UPDATE Delivering the propers fo...

UPDATE

Delivering the propers

for most people in BC if it be not that not for members of the of recent origin provincial government. Gordon Campbell's Liberal dominion has been working overtime to prepare and implement all the initiatives promised within their first 90 days in office.

In fact, as Beyond Numbers went to pres at the [i]finale[/i] of July, several major control activities were about to take place.

Economic and Fiscal Update

The conduct recalled the legislature for July 24 and an economic and fiscal update was to be tabled upon July 30. While no details were available as we went to pres it was widely wait fored that a large deficit would be announced for the instant fiscal year. Finance Minister Gary Collins said that fiscal projections from packet 2001 were unachievable-- both in denominations of revenues and expenses.

Before the release of the update, the Finance Minister said that receiptss from crown corporations were look fored to be approximately $500 million below roll 2001 projections. In addition, Collins said that expenditure projections from stock 2001 were understated in several areas; Pharmacare, for example, may require to be paid [i]or[/i] undergone $85 million more than brewed

Fiscal Review Panel

The Fiscal Review Panel has been mandated to report forward the province's finances before July 31 if it be not that expectations had been for an earlier release. The review panel has exhausted several months analyzing the fiscal situation of the province, and their report will no doubt have a crucial influence upon th economic and fiscal update.

The seven-member panel includes four chartered accountants: Gord Barefoot, CA (chair); John Cowperthwaite, CA; Tim Duholke CA; and Hugh Gordon, FCA.

The Institute made a submission to the Fiscal Review Panel in June and the report is available forward the Government Affairs section of the ICABC website at www.ica.bc.ca.

Truth-in-Budgeting Lai

One of the first note of the scale pieces of legislation expected this session is a truth-in-budgeting law-one that will station the stage for mandating the use of generally accepted accounting principles in conduct financial reporting. If the legislation is anything like the 1998 members' bill by way of the Liberals, we can rely upon the government to establish a financial reporting committee to prepare and instant a report to the Legislative Assembly in which it make acceptables financial reporting policies that must be based forward GAAP The committee will include a chartered accountant from the Public Sector Accounting Board (PSAB).

The Institute wrote an opinion article in succession the importance of truth-in-budgeting that is available onward the Government Affairs section of the website.

Limited Liability Partnerships (LLPs)

In June Saskatchewan became the fourth province to amend the Partnership Act to allow Limited Liability Partnerships (LLPs) joining Alberta, Ontario, and Quebec.

The ICABC has updated its policy position paper forward LLPs to reflect recent progressive growths In addition, with the cabinet reorganization, the responsibility for LLP has mov from the Ministry of Finance to the novel Ministry of Competition, Science & Enterprise. The Minister responsible is the Hon Rick Thorpe.

Proportionate Liability

On June 14 Bill S-11 received Royal Assent and became law. This Bill implements a modified proportionate liability regime below the Canada Business Corporations Act and the Canada Cooperatives Act. The enactment of this legislation means that the federal management has recognized the threat pos through joint and several liability and has taken action in replication The amendments contained in the legislation make liability proportional to the step of fault for most claims involving financial information that are filed below these two acts. In other words, defendants in of that kind cases will be held responsible single for their share of financial los as determined at the courts.

Government Caucus Committees

Chartered Accountants Brian Kerr FCA, and Patrick Wong CA, have the couple been named to the restraint Caucus Committee on the Economy.

The of the present day committee structure is meant to provide for greater public input into the BC policy proces The committees will make recommendations for policy and legislation, and will be integral to the proces of policy disentanglement

by Craig Fitzsimmons, Manager of Public Affairs

Copyright Institute of Chartered Accountants of British Columbia Aug 2001

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