Federal-Provincial Fiscal Arrangements Act

Marginal note:Election for fiscal year 2007-2008

• 3.7 (1) The Minister of Finance of Nova Scotia or of Newfoundland and Labrador, as the case may be, may elect, for the fiscal year beginning on April 1, 2007, that the fiscal equalization payment that may be paid to that province be equal to $1,464,528,000 for Nova Scotia and $520,510,000 or $732,462,000 for Newfoundland and Labrador, rather than the amount set out under section 3.1. The election must be communicated to the Minister in writing on or before March 1, 2008.

• Marginal note:Effect — election by Newfoundland and Labrador

  (2) If Newfoundland and Labrador elects to receive, under subsection (1), $520,510,000, that province is considered to have made the election under subsection 3.2(2).

• Marginal note:Election for subsequent fiscal years

  (3) For any fiscal year beginning after March 31, 2008, Nova Scotia or Newfoundland and Labrador, as the case may be, may elect, at the prescribed time and in the prescribed manner, that the amount of the fiscal equalization payment that may be paid to that province be determined under sections 3.2 and 3.4, rather than under subsection 3.6(1).

• Marginal note:Effect of election

  (4) As soon as a province makes the election under subsection (3), section 3.6 ceases to apply to that province.