Item - 2009.EX37.2

Tracking Status

EX37.2 - Election Campaign Finance By-laws - Updated Report (Bill 212)

Decision Type:
ACTION
Status:
Amended
Wards:
All

City Council Decision

City Council on December 2, 2009, adopted the following:

 

Establishment of a Contribution Rebate Program

 

1.         City Council implement a contribution rebate program for the 2010 election and:

 

              a.       pass a by-law substantially in the form of the draft bill attached as Appendix ‘A’ to the report (November 16, 2010) from the City Clerk;

           

              b.       increase funding from the non-program account to the Elections Reserve Fund XR1017 by $0.2 million to $0.8 million per annum beginning in 2010 to pay for the program;

 

              c.       direct that any election campaign surplus funds at the end of the campaign period, paid to the Clerk under the Municipal Elections Act, 1996 by a candidate for office on Toronto City Council, will become the property of the City of Toronto and be deposited into the Elections Reserve Fund XR1017 in accordance with section 14 of the draft bill attached as Appendix ‘A’ to this report.

 

Corporate and Trade Union Contributions

 

2.         City Council pass a by-law to prohibit all corporate and trade union contributions to candidates seeking office to Toronto City Council in all regular municipal elections and by-elections, substantially in the form of the draft bill attached as Appendix ‘B’ to this report.

 

Electronic filing of Candidate Financial Statements

           

3.         City Council pass a by-law to authorize the electronic filing of candidate financial statements in all regular municipal elections and by‑elections substantially in the form of the draft bill attached as Appendix ‘C’ to this report.

 

General

 

4.         City Council request the Province of Ontario to conduct an exhaustive study of Municipal Election Finance Models, and to include in that study actual study group meetings with election and/or campaign finance authorities in relevant jurisdictions where appreciable improvements in diversity candidate numbers have been achieved, and where appreciable reductions in allegations of non-compliance, whether real or imagined, have been achieved.

 

            The study group membership should include the following stakeholder groups:

 

-           representatives of the Ministry of Municipal Affairs and Housing

-           representatives of small, medium and large Ontario Municipalities

-           representatives of municipal Clerks

-           representatives of the Ontario Elections Office

-           2 civic appointees.

 

5.         City Council request the City Clerk to report to the Executive Committee, after the 2010 Municipal Election, on the feasibility of implementing municipal funding for elections, the report to include:

 

a.         what amendments would be required to the Municipal Elections Act to allow a municipally funded election to take place;

 

b.         the cost of a municipally funded election; and

 

c.         what qualifications candidates should have to be eligible to register as a candidate in a municipally funded election.

 

6.         City Council authorize and direct the appropriate City officials to take the necessary action to give effect thereto, including the introduction of the bills substantially in the form of Appendices ‘A’, ‘B’ and ‘C’, to this report, adjusted as necessary if and when the Municipal Elections Act, 1996 is amended by Bill 212.

Background Information (Committee)

(November 16, 2010) Report from the City Clerk - Election Campaign Finance By-laws - Updated Report (Bill 212)
https://www.toronto.ca/legdocs/mmis/2009/ex/bgrd/backgroundfile-25316.pdf
A Comparison of Outstanding Requested Amendments to the Municipal Elections Act, 1996, the Assessment Act and Ontario Regulation 101/97 against Bill 212
https://www.toronto.ca/legdocs/mmis/2009/ex/bgrd/backgroundfile-25427.pdf

Communications (Committee)

(November 24, 2009) Presentation from Mr. Bill Freeman, Vote Toronto (EX.New.EX37.2.1)
(November 24, 2009) Presentation from Councillor Denzil Minnan-Wong, Ward 34, Don Valley East (EX.New.EX37.2.2)
(November 24, 2009) Submission from Director, Elections and Registry Services (EX.Main.37.2.3)

Communications (City Council)

(November 23, 2009) E-mail from Robert Eisenberg, on behalf of Environmental Defence and the Rescue Lake Simcoe Coalition (CC.Supp.EX37.2.4)
(November 26, 2009) E-mail from Margaret Murray (CC.Supp.EX37.2.5)
(December 2, 2009) Submission from Councillor Howard Moscoe, Ward 15, Eglinton-Lawrence (CC.New.EX37.2.6)
(December 2, 2009) Submission from Councillor Denzil Minnan-Wong, Ward 34, Don Valley East (CC.New.EX31.2.7)
(November 26, 2009) E-mail from Paul Farrelly (CC.New.EX37.2.8)

Motions (City Council)

1 - Motion to Receive Item moved by Councillor Denzil Minnan-Wong (Lost)
That the Item be received for information.

Vote (Receive Item) Dec-02-2009 4:43 PM

Result: Lost Majority Required - EX37.2 - Minnan-Wong - Motion 1
Total members that voted Yes: 5 Members that voted Yes are Mike Del Grande, Norman Kelly, Giorgio Mammoliti, Denzil Minnan-Wong, Case Ootes
Total members that voted No: 34 Members that voted No are Paul Ainslie, Brian Ashton, Maria Augimeri, Sandra Bussin (Chair), Shelley Carroll, Raymond Cho, Janet Davis, Frank Di Giorgio, John Filion, Paula Fletcher, Rob Ford, Adam Giambrone, Suzan Hall, A.A. Heaps, Doug Holyday, Cliff Jenkins, Chin Lee, Gloria Lindsay Luby, Pam McConnell, Joe Mihevc, Peter Milczyn, David Miller, Ron Moeser, Howard Moscoe, Frances Nunziata, Cesar Palacio, Joe Pantalone, Gord Perks, Anthony Perruzza, Bill Saundercook, Karen Stintz, Michael Thompson, Adam Vaughan, Michael Walker
Total members that were Absent: 6 Members that were absent are Glenn De Baeremaeker, Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

2a - Motion to Amend Item moved by Councillor Howard Moscoe (Lost)

That Recommendation 2 of the Executive Committee be deleted.

Vote (Amend Item) Dec-02-2009 4:44 PM

Result: Lost Majority Required - EX37.2 - Moscoe - Motion 2a
Total members that voted Yes: 12 Members that voted Yes are Maria Augimeri, Sandra Bussin (Chair), Mike Del Grande, Frank Di Giorgio, Suzan Hall, Norman Kelly, Gloria Lindsay Luby, Giorgio Mammoliti, Denzil Minnan-Wong, Howard Moscoe, Case Ootes, Anthony Perruzza
Total members that voted No: 28 Members that voted No are Paul Ainslie, Brian Ashton, Shelley Carroll, Raymond Cho, Janet Davis, Glenn De Baeremaeker, John Filion, Paula Fletcher, Rob Ford, Adam Giambrone, A.A. Heaps, Doug Holyday, Cliff Jenkins, Chin Lee, Pam McConnell, Joe Mihevc, Peter Milczyn, David Miller, Ron Moeser, Frances Nunziata, Cesar Palacio, Joe Pantalone, Gord Perks, Bill Saundercook, Karen Stintz, Michael Thompson, Adam Vaughan, Michael Walker
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

2b - Motion to Amend Item moved by Councillor Howard Moscoe (Lost)

That Recommendation 1a of Executive Committee be amended so that:

 

1.         The rebate program be adjusted so that campaign contributions from $25 to $100 be eligible for a rebate of 90 percent and to offset the cost of this, no contribution over $300.00 be eligible for a rebate.

 

2.         No contributions to a mayoral campaign over $300.00 be eligible for a rebate.

Vote (Amend Item) Dec-02-2009 4:45 PM

Result: Lost Majority Required - EX37.2 - Moscoe - Part 1 of Motion 2b
Total members that voted Yes: 11 Members that voted Yes are Paul Ainslie, Maria Augimeri, Mike Del Grande, Frank Di Giorgio, John Filion, Cliff Jenkins, Ron Moeser, Howard Moscoe, Anthony Perruzza, Bill Saundercook, Michael Walker
Total members that voted No: 29 Members that voted No are Brian Ashton, Sandra Bussin (Chair), Shelley Carroll, Raymond Cho, Janet Davis, Glenn De Baeremaeker, Paula Fletcher, Rob Ford, Adam Giambrone, Suzan Hall, A.A. Heaps, Doug Holyday, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, Joe Mihevc, Peter Milczyn, David Miller, Denzil Minnan-Wong, Frances Nunziata, Case Ootes, Cesar Palacio, Joe Pantalone, Gord Perks, Karen Stintz, Michael Thompson, Adam Vaughan
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

Vote (Amend Item) Dec-02-2009 4:47 PM

Result: Lost Majority Required - EX37.2 - Moscoe - Part 2 of Motion 2b
Total members that voted Yes: 5 Members that voted Yes are Sandra Bussin (Chair), Denzil Minnan-Wong, Ron Moeser, Howard Moscoe, Anthony Perruzza
Total members that voted No: 35 Members that voted No are Paul Ainslie, Brian Ashton, Maria Augimeri, Shelley Carroll, Raymond Cho, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, John Filion, Paula Fletcher, Rob Ford, Adam Giambrone, Suzan Hall, A.A. Heaps, Doug Holyday, Cliff Jenkins, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, Joe Mihevc, Peter Milczyn, David Miller, Frances Nunziata, Case Ootes, Cesar Palacio, Joe Pantalone, Gord Perks, Bill Saundercook, Karen Stintz, Michael Thompson, Adam Vaughan, Michael Walker
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

2c - Motion to Amend Item moved by Councillor Howard Moscoe (Out of Order)

That Recommendation 1a of the Executive Committee be amended so that:

 

1.         To be eligible for a City of Toronto contribution rebate, individuals who are the owners, senior officers or directors of a corporation that does business with the City of Toronto or develops land within the City of Toronto or acts on behalf of a corporation that does business with the City of Toronto, be required to declare that interest at the time they make a contribution to a candidate and such declaration be listed on the candidate disclosure form and the City web site.

Ruling by Speaker Sandra Bussin
Speaker Bussin ruled motion 2c by Councillor Moscoe out of order as it is contrary to the Municipal Freedom of Information and Protection of Privacy Act.


3 - Motion to Amend Item (Additional) moved by Councillor Raymond Cho (Lost)

That City Council request the Provincial Government to amend the Municipal Elections Act to require individual donors who make multiple donations (for example donations to more than one candidate) to  make their identity or official titles known together with their names at the time of donation.

Vote (Amend Item (Additional)) Dec-02-2009 4:49 PM

Result: Lost Majority Required - EX37.2 - Cho - Motion 3
Total members that voted Yes: 15 Members that voted Yes are Raymond Cho, Janet Davis, Mike Del Grande, Frank Di Giorgio, Paula Fletcher, Rob Ford, Doug Holyday, Cliff Jenkins, Norman Kelly, David Miller, Frances Nunziata, Cesar Palacio, Joe Pantalone, Anthony Perruzza, Michael Walker
Total members that voted No: 25 Members that voted No are Paul Ainslie, Brian Ashton, Maria Augimeri, Sandra Bussin (Chair), Shelley Carroll, Glenn De Baeremaeker, John Filion, Adam Giambrone, Suzan Hall, A.A. Heaps, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Howard Moscoe, Case Ootes, Gord Perks, Bill Saundercook, Karen Stintz, Michael Thompson, Adam Vaughan
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

4 - Motion to Amend Item (Additional) moved by Councillor Michael Thompson (Carried)

That City Council request the City Clerk to report to the Executive Committee, after the 2010 Municipal Election, on the feasibility of implementing municipal funding for elections, the report to include:

 

1.         what amendments would be required to the Municipal Elections Act to allow a municipally funded election to take place;

 

2.         the cost of a municipally funded election; and

 

3.         what qualifications candidates should have to be eligible to register as a candidate in a municipally funded election.

Vote (Amend Item (Additional)) Dec-02-2009 4:49 PM

Result: Carried Majority Required - EX37.2 - Thompson - Motion 4
Total members that voted Yes: 27 Members that voted Yes are Paul Ainslie, Maria Augimeri, Sandra Bussin (Chair), Raymond Cho, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Paula Fletcher, Adam Giambrone, A.A. Heaps, Cliff Jenkins, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, Joe Mihevc, David Miller, Ron Moeser, Howard Moscoe, Cesar Palacio, Joe Pantalone, Gord Perks, Anthony Perruzza, Michael Thompson, Adam Vaughan, Michael Walker
Total members that voted No: 13 Members that voted No are Brian Ashton, Shelley Carroll, John Filion, Rob Ford, Suzan Hall, Doug Holyday, Norman Kelly, Peter Milczyn, Denzil Minnan-Wong, Frances Nunziata, Case Ootes, Bill Saundercook, Karen Stintz
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

5 - Motion to Amend Item moved by Councillor Doug Holyday (Lost)

That Recommendation 1a of the Executive Committee be amended so that clauses 1 and 2 of Appendix A now read as follows:

 

1.         The payment of rebates to residents of the City of Toronto who make contributions to candidates for an office on the municipal council for the 2010 election is authorized.

 

2.         A resident of the City of Toronto who, during the 2010 Municipal Election, makes a contribution to a candidate for an office on the Council of the City of Toronto, may, on or after January 4, 2010, apply to the Clerk of the Municipality (The "Clerk") for a rebate.

Vote (Amend Item) Dec-02-2009 4:48 PM

Result: Lost Majority Required - EX37.2 - Holyday - Motion 5
Total members that voted Yes: 8 Members that voted Yes are Brian Ashton, Raymond Cho, Frank Di Giorgio, Doug Holyday, David Miller, Anthony Perruzza, Adam Vaughan, Michael Walker
Total members that voted No: 32 Members that voted No are Paul Ainslie, Maria Augimeri, Sandra Bussin (Chair), Shelley Carroll, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, John Filion, Paula Fletcher, Rob Ford, Adam Giambrone, Suzan Hall, A.A. Heaps, Cliff Jenkins, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Howard Moscoe, Frances Nunziata, Case Ootes, Cesar Palacio, Joe Pantalone, Gord Perks, Bill Saundercook, Karen Stintz, Michael Thompson
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

6 - Motion to Amend Item (Additional) moved by Councillor Rob Ford (Lost)

That City Council request the Province of Ontario to amend the Municipal Elections Act to require all contributions to an election campaign in amounts $25 and greater, to be included on the candidate's audited financial statements.

Vote (Amend Item (Additional)) Dec-02-2009 4:50 PM

Result: Lost Majority Required - EX37.2 - Ford - Motion 6
Total members that voted Yes: 12 Members that voted Yes are Brian Ashton, Sandra Bussin (Chair), Raymond Cho, Mike Del Grande, Rob Ford, Cliff Jenkins, Peter Milczyn, Frances Nunziata, Cesar Palacio, Anthony Perruzza, Adam Vaughan, Michael Walker
Total members that voted No: 27 Members that voted No are Paul Ainslie, Maria Augimeri, Shelley Carroll, Glenn De Baeremaeker, Frank Di Giorgio, John Filion, Paula Fletcher, Adam Giambrone, Suzan Hall, A.A. Heaps, Doug Holyday, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, Joe Mihevc, David Miller, Denzil Minnan-Wong, Ron Moeser, Howard Moscoe, Case Ootes, Joe Pantalone, Gord Perks, Bill Saundercook, Karen Stintz, Michael Thompson
Total members that were Absent: 6 Members that were absent are Janet Davis, Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

7 - Motion to Amend Item (Additional) moved by Councillor Adam Vaughan (Lost)

That Council request the Province of Ontario amend the Municipal Elections Act to require the City Clerk to post all campaign donations on a City of Toronto web site at least one week prior to the day of the election, and that only those donations posted one week before the election be eligible for a rebate.

Vote (Amend Item (Additional)) Dec-02-2009 4:51 PM

Result: Lost Majority Required - EX37.2 - Vaughan - Motion 7
Total members that voted Yes: 7 Members that voted Yes are Janet Davis, John Filion, Doug Holyday, Cliff Jenkins, Joe Mihevc, Adam Vaughan, Michael Walker
Total members that voted No: 33 Members that voted No are Paul Ainslie, Brian Ashton, Maria Augimeri, Sandra Bussin (Chair), Shelley Carroll, Raymond Cho, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Paula Fletcher, Rob Ford, Adam Giambrone, Suzan Hall, A.A. Heaps, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, Peter Milczyn, David Miller, Denzil Minnan-Wong, Ron Moeser, Howard Moscoe, Frances Nunziata, Case Ootes, Cesar Palacio, Joe Pantalone, Gord Perks, Anthony Perruzza, Bill Saundercook, Karen Stintz, Michael Thompson
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

8 - Motion to Amend Item (Additional) moved by Councillor Frances Nunziata (Lost)

That City Council request the Province of Ontario to amend the Municipal Elections Act to include the compensation by employers of employees for work on Municipal Election campaigns in the definition of contributions.

Vote (Amend Item (Additional)) Dec-02-2009 4:53 PM

Result: Lost Majority Required - EX37.2 - Nunziata - Motion 8
Total members that voted Yes: 15 Members that voted Yes are Sandra Bussin (Chair), Raymond Cho, Mike Del Grande, Rob Ford, A.A. Heaps, Cliff Jenkins, Peter Milczyn, Denzil Minnan-Wong, Frances Nunziata, Case Ootes, Cesar Palacio, Anthony Perruzza, Bill Saundercook, Karen Stintz, Michael Walker
Total members that voted No: 25 Members that voted No are Paul Ainslie, Brian Ashton, Maria Augimeri, Shelley Carroll, Janet Davis, Glenn De Baeremaeker, Frank Di Giorgio, John Filion, Paula Fletcher, Adam Giambrone, Suzan Hall, Doug Holyday, Norman Kelly, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, Joe Mihevc, David Miller, Ron Moeser, Howard Moscoe, Joe Pantalone, Gord Perks, Michael Thompson, Adam Vaughan
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

9 - Motion to Amend Item (Additional) moved by Councillor Shelley Carroll (Carried)

That City Council request the Province of Ontario to conduct an exhaustive study of Municipal Election Finance Models, and to include in that study actual study group meetings with election and/or campaign finance authorities in relevant jurisdictions where appreciable improvements in diversity candidate numbers have been achieved, and where appreciable reductions in allegations of non-compliance, whether real or imagined, have been achieved.

 

 The study group membership should include the following stakeholder groups:

 

-            representatives of the Ministry of Municipal Affairs and Housing

-            representatives of small, medium and large Ontario Municipalities

-            representatives of municipal Clerks

-            representatives of the Ontario Elections Office

-           2 civic appointees.

Vote (Amend Item (Additional)) Dec-02-2009 4:54 PM

Result: Carried Majority Required - EX37.2 - Carroll - Motion 9
Total members that voted Yes: 22 Members that voted Yes are Paul Ainslie, Brian Ashton, Maria Augimeri, Sandra Bussin (Chair), Shelley Carroll, Raymond Cho, Janet Davis, Glenn De Baeremaeker, Paula Fletcher, Adam Giambrone, A.A. Heaps, Cliff Jenkins, Chin Lee, Gloria Lindsay Luby, Pam McConnell, Joe Mihevc, David Miller, Joe Pantalone, Gord Perks, Anthony Perruzza, Adam Vaughan, Michael Walker
Total members that voted No: 18 Members that voted No are Mike Del Grande, Frank Di Giorgio, John Filion, Rob Ford, Suzan Hall, Doug Holyday, Norman Kelly, Giorgio Mammoliti, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Howard Moscoe, Frances Nunziata, Case Ootes, Cesar Palacio, Bill Saundercook, Karen Stintz, Michael Thompson
Total members that were Absent: 5 Members that were absent are Mike Feldman, Mark Grimes, John Parker, Kyle Rae, David Shiner

10 - Motion to Amend Item (Additional) moved by Councillor Anthony Perruzza (Lost)

That City Council:

 

1.         request the Provincial Government to amend the Municipal Elections Act to allow a system like the one in New York City, where candidates are given grants to be used as campaign funds; and

 

2.         request the City Clerk to report to the Executive Committee after the 2010 election on the system that is used by New York City.

Vote (Amend Item (Additional)) Dec-02-2009 4:55 PM

Result: Lost Majority Required - EX37.2 - Perruzza - Motion 10
Total members that voted Yes: 18 Members that voted Yes are Paul Ainslie, Sandra Bussin (Chair), Raymond Cho, Janet Davis, Glenn De Baeremaeker, Frank Di Giorgio, A.A. Heaps, Cliff Jenkins, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Pam McConnell, David Miller, Howard Moscoe, Cesar Palacio, Anthony Perruzza, Michael Thompson, Michael Walker
Total members that voted No: 23 Members that voted No are Brian Ashton, Maria Augimeri, Shelley Carroll, Mike Del Grande, John Filion, Paula Fletcher, Rob Ford, Adam Giambrone, Suzan Hall, Doug Holyday, Norman Kelly, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Ron Moeser, Frances Nunziata, Case Ootes, Joe Pantalone, John Parker, Gord Perks, Bill Saundercook, Karen Stintz, Adam Vaughan
Total members that were Absent: 4 Members that were absent are Mike Feldman, Mark Grimes, Kyle Rae, David Shiner

Motion to Adopt Item as Amended (Carried)

Vote (Adopt Item as Amended) Dec-02-2009 4:56 PM

Result: Carried Majority Required - EX37.2 - Adopt Item, as amended
Total members that voted Yes: 29 Members that voted Yes are Paul Ainslie, Brian Ashton, Sandra Bussin (Chair), Shelley Carroll, Raymond Cho, Janet Davis, Glenn De Baeremaeker, John Filion, Paula Fletcher, Rob Ford, Adam Giambrone, A.A. Heaps, Doug Holyday, Cliff Jenkins, Chin Lee, Pam McConnell, Joe Mihevc, Peter Milczyn, David Miller, Ron Moeser, Frances Nunziata, Cesar Palacio, Joe Pantalone, Gord Perks, Bill Saundercook, Karen Stintz, Michael Thompson, Adam Vaughan, Michael Walker
Total members that voted No: 12 Members that voted No are Maria Augimeri, Mike Del Grande, Frank Di Giorgio, Suzan Hall, Norman Kelly, Gloria Lindsay Luby, Giorgio Mammoliti, Denzil Minnan-Wong, Howard Moscoe, Case Ootes, John Parker, Anthony Perruzza
Total members that were Absent: 4 Members that were absent are Mike Feldman, Mark Grimes, Kyle Rae, David Shiner

EX37.2 - Election Campaign Finance By-laws - Updated Report (Bill 212)

Decision Type:
ACTION
Status:
Amended
Wards:
All

Committee Recommendations

The Executive Committee recommends that:

 

Establishment of a Contribution Rebate Program

 

1.         City Council implement a contribution rebate program for the 2010 election and:

 

            a.         pass a by-law substantially in the form of the draft bill attached as Appendix ‘A’ to the report (November 16, 2010) from the City Clerk;

           

            b.         increase funding from the non-program account to the Elections Reserve Fund XR1017 by $0.2 million to $0.8 million per annum beginning in 2010 to pay for the program;

 

            c.         direct that any election campaign surplus funds at the end of the campaign period, paid to the Clerk under the Municipal Elections Act, 1996 by a candidate for office on Toronto City Council, will become the property of the City of Toronto and be deposited into the Elections Reserve Fund XR1017 in accordance with section 14 of the draft bill attached as Appendix ‘A’ to this report.

 

Corporate and Trade Union Contributions

 

2.         City Council pass a by-law to prohibit all corporate and trade union contributions to candidates seeking office to Toronto City Council in all regular municipal elections and by-elections, substantially in the form of the draft bill attached as Appendix ‘B’ to this report.

 

Electronic filing of Candidate Financial Statements

           

3.         City Council pass a by-law to authorize the electronic filing of candidate financial statements in all regular municipal elections and by‑elections substantially in the form of the draft bill attached as Appendix ‘C’ to this report.

 

General

 

4.         City Council authorize and direct the appropriate City officials to take the necessary action to give effect thereto, including the introduction of the bills substantially in the form of Appendices ‘A’, ‘B’ and ‘C’, to this report, adjusted as necessary if and when the Municipal Elections Act, 1996 is amended by Bill 212.

Origin

(November 16, 2009) Report from the City Clerk

Summary

Under the Municipal Elections Act, 1996, Council has the authority to pass by-laws to authorize a contribution rebate program, the prohibition of corporate and trade union contributions and the electronic filing of financial statements.  These are all permissive by-laws.  It is recommended that the by-laws prohibiting corporate and trade union contributions and the electronic filing of financial statements apply to all regular municipal elections and by-elections, not just the 2010 election.  The contribution rebate by-law will apply only to the 2010 election.

 

Should Council decide to implement a rebate program for the 2010 election, it is recommended that the program parameters be the same as those for the 2006 election with the exceptions that all campaign surpluses required to be paid to the Clerk by a candidate for office on City Council will become the property of the City and the rebate application deadline will be extended to six months following the last supplementary reporting period.

 

If enacted, the proposed amendments to the Municipal Elections Act, 1996 contained in Bill 212 (Good Government Act, 2009) will provide that a contributor cannot make contributions exceeding a total of $5,000 to two or more candidates for office on the same council and all campaign surpluses paid to the Clerk by candidates running for office on City Council will become the property of the City.

Financial Impact

It is difficult to accurately estimate the cost of a contribution rebate program as it is dependent upon many factors including the number of candidates and contributors and the contribution levels.

 

In past years, the rebate program was funded from the Elections Reserve Fund, through an annual contribution of $0.6 million from non-program to the reserve fund. However, the contribution from non-program has been insufficient to totally fund the rebate program. Additional withdrawals from the reserve fund, made up of annual contributions from the City Clerk’s Office operating budget in non-election years, were required.

 

The main purpose of the Elections Reserve Fund is to fund the capital and operating requirements to deliver the municipal elections. The adequacy of the Elections Reserve Fund is being separately addressed in the 2010 operating budget process.

 

Table 3 in Appendix ‘D’ compares the impacts of the campaign activity of the participating candidates on the 2000, 2003 and 2006 contribution rebate programs.  The following trends are evident:

 

·         the number of candidates is increasing with each election;

·         the number of candidates participating in the rebate program is increasing;

·         the total number of contributors is increasing;

·         the number of individual contributors is increasing;

·         the total dollar amount of individual contributions is increasing;

·         the number of corporate contributors is decreasing;

·         the total dollar amount of corporate contributions is decreasing;

·         the number of contributors applying for a rebate is increasing; and

·         individual contributors are more likely to apply for a rebate than corporate or trade union contributors

 

If Council enacts the proposed provision that all campaign surpluses required to be paid to the Clerk will become the property of the City, candidates will no longer have the ability to opt out of the program in order to retain their surpluses.  (If Bill 212 is enacted by the Legislature, it will require that all campaign surpluses will become the property of the City of Toronto at the end of the candidate’s campaign period.)  Therefore, it is likely that the costs of the 2010 election rebate program will be similar to those of the 2003 program ($3,199,100). 

 

It is estimated $3.2 million will be required to fund the Contribution Rebate Program for the 2010 election, provided that the parameters of the program remain at the 2006 levels. The actual financial impact may exceed this estimate if a record number of candidates decide to run for office.  The current annual non-program contribution of $0.6 million, totalling only $2.4 million over 4 years, is insufficient to fund the rebate program. The non-program contribution will need to increase to $0.8 million beginning in 2010 to provide on-going stable funding for the rebate program.  Rebate payments will be made to applicants in 2011 and 2012.

 

Should Council wish to avoid the projected $0.8 million in added rebate costs, staff estimate that the maximum rebate payout would have to be reduced from the current $1,000 to $350 which would take the maximum rebate to what it was in 1997. 

 

Should Council wish to increase the rebate payment formula, the contribution from the non-program account will need to be increased accordingly to ensure there is sufficient money in the reserve to fund future elections and by-elections. 

 

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

 

Background Information

(November 16, 2010) Report from the City Clerk - Election Campaign Finance By-laws - Updated Report (Bill 212)
https://www.toronto.ca/legdocs/mmis/2009/ex/bgrd/backgroundfile-25316.pdf
A Comparison of Outstanding Requested Amendments to the Municipal Elections Act, 1996, the Assessment Act and Ontario Regulation 101/97 against Bill 212
https://www.toronto.ca/legdocs/mmis/2009/ex/bgrd/backgroundfile-25427.pdf

Communications

(November 24, 2009) Presentation from Mr. Bill Freeman, Vote Toronto (EX.New.EX37.2.1)
(November 24, 2009) Presentation from Councillor Denzil Minnan-Wong, Ward 34, Don Valley East (EX.New.EX37.2.2)
(November 24, 2009) Submission from Director, Elections and Registry Services (EX.Main.37.2.3)

Speakers

Mr. Larry Gordon, Executive Director, Fair Vote Canada
Mr. Bill Freeman, Vote Toronto (Submission Filed)
Mr. Paul Farrelly, Vote Toronto
Councillor John Filion, Ward 23, Willowdale
Councillor Suzan Hall, Ward 1, Etobicoke North
Councillor Cliff Jenkins, Ward 25, Don Valley West
Councillor Denzil Minnan-Wong, Ward 34, Don Valley East (Submission Filed)
Councillor Michael Walker, Ward 22, St. Paul's
Source: Toronto City Clerk at www.toronto.ca/council