Vol. 133, No. 46 — November 13, 1999

Gasoline Excise Tax Regulations

Statutory Authority

Excise Tax Act

Sponsoring Agency

Canada Customs and Revenue Agency

REGULATORY IMPACT ANALYSIS STATEMENT

Description

At the time the Goods and Services Tax (GST) was implemented, significant changes were made to parts of the Excise Tax Act which dealt with the rebate of excise tax on gasoline. As a result of those amendments, the eligibility for rebate was narrowed to only three classes of persons named in the legislation, while the rebate for aviation gasoline was eliminated for purchases on and after January 1, 1991. As well, the legislative provisions dealing with bulk permits were repealed.

As a result, and in connection with the Agency-wide (formerly known as the Department of National Revenue) regulatory review that was completed in April 1993, the Gasoline and Aviation Gasoline Excise Tax Application Regulations and the Gasoline and Aviation Excise Tax Regulations (the "regulations") were found to be in need of significant revision, so that their provisions would reflect current legislation and administrative practice.

The revision of both these regulations into a new set of regulations will greatly simplify their administration and enforcement, and make them considerably easier for the public to understand. They will not result in any policy changes, since the modifications made are strictly technical in nature. The elimination of the requirement of an individual applicant to provide their social insurance number on an application for rebate has already been implemented on an administrative basis, in keeping with the Government's general policy of restricting the use of this form of identification and as a result of recommendation made in the past by the Privacy Commissioner.

Alternatives

The only alternative would be to leave these regulations untouched, but this could lead to confusion on the part of the persons who have been or still are eligible for excise tax rebates on gasoline.

Benefits and Costs

The chief benefit will be the streamlining of these regulations to conform with current law and administrative practice, which is in line with the recommendation of the regulatory review exercise within the Agency. However, there will be no change in costs to Canadian industry.

No new administrative costs will be assumed by the Agency as a result of the revised Regulations.

Consultation

There were no outside consultations carried out, because no policy changes are being made as a result of these revisions. Similarly the benefits of prepublication do not warrant the costs involved.

Early notice of this initiative was provided for in the 1997 Federal Regulatory Plan, under Proposal Nos. RC/94-32-L and RC/94-33L.

Compliance and Enforcement

There are no compliance and enforcement issues raised by the revisions. The existing administrative framework within the Canada Customs and Revenue Agency will be sufficient for the purposes of enforcing the provisions of these Regulations and the relevant sections of the Excise Tax Act.

Contact

Mr. Bill Gray, Excise Duties and Taxes Directorate, Canada Customs and Revenue Agency, 320 Queen Street, Place de Ville, Tower A, 20th Floor, Ottawa, Ontario K1A 0L5, (613) 952-0178.

PROPOSED REGULATORY TEXT

Notice is hereby given that the Governor in Council, pursuant to section 68.16 (see footnote a) of the Excise Tax Act, proposes to make the annexed Gasoline Excise Tax Regulations.

Any interested persons may make representations concerning the proposed Regulations within thirty (30) days after the date of publication of this notice. All such representations must be addressed to Mr. William B. Gray, Excise Duties and Taxes Directorate, 20th Floor, Tower A, Place de Ville, 320 Queen St., Ottawa, Ontario, K1A 0L5 and cite the Canada Gazette, Part I, and the date of this notice.

Ottawa, November 2, 1999

MARC O'SULLIVAN
Assistant Clerk of the Privy Council

GASOLINE EXCISE TAX REGULATIONS

INTERPRETATION

1. In these Regulations, "Act" means the Excise Tax Act.

MANNER OF CALCULATING AMOUNT

2. (1) For the purposes of paragraph 68.16(6)(a) of the Act, if a person has purchased gasoline in respect of which the excise tax imposed under Part III of the Act has been paid and the person has recovered any of the cost of the gasoline from a person described in any of paragraphs 68.16(1)(g.1) to (g.3) of the Act, the amount that shall be paid under subsection 68.16(1) of the Act in respect of the purchase shall be calculated by multiplying $0.015 by the number of litres of gasoline purchased at a price that includes the excise tax.

(2) Despite subsection (1), if the gasoline was used in an automobile or truck, the amount that shall be paid under subsection 68.16(1) of the Act in respect of the purchase may, at the option of the person who is deemed by section 3 to be the purchaser of the gasoline, be calculated by multiplying $0.0015 by the number of kilometres driven in Canada by or on behalf of the person.

DETERMINATION OF DEEMED PURCHASER

3. (1) For the purposes of paragraph 68.16(6)(b) of the Act, if a person has purchased gasoline in respect of which the excise tax imposed under Part III of the Act has been paid and the person has recovered any of the cost of the gasoline from a person described in any of paragraphs 68.16(1)(g.1) to (g.3) of the Act, the person who purchased the gasoline is deemed to be the purchaser of the gasoline.

(2) Despite subsection (1), if the cost was recovered as a reimbursement from a person referred to in paragraph 68.16(1)(g.1) or (g.2) of the Act and the reimbursement was made because the person was the employer of the person who purchased the gasoline, the reimburser is deemed to be the purchaser of the gasoline.

REPEAL

4. The Gasoline and Aviation Gasoline Excise Tax Regulations (see footnote 1) are repealed.

COMING INTO FORCE

5. These Regulations come into force on the day they are registered.

[46-1-o]

Rules Amending the Competition Tribunal Rules

Statutory Authority

Competition Tribunal Act

Sponsoring Agency

Competition Tribunal

REGULATORY IMPACT ANALYSIS STATEMENT

Description

The Competition Tribunal Act provides that the Tribunal may, with the approval of the Governor in Council, make general rules for regulating its practice and procedure. A comprehensive set of rules was enacted on June 25, 1987, as SOR/87-373. On April 14, 1994, those rules were replaced with revised rules (SOR/94-290), which were subsequently revised and replaced by new rules (SOR/96-307) that came into force on June 20, 1996.

The amendments to the 1996 Rules are set out below. They seek to ensure that the Rules are harmonized with the amendments contained in Bill C-20, An Act to amend the Competition Act and to make consequential and related amendments to other Acts. Among other things, the annexed Rules amend definitions to take the new provisions of the Act into account, and contain new rules concerning Tribunal decisions and orders under the deceptive marketing practices provisions of the Act (Part VII.1), providing notably for new temporary orders and the power of the Tribunal to rescind or vary an order where the circumstances that led to the making of the order have changed. Finally, the annexed Rules contain a separate code of procedure for the registration of consent orders entered into by the Commissioner of Competition and persons against whom the orders are sought. This new alternative procedure for registering consent orders with the Tribunal allows parties to agree upon a suitable remedy for violations of the deceptive marketing practice provisions without having to call upon the adjudicative functions of the Tribunal.

Among other things, the amendments to the Competition Tribunal Rules take into account the unique aspects of the new procedure for registering consent orders with the Tribunal (the procedure is set out in the deceptive marketing practices provisions) and the need to enable parties to achieve settlements promptly and more informally.

The amendments will come into force upon their publication in the Canada Gazette, Part II.

Alternatives

The status quo was considered and rejected, because it is essential that the Competition Tribunal harmonize its rules to comply with the amendments to the Competition Act that came into effect with the passage of Bill C-20. It is essential to amend the Competition Tribunal Rules in order to ensure that procedures specially adapted to the new provisions of the Competition Act are implemented and that the procedural requirements of those new provisions are adequately disclosed.

Benefits and Costs

The amendments establish a separate code of procedure for the registration of consent orders entered into by the Commissioner of Competition and persons against whom the orders are sought. The new procedure for registering such orders with the Tribunal will make it possible to settle cases involving violations of the Act's deceptive marketing practices provisions (Part VII.1) informally and expeditiously. It is an innovative solution that should reduce costs associated with lengthy and complex litigation. Persons subject to such orders will enjoy the benefits discussed above, and the public interest will be better served by an efficient and effective procedure for the registration of consent orders.

Consultation

Upon undertaking its review of general rules of practice and procedure, the Tribunal created a consultative committee to suggest and formulate improvements. The committee comprises Tribunal members, members of the Competition Law Section of the Canadian Bar Association, and the General Counsel of the Department of Justice's Competition and Consumer Law Section, who represents the Commissioner of Competition, the official who has, until now, introduced all applications submitted to the Tribunal.

The new Rules do not incorporate all the recommendations made during the meetings of the committee. Rather, they incorporate only the simple, more administrative changes that are essential to harmonize the Rules with the amendments to the Competition Act. Subsequent consultations will be held and more detailed consideration will be given to the other proposals.

Compliance and Enforcement

Pursuant to section 8 of the Competition Tribunal Act, the Tribunal has the powers, rights and privileges of a superior court of record with respect to the enforcement of its orders and other matters necessary and proper for the due exercise of its jurisdiction.

Contact

Josée Turcotte, Legal Advisor, Competition Tribunal, 600-90 Sparks Street, Ottawa, Ontario K1P 5B4, (613) 954-0452.

PROPOSED REGULATORY TEXT

Notice is hereby given, pursuant to paragraph 17(a) of the Competition Tribunal Act (see footnote b), that the Competition Tribunal, pursuant to subsection 16(1) of that Act, proposes to make the annexed Rules Amending the Competition Tribunal Rules.

Interested persons may make representations with respect to the proposed Rules within 60 days after the date of publication of this notice. All such representations must cite the Canada Gazette, Part I, and the date of publication of this notice and be addressed to the Registrar of the Competition Tribunal, 90 Sparks Street, Suite 600, Ottawa, Ontario K1P 5B4.

Ottawa, September 9, 1999

MONIQUE SÉGUIN
Registrar of the Competition Tribunal

RULES AMENDING THE COMPETITION TRIBUNAL RULES

AMENDMENTS

1. (1) The definition "Director" in section 2 of the Competition Tribunal Rules(see footnote 2) is repealed.

(2) The definitions "application" and "consent order"(see footnote 3) in section 2 of the Rules are replaced by the following:

"application" means an application made to the Tribunal under Part VII.1 or VIII of the Act; (demande)

"consent order" means an order made under section 74.12 or 105 of the Act but does not include an order directing registration of a specialization agreement under subsection 86(1) of the Act; (ordonnance par consentement)

(3) Section 2 of the Rules is amended by adding the following in alphabetical order:

"Commissioner" means the Commissioner of Competition appointed under subsection 7(1) of the Act; (commissaire)

2. (1) The portion of subsection 23(1) of the Rules before paragraph (a) is replaced by the following:

23. (1) An application by the Commissioner for an interim order under subsection 100(1) or section 104 of the Act or for a temporary order under section 74.11 of the Act shall be made by filing, in addition to a notice of application that satisfies the requirements of section 3,

(2) Paragraph 23(1)(b) of the Rules is replaced by the following:

(b) a memorandum summarizing the arguments that the Commissioner intends to make at the hearing of the application for an interim order or a temporary order and providing the citations of any laws and legal precedents that the Commissioner intends to rely on.

(3) Subsection 23(2) of the Rules is replaced by the following:

(2) In respect of applications under subsection 100(1) and section 104 of the Act, and except in the case of an ex parte application, section 4 applies to the service and filing of the notice of application, affidavit and memorandum referred to in subsection (1), with any modifications that the circumstances require.

(3) In respect of applications under section 74.11 of the Act, and except in the case of an ex parte application filed under subsection 74.11(4) of the Act, subsection 74.11(3) of the Act applies to the service and filing of the notice of application, affidavit and memorandum referred to in subsection (1), with any modifications that the circumstances require.

3. Section 49 of the Rules is replaced by the following:

49. Unless the Tribunal orders otherwise, the provisions of these Rules that relate to an application for an order apply to an application made under section 74.13 or 106 of the Act to rescind or vary an order, with any modifications that the circumstances require.

4. Subsection 76(1) (see footnote 4) of the Rules is replaced by the following:

76. (1) Subject to subsection (2), sections 77 and 78 to 96 apply to applications for consent orders made under section 105 of the Act, and section 77.1 applies to those made under section 74.12 of the Act.

5. The Rules are amended by adding the following after section 77:

77.1 An application for a consent order referred to in section 74.12 of the Act shall be made by filing a consent form that

(a) is signed by the parties; and

(b) sets out

6. The Rules are amended by replacing the word "Director" with the word "Commissioner" wherever it occurs in the following provisions:

(a) the definition "party" in section 2;

(b) the heading before section 3 and sections 3 and 4;

(c) paragraph 5(1)(a);

(d) section 6;

(e) subsection 7(1);

(f) subsection 8(3);

(g) section 9;

(h) subsection 10(1);

(i) subsection 11(1);

(j) section 18;

(k) subsection 25(1);

(l) paragraph 53(1)(d);

(m) section 85;

(n) section 87; and

(o) item 4 of Part A of the form set out in the schedule.

[46-1-o]

Order Adding Toxic Substances to Schedule 1 to the Canadian Environmental Protection Act, 1999

Statutory Authority

Canadian Environmental Protection Act, 1999

Sponsoring Department

Department of the Environment

PROPOSED REGULATORY TEXT

Notice is hereby given, pursuant to subsection 332(1) of the Canadian Environmental Protection Act, 1999(see footnote c), that the Governor in Council proposes, pursuant to subsection 90(1) of that Act, to make the annexed Order Adding Toxic Substances to Schedule 1 to the Canadian Environmental Protection Act, 1999.

Any person may, within 60 days after the publication of this notice, file with the Minister of the Environment comments with respect to the proposed Order or a notice of objection requesting that a board of review be established under section 333 of the Canadian Environmental Protection Act, 1999(see footnote d) and stating the reasons for the objection. All comments and notices must cite the Canada Gazette, Part I, and the date of publication of this notice, and be sent to Vic Shantora, Director General, Toxics Pollution Prevention Directorate, Environnmental Protection Service, Department of the Environment, Ottawa, Ontario K1A 0H3.

The comments and reasons for the objection should stipulate those parts thereof that should not be disclosed pursuant to the Access to Information Act and, in particular, pursuant to sections 19 and 20 of that Act, the reason why those parts should not be disclosed and the period during which they should remain undisclosed. The comments and reasons for the objection should also stipulate those parts thereof for which there is consent to disclosure pursuant to the Access to Information Act.

Ottawa, November 4, 1999

MARC O'SULLIVAN
Assistant Clerk of the Privy Council

ORDER ADDING TOXIC SUBSTANCES TO SCHEDULE 1 TO THE CANADIAN ENVIRONMENTAL PROTECTION ACT, 1999

AMENDMENT

1. Schedule 1 to the Canadian Environmental Protection Act, 1999(see footnote 5) is amended by adding the following after item 26:

27. (4-Chlorophenyl)cyclopropylmethanone, O-[(4-nitro-phenyl)methyl]oxime that has the molecular formula C₁₇H₁₅ ClN₂O₃

28. Inorganic arsenic compounds

29. Benzidine

30. Bis(2-ethylhexyl)phthalate

31. Inorganic cadmium compounds

32. Chlorinated wastewater effluents

33. Hexavalent chromium compounds

34. Creosote-impregnated waste materials from creosote-contaminated sites

35. 3,3'-Dichlorobenzidine

36. 1,2-Dichloroethane

37. Dichloromethane

38. Effluents from pulp mills using bleaching

39. Hexachlorobenzene

40. Inorganic fluorides

41. Refractory ceramic fibre

42. Oxidic, sulphidic and soluble inorganic nickel compounds

43. Polycyclic aromatic hydrocarbons

44. Tetrachloroethylene

45. Trichloroethylene

46. Tributyltetradecylphosphonium chloride that has the molecular formula C₂₆H₅₆P ⋅ C1

COMING INTO FORCE

2. This Order comes into force on the day on which subsection 90(1) of the Canadian Environmental Protection Act, 1999, chapter 33 of the Statutes of Canada, 1999, comes into force.

[46-1-o]

Regulations Amending the Motor Vehicle Safety Regulations (Low-speed Vehicles)

Statutory Authority

Motor Vehicle Safety Act

Sponsoring Department

Department of Transport

REGULATORY IMPACT ANALYSIS STATEMENT

Description

This amendment proposes to introduce a new class of vehicle, namely low-speed vehicles (LSVs), and introduces their minimum safety requirements under Motor Vehicle Safety Standard (MVSS) 500. This amendment proposes that LSVs be defined as four-wheeled electric vehicles which have a minimum attainable speed of 32 km/h and a maximum top speed of 40 km/h. To ensure that LSVs remain distinct from other vehicle classes, the definitions of passenger cars and multipurpose passenger vehicles will also be amended. In addition, sections 6 and 12 of the Motor Vehicle Safety Regulations (MVSRs) specifying the labelling requirements will be amended in accordance with the new LSV vehicle class.

MVSS 500 will incorporate by reference Technical Standards Document (TSD) Number 500, which specifies the minimum safety requirements that LSVs will be required to meet. As a minimum, LSVs will be required to be equipped with headlamps, taillamps, turn signals, stop lamps, reflex reflectors, an exterior mirror, a parking brake, a windshield, a 17-digit vehicle identification number (VIN) and seat belts. The VIN must meet the requirements of section 115 of the MVSRs and the seat belts installed on LSVs must meet the requirements of section 209 of the MVSRs.

Background

While the present MVSRs have designated classes for two- and three-wheeled vehicles which operate at reduced speeds, there is no equivalent class for low-speed, four-wheeled vehicles. This amendment proposes to introduce a new vehicle class, namely low-speed vehicles, which will be required to have safety features commensurate with their top speed. Currently, these vehicles fall under the passenger car class and therefore are required to comply with the applicable passenger car motor vehicle safety standards. Passenger car standards would not be applicable to these new small, low-speed vehicles.

Vehicles which fall under this LSV class designation are new to the Canadian market; however, they have been available in other countries, in particular the United States (U.S.). Similar-sized vehicles have been used in Canada for off-road transportation, such as golf-cart and groundskeeping vehicles. These vehicles differ from LSVs in that they have a top speed of less than 32 km/h and usually do not incorporate any safety features due to their limited speed and their use. The speed range of LSVs has been specifically chosen to avoid including these off-road vehicles and also to ensure that vehicles that have a top speed in excess of 40 km/h fall under the passenger car class.

The Department of Transport has purposely harmonized the requirements of LSVs with those of the United States National Highway Traffic Safety Administration (NHTSA). The NHTSA issued a final rule in Docket NHTSA 98-3949, which was published in the Federal Register on June 17, 1998 (Vol. 63, No. 116, p. 33194). The Department has chosen to use a Technical Standards Document (TSD) to incorporate the NHTSA requirements. The general requirements governing a TSD are set out in section 12 of the Motor Vehicle Safety Act, which allows for the use of a TSD to incorporate an enactment by a foreign government.

Aiming to continue to improve the safety of LSVs, the Department has also committed to work with the NHTSA in developing new performance-based safety requirements for LSVs. These planned performance-based standards will, as a minimum, require performance testing of the lighting, seat belts and braking systems of LSVs.

While this regulation will allow LSVs to be sold in Canada, it will remain incumbent upon the provinces and the territories to develop requirements as to their use and licensing. As LSVs will not have the same power availability or the same level of safety as motor vehicles that are designed to meet the crashworthiness requirements of the MVSRs, provinces may decide to restrict their roadway access or limit their use.

Due to the smaller size and the reduced mass of LSVs, the Department expects that there is a potential for significant reduction in energy consumption when an LSV is used in lieu of the passenger car. In addition, the Canadian definition of LSVs will require that they be electrically driven, effectively providing a zero-emission vehicle with significantly reduced noise levels in comparison to a passenger car.

Effective Date

It is proposed that this amendment comes into force on the day on which it is registered.

Alternatives

The alternative of adding LSVs to the passenger car definition has been rejected. LSVs are significantly different from passenger cars in that they have a top speed of 40 km/h. Leaving LSVs in the passenger car class would effectively prevent their sale and availability in Canada. Extensive changes would be required to make LSVs comply to passenger car standards. These changes would be impractical and would be neither economically nor technically feasible, taking away the uniqueness of these vehicles.

The alternative of not amending the MVSRs to introduce this new class of vehicle has been considered and rejected because it would not permit benefits of LSVs to be realized and would not be an appropriate response to requests from the public and industry for the introduction of these unique zero-emission urban vehicles.

The alternative of waiting for the NHTSA to complete the performance requirements and then harmonize with those requirements was considered and rejected. The development of the performance requirements is expected to be a lengthy process as extensive research will be required to develop new performance requirements and testing procedures appropriate to low-speed vehicles. Waiting until the performance requirements are finalized would result in a significant delay in the introduction of these energy-efficient vehicles.

Benefits and Costs

As LSVs are currently not available in Canada, there are no data available on their benefits and costs. However, when these vehicles are used to replace passenger cars, Canadians will benefit from a reduction in exhaust emissions and noise pollution. Bombardier Inc. (Bombardier) has conducted successful pilot programs in three regions of Quebec using a low-speed vehicle called the NV and has sold several thousand units in three U.S. states to date without any reported incidents.

This amendment also does not diminish or affect the sale of the golf cart type of vehicles which are not used on public roads and that have a maximum speed of less than 32 km/h. This amendment will, however, ensure that LSVs used on public roads are equipped with safety features including headlamps, taillamps, turn signals, stop lamps, reflex reflectors, an exterior mirror, a parking brake, a windshield and seat belts.

Consultation

On two occasions, in December 1998 and in April 1999, the Department wrote to vehicle manufacturers, provincial and territorial governments and interested associations, requesting comments.

The December 1998 letter requested comments on the potential use and licensing restrictions and enforcement issues related to LSVs. Attached to the letter was a copy of a report entitled Expected Road Travel Risks which summarized the expected risk for LSVs when used on roadways with larger vehicles. The letter went on to explain the reduction in congestion, and pollution and fuel conservation benefits of LSVs, while noting concern for the relative risk of occupant safety due to the LSV size and mass.

Comments on the departmental letter of December were mixed. Dynasty Motorcar Corporation, an importer of LSVs, commented that they urgently wanted regulations enacted allowing LSVs to be licensed in Canada. While Dynasty Motorcar Corporation noted the urgency with which the regulation should be enacted, they also expressed concerns that the provincial requirements of licensing, signage, insurance and enforcement need to be put into place.

Bombardier, a manufacturer of LSVs, in their letter noted the benefits of their LSV as being a zero-emission vehicle. They also noted that 50 percent of car trips are short distance and therefore an LSV would be a excellent substitute for a second or third family car. On the subject of road speed, Bombardier suggested that LSVs are not meant for high speed driving and possibly should not be allowed on public roads where the maximum speed is higher than 60 km/h.

The Canadian Vehicle Manufacturers' Association (CVMA) wrote expressing grave concern with any regulatory proposal which would allow for the operation on public roadways of vehicles which do not meet the safety requirements for light duty vehicles. It also noted that existing occupant protection standards have evolved from careful research and that further improvements of these standards is continually emphasized. In the summary of its letter, the CVMA again noted that it could not support the development of a new class of vehicles that did not meet these present MVSRs and exposes LSVs to potentially the same driving conditions as other vehicles.

The Canadian Automobile Association (CAA) responded, providing its assessment of LSVs which included an endorsement for LSVs' contribution to reducing emissions. The CAA listed a series of recommendations that should be considered before introducing LSVs' on Canadian roadways. The recommendations included the need: to collect data on the current on-road crash experience of LSVs in areas where they operate; to facilitate access and develop the road infrastructure requirements to support LSVs; to resolve several technical issues with using LSVs, including vision and noise concerns; to complete an evaluation of their apparent propensity for rollover; to restrict their use to certain roadways and to develop the appropriate signage for their use; and also to complete a comprehensive education program to ensure that all drivers are familiar with the operating characteristics of LSVs.

Responses to the December 1998 letter were received from all of the provinces and territories, with all noting several concerns with licensing and enforcement of LSVs. One province noted that it will not allow LSVs to be licensed and specifically noted a recent case involving two fatalities in a slow-moving vehicle collision. Other provinces noted that they may restrict LSVs to roads and streets having a maximum posted speed of 40 or 50 km/h and may restrict the hours and/or seasons of operation. One province noted that LSVs should be marked on the exterior so that they are readily identifiable. On the positive side, two provinces noted the advantages of the reduction in pollution when LSVs replace conventional vehicles.

In the April 1999 letter, the Department indicated its plan to initiate new regulations for LSVs which would harmonize with those of the NHTSA Federal Motor Vehicle Safety Standard 500. The Department also noted its intention to work with the NHTSA on the introduction of safety performance requirements for lights, seat belts and braking systems. Finally, the Department indicated that it would continue to discuss the registration and use of LSVs with the provincial and territorial governments.

Comments from four provinces, responding to the April 1999 letter, all repeated their concerns about the introduction of LSVs. One province noted that it does not expect to allow LSVs to be registered for use in its jurisdiction. Another province requested the Department to complete additional research before regulating LSVs and noted concern over the possibility of LSVs being illegally registered in its province, even if it should decide not to allow them. Concern was also expressed over potential problems that will arise with winter operation.

The provinces and territories were also informed about the forthcoming proposal of a low-speed vehicle classification at several meetings of the Drivers and Vehicles Standing Committee of the Canadian Council of Motor Transport Administrators (CCMTA) and at the CCMTA Board of Directors meeting this past May.

The Electric Vehicle Association of Canada (EVAC) wrote supporting the development of LSV regulations. The EVAC noted that the development of LSV regulations must be balanced with the public's requirements and expectations for occupant, pedestrian and environmental safety. The EVAC urged the Department to ensure that the compliance of LSVs is achieved by vehicles which provide clear and significant environmental benefits and which produce zero tailpipe emissions throughout the life of the vehicle.

This proposal will be subject to the normal consultation process through pre-publication in the Canada Gazette, Part I, and interested parties will have 60 days in which to respond. All comments will be taken into consideration in the preparation of the final amendment.

Compliance and Enforcement

Motor vehicle manufacturers and importers are responsible for ensuring that their products comply with the requirements of the Motor Vehicle Safety Regulations. The Department of Transport monitors the self-certification programs of manufacturers and importers by reviewing their test documentation, inspecting vehicles and testing vehicles obtained in the open market. When a defect is found, the manufacturer or importer must issue a notice of defect to owners and to the Minister of Transport. If a vehicle does not comply with a safety standard or if an importer does not fulfil the required conditions for importing vehicles, the manufacturer or importer is subject to prosecution and, if found guilty, may be fined as prescribed in the Motor Vehicle Safety Act.

Contact

Brian Jonah, Road Safety and Motor Vehicle Regulation Directorate, Department of Transport, 330 Sparks Street, Ottawa, Ontario K1A 0N5, (613) 998-4831 (Facsimile), JONAHB@tc.gc.ca (Electronic mail).

PROPOSED REGULATORY TEXT

Notice is hereby given, pursuant to subsection 11(3) of the Motor Vehicle Safety Act(see footnote e), that the Governor in Council, pursuant to section 5 and subsection 11(1) of that Act, proposes to make the annexed Regulations Amending the Motor Vehicle Safety Regulations (Low-speed Vehicles).

Interested persons may make representations with respect to the proposed Regulations to the Minister of Transport within 60 days after the date of publication of this notice. All such representations must cite the Canada Gazette, Part I, and the date of publication of this notice, and be sent to Brian Jonah, Road Safety and Motor Vehicle Regulation Directorate, Department of Transport, Place de Ville, Tower C, 330 Sparks Street, Ottawa, Ontario K1A 0N5.

The representations should stipulate those parts of the representations that should not be disclosed pursuant to the Access to Information Act and, in particular, pursuant to sections 19 and 20 of that Act, the reason why those parts should not be disclosed and the period during which those parts should remain undisclosed. The representations should also stipulate those parts of the representations for which there is no objection to disclosure pursuant to the Access to Information Act.

Ottawa, November 4, 1999

MARC O'SULLIVAN
Assistant Clerk of the Privy Council

REGULATIONS AMENDING THE MOTOR VEHICLE SAFETY REGULATIONS (LOW-SPEED VEHICLES)

AMENDMENTS

1. (1) The definitions "multipurpose passenger vehicle"(see footnote 6) and "passenger car"(see footnote 7) in subsection 2(1) of the Motor Vehicle Safety Regulations(see footnote 8) are replaced by the following:

"multipurpose passenger vehicle" means a vehicle having a designated seating capacity of 10 or less that is constructed either on a truck-chassis or with special features for occasional off-road operation, but does not include an air cushion vehicle, a golf-cart, an all-terrain vehicle, a low-speed vehicle, a passenger car, a truck or a vehicle imported temporarily for special purposes; (véhicule de tourisme à usages multiples)

"passenger car" means a vehicle having a designated seating capacity of 10 or less, but does not include an all-terrain vehicle, a competition vehicle, a low-speed vehicle, a multipurpose passenger vehicle, an antique reproduction vehicle, a motorcycle, a truck, a trailer or a vehicle imported temporarily for special purposes; (voiture de tourisme)

(2) The portion of the definition "motorcycle"(see footnote 9) in subsection 2(1) of the Regulations before paragraph (a) is replaced by the following:

"motorcycle" means a vehicle, other than a restricted-use motorcycle, a low-speed vehicle, a passenger car, a truck, a multipurpose passenger vehicle, a competition vehicle or a vehicle imported temporarily for special purposes, that

(3) Subsection 2(1) of the Regulations is amended by adding the following in alphabetical order:

"low-speed vehicle" means a vehicle, other than a truck, that is powered by an electric motor, is designed to travel on four wheels and has an attainable speed in 1.6 km of more than 32 km/h but not more than 40 km/h on a paved level surface; (véhicule à basse vitesse)

2. (1) The portion of paragraph 6(1)(e)(see footnote 10) of the Regulations before subparagraph (i) is replaced by the following:

(e) in the case of a passenger car, multipurpose passenger vehicle, low-speed vehicle, truck, bus, trailer, trailer converter dolly or motorcycle,

(2) Paragraph 6(1)(f) of the Regulations is amended by adding the following after subparagraph (x):

3. The portion of paragraph 12(8)(e) (see footnote 11) of the Regulations before subparagraph (i) is replaced by the following:

(e) in the case of a passenger car, truck, multipurpose passenger vehicle, low-speed vehicle, bus, trailer, trailer converter dolly or motorcycle,

4. Schedule III (see footnote 12) to the Regulations is replaced by the following:

SCHEDULE III

(Subsections 2(1), 4(1) and 5(2))

CANADA MOTOR VEHICLE SAFETY STANDARDS

Column I	Column II	Column III Classes of Vehicles
Item (CMVSS)	Description	Bus	Low-speed Vehicle	Motor- cycle	Restric- ted-use Motor- cycle
101	Location and Identifi- cation of Controls and Displays	X
102	Trans- mission Control Functions	X
103	Windshield Defrosting and Defogging	X
104	Windshield Wiping and Washing System	X
105	Hydraulic Brake Systems	X
106	Brake Hoses	X		X
108	Lighting System and Retro- reflective Devices	X		X	X
108.1	Alternative Require- ments for Headlamps	X		X
110	Tire Selection and Rims
111	Mirrors	X		X
112	Headlamp Conceal- ment Devices	X		X
113	Hood Latch System	X
114	Locking System
115	Vehicle Identifi- cation Number	X	X	X	X
116	Hydraulic Brake Fluids	X		X
118	Power- operated Windows, Power- operated Partitions and Power- operated Roof Panels
120	Tire Selection and Rims for Vehicles Other Than Passenger Cars	X		X
121	Air Brake Systems	X
122	Motorcycle Brake Systems			X
123	Controls and Displays - Motorcycles			X
124	Accelerator Control Systems	X
131	School Bus Pedestrian Safety Devices	X
135	Passenger Car Brake Systems
201	Occupant Protection	X
202	Head Restraints	X
203	Driver Impact Protection	X
204	Steering Column Rearward Displacement	X
205	Glazing Materials	X		X
206	Door Locks and Door Retention Components
207	Anchorage of Seats	X
208	Occupant Restraint Systems in Frontal Impact	X
209	Seat Belt Assemblies	X	X
210	Seat Belt Assembly Anchorages	X
210.1	Tether Anchorages for Child Restraints
212	Windshield Mounting	X
213.4	Built-in Child Restraint System and Built-in Booster Cushions	X
214	Side Door Strength	X
215	Bumpers
216	Roof Intrusion Protection	X
217	Bus Window Retention, Release and Emergency Exits	X
219	Windshield Zone Intrusion	X
220	Rollover Protection	X
221	School Bus Body Joint Strength	X
222	School Bus Passenger Seating and Crash Protection	X
301	Fuel System Integrity	X
301.1	LPG Fuel System Integrity	X
301.2	CNG Fuel System Integrity	X
302	Flammability	X
500	Low-speed Vehicles		X
901	Axles
903	C-dolly Specifications
904	C-dolly Hitch Requirements
1106	Noise Emissions	X		X
1201	Snowmobile Standards
1207	Tie Down
1208	Tie Down
1209	Snowmobile Cutters

Column I	Column II	Column III Classes of Vehicles
Item (CMVSS)	Description	Multi- pur- pose Passen- ger Vehicle	Passen- ger Car	Snow- mobile	Snow- mobile Cutter
101	Location and Identifi- cation of Controls and Displays	X	X
102	Trans- mission Control Functions	X	X
103	Windshield Defrosting and Defogging	X	X
104	Windshield Wiping and Washing System	X	X
105	Hydraulic Brake Systems	X	X
106	Brake Hoses	X	X
108	Lighting System and Retro- reflective Devices	X	X
108.1	Alternative Require- ments for Headlamps	X	X
110	Tire Selection and Rims		X
111	Mirrors	X	X
112	Headlamp Conceal- ment Devices	X	X
113	Hood Latch System	X	X
114	Locking System	X	X
115	Vehicle Identifi- cation Number	X	X	X
116	Hydraulic Brake Fluids	X	X
118	Power- operated Windows, Power- operated Partitions and Power- operated Roof Panels	X	X
120	Tire Selection and Rims for Vehicles Other Than Passenger Cars	X
121	Air Brake Systems
122	Motorcycle Brake Systems
123	Controls and Displays - Motorcycles
124	Accelerator Control Systems	X	X
131	School Bus Pedestrian Safety Devices
135	Passenger Car Brake Systems		X
201	Occupant Protection	X	X
202	Head Restraints	X	X
203	Driver Impact Protection	X	X
204	Steering Column Rearward Displacement	X	X
205	Glazing Materials	X	X
206	Door Locks and Door Retention Components	X	X
207	Anchorage of Seats	X	X
208	Occupant Restraint Systems in Frontal Impact	X	X
209	Seat Belt Assemblies	X	X
210	Seat Belt Assembly Anchorages	X	X
210.1	Tether Anchorages for Child Restraints		X
212	Windshield Mounting	X	X
213.4	Built-in Child Restraint System and Built-in Booster Cushions	X	X
214	Side Door Strength	X	X
215	Bumpers		X
216	Roof Intrusion Protection	X	X
217	Bus Window Retention, Release and Emergency Exits
219	Windshield Zone Intrusion	X	X
220	Rollover Protection
221	School Bus Body Joint Strength
222	School Bus Passenger Seating and Crash Protection
301	Fuel System Integrity	X	X
301.1	LPG Fuel System Integrity	X	X
301.2	CNG Fuel System Integrity	X	X
302	Flammability	X	X
500	Low-speed Vehicles
901	Axles
903	C-dolly Specifications
904	C-dolly Hitch Requirements
1106	Noise Emissions	X	X
1201	Snowmobile Standards			X
1207	Tie Down				X
1208	Tie Down
1209	Snowmobile Cutters				X

Column I	Column II	Column III Classes of Vehicles
Item (CMVSS)	Description	Trailer	Trailer Con- verter Dolly	Truck	Vehicle Impor- ted Tempo- rarily for Special Purposes
101	Location and Identifi- cation of Controls and Displays			X
102	Trans- mission Control Functions			X
103	Windshield Defrosting and Defogging			X
104	Windshield Wiping and Washing System			X
105	Hydraulic Brake Systems			X
106	Brake Hoses	X	X	X
108	Lighting System and Retro- reflective Devices	X		X
108.1	Alternative Require- ments for Headlamps			X
110	Tire Selection and Rims
111	Mirrors			X
112	Headlamp Conceal- ment Devices			X
113	Hood Latch System			X
114	Locking System			X
115	Vehicle Identifi- cation Number	X	X	X	X
116	Hydraulic Brake Fluids	X	X	X
118	Power- operated Windows, Power- operated Partitions and Power- operated Roof Panels			X
120	Tire Selection and Rims for Vehicles Other Than Passenger Cars	X	X	X
121	Air Brake Systems	X	X	X
122	Motorcycle Brake Systems
123	Controls and Displays - Motorcycles
124	Accelerator Control Systems			X
131	School Bus Pedestrian Safety Devices
135	Passenger Car Brake Systems
201	Occupant Protection			X
202	Head Restraints			X
203	Driver Impact Protection			X
204	Steering Column Rearward Displacement			X
205	Glazing Materials	X		X
206	Door Locks and Door Retention Components			X
207	Anchorage of Seats			X
208	Occupant Restraint Systems in Frontal Impact			X
209	Seat Belt Assemblies			X
210	Seat Belt Assembly Anchorages			X
210.1	Tether Anchorages for Child Restraints
212	Windshield Mounting			X
213.4	Built-in Child Restraint System and Built-in Booster Cushions			X
214	Side Door Strength			X
215	Bumpers
216	Roof Intrusion Protection			X
217	Bus Window Retention, Release and Emergency Exits
219	Windshield Zone Intrusion			X
220	Rollover Protection
221	School Bus Body Joint Strength
222	School Bus Passenger Seating and Crash Protection
301	Fuel System Integrity			X
301.1	LPG Fuel System Integrity			X
301.2	CNG Fuel System Integrity			X
302	Flammability			X
500	Low-speed Vehicles
901	Axles	X
903	C-dolly Specifications		X
904	C-dolly Hitch Requirements	X
1106	Noise Emissions			X
1201	Snowmobile Standards
1207	Tie Down
1208	Tie Down	X
1209	Snowmobile Cutters

5. Schedule IV to the Regulations is amended by adding the following after section 302:

Low-speed Vehicles (Standard 500)

500. (1) Every low-speed vehicle shall conform to the requirements of Technical Standards Document No. 500, Low-speed Vehicles, as amended from time to time (hereinafter referred to as TSD 500).

(2) Notwithstanding subsection S5(9) of TSD 500, the vehicle identification number shall conform to section 115 of Schedule IV to these Regulations.

(3) Notwithstanding subsection S5(10) of TSD 500, a Type 1 or Type 2 seat belt assembly shall conform to section 209 of Schedule IV to these Regulations.

(4) This section expires on January 1, 2005.

COMING INTO FORCE

6. These Regulations come into force on the day on which they are registered.

[46-1-o]

Regulations Amending the Motor Vehicle Tire Safety Regulations, 1995

Statutory Authority

Motor Vehicle Safety Act

Sponsoring Department

Department of Transport

REGULATORY IMPACT ANALYSIS STATEMENT

Description

This proposed amendment makes a change to the Tire Identification Number (TIN) as specified in section 8 and Schedule III of the Motor Vehicle Tire Safety Regulations, 1995. Specifically, this proposed amendment will increase the number of characters in the tire date code from three to four; two characters which indicate the week of manufacture of the tire and two which indicate the year of manufacture of the tire. This change will apply to all motor vehicle tires manufactured or imported into Canada. The intent of the proposed amendment is to harmonize with similar changes in Europe and the United States and to provide clarification of the date code marking.

The present regulation specifies a three-digit date code which is comprised of two digits which specify the week of manufacture of the tire and one digit which indicates the year of manufacture. For example, the digits 257 indicate that the tire was manufactured on the 25th week of 1997, 1987 or 1977. The proposed amendment will increase the total number digits in the date code from three to four by requiring the use of an additional digit to specify the year of manufacture. For example, under the proposed amendment, the digits 2698 would indicate the tire was manufactured in the 26th week of 1998. As can be seen in this example, the additional year digit will resolve questions which may arise as to the decade of manufacture of a specific tire.

The proposed amendment will apply in two stages. The first stage, which will apply immediately, will allow the use of either the three- or four-digit date code in the tire identification number. The second stage will eliminate the use of the three-digit date code by making the use of the four-digit date code mandatory as of September 1, 2000.

Since 1978, the Motor Vehicle Tire Safety Regulations, 1995 have required all motor vehicle tires to be permanently marked with a TIN which indicates the plant where the tire was manufactured and the week and year of its manufacture. This information is then used in the case where the manufacturer has determined that the tire could have a defect and possibly fail in service. In such a case, a letter can be sent from the manufacturer to the owner of the tires, who then can identify the tire by the week and year of its manufacture. Having the ability to identify a tire on the basis of its date of manufacture forms a necessary and essential element in providing public notice of any potentially defective tires.

This proposal is being introduced, in part, as a response to a request from the Rubber Association of Canada to improve the clarity of the existing date code regulations and to foster harmony between tire regulations in the United States and Europe.

The regulation is effective on its registration with the Clerk of the Privy Council.

Alternatives

As already mentioned, the date code marking as mandated by the current Motor Vehicle Tire Safety Regulations, 1995 forms an essential part of tire safety in Canada by providing one of the critical links between the manufacturer and the consumer.

The approach of adopting voluntary guidelines was not considered appropriate in this case since those manufacturers who did not follow the proposed guidelines could lead to confusion in the marketplace.

Canada seeks to harmonize its regulatory requirements with those of other countries whenever possible. In order to accomplish this goal and the others mentioned above, no feasible alternative exists other than to make the appropriate amendments to the Motor Vehicle Tire Safety Regulations, 1995.

Benefits and Costs

There is a cost associated with the change from the current three-digit date code to the proposed four-digit code. However, this cost will be minimal since the proposal allows the use of the same size and type of mold "plugs" currently used to imprint the date code. This means that tire manufactures will be able to use the same molds they use now. Only the mold "plugs" will need to be changed.

The chief benefit of this amendment will be to include more specific information to consumers and individuals in the tire industry regarding the date of manufacture of a tire and to reduce the possibility of any confusion as to the decade in which the tire was manufactured. The improved clarity of the date code is important as it is one of the essential pieces of information which is critical to consumers being notified of any potential tire safety issues. In addition, this amendment will promote international harmony and remove any potential impediment to trade with the United States and Europe.

Consultation

Public safety organizations, tire manufacturers, and other governmental agencies were informed of the Department's intention to make this amendment through the regular consultation meetings that are held. To date, no objections have been received on this proposal.

Compliance and Enforcement

Tire manufacturers and importers are responsible for ensuring that their products comply with the requirements of the Motor Vehicle Tire Safety Regulations, 1995. The Department of Transport monitors the self-certification programs of manufacturers and importers by reviewing their test documentation, inspecting and testing tires obtained in the open market. When a defect is found, the manufacturer or importer must issue a notice of defect to owners of the tire and to the Minister of Transport. If a tire does not comply with a safety standard, the manufacturer or importer is subject to prosecution and, if found guilty, may be fined as prescribed in the Motor Vehicle Safety Act.

Contact

John Neufeld, Road Safety and Motor Vehicle Regulation Directorate, Department of Transport, 330 Sparks Street, Ottawa, Ontario K1A 0N5, (613) 998-1959 (Telephone), (613) 990-2913 (Facsimile), NEUFELJ@tc.gc.ca (Electronic mail).

PROPOSED REGULATORY TEXT

Notice is hereby given, pursuant to subsection 11(3) of the Motor Vehicle Safety Act (see footnote f), that the Governor in Council, pursuant to section 5 and subsection 11(1) of that Act, proposes to make the annexed Regulations Amending the Motor Vehicle Tire Safety Regulations, 1995.

Interested persons may make representations with respect to the proposed Regulations to the Minister of Transport within 60 days after the date of publication of this notice. All such representations must cite the Canada Gazette, Part I, and the date of publication of this notice and be sent to John Neufeld, Road Safety and Motor Vehicle Regulation Directorate, Department of Transport, 330 Sparks Street, Ottawa, Ontario K1A 0N5.

The representations should also stipulate those parts of the representations that should not be disclosed pursuant to the Access to Information Act and, in particular, pursuant to sections 19 and 20 of that Act, the reason why those parts should not be disclosed and the period during which those parts should remain undisclosed. The representations should also stipulate those parts of the representations for which there is no objection to disclosure pursuant to the Access to Information Act.

Ottawa, November 4, 1999

MARC O'SULLIVAN
Assistant Clerk of the Privy Council

REGULATIONS AMENDING THE MOTOR VEHICLE TIRE SAFETY REGULATIONS, 1995

AMENDMENTS

1. Paragraph 8(1)(d) of the Motor Vehicle Tire Safety Regulations, 1995 (see footnote 13) is replaced by the following:

(d) two symbols that identify the week of manufacture of the tire and

2. Schedule III to the Regulations is replaced by the following:

SCHEDULE III
(Paragraph 4(c) and subsections 8(1) and 14(2))

PART I

TIRE IDENTIFICATION NUMBER WITH THREE-SYMBOL DATE OF MANUFACTURE

TIRE IDENTIFICATION NUMBER WITH FOUR-SYMBOL DATE OF MANUFACTURE

IMPORTER IDENTIFICATION NUMBER

Notes:

1. For tires less than 155 mm in cross-section or less than 330 mm in bead diameter, minimum height of lettering of the Tire Identification Number is 4 mm.

2. The characters of the National Safety Mark and the Tire Identification Number shall be moulded into or onto the tire by a distance of not less than 0.5 mm and not more than 1 mm as measured from the immediate surrounding surface of the tire.

3. The Identification Number shall be in Futura Bold, Modified, Condensed or Gothic characters or any other font approved by the Minister.

PART II

LOCATION OF TIRE IDENTIFICATION NUMBER AND NATIONAL SAFETY MARK WITH THREE-SYMBOL DATE OF MANUFACTURE

LOCATION OF TIRE IDENTIFICATION NUMBER AND NATIONAL SAFETY MARK WITH FOURSYMBOL DATE OF MANUFACTURE

COMING INTO FORCE

3. These Regulations come into force on the day on which they are registered.

[46-1-o]

(Erratum)

Order Repealing Certain Orders Made under the Canada Shipping Act (Miscellaneous Program)

Regulations Amending the Small Vessel Regulations

Regulations Excluding Certain Government Ships from the Application of the Canada Shipping Act

Regulations Repealing Certain Regulations Made under the Canada Shipping Act (Miscellaneous Program)

Statutory Authority

Canada Shipping Act

Sponsoring Department

Department of Transport

Notice is hereby given that in the above Order and Regulations published on pages 3312, 3314, 3316 and 3318 of the Canada Gazette, Part I, Vol. 133, No. 45, dated Saturday, November 6, 1999, the Regulatory Impact Analysis Statement should have read as follows: For the Regulatory Impact Analysis Statement, see page 3320.

[46-1-o]

Footnote a

S.C. 1995, c. 36, s. 5.

Footnote 1

SOR/83-107

Footnote b

R.S., c. 19 (2nd Supp.), Part I

Footnote 2

SOR/94-290

Footnote 3

SOR/96-307

Footnote 4

SOR/96-307

Footnote c

S.C. 1999, c. 33

Footnote d

S.C. 1999, c. 33

Footnote 5

S.C. 1999, c. 33

Footnote e

S.C. 1993, c. 16

Footnote 6

published in Canada Gazette Part I, Vol. 133, No. 38 on September 18, 1999

Footnote 7

published in Canada Gazette Part I, Vol. 133, No. 38 on September 18, 1999

Footnote 8

C.R.C., c. 1038

Footnote 9

published in Canada Gazette Part I, Vol. 133, No. 38 on September 18, 1999

Footnote 10

SOR/95-147

Footnote 11

SOR/95-147

Footnote 12

published in Canada Gazette Part I, Vol. 133, No. 38 on September 18, 1999

Footnote f

S.C. 1993, c. 16

Footnote 13

SOR/95-148

NOTICE:
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