any council authorizing the borrowing of any larger sum than the amount limited by this sub-section, the members of the council who vote therefor shall be disqualified from holding any municipal office for the period of two years. (a) Sub-section 2 shall not be held to have applied heretofore to a town or township any portion of which is situate within two miles of city containing more than 100,000 inhabitants, nor shall the said sub-section apply to such town or township until the last day of the next ensuing session of this Legislature, but it shall thereafter apply to such municipalities. 61 V., c. 23, s. 16. (3) The powers by this section conferred shall not be exercised except for the purpose of meeting the ordinary expenditure of the municipality; and the person or bank lending any sum to a municipal corporation under this section shall not be bound to establish the necessity of borrowing the same. 60 V., c. 45, s. 50, part. money for (4) The council of any municipality shall have similar bor- Borrowing rowing powers, with regard to moneys required by the trustees School purof any public school within such municipality or by the trus- poses, tees of a high school district of which such municipality is partly or wholly composed; provided such sums of money do not exceed the estimates submitted by such public or high school trustees as required by The Public Schools Act and The Rev. Stat. High Schools Act. 57 V., c. 50, s. 5, part. cc. 292, 293. special author etc., to be 436. Unless specially authorized so to do, no council shall Without make or give any bond, bill, note, debenture or other undertak- ity, no bond, ing, for the payment of a less amount than $100; and any given for less bond, bill, note, debenture or other undertaking issued in con- than $100. travention of this section, shall be void. 55 V., c. 42, s. 414. MUNICIPAL AND SCHOOL ACCOUNTS. R. S. O. 1897, CAP. 228. Act not to apply to cities of over 15,000. Appointment Municipal, An Act to make better provision for keeping and auditing Municipal and School Accounts. HE ER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows: 1. This Act shall not apply to cities having a population of over fifteen thousand by the latest enumeration of the assessors; and the word "city" when it appears herein shall apply and include only cities having a population of fifteen thousand or less. 2. The Lieutenant-Governor in Council may from time to of Provincial time appoint for the purposes of this Act a Fellow of the Institute of Chartered Accountants of Ontario, or some other expert accountant who shall be known as "The Provincial Municipal Auditor." Auditor may make rules subject to approval by Order in Council. 3. It shall be the duty of the Provincial Municipal Auditor, subject to the approval of the Lieutenant-Governor in Council, from time to time to frame rules respecting the following matters namely: (a) The number and forms of books of account to be kept by the treasurers of county, city, town, township and village municipalities and of police villages respectively; (b) The system of book keeping to be adopted by all municipal treasurers, or by the treasurers of any class of municipalities, and by the treasurers of all or of any class of school boards; (c) The manner in which books of account, vouchers, receipts, moneys and securities of muncipalities and school boards shall be kept; (d) The audit and examination of accounts and moneys of municipal corporations and of school moneys by municipal and school auditors respectively, or by the Provincial Municipal Auditor, or by any person appointed by him for that purpose. force of law. 4. The rules so made shall after approval by the Lieutenant- Rules to have Governor in Council and publication in The Ontario Gazette, have the force of law, and any officer of a municipal corporation guilty of any wilful act or omission in contravention of such rules, in addition to any other penalty provided by law, shall Penalty for upon conviction before two or more justices of the peace, be rules. liable to a penalty of not more than $100, nor less than $20 and costs, and shall be disqualified for the period of two years thereafter from holding any municipal office. violation of municipalities. 5. In order that municipal accounts may be kept correctly Auditor to preand according to a uniform method, the said Auditor shall pare books for prepare a book or sets of books of account upon a proper system for use by county, city, town, township and village corporations and police villages respectively; and he shall submit the said books to the Lieutenant-Governor in Council for approval. of school 6. The said auditor when directed by and subject to the Books for use approval of the Lieutenant-Governor in Council as aforesaid, boards. shall also from time to time prepare books of account upon a simple and uniform system of bookkeeping, for use by the various school boards throughout the Province, except in cities having a population of 15,000 or over, to be determined as hereinafter mentioned. boards to pro 7-(1) After the approval of the said books by the Lieutenant- Councils and Governor in Council, and after notice of their preparation and cure books publication has been given in The Ontario Gazette, and in two prescribed. public newspapers published in the city of Toronto once a week for three successive weeks, and after a notice of such approval has been sent to the clerk of each municipality to which this Act applies, by registered letter, the council of each of such municipalities and each of such school boards shall at the beginning of the next year after the last publication of said notice, procure the book or books prescribed for their municipality or board, and shall keep the accounts of the municipality or board therein, and in accordance with the system provided thereby, and any municipality aforesaid which refuses or neglects so to do, shall be liable to the penalty of $100 for Penalty. every month it may be in default, to be recovered by the said auditor or by any ratepayer in the municipality with the consent of the auditor in any court of competent jurisdiction. with full costs of suit; and every school board of any city or town which refuses or neglects so to do shall be liable to a penalty of $50, and every other school board shall be liable to Arrangements for publication of books. Inspection and audit of muni a penalty of $25 for every month it is in default, to be recovered by any ratepayer of the city or town or school section with the consent of the auditor in any court of competent jurisdiction with full costs of suit. (2) Provided, nevertheless, that where any municipality or board shall establish to the satisfaction of the Provincial Municipal Auditor that the system adopted and the books in use by such municipality or board are sufficient and satisfactory, and the auditor so certifies, the use of the books or the adoption of the system herein before provided for shall not be compulsory, and the penalties in such case shall not be incurred. 8. In case there is no prospect of the publication of said books or of any one or more of them by some responsible publisher, the Auditor may call for tenders for their publication, and with the approval of the Lieutenant-Governor in Council may arrange for such publication and for the sale thereof, and in order that said books may be supplied to the public at a reasonable cost, may, with the like approval, fix the price at which the same shall be sold. 9.-(1) The Provincial Municipal Auditor may at any time cipal accounts. on his own motion, or whenever requested by any two members of a municipal council, make an inspection, examination or audit of the books, accounts, vouchers and moneys of any municipal corporation in the hands of the treasurer or collector thereof, and when required by a requisition in writing signed by thirty ratepayers resident in the municipality and directed by the Lieutenant-Governor in Council, he shall make such an inspection, examination or audit. Powers of auditor while tigation. (2) The said Auditor may at any time on his own motion make an inspection, examination or audit of the books, accounts, vouchers and moneys of any school board in the hands of its treasurer, collector or other officer. (3) The said Auditor may with the approval of the Lieutenant-Governor in Council appoint a Fellow of the Institute of Chartered Accountants of Ontario, or some other expert accountant who is familiar with municipal accounts, to make such inspection, audit or examination, and the person so appointed shall have all the powers and shall perform all the duties by this Act conferred or imposed upon the said Auditor when acting under this section. 10. The said Auditor upon any such audit, examination or holding inves- inspection may require the treasurer, collector or auditor of any municipality or school board, or any other person, to appear and give evidence on oath, and for this purpose he shall have the same power to summon such officers or other persons to attend as witnesses, to enforce their attendance, and to compel them to produce books and documents and to give evidence as any judge or court has in civil cases, and the officers of all municipalities and school boards shall as often as required by the said Auditor produce all books and documents required to be kept by them, at the treasurer's office for examination and inspection. auditor of 11. It shall be the duty of every municipal treasurer within To notify five days after his appointment to office to inform the said appointment. Auditor of his appointment and of his full name and postoffice address. produce books 12.-(1) Every treasurer shall whenever requested so to do Treasurer to by the Provincial Municipal Auditor, at any reasonable time, when required produce and exhibit for examination and inspection all books, by auditor. accounts, vouchers and documents in his hands as treasurer of the municipality. (2) Any treasurer who neglects or refuses to comply with Penalty. the provisions of sub-section 1 of this section shall, on summary conviction thereof, before two or more justices of the peace, be liable for each offence to a fine of not more than $20, nor less than $5, besides the costs of conviction. 13. The Provincial Municipal Auditor or any other person making an audit, inspection or examination under this Act, shall report thereon to the council of the municipality, and to the Lieutenant-Governor, and shall in such report make such recommendations as may seem to him to be necessary to carry out the provisions of this Act and The Municipal Act and the School Laws as regards the keeping of the books and accounts of the municipality or board and so as best to secure the moneys and assets of the said corporation. Report on audit, etc. inspection or that Act carried out. 14. It shall be the duty of every member of the council of a Members of municipality, by every means in his power, to procure the due councils to see observance by the council and officers of the corporation of the provisions of this Act and the rules to be made hereunder, and to see that the recommendations of the said Auditor, or of any person appointed by him as herein before mentioned are duly carried out. inspection auditor. 15. Whenever the said Auditor personally conducts an audit, Payment of inquiry, inspection or examination under this Act, the fees and expenses of expenses to be allowed therefor shall be determined and certi- audit by fied by the Attorney-General or other Minister, and shall become a debt due to the Crown from the municipality, and in default of payment thereof the Provincial Treasurer may deduct the same from any moneys payable to the municipality by the Province, or such fees and expenses may be recovered in any court of competent jurisdiction in the name of the Provincial Municipal Auditor. |