Vol. 140, No. 21 — October 18, 2006

Registration
SOR/2006-235 September 28, 2006

CANADA DEPOSIT INSURANCE CORPORATION ACT

By-law Amending the Deposit Insurance Application Fee By-law

The Board of Directors of the Canada Deposit Insurance Corporation, pursuant to paragraph 11(2)(g) (see footnote a) and subsection 18(1) (see footnote b) of the Canada Deposit Insurance Corporation Act, hereby makes the annexed By-law Amending the Deposit Insurance Application Fee By-law.

Ottawa, September 27, 2006

BY-LAW AMENDING THE DEPOSIT INSURANCE APPLICATION FEE BY-LAW

AMENDMENT

1. Section 1 of the Deposit Insurance Application Fee By-law (see footnote 1) is replaced by the following:

1. The prescribed fee that is to accompany an application for deposit insurance made by a provincial institution under subsection 17(1.1) of the Canada Deposit Insurance Corporation Act is $20,000 and is non-refundable.

COMING INTO FORCE

2. This By-law comes into force on the day on which it is registered.

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the By-law.)

Description

On September 27, 2006, the Board of Directors of the Canada Deposit Insurance Corporation ("CDIC") made the By-law Amending the Deposit Insurance Application Fee By-law ("amending By-law") pursuant to paragraphs 11(2)(g) and subsection 18(1) of the Canada Deposit Insurance Corporation Act ("CDIC Act"). Paragraph 11(2)(g) of the CDIC Act authorizes the CDIC Board of Directors to make by-laws "prescribing anything that, by virtue of any provision of this Act, is to be prescribed by the by-laws". Subsection 18(1) of the CDIC Act provides that: "An application for deposit insurance shall be in the form, and accompanied by a fee of the amount and type, that may be prescribed by the by-laws." The amending By-law amends the Deposit Insurance Application Fee By-law (the "By-law") registered as SOR/2000-277 on June 29, 2000.

As a consequence of an amendment to section 17 of the CDIC Act that came into force in September of 2005 (S.C. 2005, c. 30, s. 104), federal institutions need no longer apply to CDIC to become member institutions. In the circumstances, the By-law must be amended to reflect that it applies only to provincially incorporated institutions.

The amending By-law eliminates the words "federal institution or a" from section 1 of the By-law.

Alternatives

There are no available alternatives. The by-law must be amended to align it with the amendment to the CDIC Act.

Benefits and Costs

The amending By-law will align the By-law with the current CDIC Act. No additional costs should be attributed directly to these changes.

Consultation

As the change is statutorily driven and technical in nature, only consultation through pre-publication in the Canada Gazette,Part I, on July 1, 2006 was necessary. No comments were received.

Compliance and Enforcement

There are no compliance or enforcement issues.

Contact

Sandra Chisholm
Director, Insurance
Canada Deposit Insurance Corporation
50 O'Connor Street, 17th Floor
Ottawa, Ontario
K1P 5W5
Telephone: (613) 943-1976
FAX: (613) 992-8219
E-mail: schisholm@cdic.ca

Footnote a

R.S., c. 18 (3rd Supp.), s. 51

Footnote b

S.C. 1999, c. 28, s. 100

Footnote 1

SOR/2000-277

NOTICE:
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