BILL NO. 236

(as introduced)

2nd Session, 63rd General Assembly
Nova Scotia
69 Elizabeth II, 2020

 

Government Bill

 

Railways Act
(amended)

 

The Honourable Lloyd Hines
Minister of Transportation and Infrastructure Renewal

First Reading: February 28, 2020

(Explanatory Notes)

Second Reading: March 3, 2020

Third Reading: March 9, 2020 (WITH COMMITTEE AMENDMENTS) (LINK TO BILL AS PASSED)

Explanatory Notes

Clause 1 adds definitions of "non-licensed railway", "non-operating railway" and "qualified engineer".

Clause 2

(a) provides that the Act applies to the Sydney Coal Railway;

(b) clarifies that the Act applies to operating railways, discontinued railways and abandoned railways; and

(c) provides that the Act does not apply to non-licensed or non-operating railways except where expressly provided.

Clause 3

(a) requires the operator of a railway to provide crossings where track divides a continuous area of privately-held land or a private road; and

(b) sets out rules for determining who is responsible for paying for the crossings.

Clause 4

(a) requires licence holders to maintain their railways in a safe condition as a condition of their licence; and

(b) where a railway is not in a safe condition, makes the licence holder responsible for the cost of repairs.

Clause 5 requires

(a) the inspection of a railway and the repair of any deficiencies before a licence may be issued; and

(b) licence holders or former licence holders to maintain safety standards, insurance coverage and financial viability even while their licence is suspended or after it has been revoked.

Clause 6 requires proof of the safe condition of a railway before a railway licence can be automatically renewed.

Clause 7

(a) allows the Nova Scotia Utility and Review Board to suspend or revoke the licence of a licence holder where the licence holder fails to maintain the railway in a safe condition;

(b) provides that a deemed notice of discontinuance is given where a licence holder does not resume operation after a suspension;

(c) allows the Board to grant a temporary licence to operate a railway where a licence holder is deemed to have applied for discontinuance;

(d) requires safety inspections of railways by a qualified engineer and the repair of any deficiencies prior to reinstatement of a suspended licence; and

(e) provides that, where a licence is revoked, the former licence holder is deemed to have applied for discontinuance and, where the former licence holder cannot find a buyer, the railway may be purchased by the Government of Nova Scotia for its salvage value.

Clause 8 provides that the obligation of a railway company to maintain the railway continues until the railway is sold, even if it is discontinued or abandoned.

Clause 9

(a) allows the Minister of Transportation and Infrastructure Renewal to require a railway company to conduct repairs necessary for the safety of the public; and

(b) allows the Minister to conduct repairs or modifications of a railway where necessary as a result of a state of emergency or imminent threat to the safety of the public.

Clause 10 requires railway companies to conduct a thorough inspection of their railways at least once every 5 years and permits the requirements for those inspections to be established by regulation.

Clause 11

(a) requires a plan for the discontinuance of a railway line to include

(i) how the railway company intends to deal with safety and maintenance, and

(ii) an inspection, if one has not been completed in the previous 5 years; and

(b) allows the Minister to

(i) order that a railway company is deemed to have applied for abandonment of a railway line where it has not done so in the time required by the regulations, and

(ii) complete any necessary repairs.

Clause 12 requires an application for abandonment of a railway line to include either a statement affirming its safe condition or indicating any necessary repairs. It also allows the Minister to complete any necessary repairs at the railway company's expense.

Clause 13 corrects a reference to whom is responsible for the approval of an abandonment plan.

Clause 14 allows the Governor in Council to make regulations

(a) prescribing the qualifications necessary for a person to be a qualified engineer; and

(b) establishing requirements for inspections.

Clause 15 provides that an exclusion of the application of the Municipal Government Act and prescribed enactments only applies with respect to an operating railway.

Clause 16 provides that this Act comes into force on proclamation.

An Act to Amend Chapter 11
of the Acts of 1993,
the Railways Act

Be it enacted by the Governor and Assembly as follows:

1 Section 3 of Chapter 11 of the Acts of 1993, the Railways Act, as amended by Chapter 12 of the Acts of 2001 and Chapter 57 of the Acts of 2014, is further amended by

(a) adding immediately after clause (d) the following clauses:

(da) "non-licensed railway" means an operating railway whose licence has been suspended or revoked;

(db) "non-operating railway" means a railway that is the subject of a valid licence but is not actively operating in accordance with its licence and has not had an application made for its discontinuance or abandonment;

and

(b) adding immediately after clause (f) the following clause:

(fa) "qualified engineer" means a person who meets the qualifications prescribed in the regulations;

2 Section 4 of Chapter 11 is amended by

(a) adding "(1)" immediately after the Section number; and

(b) adding immediately after subsection (1) the following subsections:

(2) For greater certainty, this Act applies to the Sydney Coal Railway.

(3) Notwithstanding subsection (1), this Act only applies to

(a) operating railways;

(b) discontinued railways; and

(c) abandoned railways.

(4) Except where expressly provided, this Act does not apply to non-licensed railways or to non-operating railways.

3 Chapter 11 is further amended by adding immediately after Section 12 the following Sections:

13 (1) Where

(a) a person owns land that is located on both sides of a right of way for a railway line; and

(b) if it were not for that right of way, that land would be joined together forming a single continuous area of land,

the operator of the railway shall, on the request of the owner of the land, provide a crossing across the right of way and any track located on the right of way that is appropriate for the intended use of the crossing by the owner of the land.

(2) A crossing that is provided under this Section must remain in place until the owner of the land notifies the operator of the railway that the crossing is no longer required or the crossing is removed pursuant to an agreement between the owner of the land and the operator of the railway.

(3) For the purpose of this Section,

(a) where the right of way existed before the owner of the land acquired the land on both sides or either side of the right of way, the owner of the land is responsible for the costs of constructing, maintaining, repairing and removing the crossing; or

(b) where the owner of the land acquired that land before the right of way that separated that land came into existence, the operator of the railway is responsible for the costs of constructing, maintaining, repairing and removing the crossing.

(4) This Section does not apply in respect of an industrial railway.

13A (1) In this Section,

(a) "private road" means

(i) a road that is not a highway, or

(ii) a highway that is not owned or otherwise under the direction, control and management of Her Majesty in right of the Province or Canada, a member of the Executive Council or a municipality and the highway is designated as a private road by the Minister;

(b) a reference to an owner of a private road is a reference to the person who owns or otherwise has the direction, control and management of the private road.

(2) Where

(a) a person owns a private road that is located on both sides of a right of way for a railway line; and

(b) if it were not for that right of way, that private road would be joined together forming a continuous road,

the operator of the railway shall, on the request of the owner of the private road, provide a crossing across the right of way and any track located on the right of way that is appropriate for the intended use of the crossing by the owner of the private road.

(3) A crossing that is provided under this Section must remain in place until the owner of the private road notifies the operator of the railway that the crossing is no longer required or the crossing is removed pursuant to an agreement between the owner of the private road and the operator of the railway.

(4) For the purpose of this Section,

(a) where the right of way existed before the private road existed on both sides or either side of the right of way, the owner of the private road is responsible for the costs of constructing, maintaining, repairing and removing the crossing; or

(b) where the private road was in existence before the right of way that separated that road came into existence, the operator of the railway is responsible for the costs of constructing, maintaining, repairing and removing the crossing.

(5) A person shall not construct a crossing under this Section unless a railway inspector has granted an approval for the construction of the crossing.

(6) This Section does not apply in respect of an industrial railway.

4 Section 16 of Chapter 11 is amended by adding immediately after subsection (2) the following subsections:

(2A) It is a condition of every licence that the licence holder maintain the railway in a safe condition.

(2B) Where a railway is not in a safe condition as required by subsection (2A), the licence holder is responsible for the cost and repairs necessary to bring the railway into a safe condition.

5 (1) Subsection 17(1) of Chapter 11, as amended by Chapter 27 of the Acts of 1995-96, is further amended by adding immediately after clause (a) the following clause:

(aa) has had the proposed railway and proposed railway service inspected by a railway inspector and has addressed any deficiencies identified in the inspection to the satisfaction of the railway inspector;

(2) Section 17 of Chapter 11 is further amended by adding immediately after subsection (2) the following subsection:

(3) The duties imposed under subsection (2) continue to apply to a licence holder or former licence holder even if the licence has been suspended or revoked until such time as the railway has been sold or transferred to another person.

6 Section 20 of Chapter 11 is amended by adding "and proof of the safe condition of the railway" immediately after "fee" in the first line.

7 Section 21 of Chapter 11 is amended by

(a) adding "(1)" immediately after the Section number; and

(b) adding immediately after subsection (1) the following subsections:

(2) Where a licence holder fails to comply with the condition referred to in subsection (2A) of Section 16, the Board shall suspend or revoke the licence of the licence holder until the licence holder complies with the condition and that compliance is verified by a qualified engineer.

(3) Where a licence holder whose licence has been suspended does not resume operating the railway within thirty days after the suspension is ended or any longer period that the Board may allow, the licence holder is deemed to have given notice on the thirtieth or final allowed day to the Board pursuant to Section 41 requesting authorization to discontinue service on the railway.

(4) Where a licence holder is deemed to have given notice to the Board under subsection (3), the Board may

(a) issue a temporary operating licence for the railway to another person; and

(b) make any orders the Board considers necessary in relation to the temporary operating licence, including a requirement for the temporary operating licence holder to maintain the condition of the railway.

(5) Where the safety inspection of the railway by a qualified engineer is more than five years old, a licence holder whose licence has been suspended shall provide the Board with a report from a qualified engineer confirming the safe condition of the railway before the Board may reinstate the licence.

(6) Where a report required under subsection (5) identifies any deficiencies, those deficiencies must be remedied to the satisfaction of the qualified engineer before the Board may reinstate the licence.

(7) Where a licence holder's licence is revoked, the licence holder is deemed to have made an application for discontinuance under Section 41 on the day that the licence is revoked.

(8) Where an application is deemed to have been made under subsection (7) and the former licence holder has not sold the railway to another person within a period of not less than six and not more than twelve months, as determined by the Board,

(a) the former licence holder is deemed to have offered the railway for sale to Her Majesty in right of the Province at its value as salvage; and

(b) Her Majesty in right of the Province may buy the railway at the cost of its value as salvage.

(9) The sale of a railway under subsection (8) does not relieve the seller of any duty, debt or obligation, including a duty, debt or obligation under the Environment Act, the Pension Benefits Act or any other enactment, in respect of the railway, its employees or former employees or any related land or thing.

8 Section 22 of Chapter 11, as amended by Chapter 12 of the Acts of 2001, is further amended by

(a) adding "(1)" immediately after the Section number; and

(b) adding immediately after subsection (1) the following subsections:

(2) The obligation respecting maintenance in subsection (1) continues to apply

(a) while the railway company's licence to operate is suspended or revoked;

(b) while the railway company has discontinued use of the railway; and

(c) while the railway company has abandoned the railway.

9 Chapter 11 is further amended by adding immediately after Section 22 the following Sections:

22A (1) The Minister may, by order, require a railway company to perform any repairs to the railway company's railway that the Minister considers necessary for the safety of the public.

(2) Where a railway company fails to perform any repairs required under subsection (1) within a reasonable time, as determined by the Minister, the Minister may have the repairs completed.

(3) The cost of any repairs completed under subsection (2) is a debt owed by the railway company to Her Majesty in right of the Province and is recoverable in any court of competent jurisdiction.

22B (1) Where repairs or modifications to a railway are needed as the result of a declared state of emergency or an imminent threat to the safety of the public, the Minister may have the repairs or modifications completed without notice to the railway company that operates the railway.

(2) The cost of any repairs completed under subsection (1) is a debt owed by the railway company to Her Majesty in right of the Province and is recoverable in any court of competent jurisdiction.

10 Chapter 11 is further amended by adding immediately after Section 35 the following Section:

35A (1) A railway company shall, at least every five years,

(a) have a qualified engineer conduct a thorough inspection of the railway company's railways; and

(b) remedy any deficiencies identified in the inspection.

(2) An inspection conducted under subsection (1) must meet any requirements prescribed in the regulations.

11 (1) Section 41 of Chapter 11, as amended by Chapter 12 of the Acts of 2001 and Chapter 57 of the Acts of 2014, is further amended by adding immediately after subsection (1) the following subsections:

(1A) A discontinuance plan filed under clause (b) of subsection (1) must include how the railway company intends to deal with the safety and maintenance of the railway line during any period of discontinuance.

(1B) Where a railway line that would be affected by a discontinuance plan has not been inspected within the past five years, the railway company shall

(a) conduct an inspection of the railway line in accordance with Section 35A; and

(b) include a copy of the inspection in its discontinuance plan.

(2) Section 41 is further amended by adding immediately after subsection (4) the following subsections:

(5) Where a railway company has not applied for abandonment of a railway line under Section 42 within the time required under subsection (4), the Minister may order that the railway company is deemed to have applied under Section 42 for abandonment of the railway line.

(6) Where the Minister makes an order under subsection (5), the Minister may take steps to complete any necessary repairs to or maintenance of the railway line.

(7) The cost of any repairs or maintenance completed under subsection (6) is a debt owed by the railway company to Her Majesty in right of the Province and is recoverable in any court of competent jurisdiction.

12 Section 42 of Chapter 11, an enacted by Chapter 57 of the Acts of 2014, is amended by adding immediately after subsection (2) the following subsections:

(3) An application under subsection (2) must include a statement from a qualified engineer

(a) affirming the safe condition of the railway line and any related infrastructure; or

(b) indicating the repairs necessary to restore the railway line and any related infrastructure to a safe condition.

(4) Where a statement required under subsection (3) indicates that repairs are necessary to restore the railway line and any related infrastructure to a safe condition, the Minister may take steps to complete the repairs.

(5) The cost of any repairs completed under subsection (4) is a debt owed by the owner or lessee to Her Majesty in right of the Province and is recoverable in any court of competent jurisdiction.

13 Subsection 44(1) of Chapter 11 is amended by striking out "Board" in the first line and substituting "Minister".

14 Subsection 48(1) of Chapter 11, as amended by Chapter 27 of the Acts of 1995-96 and Chapter 12 of the Acts of 2001, is further amended by

(a) relettering clause (a) as (aaa);

(b) adding immediately before clause (aaa) the following clause:

(a) prescribing the qualifications necessary to be a qualified engineer;

and

(c) adding immediately after clause (v) the following clause:

(va) prescribing requirements for the purpose of an inspection under Section 35A;

15 Section 51 of Chapter 11, as enacted by Chapter 12 of the Acts of 2001, is amended by

(a) adding "(1)" immediately after the Section number;

(b) striking out "a" in the third line of subsection (1) and substituting "an operating"; and

(c) adding immediately after subsection (1) the following subsection:

(2) For greater certainty, subsection (1) does not apply to

(a) a non-operating railway;

(b) a non-licensed railway;

(c) a railway that has discontinued the line to which the right of way relates; or

(d) a railway that has abandoned or applied for abandonment of the line to which the right of way relates.

16 This Act comes into force on such day as the Governor in Council orders and declares by proclamation.

 

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This page and its contents published by the Office of the Legislative Counsel, Nova Scotia House of Assembly, and © 2020 Crown in right of Nova Scotia. Created March 10, 2020. Send comments to legc.office@novascotia.ca.