Following the surprise announcement by industry advocacy groups ACTA and CATO that they are withdrawing their respective appointees to the TICO board in protest of TICO's withholding publication of its recommendations to the province about the future funding model, the Ontario regulator has issued a statement in defense of practices.
As Open Jaw has reported, TICO is expected to give final approval on 25JUL to its recommendations on TICO’s future fee structure and Compensation Fund funding, which will be sent to the Ontario government for review.
This, despite the fact that the two industry associations - nor their members - have been provided with a copy of TICO's recommendations on future fees and the Compensation Fund financing.
Wendy Paradis, ACTA president, said in a statement, “Both ACTA and CATO have appointees on the TICO board and yet, have been excluded from this information despite numerous requests.“
Following ACTA and CATO's withdrawal of their appointees to TICO's board, Richard Smart, the CEO of TICO, published a statement:
"TICO is governed by its Board of Directors and the Ministry of Public and Business Service Delivery. Further details regarding industry appointments to TICO's Board of Directors will be disclosed in due course. TICO remains steadfast in its commitment to consumer protection and will continue to actively engage with all stakeholders.
"Throughout the funding review, which launched in September 2022, we have placed great emphasis on conducting a thorough and inclusive consultative process, actively seeking input from Ontario consumers, registrants, and industry stakeholders, a practice we will continue. Our approach hinges on striking a delicate balance between the interests of Ontario consumers and the industry, while also thoughtfully considering the real-world implications of any recommendations in the broader economic and political context.
"As previously communicated, TICO must follow a set process prior to releasing any recommendations publicly. A comprehensive industry consultation is expected to launch this fall."
In their joint media release announcing the withdrawal of their appointees, ACTA and CATO made it clear they believe the review process did not allow for the industry's concerns to be given a proper hearing.
Jean Hébert, CATO Executive Director, said, “Once approved by the TICO Board, the Minister will have 45 days to react without having heard the concerns from industry."
He added: “In our experience, while consultations are expected after the Ministerial review, if all the necessary documentation is not contained in the report, it is difficult for recommendations to change.”