Human Resources Legislative Update
Ontario Government Introduces Municipal Accountability Act, 2025
Date: May 8, 2025
On May 01, 2025, the Ontario government announced Bill 9, the Municipal Accountability Act, 2025 (Bill 9). Bill 9 re-introduces legislation originally proposed under Bill 241, the Municipal Accountability Act, 2024, that was not enacted prior to the provincial election. If passed, Bill 9 would enable the creation of a new, standardized municipal code of conduct, an integrity commissioner inquiry process that would be consistent throughout the province, and mandatory code of conduct training for members of council and certain local boards.
Bill 9 proposes amendments to the Municipal Act, 2001 (Municipal Act) with companion amendments also made to the City of Toronto Act, 2006.
Standard Codes of Conduct
Bill 9, if passed, would provide the government with the ability, through regulation, to shift from municipality-established codes of conduct to a provincially prescribed framework.
Currently, the Municipal Act provides that municipalities shall establish codes of conduct. If passed, Bill 9 would repeal this provision and grant the Lieutenant Governor in Council the authority to enact regulations to, among other things:
- prescribe a code of conduct for members of councils of municipalities and of local boards
- require members to comply with any prescribed code of conduct
- mandate municipal integrity commissioners to provide code of conduct education or training to members of council and local boards
- require members to take any code of conduct education or training mandated
Integrity Commissioner Framework
Under the current Municipal Act, municipalities are responsible for establishing their own terms of reference, which outline their municipal integrity commissioner’s duties, complaint investigation protocols, and reporting procedures. When a municipal integrity commissioner determines that a member has violated the code of conduct, the commissioner may recommend that the municipality impose penalties on the member, which are limited to reprimands or suspension of remuneration for up to 90 days. Commissioners are expected to adhere to any established municipal investigation procedures.
Bill 9 proposes substantial changes to this framework. If enacted, the legislation would establish a mechanism for removing and disqualifying municipal council and local board members who commit serious code of conduct violations.
If Bill 9 is enacted, after the completion of an inquiry, the municipal integrity commissioner would also have the ability to make a recommendation to the Integrity Commissioner of Ontario that the member’s seat be declared vacant, if the municipal integrity commissioner is of the opinion that all of the following criteria are met:
- The member has contravened the code of conduct.
- The contravention is of a serious nature.
- The member’s conduct that is the subject of the inquiry has resulted in harm to the health, safety or well-being of any persons; and
- The existing penalties are insufficient to address the contravention or ensure that the contravention is not repeated.
The Removal and Disqualification Process
On receipt of such a recommendation, the Integrity Commissioner of Ontario would conduct an inquiry and determine whether the criteria for removal and disqualification have been met. In making this assessment, the Integrity Commissioner of Ontario may consider, among other things, whether the contravention negatively impacts public confidence in the ability of either the member to discharge their duties, or the council or local board to fulfill its role.
If the Integrity Commissioner of Ontario is satisfied the criteria for removal and disqualification have been met, they can provide a recommendation to the municipal council. For the recommendation to be approved, the bill requires that all members of council (except those excluded from voting) must vote in favour of the recommendation. If the council votes in favour of the recommendation, the member is removed from their seat, the seat is declared vacant, and the member is disqualified from being a member of council or of any local board of the municipality for four years.
Additionally, if a person holds multiple positions (such as seats on both local council and upper-tier council, or on council and a local board), and one seat is declared vacant under this process, all other positions held by that person would automatically be deemed vacant as well.
Consultations
The government intends to consult on these changes and collaborate with the municipal sector to create the necessary regulations for the new framework, which will be implemented for the new term of councils in 2026.
Should you have any questions or require more information about how Bill 9, if passed, may impact your municipality, please contact your regular Hicks Morley lawyer.