Marginal note:1995, c. 17, s. 49(2)

• 3. (1) Subparagraphs 16(1)(b)(i) and (ii) of the Act are replaced by the following:

  • (i) the equalization payment referred to in subsection (1.1) that would be payable to the province for the fiscal year, and

  • (ii) the amount of equalization that would be paid to the province in respect of the federal income tax reduction in all the provinces in respect of the Canada Health and Social Transfer for the fiscal year, if the method of calculation of fiscal equalization payments as set out in Part I, excluding subsections 4(6) and (9) of this Act as it read on May 13, 2004, were to be applied to the value of the income tax reduction in all the provinces in respect of the Canada Health and Social Transfer for the fiscal year, except that

    • (A) for the purposes of the calculation under this subparagraph the relevant revenue bases are to be determined in the prescribed manner, and

    • (B) where subsection 4(6) or (9) of this Act as it read on May 13, 2004 applies in the determination of the fiscal equalization payment to the province for the fiscal year, the amount determined under this subparagraph is to be adjusted in the prescribed manner.

• (2) Section 16 of the Act is amended by adding the following after subsection (1):

  • Marginal note:Equalization payment payable

    (1.1) For the purposes of subparagraph (1)(b)(i), for each fiscal year in the period beginning on April 1, 2001 and ending on March 31, 2004, the equalization payment shall be

    • (a) in the case of a province that receives an additional fiscal equalization payment under subsection 4(3), the estimate that was made by the Minister on February 23, 2004 in respect of the fiscal year in accordance with section 8 of the Federal-Provincial Fiscal Arrangements Regulations, 1999; and

    • (b) in the case of a province that does not receive an additional fiscal equalization payment under subsection 4(3), the final computation in respect of the fiscal year.

  • Marginal note:Amount recoverable

    (1.2) Where the cash contribution in respect of the Canada Health and Social Transfer to a province for the fiscal year beginning on April 1, 2001 that was determined in accordance with the final computation made in September 2004 exceeds the cash contribution payable to the province under this Part for that fiscal year and calculated in accordance with subsection (1.1), the Minister may recover the amount of the excess from the province from any amount payable under this Act.

  • Marginal note:Amount payable

    (1.3) Where the cash contribution in respect of the Canada Health and Social Transfer to a province for the fiscal year beginning on April 1, 2001 that was determined under this Part and calculated in accordance with subsection (1.1) exceeds the cash contribution payable to the province for that fiscal year that was determined in accordance with the final computation made in September 2004, the Minister may pay the excess amount to the province out of the Consolidated Revenue Fund at the time and in the manner that the Minister considers appropriate.

Marginal note:2003, c. 15, s. 8

• 4. (1) Subparagraphs 24.7(1)(b)(i) and (ii) of the Act are replaced by the following:

  • (i) the equalization payment referred to in subsection (1.1) that would be payable to the province for the fiscal year, and

  • (ii) the amount of equalization that would be paid to the province in respect of the federal income tax reduction in all the provinces in respect of the Canada Health Transfer and the Canada Social Transfer for the fiscal year, if the method of calculation of fiscal equalization payments as set out in Part I, excluding subsection 4(6) of this Act as it read on May 13, 2004, were to be applied to the value of the income tax reduction in all the provinces in respect of the Canada Health Transfer and the Canada Social Transfer for the fiscal year, except that

    • (A) for the purposes of the calculation under this subparagraph, the relevant revenue bases are to be determined in the prescribed manner, and

    • (B) where subsection 4(6) of this Act as it read on May 13, 2004 applies in the determination of the fiscal equalization payment to the province for the fiscal year, the amount determined under this subparagraph is to be adjusted in the prescribed manner.

• (2) Section 24.7 of the Act is amended by adding the following after subsection (1):

  • Marginal note:Equalization payment payable

    (1.1) For the purposes of subparagraph (1)(b)(i),

    • (a) for each fiscal year beginning after March 31, 2005, the equalization payment shall be the equalization payment that would be payable to the province for the fiscal year under Part I; and

    • (b) for the fiscal year beginning on April 1, 2004, the equalization payment shall be

      • (i) in the case of a province that receives an additional fiscal equalization payment under subsection 4(3), the estimate that was made by the Minister on February 23, 2004 in respect of the fiscal year in accordance with section 8 of the Federal-Provincial Fiscal Arrangements Regulations, 1999, and

      • (ii) in the case of a province that does not receive an additional fiscal equalization payment under subsection 4(3), the final computation in respect of the fiscal year.

Marginal note:1999, c. 11, s. 5

5. Paragraph 40(a) of the Act is repealed.

6. Section 41 of the Act is replaced by the following:

CONSEQUENTIAL AMENDMENTS

2004, c. 8Appropriation Act No. 1, 2004-2005

• 7. (1) Section 4 of the Appropriation Act No. 1, 2004-2005 is amended by adding the following after subsection (2):

  • Marginal note:Non-application

    (3) This section does not apply to the Formula Financing Grants for the fiscal year ending March 31, 2005 set out in item 15 for the Department of Finance in the Estimates referred to in section 2.

• Marginal note:Coming into force

  (2) Subsection (1) comes into force on a day to be fixed by order of the Governor in Council.

2004, c. 22Budget Implementation Act, 2004

• 8. (1) Subsections 8(1) to (3) of the Budget Implementation Act, 2004 are replaced by the following:

  Marginal note:Payment for fiscal year 2004-2005

  • 8. (1) For the fiscal year beginning on April 1, 2004, the Minister of Finance may make a cash payment to the Province of Nova Scotia in an amount equal to the aggregate of twenty-one million dollars and an amount equal to 20 per cent of the Province’s offshore minerals revenue for that fiscal year included in the description set out in paragraph (z.5) of the definition “revenue source” in subsection 4(2) of the former legislation and subparagraph 5(1)(z.5)(ii) of the Federal-Provincial Fiscal Arrangements Regulations, 1999.

  • Marginal note:Payment for fiscal year 2005-2006

    (2) For the fiscal year beginning on April 1, 2005, the Minister of Finance may make a cash payment to the Province of Nova Scotia in an amount equal to 10 per cent of the Province’s offshore minerals revenue for that fiscal year included in the description set out in paragraph (z.5) of the definition “revenue source” in subsection 4(2) of the former legislation and subparagraph 5(1)(z.5)(ii) of the Federal-Provincial Fiscal Arrangements Regulations, 1999.

  • Marginal note:Determination of offshore minerals revenue

    (3) The offshore minerals revenue of the Province of Nova Scotia for each of the fiscal years referred to in subsections (1) and (2) shall be determined by the Minister of Finance after the end of that fiscal year at the time of the final computation of the amount, if any, of the fiscal equalization payment that is payable to the Province for that fiscal year under Part I of the former legislation.

• (2) Section 8 of the Act is amended by adding the following after subsection (4):

  • Marginal note:Definition of “former legislation”

    (5) In subsections (1) to (3), “former legislation” means the Federal-Provincial Fiscal Arrangements Act as it read on May 13, 2004.