S-18.2.1 - Act respecting the Société québécoise d’assainissement des eaux

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Updated to 27 October 1999
This document has official status.
chapter S-18.2.1
Act respecting the Société québécoise d’assainissement des eaux
DIVISION I
DEFINITIONS
1. In this Act, unless the context indicates otherwise,
municipality means a municipality, the Communauté urbaine de Montréal, the Communauté urbaine de Québec, the Communauté urbaine de l’Outaouais, an intermunicipal management board established under the Municipal Code of Québec (chapter C-27.1) or the Cities and Towns Act (chapter C-19) or a band within the meaning of the Indian Act (Revised Statutes of Canada, 1985, chapter I-5) or the Cree-Naskapi (of Quebec) Act (Statutes of Canada, 1984, chapter 18);
water purification works means sewer interceptors, sewage treatment plants, diffusers, effluent outlets and subordinate installations.
1980, c. 10, s. 1; 1985, c. 30, s. 94; 1990, c. 85, s. 123; 1996, c. 2, s. 927.
DIVISION II
ESTABLISHMENT AND COMPOSITION OF THE SOCIÉTÉ
1999, c. 40, s. 298.
2. A legal person hereinafter called the “Société” is established under the name of “Société québécoise d’assainissement des eaux”.
The Société may also be designated by the acronym “S.Q.A.E.”.
1980, c. 10, s. 2; 1993, c. 2, s. 1; 1999, c. 40, s. 298.
3. (Repealed).
1980, c. 10, s. 3; 1999, c. 40, s. 298.
4. The head office of the Société is at the place fixed by the Government.
Notice of the location or any change of location of the head office shall be published in the Gazette officielle du Québec.
1980, c. 10, s. 4; 1999, c. 40, s. 298.
5. The affairs of the Société are administered by a board of directors of seven members appointed by the Government, two of whom must be members of the council of a municipality.
The members of the board of directors are appointed for a term of not over five years.
1980, c. 10, s. 5; 1999, c. 40, s. 298.
6. The Government shall designate, from among the persons that it appoints under section 5, the chairman and vice-chairman of the board of directors and the president of the Société. The president of the Société is also the managing director.
1980, c. 10, s. 6; 1999, c. 40, s. 298.
7. The Government shall fix the remuneration, the social benefits and the other conditions of employment of the president of the Société.
The members of the board of directors of the Société other than the president of the Société are not remunerated. However, they are entitled, in accordance with the norms fixed by the Government, to an attendance allowance and to reimbursement of their justifiable expenses in the exercise of their functions.
1980, c. 10, s. 7; 1999, c. 40, s. 298.
8. At the end of their terms, the members of the board of directors of the Société remain in office until they are reappointed or replaced.
1980, c. 10, s. 8; 1999, c. 40, s. 298.
9. Except in the case of the chairman of the board of directors or the president of the Société, any vacancy occurring during a term is filled for the remainder of the term of the member to be replaced, following the mode of appointment provided in section 5.
1980, c. 10, s. 9; 1999, c. 40, s. 298.
10. If the office of chairman of the board of directors is vacant or if the chairman is absent or unable to act, the vice-chairman shall act as chairman until a new chairman is appointed or for as long as the chairman is absent or unable to act.
1980, c. 10, s. 10; 1999, c. 40, s. 298.
11. If the office of president of the Société is vacant or if the president is absent or unable to act, the Government may appoint a person whose remuneration, social benefits and other conditions of employment it shall fix, to exercise the duties of the president for the remainder of his term or for as long as he is absent or unable to act.
1980, c. 10, s. 11; 1999, c. 40, s. 298.
12. The president of the Société is responsible for the administration of the Société within the scope of its by-laws.
He shall exercise his duties on a full-time basis.
1980, c. 10, s. 12; 1999, c. 40, s. 298.
13. Neither the chairman of the board of directors nor the president of the Société may, under pain of forfeiture of office, have any direct or indirect interest in any undertaking causing his personal interest to conflict with that of the Société. However, such forfeiture is not incurred if such an interest devolves to him by succession or gift, provided he renounces or disposes of it with all possible dispatch.
Every other member of the board of directors having an interest in an undertaking shall, under pain of forfeiture of office, disclose it in writing to the chairman of the board of directors and abstain from participating in any deliberation or decision involving the undertaking in which he has an interest.
1980, c. 10, s. 13; 1999, c. 40, s. 298.
14. Four members of the board of directors, including the chairman or the vice-chairman, are a quorum. If votes are equally divided, the chairman, or, if he is absent, the vice-chairman, has a casting vote.
1980, c. 10, s. 14.
15. The Société may appoint a secretary and any other employee necessary for its operations.
The secretary and the other employees of the Société are appointed and remunerated in accordance with the scales and standards and the staffing plan established by by-law of the Société.
1980, c. 10, s. 15; 1999, c. 40, s. 298.
16. The by-laws of the Société come into force upon approval by the Government.
1980, c. 10, s. 16; 1999, c. 40, s. 298.
17. The minutes of the sittings of the board of directors, approved by the board and certified by the chairman of the board of directors or by the secretary, are authentic, as are documents or copies emanating from the Société or forming part of its records, if certified by the secretary.
1980, c. 10, s. 17; 1999, c. 40, s. 298.
DIVISION III
OBJECTS AND POWERS OF THE SOCIÉTÉ
1999, c. 40, s. 298.
18. The objects of the Société are, in accordance with this Act,
(1)  to design, construct, improve, enlarge, put into operation, finance or operate water purification works for the needs of the municipalities or to carry out rehabilitation work on the municipal sewerage systems;
(2)  to carry out studies in respect of the rehabilitation of the municipal sewerage systems; and
(3)  to carry out other studies in matters of sewerage and water purification;
(4)  to finance development works on the beds, including the banks or shores and the lands bordering thereon, of lakes or watercourses;
(5)  to finance works to control the water-level of lakes or watercourses;
(6)  to design, construct, improve, enlarge, put into operation or finance sewerage or waterworks systems or drinking water treatment installations for the needs of the territory designated by the Government, which may include all or part of the territory of Municipalité de Côte-Nord-du-Golfe-du-Saint-Laurent, of a municipality constituted under the Act respecting the municipal reorganization of the territory of Municipalité de Côte-Nord-du-Golfe-du-Saint-Laurent (1988, chapter 55) or of a municipality situated in the territory of Municipalité régionale de comté de Minganie or Municipalité régionale de comté de Sept-Rivières, the whole to such extent and on such conditions as may be determined by the Government;
(7)  to act outside Québec in water-related issues, in particular by supplying goods and services related to the experience acquired by it in Québec, by promoting such goods and services and by fostering the development of Québec’s technological and industrial potential in water-related issues;
(8)  to act as an adviser to municipalities in the construction and operation of water purification works;
(9)  to provide technical and professional management assistance to municipalities for the construction of water purification works;
(10)  to develop projects for the transfer and dissemination of new technologies relating to water purification and drinking water treatment and, with the authorization of the Minister of Municipal Affairs and Greater Montréal, to carry out those projects.
With the exception of sections 24, 27 and 43, the provisions of this Act and of the regulations which apply for the purposes of subparagraph 1 of the first paragraph also apply, adapted as required, for the purposes of subparagraph 6 of the first paragraph, subject to such exceptions and conditions as may be determined by the Government.
1980, c. 10, s. 18; 1983, c. 57, s. 133; 1985, c. 3, s. 7; 1989, c. 63, s. 1; 1990, c. 22, s. 1; 1993, c. 2, s. 2; 1995, c. 32, s. 1; 1996, c. 2, s. 928; 1999, c. 40, s. 298; 1999, c. 43, s. 13.
19. The Société shall carry out the objects set out in subparagraphs 1 to 5 of the first paragraph of section 18 within the scope of a water purification programme elaborated under section 2 of the Environment Quality Act (chapter Q-2) and approved by the Government.
The Société shall carry out the objects set out in subparagraphs 6 and 7 of the first paragraph of section 18 within the scope of a programme referred to in the first paragraph or within the scope of any other programme approved by the Government.
The Société shall carry out the objects set out in subparagraphs 8 and 9 of the first paragraph of section 18 within the scope of a programme elaborated by the Minister of Municipal Affairs and Greater Montréal.
1980, c. 10, s. 19; 1989, c. 63, s. 2; 1993, c. 2, s. 3; 1995, c. 32, s. 2; 1999, c. 40, s. 298; 1999, c. 43, s. 13.
20. The Société may associate or contract with any person in order to carry out its objects.
1980, c. 10, s. 20; 1999, c. 40, s. 298.
21. In no case may the Société carry out the objects contemplated in paragraph 1 of section 18 unless the municipality requests it to do so and has previously entered into a convention to that effect with the Minister of Municipal Affairs and Greater Montréal.
The convention must in particular describe the water purification works or the rehabilitation work on the municipal sewerage system to be carried out, and set forth the financial obligations of the parties.
The Société must then enter with the municipality into an agreement contemplating the whole or a part of the water purification works or the rehabilitation work on the municipal sewerage system described in the convention entered into under the first paragraph; the agreement must indicate which of the objects contemplated in paragraph 1 of section 18 are to be carried out by the Société.
1980, c. 10, s. 21; 1983, c. 57, s. 134; 1994, c. 17, s. 66; 1999, c. 40, s. 298; 1999, c. 43, s. 13.
22. The agreement contemplated in the third paragraph of section 21 must in particular provide that the water purification works constructed, improved or enlarged and the lands acquired for those purposes will be transferred to the municipality in accordance with the conditions fixed by the parties.
Notwithstanding the first paragraph, the Government, after the conclusion of the work or after the water purification works are put into operation, as the case may be, may authorize the corporation to transfer to the municipality the ownership of the property it has acquired for the purposes of the water purification works, by registering, in the case of immovable property, a notice containing a description of the property at the registry office of the appropriate registration division and by sending, in the case of movable property, a notice containing a description of the property to the municipality.
1980, c. 10, s. 22; 1999, c. 40, s. 298.
23. Entry into an agreement under the third paragraph of section 21 entitles the Société to demand the execution in its favour of the financial obligations determined by the parties under the convention contemplated in the first paragraph of section 21, up to the amount stipulated in the agreement for the water purification works and the rehabilitation work on the municipal sewerage systems entrusted to the Société under the agreement.
1980, c. 10, s. 23; 1999, c. 40, s. 298.
24. Notwithstanding section 21, the Société may carry out the objects contemplated in paragraph 1 of section 18 if the Minister of the Environment and Wildlife requests it to do so under the powers conferred on him by section 113 of the Environment Quality Act (chapter Q-2).
1980, c. 10, s. 24; 1999, c. 40, s. 298.
25. The Société shall carry out the studies provided for in paragraphs 2 and 3 of section 18 only if the Government requests it to do so and undertakes to defray the cost. The Société may finance the cost of the studies.
The Minister shall transmit copy of the studies to the municipalities concerned.
1980, c. 10, s. 25; 1983, c. 57, s. 135; 1999, c. 40, s. 298.
26. (Repealed).
1980, c. 10, s. 26; 1983, c. 57, s. 136.
27. In the case contemplated in section 24, the Minister of Municipal Affairs and Greater Montréal, after consulting with the Minister of the Environment and Wildlife, shall make a contract with the Société indicating, in particular, which of the objects contemplated in paragraph 1 of section 18 are to be carried out by the Société, the financial obligations of the Government and the terms and conditions respecting the transfer by the Société of the works and lands acquired for such purposes.
1980, c. 10, s. 27; 1983, c. 57, s. 137; 1994, c. 17, s. 67; 1999, c. 40, s. 298; 1999, c. 43, s. 13.
27.1. The Société has authority to pursue the objects contemplated in paragraphs 4 and 5 of section 18 only if a municipality has made an application to it to that effect and if the Minister of Municipal Affairs and Greater Montréal has given his approval to the projected development or control works described in the application and determined the financial obligations of the Government in respect of the works.
Once the conditions have been fulfilled, the Société shall make an agreement with the municipality concordant with the terms approved and determined by the Minister pursuant to the first paragraph.
The making of the agreement confers on the Société the right to require the execution in its favour of the financial obligations contemplated in the first paragraph up to the amount provided for in the agreement for works financed by the Société.
1985, c. 3, s. 8; 1994, c. 17, s. 68; 1999, c. 40, s. 298; 1999, c. 43, s. 13.
27.2. In carrying out the objects set out in subparagraph 7 of the first paragraph of section 18, the Société may not, except with the authorizing of the Government make financial commitments beyond the limits or contrary to the terms and conditions determined by the Government.
1993, c. 2, s. 4; 1999, c. 40, s. 298.
27.3. The Société and a municipality may enter into an agreement for the carrying out of the objects set out in subparagraphs 8 to 10 of the first paragraph of section 18.
1995, c. 32, s. 3; 1999, c. 40, s. 298.
28. The Société may acquire by agreement or expropriation any immovable or real right required to carry out its objects.
1980, c. 10, s. 28; 1999, c. 40, s. 298.
29. The Société must award its contracts by public tender in the cases and according to the conditions prescribed by Government regulation.
1980, c. 10, s. 29; 1999, c. 40, s. 298.
29.1. Following the entry into an agreement contemplated in the third paragraph of section 21, the Société and the municipality that entered into the agreement may, if that municipality wishes to have the works carried out simultaneously with those of the Société in the same sector and if it would be advantageous to have all of such works carried out by one contracting party, enter into an agreement for that purpose.
Such agreement prevails over any inconsistent provision of any general law or special Act.
1982, c. 2, s. 101; 1999, c. 40, s. 298.
29.2. The agreement may, among other things, provide that
(1)  the Société and the municipality jointly make, each in its own name and for its own works, a single call for tenders and a single awarding of contract; or
(2)  the Société make, in its own name and the municipality’s name, a single call for tenders and a single awarding of contract, in which case the provisions governing the Société in such matters take precedence over those governing the municipality.
The agreement may also provide that the Société is the authority responsible for the works of the municipality that are contemplated by its provisions.
1982, c. 2, s. 101; 1999, c. 40, s. 298.
29.3. The call for tenders and the contract must clearly state the respective obligations of the Société and the municipality.
In the case provided for by paragraph 2 of the first paragraph of section 29.2, the municipality must, after the opening of the tenders by the Société, give its express consent to the awarding of the contract by the latter. Where such consent is lacking, the Société shall award the contract for only its part and shall take into account only the section of the tender that relates to that part to determine to whom it shall award the contract. If the municipality gives its consent, it must sign the contract.
1982, c. 2, s. 101; 1999, c. 40, s. 298.
30. The Government may make regulations
(1)  to establish conditions respecting contracts entered into by the Société and fix the cases where it must award them by public tender;
(2)  to prescribe the minimum content of agreements referred to in the third paragraph of section 21, in the second paragraph of section 27.1 and in section 27.3;
(3)  to prescribe the nature of the expenses of the Société to be capitalized and the terms and conditions of allocating those expenses between water purification works, systems and installations referred to in subparagraph 6 of the first paragraph of section 18, rehabilitation work on municipal sewerage systems, development work on lakes or watercourses, works to control the water level of lakes or watercourses and studies carried out by the Société and determine the maximum term of amortization of its loans.
The regulations made pursuant to this section come into force on the date of their publication in the Gazette officielle du Québec or on any later date fixed therein.
1980, c. 10, s. 30; 1985, c. 3, s. 9; 1989, c. 63, s. 3; 1995, c. 32, s. 4; 1999, c. 40, s. 298.
DIVISION IV
FINANCING
31. The Société may, with the authorization of the Government, contract loans by notes, bonds or other titles of indebtedness, at such rate of interest and on such other conditions as it may fix.
1980, c. 10, s. 31; 1999, c. 40, s. 298.
32. The sums received by the Société under sections 23 and 27, except the sums received for the operation of the water purification works, and the sums received under section 25 for the repayment of the debt service are allocated to the repayment of the capital of, the payment of interest on and, where applicable, to the contributions to the sinking fund of its loans.
1980, c. 10, s. 32; 1999, c. 40, s. 298.
33. The Government may
(1)  undertake, on such conditions as it may fix, to fill the temporary needs of the Société for liquid assets in such a manner as to enable it to ensure, at maturity, the repayment of the capital, the payment of the interest and, where applicable, the contributions to the sinking funds in respect of loans contracted under section 31;
(2)  authorize the Minister of Finance to advance to the Société any amount deemed necessary to carry out this Act, at such rate of interest, for such period of time, not exceeding two years, and on such other conditions as it may fix;
(3)  authorize the Minister of Finance, on such terms and conditions as it may fix, to establish a working fund not exceeding $500,000 on behalf of the Société for the expenditures necessary to carry out the objects of the Société;
(4)  guarantee, on such conditions as it may fix, the payment in capital and interest on any loan or other obligation contracted by the Société.
1980, c. 10, s. 33; 1999, c. 40, s. 298.
34. The sums required for the application of section 33 are taken out of the consolidated revenue fund.
1980, c. 10, s. 34.
34.1. The Société must, for the financing of the carrying out of the objects set out in subparagraphs 7 to 10 of the first paragraph of section 18, impose a fee or a charge for the property or services it provides in the pursuit of those objects.
1995, c. 32, s. 5; 1999, c. 40, s. 298.
35. All investment interest and other revenues in the form of profit received by the Société are paid into the consolidated revenue fund upon the request of the Minister of Finance.
1980, c. 10, s. 35; 1984, c. 47, s. 189; 1999, c. 40, s. 298.
35.1. The Société may not finance the carrying out of the objects set out in subparagraphs 7 to 10 of the first paragraph of section 18 otherwise than by using the sums it collects as a fee or as a charge for the property or services it provides.
The Minister of Municipal Affairs and Greater Montréal may, however, grant a financial contribution to the Société to assist it in the carrying out of the objects set out in subparagraph 10 of the first paragraph of section 18.
The balance of the sums referred to in the first paragraph shall be paid into the consolidated revenue fund at the request of the Minister of Finance.
1995, c. 32, s. 6; 1999, c. 40, s. 298; 1999, c. 43, s. 13.
DIVISION V
ACCOUNTS AND REPORTS
36. The fiscal period of the Société ends on 31 March each year.
1980, c. 10, s. 36; 1999, c. 40, s. 298.
37. The Société must, within four months of the end of each fiscal period, make a report of its activities for the preceding fiscal period to the Minister of Municipal Affairs and Greater Montréal. The report must contain all the information that may be prescribed by the Minister.
1980, c. 10, s. 37; 1994, c. 17, s. 69; 1999, c. 40, s. 298; 1999, c. 43, s. 13.
38. The Minister of Municipal Affairs and Greater Montréal shall table the report of the Société before the National Assembly within 30 days of his receiving it. If he receives it while the National Assembly is not sitting, he shall table it within 30 days following the opening of the next session or, as the case may be, within 15 days of resumption.
The Société must in addition furnish to the Minister of Municipal Affairs and Greater Montréal any information that he requires on its activities.
1980, c. 10, s. 38; 1994, c. 17, s. 70; 1999, c. 40, s. 298; 1999, c. 43, s. 13.
39. The Société must submit its development plan to the approval of the Government.
The Government shall fix the form and general tenor of the development plan and the time when it must be submitted.
1980, c. 10, s. 39; 1999, c. 40, s. 298.
40. The books and accounts of the Société shall be audited each year and also whenever so ordered by the Government, by the Auditor General or by an auditor designated by the Government. The report of the auditor must accompany the annual report of the Société contemplated in section 37.
1980, c. 10, s. 40; 1999, c. 40, s. 298.
DIVISION VI
FINAL PROVISIONS
41. Notwithstanding any incompatible provision of any general law or special Act, a municipality may enter into a convention and an agreement contemplated in section 21, and may do so without calling for public tenders.
1980, c. 10, s. 41.
42. Notwithstanding any provision of any general law or special Act, no convention or agreement referred to in any of sections 21, 27.1 and 27.3 requires authorization by the Minister of Municipal Affairs and Greater Montréal as an agreement engaging the credit of a municipality.
1980, c. 10, s. 42; 1984, c. 38, s. 170; 1985, c. 3, s. 10; 1995, c. 32, s. 7; 1999, c. 43, s. 13.
43. The Société may also enter into an agreement contemplated in the third paragraph of section 21 with a municipality that has concluded a memorandum of agreement with the Government before 18 June 1980 respecting the conception, construction, improvement, enlargement or implementation of water purification works or the carrying out of rehabilitation work on the municipal sewerage system.
Such a memorandum of agreement is deemed to be a convention contemplated in the first paragraph of section 21.
1980, c. 10, s. 43; 1999, c. 40, s. 298.
44. Nothing in this Act shall prevent a municipality from holding, in respect of a convention under the first paragraph of section 21 or an agreement under the second paragraph of section 27.1, a consultative referendum in accordance with the Act respecting elections and referendums in municipalities (chapter E-2.2).
1980, c. 10, s. 44; 1985, c. 3, s. 11; 1987, c. 57, s. 812.
44.1. The Municipal Works Act (chapter T-14) does not apply in the case of works carried out pursuant to an agreement contemplated in section 21 or 27.1.
1982, c. 2, s. 102; 1985, c. 3, s. 12.
45. The president and the employees of the Société are subject to the Act respecting the Government and Public Employees Retirement Plan (chapter R-10).
1980, c. 10, s. 45; 1999, c. 40, s. 298.
46. The Minister of Municipal Affairs and Greater Montréal is responsible for the carrying out of this Act.
1980, c. 10, s. 46; 1994, c. 17, s. 71; 1999, c. 43, s. 13.
47. For the purposes of the fiscal laws the Société has the privileges and immunity of a mandatary of the State.
Notwithstanding any provision of a general law or special Act inconsistent herewith, the Société is exempt from all municipal and school taxes. The Société must, however, pay municipal or school taxes in respect of immovables that it owns except those that are to be transferred to a municipality pursuant to section 22.
1980, c. 10, s. 47; 1999, c. 40, s. 298.
48. The Société shall not undertake the construction, improvement or enlargement of water purification works or carry out rehabilitation work on the municipal sewerage systems contemplated in paragraph 1 of section 18 after 31 December 1993 or any later date fixed by the Government.
1980, c. 10, s. 48; 1990, c. 70, s. 1; 1993, c. 2, s. 5; 1995, c. 32, s. 8; 1999, c. 40, s. 298.
49. (Omitted).
1980, c. 10, s. 49.
50. (This section ceased to have effect on 17 April 1987).
1982, c. 21, s. 1; U. K., 1982, c. 11, Sch. B, Part I, s. 33.
REPEAL SCHEDULE

In accordance with section 17 of the Act respecting the consolidation of the statutes and regulations (chapter R-3), chapter 10 of the statutes of 1980, in force on 1 November 1980, is repealed, except section 49, effective from the coming into force of chapter S-18.2.1 of the Revised Statutes.