Provincial ministers responsible for securities regulation meeting in Calgary Thursday are expected to sign a memorandum of understanding adopting a passport model in Canada.

The ministers have called a news conference for Thursday afternoon to speak about the issue of securities regulation. Over the summer they have been working on an MOU that would see a passport system adopted in Canada within 12 months. The draft MOU called for the provinces to sign on by Sept. 30.

Cathy Housdorff, director of communications for Alberta Revenue, said the ministers are finalizing that MOU and are expected to sign the document on Thursday.

In 2003, the ministers had agreed to move toward a passport model, but that was derailed after an election in Ontario brought in a new administration which has favoured a single regulator model. Earlier this year, Ontario proposed agreeing to a passport model on the condition that the provinces move toward a single regulator within two to four years.

A version of the draft MOU circulated in the summer contemplates adopting a passport system by Aug. 1, 2005. Initially, a passport model would be used in areas in which there is already a high degree of harmonization among the provinces, including registration, prospectus requirements and exemptions, and continuous disclosure requirements. Participating provinces would either introduce legislation, delegate authority, or incorporate other provinces’ legislation by reference in order to implement the passport system.

The draft MOU imagines more highly harmonized securities laws by Dec. 1, 2006, and that, by the end of 2006, the ministers will have conducted a review of the regulatory fee structure as well. It also proposes that further reforms, such as the adoption of a single regulator, would be explored by the end of 2007. It remains to be seen if these plans and deadlines are upheld in the final MOU.

The conference will be hosted by Greg Melchin, Minister of Revenue for Alberta. He will be joined by Gerry Phillips, chairman of the Management Board of Cabinet for Ontario; Yves Séguin, Minister of Finance Quebec; Bradley Green, Minister of Justice and Attorney General in New Brunswick; Greg Selinger, Minister of Finance for Manitoba; John Les, Minister of Small Business and Economic Development in BC; Jamie Ballem, Attorney General PEI; Kevin Yates, an MLA representing Frank Quennell, Saskatchewan’s Minister of Justice and Attorney General, and; Glenn Hart, Minister of Community Services in the Yukon.