Regulations Amending the Apprentice Loans Regulations: SOR/2019-215

Canada Gazette, Part II, Volume 153, Number 13

Registration

SOR/2019-215 June 17, 2019

APPRENTICE LOANS ACT

P.C. 2019-789 June 16, 2019

Her Excellency the Governor General in Council, on the recommendation of the Minister of Labour, pursuant to paragraphs 12(1)(a), (f), (g) and (l) of the Apprentice Loans Act ^{footnote a}, makes the annexed Regulations Amending the Apprentice Loans Regulations.

Regulations Amending the Apprentice Loans Regulations

Amendments

1 The definition severe permanent disability in subsection 1(1) of the Apprentice Loans Regulations ^{footnote 1} is replaced by the following:

severe permanent disability means a functional limitation caused by a physical or mental impairment that prevents a borrower from performing the daily activities necessary to participate in substantially gainful employment, as defined in section 68.1 of the Canada Pension Plan Regulations, and is expected to remain with them for their expected life. (invalidité grave et permanente)

2 (1) Paragraph 2(c) of the Regulations is replaced by the following:

• (c) in the event that interest started accruing prior to the first day of the current technical training period, the apprentice pays to the Minister the unpaid interest accrued under their apprentice loan agreement to the day before the first day of that technical training period; and

(2) The portion of paragraph 2(d) of the Regulations before subparagraph (i) is replaced by the following:

• (d) in the event that interest started accruing prior to the day on which the apprentice enters into an apprentice loan agreement for the current technical training period that began on the day on which interest started accruing, the apprentice

3 (1) Paragraphs 3(a) to (c) of the Regulations are replaced by the following:

• (a) in the event that no interest has accrued when a technical training period begins for which confirmation of enrolment is submitted to the Minister, the period that begins on the first day of the technical training period and ends on the day that is 18 months after the last day of that technical training period;
• (c) in the event that interest started accruing prior to the first day of a technical training period for which confirmation of enrolment is submitted to the Minister, the period that began on the day that the technical training period begins and ends on the day that is 18 months after the last day of that technical training period, in the case where the apprentice pays to the Minister the unpaid interest accrued to the day before the first day of that technical training period;

(2) The portion of paragraph 3(d) of the Regulations before subparagraph (i) is replaced by the following:

• (d) in the event that interest started accruing prior to the day on which confirmation of enrolment is submitted to the Minister for a technical training period that began prior to the day on which interest started accruing, the period that begins on the day on which confirmation of enrolment is submitted and ends on the day that is 18 months after the last day of that technical training period in the case where the apprentice

(3) Paragraph 3(e) of the Regulations is replaced by the following:

• (e) in the event that no interest has accrued when confirmation of continued apprenticeship is submitted to the Minister, the period that begins on the day that confirmation of continued apprenticeship was submitted and ends on the day that is 18 months after the last day of the month in which the confirmation of continued apprenticeship is submitted; and

(4) The portion of paragraph 3(f) of the Regulations before subparagraph (i) is replaced by the following:

• (f) in the event that interest started accruing prior to the day on which confirmation of continued apprenticeship is submitted to the Minister, the period that begins on the day on which the confirmation of continued apprenticeship is submitted and ends on the day that is 18 months after the last day of the month in which the confirmation of continued apprenticeship is submitted, in the case where the apprentice

4 Section 4 of the Regulations is replaced by the following:

Payment begins

4 The borrower must begin to repay the principal amount of any apprentice loan made to them, and interest, on the last day of the month in which interest started accruing.

5 Paragraph 6(2)(i) of the Regulations is replaced by the following:

• (i) if the borrower has been granted repayment assistance under subsection 13(2), the day on which the repayment assistance period begins;

6 Paragraph 7(1)(b) of the Regulations is replaced by the following:

• (b) the borrower has, in respect of an apprentice loan agreement for which a judgment has not been obtained, fulfilled the terms of a repayment arrangement entered into with the Minister that is no more onerous to the borrower than six consecutive payments subsequent to a day that are made in accordance with this agreement, and
  • (i) has paid the interest accrued to that day, or
  • (ii) has directed, for the first time under this paragraph, paragraph 10(1)(d) of the Canada Student Loans Regulations or paragraph 16(1)(d) of the Canada Student Financial Assistance Regulations, the addition of the unpaid accrued interest to that day to the outstanding principal.

7 (1) Paragraph 10(1)(b) of the Regulations is replaced by the following:

• (b) no more than 114 months have passed since the day on which interest most recently started accruing; and

(2) Paragraph 10(1)(b) of the Regulations is replaced by the following:

• (b) no more than 114 months have passed since the later of the day on which interest most recently started accruing and the day on which a restriction was removed under paragraph 7(1)(b); and

(3) Subparagraph 10(3)(a)(ii) of the Regulations is replaced by the following:

• (ii) 114 months minus the number of months that have passed since the day referred to in subparagraph (1)(b) plus the number of months since that day during which the borrower received repayment assistance under this section; and

(4) Subparagraph 10(3)(a)(ii) of the Regulations is replaced by the following:

• (ii) 114 months minus the number of months that have passed since the applicable day referred to in paragraph (1)(b) plus the number of months since that day during which the borrower received repayment assistance under this section; and

(5) Subsection 10(4) of the Regulations is replaced by the following:

Maximum number of months of repayment assistance

(4) A borrower must not receive more than 60 months, in the aggregate, of repayment assistance under this section since the applicable day referred to in paragraph (1)(b).

8 Paragraph 11(3)(b) of the Regulations is replaced by the following:

• (b) otherwise, the ratio of outstanding principal in relation to student loans and guaranteed student loans for which instalments are due to the sum of this amount and the outstanding principal amount of provincial loans for which instalments are due.

9 (1) Subparagraph 12(1)(b)(ii) of the Regulations is replaced by the following:

• (ii) the borrower has benefited from a total of 60 months of repayment assistance referred to in section 10 or at least 114 months have passed since the day referred to in paragraph 10(1)(b) in respect of any apprentice loan made to the borrower; and

(2) Subparagraph 12(1)(b)(ii) of the Regulations is replaced by the following:

• (ii) the borrower has benefited from a total of 60 months of repayment assistance referred to in section 10 or at least 114 months have passed since the applicable day referred to in paragraph 10(1)(b) in respect of any apprentice loan made to the borrower; and

(3) Subparagraphs 12(3)(a)(i) and (ii) of the Regulations are replaced by the following:

• (i) in the case of a borrower who has a permanent disability, 114 months minus the number of months that have passed since the day referred to in paragraph 10(1) (b), and
• (ii) in any other case, 174 months minus the number of months that have passed since the day referred to in paragraph 10(1)(b); and

(4) Subparagraphs 12(3)(a)(i) and (ii) of the Regulations are replaced by the following:

• (i) in the case of a borrower who has a permanent disability, 114 months minus the number of months that have passed since the applicable day referred to in paragraph 10(1)(b), and
• (ii) in any other case, 174 months minus the number of months that have passed since the applicable day referred to in paragraph 10(1)(b); and

Coming into Force

10 (1) Subject to subsections (2) to (5), these Regulations come into force on the day on which they are registered.

(2) Section 1 comes into force on August 1, 2019.

(3) Sections 2 to 4 and subsections 7(1) and (3) and 9(1) and (3) come into force on November 1,  2019.

(4) Section 6 and subsections 7(2), (4) and (5) and 9(2) and (4) come into force on January 1, 2020.

(5) Section 5 comes into force on August 1, 2020.

N.B. The Regulatory Impact Analysis Statement for these Regulations appears following SOR/2019-214, Regulations Amending the Canada Student Financial Assistance Regulations.