BILL 12
New Brunswick Internal Services Agency Act
Her Majesty, by and with the advice and consent of the Legislative Assembly of New Brunswick, enacts as follows:
Definitions
1 The following definitions apply in this Act.
“Agency” means the body corporate established under section 2 under the name New Brunswick Internal Services Agency. (agence)
“Board” means the board of directors of the Agency. (conseil d’administration)
“civil service” means Civil Service as defined pursuant to the Civil Service Act. (fonction publique)
“common services” means those services prescribed by regulation. (services communs)
“Minister” means the member of the Executive Council designated by the Lieutenant-Governor in Council to administer this Act. (ministre)
“Part I of the public service” means those portions of the public service listed in Part I of the First Schedule of the Public Service Labour Relations Act. (partie I des services publics)
“public service” means public service as defined in the Public Service Labour Relations Act. (services publics)
Agency established
2(1) There is established a body corporate to be known as the New Brunswick Internal Services Agency consisting of those persons who from time to time comprise the board of directors.
2(2) The Agency is for all purposes of this Act an agent of Her Majesty in right of the Province.
2(3) The Agency may contract in its corporate name without specific reference to Her Majesty.
2(4) All property, whether real or personal, acquired for the purposes of this Act is vested in the Agency as agent of Her Majesty in right of the Province and may be dealt with, leased, sold or otherwise disposed of by the Agency in its corporate name.
2(5) Any revenues of the Agency shall be used for the purpose of carrying out its objects and purposes.
Head office
3 The head office of the Agency shall be established by by-law of the Board.
Objects and purposes
4 The objects and purposes of the Agency are
(a)  to provide common services and other services to the civil service and the public service,
(b)  to streamline processes in order to provide services in a more efficient and effective manner,
(c)  to acquire and maintain the infrastructure needed to support the delivery of services,
(d)  to identify, promote and implement best practices for the delivery of services by the civil service and the public service,
(e)  to provide services, including common services, other governments or levels of government or their agencies or institutions, and
(f)  to carry out such other activities relating to the provision of common services or other services as directed by the Lieutenant-Governor in Council.
Powers
5(1) The Agency has the power to do anything that the Agency considers necessary or convenient for, or incidental or conducive to, the carrying out of its objects and also to do such other things as a company is empowered to do under subsection 14(1) of the Companies Act.
5(2) The Agency may
(a)  enter into contracts or partnerships with persons for the provision of services, including common services,
(b)  enter into agreements for the sale of services, including common services, with other governments or levels of government or their agencies or institutions,
(c)  assume the assignment of contracts between Her Majesty the Queen in right of the Province and other persons related to the provision of services, including common services,
(d)  enter into memorandums of understanding with deputy heads or chief executive officers within the civil service or public service relating to the method, amount or other matters related to the provision of services, including common services, provided by or through the Agency, or
(e)  enter into one or more memorandums of understanding with the Minister of Finance for funding multi-year projects and undertakings on the basis of anticipated efficiencies and savings in the delivery of services, including common services.
Common services
6 On and after the date prescribed by regulation, common services shall not be provided by or within the prescribed portions of the civil service or Part I of the public service except by or through the Agency.
Application of Companies Act
7 The provisions of the Companies Act apply to the Agency so far as they are not inconsistent with the provisions of this Act.
Board of directors
8(1) The board of directors of the Agency shall consist of
(a)  not fewer than 9 and not more than 11 members, appointed in accordance with this section, and
(b)  the President of the Agency.
8(2) The members of the Board are directors of the Agency within the meaning of the Companies Act, except where inconsistent with this Act.
8(3) The Minister shall appoint 9 members of the Board, all of whom shall be employed within the public service and at least 6 of whom shall be deputy heads within the civil service.
8(4) The Lieutenant-Governor in Council, on the recommendation of the Minister, may appoint 2 members of the Board who shall not be employed within the civil service or the public service.
Term of office
9(1) A member of the Board, other than the President, shall be appointed for a term of 3 years.
9(2) Each member of the Board, other than the President, remains in office, notwithstanding the expiry of his or her term, until the member resigns, is reappointed or replaced or, if a deputy head on appointment, is no longer a deputy head.
9(3) Subject to subsection 17(6), if a vacancy occurs on the Board, the person who appointed the member may appoint a person to fill the vacancy for the balance of the term of the member replaced or for a full term.
9(4) A vacancy on the Board does not impair the capacity of the Board to act.
9(5) Any person appointed to the Board, other than the President, who is not a member of the civil service shall not be appointed for more than 2 consecutive terms.
Chairperson and Vice-Chairperson
10(1) Subject to subsection (2), the Chairperson and a Vice-Chairperson of the Board shall be selected by the board members from among themselves.
10(2) The Chairperson and the Vice-Chairperson shall both be deputy heads in the civil service.
Remuneration and expenses
11(1) No member of the Board, other than the President, shall be paid remuneration in respect of his or her duties as a member of the board.
11(2) Each member of the Board is entitled to be paid such travelling and living expenses incurred by the member in the performance of the member’s duties as fixed by the Board of Management travel policy guidelines, as amended.
Board to administer affairs of Agency
12 The Board shall administer the affairs of the Agency and all decisions and actions of the Board are to be based generally on sound business practices.
Quorum
13 A majority of the members of the Board constitute a quorum.
Secretary of the Board
14 The Board shall appoint an employee of the Agency to be secretary of the Board who shall perform such duties and functions as the Board may direct.
Meetings
15(1) The Board of Directors shall meet as required but shall meet at least 4 times during a fiscal year.
15(2) The Board shall ensure that minutes of each meeting are taken, which minutes shall be approved by the Board and certified as correct by the secretary.
15(3) A copy of the minutes of each meeting, certified to be correct by the secretary of the Board, shall be submitted to the Minister after each meeting of the Board.
By-laws
16 Subject to this Act, the Board may, with the approval of the Lieutenant-Governor in Council, make by-laws for the control and management of the business and affairs of the Agency.
President
17(1) The Lieutenant-Governor in Council shall appoint a President of the Agency who shall be the chief executive officer of the Agency.
17(2) The President is charged with the supervision, operation and control of the business of the Agency and may exercise such other powers as may be conferred on the President by the by-laws of the Agency.
17(3) The President is an ex officio member of the Board.
17(4) The President may be removed for cause by the Lieutenant-Governor in Council.
17(5) The Public Service Superannuation Act applies to the President.
17(6) If the position of President is vacant, the Board may appoint a person to temporarily act in that capacity until the Lieutenant-Governor in Council appoints a President.
Conflict of interest
18(1) A member of the Board shall disclose in writing to the Agency or request to have entered in the minutes of the meetings of the Board the nature and extent of the member’s interest in the following circumstances:
(a)  the member is a party to a material contract or proposed material contract with the Agency; or
(b)  the member is a director or an officer of or has a material interest in any person who is a party to a material contract or proposed material contract with the Agency.
18(2) The disclosure required by subsection (1) shall be made
(a)  at the meeting at which a proposed contract is first considered,
(b)  if the member was not then interested in a proposed contract, at the first meeting after the member becomes so interested,
(c)  if the member becomes interested after a contract is made, at the first meeting after the member becomes so interested, or
(d)  if a person who is interested in a contract later becomes a member, at the first meeting after the person becomes a member.
18(3) If a material contract or proposed material contract is one that, in the ordinary course of the Agency’s business, would not require approval by the members of the Board, a member shall disclose in writing to the Agency or request to have entered in the minutes of the meetings of the Board the nature and extent of the member’s interest immediately after the member becomes aware of the contract or proposed contract.
18(4) A member referred to in subsection (1) shall not be counted in the quorum, shall not be present and shall not vote at any meeting on any resolution to approve the contract.
18(5) For the purposes of subsections (2) and (3), a general notice to the members of the Board by a member declaring that the member is a director or officer of or has a material interest in a person and is to be regarded as interested in any contract made with that person, is a sufficient declaration of interest in relation to any contract so made.
18(6) A member of the Board who has any pecuniary or proprietary interest other than one referred to in paragraph (1)(a) or (b) that puts the member’s interest in conflict with that of the Agency, or might reasonably be expected to do so, shall disclose in writing to the Agency or request to have entered in the minutes of meetings of the Board the nature and extent of the member’s interest.
18(7) The disclosure required by subsection (6) shall be made immediately after the member becomes aware of the member’s interest.
18(8) For the purposes of subsections (6) and (7), a general notice to the members of the Board by a member declaring that the member has a pecuniary or proprietary interest other than one referred to in paragraph (1)(a) or (b) that puts the member’s interest in conflict with that of the Agency, or might reasonably be expected to do so, is a sufficient declaration of the member’s interest.
18(9) A member of the Board who is a deputy head or a member of the public service does not have a conflict under this section by virtue only of the fact that he or she is a deputy head or a member of the public service.
Indemnity
19 Every member or former member of the Board, and the heirs, executors, estate and effects of every such member shall be indemnified and saved harmless out of the funds of the Agency with respect to all costs, charges and expenses that such member incurs in relation to any action or other proceeding brought or prosecuted against him or her in connection with his or her duties as a member of the Board and with respect to all other costs, charges and expenses he or she incurs in connection with those duties, except costs, charges and expenses that are occasioned by his or her own wilful neglect or wilful default.
Employees
20(1) Subject to sections 5 and 6 of the Financial Administration Act, the Agency may appoint employees.
20(2) Employees appointed to a position within the Agency shall be appointed on the basis of merit.
20(3) The Public Service Superannuation Act applies to the employees of the Agency.
Money to be paid to Agency
21 All money received from the sale or provision of services or otherwise accruing to the Agency shall be paid to the Agency.
Fees for services
22(1) Where provided under a memorandum of understanding referred to in paragraph 5(2)(d), the Agency may charge for common services or other services provided by or through the Agency based on consumption or service level.
22(2) The Agency may charge for services, including common services, provided to another government or level of government or its agencies or institutions or any other organization, person or body, and the fees may be charged based on consumption or service level.
Funding from Consolidated Fund
23 If at the end of a fiscal year, any money appropriated for the Agency’s purposes has not been used, the Minister of Finance shall transfer that unused portion of the appropriation from the Consolidated Fund to the Agency.
Holding over of funds
24(1) Notwithstanding the Financial Administration Act, but subject to subsection (2), the Agency may hold funds over any fiscal year, whether received from the Consolidated Fund or from another source.
24(2) The Minister of Finance may direct that any funds that would otherwise be held over be paid into the Consolidated Fund.
Banking arrangements
25(1) The Agency shall maintain in its own name one or more accounts in any chartered bank designated by the Minister of Finance.
25(2) Notwithstanding the Financial Administration Act, all money received by the Agency through the conduct of its operations or otherwise is to be deposited to the credit of the accounts established under subsection (1) and shall be administered by the Agency or on behalf of the Agency by the Comptroller exclusively in the exercise and performance of its powers, duties and functions.
Expenses
26 The Agency shall pay the remuneration and expenses of the President, the expenses of the other members of the Board and of the employees of the Agency, and generally all costs, charges and expenses incurred and payable on respect of the conduct of the business and affairs of the Agency.
Fiscal year
27 The fiscal year of the Agency ends on March 31 in each year.
Multi-year business plan
28(1) The Board shall submit to the Executive Council a multi-year business plan outlining the intended direction of the Agency, and the anticipated source and use of revenues and anticipated allocations from the Consolidated Fund.
28(2) The Board shall report annually on the progress or any revisions to the plan.
Budget
29(1) The Board shall, on or before December 31 in each year, prepare and submit to the Board of Management a proposed budget containing estimates of the amounts required for the operation of the Agency for the next fiscal year, and shall include a provision for any loans or advancements required by the Agency.
29(2) The Secretary of the Board of Management may make a report on the budget containing such recommendations as the Secretary considers appropriate to the Chairperson of the Board within 30 days after receiving the budget.
29(3) If in any fiscal year it appears that the actual revenue or expenditure of the Agency is likely to be substantially greater or less than estimated in its budget, the Board shall submit to the Board of Management a revised budget containing the particulars required under subsection (1).
Audit
30 The accounts of the Agency shall be audited at least once a year by an auditor appointed by the Agency, and may be audited by the Auditor General at any time on his or her initiative or on the request of the Lieutenant-Governor in Council.
Reports
31(1) The Agency shall, within 6 months after the end of each fiscal year, submit to the Minister an annual report, containing the auditor’s report and such other information as may be required by the Minister in respect of the business and affairs of the Agency during the fiscal year.
31(2) The Minister shall lay the report before the Legislative Assembly if it is in session or, if not, at the next ensuing session.
31(3) The Agency shall provide to the Minister such information in respect of the business and affairs of the Agency as the Minister may request from time to time.
Regulations
32 The Board of Management, with the approval of the Lieutenant-Governor in Council, may make regulations
(a)  prescribing common services;
(b)  prescribing portions of the civil service or Part I of the public service for the purposes of section 6;
(c)  prescribing the date after which the prescribed portions of the civil service or Part I of the public service may only obtain common services by or through the Agency.
Proceedings Against the Crown Act
33 The definition “Crown corporation” in the Proceedings Against the Crown Act, chapter P-18 of the Revised Statutes, 1973, is amended by adding “New Brunswick Internal Services Agency,” after “Service New Brunswick,”.
Public Service Labour Relations Act
34 The First Schedule of the Public Service Labour Relations Act, chapter P-25 of the Revised Statutes, 1973, is amended in Part I by adding after “New Brunswick Housing Corporation” the following:
New Brunswick Internal Services Agency
Commencement
35 This Act or any provision of this Act comes into force on a day or days to be fixed by proclamation.