Industrial and Regional Development Regulations — 4
4 (1) For the purposes of arranging districts into Tier Groups in accordance with section 3 of the Act, the Minister shall establish a development index in accordance with the formula Q = 50E + 40Y + 10R where (a) “Q” is the ranking indicator; (b) “E” is the employment measurement; (c) “Y” is the income measurement; and (d) “R” is the revenue measurement. (2) For the purposes of subsection (1), (a) E is calculated in accordance with the formula [EP + ((100 - U) + 1)] 2 where (i) “EP” is the scaled average employment to population ratio as provided by Statistics Canada to the Minister either (A) for the district, or (B) if not provided for the district individually, for the grouping of districts formulated by Statistics Canada in which the district is located, for the three most recent calendar years for which data is available, (ii) “U” is the scaled average unemployment rate as provided by Statistics Canada to the Minister either (A) for the district, or (B) if not provided for the district individually, for the grouping of districts formulated by Statistics Canada in which the district is located, for the three most recent calendar years for which data is available; (b) Y is calculated in accordance with the formula [I + D + ((100 - T) + 1)] 3 where (i) “I” is the total income for the district, as determined by the Minister based on the aggregate of total income declared on income tax returns for individuals bearing addresses within the district, as provided by the Department of National Revenue, divided by the population of the district as provided by Statistics Canada, averaged over the three most recent calendar years for which data is available, (ii) “D” is the total income as determined under subparagraph (i) less (A) for districts not in the Province of Quebec, the aggregate of total tax payable by individuals bearing addresses within the district determined by the Minister based on data provided by the Department of National Revenue, or (B) for districts in the Province of Quebec, the aggregate of total tax payable by individuals bearing addresses within the district as determined by the Minister based on data provided by the Department of National Revenue and the aggregate of provincial tax payable as estimated by the Minister, divided by the population of the district, as provided by Statistics Canada, averaged over the three most recent calendar years for which data is available, (iii) “T” is the transfer payments for the district paid under the Unemployment Insurance Act, 1971 , Old Age Security Act , Family Allowances Act, 1973 , Canada Pension Plan and An Act respecting the Quebec Pension Plan , as reported on income tax returns for individuals bearing addresses within the district as provided by Statistics Canada, divided by total income as provided by Statistics Canada averaged over the three most recent calendar years for which data is available, and (iv) I, D and T are scaled in accordance with the formula set out in subsection (3); and (c) R is the average of the indices of fiscal capacity of the province in which the district is located for stipulated fiscal years, where (i) an index of fiscal capacity of a province means the product of 100 times a fraction of which (A) the numerator is the aggregate, for each of the revenue sources included in the definition of “revenue source” in subsection 4(2) of the Federal-Provincial Fiscal Arrangements and Federal Post-Secondary Education and Health Contributions Act, 1977 of the amounts calculated in accordance with the formula ( B p × T) P p , and (B) the denominator is the aggregate, for each of the revenue sources included in the definition of revenue source in subsection 4(2) of the Federal-Provincial Fiscal Arrangements and Federal Post-Secondary Education and Health Contributions Act, 1977 , of the amounts calculated in accordance with the formula ( B 10 × T) P 10 where (I) “B p ” is the revenue base of the province defined under subsection 4(2) of the Federa