Bill C-, An Act respecting additional COVID-19 measures: Committee of the Whole, June 10, 2020

Table of content

  1. Copy of the Bill [Section was redacted]
  2. Canada Emergency Response Benefit (CERB)
    1. Overview
    2. Clause-by-Clause [Section was redacted]
    3. Key messages
    4. Questions and answers
  3. Disability
    1. Overview
    2. Clause-by-Clause [Section was redacted]
    3. Key messages
    4. Questions and answers

1. Copy of the Bill [Section redacted]

2. CERB

A. Part 4 – Overview: An Act to amend the Canada Emergency Response Benefit Act

The Canada Emergency Response Benefit (CERB) provides temporary income support to workers who have stopped working because of reasons related to COVID-19.

Part 4 makes minor amendments to the Canada Emergency Response Benefit (CERB) Act to change the length of the benefit period from 4 weeks to 2 weeks, and to introduce a requirement for people to return to work when it is reasonable for them to do so.

Part 4 also amends the CERB Act to enhance the integrity of the program by providing a mechanism for claimants to seek review of decisions respecting their eligibility, and provisions to penalize and prosecute cases where individuals knowingly commit fraud.

B. Part 4 – Clause-by-Clause [Section redacted]

C. Part 4 – Key messages: An Act to amend the Canada Emergency Response Benefit Act

Issue

Amendments are being made to the Canada Emergency Response Benefit Act.

Talking points

The Canada Emergency Response Benefit (CERB) was implemented to provide temporary income support to workers who have stopped working because of reasons related to COVID-19.

Minor amendments to the Canada Emergency Response Benefit (CERB) Act are proposed to ensure the CERB remains responsive to the current context and support its smooth administration. Specifically, the proposed amendments are:

Together these amendments support the re-opening of the economy while acknowledging that conditions will vary across sectors, regions and individual circumstances.

New integrity provisions include a mechanism for claimants to request a review of decisions related to their eligibility, and will support strong stewardship by providing the tools to address instances of deliberate fraud or misrepresentation.

Claimants who unknowingly made errors in their application will continue to be required to repay to any CERB payments they received for which they were ineligible, but will not be subject to additional penalties.

D. Part 4 – Questions and Answers: An Act to amend the Canada Emergency Response Benefit Act

Q. Why is the Government proposing changes at this time to the Canada Emergency Response Benefit Act?

A. These amendments will ensure the CERB remains responsive to the current context and support its smooth administration, as well as allowing for enhanced integrity of the program and enforcement in cases of fraud. Together these amendments support the re-opening of the economy, while effectively providing for the integrity of the program.

Q. What changes are being proposed through the amendments to the Canada Emergency Response Benefit Act?

A. Minor amendments are proposed to change the length of the benefit period from 4 weeks to 2 weeks, and require people to return to work when it is reasonable for them to do so. Additionally, new integrity measures provide for reconsideration of decisions on eligibility, debt recovery, and authorities for penalties and prosecution for cases where someone knowingly commits fraud.

Claimants who unknowingly made errors in their application will continue to be required to repay to any CERB payments they received for which they were ineligible, but will not be subject to additional penalties.

3. Disability

A. Overview

Official title: Part [Redacted] – Division [Redacted]  –  Overview [Redacted] - An Act to amend certain Acts with respect to the disclosure and use of information for the purpose of a one-time payment to persons with disabilities (coronavirus disease 2019)

The Government of Canada will provide $548 million for a one-time, non-taxable payment of up to $600 to persons with disabilities to address extraordinary expenses incurred as a result of the pandemic. The payment would be made to persons who are eligible for the Disability Tax Credit (DTC) administered by the Canada Revenue Agency (CRA). Employment and Social Development Canada (ESDC) will deliver the payment.

ESDC has authority to issue a one-time disability payment under the Department of Employment and Social Development Act (DESDA).

However, amendments to the Income Tax Act and the Children’s Special Allowances Act are required to enable the CRA to share information related to those persons with disabilities eligible for the DTC with ESDC to administer and deliver the one-time payment. The information will enable ESDC to pay eligible recipients and will be used to compare against the list of recipients of the one-time seniors payment to provide top-up amounts to a total of $600.

The amendment to subsection 241(4) of the Income Tax Act will allow for the use and provision of information related to eligible individuals with a valid certificate for the DTC as at June 1, 2020 to ESDC for the administration of the one-time payment. The amendment to subsection 10(2) of the Children’s Special Allowances Act permits the sharing of information related to agencies or care providers of children who have a valid DTC certificate.

Summary of the measure

B. Clause-by-Clause [Section redacted]

C. Key messages

Official title: Part [Redacted] – Division [Redacted] – Key messages [Redacted] An Act to amend certain acts with respect to the disclosure and use of information for the purpose of a one-time payment to persons with disabilities (coronavirus disease 2019)

Issue

In recognition of the extraordinary expenses faced by persons with disabilities during the COVID-19 pandemic, the Government of Canada is providing a one-time disability payment of $600 to persons with disabilities who are eligible for the Disability Tax Credit (DTC) administered by the Canada Revenue Agency (CRA). The payment consists of a one-time, non-taxable and non-reportable amount paid to all eligible individuals with a valid eligibility certificate for the DTC as at June 1, 2020. Employment and Social Development Canada (ESDC) will deliver the payment.

Talking points

D. Questions and answers

Official title: Part [Redacted] – Division [Redacted]  – Questions and answers [Redacted] - An act to amend certain acts with respect to the disclosure and use of information for the purpose of a one-time payment to persons with disabilities (coronavirus disease 2019)

Q. What is the one-time payment to persons with disabilities?

A. In recognition of the extraordinary expenses faced by persons with disabilities during the COVID-19 pandemic, the Government of Canada is providing a one-time disability payment of $600 to persons with disabilities who are eligible for the Disability Tax Credit. The payment consists of a one-time, non-taxable and non-reportable amount paid to all eligible individuals with a valid eligibility certificate for the Disability Tax Credit as at June 1, 2020.

Q. Why is a payment needed for persons with disabilities?

A. This payment is meant to address the extraordinary expenses incurred by persons with disabilities as a result of the COVID-19 pandemic.

The Government recognizes that persons with disabilities face unique and significant challenges during the COVID-19 pandemic. Additional expenses due to the COVID-19 pandemic include paying higher costs for personal protective equipment, personal support workers and other disability supports; increased costs for medical supplies and medication; higher internet and long-distance telephone costs associated with physical distancing; and increased use of taxis and home delivery services to obtain groceries and prescriptions.

This payment is meant to complement other emergency supports provided by the Government of Canada, such as the one-time special payment through the Goods and Services Tax Credit.

Q. Why are legislative amendments needed?

A. The Minister has the authority to issue a one-time disability payment under the Department of Employment and Social Development Act (DESDA).

However, amendments to the Income Tax Act and the Children’s Special Allowances Act are required to enable CRA to share information related to those persons with disabilities eligible for Disability Tax Credit (DTC) with Employment and Social Development Canada to administer and deliver the one-time payment.

The information will enable ESDC to pay eligible recipients and will be used to compare against the list of recipients of the one-time seniors payment to provide top-up amounts.

The amendments to subsection 241(4) of the Income Tax Act will allow for the provision of information related to the DTC to ESDC for the administration of the one-time payment. The amendments to subsection 10(2) of the Children’s Special Allowances Act will permit the sharing of information related to agencies or care providers of children who have a valid DTC certificate.

Q. Why doesn’t the CRA pay eligible individuals instead of transferring information to ESDC to make the payment?

ESDC has authority under DESDA to make the one-time payment to persons with disabilities pursuant to the Minister’s mandate to promote social well-being and income security. CRA has no authority to make a payment to individuals in receipt of a DTC certificate.

Further, by comparing the information received from CRA to the list of seniors receiving the one-time payment for seniors, ESDC will be able to provide a top-up payment to eligible seniors with disabilities.

Q. What will ESDC do with the private taxpayer information it receives from CRA once this payment has been issued?

Section 6 of the Privacy Act requires that a government institution retain personal information used for an administrative purpose for a period of time. This is to ensure that the individual to whom the information pertains has a reasonable opportunity to obtain access to it. Retention and disposal of personal information must be made in accordance with the Privacy Act, its regulations, and the Treasury Board Directive on Privacy Practices.

In general, the Privacy Act regulations require that personal information concerning an individual used for an administrative purpose be retained by the institution for at least two years after its last administrative use.

Q. Has the Minister provided the necessary notification to the Office of the Privacy Commissioner regarding her intention to acquire the private information of taxpayers?

The Office of the Privacy Commissioner (OPC) will be informed this week of the Government’s proposed approach to implement the one-time payment for persons with disabilities. The notification to the OPC will highlight the proposed legislative amendments to permit CRA to share personal information with ESDC, and ESDC’s commitment to complete a Privacy Compliance Checklist by mid-July 2020.

Given the volume of changes to program activities at ESDC and across federal institutions as a whole, the OPC has indicated that written notification is sufficient under the circumstances.

ESDC will be following the draft interim Treasury Board Directive on Privacy Impact Assessments, which permits a streamlined approach to assessments, given the context of COVID-19.

[Five paragraphs redacted]

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