Vol. 145, No. 14 — July 6, 2011

Registration

SOR/2011-124 June 16, 2011

IMMIGRATION AND REFUGEE PROTECTION ACT

ARCHIVED — Regulations Amending the Immigration and Refugee Protection Regulations

P.C. 2011-618 June 16, 2011

His Excellency the Governor General in Council, on the recommendation of the Minister of Citizenship and Immigration, pursuant to subsection 5(1) and section 14 of the Immigration and Refugee Protection Act (see footnote a), hereby makes the annexed Regulations Amending the Immigration and Refugee Protection Regulations.

REGULATIONS AMENDING THE IMMIGRATION AND REFUGEE PROTECTION REGULATIONS

AMENDMENTS

1. Paragraph (c) of the definition “entrepreneur” in subsection 88(1) of the Immigration and Refugee Protection Regulations (see footnote 1) is replaced by the following:

  1. (c) provides a written statement to an officer that they intend and will be able to meet
    1. (i) in the case of an entrepreneur selected by a province,
      1. (A) if there are provincial conditions that the entrepreneur is required by subsection 98(2) to meet, those conditions, as well as the conditions set out in subsections 98(3) to (5), and
      2. (B) if there are no provincial conditions that the entrepreneur is required to meet, the condition set out in paragraph 98(5)(a), and
    2. (ii) in the case of any other entrepreneur, the conditions set out in subsections 98(1) and (3) to (5).

2. (1) Subsection 98(2) of the French version of the Regulations is replaced by the following:

Conditions : alinéa 9(1)d) de la Loi

(2) Si, au moment où l’entrepreneur sélectionné par une province souscrit la déclaration prévue à l’alinéa c) de la définition de « entrepreneur » au paragraphe 88(1), la province a établi des conditions auxquelles il doit se conformer, il y mentionne alors ces conditions et s’y conforme en lieu et place des conditions énoncées au paragraphe (1).

(2) Subsection 98(6) of the Regulations is replaced by the following:

Family members

(6) The family members of an entrepreneur are subject to the condition that the entrepreneur meets the conditions set out or referred to in this section.

Non-application

(7) If, at the time that a province issues a selection certificate to an entrepreneur, there are no provincial conditions that must be met by the entrepreneur,

  1. (a) the entrepreneur is not required to meet the conditions set out in paragraphs (1)(a) to (c); and
  2. (b) subsections (2) to (4), paragraph (5)(b) and subsection (6) do not apply in respect of the entrepreneur.

COMING INTO FORCE

3. These Regulations come into force on the day on which they are registered.

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Regulations.)

Issue and objectives

Issue

The federal entrepreneur program was created in 1978 to attract successful business people who would create businesses and jobs in Canada. Approved entrepreneurs receive conditional permanent resident status, and must satisfy post-landing conditions requiring them to establish or purchase and manage a business in Canada that creates at least one incremental job for Canadians.

Quebec operates an entrepreneur program under the authority of section 9 of the Immigration and Refugee Protection Act and the Canada-Quebec Accord (the Accord), which grants sole selection authority for all classes except Family and In-Canada Refugee classes to the Province of Quebec. Under the Immigration and Refugee Protection Regulations (the Regulations), Quebec-selected entrepreneurs must meet terms and conditions, either those established by the Province, or in the absence of provincial conditions, federal conditions. Quebec entrepreneurs have been subject to conditions established by the Province since 2006. The current conditions established by the Province stipulate that the entrepreneur will

  • create or acquire a business established in Quebec where they will hold at least 25% of the capital equity with a value of at least C$100,000;
  • employ, on a permanent basis, a Quebec resident other than the entrepreneur or their accompanying family members; and
  • participate in the daily management and operations of the business.

Prior to 2006, and dating back to the coming into force of the Regulations in 2002, Quebec entrepreneurs were subject to federal conditions.

A review of the wording of the current Regulations has revealed that they may restrict Quebec’s selection authority by imposing federal conditions by default in the absence of provincial conditions. This regulatory change will ensure that Quebec is able to exert its sole selection authority under the Accord.

Objectives

The objective of the regulatory amendments is to ensure that Quebec is able to exert its authority under the Accord by clarifying that Quebec-selected entrepreneurs are not required to meet federal conditions and associated reporting requirements if Quebec does not impose post-arrival conditions under subsection 98(2) of the Regulations. These changes will ensure consistency with the terms of the Accord and afford Quebec the flexibility to make program changes in response to provincial economic priorities.

Description and rationale

Description

The amendments add a new subsection (7) to section 98 of the Regulations specifying that if there are no conditions to be met by an entrepreneur selected by a province pursuant to subsection 98(2), the entrepreneur is not required to meet the federally imposed conditions and associated reporting requirements, except for the requirement to submit to an officer their residential address and telephone number within six months of becoming a permanent resident.

Subsequent to the prepublication of the proposed amendments in February 2011, technical amendments were also made to the definition “entrepreneur” in subsection 88(1) of the Regulations to reflect the clarification to section 98 as noted above.

Rationale

The changes ensure that Quebec is able to exercise its selection authority under the Accord by clarifying that an entrepreneur selected by a province must meet conditions only if they have been established by the province. It will not affect conditions that apply to federally selected entrepreneurs. Federally selected entrepreneurs will still settle within the rest of Canada and post-arrival conditions will continue to apply.

Unlike Quebec, other provinces and territories can bring in entrepreneurs under the Regulations governing provincial nominees, but are also responsible for the design and program criteria of their respective Provincial Nominee Programs including any conditions for entrepreneurs. These programs are not subject to section 98 conditions and reporting requirements. Separating Quebec-selected entrepreneurs from section 98 conditions and reporting requirements will remove restrictions on Quebec’s entrepreneur program that do not exist for other provinces and territories.

Consultation

Upon initiation by the Province of Quebec, officials from CIC started consulting with officials from the Ministère de l’Immigration et des Communautés culturelles (MICC) in July 2009 regarding these regulatory changes. These consultations have been ongoing, with the implementation of the regulatory amendment in Quebec being slated for June 2011.

The other provinces and territories were consulted on these changes through the Federal/Provincial/Territorial Working Group on Economic Programs in December 2010. There was no objection from other provinces as this change will result in equal treatment of Provincial Nominee programs and Quebec’s entrepreneur program vis-à-vis federal conditions.

Following pre-publication of the amendments in the Canada Gazette, Part I, on February 26, 2011, two submissions were received. MICC provided comments, as did a member of the Quebec legal community. Both parties supported the proposed changes.

Implementation, enforcement and service standards

This regulatory amendment will not affect the current compliance and enforcement strategies that are in place for entrepreneurs selected through the federal entrepreneur program. Entrepreneurs will still be subject to the reporting standards currently in place.

Contact

Heidi Smith
Director
Permanent Resident Policy and Programs
Immigration Branch
Citizenship and Immigration Canada
Telephone: 613-954-4214
Email: Heidi.Smith@cic.gc.ca

Footnote a
S.C. 2001, c. 27

Footnote 1
SOR/2002-227