News Release
Securities commission to reduce fees by $12.2-million
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Date:
2001-12-10 -
Number:
2001/64
Released: 12/10/01 Contact: Andrew Poon
NR 01-64 604-899-6880 or
(B.C. & Alberta) 1-800-373-6393
Vancouver -- The British Columbia Securities Commission has received provincial cabinet approval for a $12.2-million reduction in fees the commission charges to securities dealers and public companies, effective next year.
"We are pleased to announce this fee reduction," said the Hon. Rick Thorpe, the minister of Competition, Science and Enterprise who is responsible for the commission. "This initiative is yet another example of how we can revitalize economic growth in British Columbia by reducing some of the costs of doing business."
The fee reduction is a temporary measure designed to return to securities market participants some of the surplus revenues the commission collected during periods of high market activity.
The reductions are expected to save issuers about $5.9 million in fees and registrants about $6.3 million. Last fiscal year, the BCSC collected $27.9 million in fees from securities market participants.
"The securities commission operates on a break-even basis," said BCSC Chair Doug Hyndman. "Earlier this year, we cut our fees by 15 per cent to bring them in line with the cost of regulation. The new fee reduction will return to industry surplus revenues accumulated through the unexpectedly high fee collections generated by the strong market conditions of the late 1990s."
The major component of the fee cut is a one-year reduction of $10 million designed to return surplus fee revenues to securities market participants.
The one-year fee reduction is effective January 7, 2002. Some of the fees affected are:
The British Columbia Securities Commission is the independent provincial government agency responsible for regulating trading in securities and exchange contracts within the province.
NR 01-64 604-899-6880 or
(B.C. & Alberta) 1-800-373-6393
Vancouver -- The British Columbia Securities Commission has received provincial cabinet approval for a $12.2-million reduction in fees the commission charges to securities dealers and public companies, effective next year.
"We are pleased to announce this fee reduction," said the Hon. Rick Thorpe, the minister of Competition, Science and Enterprise who is responsible for the commission. "This initiative is yet another example of how we can revitalize economic growth in British Columbia by reducing some of the costs of doing business."
The fee reduction is a temporary measure designed to return to securities market participants some of the surplus revenues the commission collected during periods of high market activity.
The reductions are expected to save issuers about $5.9 million in fees and registrants about $6.3 million. Last fiscal year, the BCSC collected $27.9 million in fees from securities market participants.
"The securities commission operates on a break-even basis," said BCSC Chair Doug Hyndman. "Earlier this year, we cut our fees by 15 per cent to bring them in line with the cost of regulation. The new fee reduction will return to industry surplus revenues accumulated through the unexpectedly high fee collections generated by the strong market conditions of the late 1990s."
The major component of the fee cut is a one-year reduction of $10 million designed to return surplus fee revenues to securities market participants.
The one-year fee reduction is effective January 7, 2002. Some of the fees affected are:
- The minimum prospectus-filing fee falls from $2,500 to $400 for public companies and from $1,500 to $900 for mutual funds.
- The annual fee for a public company or mutual fund that files its annual financial statements on time falls from $600 to $75.
- The annual registration fee for a salesperson of a securities dealer falls from $250 to $75.
- The fee payable on proceeds of exempt distributions drops from 0.03 per cent to 0.01 per cent.
The British Columbia Securities Commission is the independent provincial government agency responsible for regulating trading in securities and exchange contracts within the province.