject to periodic review and value-for-money audit by the Auditor General of Ontario under the Auditor General Act or by the Ontario Internal Audit Division.

  2. The Ontario Internal Audit Division may also carry out an internal audit, if approved to do so by the Ministry’s Audit Committee or by the Corporate Audit Committee.

  3. Regardless of any annual external audit, the Minister may direct that the agency be audited.

  4. The agency will promptly provide a copy of every report from an audit to the Minister and the Minister of Finance. The agency will also provide a copy of its response to the audit report and any recommendations therein. The agency will advise the Minister annually on any outstanding audit recommendations.

  5. The Chair may request an external audit of the financial transactions or management controls of the agency at the agency’s expense.

9. ADMINISTRATIVE ARRANGEMENTS

9.01 General

  1. The Chair and the BCC will develop procedures and will operate the BCC in accordance with all administrative policies established and specified in TB/MBC directives as referred to in Schedule 1 of this MOU.

  2. The full range of financial and administrative support services to be provided by the Ministry to the BCC is outlined in Schedule A1" to this MOU.

  3. The Chair will, at the request of the Minister or the Deputy Minister, supply specific data and other information which may be required from time to time for the purposes of Ministry administration.

9.02 Legal Services

  1. Legal services to the BCC are provided by the Ministry of the Attorney General in accordance with Schedule 1 of this MOU.

  2. Legal services are to be provided in accordance with the Ministry of the Attorney General’s Corporate Operating Policy on Acquiring and Using Legal Services.

10. STAFFING AND APPOINTMENTS

10.01 General

The BCC is also governed by:

  1. the policies and procedures of the Public Service Commission;

  2. the human resources policies and procedures of the Ministry;

  3. the corporate financial and administrative policies and procedures of the Ministry;

  4. applicable collective agreement provisions; and

  5. any other applicable legislation or regulations.

10.02 Appointments

  1. The Chair is designated as chair of the BCC by the Lieutenant Governor in Council pursuant to section 23(2) of the Act, and under this section one or more members of the BCC may also be designated Vice-Chairs of the Agency.

  2. Where the Act expressly permits the delegation of particular functions or responsibilities, the Chair may delegate such functions or responsibilities to members of the BCC as he or she considers appropriate.

  3. The members of the BCC are appointed by the Lieutenant Governor in Council pursuant to section 23(1) of the Act.

11. IMMUNITY AND INSURANCE

11.01 Immunity

  1. Section 31 of the Act provides that no proceeding shall be commenced against the members of the BCC for any act done in good faith in the execution or intended execution of any power or duty under the Act or for any alleged neglect or default in the execution in good faith of that power or duty.

11.02 Insurance

  1. The BCC and the members of the BCC are covered under the Province’s Protection Program for coverage associated with third party liability, property damage, personal damage, personal injury (libel, slander) and advertising injury.

 

SIGNED AT TORONTO this ____ day of _____________, 2011.
[Original dated 29 March 2011 by Minister]

MINISTER OF MUNICIPAL AFFAIRS AND HOUSING

[Original signed by Minister]
__________________________________
The Honourable Rick Bartolucci
Minister of Municipal Affairs and Housing

  

 

Signed at______________ this______day of_____________, 2011.
[Original dated at Thornhill 25 March 2011 by Chair]

BUILDING CODE COMMISSION

[Original signed by Chair]
__________________________________
Antonio Chow,
Chair, Building Code Commission