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The Health Services Act
This is an unofficial archived version of The Health Services Act
as enacted by SM 1987-88, c. 9 on July 17, 1987.

R.S.M. 1987, c. H30

The Health Services Act

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Manitoba, enacts as follows:

Definitions.

1

In this Act,

"commission" means Manitoba Health Services Commission established under The Health Services Insurance Act; ("Commission")

"department" means The Department of Health; ("ministère")

"hospital district" means a hospital district established under Part III; ("district hospitalier")

"laboratory and X-ray facilities" includes mechanical, electrical, laboratory, and other facilities and equipment necessary or useful in the diagnosis of disease and other abnormal conditions of the human body; ("installations de laboratoire et de radiographie")

"local health unit" means a unit established under Part I; ("unité sanitaire locale")

"medical care district" means a district established under Part II; ("district de soins médicaux")

"medical director" means the medical director of a local health unit; ("directeur médical")

"medical service unit district" means a district established under Part III in which there is established a medical service unit as defined in section 27; ("district régional de services médicaux")

"minister" means the Minister of Health; ("ministre")

Measures for promotion of health.

2

Subject to this Act, the minister may, as he deems necessary and advisable in the interests of the good health of the citizens of the province, provide for the establishment of such units, areas, districts, agencies, organizations, and services, as are required for that purpose and for the establishment of which provision is herein made.

Regulations by the minister.

3

For the purpose of carrying out the provisions of this Act according to their intent, the minister may make such regulations and orders as are ancillary thereto and are not inconsistent therewith; and every regulation or order made under, and in accordance with the authority granted by this section has the force of law.

Regulations.

4

Without restricting the generality of section 3 the minister may make regulations in accordance with the provisions herein set forth for

(a) the establishment and dissolution of local health units, and for the inclusion in or removal from any local health unit of the whole or any part of any municipality, or of any part of the province that he may designate;

(b) the approval of the area, or of the alteration of the area, to be included in any district in which a municipality has by by-law, or several municipalities have by agreement confirmed by by-law, arranged to provide general medical care; or medical and surgical care, for the residents by the engagement for that purpose of a duly qualified medical practitioner; and

(c) the establishment, organization, and administration, of hospital districts, medical service unit district, and hospital areas each comprising two or more hospital districts, or medical service unit districts, including the establishment, and, subject as herein provided, the appointment of the members of the governing boards of the respective hospital districts, and medical service unit districts; and for the inclusion in any hospital district, medical service unit district, or hospital area, of the whole or any part of a municipality, or of any portion of the province that he may designate.

Application of The Regulations Act.

5

Notwithstanding subsection 2(2) of The Regulations Act, that Act does not apply, and never has applied to regulations made under this Act establishing, dissolving, or altering

(a) local health units;

(b) medical care districts;

(c) hospital districts;

(d) hospital areas;

(e) local administrative committees; or

(f) medical service unit districts.

When regulations effective.

6(1)

A regulation made under this Act does not, subject to subsection (2), have any force or effect until it has been

(a) confirmed by order of the Lieutenant Governor in Council; and

(b) published in one issue of The Manitoba Gazette;

but thereupon, and subject to The Regulations Act, it shall be deemed to have the force of law as if enacted as an integral part of this Act, and, subject as aforesaid, the publication is conclusive proof of the establishment of any unit, area, district, agency, organization, or service, to which reference is made in the order, and that all requirements of this Act relative to the establishment thereof have been complied with.

Retroactive regulations.

6(2)

A regulation made under this Act establishing, dissolving, or altering

(a) a local health unit; or

(b) a medical care district; or

(c) a hospital district; or

(d) a hospital area; or

(e) a local administrative committee; or

(f) a medical service unit district;

may be made effective retroactively to such date as may be fixed in the regulation or by the Lieutenant Governor in Council in the order in council confirming the regulation.

Investigations by commission.

7(1)

The Lieutenant Governor in Council, by order in council, may authorize the commission to make such inquiries, investigations, and surveys, as he may deem advisable in respect of matters or things that are the subject of, or dealt with in, this Act, or to which this Act applies.

Powers of commission re investigations, etc.

7(2)

For the purposes of any inquiry, investigation, or survey, made by it the commission has the like protection and powers as are conferred upon commissioners appointed under Part V of The Manitoba Evidence Act.

Approval of appointments by minister.

7(3)

No person shall be employed by the commission for the purpose of assisting in the making of any such inquiry, investigation, or survey, without first obtaining the written approval of the minister to such employment.

Payment of costs of investigations* etc.

7(4)

The cost and expenses of any such inquiry, investigation, or survey, including the salary, wages, or other remuneration, of any person engaged to assist in the making thereof, shall be paid from and out of the Consolidated Fund with moneys authorized by an Act of the Legislature to be paid and applied for the purposes of the department.

PART I

LOCAL HEALTH UNITS

Definitions.

8

In this Part,

"board" means the advisory board of a local health unit; ("Conseil")

"unit" means a local health unit. ("unité")

Regulations for establishment of local health units.

9(1)

Regulations made by the minister for the establishment of a local health unit shall provide

(a) that the municipalities or parts thereof designated in the regulations are declared to be a local health unit under this Act;

(b) for the name or number, or both, to be borne by the unit;

(c) for the organization and administration of the unit and the establishment, alteration, extension, or amendment, of a scheme for the purpose including the creation of an advisory board;

(d) a procedure for the dissolution of a unit and the board thereof, and for the cancellation of an agreement made under subsection (3);

(e) for the appointment, subject to The Civil Service Act,

(i) of a medical director who shall be a duly qualified medical practitioner and shall have the qualifications required by a medical officer of health under the regulations made under The Public Health Act, and

(ii) of such other professional, technical, administrative, and clerical, personnel as may be necessary ;

(f) generally for giving effect to the establishment of the unit.

Services supplied by unit.

9(2)

The regulations may also provide for the services that shall be rendered by, or through the agency of, a unit and for the standard of those services.

Power to make agreements.

9(3)

The scheme to which reference is made in clause (l)(c) shall include the making of an agreement between Her Majesty and each municipality of which the whole or any part is included in a unit; which agreement shall, subject to this Act and the regulations, be in such form, and set forth such particulars as to the scheme and otherwise, as may be prescribed in the regulations or as the minister may direct.

Scheme for establishment of unit.

10

Before making regulations establishing a unit the minister shall prepare a scheme setting out details relative to the proposed unit, including, without restricting the generality of the foregoing,

(a) details of the municipalities and parts of municipalities to be included;

(b) details of the plans for organization and administration of the proposed unit; and

(c) the estimated annual cost of operating the proposed unit;

and shall submit the scheme to each municipality that will be wholly or partly included in the unit when it is established for the approval of its council.

Approval of scheme by council.

11(1)

The council of a municipality to whom a scheme has been submitted under section 10 shall consider it and by resolution approve or disapprove it within 60 days after the submission of the scheme.

Nomination of representative on board.

11(2)

A municipal council that approves a scheme submitted to it shall, by the resolution approving it, nominate one or more members of the council, or other person or persons resident in the municipality, as a candidate or candidates for appointment by the minister as a member or members of the board to be created to administer the affairs of the unit.

Execution of agreements.

11(3)

When each municipality of which the whole or any part is included in a proposed unit has approved the scheme and notified the minister to that effect, and the regulations establishing the unit have been made and come into effect, the minister shall prepare an agreement between Her Majesty and each of those municipalities as provided in subsection 9(3); and the agreement shall be executed by the proper officers of the municipality and by the minister on behalf of Her Majesty.

Submission to electors where council disapproves.

11(4)

Where a municipal council disapproves the scheme it shall, within two months after receiving a petition signed by at least 10% of the persons entitled to vote at municipal elections for members of a council, submit the scheme to the electors of the municipality entitled to vote, and in accordance with The Local Authorities Elections Act; and if a majority of the electors voting are in favour of the scheme the council shall thereupon, by resolution, approve the scheme and nominate a representative as a candidate for appointment to the board.

Effect of establishment of unit.

12

Where a unit is established under this Part all things contained in the regulations establishing it are binding on the municipalities wholly or partly included in the unit until, by order of the Lieutenant Governor in Council, the unit is dissolved.

Position of medical director.

13(1)

The medical director of the unit appointed under the regulations shall be

(a) secretary-treasurer of the board;

(b) the chief administrative officer of the unit;

(c) the medical health officer for each municipality wholly included in the unit; and

(d) where a municipality is partially within the unit, medical health officer for that part thereof that lies within the unit.

Duties of director.

13(2)

The medical director has complete supervision over the work of all subordinate personnel of the staff of the unit, and shall assign to them their duties.

Payment of cost.

14

Where a unit is established under this Part the entire cost of the maintenance and operation thereof, including therein the salaries and wages of the officers, clerks, and employees, of the unit, shall be paid by the government from and out of the Consolidated Fund with moneys authorized by an Act of the Legislature to be paid and applied for the purposes of this Act or the purposes herein set forth.

Payment for equipment of units.

15

From and out of the Consolidated Fund with moneys authorized by an Act of the Legislature to be paid and applied for such a purpose, the Minister of Finance, on authorization by order of the Lieutenant Governor in Council, may pay for equipment of any kind, including motor vehicles, purchased on behalf of the government for use in connection with the maintenance and operation of local health units established under this Part; and the Lieutenant Governor in Council may, in the order, provide that the cost of maintaining, operating, and repairing, the equipment and providing for the replacement thereof shall be charged to the cost of maintenance and operation of the unit that uses the equipment.

Board.

16

The persons constituting the board of any unit are a body corporate under the name or number or both designated in the regulations; and the board has charge and control of matters affecting health in, and power to administer the health affairs of, the unit in accordance with this Act and any other Act and the regulations made under this Act and under any other Act.

Disposal of full time health districts.

17

Where, under The Public Health Act then in force and regulations made thereunder, a full time health district was established on April 7, 1945, the minister may, by the regulations, dissolve it and the incorporation of the district board thereof, and may establish the whole or any part of that full time health district as a local health unit, or may transfer the whole or any part thereof to, and it shall thereupon form part of, a local health unit established under this Part.

Composition of board.

18(1)

The board of a unit is composed of such number of members, not less than five, as may be provided in the regulations establishing the unit; but the number shall be sufficient to permit of the appointment of at least one person to represent each municipality that is wholly or partly included in the unit, and also two or more other persons to be appointed by the minister as provided in subsection (2).

Appointments by minister.

18(2)

In the case of a board of five members two of them, and in every other case three or more of them, shall be appointed by the minister from among residents of municipalities that are wholly or partly included in the unit, but the members appointed under this subsection shall not constitute a majority of the membership of the board; and one of the members so appointed shall be a duly qualified medical practitioner.

Nominations by councils.

18(3)

The remainder of the members of the board shall be appointed by the minister from among those persons nominated by the councils of the respective municipalities.

Chairman.

18(4)

At their first meeting in each year the members of the board shall appoint from among their number the chairman of the board.

Expenses of board.

18(5)

The members of the board shall serve without remuneration, but each member thereof may be paid by the government, as part of the cost of maintaining and operating the unit, any expenses the member may have in attending the meetings of the board at rates approved in writing by the minister.

Powers of board.

18(6)

The board of a unit may

(a) adopt a corporate seal;

(b) in so far as not inconsistent with this Act, adopt by-laws for the governance of its proceedings and the conduct of its affairs and business;

(c) set the time and place of regular and special meetings of the board, the regular meetings of which shall be held not less frequently than once quarterly.

Recommendations of board.

18(7)

The board may make recommendations to the minister with respect to the appointment or removal of the professional, technical, administrative, and clerical staff of the unit.

Executive committee.

18(8)

The board may establish an executive committee and appoint and remove the members thereof, who shall be chosen from the members of the board.

Powers of executive committee.

18(9)

The executive committee may, subject to the supervision and direction of the board, deal with such purely routine and administrative matters relating to the business and affairs of the unit as the board may from time to time specifically, by by-law, delegate to it.

Report by executive committee.

18(10)

At each regular meeting of the board the executive committee shall report on all matters with which the committee has dealt since the last regular meeting; and the board may give such further instructions with respect thereto as it may deem necessary or desirable.

Accommodation for offices, etc., and living quarters.

19(1)

Where the board of a unit has been unable otherwise to secure suitable accommodation for

(a) offices and other lawful purposes of the board; or

(b) suitable living quarters or other accommodation for the medical director and other members of the professional, technical, or administrative, and clerical, staff of the unit, or any one or more of them;

or for both of such purposes and so states in a written application made to the council of a municipality all or part of which is included in the unit, if the municipality does not already own or hold under lease such suitable accommodation, it may acquire by purchase or lease, and hold, real estate suitable for the purpose.

Lease of real estate by municipality.

19(2)

The municipality may lease to the board of a unit for any of the purposes mentioned in subsection (1) any real estate owned or held under lease by the municipality, or such part thereof as may be required by the board; and the board may enter into a lease with the municipality for the purpose.

Disposal of unused portion by municipality.

19(3)

Where a municipality has leased to the board of a unit part of any real estate owned or held by it as aforesaid, or part of any building thereon, it may lease, rent, or otherwise dispose of, the remainder, or any part of the remainder, thereof to any other person.

Disposal of property at discretion of municipality.

19(4)

A municipality may at any time sell, lease, assign, or otherwise dispose of, any real estate acquired under subsection (1), subject always to any subsisting lease or tenancy thereof.

Acquisition of property for offices, etc.

20

Where the board of a unit desires to obtain suitable accommodation for any or all of the purposes mentioned in subsection 19(1), if the council of each municipality wholly or partly included in the unit passes a resolution approving the acquisition, the board may acquire by purchase or lease, and hold real estate suitable for the purpose.

Lease or sale of real estate of unit.

21(1)

Where real estate purchased or leased by the board of a unit under section 20 is no longer required for the purposes for which it was acquired, the board may lease it on such terms as the board deems advisable; and, whether or not the real estate has been leased, the board may sell it, subject as hereinafter provided, either for cash or on such terms as to payment, and as to the interest to be paid on unpaid purchase moneys, as the board deems advisable.

Resolution for sale or lease.

21(2)

Where the board decides to lease or sell the real estate it shall pass a resolution to that effect setting forth the terms of the lease or sale, and shall send a certified copy of the resolution to the minister, The Municipal Board, and the council of each municipality that is wholly or partly included in the unit.

Approval of resolution.

21(3)

The resolution shall have no effect, and the lease or sale shall not be made, until the resolution has been approved

(a) by the council of each municipality that is wholly or partly included in the unit by a by-law passed for the purpose;

(b) by The Municipal Board; and

(c) by the minister.

Authorization of sale or lease and payment of proceeds to Minister of Finance.

21(4)

Where a resolution has been passed under subsection (2) and approved as provided in subsection (3), the board may make the lease or sale, and shall pay to the Minister of Finance the rentals under the lease or the purchase moneys and the interest paid thereon as the case may be.

Disposition of proceeds by Minister of Finance.

21(5)

From the moneys received from the sale of real estate of the board, the Minister of Finance shall pay to any municipality that had contributed to the cost of acquiring the property, a portion of the proceeds equal to the portion of the costs of acquisition paid by that municipality.

PART II

MEDICAL CARE DISTRICT

Definition of "district".

22

In this Part "district" means a medical care district.

By-law for engaging physician and payment of salary or fees and establishment of district.

23(1)

Any municipality may pass by-laws for engaging a duly qualified medical practitioner or practitioners to furnish medical care, or medical and surgical care, including or excluding medicine, for the residents of the municipality or any part thereof, or of a district comprising the whole or any part of the municipality and the whole or any part of any adjoining municipality, or municipalities, either

(a) on the basis of a salary, a capitation fee, or a schedule of fees for services rendered, paid to the physician by the municipality, and without charge to the patient other than an annual levy on all the rateable property, or a personal health levy, as herein provided; or

(b) on the basis of a schedule of fees to be paid by the patient with or without any sum to be paid by the municipality to the physician.

Joint action by two or more municipalities to establish district and engage physicians.

23(2)

Where two or more adjoining municipalities agree to establish a district, the council of each municipality shall pass a by-law; and each by-law shall set forth the area within the two or more adjoining municipalities that is to be included in the district, and the proportion of the annual salary or fees of the physician, or the proportion of the municipal contribution for which each municipality is to be responsible, and shall also provide that the respective proportions shall be levied annually by each municipality.

Alteration of district boundaries.

23(3)

Any municipality, by by-law, may alter the boundaries of an existing district by adding adjoining territory or deleting territory already included if the municipalities wholly or partly included in the district, by by-law, agree to the alteration.

Approval of minister to by-law.

23(4)

Before the second reading of any bylaw, the area of the district to be established or any alteration thereof shall be approved by the minister.

Provision for fees.

23(5)

The by-law may provide that a fee shall be paid to the physician by all residents or by certain classes of residents in the manner set out in the by-law and in the contract with the physician or physicians.

Approval of minister to contract

23(6)

No contract with a physician and no schedule of fees is valid and binding until approved by the minister, as provided in the regulations.

Revocation of by-law and cancellation of contract by minister.

23(7)

The minister, by three months' notice in writing, may at any time cancel and revoke any by-law passed establishing a district under either subsection (1) or subsection (2) and cancel any contract with a physician authorized by the by-law.

Method of raising moneys.

23(8)

Where a by-law provides for the expenditure of any money by a municipality, it shall provide for the levying of an annual rate as provided in section 24 for the raising of the money required or estimated to be required.

Method indicated in by-law.

23(9)

The by-law shall clearly indicate the manner in which the money proposed to be expended in the by-law shall be raised and levied.

Rules for carrying out provisions of this section.

23(10)

The council of a municipality may make such rules and prescribe such conditions and forms as may be necessary to carry out the provisions of this section.

Inclusion of unorganized territory.

23(11)

With the approval of the minister, any portion of unorganized territory may be included within a district.

Non-liability of municipality.

23(12)

Where a municipality engages a duly qualified medical practitioner as in this section provided, the municipal corporation is not liable or answerable, in any manner for, or in respect of, any act, neglect, omission, or default, on the part of the medical practitioner, done or occurring in the performance of his duties under the contract.

Amendment of by-law or contract.

23(13)

Where a municipality has, under this section, passed a by-law, or entered into a contract with a physician, it may, by by-law, amend the first mentioned by-law or give approval to any change made in the contract by the parties thereto.

When by-law effective.

23(14)

A by-law passed under subsection (13) is not valid and does not have any force or effect unless it is approved in writing by the minister.

Levy on assessed value.

24(1)

Where a by-law provides for the levying of an annual rate as provided in subsection 23(8), the levy shall, subject to subsection (4), be an annual rate on the assessed value of all rateable property in the municipality or the part thereof included in the district.

Minimum annual tax.

24(2)

Subject to subsection (3), where, under the rate imposed by the by-law, any person will not be subjected, in respect of the property in which he resides, to the payment of an annual tax under the by-law of at least $8., if the municipality, by bylaw, fixes the minimum annual tax payable under the by-law, in respect of the property on which any person resides, at an amount not exceeding $8., that person shall be taxed annually under the bylaw, in respect of that property, at the amount so fixed.

Provision re farm lands.

24(3)

In the case of farm lands, the property on which a person resides shall, for the purposes of this section, be considered as including the whole of the farm lands operated by the occupant in the municipality, or the part thereof included in the district.

Levy of flat rate by rural municipality.

24(4)

A rural municipality, instead of levying an annual rate on the assessed value of acreage, may levy an annual flat rate on each quarter section or portion thereof larger than 40 acres, and levy an annual rate on the assessed value of all other rateable property in the municipality or the part thereof included in the district.

Establishment of district in unorganized territory.

25

The Lieutenant Governor in Council may, by order in council, establish a medical care district comprising any area lying wholly in unorganized territory, and whether or not any part of the area is in a local government district.

Payment of grant.

26

Where under section 23, a grant, or the whole or part of the expenses of a district, is payable by the government, that grant and those expenses shall be paid from and out of the Consolidated Fund with moneys which are authorized by an Act of the Legislature to be paid and applied for the purposes of this Act or the purposes herein set out.

PART III

HOSPITAL DISTRICTS

Definitions.

27

In this Part,

"area" means a hospital area for hospital purposes established under this Part and consisting of two or more hospital districts; ("région")

"board" means the governing board of a district; ("Conseil")

"district" means a medical nursing unit district, a medical service unit district, or a hospital district; ("district")

"equalized assessed value" means a value that is the same proportion of the assessed value that the equalized assessment of an appropriate included municipality made by the Provincial Municipal Assessor is of the total assessment of real property in that municipality; ("valeur imposable uniformisée")

"hospital" includes the hospital of a hospital district, a medical service unit, and also includes a building or part of a building for the accommodation of nursing staff of a hospital; ("hôpital")

"included area" means the area

(a) of a municipality, or

(b) of a school district in unorganized territory that is not in a local government district, or

(c) of a local government district,

that is included in a district or proposed district, as the case may be, whether it is the whole or part of a municipality or of a school district or of a local government district; ("région incluse")

"included municipality" means

(a) a municipality, or

(b) a school district in unorganized territory that is not in a local government district, or (c) a local government district,

of which the whole or any part is included in a district or proposed district, as the case may be; ("municipalité incluse")

"medical service unit" means a building containing offices and treatment rooms for physicians and other health personnel and includes any building or part of a building used as a residence for physicians and other health personnel; ("centre de service médical")

"organization committee" means the committee appointed by the minister pursuant to section 32. ("comité d'organisation")

Preparation of plan by minister.

28

Where

(a) a resolution in favour of the establishment of a hospital district or a medical nursing unit district or a medical service unit district is passed by the council of a municipality of which the whole or any part would be included in the proposed district; or

(b) 10% of the resident electors in the area that would constitute the proposed district petition the minister for establishment of a hospital district or a medical nursing unit district; or a medical service unit district;

if the minister is satisfied that it is desirable to consider the establishment of such a district, he shall prepare a preliminary and tentative plan setting out details relative to the proposed district.

Approval of plan.

29

The minister shall submit the plan for approval by the council of each municipality that it is proposed in the plan should be wholly or partly included in the proposed district.

Approval or disapproval of plan.

30

The council of each municipality to which a plan has been submitted shall consider it, and shall, by resolution, approve or disapprove it within 60 days after the plan has been submitted to it; and the council shall notify the minister of its decision thereon.

Petition by electors on disapproval of plan by councils.

31

Where the councils of a majority of the municipalities to which a plan is submitted disapprove it, if 10% of the resident electors in that area of each of those municipalities that, under the plan, is included in the proposed district petition the minister to arrange, as hereinafter provided, for the preparation of a scheme for the establishment of hospital facilities for the district when established, the minister may proceed as provided in section 32.

When notice of appointment of organization committee required.

32

Where

(a) the councils of a majority of the municipalities to which a plan is submitted approve it; or

(b) a petition is presented to the minister under section 31, and he decides to proceed under this section;

the minister shall give written notice to the councils of all municipalities to which the plan was submitted that it is intended to proceed with the appointment of a committee and the preparation of a scheme as provided in this section and section 39.

Nomination of members of organization committee.

33

Where the minister gives notice to a council of a municipality as provided in section 32, the council shall, by resolution, nominate a number of persons, including at least one member of the council, to compose a panel from which shall be selected as hereinafter provided the persons who shall represent the municipality on an organization committee to be appointed by the minister; and shall forthwith advise the minister of the names and addresses of the persons so nominated.

Appointment of organization committee.

34

When each of the municipalities to which the plan was submitted has nominated the members of the panel, the minister shall, by written order signed by him, appoint an organization committee consisting of persons selected by him from the members of the panels so nominated and any person whom he may appoint under section 35; and the minister shall notify each of the said municipalities, and each of the members so appointed of the appointment of the committee and the names of all members thereof.

Appointment on failure of municipality to nominate representatives.

35

Where a municipality fails to nominate the members of a panel within 40 days after receipt of a notice from the minister as provided in section 32, the minister may appoint one or more persons as representative or representatives of that municipality on the organization committee.

Council members on committee.

36

At least one of the persons representing a municipality on the organization committee may be a member of the council of the municipality; but where two or more persons are appointed to represent the municipality, at least one of those persons but not more than one half of them, shall be members of the council.

Committee member ceasing to be member of council.

37

A member of the council of a municipality who represents the municipality on the organization committee shall, on ceasing to be a member of the council, also cease to be a member of the organization committee, but may be reappointed as provided in subsection 38(1).

Filling of vacancies.

38(1)

Where, for any reason, a vacancy occurs in the membership of the organization committee, the minister may, subject to section 36, from among persons nominated by the council of the municipality affected as provided in sections 33 and 34, appoint a person to fill the vacancy and to represent the municipality; and, subject as aforesaid, the person so appointed may be a person who ceased to be a member pursuant to section 37.

Term of office.

38(2)

Each member of the organization committee shall hold office until his successor, if any, is appointed as may be prescribed in the regulations.

Interim chairman and first meeting.

38(3)

When appointing the organization committee, the minister shall appoint one member thereof as interim chairman, and shall notify him of the appointment; and the interim chairman shall call the first meeting of the committee within 14 days after he receives notice of his appointment.

Quorum.

38(4)

A majority of the members of the organization committee present in person at a duly called meeting shall constitute a quorum for the transaction of business.

Procedure at first meeting.

38(5)

At the first meeting of the organization committee the members shall

(a) elect a permanent chairman and a vice-chairman who shall hold office for such time as is prescribed in the regulations;

(b) adopt such rules relating to the procedure of the committee as they may deem necessary or desirable; and

(c) appoint a secretary, who may be a member of the committee, and fix his duties and the amount of his remuneration, if any, and arrange for the payment of remuneration.

Meetings of committee.

38(6)

Meetings of the organization committee shall be held on the call of the chairman or vice-chairman and as may be prescribed in the regulations.

Preparation of scheme by organization committee.

39(1)

The organization committee shall, forthwith upon its appointment, study the plan and prepare a scheme providing for

(a) the establishment of hospital facilities for the proposed district by

(i) the purchase of a site and the erection of suitable buildings, and the furnishing and equipping of the same as a hospital, including accommodation for the nursing staff and an operating room, with all necessary appliances, or

(ii) the purchase or renting of a suitable building and equipment thereof as a hospital, or

(iii) the purchase or renting of any existing hospital, or

(iv) entering into an agreement with any other hospital board, or with any governing body of any other hospital within or without the province, for the purpose of providing suitable hospital facilities for the residents of the proposed district;

(b) an estimate of the capital expenditure for the erection and equipment of hospitals in the proposed district, and, if necessary, a plan for borrowing moneys to pay for that expenditure, and, in the case of an issue of debentures, for the terms thereof, the proposed rate of interest payable thereon, and other particulars relating thereto;

(c) an estimate of the probable annual revenue, and the probable annual expenditure incident to the maintenance and operation of the hospital;

(d) a plan for the division of the proposed capital, maintenance, and operation expenditure among the various included areas in the proposed district; and

(e) the name and number of the district, which name shall end with the words "Hospital District" and the abbreviation "No. "; or the words "Medical Nursing Unit District" and the abbreviation "No. ", or the words "Medical Service Unit District" and the abbreviation "No.";

as the case may be.

Variation of amount within included area.

39(2)

A plan to which clause (1)(d) refers may provide that the share of the proposed capital, maintenance, and operation expenditure allotted to any included area may be apportioned in varying or unequal shares to different parts of that included area, as the organization committee may deem advisable.

Choosing of name, etc., by minister.

39(3)

Where provision for a name and number for the district is not made in the scheme, the minister may give the district a name and number, and may amend the scheme in so far as is necessary for that purpose.

Further provisions of scheme.

39(4)

The scheme may also provide for

(a) the enlargement or reduction of the area of the proposed district, or the alteration of the boundaries thereof;

(b) the continued operation and management of the district, and of the hospitals belonging thereto, by the board;

(c) the establishment at any time, by by-law passed by the board, of one or more local administrative committees to operate and manage individual hospitals belonging to the district as provided in section 72; and

(d) the method of appointment, the terms of office, and, subject to this Act and every other Act of the Legislature and to the regulations, the powers and duties, of the members of a local administrative committee established under clause (c) and the procedure of the committee.

Apportionment of capital expenditure.

39(5)

Where necessary the scheme shall also provide for the division among, and apportionment to, the included municipalities of the capital expenditure for building and equipping the hospital, other than for equipment supplied by the government; and for the raising of the amount required for that purpose by the imposition of levies as set out in subsections (6) and (7), or by public subscription, or by both of such methods, or in any other manner that the council of an included municipality may approve.

Levies.

39(6)

Where a scheme provides for the making of levies for the purposes mentioned in subsection (5), it shall provide

(a) for the making of an annual levy by the council of the included municipality, or of each of the included municipalities, affected on the rateable property in the municipality that is included in the city, town, village, unincorporated village district, local improvement district, hamlet, community, or other place, in which the hospital is situated; and

(b) that the total of the amounts raised by all annual levies made under clause (a) shall not

(i) be less than 10%, or

(ii) be more than 30%, of the capital expenditure to which reference is made in subsection (5).

Further levy.

39(7)

The scheme shall further provide that the board shall make an estimate of the amount that will be raised by the levies mentioned in subsection (6), and that after deducting the amount so estimated, the balance of the estimated expenditure required for the purposes mentioned in subsection (3) shall be apportioned among the included municipalities and raised by a further levy as hereinafter provided.

Borrowing for preparation of scheme.

39(8)

The organization committee may borrow moneys required in order to prepare the scheme to an amount not exceeding $500., unless the minister gives special written authorization to the borrowing of a larger amount stated in the authorization.

Repayment of moneys so borrowed.

39(9)

Moneys borrowed under subsection (8) shall be a debt to the bank or other person from which or whom they are borrowed, and shall be payable by the several included municipalities in proportions based on the equalized assessments of the several included municipalities.

Basis of apportionments, and limitation as to amount

39(10)

Unless specifically otherwise provided in the scheme, apportionments made under this section shall be based on the equalized assessed value of the rateable property in each included area; and, except for levies for which provision is made under subsection (6), the apportionments made in the preparation of the scheme shall not be such as to require a levy of a rate higher than two mills on each dollar of that equalized assessed value.

Duties of minister in preparation of scheme.

40

During the preparation of the scheme the organization committee shall consult the minister from time to time; and the minister shall advise the organization committee on all subjects in connection therewith, and shall prepare, or cause to be prepared, standard drawings or plans for any proposed hospital.

Copies of scheme from organization committee.

41(1)

On completion of the scheme the organization committee shall send to the minister three copies thereof for each municipality or part of a municipality that is included in the proposed district together with five additional copies, and each copy shall be signed by the chairman and the secretary-treasurer.

Duties of Municipal Board.

41(2)

On receipt of the copies of the scheme the minister shall send two copies thereof to The Municipal Board for its approval of the financial provisions thereof as they affect the municipalities; and The Municipal Board shall

(a) approve the scheme as to the levies by municipalities and return a copy thereof to the minister with its approval noted thereon over the signature of the chairman; or

(b) return one of the copies sent to it with suggestions for alterations or additions; or

(c) refuse to give its approval to the financial provisions of the scheme and state in writing its reasons for such refusal.

Amendments by Municipal Board.

41(3)

Where The Municipal Board makes suggestions for alterations or additions to the scheme as regards the financial provision thereof, the minister in his discretion, may

(a) agree to, and adopt, the alterations or additions and return the copy of the scheme to The Municipal Board for its approval; or

(b) return a copy of the scheme to the organization committee for further consideration, having in mind the suggested alterations or additions.

Refusal of approval by Municipal Board.

41(4)

Where The Municipal Board does not approve the financial provisions of the scheme as they affect the municipalities, the minister shall advise the organization committee of that fact and of the reasons therefor stated by The Municipal Board, and may request the organization committee to prepare a new scheme.

Action of minister on approval by Municipal Board.

41(5)

Where The Municipal Board approves the scheme, the minister, if he is satisfied therewith, may

(a) approve the scheme in writing by a notation endorsed on a copy thereof over his signature; and

(b) if he deems that it is necessary or advisable, cause the scheme to be published in a newspaper or in such other manner as he may direct;

and shall thereupon send a copy thereof, with a copy of his approval endorsed thereon, to each included municipality.

Ratification of scheme by municipality.

42

A council of each included municipality, on receipt of a copy of the scheme from the minister as provided in section 41, may, by by-law, ratify the scheme and, subject to any authorization of The Municipal Board required under The Municipal Act or The Municipal Board Act, authorize the borrowing of any money required to be borrowed under the scheme.

Establishment of district.

43

Where the scheme has been ratified by by-laws of the included municipalities, the minister shall by regulation establish the district; and, when the regulation is in effect, he shall give written notice thereof to the council of each included municipality, and the council shall thereafter proceed as herein provided.

Effect of regulations establishing district.

44

The making of a regulation establishing a district shall, when the regulation is in effect, be conclusive proof for all purposes

(a) that compliance has been made with all the provisions of this Act that must be complied with before the district is established; and

(b) without restricting the generality of clause (a), that

(i) a by-law ratifying the scheme has been duly passed by the council of each included municipality in the district, and

(ii) that the by-law complies with all requirements of The Municipal Act and The Municipal Board Act that apply to the bylaw, and that it has been authorized by The Municipal Board as required by those Acts.

Provisions of regulations establishing district.

45

Regulations by the minister for the establishment and organization of a hospital district, a medical nursing unit district or hospital area, including the appointment of the members of the board thereof,

(a) shall provide for

(i) the number, and term of office, of the members of the board,

(ii) the number of members of the board that shall be appointed by each included municipality,

(iii) the election of a chairman and vice-chairman of the board,

(iv) the appointment and employment of a secretary-treasurer of the board and of such officers, clerks, and employees, of the district as the minister may deem necessary or advisable, and

(v) such other matters relating to the organization and procedure of the board as the minister may deem necessary or advisable;

(b) may make provision respecting the construction, equipment, maintenance, operation, inspection, supervision, control, and management, and the auditing and investigation of the accounts and affairs of, districts and areas, and of any hospital maintained or operated by a district, and respecting such other matters as arise out of the operation of a hospital by a district;

(c) shall set out in a schedule thereto a copy of the scheme ratified as provided herein;

(d) shall set out the names and addresses and occupations of the first members of the board of the district as provided in section 46.

Formation of first board from organization committee.

46(1)

When a district is established and the minister gives notice thereof as provided in section 43, the organization committee shall at once cease to exist, but the members thereof shall, from the time the regulation establishing the district becomes effective, be the first board of the district.

Appointment of municipal representatives.

46(2)

Subject to subsection 78(2), at its first meeting in each year thereafter the council of each included municipality shall, subject to the regulations, by resolution appoint the persons who are to represent the municipality on the board but no person shall be so appointed unless he is a resident of the municipality and resides within the district.

Restriction on municipal membership.

46(3)

Subject to subsection 78(2), where two or more persons are appointed to represent a municipality on the board of a district, at least one, but not more than 1/2 of those persons shall be members of the council of the municipality.

Term of office.

46(4)

The members of the board shall hold office until their successors are appointed as provided herein and in the regulations.

Approval of minister to appointments.

46(5)

The council of each included municipality shall immediately after the appointment of any person as a member of the board of a district advise the minister in writing of the name of the person appointed.

Meetings of board.

47(1)

Subject to the regulations, the board shall hold meetings during the year at such times and at such places as are fixed, from time to time, by resolution of the board.

Quorum and procedure of board.

47(2)

A majority of the members of the board shall form a quorum for the transaction of business; and, subject to the regulations, they may make and adopt rules regulating the transaction of business, and may provide therein for the appointment of committees to whom they may delegate any of their powers and authorities, for the purpose of carrying out the work entrusted to them.

Appointment of municipal representatives by minister.

47(3)

Where an included municipality fails to appoint any one or more of its representatives on the board within 60 days after receipt of a notice from the minister as provided in section 43, the minister may appoint one or more persons as representative or representatives of the municipality to fill the vacancy or vacancies occurring by reason of the failure of the municipality to appoint as aforesaid.

First meeting of board.

48

When a district is established, the minister shall designate one of the members of the first board thereof to call a meeting of the board for the purpose of organization, and shall specify a time and place for the meeting.

Board incorporated.

49

Upon the establishment of a district the board of the district shall be a body corporate, under the name: "The Governing Board of Hospital District No. ", in the case of a hospital district, or "The Governing Board of Medical Nursing Unit District, No. ", in the case of a medical nursing unit district or "The Governing Board of Medical Service District, No. ", in the case of a medical service unit district. (Whatever name and number are chosen for the district shall be inserted).

Chairman of board.

50

At the first meeting of the board, and afterwards at the first meeting in each year, the members of the board shall elect a chairman and vice-chairman as provided in the regulations.

Secretary-treasurer and other officers.

51

Subject to the regulations, the board may appoint and employ a secretary-treasurer, and such other officers, clerks and employees as are required; and shall define the duties and fix the remuneration of the persons so appointed and employed.

Name and seal.

52(1)

The board shall, at its first meeting, adopt a corporate seal.

Change of name by minister.

52(2)

The minister, on petition by the board and upon such notice to the included municipalities as he deems sufficient may, by regulation, change the name or number of the district, or both, and, consequent upon any such change, shall change the name of the board of the district; and the regulation by which the changes are made shall be published in at least one issue of The Manitoba Gazette.

Seal.

52(3)

The seal used by the board before the change of the name of the district shall continue to be its seal until another is adopted.

Liability, etc., of district unaffected by change of name.

52(4)

No change in the name of the district shall affect any obligation, liability, right, or right of action, of the board existing at the time of the change.

Alteration of membership of board.

53(1)

On receipt of a request from the board, made by resolution thereof, and with the consent of the included municipalities, the minister may, by regulation, alter the number of the members of the board, or the representation of the included areas thereon, or both.

Form of consent

53(2)

The consent of an included municipality required under subsection (1) shall be given by a resolution of the council thereof.

Apportionment of cost by board.

54(1)

Where necessary the board shall, at the first meeting in each year, which shall be held not later than February 14, apportion among the included municipalities in the manner provided in the scheme the amount of capital expenditure for building and equipping the hospital and interest thereon, (including the interest and principal or sinking fund payments payable in respect of debentures issued to secure the amount of principal borrowed on account of capital expenditure), proposed to be repaid before the end of the current year.

Estimates of expenditure and revenue and apportionment of excess expenditure.

54(2)

At its first meeting in each year the board shall prepare a detailed estimate of the expected expenditure of the district for that year on the maintenance and operation of the hospital, including any deficit arising from the maintenance and operation of the hospital during the last preceding year, and of the expected revenue to be derived in that year from the operation of the hospital and from investments or any other source; and if the estimated expenditure exceeds the estimated revenue, the board shall forthwith apportion an amount equal to that estimated excess expenditure among the included municipalities, in the manner provided in the scheme.

Reserve fund.

54(3)

Subject to subsections (4) and (5), where in any year the revenue derived from the operation of the hospital exceeds the expenditure on the maintenance and operation thereof, the board may, at its first meeting in the next following year, deposit the excess revenue in a separate reserve fund and may use the reserve fund for maintenance or operational expenditures.

Reserve fund where board operates more than one hospital.

54(4)

Subject to subsection (5), where the board operates more than one hospital, if in any year the revenue derived

(a) from the operation of any one of those hospitals;

(b) from any investment made or held for the sole benefit of that hospital; and

(c) from any other source and that is applicable for the sole benefit of that hospital;

exceeds the expenditure on maintenance and operation of that hospital, the board may, at its first meeting in the following year, deposit that excess revenue in a separate reserve fund and may use the reserve fund only for the maintenance or operational expenditures of that hospital.

Maximum in reserve fund.

54(5)

The board shall not in any year deposit any moneys in the reserve fund set aside for the benefit of a hospital

(a) if the amount in the reserve fund is equal to or exceeds an amount equal to 1/3 of the actual expenditure on the maintenance and operation of that hospital for the preceding year; or

(b) if the deposit would have the effect of increasing the amount in the reserve fund to an amount exceeding an amount equal to 1/3 of the actual expenditure on the maintenance and operation of that hospital for the preceding year.

Where reserve fund exceeds maximum.

54(6)

If in any year the amount in the reserve fund of a hospital exceeds an amount equal to 1/3 of the actual expenditure on the maintenance and operation of that hospital for the preceding year, the board shall withdraw that excess from the fund and shall treat it as, and the excess, for all purposes, shall be deemed to be, excess revenue received in the preceding year, and subsection (7) or (8), as the case may be, applies thereto.

Disposition of excess revenue.

54(7)

Subject to subsection (8), where, in any year, the revenue derived from the operation of the hospital exceeds the expenditure on the maintenance and operation thereof, any of the excess revenue not deposited as provided in subsection (3) shall be applied on account of the cost of maintenance and operation in the next succeeding year; and it shall be taken into account as revenue by the board in preparing the estimate of expenditures and revenue required under subsection (2).

Surplus revenue of each hospital to be retained for its benefit.

54(8)

Where the board operates more than one hospital, if in any year, the revenue derived

(a) from the operation of any one of those hospitals;

(b) from any investment made or held for the sole benefit of that hospital; and

(c) from any other source and that is applicable for the sole benefit of that hospital;

exceeds the expenditure on the maintenance and operation of that hospital, the board, at its first meeting in the next following year, shall place any of the excess revenue not deposited as provided in subsection (4) that excess revenue in a separate fund and shall use it, in such manner as the board decides, only for reduction of the capital expenditure made respecting that hospital to which reference is made in a scheme or supplementary scheme.

Apportionments determined in accordance with annual audit

54(9)

Where, at the time an apportionment is made under this section, the annual audit of the books and accounts of the hospitals of the district has been completed, the amount apportioned shall be determined in accordance with the financial position of the district as ascertained by the audit; and, if the audit has not been made at that time, the apportionment shall be deemed to be provisional and any adjustment therein required, as may appear on completion of the audit, shall be made accordingly in the apportionment for the next succeeding year.

Apportionments based on equalized assessed value.

54(10)

Notwithstanding any limitation on the rate to be levied contained in the scheme pursuant to subsection 39(10), the apportionments made under this section may be of such amounts as will require the levying of a rate higher than that mentioned in subsection 39(10).

Appeal by resident electors from levy.

54(11)

Twenty % of the resident electors of an included area may appeal to The Municipal Board from any apportionment, and that board shall either confirm the apportionment or make a new one, and its decision thereon shall be final.

Agreement with the commission.

55(1)

A board of a district may enter into an agreement with the commission;

(a) by which the district assigns to the commission out of funds payable by it to the board in each year, an amount that is equal to the total of principal and interest payable by the board in that year on debentures issued by it; and

(b) in which the commission undertakes to hold the moneys so assigned in trust, and to pay, or arrange for the payment of the principal and interest as it becomes payable from the moneys.

Reduction in capital levies.

55(2)

Where the board of a district enters into an agreement under subsection (1), the amount to be apportioned among and levied in the included municipalities in each year for the payment of the principal and interest on the debentures of the district shall be reduced by the total of

(a) any amount payable to the board in that year by the commission in respect of rebate on interest on the debentures; and

(b) that part of any amount payable to the board in that year by the commission in respect of depreciation that may be applied to the retirement of the debentures as may be determined by the commission.

Use of depreciation payments and interest rebates.

56

Notwithstanding the provisions of any scheme or supplementary scheme, where the board of a district is liable under outstanding debentures issued prior to July 1, 1958, pursuant to a scheme or supplementary scheme, the board shall, in the year 1965 and each year thereafter, use any amount payable to the board by the commission in respect of rebate of interest and other capital cost allowances in such proportions and in such manner as may be determined by the commission, only for

(a) reducing the amount apportioned to and levied by included municipalities for payment of principal and interest on the debentures; or

(b) establishing to the credit of any included municipality that has paid all or part of its share of the capital liability of the board under the scheme or supplementary scheme, a fund to be applied to reduce future contributions that may be required from that included municipality for future capital expenditures on hospitals; or

(c) partly for the purposes set out in clause (a) and partly for the purposes set out in clause (b).

Levy of hospital taxes.

57(1)

A statement of the amount so fixed for each included area, showing separately the amount apportioned in respect of capital expenditure and the amount, if any, apportioned in respect of estimated excess expenditure for maintenance and operation, as herein before provided, shall be forwarded by the secretarytreasurer of the board to each included municipality, and the municipality shall thereupon annually levy and collect, as a special rate, a hospital tax on the assessed value of the lands or other rateable property, or both, within the included area for the purpose of making payment of the amount of its apportionment to the board; and the municipality shall in each year pay to the board the amount apportioned to the municipality in respect of that year.

Special levy on part of municipality to cover deficit

57(2)

Where an included area does not comprise the whole of a municipality, if in any year the amount collected under subsection (1) or under this subsection is not sufficient to pay the amount apportioned to the municipality in respect of the included area, and those amounts have been paid by the municipality from its general funds, the municipality may, in any subsequent year, levy and collect, as an additional special rate, a hospital tax from the lands and property within the included area for the purpose of reimbursing its general funds the amount of the deficiency paid therefrom as aforesaid.

Procedure where building of hospital delayed.

57(3)

Where the amount apportioned under section 54 includes an amount covering the capital expenditure to be made in the erection of one or more hospitals, and the board is of the opinion that it is not expedient to proceed immediately with the erection of any one or more of the hospitals, the board shall

(a) delay borrowing such amount as is provided in the scheme for the establishment of the hospital or hospitals, with the erection of which it is deemed not expedient to proceed;

(b) in each year that the erection of the hospital or hospitals is delayed, delay apportioning to the included municipalities that part of the capital expenditure included in the scheme for the erection of that hospital or those hospitals, that, under the scheme, is to be repaid before the end of that year;

(c) prepare and forward to the council of each of the included municipalities a statement, by way of amendment to the scheme, showing the amount of capital expenditure that will be required if that hospital is not, or those hospitals are not, erected; and

(d) in making the apportionment under section 54, take into account the smaller amounts that may be required, both for capital expenditure and annual expenditure, as a result of the delay in the erection of the hospital or hospitals.

Uniform tax rate authorized where municipality included in several districts.

57(4)

Where parts of a municipality are included in more than one district, the municipality may annually levy and collect a tax as provided in subsection (1) at a uniform rate on all the lands or other rateable property, or both, in the municipality, or on all such lands or other rateable property, or both, in those parts of the municipality that are included in a district, for the purpose of making payment of the amount apportioned to it by each of the several districts in which a part of the municipality is included.

Variation of amount of tax within included area.

57(5)

Where a hospital tax is levied under subsection (1), the rate levied to raise the amount apportioned to the included area of the municipality may vary and be different in different parts of the included area designated by the council, whether or not the scheme so provides under subsection 39(2).

Disposal of surplus levies.

58

Where an included municipality has, in respect of any year, levied a hospital tax under section 57 wholly or partly for the purpose of raising the amount apportioned to the municipality in respect of that year under subsection 54(2), if the amount collected under the tax for that purpose, or any part of the amount so collected, is not required by reason of there being no operating deficit in respect of the hospital for that year or the operating deficit being less than estimated, the included municipality, on the written approval of the minister, may, notwithstanding any other provision of this Act, pay over to the board of the district the excess amount not required as aforesaid, to be used by the board for any other purpose permissible under this Act, including an increase in its working capital.

Borrowing by board in anticipation of receipts from municipalities.

59(1)

Where a district is established, the board of the district may, by resolution, authorize its chairman and secretary-treasurer to borrow, in each year, such sums as the board deems necessary to meet the expenditures of the district for the year for maintenance and operation and for the payment of which the board has no moneys available; and the sums so borrowed may be secured by a promissory note of the board, signed by the chairman and secretary-treasurer and shall be a charge, in favour of the bank or other person loaning the money, on the amounts if any, payable to the board by the included municipalities under section 57 in that year and each succeeding year, up to but not exceeding the total of the amounts apportioned to those municipalities in those years in respect of excess expenditure for maintenance and operation and not already paid to the board before the making of the loan.

Negotiations for borrowing.

59(2)

Where a district is established the board may by resolution authorize its chairman and secretary-treasurer to take such steps, and enter into such negotiations, as may be necessary to borrow the moneys authorized by the by-law or such lesser amount as may be borrowed under subsection (4).

Issue of debentures to secure capital outlay.

59(3)

The board may further, by a like resolution, authorize the issue of debentures to secure the amount of principal borrowed on account of capital expenditure, for which provision is made in the scheme ratified by by-law as herein provided and the interest on the borrowed principal; and the debentures shall bind, and form a lien and charge against, all hospital property in the district and all taxes levied in the district for the payment thereof.

Borrowing of amount smaller than authorized by by-law.

59(4)

Where a district is established the board may, as provided in this section, authorize

(a) the borrowing of, and the issuing of debentures to secure, an amount smaller than that for which provision is made in the scheme ratified by by-law; or

(b) the repayment, during a shorter term than that provided in the scheme, of the amount for the borrowing of which provision is made in the scheme, or of any smaller amount borrowed as mentioned in clause (a); or

(c) both the borrowing and issue of debentures as mentioned in clause (a) and the repayment as mentioned in clause (b).

Approval and form of debentures.

59(5)

Debentures issued by the board of a district shall not be valid unless authorized and approved by The Municipal Board, and shall be in such form as may be prescribed by that board.

Borrowing pending sale of debentures.

59(6)

Pending the issuance or sale of debentures that have been authorized and approved as herein provided, the board may temporarily borrow money from a chartered bank to an amount not exceeding the amount of such debentures or the unsold portion thereof; but the authority granted by this subsection continues only until the debentures have been sold, and as the proceeds arising from the sale of the debentures are received by the district, the district shall repay the moneys borrowed under the authority granted under this subsection.

Variation of interest rate.

59(7)

Where, due to the conditions governing the marketing of securities, debentures issued by the board of a district cannot be sold on terms that will enable the board to raise the moneys required, it may, after calling for tenders for the debentures and subject to the authorization of The Municipal Board and the approval of the minister, vary the interest rate for which provision is made in the scheme or supplementary scheme ratified by by-law, to provide an interest rate which will permit the sale of the debentures on terms that are satisfactory to the board of the district and to The Municipal Board and that will enable the district to raise the moneys required.

Conditions precedent to building or equipping a hospital.

60(1)

Where the whole or any part of the capital expenditure for building and equipping a hospital in any district is apportioned among the included municipalities, the board shall not begin to build or equip, or enter into a contract to build or equip, the hospital unless

(a) it has submitted to the minister for his approval the plans and specifications for the hospital; and

(b) it has submitted to the minister and to The Municipal Board for their approval a detailed statement showing

(i) the total of all the costs of establishing the hospital, including the cost of the site therefor, of the construction, thereof, and of the facilities for providing a water supply, the disposal of sewage, and all other services incidental to the establishment of the hospital ready for operation;

(ii) the equipment and appliances proposed to be installed in the hospital and the cost thereof; and

(iii) the net amount available for payment of the items mentioned in sub-clauses (i) and (ii), including the amount available, or to be made available, in cash by way of a loan secured by the issue of debentures, by way of prepayment of taxes, or by way of gifts, and from all other sources.

Restriction on grants.

60(2)

No grant shall be paid in respect of the construction of any hospital unless the minister has given his approval in respect of the matters mentioned in clause (l)(a) and the minister and The Municipal Board have each given their approval in respect of the matters mentioned in clause (l)(b).

Borrowing when grant payable.

60(3)

Where the board of a district is eligible to receive a grant from the Government of Canada or from the Government of Manitoba, after having obtained the approvals mentioned in subsection (2), has entered into a contract for the building or equipping of a hospital, the board may, by resolution, authorize the chairman and secretarytreasurer to borrow on behalf of the board for the purpose of making payments under the contract, an amount not exceeding the total of the grants that the district is at the time of the borrowing eligible to receive from the Government of Canada and the Government of Manitoba; but the authority continues only until the grants are received by the district, and as the grants are received by the district the district shall repay the moneys borrowed under the authority given under this subsection.

Gifts to district.

61(1)

The board of any district may receive, accept, hold, possess, and enjoy such grants, devises, gifts and bequests as are made for the use and benefit of the hospital by any government, corporation or person.

Investment of funds.

61(2)

Every board shall be trustee of the funds of the district and shall manage and administer them as herein provided; and may invest the surplus funds of the district and any funds granted, given, or bequeathed to the district that it is required or permitted to invest under the terms of the grant, gift or bequest, in the following securities and no others:

(a) bonds or debentures issued or guaranteed by the Government of Canada or by the government of any province of Canada,

(b) any other security approved by The Municipal Board as suitable for the investment of the funds of the district.

Commutation by ratepayers of levies for capital expenditures.

62(1)

Subject to subsections (2) and (3), an included municipality may, by by-law, authorize any ratepayer in its included area to commute and pay to the municipality in one principal sum that portion of the amounts annually levied, or to be levied, against his lands and property under section 57, that are so levied, or to be levied, to provide for payment of his proportionate share of the capital expenditure so incurred and in respect of which the said amounts are, or are to be, levied; and the municipality may accept payment of the principal sum so paid; and thereafter no levy in respect of such capital expenditures shall be made against the said lands and property.

Limitation on authority granted by subsec. (1).

62(2)

The council of an included municipality may pass a by-law under subsection (1) only

(a) if less than three months has elapsed since the date upon which the district was established; or

(b) if, under this Act, debentures have been issued by the district subject to a provision that the amount secured by some or all of the debentures may be repaid before the maturity thereof, and the debentures called in and discharged.

Further limitation.

62(3)

Where a by-law is passed under the authority of clause (2)(b), it does not authorize the commutation and prepayment of amounts levied to a greater extent than the amount secured by any debentures of the type mentioned in clause (2)(b) that at that time remain outstanding and undischarged, and in respect of which outstanding and undischarged debentures no other municipality has passed a by-law under this section.

Commutation by municipalities of apportionment for capital expenditure.

63

An included municipality may, from any of its funds that it may lawfully use for such purpose, commute and pay to the board in one principal sum that portion of the amounts annually apportioned, or to be apportioned, to it under section 54 that are so apportioned, or to be apportioned, to provide for payment of the municipality's proportionate share of the capital expenditures so incurred, and in respect of which the said amounts are, or are to be apportioned; and the board may accept payment of the principal sum so paid; and thereafter no apportionment in respect of such capital expenditure shall be made to that municipality.

Grants by municipalities to cover deficit

64

An included municipality may, without submitting them to a vote of the ratepayers, pass by-laws authorizing and providing for the making of grants to any district in which the municipality or part thereof is included, for the purpose of paying, either alone or in conjunction with any other included municipality, any deficit in the accounts of the district that may arise out of, or result from, the lawfully incurred actual expenditure on the maintenance and operation of the hospitals of the district being more than the revenue derived from the operation thereof.

Alteration to boundaries of established district

65(1)

Where a supplementary scheme altering the boundaries of a district by adding territory thereto or subtracting territory therefrom has been prepared and has been approved by a resolution of the board of the district, by a resolution of the board of any other district affected by the proposed alteration, and by a by-law of each municipality in which any part of the territory to be added or subtracted is situated, the minister may, by regulation, alter the boundaries of the district accordingly.

Approval required where there is capital debt.

65(2)

Where the district, the boundaries of which are to be altered under subsection (1), is liable under outstanding debentures, bonds, or other securities, for debts other than current operating debts, the minister shall not alter the boundaries by regulation unless the supplementary scheme and the by-law of each municipality in which any part of the territory to be added or subtracted is situated, has been approved by The Municipal Board.

Apportionment to added territory.

65(3)

Where territory is added to a district and apportionments have already been made under section 54, the board shall forthwith reapportion among the included municipalities the amounts for the apportionment of which provision is made in section 54; and section 57 applies to the municipality that includes the territory so added; but, unless the board specifically otherwise directs, the re-apportionment shall be based on the most recent equalized assessments of the included areas within the district.

Further borrowing authorized.

66(1)

Where a district is established the board may subject as provided in this section, by resolution authorize

(a) its chairman and secretary-treasurer to borrow such amount on account of capital expenditure, in addition to any amount theretofore borrowed, as may be specified in the resolution; and

(b) the issue of debentures to secure the amount so borrowed and the interest thereon;

and the debentures shall bind, and form a lien and charge against, all hospital property in the district and all taxes levied in the district for the payment thereof, and shall rank pari passu with debentures previously issued by the board, or shall be subordinate thereto, as may be provided in the resolution.

Apportionment of additional borrowing.

66(2)

Where a territory is added to a district as provided in section 65,

(a) in lieu of a re-apportionment being made as required in subsection 65(3); or

(b) in addition to an apportionment made under that subsection to that municipality that includes the territory so added;

any amount borrowed at that time under subsection (1), or any part of that amount, may be apportioned

(c) among the included municipalities as provided in section 54; or

(d) to the included municipality that includes the territory so added.

Application of sections 54 and 57.

66(3)

Where an amount is borrowed under subsection (1), sections 54 and 57, with such modifications as the circumstances require, and subject to this section, apply to the included municipalities.

Supplementary scheme.

66(4)

Before borrowing any moneys under subsection (1) the board shall prepare a supplementary scheme showing how the moneys to be borrowed are to be apportioned among the included municipalities, and the changes in the levies, if any, that will be required, or the further or additional levies, if any, that will be made; and the board shall submit the supplementary scheme to the minister in the manner provided in section 41 in respect of the original scheme, and the supplementary scheme shall be deemed to be a scheme to which subsections 41(1) to 41(5).

Ratification by municipalities.

66(5)

Where a supplementary scheme has been approved by The Municipal Board and by the minister, each included municipality to which any part of an amount borrowed under subsection (1) is apportioned may, by by-law, ratify the supplementary scheme and, subject to any authorization required under The Municipal Act or The Municipal Board Act, authorize the borrowing of the moneys required thereby.

Where section not applicable.

66(6)

This section does not apply to Turtle Mountain Hospital District No. 15.

Scheme for enlargement of hospital where no borrowing required.

67(1)

Where the board of a district desires to enlarge a hospital, if it appears that it will not be necessary for the board to borrow money to pay for the capital expenditure required for that purpose, the board shall prepare a supplementary scheme setting forth

(a) a detailed description of the proposed enlargement with a plan thereof annexed;

(b) the manner in which the moneys required to pay for the proposed capital expenditure will be raised or obtained;

(c) an estimate of the probable annual revenue and probable annual expenditure incident to the maintenance and operation of the proposed enlarged hospital; and

(d) the estimated increase or change in the amount of the excess annual expenditure for maintenance and operation apportioned to each of the included municipalities and the changes in the levies, if any, that will be required, or the further or additional levies, if any, that will be made, if the hospital is enlarged as proposed.

Allotment of excess annual expenditure.

67(2)

The proportion of the excess annual expenditure for maintenance and operation allotted to each of the included municipalities in the supplementary scheme shall be the same as that allotted to that municipality in the original scheme.

Submission of supplementary scheme.

67(3)

The board shall submit the supplementary scheme to the minister, as provided in the case of an organization committee in subsection 41(1), each copy thereof to be signed by the chairman and secretary-treasurer.

Approval of scheme.

67(4)

The minister, if he is satisfied with the supplementary scheme may

(a) approve it in writing by a notation endorsed on a copy thereof over his signature; and

(b) if he deems it necessary or advisable, cause it to be published in a newspaper or in such other manner as he may direct;

and he shall thereupon send a copy thereof with a copy of his approval endorsed thereon, to each included municipality and to the board.

By-law approving scheme.

67(5)

On receipt of a supplementary scheme approved as provided in subsection (4), the council of each included municipality may finally pass a by-law approving the supplementary scheme, to which a copy of the supplementary scheme shall be attached as a schedule thereto; and it is not necessary to submit the by-law to, or obtain the approval thereto of, The Municipal Board.

Enlargement of hospital on passing of bylaws.

67(6)

On the council of an included municipality passing a by-law under subsection (5), the clerk of the municipality shall send a certified copy thereof to the board; and when the board has received a certified copy of such a by-law passed by each of the included municipalities, it may proceed to enlarge the hospital as provided in the supplementary scheme.

Procedure for amendment of original scheme.

68(1)

Where it appears to the board of a district that it is desirable that the scheme for the district, either as originally approved or as amended under this Act, (and whether or not chapter 21 of the Statutes of Manitoba, 1947, applies thereto), should be amended or further amended in any manner for which provision is not otherwise made herein, the board shall prepare a supplementary scheme, setting forth clearly, and with all detail required in order to make the supplementary scheme readily understandable, the amendments and additions that it is proposed to make to the original scheme.

Application of section 67.

68(2)

Where a board has prepared a supplementary scheme under subsection (1), subsections 67(3), (4), and (5) shall, except as in this section otherwise provided, apply with respect thereto.

Conditional approval by minister.

68(3)

The minister, in approving the supplementary scheme, may make his approval conditional upon the approval of The Municipal Board.

Procedure on approval being given.

68(4)

Where the minister makes his approval of the supplementary scheme conditional on the approval of The Municipal Board being given thereto, he shall proceed as provided in subsections 41(2), (3), (4), and (5), with such modifications as the circumstances require, substituting the words "the board" for the words " the organization committee" where they appear therein; and The Municipal Board shall likewise proceed as provided in those subsections, with such modifications as the circumstances require.

Procedure when by-law passed.

68(5)

Where a by-law is finally passed by the council, as provided in subsection 67(5), the clerk of the municipality shall send a certified copy thereof to the board; and when the by-law has been so passed by the council of each included municipality, the original scheme shall be deemed to be amended as set out in the supplementary scheme and the board shall thereafter act in accordance therewith.

Use of hospital buildings for other purposes.

69(1)

Where a hospital building of a district, or any part of such building, is not in use for hospital purposes, if a resolution authorizing the use of the building, or the part thereof, for a purpose specified in the resolution is passed

(a) by the board of the district; and

(b) by the council of each included municipality ; the minister may, in his absolute discretion, authorize the board in writing to use the building, or the part thereof, or allow it to be used for the purpose so specified

(c) for such period; and

(d) subject to such terms and conditions;

as the minister may deem expedient.

Sale of property.

69(2)

Where a hospital building or any other property, whether real or personal, owned by the board of a district, is no longer used as a hospital or for the purposes of the district, if a resolution is passed

(a) by the board of the district; and

(b) by the council of each included municipality ; the minister may in his absolute discretion, in writing, authorize the board to sell, lease, or otherwise dispose of the hospital building or other property subject to such terms and conditions as the minister may deem advisable.

Use of revenue.

69(3)

Where a hospital building or a part thereof, is used for another purpose under subsection (1), or a hospital building or other property is sold, leased or otherwise disposed of under subsection (2), any moneys payable to the district by reason thereof shall be used to discharge or reduce any debt incurred by the district in connection with the purchase, construction, or repair thereof, and after all such debts have been discharged if there is any balance remaining from any moneys payable in connection therewith, that balance shall be disposed of or dealt with in such manner as the minister prescribes.

Apportionments on basis of equalized assessments.

70

Notwithstanding any other provision of this Act or of the scheme or supplementary scheme

(a) every scheme or supplementary scheme under this Part that came into force on January 1, 1962, under which no debentures have been issued prior to May 6, 1963, and that provides for a division or apportionment of expenditures on the basis of the equalized assessments of the included area, shall be conclusively deemed to provide; and

(b) every scheme or supplementary scheme that hereafter comes into force and that provides for a division or apportionment of expenditures on the basis of the equalized assessments of the included areas, shall provide;

that the division or apportionment of expenditures to be made in any year shall be made on the basis of the most recent equalized assessments of the included areas within the district.

Existing hospitals may be incorporated in district.

71

Any hospital, whether incorporated by a special Act or by letters patent, may enter into and carry out an agreement with the board of any district for the transfer or conveyance of its hospital buildings, lands, and equipment to the board of the district, if the agreement is first approved by the minister.

Provision for local administrative committee.

72(1)

Where more than one hospital is established in a district, the board may, by by-law, provide for the establishment by the minister of a local administrative committee for each hospital.

By-law of the board.

72(2)

The by-law of the board shall

(a) define the powers and duties of each local administrative committee;

(b) set forth the relationship of the committee to the board; and

(c) prescribe

(i) the number of the members of each committee,

(ii) subject to subsection (3), the basis upon which the members shall be appointed, and

(iii) the term of office of the members.

Members of board as members of committee.

72(3)

At least two members of the board of the district shall be members of each local administrative committee.

Establishment of committee.

72(4)

On receipt of a certified copy of the bylaw of the board, the minister may, by regulation, establish each local administrative committee and change the membership thereof as may be required; and the regulation shall be based upon, and the provisions thereof shall be in accordance with, the by-law.

Appointment of members of local administrative committee.

72(5)

On the establishment of a local administrative committee, the board of the district shall, subject to the regulations, by resolution, appoint persons to be the first members of the committee; and as vacancies occur from time to time in the membership of the committee, the board shall in like manner appoint persons to fill the vacancies.

Notification to minister.

72(6)

The board of the district shall, immediately after appointing a person as a member of a local administrative committee, notify the minister in writing of the name, address, and occupation, of the person appointed.

Operation of hospital by committee.

72(7)

A local administrative committee shall operate the hospital for which it is appointed under the general supervision of the board and in accordance with the regulations.

Operation of hospitals by local or provincial organization.

73

Instead of appointing a local administrative committee under section 72, a board, with the written approval of the minister, may enter into an agreement with any organization or society having local or provincial objectives, and deemed by the minister to be suitable for the purpose, to operate one or more hospitals other than the principal hospital of the district under the general supervision of the board and in accordance with conditions, if any, prescribed in the regulations.

Application of The Hospitals Act.

74(1)

A hospital, including a medical nursing unit, but not including a medical service unit, operated by the board of a district is a hospital within the meaning of The Hospitals Act.

Medical service unit not hospital.

74(2)

A medical service unit is not a hospital for the purposes of The Department of Health Act and The Health Services Insurance Act.

Powers of minister.

75

Where any act or thing is in this Act directed to be done by an included municipality, or by a board, or by any officer of the municipality or the board, and whether it is to be done forthwith or within a specified time, if the act or thing is not so done the minister may do the act or thing with the same effect as if it had been done by the municipality, board, or officer.

Annual audit.

76(1)

The board of each district shall cause an audit of the books and accounts of each hospital in the district to be made in each year by an auditor selected as prescribed in the regulations.

Auditor's report and scope of audit

76(2)

The auditor shall make his report within a time to be fixed in the regulations; and the scope of the audit shall be such as may be prescribed in the regulations.

PART IV

GENERAL

Status of officials and employees.

77

All officers, clerks, and employees, appointed to positions or otherwise employed under Part I, whether in a professional, technical, administrative, or clerical, capacity or otherwise, shall, unless otherwise specified in the order in council appointing them, devote their entire time to the performance of the duties for the performance of which they are appointed; and they shall, from the times of their respective appointments, be members of the civil service of the province, and their salaries and wages shall be paid from and out of the Consolidated Fund with moneys authorized by an Act of the Legislature to be paid and applied for the purposes of this Act or for the purposes herein set forth.

Local government districts deemed to be municipalities for purposes of Act.

78(1)

Every local government district shall, for the purposes of this Act, be deemed to be a municipality; and the resident administrator of a local government district shall for the purposes of this Act, but subject as in this section provided, stand in the place of, and be deemed to be, the council of the municipality, and have all the powers vested in the council of the municipality under this Act.

Appointment of representatives to boards.

78(2)

Notwithstanding any other provision of this Act or of any regulation made under this Act, where a local government district or a part thereof is included in any area, district, or unit, as defined in any part of this Act,

(a) where there are no resident electors in that part of the local government district that is included in the area, district or unit, with the approval of the minister, any person who resides in that part of the local government district may be appointed to represent that part of the local government district on the board of the area, district or unit; and

(b) it is not necessary that any person appointed to represent the local government district on the board of the area, district, or unit, be a person, or one of the persons, who under this Act stand in the place of, and is or are deemed to be, the council of the local government district.

Payment of costs by government.

78(3)

Where, under this Act, any part of unorganized territory is included in an area, district, or unit, as defined in any part of this Act, or it is proposed to include such territory as aforesaid, or measures have been taken preliminary to, or for the purpose of, such an inclusion, if costs or expenses are occasioned or incurred by reason of the inclusion or proposed inclusion or the measures so taken, the government shall, in the first instance, pay the costs or expenses.

Assessment of charges paid by government against local government district, etc.

78(4)

Where the government is authorized or required to pay any charges, costs, expenses, or other moneys or make any expenditure,

(a) for, on behalf of, or for the benefit of, an area, district, or unit, or that part thereof that comprises therein a local government district or a part thereof; or

(b) for, on behalf of, or for the benefit of, the whole or any part of a local government district that it has been proposed to include in an area, district, or unit or for, or preliminary to, or for the purpose of, the inclusion of which in such an area, district, or unit, measures have been taken;

the Lieutenant Governor in Council may apportion to, and assess against, the local government district or the part thereof, as the case may be, the whole or part of the charges, costs, expenses, moneys, or expenditures, so paid; and thereupon the minister shall forthwith notify the resident administrator of the local government district of the amount so apportioned and assessed and of the part of the local government district against which such amount is to be levied.

Levy of tax for amount apportioned by government

78(5)

Without restricting the generality of subsection (1), but subject as in this section provided, if the minister notifies the resident administrator of a local government district that an amount has been apportioned to, and assessed against, the local government district, as provided in subsection (4), the resident administrator shall thereupon, as directed by the minister levy and collect as a special rate a tax on the taxable property in the local government district, or in that part of the local government district that is included in such an area, district, or unit of an amount sufficient to produce the amount so apportioned to, and assessed against the local government district.

Payment by administrator, etc.

78(6)

A resident administrator of a local government district who levies any tax under this section shall, on or before the last day of each month, remit to the minister all moneys collected by him during the next preceding month under the tax; and the minister shall forthwith pay the moneys to the Minister of Finance and they shall form part of the Consolidated Fund and shall, together with all records relative thereto, be subject to audit by the Provincial Auditor.

Order in council as to administrative regulations.

78(7)

Subject to all other provisions of this Act, the Lieutenant Governor in Council may, by order in council, prescribe

(a) the manner in which, and the person by whom, any list of electors or residents required for the purposes of this section shall be prepared, and how, and by whom, or by what corporation or authority, the costs thereof shall be defrayed; and

(b) the manner in which any other thing necessary to be done, or measure necessary to be taken, in order to carry out and give effect to this section shall be done or taken.

Approval of levies on local government districts by Lieutenant Governor in Council.

78(8)

Notwithstanding any other provision of this Act,

(a) no charge shall be made against a local government district or any part thereof under this Act; and

(b) no taxation shall be levied against land or other rateable property in, or against the residents of a local government district or any part thereof, under this Act;

unless the charge or taxation has been specifically approved by order of the Lieutenant Governor in Council.

Meaning of "local government districts".

78(9)

For the purpose of this section the expression "local government district" includes a school district in unorganized territory that is not in a local government district, and a reference to the resident administrator of a local government district shall, where the context so requires, be deemed to include the board of trustees of such a school district.

Inclusion of privately owned territory.

79

Where under this Act the minister proposes to take any steps to establish an area, district, or unit which comprises therein a part of the province

(a) that is not in a municipality or local government district; and

(b) the land, except land on which provincial highways, or public works of the province or of a municipality are constructed, in which is wholly owned or administered by one person;

or where the minister proposes to take any steps to alter an area, district, or unit to include such a part of the province, if the Lieutenant Governor in Council by order in council so directs, that part of the province may, with the consent of that person, be included in the area, district, or unit; and thereafter that person may enter into any agreement with the board of the area, district, or unit, necessary for the purpose of giving effect to the inclusion of that part of the province in the area, district, or unit, and that person shall be liable to pay to the area, district, or unit, any amounts that may be apportioned to that part of the province by the board; and that part of the province shall for all purposes of this Act, be deemed to be a municipality and that person shall for all purposes of this Act be deemed to be a council of a municipality and to have all the powers, authority and duties of a municipality.

Determination of population.

80

Where in any provision of this Act there is a reference to the population or number of residents of a municipality or part thereof or of the province or part thereof, it shall be deemed to mean the population or number of residents of that municipality or part thereof or of the province or that part thereof, as it is shown

(a) by the latest census taken under the Statistics Act (Canada) for which the returns are available; or

(b) in the case of a municipality or part thereof, by the latest municipal census taken pursuant to The Municipal Act if the population or number of residents as shown thereby is greater than as shown by the census mentioned in clause (a).

Penalty for disobeying Act.

81(1)

Every person who contravenes or neglects to obey any provision of this Act is guilty of an offence and is liable, on summary conviction, to a fine not exceeding $100.

Penalty for fraudulent practices.

81(2)

Every person who accepts any services or benefits under this Act to which he is not entitled is guilty of an offence and is liable, on summary conviction, to a fine not exceeding $500. or to imprisonment for six months, or to both.

Grants or loans.

82(1)

From and out of the Consolidated Fund with moneys authorized by an Act of the Legislature to be paid and applied for the purposes of this Act or for the purposes herein set forth, the Minister of Finance, on the written requisition of the minister, may make grants or loans to such persons, institutions, associations, or other organizations or bodies as the minister may specify, for the purposes of

(a) encouraging research in matters relating to health;

(b) assisting suitable and deserving persons

(i) being undergraduate students in medicine, to begin or complete their courses of study, or

(ii) being graduate medical practitioners, to take post-graduate courses of study;

(c) training the personnel needed for carrying out this Act.

Conditions of payment.

82(2)

The Lieutenant Governor in Council, by order in council, may prescribe the terms and conditions under which grants and loans made under subsection (1) shall be paid to, and received and applied by, the recipients thereof; and, in the case of loans, the terms and conditions, including the rate of interest, if any, upon which they shall be repaid.

Right of commission to review and report to minister.

82(3)

The commission may review, and report to the minister in regard to, any grants or loans made pursuant to subsection (1) and in regard to the terms and conditions under which grants and loans are made as herein provided.

Equalization grants to municipalities.

83

From and out of the Consolidated Fund with moneys authorized by an Act of the Legislature to be paid and applied for the purposes of this Act or for the purposes herein set forth, the Minister of Finance, on being authorized by order of the Lieutenant Governor in Council, may make equalization grants to municipalities and local government districts to assist the residents thereof to obtain the benefit of services for which provision is made herein.

Definition of "hospital".

84(1)

For the purpose of this section "hospital" includes medical service unit.

Grants for outpost hospitals.

84(2)

From and out of the Consolidated Fund, with moneys authorized by an Act of the Legislature to be paid and applied for any of the purposes of this Act or for any other purposes herein set forth, the Minister of Finance, on the written requisition of the minister, may make grants

(a) for the purposes of the establishment, construction, equipment, maintenance, and operation, of hospitals (hereinafter called "outpost hospitals") in such places in the province as are designated by order of the Lieutenant Governor in Council as being suitable for the establishment therein of outpost hospitals; or

(b) for any one or more of those purposes.

Regulations for expenditure of grants.

84(3)

Subject to this section, the Lieutenant Governor in Council may make regulations prescribing the conditions upon which moneys granted for the purposes of an outpost hospital may be expended.

Transfer of grants to trust fund.

84(4)

The Minister of Finance, on the written request of the minister, may transfer the moneys so granted for the purposes of an outpost hospital to the trust and special division of the Consolidated Fund and credit them to a special trust account; and subsections 37(1), (2), and (3) of The Financial Administration Act do not apply to moneys so transferred.

Disposal of gifts for outpost hospital.

84(5)

The minister may accept gifts, grants, or contributions, for the purposes of an outpost hospital; and in the case of a gift, grant, or contribution, of money, shall pay it to the Minister of Finance who shall place it in the trust and special division of the Consolidated Fund and credit it to the special trust account established for that outpost hospital.

Expenditure of trust moneys.

84(6)

The Minister of Finance shall hold in trust moneys credited to the special trust account for an outpost hospital; and shall expend them as directed by a written order of the minister, but subject to any conditions prescribed as provided in subsection (7).

Red Cross.

84(7)

The minister, on behalf of Her Majesty in right of the province, may enter into an agreement with the Canadian Red Cross Society or with that society and a local association, committee, organization, or body,

(a) respecting, the establishment, construction, equipment, maintenance, and operation of an outpost hospital, or any one or more of those things;

and without restricting the generality of the foregoing,

(b) respecting the conditions upon which any moneys granted, contributed, or raised, by the parties to the agreement or either of them may be expended; and

(c) for the maintenance or operation, or both of the hospital by any party to the agreement.

Agreements with Dominion Government, etc.

85(1)

The minister on behalf of the Government of Manitoba may enter into agreements with the Government of Canada, or with any institution, foundation, association, society, or other organization, whereby the Government of Canada or the institution, foundation, association, society, or organization, agrees to make grants to the Government of Manitoba for the purposes herein set out or any of them on the conditions stated in the agreement.

Approval by Lieutenant Governor in Council.

85(2)

The minister shall not make or execute an agreement under subsection (1) unless it has been approved by order of the Lieutenant Governor in Council.

Expenditure of grants.

85(3)

The minister may make regulations prescribing the manner in which, and the purpose or purposes set out herein for which, moneys received as a grant pursuant to an agreement made under subsection (1) shall be expended.

Grants to municipality for capital.

86(1)

Where the minister is satisfied that, as of April 1, 1975, a municipality has debt outstanding that was incurred for the purpose of making a grant to a board of a district, or to a corporation that is not a board of a district and that owns and operates a hospital, in respect of approved capital expenditures of the board or the corporation for the acquisition, construction or capital improvement of a hospital, he may request the Minister of Finance or the commission to pay to the municipality in each year an amount equal to the principal and interest payment required in that year calculated on the basis of the amortization schedule of the municipality with respect to the debt.

Conditions of payments.

86(2)

Before the minister makes a request under subsection (1), he may require the municipality to transfer to the Crown any property which the municipality received in relation to the making of the grant to the board of the district or the corporation and for which the municipality did not pay a fair market price.