O.C. 366/2006

August 9, 2006

A.R. 197/2006

August 10, 2006

The Lieutenant Governor in Council makes the Employment Pension Plans (General, 2006) Amendment Regulation set out in the attached Appendix.

For Information only

Recommended by: Minister of Finance

Authority: Employment Pension Plans Act
(section 87)

APPENDIX

Employment Pension Plans Act

EMPLOYMENT PENSION PLANS
(GENERAL, 2006) AMENDMENT REGULATION

1 The Employment Pension Plans Regulation (AR 35/2000) is amended by this Regulation.

2 Section 1 is amended

(a) by repealing subsection (1)(a) to (h) and substituting the following:

(a) "Canada Revenue Agency" means the body commonly known as the Canada Revenue Agency;

(b) "personal information" means personal information within the meaning of the Freedom of Information and Protection of Privacy Act;

(c) "plan termination basis" means a basis for determining in a review the value of a plan's liabilities arising from defined benefit provisions that

(i) is predicated on the hypothesis of the plan's terminating at the review date and takes into account any benefit increases or decreases as a result of the hypothetical termination, other than decreases resulting from a reduction in benefits as contemplated by section 55, and

(ii) is based on assumptions and methods and a manner for the determination of commuted values that meet the conditions of section 1(1)(h)(i)(A) and (C) of the Act and, unless the Superintendent so allows in writing, the conditions set out in section 29 of this Regulation;

(d) "predecessor plan" means the pension plan from which members are transferred in a transaction referred to in section 65(2);

(e) "review" means a review of defined benefit provisions under section 13(4) of the Act;

(f) "review date" means, in relation to a review, the date as of which that review is made or was required to be made;

(g) "solvency deficiency" means the amount, if any, by which the plan's liabilities that arise from defined benefit provisions, determined on a plan termination basis and as of the review date for that determination, exceed,

(i) in the case of a pension plan that is not wholly terminating, the value of those of its assets that relate to defined benefit provisions as determined under section 2(2), and

(ii) in the case of a plan that is wholly terminating, the value of those of its assets that relate to defined benefit provisions as determined under section 2(2), excluding the items specified in section 2(2)(b)(ii);

(h) "successor plan" means the pension plan to which members are transferred in a transaction referred to in section 65(2).

(b) by repealing subsection (2);

(c) in subsection (4)

(i) in clause (a) by striking out "for a LIRA or contract";

(ii) by adding "or" at the end of clause (a), striking out ", or" at the end of clause (b) and repealing clause (c);

(d) by repealing subsection (5);

(e) in subsection (7) by striking out ", to the extent that the retirement income arrangement is a LIF, and section 41, to the extent that it is an LRIF";

(f) by repealing subsections (8), (9) and (10) and substituting the following:

(8) Where reference is made in the Act to a pension plan, except in section 19 and 20(1) and (3) of the Act, the reference is to be taken as a reference to a plan that has been registered under the legislation or under the equivalent laws of a designated jurisdiction.

(9) For the purposes of the Act, a person is adversely affected by an amendment to a pension plan if the amendment negatively affects the person's entitlement or potential entitlement to a benefit or increases the cost to the member of securing a benefit.

(10) For the purposes of the Act, money is locked in to a pension plan, LIRA, LIF or annuity if the money to which an individual is entitled may only be paid in the form of a pension, retirement income or annuity, as the case may be, or if the withdrawal, surrender or commutation of the money is prohibited by or as the result of the application of

(a) section 35(1) or (2) or 64(2) of the Act,

(b) section 32(1), 39, 40, 41 or 46.1 of this Regulation, or

(c) in the case of a pension plan, any legislation of a designated jurisdiction that is similar to a provision referred to in clause (a) or section 32(1) or 46.1 to the extent, where applicable, that it applies with respect to plans.

(11) For the purposes of interpreting any provision of the Act as it applies in respect of a DC RIA, the definition of "pension" in section 1(1)(dd) of the Act includes DC RIA benefits.

(12) For the purposes of interpreting any provision of the Act that refers to the execution of a waiver form, the exercise of an Option or the waiving or giving up by a pension partner of any pension partner rights or entitlements, by reference to a prescribed form or a portion of a prescribed form, that provision is to be treated as referring to

(a) the full execution (including the signing) of that form or the relevant portion of that form, as the case may be, in the form, and in a manner that meets all the procedural and other requirements, prescribed in that form or that part of the form, and

(b) the provision of that form or the relevant portion of it by any person (including another person after a signer's death) to the relevant administrator or financial institution.

3 Section 2 is amended

(a) in subsection (1)

(i) by repealing clause (a) and substituting the following:

(a) "acknowledged" means, in relation to a financial institution, currently acknowledged under section 38 in relation to LIRAs or LIFs or both, as the case may be;

(a.1) "addendum" means the portion of this Regulation and of a LIRA or LIF that is prescribed by Form 1 or 2, comprising material required by section 39 or 40 to be included in a LIRA or LIF, as the case may be, and "LIRA addendum" and "LIF addendum" are to be construed accordingly;

(a.2) "Alberta locked-in money" means money in a pension plan, LIRA or LIF

(i) that

(A) originally belonged to a member who terminated membership in Alberta,

(B) belongs to a surviving pension partner of

(I) a member who died while employed in Alberta,

(II) a former member who terminated membership while employed in Alberta, or

(III) the original owner of a LIRA,

(C) belongs to a non-member-pension partner owing to the application of Parts 4 of the legislation and originally belonged to a member who was employed in Alberta at the end of the period of joint accrual referred to in section 57(a),

and

(ii) with respect to which the locking-in requirements of the legislation are still required to be met;

(a.3) "annuity" means a non-commutable life annuity contract issued or to be issued by an insurance business that meets the conditions set out in paragraph 60(l) of the Income Tax Act (Canada) and that will not commence before the person entitled to it attains the age of 50 years;

(a.4) "audited financial statements" means financial statements that are

(i) prepared in accordance with Canadian generally accepted accounting principles, as described in the Handbook of the Canadian Institute of Chartered Accountants, as amended up to the relevant date, and

(ii) accompanied by an audit report that is prepared

(A) by or under the auspices of a public accounting firm within the meaning of the Regulated Accounting Profession Act, and

(B) in accordance with Canadian generally accepted auditing principles, as described in the Handbook, as amended, referred to in subclause (i);

(a.5) "certified copy", used in relation to a form, means a copy that is certified by a commissioner for oaths or a notary public as a true copy of the original signed form or of a copy that was so certified;

(a.6) "DC RIA" (an acronym for defined contribution retirement income account) means an account, if any, created under defined contribution provisions of a pension plan that provides the benefits referred to in section 46(8) of the Act in the manner set out in section 46.1 of this Regulation;

(a.7) "DC RIA benefits" means the benefits referred to in clause (a.6);

(a.8) "estate", used in relation to a deceased person, means the personal representatives of the deceased's estate in their representative capacity;

(a.9) "50% unlocking option" means the option offered or to be offered under or in relation to Schedule 1.1;

(ii) in clause (b)

(A) by striking out "1(l)(d)" and substituting "1(1)(q.1) of the Act";

(B) by striking out "Act or this Regulation" and substituting "legislation";

(iii) by adding the following after clause (b):

(b.1) "financial institution" means the underwriter or depositary of a LIRA or LIF, as the case may be and, where the context relates to an annuity, includes an insurance business referred to in clause (a.3);

(iv) by adding the following after clause (c):

(c.1) "Form", followed by a number, means the form set out in Schedule 1 corresponding to that number;

(v) by repealing clause (h);

(vi) in clause (i) by striking out "will not commence before the person entitled to it attains the age of 50 years and that";

(vii) by repealing clause (j);

(viii) by repealing clauses (l), (m) and (n) and substituting the following:

(l) "LRIF" means a former retirement income arrangement known as a locked-in retirement income fund that was a RRIF and that is or was liable to conversion or transfer pursuant to section 41;

(m) "non-DC RIA portion of a plan" means

(i) the defined benefit provisions of a pension plan, or

(ii) those defined contribution provisions of a plan that do not make provision for a DC RIA;

(n) "Option",

(i) followed by the numeral "1", means the option, so entitled, in Part 1 of Form 6 agreeing to the unlocking of up to 50% of commuted value or the value of the vehicle account in question,

(ii) followed by the numeral "2", means the option, so entitled, in Part 1 of Form 6 giving up the right to receive the minimum 60% survivor pension or annuity, and

(iii) followed by the numeral "3", means the option , so entitled, in Part 2 of Form 6 giving up all rights as automatic designated beneficiary,

such option being exercisable by a pension partner;

(ix) by repealing clauses (p), (q) and (r) and substituting the following:

(p) "original owner" means, in the context of a LIRA or LIF, an individual who was a member or former member of a pension plan and who made a transfer pursuant to section 38 or 30(5) of the Act or section 39, 40, 41 or 46.1 of this Regulation (whether before or after the commencement of this clause), the assets deriving from which transfer are currently held in a LIRA or LIF, as the case may be;

(p.1) "owner" means

(i) an original owner,

(ii) a surviving pension partner owner, or

(iii) a non-member-pension partner who owns a LIRA or LIF, as the case may be, as a result of the application of Parts 4 of the legislation;

(q) "portability" means the capacity to transfer money on a locked-in basis from one vehicle to another;

(q.1) "publicly funded plan" means a pension plan, including a supplemental pension plan,

(i) that is wholly or partially funded, whether directly or indirectly, from a public entity that operates on a non-profit basis and that is, was or has the potential to be an employer under a pension plan covered by the Public Sector Pension Plans Act or Schedule 1 to the Teachers' and Private School Teachers' Pension Plans (AR 203/95) or from a source related to such an entity, and

(ii) that is designated by the Superintendent, by written notice to that entity and the plan's administrator, as a publicly funded plan for the purposes of the legislation;

(r) "retirement income" means a series of payments to the owner of a LIF, or DC RIA benefits, and includes future entitlements to any such payments or benefits;

(r.1) "retirement income commencement" means, with respect to the money in question, the time when a former member or an original owner initially transfers or transferred the money from a pension plan or a LIRA to a LIF, a DC RIA or an LRIF (before its abolition);

(x) by repealing clause (u);

(xi) in clause (v) by adding "and (b)(i)" after "(2)(a)";

(xii) by adding the following after clause (x):

(x.1) "surviving pension partner owner" means, in relation to money that is currently held in a LIRA or a LIF, as the case may be, an individual who made a transfer pursuant to section 39(6) of the Act or section 39(27) of this Regulation;

(x.2) "the legislation" means the Act or this Regulation or both, as the case may be;

(x.3) "transferee financial institution" means a financial institution that has received or is to receive money for deposit into a LIRA, LIF or annuity;

(x.4) "transferor financial institution" means a financial institution that has transferred or is to transfer money for deposit into a pension plan, LIRA, LIF or annuity;

(xiii) by adding the following after clause (y):

(z) "vehicle" means a pension plan generally, the DC RIA or non-DC RIA portion of a plan specifically, a LIRA, a LIF or an annuity;

(b) in subsection (2)

(i) by striking out "subsection (1)(u)" wherever it occurs and substituting "section 1(1)(g)";

(ii) in clause (b)(ii) by adding "referred to in section 48(3)(b)" after "any special payments";

(c) by repealing subsections (3), (5) and (6) and substituting the following:

(3) Where a provision of this Regulation requires or allows a person to provide a certified copy of a Form to another person, that provision is met if the original is provided instead.

4 Section 3 is amended by renumbering it as section 3(1) and by adding the following after subsection (1):

(2) Without limiting any other rights as to the collection, use or disclosure of personal information, the Superintendent and a financial institution may collect and use such information as is needed to implement section 41.1.

(3) For the purposes of section 87(1)(d.1) of the Act, the Superintendent may collect and may disclose to the Director of Maintenance Enforcement such information relating to maintenance, and owners who the Superintendent considers are or are probably debtors, within the meaning of the Maintenance Enforcement Act, as that Director needs for the purposes of a program under that Act.

5 Section 4 is amended

(a) in clause (a)

(i) by adding "12.1(4)," after "8,";

(ii) by adding "and (1.1)" after "20(1)";

(iii) by striking out "and 76(3) and (4)" and substituting ", 76(3) and (4) and 77.1(3)";

(b) in clause (b)

(i) by adding "13.1," after "12,";

(ii) by striking out "27(1), (3) and (4), 29(1)(b)" and substituting "27(2), (3) and (5)".

6 The following is added after section 4:

Attachment of conditions to consents, etc.

4.1 Where a provision of this Regulation empowers the Superintendent to give a consent, approval, exemption or other permission, if the permission is given in writing, the Superintendent may attach any conditions in and to it that are considered appropriate in the circumstances.

7 Section 5 is amended

(a) by striking out "1(1)(g)" wherever it occurs and substituting "1(1)(cc.1) of the Act";

(b) by striking out "participating" wherever it occurs.

8 The following is added after section 5:

Removal and appointment of
administrator - relevant periods

5.1(1) The number of days prescribed for the purposes of

(a) section 12.1(3) of the Act is 30, and

(b) section 12.1(4) of the Act is 30.

(2) If the Superintendent considers that the plan is in imminent danger of serious damage to its financial viability or that persons who are entitled to benefits are in imminent danger of not being paid those benefits, the Superintendent may reduce or nullify the number of days specified in subsection (1)(a) or (b) or both and, if so, shall give the notice under section 12.1(3) of the Act at the earliest time practicable and allow as long as practicable for representations under section 12.1(4) of the Act.

9 Section 6 is amended

(a) in subsection (1)

(i) by striking out ", subject to subsection (2),";

(ii) by striking out "$4.50" and substituting "$7.00";

(iii) by striking out "$70" and substituting "$200";

(iv) by striking out "$7000" and substituting "$20 000";

(b) by repealing subsections (2) and (3) and substituting the following:

(2) Where a return referred to in section 14(3)(a)(ii) of the Act is not filed before the time specified in section 8(2)(a) of this Regulation, an additional fee equal to 10% of the fee required by subsection (1) is payable within 30 days after that time.

10 Section 7 is amended by striking out "document referred to in section 19(1)(a) of the Act" and substituting "plan document".

11 The portion of section 10(2) preceding clause (a) is struck out and the following is substituted:

(2) Actuarial valuation reports and cost certificates resulting from reviews performed as at dates after the effective date of the plan must be filed not later than,

12 Section 11 is amended by repealing subsection (2) and substituting the following:

(2) The period prescribed for the purposes of section 14(3)(d) of the Act is 180 days or such shorter period as the Superintendent specifies by notice in writing to the administrator.

(3) The financial statements prescribed for the purposes of section 14(3)(d) of the Act are,

(a) in the case of a specified multi-employer plan, the audited financial statements of the plan,

(b) in the case of any plan that is not a specified multi-employer plan and that contains defined benefit provisions and where the market value of its assets related to the defined benefit provisions, as at the end of the latest fiscal year, equal or exceed $3 000 000, the audited financial statements of the pension fund that relate, or so far as those statements relate, to those provisions,

(c) in the case of any plan that is not a specified multi-employer plan and that contains defined contribution provisions and where at least $1 000 000 in market value of the assets related to those provisions, as at the end of the latest fiscal year, are invested solely at the direction of the employer, the audited financial statements of the pension fund that relate, or so far as those statements relate, to those provisions, and

(d) if so requested by the Superintendent by notice in writing in respect of any plan, including one referred to in clause (a), (b) or (c), the audited financial statements of the plan or the pension fund or any other financial statements, as specified by the Superintendent in the notice, covering any material and in the form and as of the date so specified.

13 Section 12 is amended

(a) in subsection (1) by striking out "Customs and";

(b) in subsection (2)

(i) by striking out "The" and substituting "Unless an explanation or summary of the same amendment has already been provided under section 13.1, the";

(ii) by repealing clause (a);

(iii) in clause (b) by striking out "where the amendment does not have such an adverse effect,".

14 Section 13 is amended

(a) by repealing subsection (1)(a) to (d) and substituting the following:

(a) a statement identifying the fund holder,

(b) where member required contributions related to a defined benefit provision are receiving interest at a rate set by reference to the CANSIM rate within the meaning of section 33(1)(b), a statement to that effect and a statement as to when interest is calculated and applied,

(c) where the fund rate of return within the meaning of section 33(1)(e) is applied under section 33 and some or all of the investments are directed by the employer,

(i) a brief description of how the plan's assets are invested,

(ii) a statement that the fund rate of return may be positive or negative, and

(iii) a statement as to when interest will be calculated and applied,

(d) where the fund rate of return within the meaning of section 33(1)(e) is applied under section 33 and the member provides direction with respect to some or all of the investments,

(i) a statement as to how the member is to provide that direction,

(ii) a statement that describes the investment options available, and

(iii) a statement of how contributions will be dealt with by default if the member fails to provide direction regarding the investments,

(e) where a change is made respecting how the investments referred to in clause (c) are made, an explanation of the change,

(f) where a change is made respecting any matter referred to in clause (d), an explanation of the change and, so far as applicable, an update of the relevant statements referred to in clause (d)(i), (ii) and (iii), and

(g) where any other change is made to any of the information provided under clauses (a) to (d), a statement summarizing the change.

(b) by repealing subsection (2).

15 The following is added after section 13:

Provision of proposed amendments

13.1(1) The administrator shall provide, pursuant to section 15(1)(a.1) of the Act, the explanation or summary referred to in that clause not less than 45 days before the effective date of the amendment.

(2) The administrator shall provide to each person who

(a) is not a member,

(b) is unconditionally entitled to a benefit, whether it is currently being received or will be received in the future, and

(c) could be adversely affected by a proposed amendment that the administrator has decided to implement at a future date,

an explanation or summary of that proposed amendment not less than 45 days before the effective date of the amendment.

16 Section 14(1) is amended

(a) in clause (a) by striking out "Customs and";

(b) by adding the following after clause (b):

(b.1) the date of birth;

(b.2) the name of the pension partner as currently recorded in the plan's records;

(b.3) the date of enrolment in the plan;

17 Section 15(1) is amended

(a) in clause (a) by striking out "Customs and";

(b) by adding the following after clause (b):

(b.1) with respect to the former member,

(i) the date of birth,

(ii) the name of the pension partner as currently recorded in the plan's records,

(iii) the date of enrolment in the plan, and

(iv) the designated beneficiary under the plan;

(c) by adding the following after clause (i):

(j) if the former member has attained the age of 50 years and the plan allows for DC RIAs or transfers to LIFs or annuities, a statement containing

(i) an explanation of the 50% unlocking option, including the different options for implementing it,

(ii) the amount based on which that unlocking option may be exercised, and

(iii) if that person has a pension partner, the requirement for an executed Option 1 waiver if the 50% unlocking option is exercised.

18 Section 16(1) is amended

(a) in clause (a) by striking out "Customs and";

(b) by repealing clause (c) and substituting the following:

(i) the date of birth,

(ii) the date of enrolment in the plan, and

(iii) the designated beneficiary under the plan;

(c) in clause (e) by striking out "and" at the end of subclause (i) and by repealing subclause (ii) and substituting the following:

(ii) a brief description of the payment options available, and

(iii) confirmation that the member or former member, on making a request for it, will receive a statement as to the amount of pension that could be provided based on amounts underlying the updated information referred to in subclause (i);

(d) in clause (h)

(i) by adding "the plan's records show that" after "if";

(ii) in subclause (i) by adding "according to those records" after "birth";

(e) by repealing clause (n);

(f) by adding the following after clause (n):

(o) if the plan allows for DC RIAs or transfers to LIFs or annuities, a statement containing the information specified in section 15(1)(j)(i) to (iii).

19 Section 17(1) is amended

(a) in clause (a) by striking out "Customs and";

(b) by adding the following after clause (b):

(b.1) with respect to the member,

(i) the date of birth,

(ii) the name of the pension partner as currently recorded in the plan's records,

(iii) the date of enrolment in the plan, and

(iv) the designated beneficiary under the plan;

(c) by adding the following after clause (h):

(i) if the member has attained the age of 50 years and the plan allows for DC RIAs or transfers to LIFs or annuities, a statement containing the information specified in section 15(1)(j)(i) to (iii).

20 Section 19(1) is amended

(a) in clause (a) by striking out "Customs and";

(b) by adding the following after clause (b):

(b.1) with respect to the deceased,

(i) the date of birth,

(ii) the name of the individual recorded in the plan's records as being the pension partner at the date of death,

(iii) the date of enrolment in the plan, and

(iv) the designated beneficiary under the plan;

(c) by adding the following after clause (f):

(g) if the plan allows for DC RIAs or transfers to LIFs or annuities and the pension partner has attained the age of 50 years, a statement (to go only to the pension partner) containing the information specified in section 15(1)(j)(i) and (ii);

21 The following is added after section 24:

DC RIA statements

24.1(1) This section applies in respect of a pension plan with defined contribution provisions that provide for DC RIAs.

(2) In this section,

(a) "DC RIA participant" has the meaning ascribed to that term in section 46.1(1)(b);

(b) "year" means a calendar year.

(3) The administrator shall, within 60 days after the end of each year, provide to each DC RIA participant a statement containing the following information about that DC RIA participant so far as applicable:

(a) the name of the plan and its Canada Revenue Agency registration number;

(b) the DC RIA participant's name;

(d) the date the DC RIA was established;

(e) the name of the designated beneficiary;

(f) except where the DC RIA participant is a surviving pension partner and to the extent applicable, the name of the pension partner who executed the Option 2 waiver at retirement income commencement and acknowledgement that a pension partner has executed the Option 3 waiver;

(g) the account balances as at the beginning and the end of that previous year;

(h) the interest earned during that year;

(i) the total amount withdrawn from the account during that year;

(j) the amounts transferred into the account during that year;

(k) the fees charged against the account during that year;

(l) the minimum and maximum amounts that may be withdrawn during the current year being, respectively,

(i) the Canada Revenue Agency minimum for RRIFs, and

(ii) the greater of

(A) the amount calculated under section 46.1(15) (as it incorporates section 40(34)(a)), and

(B) the gains, if any, earned in the immediately previous year;

(m) the deadline for making the election as to the timing of the payment from the account for the current year;

(n) the process for changing that election;

(o) if that election is not made, the amount that will be paid, applying the tax Act, and the date when that payment will be made.

(4) The administrator shall, in relation to a DC RIA participant who died, provide to the person entitled to receive the balance of the DC RIA benefits, within 60 days after proof of the death is provided to the administrator, a statement containing the following information about the deceased so far as applicable (and adapted by reference to the fact of the death):

(a) the information referred to in subsection (3)(a) to (f);

(b) the account balances as at the beginning of the year in which death occurred and as at death;

(d) the total amount withdrawn from the account during the period referred to in clause (c);

(e) the amounts transferred into the account during that period;

(f) the fees charged against the account during that period;

(g) a statement that the account balance will be adjusted with interest to the date of payment;

(h) the options as to how the income payments are to be made;

(i) if the plan so permits and subject to the tax Act, any option that exists for a surviving pension partner to remain in the plan;

(j) if a surviving pension partner to whom section 46.1(12) applies elects to remain in the plan, the information under subsection (3)(l) updated;

(k) the deadline for the election of options;

(l) what will happen if a specific election of options is not duly made.

(5) Where the information referred to in subsection (4)(j) has to be provided, it must be accompanied by the necessary forms to enable the pension partner to stipulate the amount of DC RIA benefits to be paid out.

(6) The administrator shall, in relation to a DC RIA participant who has applied in writing to transfer money out of the DC RIA, provide to that DC RIA participant, within 90 days after the making of the application, the following information about that DC RIA participant so far as applicable:

(a) the information referred to in subsection (3)(a) to (f);

(b) the account balances as at the beginning of the year in which the application was made and as at the time the application is processed;

(d) in respect of that period, the information referred to in subsection (4)(d) to (h) and (k), where applicable.

22 Section 25(1) is amended

(a) by adding the following after clause (a):

(a.1) the plan's 3 most recently filed audited financial statements referred to in section 11(3) except that if the pension fund has been subdivided into separate portions as between money arising from defined benefit provisions and money arising from defined contribution provisions, then only those portions of those statements that relate to those provisions that are applicable to the person entitled to the benefit;

(a.2) all agreements referred to in section 23(1) of the Act;

(b) by repealing clause (b)(i).

23 Section 26 is amended

(a) by adding "and" at the end of clause (a);

(b) by repealing clause (b);

(c) in clause (c)

(i) by striking out "fund holder" and substituting "the fund holder or custodian";

(ii) by striking out "employer" and substituting "administrator".

24 Section 27 is repealed and the following is substituted:

Amendment of plans

27(1) The period prescribed for the purposes of section 20(1) of the Act is the period of 60 days beginning on the date when the amendment is made.

(2) Subject to subsection (3), where an amendment referred to in section 9(7) is made, the administrator shall file,

(a) at the same time as the certified copy of the amendment required by section 20(1) of the Act,

(i) an interim cost certificate, signed by an actuary, showing the effect that the amendment will have on the plan's liabilities, the special payments and the normal actuarial cost, or

(ii) a statement, signed by an actuary, as to the effect that the amendment will have on the plan's liabilities and confirmation that the amendment will have no material effect on the special payments or the normal actuarial cost,

(b) if the administrator informed the Superintendent in writing of the intention to do so at the time when the certified copy of the amendment was filed, within 180 days after the amendment is made, a new actuarial valuation report.

(3) The Superintendent may, by notice in writing, require the administrator to file, within 60 days after service of that notice, a new actuarial valuation report and cost certificate, prepared as at the effective date of the amendment, instead of the interim cost certificate or statement referred to in subsection (2)(a).

(4) The period prescribed for the purposes of section 20(1.1) of the Act is the period ending 60 days after the plan's designation by the Superintendent as a multi-unit plan.

(5) After a proposed amendment referred to in section 15(1)(a.1) of the Act is eventually made, the administrator shall file, at the same time as the certified copy of the amendment, written confirmation that the explanation or summaries required by section 13.1 were duly provided.

25 The following is added before section 28:

Direction of investments

27.1 In addition to the matters provided for in section 28(1) of the Act, a pension plan must contain a provision stating whether the member or the administrator or both are responsible for the direction of the plan's investments.

26 Section 28 is amended by repealing subsection (2)(a) and (b) and substituting the following:

(a) for each year of future employment, and

(b) for each member of a class prescribed in section 30(1),

except to the extent that the Superintendent approves a variation in any formula that the Superintendent considers reasonable.

27 The following is added after section 28:

Administration expenses

28.1 Where

(a) a pension plan provides that administrative expenses related to the plan will be paid from the plan's pension fund and that an employer who pays any such expenses to another person directly is entitled to be reimbursed for the money so paid, and

(b) an employer lawfully so pays any expenses so provided for from its own resources,

the employer may be reimbursed for those paid expenses from the pension fund.

Purchase of annuity

28.2 Where, with respect to defined benefit provisions of a pension plan, an annuity is to be purchased, other than under section 38(2)(c)(i) of the Act or where section 55(5) is applied, instead of the provision of a pension from the plan, the income from the annuity must be in the same amount and form as the income that the recipient would have received from the pension.

28 Section 29 is amended

(a) in subsection (1)

(i) in clause (a)

(A) by striking out "recommendations for the computation of transfer values of pensions" and substituting "most recently adopted official guidelines or standards";

(B) by striking out "from time to time, and" and substituting "to the relevant time";

(ii) by repealing clause (b);

(b) by repealing subsections (5) and (6) and substituting the following:

(6) Subject to subsection (7), where the commuted value of a benefit under a defined benefit provision of a pension plan that is not wholly terminated is to be determined, it must be determined as at the date of termination of membership, death or pension commencement, as the case may be, and must be adjusted for interest, in respect of the period between that date and a date not earlier than the end of the month immediately preceding the month in which the payment or transfer of the commuted value out of the plan was effected, at a rate not less than the rate of interest that was assumed in determining that commuted value.

(c) by adding the following after subsection (7):

(8) Where the commuted value of a benefit under a defined benefit provision of a pension plan the whole of which plan is terminated is to be determined, it must be determined as at the date of the termination of the plan and, in respect of the period between that date and a date not earlier than the end of the month immediately preceding the month in which the payment or transfer of the commuted value out of the plan was effected,

(a) that commuted value must be adjusted for interest, and

(b) interest must be paid on excess contributions that are required by section 37 of the Act to be paid from the plan,

at the rate of return earned by the plan during that period.

29 Section 30 is amended

(a) by repealing subsection (1)(k) and substituting the following:

(k) employees who fall within a class designated under subsection (1.1).

(b) by adding the following after subsection (1):

(1.1) On the written application of the administrator, the Superintendent may in writing designate any class of employees not described in subsection (1)(a) to (j) that the Superintendent considers to be identifiable and appropriate for categorization as a class under subsection (1).

(c) in subsection (3) by striking out "specified" and substituting "connected".

30 Section 31 is amended

(a) in subsection (1) by adding "from the plan" before "recommences";

(b) by adding the following after subsection (5):

(6) In this section, "pension" does not include DC RIA benefits.

31 Section 32 is amended

(a) by adding the following after subsection (1):

(1.1) Section 35(4.1) of the Act applies with respect to a member or former member who has a pension partner at the date of the declaration of non-residency or death, as the case may be, only if that pension partner has executed a Form 5 waiver.

(b) in subsection (2) by striking out "1(9)" and substituting "1(3.1) of the Act".

32 Section 33 is repealed and the following is substituted:

Interest

33(1) In this section,

(a) "accumulated contributions" means contributions, including compounded interest;

(b) "CANSIM rate" means the rate of interest calculated on the basis of the average of the yields of the 5-year personal fixed term chartered bank deposit rates, published in the Bank of Canada Review as CANSIM Series V 122151, over the most recent period for which the rates are available, with an averaging period equal to the number of months in the period for which interest is to be applied to a maximum of 12 months and, where that rate results in a fraction of 1% that is expressed otherwise than as a multiple of a full 1/10 of 1%, rounded downwards to the next full 1/10 of 1%;

(c) "contributions" means contributions to which interest must or may be applied pursuant to section 36 of the Act in respect of a member;

(d) "full rate" means the full CANSIM rate or fund rate of return, as the case may be;

(e) "fund rate of return" means, with respect to the period between consecutive valuation dates, the increase or decrease, if any, expressed as a percentage, in the value of the accumulated contributions as at the latest valuation date in comparison with that value as at the immediately preceding valuation date, in both cases after deducting

(i) plan administration costs, and

(ii) any additional expenses of administering those accumulated contributions

incurred during the period, that were not paid for by the employer;

(f) "valuation date" means the date in question as at which the accumulated contributions are valued.

(2) For the purposes of section 36(5) of the Act, interest shall be

(a) calculated in a manner that is specified in the plan and that meets the minimum rate requirements of and otherwise complies with this section, and

(b) applied, as so calculated, to accumulated contributions or to contributions, as the case may be, at the times provided by this section.

(3) Subject to this section, the rate of interest to be applied for the purposes of section 36(1) of the Act

(a) on member required contributions under defined benefit provisions is the CANSIM rate or the fund rate of return, and

(b) on any other contributions is the fund rate of return.

(4) The actual rate of return and the methodology chosen to ensure that subsection (3) is adhered to must be specified in the plan, and once the method so specified has been selected, it may not be changed in respect of any subsequent year without the prior written consent of the Superintendent.

(5) Interest must be calculated and applied as at the end of each fiscal year at least.

(6) Where interest is to be calculated only as at, and not also before, the end of the fiscal year, it shall be applied,

(a) if the member has not had a benefit paid or transferred from the plan during the fiscal year,

(i) to the contributions made during the just completed fiscal year, at 1/2 the full rate, and

(ii) to the accumulated contributions as at the end of the immediately preceding fiscal year, at the full rate,

and

(b) if the member has a benefit paid or transferred from the plan during the fiscal year, as at the end of the month immediately preceding the month in which the benefit was, or commenced to be, paid or transferred,

(i) to the contributions made during that current fiscal year to the end of that month, at 1/2 the full rate, prorated over the number of completed months during which the person was a member in that uncompleted current fiscal year, and

(ii) to the accumulated contributions, as at the end of the immediately preceding fiscal year, at the full rate, prorated as specified in subclause (i).

(7) For the purposes of applying subsection (6)(b), where the fund rate of return in any period would, but for this subsection, result in a negative interest rate, the fund rate of return is 0%.

(8) Where interest is to be calculated more frequently than annually, it shall be applied when it is calculated, and if the calculation is to be done less frequently than monthly, interest shall be applied in a manner that is consistent with subsection (6) and, if applicable, subsection (7).

(9) Notwithstanding anything in this section, a plan may provide for interest to be calculated in such other manner and at such other rates as the Superintendent considers reasonable and appropriate.

33 Section 34(1) and (2) are amended by striking out "province" and substituting "jurisdiction".

34 Section 35 is amended by repealing subsection (6) and substituting the following:

(6) Where a plan has a solvency ratio of less than one, a transfer is to be considered as impairing the solvency of the plan unless, prior to the making of the transfer, the employer has remitted sufficient money to the plan to eliminate any transfer deficiency relating to the transfer.

35 Section 36 is amended by striking out "earlier of the termination of membership and termination of the plan occurs" and substituting "most recent determination of the commuted value in question has been done".

36 Sections 38 to 41 are repealed and the following is substituted:

Acknowledged institutions

38(1) The Superintendent shall, for the purposes of both or either of sections 39 and 40 in relation to any given financial institution, establish and maintain a list of the financial institutions that are acknowledged for those purposes and that are thereby authorized to issue the categories or category, being LIRAs and LIFs or either of those vehicles as the case may be, that are or is identified in that list in relation to the financial institution in question.

(2) For the purposes of this Regulation, a financial institution (other than an insurance business in respect of an annuity) is acknowledged in relation to a LIRA or LIF if, after the commencement of this subsection,

(a) there have been filed

(i) a completed application, with certification, on that financial institution's behalf in the form prescribed in Schedule 2, and

(ii) any other relevant documents that the Superintendent has required it to file,

and

(b) the Superintendent has provided written notice to the financial institution stating that it has been acknowledged and placed on the list for that vehicle,

and to the extent that the institution has not been removed under subsection (3).

(3) The Superintendent may, without affecting the obligations or liabilities of a financial institution in relation to any transfer, LIRA or LIF, remove the financial institution completely from the list, or from the list so far as it relates to LIRAs or LIFs, if the financial institution has acted in breach of any of its obligations under the legislation.

(4) A financial institution shall not issue or administer a LIRA or a LIF until and unless it is acknowledged in relation to that vehicle.

Locked-in retirement account conditions

39(1) The conditions on which a transfer of money to a LIRA (including a transfer from one LIRA to another) are to be made and the rules that apply with respect to LIRAs in general, including rules applicable to transfers from a LIRA, are as set out or referred to in section 38 of the Act and this section, in the LIRA addendum and in other provisions of the legislation dealing with LIRAs.

(2) Subject to the provisions of the legislation allowing for money to be withdrawn from a LIRA, the purpose of a LIRA is, with respect to and only to Alberta locked-in money, to provide a financial vehicle for the holding and investment of money in it until it is all transferred to another vehicle in accordance with this section with a view ultimately to the securing of the provision of a pension, retirement income or an annuity in a form and manner required or permitted by the legislation.

(3) This section applies with respect to a LIRA held after the commencement of this subsection, whether the LIRA was entered into before or after the commencement of this subsection.

(4) An RRSP that is intended as a LIRA must contain, as an attachment, an addendum corresponding exactly to the wording in Form 1 (with instructions appropriately followed) and section 26(1) of the Interpretation Act does not apply with respect to that form, and a LIRA addendum so completed and attached becomes a part of the LIRA.

(5) An RRSP becomes a LIRA when, and not until, the completed LIRA addendum is attached to the RRSP and, notwithstanding subsection (4), the RRSP with that addendum attached remains a LIRA if the addendum ceases to be so attached.

(6) To the extent that a LIRA does not in any respect effect a provision required by this Regulation to be included in or incorporated into a LIRA (including the LIRA addendum), the LIRA is deemed to make such provision in that respect as would make it comply with this Regulation.

(7) Notwithstanding anything in this Regulation, a LIRA must comply with the conditions for registration relating to RRSPs under the tax Act and, once so registered, must be kept in such a form as to ensure continuation of that registration.

(8) A transfer to a LIRA may be made only from

(a) the non-DC RIA portion of a plan or another LIRA, under section 30(5), 38 or 39(6) of the Act, this section or section 58(2), as the case may be, of this Regulation, or

(b) a vehicle comprising a sum administered as a locked-in RRSP pursuant to an agreement originally entered into under section 16 of the Regulations under The Pension Benefits Act (AR 446/66) (repealed).

(9) A transferor administrator or financial institution shall not transfer money to a LIRA without first

(a) ascertaining that the transferee financial institution is acknowledged in relation to LIRAs,

(b) advising the transferee financial institution in writing that the money being transferred is Alberta locked-in money, and

(c) if the transfer is being effected by a former member or an original owner who has a pension partner at the time of the transfer who has executed the Form 3 waiver, providing the transferee financial institution with a certified copy of that waiver.

(10) A transferee financial institution shall not accept a transfer of money to a LIRA unless

(a) that institution is acknowledged in relation to LIRAs,

(b) the money comes from a source referred to in subsection (8), and

(11) A financial institution issuing a LIRA shall provide the owner with a copy of the whole LIRA forthwith after its issue.

(12) If a financial institution pays money out of a LIRA in a manner that contravenes the legislation, it shall ensure and secure the provision to the owner of a pension, retirement income or annuity in a manner and in the amounts that would have been provided had the money not been paid out.

(13) If the transferor administrator or financial institution contravenes subsection (9)(a) and transfers the money to an entity that is not acknowledged in relation to LIRAs, that transferor remains bound by the terms of the vehicle from which the transfer was made and retains all the responsibilities, liabilities and rights in relation to that vehicle and the owner that it had immediately before the transfer.

(14) If the transferor administrator or financial institution contravenes subsection (9)(b) and, as a result, the transferee financial institution pays out any of the money received from the transferor in a manner that does not meet the requirements of the legislation relating to locking in, that transferor shall transfer anew to the transferee financial institution a sum of money equal to the amount that the transferor was originally liable to transfer to the transferee financial institution or such greater sum as the transferee financial institution paid to the owner as a result of the circumstances underlying that contravention, and the owner retains the interest in the LIRA and its value on the same basis as would have applied had there been no contravention.

(15) Where the owner receives any money from the transferee financial institution in the circumstances referred to in subsection (14), then, to the extent that the owner obtains, in effect, a double payment or a payment as well as a continuing interest in the LIRA, the transferor administrator or financial institution has a right of action against the owner for the amount or the extra amount so received.

(16) If the transferor administrator or financial institution contravenes subsection (9)(c) and the transferee financial institution pays out money as a result of the non-receipt of the waiver copy to a pension partner who executed the Form 3 waiver, that transferor shall transfer to the transferee financial institution anew a sum of money equal to the amount that the transferee, as a result, paid out to that pension partner, and

(a) the transferee shall pay that money to the deceased's designated beneficiary or estate, as the case may be, and

(b) the transferor has a right of action against that pension partner for the amount that the transferee financial institution paid to that person.

(17) Subsections (13) to (16) apply if the transfer-in rules of section 39, as it existed before its repeal by section 36 of the Employment Pension Plans (General, 2006) Amendment Regulation, were contravened in a transaction before the commencement of this subsection.

(18) A financial institution shall ensure that a LIRA issued by it or the money standing to the credit of such a LIRA or both, as the case may be,

(a) is administered in accordance with the legislation,

(b) is invested in a manner that complies with the rules for the investment of RRSP money contained in the tax Act,

(d) subject to the withdrawal provisions referred to in subsection (2), is ultimately transferred to, and only to,

(i) a pension plan,

(ii) another LIRA,

(iii) a LIF, or

(iv) an annuity.

(19) An owner may transfer money from a LIRA on a locked-in basis only if the transferor financial institution has previously

(a) informed the transferee administrator or financial institution in writing that the money is Alberta locked-in money,

(b) provided the owner with a written statement showing the balance in the LIRA,

(c) ascertained, if the transfer is to another LIRA or to a LIF, that the transferee financial institution is appropriately acknowledged,

(d) confirmed, if the transfer is to a pension plan, that the appropriate provisions of the plan permit the transfer in,

(e) if the transfer is to the non-DC RIA portion of a plan or to another LIRA and is being effected by an original owner who has a pension partner at the time of the transfer who has executed a Form 3 waiver, provided the transferee administrator or financial institution with a certified copy of that waiver,

(f) if the transfer is to a DC RIA, LIF or annuity, offered the owner in writing the 50% unlocking option and, if the owner is an original owner with a pension partner at the time of the transfer and exercises the 50% unlocking option, received an executed Option 1 waiver, and

(g) if the transfer is to a DC RIA or a LIF or to an annuity other than at least a 60% joint life annuity and the owner is an original owner with a pension partner at the time of the transfer, provided the transferee administrator or financial institution with a certified copy of an executed Option 2 waiver.

(20) Where money is to be transferred from a LIRA to a DC RIA, LIF or annuity, the transferor financial institution shall provide to the owner a statement containing

(a) an explanation of the 50% unlocking option, including the different options for implementing it,

(b) the amount based on which that unlocking option may be exercised, and

(c) if the owner is an original owner with a pension partner at the time of the transfer, an explanation of the requirement for an executed Option 1 waiver if that unlocking option is to be exercised.

(21) A transferor shall retain the Option 1 waiver as long as it is potentially applicable.

(22) Where a financial institution transfers money from a LIRA to another LIRA or to a LIF or annuity of which it is also the issuer, the financial institution is deemed for the purposes of the legislation to be acting at arm's length in relation to the 2 vehicles and therefore to be the transferor financial institution in relation to the former vehicle and the transferee financial institution in relation to the latter.

(23) Notwithstanding anything in this section, the owner of a LIRA is entitled, on an application by the owner to the financial institution, to withdraw all the money in the LIRA

(a) as a lump sum if the owner provides written evidence that the Canada Revenue Agency has confirmed that the owner has become a non-resident for the purposes of the tax Act, or

(b) as a lump sum or a series of payments for a fixed term if a physician certifies that the owner has a terminal illness or that due to a disability the owner's life is likely to be considerably shortened,

and if, where that owner is an original owner with a pension partner at the time of the application, that pension partner has executed a Form 5 waiver.

(24) A LIRA that is not eligible for the payment option referred to in section 45(2) may not be severed so as to transform it into 2 or more LIRAs, LIFs, DC RIAs or annuities or any combination of them that would make any of them so eligible.

(25) A pension partner of an original owner who is potentially entitled to receive money from a LIRA may, before that owner's death and before the money is paid out or transferred, waive the right to all the money in the LIRA by executing a Form 3 waiver.

(26) Where an owner dies with a balance in the LIRA, the benefit payable on the death is the value of the LIRA account and,

(a) if the owner is an original owner with a pension partner at the time of death who has not executed a Form 3 waiver, is to be used in accordance with subsection (27), or

(b) if clause (a) does not apply, is payable in cash to the designated beneficiary or, if there is no valid designation of a beneficiary, to the deceased's estate.

(27) Within 60 days after the delivery to the financial institution of the relevant documents required by it following the death of an original owner referred to in subsection (26)(a), the balance in the LIRA is to be used for the ultimate securing of a pension, retirement income or annuity for the non-waiving pension partner and is to be transferred, at his or her option,

(a) to a LIRA,

(b) to a pension plan on a locked-in basis, if that plan so permits, or

(28) Within 60 days after the delivery to the financial institution of the relevant documents required by it following the death of an owner other than one to whom subsection (27) applies, the balance in the LIRA is to be paid in cash to the deceased's designated beneficiary or, if there is no valid designation of a beneficiary, to the deceased's estate.

(29) Where a transfer is made under subsection (27)(c), the pension partner has the same entitlements with respect to the 50% unlocking option as if he or she were the original owner.

(30) Parts 4 of the legislation apply with respect to a LIRA, and where money was subject to those Parts immediately before its transfer to a LIRA, that money continues to be subject to them.

(31) Where Parts 4 of the legislation apply with respect to the share in a LIRA of a non-member-pension partner, the conditions set out in those Parts (including the locking-in provisions) continue to apply to that share when it is transferred to another vehicle on that person's behalf.

(32) Notwithstanding subsection (4), where an amendment is required to a LIRA addendum as a result of an amendment to Form 1, that amendment may be effectuated by a textual amendment process if such a process is specified in writing by the Superintendent.

Life income fund conditions

40(1) In this section except subsection (8), "year" means the calendar year.

(2) The conditions on which a transfer of money to a LIF (including a transfer from one LIF to another) are to be made and the rules that apply with respect to LIFs in general, including rules applicable to transfers from a LIF, are as set out or referred to in section 38 of the Act and this section, in the LIF addendum and in other provisions of the legislation dealing with LIFs.

(3) Subject to the provisions of the legislation allowing for money to be withdrawn from a LIF, the purpose of a LIF is, with respect to and only to Alberta locked-in money, to provide a financial vehicle for the holding and investment of money in it and for the provision of retirement income in a form and manner required or permitted by the legislation.

(4) This section applies with respect to a LIF held after the commencement of this subsection, whether the LIF was entered into before or after the commencement of this subsection.

(5) An RRIF that is intended as a LIF must contain, as an attachment, an addendum corresponding exactly to the wording in Form 2 (with instructions appropriately followed) and section 26(1) of the Interpretation Act does not apply with respect to that form, and a LIF addendum so completed and attached becomes a part of the LIF.

(6) A LIF is not established, and the RRIF has no effect as a LIF, unless and until the owner is at least 50 years of age and the completed LIF addendum is attached to the RRIF.

(7) Notwithstanding subsection (5), the RRIF with the LIF addendum attached remains a LIF if the LIF addendum ceases to be so attached.

(8) The fiscal year of a LIF is the calendar year.

(9) To the extent that a LIF does not in any respect effect a provision required by this Regulation to be included in or incorporated into a LIF (including the LIF addendum), the LIF is deemed to make such provision in that respect as would make it comply with this Regulation.

(10) Notwithstanding anything in this Regulation, a LIF must comply with the conditions for registration relating to RRIFs under the tax Act and, once so registered, must be kept in such a form as to ensure continuation of that registration.

(11) A transfer to a LIF may be made only from a pension plan, another LIF, a LIRA or an LRIF under section 38 or 39(6) of the Act, this section or section 39, 41, 46.1 or 58(2), as the case may be, of this Regulation.

(12) A transferor administrator or financial institution shall not transfer money to a LIF without first

(a) ascertaining that the transferee financial institution is acknowledged in relation to LIFs,

(b) advising the transferee financial institution in writing that the money being transferred is Alberta locked-in money, and

(i) attempting to ascertain whether or not that person has a pension partner at the time of the transfer and, if so, his or her identity, and

(ii) if that person does have a pension partner at the time of the transfer, providing the transferee financial institution with a certified copy of

(A) the Option 2 waiver, and

(B) if applicable, the Option 3 waiver,

duly executed

(13) A transferee financial institution shall not accept a transfer of money to a LIF unless

(a) that institution is acknowledged in relation to LIFs,

(b) the money comes from a source referred to in subsection (11), and

(14) A financial institution issuing a LIF shall attach any waiver provided under subsection (12)(c) to the LIF, whereupon it becomes part of the LIF, and shall provide the owner with a copy of the whole LIF forthwith after its issue.

(15) If a financial institution pays money out of a LIF in a manner that contravenes the legislation, it shall provide or secure the provision to the owner of retirement income or an annuity in a manner and in the amounts that would have been provided had the money not been paid out.

(16) If the transferor administrator or financial institution contravenes subsection (12)(a) and transfers the money to an entity that is not acknowledged in relation to LIFs, that transferor remains bound by the terms of the vehicle from which the transfer was made and retains all the responsibilities, liabilities and rights in relation to that vehicle and the owner that it had immediately before the transfer.

(17) If the transferor administrator or financial institution contravenes subsection (12)(b) and, as a result, the transferee financial institution pays out any of the money received from the transferor in a manner that does not meet the requirements of the legislation relating to locking in, that transferor shall transfer anew to the transferee financial institution a sum of money equal to the amount that the transferor was originally liable to transfer to the transferee financial institution or such greater sum as the transferee financial institution paid to the owner as a result of the circumstances underlying that contravention, and the owner retains the interest in the LIF and its value on the same basis as would have applied had there been no contravention.

(18) Where the owner receives any money from the transferee financial institution in the circumstances referred to in subsection (17), then, to the extent that the owner obtains, in effect, a double payment or a payment as well as a continuing interest in the LIF, the transferor administrator or financial institution has a right of action against the owner for the amount or the extra amount so received.

(18.1) If

(a) the transferor administrator or financial institution transfers money in contravention of subsection (12)(c) (excluding subsection (12)(c)(ii)(A)),

(b) as a result of the circumstances underlying the contravention, the transferee institution establishes a LIF, and

that transferor is liable to that pension partner for the joint life pension to which that person is entitled and the transferee financial institution shall refund the money transferred to it by that transferor.

(19) If the transferor administrator or financial institution contravenes subsection (12)(c) and the transferee financial institution pays out money as a result of the non-receipt of the waiver copy to a pension partner who executed the Option 3 waiver, that transferor shall transfer to the transferee financial institution anew a sum of money equal to the amount that the transferee, as a result, paid out to that pension partner, and

(a) the transferee shall pay that money to the deceased's designated beneficiary or estate, as the case may be, and

(b) the transferor has a right of action against that pension partner for the amount that the transferee financial institution paid to that person.

(20) Subsections (16) to (19) apply if the transfer-in rules of section 40, as it existed before its repeal by section 36 of the Employment Pension Plans (General, 2006) Amendment Regulation, were contravened in a transaction before the commencement of this subsection.

(21) A financial institution shall ensure that a LIF issued by it or the money standing to the credit of such a LIF or both, as the case may be,

(a) is administered in accordance with the legislation,

(b) is invested in a manner that complies with the rules for the investment of RRIF money contained in the tax Act,

(d) subject to the withdrawal provisions referred to in subsection (3), is used to provide retirement income in accordance with the legislation or is transferred to, and only to,

(i) another LIF,

(ii) subject to subsection (22), a DC RIA, or

(iii) an annuity.

(22) An owner may transfer money from a LIF to a DC RIA only if and to the extent that the DC RIA provisions so permit and the transferor financial institution has previously

(a) informed the transferee administrator in writing that the money is Alberta locked-in money that must be administered in accordance with the legislation,

(b) if the transferor financial institution has an executed Option 2 waiver or Option 2 and 3 waivers or a certified copy of it or them, provided a certified copy of it or them to that administrator, and

(i) a copy of the information provided to the owner under subsection (33)(a), and

(ii) a copy of the decision made by the owner respecting the amount to be withdrawn during the current year.

(23) Where the balance in the LIF is to be transferred to an annuity and the original owner had a pension partner at retirement income commencement, that pension partner is the designated beneficiary of that owner, whether actually so designated or not, unless that pension partner has executed an Option 3 waiver.

(24) A pension partner of an original owner who has executed an Option 2 waiver under a LIF is entitled, at any time prior to the death of the original owner or a transfer of the money out of the LIF, but is under no obligation, to execute the Option 3 waiver.

(25) Where a financial institution transfers money from a LIF to another LIF or to an annuity of which it is also the issuer, the financial institution is deemed for the purposes of the legislation to be acting at arm's length in relation to the 2 vehicles and therefore to be the transferor financial institution in relation to the former vehicle and the transferee financial institution in relation to the latter.

(26) Notwithstanding anything in this section, the owner of a LIF is entitled, on an application by the owner to the financial institution, to withdraw all the money in the LIF

(a) as a lump sum if the owner provides written evidence that the Canada Revenue Agency has confirmed that the owner has become a non-resident for the purposes of the tax Act, or

and if, where that owner is an original owner with a pension partner at retirement income commencement, that pension partner has executed a Form 5 waiver.

(27) A LIF that is not eligible for the payment option referred to in section 45(2) may not be severed so as to transform it into 2 or more LIFs , DC RIAs or annuities or any combination of them that would make any of them so eligible.

(28) Within 60 days after the delivery to the financial institution of the relevant documents required by it following the death of the owner, the balance of the LIF is,

(a) if the deceased was an original owner who had a pension partner at retirement income commencement who did not, prior to the death, execute an Option 3 waiver, to be paid to, or transferred to an RRSP or a RRIF on behalf of, that pension partner at his or her option, or

(b) if the deceased is any other owner, to be paid in cash to the deceased's designated beneficiary or, if there is no valid designation of a beneficiary, to the deceased's estate.

(29) Parts 4 of the legislation apply with respect to a LIF, and where money was subject to those Parts immediately before its transfer to a LIF, that money continues to be subject to them.

(30) Where Parts 4 of the legislation apply with respect to the share in a LIF of a non-member-pension partner, the conditions set out in those Parts (including the locking-in provisions) continue to apply to that share when it is transferred to another vehicle on that person's behalf.

(31) A financial institution administering a LIF shall provide to each owner, within 30 days after the beginning of each year, a year-end statement containing the following information about that owner's account so far as applicable:

(a) the account balances as at the beginning and the end of the year in question;

(b) the interest earned during that year;

(d) the amounts transferred into the account during that year;

(e) the fees charged against the account during that year;

(f) the minimum and maximum amounts that may be withdrawn during the current year being, respectively,

(i) the Canada Revenue Agency minimum for RRIFs, and

(ii) the greater of

(A) the amount calculated under subsection (34)(a), and

(B) the gains, if any, earned in the immediately previous year;

(g) the deadline for selecting the amount and timing of the income payment from the account for the current year;

(h) if that selection is not made, the amount that will be paid applying the tax Act and the date when that payment will be made;

(i) the process for changing that selection.

(32) The owner must establish and notify the financial institution in writing of the amount of retirement income that is to be paid out during the current year, except that if the LIF guarantees the rate of return of the LIF over a period that is greater than one year, then the owner may establish and notify at the beginning of that period the amount of retirement income to be paid during any one or more of the years that end not later than the expiration of that period, but the owner may, at any time during a year, change the amount provided that the amount will always result, by the end of the year, in a payment or payments that are at least equal to the minimum amount required by the tax Act and that do not exceed the maximum amount calculated in accordance with subsection (34).

(33) A financial institution that has issued a LIF shall provide

(a) to an owner who transfers money out of the LIF, a reconciliation of the LIF balance as at the date of the transfer with the balance as at the end of the immediately previous year, showing the amounts transferred into, the interest earned by, the payments made out of, and the fees charged against, the LIF during the intervening period,

(b) to an owner who receives a payment under subsection (26), a reconciliation of the LIF balance as at the date of the payment with the balance as at the end of the immediately previous year, showing the information referred to in clause (a), and

(c) to a surviving pension partner or designated beneficiary or the estate, as applicable, and before making a payment under subsection (28), the reconciliation referred to in clause (b).

(34) Subject to subsections (35) to (38), the amount of retirement income paid from a LIF during a year is not to exceed the greatest of

(a) M, with that symbol being calculated in accordance with the following formula:

M = C
F

where

C is the balance of the money in the LIF on the first day of the year, and

F is the value on January 1 of the year in which the calculation is made of a guaranteed amount of which the annual payment is $1 payable at the beginning of each year between that date and December 31 of the year during which the owner reaches the age of 85 years and calculated by using

(i) an interest rate of not more than 6% per year, or

(ii) for the first 15 years after the date of the valuation, an interest rate exceeding 6% per year if that rate does not exceed the interest rate obtained on long-term bonds issued by the Government of Canada for the month of November preceding the year of the valuation, as compiled by Statistics Canada and published in the Bank of Canada Review as CANSIM Series B-14013, and using an interest rate not exceeding 6% in subsequent years,

(b) the minimum amount required to be withdrawn in accordance with the tax Act, and

(35) For the initial year of payment of retirement income from a LIF,

(a) the limit M is prorated in proportion to the number of months in the year in which the LIF was established for which such income was paid divided by 12, with any part of an incomplete month counting as one month,

(b) the minimum amount to be paid, as referred to in subsection (34)(b), is set at zero, and

(c) gains referred to in subsection (34)(c) are 6% of the fair market value of the LIF prorated, where applicable, as referred to in clause (a).

(36) Subject to subsection (32), if the money in the LIF is transferred to another LIF or to a DC RIA, payments to the owner will continue in the same manner as the owner selected at the beginning of the year of the transfer.

(37) If the LIF so permits, an owner may make an additional transfer to the LIF and,

(a) if that additional transferred amount has never been under a DC RIA or a LIF before, an additional withdrawal is allowed in that year, and

(b) the additional withdrawal is to be calculated in accordance with subsection (34) and prorated in accordance with subsection (35) with respect to the amount that was transferred in.

(38) Where the exception in subsection (32) applies, subsections (34) to (37) apply with such modifications as the circumstances require to determine, as at the beginning of the first year of the interval, the amount of retirement income to be paid for each year in that interval.

(39) Notwithstanding subsection (5), where an amendment is required to a LIF addendum as a result of an amendment to Form 2, that amendment may be effectuated by a textual amendment process if such a process is specified in writing by the Superintendent.

LRIFs - abolition, temporary saving and transitional

41(1) Subject to this section, the LRIF is abolished for the purposes of the legislation and no further LRIFs may be issued.

(2) This section applies notwithstanding the abolition of the LRIF and the closing of the former list of financial institutions holding LIRAs, LIFs and LRIFs as a result of section 36 of the Employment Pension Plans (General, 2006) Amendment Regulation.

(3) This section prevails over section 40 to the extent of any inconsistency between them.

(4) A financial institution that, immediately before the commencement of this section, was lawfully a party to an LRIF (in this section referred to as an "LRIF institution") and that wishes to have the vehicle continued in different form after this subsection ceases to have any force in relation to it must, before the end of 2007 or such later time as the Superintendent allows it under subsection (5),

(a) submit a written application to the Superintendent to be placed on the new list, so far as it relates to LIFs, established under section 38,

(b) undertake in writing to attach the LIF addendum to all LIFs to be issued by it,

(i) establish a new LIF in the name of the owner of the LRIF,

(ii) transfer all Alberta locked-in money in the LRIF to that LIF, and

(iii) provide the owner with a copy of the whole LIF (including the LIF addendum),

(the period between the commencement of this section and the end of 2007 or, if applicable, that later allowed time being in this section referred to as the "transition period").

(5) The Superintendent, on an application made in writing by a specific LRIF institution before December 16, 2007, may in writing extend the end of 2007 deadline referred to in subsection (4) for that institution until a date not later than the end of June 2008.

(6) An LRIF institution may continue to administer an LRIF lawfully established before and subsisting immediately before the commencement of this section, and that LRIF remains valid during the transition period in accordance with the legislation in force immediately before the commencement of this section, and the legislation that applied at that time to any extent in respect of LRIFs continues to apply to the same extent with respect to LRIFs during the transition period.

(7) Notwithstanding subsection (6),

(a) section 68(6), Schedule 1.1, Form 6, as it applies in respect of Option 1, and other provisions of this Regulation that apply Schedule 1.1 or that portion of Form 6 apply in respect of LRIFs as they apply to LIFs and the provisions of Form 2 relating to the 50% unlocking option and the waiver by a pension partner of beneficiary rights, with supporting definitions in Form 2, are deemed to form part of the LRIF addendum continued as a result of subsection (6) with suitable adaptations,

(b) subject to subsection (8), a transfer of money from an LRIF to a LIRA and the receipt by a LIRA of money from an LRIF are prohibited,

(d) the definitions of "Alberta locked-in money" in section 2 and Form 2 are to be treated as including money in an LRIF.

(8) Where a transfer of Alberta locked-in money was initiated between an LRIF and a LIRA, LIF or annuity before the commencement of this section and that transfer was not completed immediately before that commencement, then the conditions set out for the transfer in this Regulation, as it existed as at that time, are to continue to apply to the transaction.

(9) An LRIF institution that does not wish to establish new LIFs and effect money transfers under subsection (4) shall, as soon as practicable and in any case before December 16, 2007, transfer all its LRIFs to another financial institution that has been acknowledged under section 38 in relation to LIFs, and such a transferring financial institution continues to have all the obligations and liabilities under the LRIFs until all such transfers are duly completed and the transferee financial institution has assumed all the obligations and liabilities respecting the LRIFs under the new LIFs.

(10) If an LRIF institution fails to comply with subsection (4) or (9) or has failed to receive acknowledgement in relation to LIFs, it shall provide to the Superintendent, within 7 days after the end of the transition period, a list of all persons who held and continue to hold an LRIF referred to in subsection (4), and the LRIF institution continues to have all the obligations and liabilities under the LRIFs until the Superintendent notifies it in writing that those liabilities are extinguished.

(11) The LRIF owner and the LRIF institution are deemed to have executed the LRIF addendum provisions referred to in subsection (7), whether they did so or not.

(12) If an LRIF institution does not in effect convert all its LRIFs and transfer the money in accordance with this section before the end of the transition period, the Superintendent may take whatever steps are considered necessary and appropriate to protect the interests of the owners and to have the LRIFs converted in effect into LIFs, and for that purpose may direct that LRIF institution to take any action that he or she considers necessary.

37 Section 41.1 is amended

(a) in subsection (1) by striking out ", LIF or LRIF" and substituting "or LIF";

(b) by adding the following after subsection (2):

(3) An owner who has made 2 applications for withdrawals under subsection (1) or (2) or a combination of both in the previous 12 months may not apply for a third under this section.

38 Section 42 is amended

(a) by striking out ", LIF or LRIF" wherever it occurs and substituting "or LIF";

(b) in subsection (2)(b) by striking out ", LRIF".

39 Sections 43 and 44 are repealed and the following is substituted:

Waiver forms

43(1) The form of the waiver for the purposes of section 39(5.1) of the Act is Form 3.

(2) The form of the waiver for the purposes of section 40(4)(a) of the Act is

(a) Part 1 of Form 4 where benefits are to be paid from the plan under a defined benefit provision, and

(b) Part 1, as it relates to Option 2, of Form 6 in any other case.

(3) The form of the waiver for the purposes of section 40(4.2)(a) of the Act is

(a) Part 2 of Form 4 where benefits are to be paid from the plan under a defined benefit provision, and

(b) Part 2 of Form 6 in any other case.

(4) The form of the waiver for the purposes of section 46(5) of the Act is Form 5.

(5) A waiver under Part 1 or Part 2 of Form 4 or Option 1, 2 or 3 operates only to waive entitlements that are the subject-matter of that Part of Form 4 or of that Option and not with respect to entitlements that are the subject-matter of the other Part of Form 4 or of another Option, as the case may be.

(6) Where the legislation makes provision directly or indirectly for a waiver by a pension partner in a Form, the requirement as to form is met if the pension partner executed a waiver before the commencement of this subsection in the form prescribed with respect to that provision, or its equivalent, as that provision or its equivalent existed and was in force at the time of the signing of the waiver, provided that the effect of that provision was the same or similar to the provision as it currently reads.

(7) A waiver by a pension partner of any entitlement has no effect as against the pension plan, LIRA, LIF or annuity to which it has to be sent following its signing and, for the purposes of this Regulation, is not validly executed, unless it has and can be proved to have been sent to the administrator or financial institution, as the case may be.

(8) A waiver under Form 3 or Part 2 of Form 4 or the Option 3 waiver may be

(a) signed by an individual who is entitled to sign it at any time prior to the death of the original plan member referred to in it, or

(b) revoked at any time before it becomes effective.

(9) The signing of the waiver referred to in subsection (1), (2) or (3) satisfies the conditions and proof requirements for the purposes of section 39(5.1), 40(4)(b), 40(4.2)(b), as the case may be, of the Act.

Cost-of-living adjustments as ancillary benefits

44 For the purposes of section 42(1)(d) of the Act, cost-of-living adjustments are prescribed to be ancillary benefits except to the extent that they must be paid under the terms of the plan.

Conversion of optional ancillary contributions to benefits

44.1 Optional ancillary contributions must be converted to ancillary benefits on an actuarially equivalent basis that is consistent with generally accepted actuarial practice standards established by the Canadian Institute of Actuaries, or on any other basis considered reasonable by the Superintendent and allowed by the tax Act.

40 Section 45 is amended

(a) in subsection (1) by striking out "A" and substituting "Subject to subsection (1.1), a";

(b) by adding the following after subsection (1):

(1.1) Where pension commencement is deferred, the pension plan must provide for the payment option referred to in section 46(1) of the Act on the administrator's being requested in writing to make the payment in accordance with the terms of the plan if,

(a) in the case of a plan containing a defined benefit provision,

(i) the monthly pension payments that would be payable as a result of that request do not exceed 1/12 of 4% of the Year's Maximum Pensionable Earnings for the year in which that request was made, or

(ii) the commuted value of the pension, as calculated at the time of that request, does not exceed 20% of that year's Year's Maximum Pensionable Earnings,

(b) in the case of a plan containing only defined contribution provisions, that commuted value, as so calculated, does not exceed that 20%.

(1.2) Where

(a) a member suspended membership in one plan and became a member of another plan to which the employer was required to contribute on the member's behalf,

(b) a member or former member is entitled to benefits from 2 or more pension plans as a result of a plan transfer within the meaning of section 65(1)(b), or

(c) a member or former member is entitled to benefits arising both from defined benefit provisions and defined contribution provisions of a particular plan,

the benefits under both or all of those plans or kinds of provision are to be aggregated for the purposes of the calculations under this section.

(c) in subsection (2)

(i) by striking out ", LIF or LRIF" and substituting "or LIF";

(ii) by repealing clause (b) and substituting the following:

(b) if

(i) the owner has attained the age of 65 years, and

(ii) the balance in the account does not exceed 40% of the Year's Maximum Pensionable Earnings for the year in which the application is made.

41 The following is added after section 46:

DC RIA component

46.1(1) In this section,

(a) "DC account" means the portion of a pension fund to which the plan's defined contribution provisions apply, exclusive of all DC RIAs;

(b) "DC RIA participant" means, if the person afterwards referred to in this clause has attained the age of 50 years,

(i) a former member who has, or has applied to establish, a DC RIA, or

(ii) a person who is a member by virtue of the re-employment circumstances described in subsection (19),

and, if the rules so permit, includes a surviving pension partner of such a DC RIA participant in whose name the DC RIA is or is to be continued;

(d) "year" means a calendar year.

(2) To the extent that there is any conflict or inconsistency between them,

(a) this section prevails over any other provisions of the legislation, and

(b) the tax Act prevails over this section.

(3) The benefits prescribed for the purposes of section 46(8) of the Act are the variable benefits that are allowed by paragraph 8506(1)(e.1) and subsections 8506(4) to (7), so far as applicable, of the Income Tax Regulations (Canada) (CROC., c.945), being those provided for in this section.

(4) A pension plan with defined contribution provisions may provide for the payment of retirement income in the form of DC RIA benefits, and where a plan allows the establishment of a DC RIA and provides for such DC RIA benefits, the provisions of this section set out required contractual provisions of the plan that apply with respect to the DC RIA and the DC RIA benefits.

(5) Only Alberta locked-in money may be transferred into a DC RIA.

(6) The administrator shall not transfer money from a DC account to a DC RIA

(a) unless the DC RIA participant has been offered the 50% unlocking option,

(b) where the DC participant has a pension partner at the time of the transfer and exercises the 50% unlocking option, unless the pension partner has exercised Option 1, and

(c) where the DC RIA participant has a pension partner at the time of the transfer, unless that pension partner has exercised Option 2.

(7) In addition to providing for the transfer of money from the DC account to the DC RIA, the rules may permit a DC RIA participant, so far as applicable, to make a transfer into the DC RIA from the DC RIA participant's LIRA or LIF or a DC account or a DC RIA in another pension plan, or from any 2 or more of them, and the rules must provide for such of those additional transfer options, if any, that are to be offered.

(8) The rules must provide that a DC RIA participant may transfer money from the DC RIA to, but only to,

(a) a LIF,

(b) an annuity, or

(9) The administrator shall not transfer any money from a DC RIA on a locked-in basis unless the administrator has

(a) informed the transferee administrator or financial institution in writing that the money is Alberta locked-in money,

(b) if the transfer is being effected by a DC RIA participant who is not a surviving pension partner and who had a pension partner at retirement income commencement, provided the transferee with a certified copy of an executed Option 2 and, if applicable, Option 3 waiver, and

(c) where the transfer is to a LIF, ascertained that the transferee financial institution is acknowledged in relation to LIFs.

(10) Where a transfer is made from a DC RIA, the administrator shall forthwith provide the transferee administrator or financial institution with

(a) a statement reconciling the DC RIA balance immediately after the transfer with the balance as at the end of the immediately previous year, showing the amounts transferred into, the interest earned by, the payments made out of, and the fees charged against, the DC RIA during the intervening period, and

(b) a copy of any decision made by the DC RIA participant respecting the amount to be withdrawn during the current year.

(11) The rules must provide that, within 60 days after the delivery to the administrator of the relevant documents required by it following the death of a DC RIA participant with a surviving pension partner who has not executed the Option 3 waiver, the DC RIA benefits will be paid to the surviving pension partner

(a) in cash,

(b) if and to the extent permitted by or under the tax Act, as a transfer to an RRSP or a RRIF, or

at the election of that pension partner.

(12) Notwithstanding subsection (11), the rules may provide that, if the surviving pension partner so elects and if and to the extent allowed by the tax Act, DC RIA benefits will continue to be paid from the DC RIA to that pension partner.

(13) The rules must provide that, within 60 days after the delivery to the administrator of the relevant documents required by it following the death of a DC RIA participant who had no surviving pension partner or whose surviving pension partner had executed the Option 3 waiver, the DC RIA benefits will be paid to the deceased's designated beneficiary or, if there is no valid designation of beneficiary, to the deceased's estate in cash or, in the case of a designated beneficiary and if and to the extent permitted by the tax Act, as a transfer to an RRSP or a RRIF.

(14) The rules must provide

(a) that, within 60 days after receipt of the information required by section 24.1(3)(g) to (k), the DC RIA participant will establish and notify the administrator in writing of the amount of the DC RIA benefits that is to be paid during the current year, except that if the rules guarantee the rate of return of the DC RIA benefits over a period that is greater than one year, then the DC RIA participant may establish and notify, at the beginning of that period, the amount of DC RIA benefits to be paid during any one or more of the years that end not later than the expiration of that period,

(b) that the DC RIA participant may, at any time during the year or that extended period, change that amount provided that the amount will always result, by the end of the year or that extended period, in a payment or payments that are at least equal to the minimum amount required by the tax Act and that do not exceed the maximum amount calculated in accordance with subsection (15), and

(15) The rules must provide for the matters provided for in section 40(34) to (38), substituting in those subsections

(a) "DC RIA benefits" for "retirement income",

(b) "DC RIA" for "LIF", and

(16) A DC RIA that is not eligible for a payment option referred to in section 45 may not be severed so as to transform it into 2 or more LIFs, DC RIAs or annuities or any combination of them, one or more of which is so eligible.

(17) Section 40(26) applies in respect of a DC RIA.

(18) Section 31 does not apply to a DC RIA but the rules must provide that, where a DC RIA participant receiving DC RIA benefits becomes a member with respect to defined contribution provisions of the plan,

(a) at the option of that person, DC RIA benefit payments are to continue or are suspended as long as that person remains such a member,

(b) the additional money in the DC account resulting from the further employment is not to be commingled with the money in the DC RIA while the DC RIA participant remains a member,

(c) the DC RIA participant, on the termination of the subsequent membership is to have the same portability rights and 50% unlocking options with respect to that DC account as if that person were a terminated member under section 38(1) and (2) of the Act, and

(d) if applicable, DC RIA benefit payments that were suspended under clause (a) are to recommence when the person again terminates membership.

Consent re financial hardship commutation, etc.

46.2 The basis for the Superintendent's consent under section 46(9) of the Act is that set out in section 41.1 and Schedule 4.

42 Section 47(2) is amended

(a) by adding "maximum" after "The";

(b) by striking out "not exceeding" and substituting "equal to".

43 Section 48 is amended

(a) in subsection (3)

(i) in clause (a) by striking out "quarterly" and substituting "monthly";

(ii) by repealing clauses (b) and (c) and substituting the following:

(b) where the plan has one or more unfunded liabilities, payments consisting of equal payments made at least monthly that are sufficient to amortize the unfunded liability or each unfunded liability over a period not exceeding 15 years from the review date relating to its establishment, and

(c) where the plan has one or more solvency deficiencies, payments consisting of equal payments made at least monthly that are sufficient to amortize the solvency deficiency or each solvency deficiency over a period not exceeding 5 years from the review date relating to its establishment.

(b) by adding the following after subsection (3):

(3.1) The criteria prescribed for the purposes of section 48(4) of the Act are that

(a) the jointly funded pension plan is a publicly funded plan,

(b) the administrator has applied in writing to the Superintendent for the joint funding portion of that subsection to apply to the plan, and

(c) by repealing subsection (4), other than subsection (4)(b), and substituting the following:

(4) Subject to subsection (4.1), the employer may, instead of making the special payments referred to in subsection (3)(b) or (c), make at least monthly payments expressed in such a manner that

(a) either

(i) each payment is a constant percentage of the future payroll of the members projected as at the date of the original establishment of the unfunded liability or solvency deficiency, as the case may be, in question, or

(ii) the payments are expressed as a dollars and cents per hour amount based on current and actually negotiated future contribution rates,

and

(d) by adding the following after subsection (4):

(4.1) To the extent that subsection (4) deals with a solvency deficiency, that subsection does not apply where payments are required by section 73(2) or (3) of the Act.

(e) in subsection (6) by adding ", as the case may be" after "other unfunded liability or solvency deficiency";

(f) in subsection (7)

(i) in clause (a) by striking out "an" and substituting "a new";

(ii) in clause (b) by adding "new" after "no";

(iii) by adding "new" after "whether a";

(g) by repealing subsections (9), (10), (11) and (12) and substituting the following:

(9) In subsection (9.1), "going concern actuarial gain" means the actuarial value, as at a valuation date, of the net positive financial impact, if any, caused by economic and demographic experience, determined on a going concern basis in accordance with accepted actuarial practice, in the period between the review date of the most recently filed actuarial valuation report and the current valuation date.

(9.1) Where a filed actuarial valuation report or cost certificate reveals that the plan has a going concern actuarial gain,

(a) the going concern actuarial gain shall be used to amortize or, where insufficient to amortize, then to reduce the outstanding balance of an unfunded liability, with the established unfunded liabilities being amortized or reduced according to the chronological order in which they were established, and

(b) where the going concern actuarial gain is used to reduce an unfunded liability under clause (a), further special payments under subsection (3)(b) may be reduced for that unfunded liability on a prorated basis over the remainder of the period over which they are payable.

(10) In subsection (10.1), "solvency actuarial gain" means the actuarial value, as at a valuation date, of the net positive financial impact, if any, caused by economic and demographic experience, determined on a solvency basis in accordance with accepted actuarial practice, in the period between the review date of the most recently filed actuarial valuation report and the current valuation date.

(10.1) Where a filed actuarial valuation report or cost certificate reveals that the plan has a solvency actuarial gain,

(a) the solvency actuarial gain shall be used to amortize or, where insufficient to amortize, then to reduce the outstanding balance of a solvency deficiency, with the established solvency deficiencies being amortized or reduced according to the chronological order in which they were established, and

(b) where the solvency actuarial gain is used to reduce a solvency deficiency under clause (a), further special payments under subsection (3)(c) may be reduced for that solvency deficiency on a prorated basis over the remainder of the period over which they are payable.

(11) Where a filed actuarial valuation report or cost certificate reveals that the plan has excess assets, the excess assets shall be

(a) used to increase benefits,

(b) left in the plan,

(c) unless the plan specifically provides that an employer may not reduce the employer contributions referred to in subsection (3)(a) by the use of excess assets and to the extent that the employer contributions do not relate to a solvency deficiency, applied to reduce those employer contributions,

(d) if the plan so permits, applied to reduce member required contributions, or

(e) if no solvency deficiency exists and subject to section 83 of the Act and section 67 of this Regulation, paid or transferred to the employer,

or applied to any 2 or more of those objectives.

(12) A specified multi-employer plan or a multi-unit plan may, in applying this section, provide that some or all of the assets and liabilities (including excess assets) and the administrative expenses relating to each participating employer are to be separately determined and allocated, in which case each participating employer shall comply with this section with respect to its allocated share of contributions required to fund the plan.

(h) in subsection (17) by striking out "solvency tests, including the";

(i) in subsection (18) by striking out "or cost certificate, or both, referred to in section 10(2) or 27(4) or statement referred to in section 27(3)" and substituting "and cost certificate referred to in section 10(2) or 27(3), or interim cost certificate, statement or actuarial valuation report referred to in section 27(2)";

(j) in subsection (20) by striking out "province" and substituting "jurisdiction".

44 Section 49 is amended

(a) in subsection (1)(d) by striking out "quarterly" and substituting "monthly";

(b) by repealing subsections (2) and (3) and substituting the following:

(2) Notwithstanding subsection (1)(d) and section 48(3), when an actuarial valuation report and cost certificate referred to in section 14(3)(b) of the Act are being prepared, employer contributions referred to in subsection (1)(d) do not need to be remitted until the earlier of 30 days after the date the actuarial valuation report is filed and 30 days after the end of the second, or in the case of a specified multi-employer plan the third, quarter following the review date, but they must include interest from the latest date when they would have been remitted under subsection (1)(d) to the date of remittance, at the same interest rate as was used in determining the employer contributions referred to in subsection (1)(d).

(3) The period prescribed for the purposes of section 50(2) of the Act is 30 days.

(4) The period prescribed for the purposes of section 50(3) of the Act within which the ultimate recipient must report to the Superintendent is 30 days.

(5) The time prescribed for the purposes of section 50(3.2) of the Act is any time within 30 days after the beginning of the fiscal year in question.

45 Section 50(5) is amended by striking out "province" wherever it occurs and substituting "jurisdiction".

46 Section 51 is amended

(a) by repealing subsection (4) and substituting the following:

(4) If the plan allows members to make investment choices, the administrator shall ensure that the plan offers sufficient investment options to enable the members to make prudent investment choices.

(b) in subsection (5) by striking out from ", but the administrator" to the end.

47 Section 53 is amended

(a) in subsection (2)(c) by striking out "depository" and substituting "depositary";

(b) by repealing subsection (3) and substituting the following:

(3) For the purposes of subsection (2), "custodian agreement" means an agreement referred to in section 1(1)(i.1) of the Act.

(c) in subsection (5) by striking out "Act or this Regulation" and substituting "legislation".

48 Section 55 is amended

(a) by adding the following after subsection (4):

(4.1) Subsections (5) to (7) apply

(a) with respect to pension plans to which section 48(6) of the Act applies, only where there is a termination of the whole plan,

(b) with respect to multi-unit plans, only where one or more of the participating employers are declared bankrupt, and

(c) with respect to any other plan, only if payments by an employer under section 73(2) of the Act stop due to the employer's being declared bankrupt.

(b) by adding the following after subsection (7):

(7.1) Notwithstanding subsection (4.1)(a),

(a) if some or all of the assets and liabilities of a participating employer in a specified multi-employer plan are dealt with separately for the employer, subsections (5) to (7) are to be applied separately in respect of those assets and liabilities in accordance with section 48(12), and

(b) a specified multi-employer plan must provide that, on the termination of the whole plan and in its winding up, if there are insufficient assets after section 48 has been applied, the assets will be distributed in accordance with subsection (5).

(7.2) Where a participating employer in a multi-unit plan is declared bankrupt, this section applies separately to that employer as distinct from the plan's other participating employers.

49 The heading to Part 4 is amended by striking out "Spousal".

50 Section 56(2)(a) is amended by striking out "meaning in section 58(1)(b)" and substituting "same meaning as "matrimonial property order" in section 1(1)(x.2)".

51 Section 58 is amended by adding the following after subsection (4):

(5) Where the non-member-pension partner's share is contained in a DC RIA, the share must be transferred in accordance with section 46.1(8).

52 The following is added after section 60:

50% unlocking of non-member-pension partner share

60.1 If applicable, a non-member-pension partner may exercise the 50% unlocking option in relation to the non-member-pension partner share that are given by Schedule 1.1.

53 Section 62 is repealed.

54 The following is added after section 64:

Missing persons

64.1(1) The period prescribed for the purposes of section 77.1(3) of the Act is the period ending

(a) subject to clause (b), one year after the consent under section 77(1.1) of the Act was obtained, or

(b) if the plan is receiving payments under section 73(2) of the Act, 60 days after the last payment under that subsection was made.

(2) The information prescribed for the purposes of section 77.1(3)(b)(i) of the Act is, in respect of each person,

(a) the name of the missing person and, if different, of the member or former member in question,

(b) the date when the member or former member's employment initially commenced,

(d) the date, if applicable, when the former member terminated membership in the plan,

(e) the date, if applicable, when the member or former member died or when the plan terminated, and

(f) the balance in the person's account in the plan.

(3) The amount prescribed for the purposes of section 77.1(13) of the Act is such amount as the Superintendent decides and publishes on the Superintendent's website.

55 Section 65 is amended

(a) by repealing subsection (1)(d) and (f);

(b) by repealing subsection (2) and substituting the following:

(1.1) This section sets out the rules relating to section 80 of the Act.

(2) This section applies where all or a specific and identifiable class or group of the members of a plan become members of another plan that is an active plan, due to

(a) the disposal of all or part of an employer's business, undertaking or assets,

(b) a merger between an employer and another entity,

(d) the division of a plan into 2 or more plans,

(e) the withdrawal from a specified multi-employer plan or a multi-unit plan of an employer, or

(f) any other similar transaction.

(2.1) The administrator of the successor plan shall disclose to everyone affected by the plan transfer all the information required, and in the manner required, by the Superintendent.

(c) in subsections (3) and (4) by striking out "Act or this Regulation" and substituting "legislation";

(d) in subsection (4) by striking out "or division of the plan or plans for one employer" and substituting "of plans or the division of a plan";

(e) in subsection (8)(a) by striking out "and" at the end of subclause (i), adding "and" at the end of subclause (ii) and adding the following after subclause (ii):

(iii) showing the assets and liabilities being transferred from the predecessor plan to the successor plan,

(f) by adding the following after subsection (9):

(10) In addition to other information required by this Regulation, the administrator of the predecessor plan shall provide to members who are transferring to the successor plan and, where applicable, to persons who remain members of the predecessor plan after the plan transfer, the information that the Superintendent, by notice in writing given to the administrator, requires to be provided.

56 Section 67 is amended by adding the following after subsection (2):

(2.1) Where and when the administrator is required to provide a notice under subsection (2) in the circumstances described in subsection (2)(b), the administrator shall also provide the notice to the persons to whom subsection (9) applies.

57 The following is added after section 67:

Prescribed legislation

67.1 For the purposes of section 85.3 of the Act,

(a) the provisions of this Regulation prescribed are sections 39(23)(b) and 40(26)(b), section 46.1(18) as it incorporates section 40(26)(b), sections 41.1 and 68(6), Schedule 1.1 and other provisions of this Regulation relating to the 50% unlocking option, and

(b) the legislation prescribed is

(i) the Assured Income for the Severely Handicapped Act,

(ii) the Income and Employment Supports Act,

(iii) the Student Financial Assistance Act,

(iv) the Seniors Benefit Act, and

(v) any other Alberta statute whereby persons are entitled to amounts of money based on means testing,

and, where applicable, the regulations under those Acts.

58 Section 68 is amended

(a) by repealing subsections (2) and (3);

(b) by repealing subsections (5) and (6) and substituting the following:

(5) The pension plans specified in Schedule 0.2 are exempt from the provisions referred to in that Schedule to the extent or on the conditions, where applicable, specified in that Schedule.

(6) A vehicle within the meaning of section 1(d) of Schedule 1.1 is exempt from section 35 of the Act and other locking-in provisions of the legislation to the extent set out in Schedule 1.1 and other provisions of this Regulation that directly or indirectly reference that Schedule, and the alternative provisions set out in that Schedule apply in respect of those exemptions and this subsection and that Schedule override any other provisions of the legislation to the contrary.

(c) in subsection (7)

(i) by striking out "a deferred pension described in section 38(2)(c)(i) of the Act" and substituting "an annuity described in section 38(2)(c)(i) of the Act that is a deferred annuity";

(ii) by striking out "pension is" and substituting "annuity is";

(d) by repealing subsection (8).

59 Sections 73 and 74 are repealed and the following is substituted:

Transitional - financial statements

73.1 Pension plans that, before the commencement of this section, were not required to file annual financial statements are not require to file annual financial statements with respect to fiscal years ending before the commencement of this section.

Transitional - LIRAs and LIFs

73.2(1) This section applies notwithstanding anything in section 36 of the Employment Pension Plans (General, 2006) Amendment Regulation, and a financial institution that was on the Superintendent's list under the repealed section 38 for a LIRA or a LIF immediately before the commencement of this section (in this section referred to as a "transitional status institution") is deemed to be acknowledged for that vehicle until the sooner of

(a) the end of 2007 or such later time as the Superintendent allows it under subsection (2), and

(b) the financial institution's becoming actually acknowledged under the new section 38,

(the period between the commencement of this section and that sooner time being in this section referred to as the "transition period").

(2) The Superintendent, on an application made in writing by a specific transitional status institution before December 16, 2007, may in writing extend the end of 2007 deadline referred to in subsection (1)(a) for that institution until a date not later than the end of June 2008.

(3) Until the end of the transition period but subject to sections 35 and 36 of the Interpretation Act, the legislation applicable to the LIRA or LIF, as the case may be, in force immediately before the commencement of this section continues to apply with respect to the transitional status institution, that vehicle and the owner.

(4) Notwithstanding subsection (3),

(a) sections 39(18)(b) and (25) and 40(21)(b) and (24), and

(b) section 41(7), so far as applicable and as it applies to an LRIF,

apply in respect of a transitional status institution and its LIRAs and LIFs during the transition period.

(5) Once a transitional status institution has become acknowledged under section 38, it shall, within the next 90 days,

(a) replace each addendum forming part of the vehicle under the legislation in force before the commencement of this section with the addendum required by section 39 or 40, as the case may be, and

(b) provide the owner with a new copy of the whole LIRA or LIF (including its addendum),

and, from the end of the transition period, the owner and the transitional status institution are deemed to have entered into the agreements comprising that addendum, whether they signed an agreement to that effect or not.

(6) A transitional status institution that does not wish to continue to administer LIFs or LIRAs after the end of the transition period shall, as soon as practicable and in any case before December 16, 2007, transfer all its LIFs or LIRAs or both, as the case may be, to another financial institution that does, and such a transferring financial institution continues to have all the obligations and liabilities under the LIFs or LIRAs or both that it had previously until it duly effects such a transfer and they are assumed by the transferee financial institution.

(7) Where a transitional status institution fails to receive acknowledgement under section 38 in respect of its LIFs or LIRAs or both or to transfer them under subsection (6) before the end of the transition period,

(a) it nevertheless continues to have all the liabilities under them until the Superintendent notifies it in writing that those liabilities have been extinguished, and

(b) the Superintendent may take whatever steps are considered necessary and appropriate to protect the interests of the owners, and for that purpose may direct that transitional status institution to take any action that he or she considers necessary.

(8) If a transitional status institution becomes acknowledged under section 38 in relation to a LIF after the income payments for a year have already been formally elected, those elected income payments are to apply for the balance of that year.

(9) Subject to subsection (1), the list established under the repealed section 38 is closed.

(10) Section 1(10)(b) is to be treated as including a reference to this section.

60 Schedule 0.1 is amended in section 1(5) by striking out "Act or this Regulation" and substituting "legislation".

61 The following is added after Schedule 0.1:

Schedule 0.2
(Section 68(5))

Partial Exemptions

Publicly funded plans

1(1) The Superintendent may exempt a publicly funded plan, on any conditions that the Superintendent consider appropriate, from the requirements of section 48(3)(c) of this Regulation if the administrator makes a written application to the Superintendent that includes

(a) an undertaking to file at least triennial solvency valuations with the Superintendent,

(b) an acknowledgement that the Superintendent may refuse any amendment to the plan that affects solvency if the plan has a solvency deficiency or its solvency ratio is less than one, and

(2) The Superintendent may, on application in writing, exempt a publicly funded plan that is a supplemental pension plan from the requirement to use the definition in section 1(1)(ff.1) of the Act so long as it uses instead, for the purposes of the plan, the corresponding definition in the plan to which it is supplemental.

(3) Notwithstanding anything else in the legislation, a supplemental plan referred to in subsection (2) may contain provisions deeming any member of it who has made an election or decision relating to portability or non-portability under and in relation to the plan to which it is supplemental to have made the same election or other decision under and in relation to the supplemental plan.

(4) Notwithstanding anything in the legislation, where the whole of a supplemental plan referred to in subsection (2) terminates and the plan to which it is supplemental does not, the supplemental plan is not required to wind up.

Plans for connected individuals

2(1) Without limiting any specific exemptions in the legislation, plans for connected individuals are exempt from the following provisions of the Act and of this Regulation respectively:

(a) Act Provisions:

section 12.1;
section 14(1), (2) and (3);
section 19;
section 20(1) and (3);
section 21;
section 23(2);
section 50(3);
section 72;
section 76(3) and (4);
section 77;
section 82(1)(b) and (c), (2) and (3);
section 83(1)(b) and (c);
section 84;

(b) Provisions of this Regulation:

section 6(1) and (2);
section 8(1);
section 10(2);
section 67(2), (2.1), (4), (6), (7) and (8).

(2) With respect to plans for connected individuals, the reference in section 9(3)(c) of this Regulation to "3 years" is to be treated as reading "4 years".

SMEPPs and section 48(3)(c)

3(1) The administrator of a specified multi-employer plan may apply to the Superintendent in the form and manner required by the Superintendent for, and the Superintendent may in writing, consent to the plan's suspending payments that an employer is or was required by section 48(3)(c) of this Regulation to pay into the plan after 2005 for the period, not exceeding 3 years from the date before 2009 that is specified in the consent, on condition that,

(a) as soon as the suspension period ends, the administrator will have an actuarial valuation report prepared that will identify the solvency deficiency, if any, at that time, show the funded and solvency status of the plan and otherwise meet the requirements of the Superintendent, and

(b) if such a solvency deficiency exists, it will be amortized within 5 years from the end of that period.

(2) An administrator may make only one application in total under subsection (1).

(3) The administrator must submit, along with the application under subsection (1),

(a) an actuarial valuation report as at the review date, not being before December 31, 2005, to which the application relates, and

(b) any other documents required by the Superintendent.

(4) The administrator shall, within 270 days after the end of the suspension period, file the actuarial valuation report prepared under subsection (1).

(5) An administrator who wishes to have the suspension under subsection (1) cancelled may do so within the suspension period by notifying the Superintendent in writing of that intention and by filing an actuarial valuation report referred to in subsection (1)(a).

(6) The Superintendent's consent under subsection (1) applies or continues to apply only if

(a) section 48, including the testing required by section 48(2), of the Act and, subject to subsection (7), section 48 of this Regulation and the other provisions of this section continue to be complied with,

(b) the results of that testing are reported in each actuarial valuation report,

(d) a schedule is adopted to amortize each unfunded liability established on or after the review date to which the application relates over a period not exceeding 10 years from its establishment and to amortize each unfunded liability that was established previously over the lesser of 10 years from the review date to which the application relates and the remainder of the 15-year amortization period under which it was initially established, and

(e) any other relevant conditions imposed by the Superintendent under section 4.1 of the Regulation are complied with.

(7) This section applies notwithstanding anything in section 48 of this Regulation.

Plans established before 1987

4 A pension plan established before January 1, 1987 is exempt from the requirements of section 28(1)(g) or 55(2) of the Act, or both, if the Superintendent considers that the provisions of the plan relating to the allocation and distribution of its surplus or excess assets during the continuation of the plan or on winding-up, or both, as the case may be, are unclear, and notifies the administrator in writing that the plan need not be amended in order that the plan may comply with section 27 of the Act in relation to that provision or those provisions.

Benefits, etc., in excess of maximum tax limits

5 Where

(a) a pension plan provides a benefit or allocates surplus or excess assets in respect of a person entitled to a benefit and the benefit or surplus or excess asset allocation is in excess of the maximum benefit or contribution limit applicable to the plan under the tax Act, or

(b) the commuted value of a benefit is in excess of the maximum limit that can be transferred to another plan or to an RRSP under the tax Act,

then the amount of that benefit, surplus or excess asset allocation or commuted value that is in excess of that maximum limit is exempt from section 35(1) and (2) of the Act and the locking-in requirement of section 30(5) of the Act.

SMEPPs and transfer agreements with other jurisdictions

6 Where

(a) the administrator of a specified multi-employer plan (in this section called the "Alberta plan") that has not received the approval of the Superintendent under section 31(4) of the Act has entered into a transfer agreement referred to in section 23(1) of the Act with the administrator of a pension plan of a jurisdiction other than Alberta that would be eligible for designation as a specified multi-employer plan if it fell under the Act (in this section called the "non-Alberta plan"), and

(b) the transfer agreement provides for the transfer of contributions between the plans for an employee who temporarily leaves employment covered by the non-Alberta plan and enters employment covered by the Alberta plan,

contributions that are subject to transfer under the transfer agreement are exempt from section 35(1) and (2) of the Act and the employee is not to be treated as a member of the Alberta plan, notwithstanding section 1(1)(y) of the Act.

Retroactive reduction of SMEPP benefits

7 Where the option chosen under section 48(18) of this Regulation has been implemented and the amount of contributions remains insufficient to cover the cost of benefits, the specified multi-employer plan is exempted from the application of section 81(1) of the Act if, on application to the Superintendent, the Superintendent considers that it would create an undue burden on the plan to apply that provision and approves that exemption.

Refusal of registration under tax Act

8 Where a pension plan that has secured registration is ultimately refused registration under the tax Act, that plan is exempt from all locking-in provisions of the legislation.

Income and asset testing - 50% unlocking option

9 The discretionary entitlement of a person to withdraw money from a pension plan under section 68(6) and Schedule 1.1 is not to be considered when determining, for the purposes of the legislation specified in section 67.1(b), income or assets available to the person.

62 Schedule 1 is repealed and the following is substituted:

Schedule 1

Form 1
(Section 39)

Employment Pension Plans Act
and Regulation (Alberta)

Locked-in Retirement Account
(Alberta LIRA) Addendum

IMPORTANT NOTES: This addendum forms an integral part of the LIRA to which it is attached. The provisions of this addendum prevail over other provisions of the LIRA in the event of any conflict or inconsistency. The LIRA (including this addendum) is also subject to section 39 of the Regulation and all other provisions of the Act and the Regulation (excluding this addendum) that apply to LIRAs and in the event of any conflict or inconsistency, that other legislation prevails. This addendum is only a general and abbreviated description of the legal rights and obligations relating to the LIRA vehicle and as such may not necessarily reflect fully or accurately the rights and obligations in the legislation. It should be noted that there are transitional arrangements in place covering mainly the period between August 2006 and the end of 2007, that are not necessarily reflected in this addendum, and that may also affect relationships with LRIFs.

I, (insert name of LIRA owner) , (in this addendum referred to as "the owner") certify that I am

  the original owner
  a surviving pension partner owner
  a non-member-pension partner owner
as defined in paragraph 1 of this addendum.
[Please tick the box that applies to you.]

With respect to Alberta locked-in money to which the LIRA of which this addendum forms part applies, I, the owner, and we (insert name of acknowledged financial institution underwriter or depositary of the LIRA) (in this addendum referred to as "the LIRA issuer"), having signed the LIRA agreement to which this addendum is attached, agree that the provisions set out in this addendum constitute fundamental terms of the contract between us and agree to comply with those provisions, subject to the above-mentioned legislation.

Part 1
General Provisions

Interpretation

1(1) The following terms, used in this addendum, have the meanings respectively given them as indicated below, except where the context otherwise requires:

(a) "the Act" means the Employment Pension Plans Act of Alberta, "the Regulation" means the Employment Pension Plans Regulation (Alberta Regulation 35/2000) under that Act, and "EPPA/R" means either or both, as applicable, all as amended to the time as of which the legislation is being interpreted;

(b) "acknowledged" means, in relation to a financial institution, currently acknowledged under section 38 of the Regulation in relation to LIRAs or LIFs, as applicable;

(i) that

(A) originally belonged to a member who terminated membership in Alberta,

(B) belongs to a surviving pension partner of

(I) a member who died while employed in Alberta,

(II) a former member who terminated membership while employed in Alberta, or

(III) the original owner of a LIRA,

(C) belongs to a non-member-pension partner owner owing to the application of Parts 4 of the legislation and originally belonged to a member who was employed in Alberta at the end of the period of joint accrual referred to in section 57(a) of the Regulation,

and

(ii) with respect to which the locking-in requirements of the legislation are still required to be met;

(d) "annuity" means a non-commutable life annuity contract issued or to be issued by an insurance business licensed to do business in Canada that meets the conditions in paragraph 60(l) of the federal Income Tax Act and will not commence before the annuitant reaches 50;

(e) "DC RIA" (an acronym for defined contribution retirement income account) means an account created under defined contribution provisions of a pension plan that provides the benefits referred to in section 46(8) of the Act under section 46.1 of the Regulation;

(f) "DC RIA benefits" means the benefits referred to in clause (e);

(g) "financial institution" means the issuer of a LIRA (including this one) or a LIF, as the case may be and, where the context relates to an annuity, includes an insurance business referred to in clause (d);

(h) "Form", followed by a number, means the form in Schedule 1 to the Regulation corresponding to that number;

(i) "non-member-pension partner owner" means a pension partner who owns this LIRA as a result of the application of the marriage breakdown/matrimonial property order/agreement rules in EPPA/R;

(j) "Option",

(i) followed by the numeral "1", means the option in Part 1 of Form 6 agreeing to the unlocking of up to 50% of commuted value or the value of the vehicle account in question,

(ii) followed by the numeral "2", means the option in Part 1 of Form 6 giving up the right to receive the minimum 60% survivor payments, and

(iii) followed by the numeral "3", means the option in Part 2 of Form 6 giving up all rights as automatic designated beneficiary;

(k) "original owner" means the individual who was the member or former member of a pension plan and who made a transfer under section 30(5) or 38 of the Act or section 39, 40, 41 or 46.1 of the Regulation at any time, the assets deriving from which transfer are now held in this LIRA;

(l) "owner" means the original owner, a surviving pension partner owner or a non-member-pension partner owner;

(m) "paragraph" and "Part" mean a paragraph and a Part, respectively, of this addendum;

(n) "pension partner" means, in relation to an original owner,

(i) a person who, at the relevant time, was married to that original owner and had not been living separate and apart from that original owner for 3 or more consecutive years, or

(ii) if there is no such married person, a person, if there is any, who, immediately preceding that time, had lived with that original owner in a conjugal relationship

(A) for a continuous period of at least 3 years, or

(B) of some permanence, if there is a child of the relationship by birth or adoption,

but does not include any person who is not recognized as a spouse or common-law partner for the purposes of any provision of the federal income tax legislation respecting RRSPs;

(o) "retirement income commencement" means the time when the former member or original owner initially transfers or transferred the money from a pension plan or a LIRA to a LIF, a DC RIA or an LRIF (before its abolition);

(p) "surviving pension partner owner" means an individual who made a transfer of money under section 39(6) of the Act or section 39(27) of the Regulation;

(2) Terms used in this addendum and not defined in subparagraph (1) but defined generally in EPPA/R have the meanings assigned to them in EPPA/R.

(3) Reference in this addendum to the execution of a waiver also requires the provision of it to the applicable pension plan administrator or financial institution for it to be effective.

Voluntary disposition

2 In general, the owner may not assign or otherwise voluntarily dispose of this LIRA or any rights or obligations under it to another person, but this is subject to the exceptions dealt with later.

Involuntary access

3(1) In general, the money in this LIRA may not be seized, attached or otherwise taken by another person, except that the money is subject to the provisions of the Maintenance Enforcement Act and the marriage breakdown rules.

(2) The exceptions referred to in subparagraph (1) will or may continue to apply if the money is transferred from this LIRA to another financial vehicle.

General rule on early withdrawal, etc.

4 No early voluntary withdrawal, commutation or surrender of money in this LIRA will be permitted except in accordance with Part 4 or the transitional (temporary) maximum 50% unlocking option in Schedule 1.1 to the Regulation.

Locking in

5 Money that is not Alberta locked-in money will not be transferred to or continue to be held in this LIRA.

Investment

6 The money in this LIRA will be invested in a manner that complies with the rules for the investment of RRSP money contained in the federal income tax legislation.

Retirement income

7(1) All the money in this LIRA, including investment earnings, is to be used ultimately to obtain an annuity or retirement income that is required or permitted by EPPA/R.

(2) The annuity or retirement income ultimately to be obtained for an original owner with a pension partner at the time payment of that income commences is to be at least on a 60% joint life basis that satisfies section 40 of the Act, unless that pension partner executes Option 2 of the Form 6 waiver.

Splitting of contract

8 This LIRA, if not eligible for the payment allowed by paragraph 21, may not be split so as to change it into 2 or more LIRAs, LIFs, DC RIAs or annuities or any combination of them that would make any of them so eligible.

Pension partner waiver

9 A pension partner may be entitled to money from this LIRA on the death of the original owner but, while the original owner is still alive, the pension partner may waive entitlement to that money by executing Form 3.

Disclosure statements

10(1) The LIRA issuer will provide to the owner, at least annually, a statement showing

(a) the LIRA account balance at the beginning and the end of the period covered by the statement, and

(b) the investment gains and losses earned in, the amounts transferred into, the payments made out of, and the fees charged against, the account in that period.

(2) Where money is paid out from this LIRA, the LIRA issuer will provide to the owner a statement showing

(a) the LIRA account balance at the beginning of the period covered by the statement and at the date of the payment out, and

(b) the matters specified in subparagraph (1)(b).

Part 2
Transfers In and Transfers and
Payments Out of LIRA

Transfer-in requirements

11(1) The LIRA issuer

(a) warrants to the owner that it is, and will make every endeavour while this contract exists to remain, on the Superintendent's list of acknowledged financial institutions for LIRAs, and

(b) will ensure that only Alberta locked-in money is transferred to this LIRA.

(2) A transfer to this LIRA may be made only from

(a) the non-DC RIA portion of a plan or another LIRA, or

(b) an old locked-in RRSP under an agreement under the predecessor legislation of 1966.

Transfers to other vehicles

12 A transfer of money from this LIRA is permitted to be made only to

(a) the non-DC RIA portion of a plan on a locked-in basis,

(b) a DC RIA,

(d) a LIF, or

(e) an annuity.

Transfer-out requirements

13(1) The LIRA issuer will not transfer money from this LIRA unless, to the extent applicable, it

(a) has ascertained that the transferee financial institution, if issuing a LIRA or LIF, is on the appropriate Superintendent's acknowledgement list,

(b) has ascertained that the transferee pension plan will treat the money as Alberta locked-in money,

(c) has advised the transferee financial institution or pension plan administrator that the money being transferred is Alberta locked-in money,

(d) provides that transferee with a certified copy,

(i) if the transfer is being made to another LIRA or the non-DC RIA portion of a pension plan by an original owner who has a pension partner at the time of the transfer who has previously executed a Form 3 waiver, of that waiver, or

(ii) if the transfer is being made to a LIF, a DC RIA or an annuity other than a minimum 60% joint life annuity by an original owner with a pension partner at the time of the transfer, of an executed Option 2 of the Form 6 waiver,

(e) has provided the owner with a statement under paragraph 10(2), and

(f) if the transfer is to a LIF, DC RIA or annuity, has offered the owner the maximum 50% unlocking option provided for in Schedule 1.1 to the Regulation subject, if the owner is an original owner with a pension partner at the time of the transfer, to the pension partner's having previously exercised Option 1 of the Form 6 waiver,

and the LIRA issuer will otherwise ensure that the EPPA/R rules on transfers out are obeyed.

(2) Unless a pension partner referred to in subparagraph (1)(d)(ii) executes Option 2 of the Form 6 waiver, that pension partner is the designated beneficiary for any death benefit.

(3) Where an Option 1 of the Form 6 waiver was executed, the LIRA issuer will keep a certified copy of it.

Potential consequences of breach

14 If the LIRA issuer disobeys any of the requirements in paragraph 13(1), it may have to fund the recipient vehicle (again if need be) to ensure that those entitled to the benefits of the recipient vehicle receive them in the form and manner required by EPPA/R.

General liability on payment out

15 If money is paid out to an individual person contrary to EPPA/R, the LIRA issuer will ensure the provision of appropriate income to the owner, in accordance with EPPA/R, as if that legislation has not been breached.

Prohibition against double indemnity

16 Where the owner, as a result of EPPA/R, obtains, in effect, a double payment or a payment as well as a continuing interest in the LIRA, the owner may be liable to repay amounts to which EPPA/R did not entitle him/her.

Federal tax legislation requirements

17 Without mention of other provisions of the federal tax legislation to which a transfer is or may be subject, any transfer made under paragraph 13(1) is subject to paragraph 146.3(2)(e.1) or (e.2) of the federal Income Tax Act.

Remittance of securities

18 Where this LIRA holds identifiable and transferable investment securities, the transfers out referred to in this Part may, unless otherwise stipulated, at the option of the LIRA issuer and with the consent of the owner, be effected by the remittance of any such securities.

Part 3
Death of Owner

Disposition of balance on death

19(1) Within 60 days after the delivery to the LIRA issuer of the documents required by it following the death of the original owner with a surviving pension partner who has not executed the Form 3 waiver, the LIRA balance will be transferred, subject to paragraph 13, on that surviving pension partner's behalf to

(a) a LIRA,

(b) a LIF,

(d) a pension plan on a locked-in basis,

as that surviving pension partner chooses.

(2) Within 60 days after the delivery to the LIRA issuer of the documents required by it following the death of the owner other than an owner referred to in subparagraph (1), the LIRA balance will be paid to the original owner's designated beneficiary or, if there is no valid designation of beneficiary, to the original owner's estate as a cash lump sum.

Part 4
Withdrawal, Commutation and Surrender

YMPE based lump sum payment

21 The LIRA issuer will on application make a lump sum payment of the whole LIRA balance,

(a) at any time if the LIRA balance does not exceed 20% of the Year's Maximum Pensionable Earnings (YMPE) under the Canada Pension Plan for the year in which the application is made, or

(b) if the owner is at least 65 and the value of the LIRA does not exceed 40% of the YMPE for the year in which the application is made.

Non-residency for tax purposes

22 The LIRA issuer will make a lump sum payment of the entire LIRA balance if the owner applies to it with written evidence that the Canada Revenue Agency has confirmed that the owner is a non-resident for the purposes of the federal tax legislation and, where that owner is an original owner who has a pension partner at the time when the application is made, if such a pension partner has executed a Form 5 waiver.

Life threatening condition

23 The LIRA issuer will on application make a lump sum payment to the owner of the entire LIRA balance or an equivalent series of payments if a physician certifies that the owner has a terminal illness or that due to a disability the owner's life is likely to be considerably shortened, but the LIRA issuer may make the payment or payments, in the case of an original owner who has a pension partner at the time when the application for payment is made, only if such a pension partner has executed a Form 5 waiver.

Financial hardship

24 The LIRA issuer will make a lump sum payment or a series of payments, on application to the LIRA issuer by the owner, if the owner has previously applied to the Superintendent for a release of all or part of the money due to financial hardship and the Superintendent has given written consent to that application.

Part X.1 of federal tax legislation

25 The owner may withdraw from this LIRA such amount of money as is required to be paid to the owner to reduce the amount of tax otherwise payable under Part X.1 of the federal Income Tax Act.

Form 2
(Section 40)

Employment Pension Plans Act
and Regulation (Alberta)

Life Income Fund (Alberta LIF) Addendum

IMPORTANT NOTES: This addendum forms an integral part of the LIF to which it is attached. The provisions of this addendum prevail over other provisions of the LIF in the event of any conflict or inconsistency. The LIF (including this addendum) is also subject to section 40 of the Regulation and all other provisions of the Act and the Regulation (excluding this addendum) that apply to LIFs and in the event of any conflict or inconsistency, that other legislation prevails. This addendum is only a general and abbreviated description of the legal rights and obligations relating to the LIF vehicle and as such may not necessarily reflect fully or accurately the rights and obligations in the legislation. It should be noted that there are transitional arrangements in place covering mainly the period between August 2006 and the end of 2007, that are not necessarily reflected in this addendum, and that also affect relationships with LRIFs.

I, (insert name of LIF owner) , (in this addendum referred to as "the owner") certify that I am

  the original owner*
  a surviving pension partner owner
  a non-member-pension partner owner
as defined in paragraph 1 of this addendum.
[Please tick the box that applies to you.]

With respect to Alberta locked-in money to which the LIF of which this addendum forms part applies, I, the owner, and we (insert name of acknowledged financial institution underwriter or depositary of the LIF) (in this addendum referred to as "the LIF issuer"), having signed the LIF agreement to which this addendum is attached, agree that the provisions set out in this addendum constitute fundamental terms of the contract between us and agree to comply with those provisions, subject to the above-mentioned legislation.
*As the original owner (if applicable) I have identified in that agreement any pension partner, as defined in paragraph (1)(1)(n) below, that I have at the time when this LIF is issued.

Part 1
General Provisions

Interpretation and requisites for LIF

1(1) The following terms, used in this addendum, have the meanings respectively given them as indicated below, except where the context otherwise requires:

(b) "acknowledged" means, in relation to a financial institution, currently acknowledged under section 38 of the Regulation in relation to LIFs or LIRAs, as applicable;

(i) that

(A) originally belonged to a member who terminated membership in Alberta,

(B) belongs to a surviving pension partner of

(I) a member who died while employed in Alberta,

(II) a former member who terminated membership while employed in Alberta, or

(III) the original owner of a LIRA,

and

(ii) with respect to which the locking-in requirements of the legislation are still required to be met;

(e) "DC RIA" (an acronym for defined contribution retirement income account) means an account created under defined contribution provisions of a pension plan that covers the benefits referred to in section 46(8) of the Act and that exists to provide retirement income under section 46.1 of the Regulation;

(f) "DC RIA benefits" means the benefits referred to in clause (e);

(g) "financial institution" means the issuer of a LIF (including this one) or a LIRA, as the case may be and, where the context relates to an annuity, includes an insurance business referred to in clause (d);

(h) "Form", followed by a number, means the form in Schedule 1 to the Regulation corresponding to that number;

(i) "non-member-pension partner owner" means a pension partner who owns this LIF as a result of the application of the marriage breakdown/matrimonial property order/agreement rules in EPPA/R;

(j) "Option",

(i) followed by the numeral "1", means the option in Part 1 of Form 6 agreeing to the unlocking of up to 50% of commuted value or the value of the vehicle account in question,

(ii) followed by the numeral "2", means the option in Part 1 of Form 6 giving up the right to receive the minimum 60% survivor payments, and

(iii) followed by the numeral "3", means the option in Part 2 of Form 6 giving up all rights as automatic designated beneficiary;

(l) "owner" means the original owner, a surviving pension partner owner or a non-member-pension partner owner;

(m) "paragraph" and "Part" mean a paragraph and a Part, respectively, of this addendum;

(n) "pension partner" means, in relation to an original owner,

(i) a person who, at retirement income commencement, was married to that original owner and had not been living separate and apart from that original owner for 3 or more consecutive years, or

(ii) if there is no such married person, a person, if there is any, who, immediately preceding that time, had lived with that original owner in a conjugal relationship

(A) for a continuous period of at least 3 years, or

(B) of some permanence, if there was a child of the relationship by birth or adoption,

but does not include any person who is not recognized as a spouse or common-law partner for the purposes of any provision of the federal income tax legislation respecting RRIFs;

(o) "retirement income commencement" means the time when the former member or original owner initially transferred the money from a pension plan or a LIRA to a LIF, a DC RIA or an LRIF (before its abolition);

(p) "surviving pension partner owner" means

(i) an individual who made a transfer of the money under section 39(6) of the Act, or

(ii) a surviving pension partner of the original owner.

(2) Terms used in this addendum and not defined in subparagraph (1) but defined generally in EPPA/R have the meanings assigned to them in EPPA/R.

(3) Reference in this addendum to the execution of a waiver also requires the provision of it to the applicable pension plan administrator or financial institution for it to be effective.

(4) This addendum has no effect as a part of a RRIF or a LIF unless and until

(a) the owner is at least 50,

(b) this addendum is attached to the RRIF,

(c) the issuer has made reasonable efforts to ascertain whether or not the original owner has a pension partner at the time the LIF would be established and, if so, his or her identity,

(d) if there is such a pension partner, that institution has received an executed Option 2 of the Form 6 waiver, and

(e) that waiver has been attached to the RRIF,

and the waiver referred to in clause (e) becomes part of the LIF on its being attached to the RRIF.

(5) The fiscal year of this LIF is the calendar year.

Voluntary disposition

2 In general, the owner may not assign or otherwise voluntarily dispose of this LIF or any rights or obligations under it to another person, but this is subject to the exceptions dealt with later.

Involuntary access

3(1) The money in this LIF may not be seized, attached or otherwise taken by another person, except that the money is subject to the provisions of the Maintenance Enforcement Act and the marriage breakdown rules.

(2) The exceptions referred to in subparagraph (1) will or may continue to apply if the money is transferred from this LIF to another financial vehicle.

General rule on early withdrawal, etc.

4 No early voluntary withdrawal, commutation or surrender of money in this LIF will be permitted except in accordance with Part 5 or the transitional (temporary) maximum 50% unlocking option in Schedule 1.1 to the Regulation.

Locking in

5 Money that is not Alberta locked-in money will not be transferred to or continue to be held in this LIF.

Investment

6 The money in this LIF will be invested in a manner that complies with the rules for the investment of RRIF money contained in the federal income tax legislation.

Minimum retirement income provision

7 All the money in this LIF, including investment earnings, is to be used to provide or obtain retirement income or an annuity that is required or permitted by EPPA/R.

Splitting of contract

8 This LIF, if not eligible for the payment allowed by paragraph 27, may not be split so as to change it into 2 or more LIFs, DC RIAs or annuities or any combination of them that would make any of them so eligible.

Disclosure statements

9 The LIF issuer will provide to the owner or, in the case of a deceased original owner, the designated beneficiary or estate, as the case may be,

(a) within 30 days after the beginning of each year, information on

(i) the amounts transferred into, the interest, gains and losses earned by, the payments made out of, and the fees charged against, this LIF during the previous year,

(ii) the LIF account balance at the end of the previous year,

(iii) the minimum amount that must be paid out of this LIF to the owner during the current year, and

(iv) the maximum amount that may be paid out during the current year, being the greatest of the amounts calculated in accordance with paragraph 20(1)(a), (b) and (c),

(b) if the owner makes a transfer specified in paragraph 11, a reconciliation of the LIF balance at the date of the transfer with the balance at the end of the immediately previous year, showing the amounts transferred into, the interest, gains and losses earned by, the payments made out of, and the fees charged against, this LIF in the intervening period, and

(c) where the owner receives a payment under Part 5 of this addendum, a reconciliation of the LIF balance at the date of payment with the balance at the end of the immediately previous year, showing the amounts transferred into, the interest, gains and losses earned by, the payments made out of, and the fees charged against, this LIF during the intervening period.

Part 2
Transfers In and Transfers and Payments Out

Transfer-in requirements

10(1) The LIF issuer

(a) warrants to the owner that it is, and will make every endeavour while this contract exists to remain, on the Superintendent's list of acknowledged financial institutions for LIFs, and

(b) will ensure that only Alberta locked-in money is transferred to this LIF.

(2) A transfer to this LIF may be made only from a pension plan, another LIF, a LIRA or an LRIF.

Transfers to other vehicles

11 A transfer of money from this LIF is permitted, but only permitted,

(a) to another LIF,

(b) to a DC RIA, or

(c) to an insurance business to purchase an annuity that, in the case of an original owner who had a pension partner at retirement income commencement, designates that pension partner as the beneficiary of any death benefit provided by the annuity unless the original owner has provided to the LIF issuer an executed Option 3 of the Form 6 waiver.

Transfer-out requirements

12(1) The LIF issuer will not transfer money from this LIF unless, to the extent applicable, it

(a) has ascertained that the transferee financial institution, if issuing a LIF, is on the Superintendent's acknowledgement list for LIFs,

(b) has ascertained that the transferee pension plan containing the DC RIA is registered under EPPA/R,

(c) has advised the transferee financial institution or pension plan administrator that the money being transferred is Alberta locked-in money,

(d) if the owner is an original owner who had a pension partner at retirement income commencement, provides the receiving financial institution or administrator with an executed Option 2 and, if applicable, Option 3 of the Form 6 waiver,

(e) if the transfer is to another LIF or to a DC RIA, provides that transferee with

(i) a copy of the information provided to the owner under paragraph 9(b), and

(ii) a copy of the decision made by the owner respecting the amount to be withdrawn during the current year.

(f) if the transfer is to an insurance business to purchase an annuity,

(i) has ensured that the vehicle is an annuity, and

(ii) if the owner is an original owner, provides to the insurance business a certified copy of an executed the Option 2 and, if applicable, the Option 3 of the Form 6 waiver,

and the LIF issuer will otherwise ensure that the EPPA/R rules on transfers out are obeyed.

Potential consequences of breach

13 If the LIF issuer disobeys any of the requirements in paragraph 12, it may have to fund the recipient vehicle (again if need be) to ensure that those entitled to the benefits of the recipient vehicle receive them in the form and manner required by EPPA/R.

General liability on payment out

14 If money is paid out to an individual person contrary to EPPA/R, the LIF issuer will ensure the provision of appropriate income to the owner, in accordance with EPPA/R, as if that legislation has not been breached.

Prohibition against double indemnity

15 Where the owner, as a result of EPPA/R, obtains, in effect, a double payment or a payment as well as a continuing interest in the LIF, the owner may be liable to repay amounts to which EPPA/R did not entitle him/her.

Federal tax legislation requirements

16 Without mention of other provisions of the federal tax legislation to which a transfer is or may be subject, any transfer made under paragraph 12 is subject to paragraph 146.3(2)(e.1) or (e.2) of the federal Income Tax Act.

Remittance of securities

17 Where this LIF holds identifiable and transferable investment securities, the transfers out referred to in this Part may, unless otherwise stipulated, at the option of the LIF issuer and with the consent of the owner, be effected by the remittance of any such securities.

Part 3
Payment Calculations

Commencement of income payment

18 The owner will be paid an income that will commence not later than the last day of the year following the year in which the LIF was established.

Establishment and alteration of income pay-out

19(1) Within 60 days after receipt of the information described in paragraph 9(a), the owner will establish and notify the LIF issuer in writing of the amount of income to be paid during the current year, except that if this LIF guarantees the rate of return of this LIF over a period that is greater than one year, then the owner may establish and notify, at the beginning of that period, the amount of income to be paid during any one or more of the years that end not later than the expiration of that period.

(2) The owner may, at any time during a year, change the amount of income to be paid provided that the amount will always result, by the end of the year, in a payment or payments that are at least equal to the minimum amount required by the federal tax legislation and that do not exceed the maximum amount calculated in accordance with paragraph 20(1).

Maximum income pay-out

20(1) Subject to subparagraph (2), the amount of income to be paid out during a year is not to exceed the greatest of

(a) M, with that symbol being calculated in accordance with the following formula:

M = C/F

where

C is the balance of the money in this LIF on the first day of the year, and

(i) an interest rate of not more than 6% per year, or

(b) the minimum amount required to be withdrawn in accordance with the federal tax legislation, and

(2) For the initial year of the payment out of income,

(a) the limit M is prorated in proportion to the number of months in the year in which this LIF was established divided by 12, with any part of an incomplete month counting as one month,

(b) the minimum amount to be paid, as referred to in subparagraph (1)(b), is set at zero, and

(c) investment gains referred to in subparagraph (1)(c) are 6% of the fair market value of this LIF prorated, where applicable, in proportion to the number of months in the year for which this LIF was established divided by 12, with any part of an incomplete month counting as one month.

Continuation of income payments

21 Subject to paragraph 19(2), if the money in this LIF is transferred to another LIF or to a DC RIA, payments to the owner will continue in the same manner as the owner selected at the beginning of the year of the transfer.

Additional transfers in

22(1) If, in any year, an additional transfer is made to this LIF and that additional transfer has never been under a LIF or a DC RIA before, an additional withdrawal is allowed in that year.

(2) The additional withdrawal will be calculated in accordance with paragraph 20(1) and prorated in accordance with paragraph 20(2) with respect to the amount that was transferred in.

Guarantee of rate of return over longer period

23 Where the exception in paragraph 19(1) applies, paragraphs 20, 21 and 22 apply with such modification as the circumstances require to determine, at the date of the beginning of the first year of the interval, the amount of income to be paid out for each year in that interval.

Part 4
Death of Owner

Deceased owners

25 Within 60 days after the delivery to the LIF issuer of the documents required by it following the death of the owner, the LIF balance will be paid

(a) if the deceased owner was the original owner with a surviving pension partner who had not executed the Option 3 of the Form 6 waiver, to that pension partner, or

(b) if the owner was someone other than that original owner, to the owner's designated beneficiary or, if there is no such designated beneficiary, the owner's estate.

Manner of payment

26 The money will be paid, under paragraph 25,

(a) as a cash lump sum, or

(b) subject to the federal tax legislation, in the case of a surviving pension partner and if that person so elects, to an RRSP or RRIF.

Part 5
Withdrawal, Commutation and Surrender

YMPE based lump sum payment

27 The LIF issuer will on application make a lump sum payment of the whole LIF balance,

(a) at any time if the LIF balance does not exceed 20% of the Year's Maximum Pensionable Earnings (YMPE) under the Canada Pension Plan for the year in which the application is made, or

(b) if the owner is at least 65 and the value of the LIF does not exceed 40% of the YMPE for the year in which the application is made.

Non-residency for tax purposes

28 The LIF issuer will make a lump sum payment of the entire LIF balance if the owner applies to it with written evidence that the Canada Revenue Agency has confirmed that the owner is a non-resident for the purposes of the federal tax legislation and, where that owner is an original owner who has a pension partner at the time when the application is made, if such a pension partner has executed a Form 5 waiver.

Life threatening condition

29 The LIF issuer will on application make a lump sum payment to the owner of the entire LIF balance or an equivalent series of payments if a physician certifies that the owner has a terminal illness or that due to a disability the owner's life is likely to be considerably shortened, but the LIF issuer may make the payment or payments, in the case of an original owner who has a pension partner at the time when the application for payment is made, only if such a pension partner has executed a Form 5 waiver.

Financial hardship

30 The LIF issuer will make a lump sum payment or a series of payments, on application to the LIF issuer by the owner, if the owner has previously applied to the Superintendent for a release of all or part of the money due to financial hardship and the Superintendent has given written consent to that application.

Part X.1 of federal tax legislation

31 The owner may withdraw from this LIF such amount of money as is required to be paid to the owner to reduce the amount of tax otherwise payable under Part X.1 of the federal Income Tax Act.

Form 3
(Section 39(5.1) of the Act and
sections 39 and 43(1))

Employment Pension Plans Act and Regulation

[Note: 1. In interpreting this waiver form, "pension" is to be taken as including an annuity or retirement income and "pension commencement" as including the commencement of the payment of an annuity or retirement income.

2. The Employment Pension Plans Regulation is Alberta Regulation 35/2000.]

Pension Partner Waiver of Pre-Pension
Commencement Death Benefit
under Pension Plan or LIRA

I,   (name)  , am a "pension partner" (as described below) of   (insert name of member/former member/original owner)   (in this waiver referred to as "the original plan member") who, at the time of my signing this waiver, is alive and has not commenced to receive a pension. The original plan member earned benefits under   (name of pension plan)  , a pension plan regulated in accordance with the Employment Pension Plans Act and Regulation (in this waiver referred to as "the legislation"). The money representing those benefits*
  remains in that pension plan (pension or retirement income payments not yet having commenced), or
  was transferred from that plan and is now in a LIRA.
[*  Please tick the box that applies to you.]

Being the original plan member's "pension partner" means that

(a) I am married to the original plan member and have not been living separate and apart from him or her for 3 or more consecutive years, or

(b) if paragraph (a) above does not apply to me and there is no other person to whom paragraph (a) applies, I have been living with the original plan member in a conjugal relationship for a continuous period of at least 3 years or, if there is a child of our relationship by birth or adoption, of some permanence.

I understand that if I do not execute this waiver and the original plan member dies before any form of pension is or commences to be paid (which time is in this waiver referred to as "pension commencement") and if I am a lawful pension partner of the deceased at his or her death, I am entitled to receive a pre-pension commencement death benefit under the legislation. That benefit,

(a) if being paid from a pension plan, is the value of the benefit at death, and

(b) if being paid from a LIRA, is the value of the LIRA account at death.

I understand that if I give up my pension partner right to receive any pre-pension commencement death benefit by signing this waiver, payment of that benefit will be made either to

(a) a beneficiary (excluding myself) designated by the original plan member, or

(b) the deceased's estate.

Nevertheless, I give up my right to receive the pre-pension commencement death benefit payment otherwise required by the legislation.

This waiver does not affect any rights that I could have arising as a result of any breakdown or potential breakdown in the relationship between the original plan member and myself.

I have chosen to sign this waiver and in so doing I give up my right to receive any pre-pension commencement death benefit payment and to any potential right that I may otherwise have under any designation of myself as beneficiary signed by the original plan member.

Certification

I certify that

(a) I have read this waiver and understand it or the potential results of my signing it,

(b) I have read the original plan member's most recent annual statement or a statement from the administrator/financial institution showing the balance in his or her account and know the approximate current value of the benefit I am giving up as a result of executing this waiver,

(d) the original plan member is not present while I am signing this waiver,

(e) I have obtained independent advice about the implications of signing this waiver,

(f) I realize that

(i) this waiver only gives a general description of the legal rights I have under the legislation, and

(ii) if I wish to understand exactly what my legal rights are, I must read the legislation applicable and, if necessary, consult a professional with pension expertise,

and

(g) I understand that I have the right to cancel this waiver at any time before the original plan member dies or is paid or commences to be paid the benefit.

Dated at (municipality) in the Province/Territory of this day of (month) , 20 (year) .

(signature of waiving pension partner)

I, (name of witness) , of (address of witness) do witness the signature of the pension partner who signed this waiver before me outside of the presence of the original plan member.

(signature of witness to signature of waiving pension partner)
(print full name of witness)

Form 4
(Section 40(4) and (4.2) of the Act and 43(2) and (3))

Employment Pension Plans Act and Regulation

[Note: The Employment Pension Plans Regulation is Alberta Regulation 35/2000.]

Pension Partner Waiver of Post-Pension
Commencement Benefits from a Defined
Benefit Portion of a Pension Plan

Part 1
Waiver of Minimum 60% Joint Life Pension

I, (name) , am a "pension partner" (as described below) of (insert name of member/former member) (in this waiver form referred to as "the member") who, at the time of my signing anything in this Form, is alive and is about to commence to receive a pension. The member earned benefits under defined benefit provisions of (name of pension plan) , a pension plan regulated in accordance with the Employment Pension Plans Act and Regulation (in this Form referred to as "the legislation"). The money representing those benefits remains in that pension plan.

Being the member's "pension partner" means that

(a) I am married to the member and have not been living separate and apart from him or her for 3 or more consecutive years, or

(b) if paragraph (a) above does not apply to me and there is no other person to whom paragraph (a) applies, I have been living with member in a conjugal relationship for a continuous period of at least 3 years or, if there is a child of our relationship by birth or adoption, of some permanence.

I understand that the legislation in general requires that the benefits earned under and paid from the pension plan must be paid as at least a 60% joint life pension. This means that if the member starts to receive a pension and dies before I do, survivor payments equal to at least 60% of it will continue to me for my lifetime.

However, I understand that if I choose to sign this Part (Part 1) of this Form and it is filed with the administrator, I give up my rights to the minimum 60% joint life pension. I further understand that my signing this Part 1 means that the member may choose a pension form that

(a) gives me a lower survivor benefit than the 60% joint life pension,

(b) provides a lump sum death benefit for which I will be the beneficiary unless I also waive my entitlement to it by executing Part 2 of this Form, or

Nevertheless, I give up my right to receive the minimum 60% joint life pension otherwise required by the legislation.

This Part does not affect any rights that I could have arising as a result of any breakdown or potential breakdown in the relationship between the member and myself.

I have chosen to execute Part 1 of this Form and in so doing I give up my right to receive the 60% joint life pension. By executing this Part 1 of the Form, I do not give up any potential right that I may otherwise have under any designation of myself as beneficiary signed by the member.

Certification as to Part 1

I certify that

(a) I have read Part 1 of this Form and understand it or the potential results of my signing it,

(b) I have read the member's retirement statement or a statement from the administrator showing the balance in his or her account and know the approximate current value of the benefit I am giving up as a result of executing this Part (Part 1) of this Form,

(d) the member is not present while I am signing this Part,

(e) I have obtained independent advice about the implications of signing Part 1,

(f) I realize that

(i) Part 1 only gives a general description of the legal rights I have under the legislation relating to Part 1, and

(ii) if I wish to understand exactly what my legal rights are, I must read the legislation applicable and, if necessary, consult a professional with pension expertise,

and

(g) the information that I have given in this Part is true, to the best of my knowledge, at the time when I sign this Part but, if any of that information changes before the member dies or receives or commences to receive the benefit, whichever happens first, I undertake that I will immediately notify the administrator of that change.

Dated at (municipality) in the Province/Territory of this day of (month) , 20 (year) .

(signature of waiving pension partner)

I, (name of witness) , of (address of witness) do witness the signature of the pension partner who signed this Part (Part 1) of this Form before me outside of the presence of the member.

(signature of witness to signature of waiving pension partner)
(print full name of witness)

Part 2
Waiver of Sole Designated Beneficiary Rights

[NOTE: Before signing this Part, please consider all of the following:

  If you have signed Part 1 of this Form above, you may, but do not have to, sign this Part (Part 2).
  You may not sign Part 2 unless you have signed Part 1.
  You may not sign Part 2 if the original plan member has selected any joint life form of pension.
  You do not have to sign Part 2 at the same time as you sign Part 1, but may do it at any time before the member dies.
  If you have previously signed Part 2, you may cancel it at any time before the member dies.]

I am and was, at the time of pension commencement a "pension partner", as defined in Part 1 above, of the member referred to in Part 1.

The money representing the residual benefit referred to in the next paragraph remains in the pension plan referred to in Part 1.

I understand that, although I have given up my rights to the minimum 60% joint life pension by signing Part 1 above, the legislation makes me the automatic sole designated beneficiary of the member, meaning that I would receive any residual benefit from the plan on the member's death unless I sign the waiver in this Part (Part 2).

Nevertheless, in addition to giving up my right to the minimum 60% joint life pension (as I have done in Part 1), I also give up all my rights as such automatic designated beneficiary and, as a result, all other benefits or entitlements that I have or may have under the plan.

This Part does not affect any rights that I could have arising as a result of any breakdown or potential breakdown in the relationship between the member and myself.

I have chosen to execute Part 2 of this Form and in so doing I give up my entitlement to be the sole designated beneficiary with respect to any death benefit payable from the plan.

Certification as to Part 2

I certify that

(a) I have read Part 2 of this Form and understand it or the potential results of my executing it,

(d) the member is not present while I am signing this Part,

(e) I have obtained independent advice about the implications of signing Part 2,

(f) I realize that

(i) Part 2 only gives a general description of the legal rights I have under the legislation relating to Part 2, and

(ii) if I wish to understand exactly what my legal rights are, I must read the legislation applicable and, if necessary, consult a professional with pension expertise,

(h) I understand that I have the right to cancel this waiver I have signed in this Part (Part 2) at any time before the member dies.

Dated at (municipality) in the Province/Territory of this day of (month) , 20 (year) .

(signature of waiving pension partner)

I, (name of witness) , of (address of witness) do witness the signature of the pension partner who signed this Part (Part 2) of this Form before me outside of the presence of the member.

(signature of witness to signature of waiving pension partner)
(print full name of witness)

Form 5
(Section 46(5) of the Act and sections 32(1.1),
39(23), 40(26), 41(6) and 43(4))

Employment Pension Plans Act and Regulation

Pension Partner Waiver to Permit
Commutation due to Shortened Life or
Taking Non-residency Status

  remains in that pension plan, or
was transferred from that plan and is now in
  a LIRA, or
  a LIF.
[*  Please tick the box that applies to you.]

Being the original plan member's "pension partner" means that

(a) I am married to the original plan member and have not been living separate and apart from him or her for 3 or more consecutive years, or

I understand that, as a pension partner of the original plan member, I am

(a) if the original plan member dies before pension commencement, entitled to receive the amount then held for his or her benefit in the pension plan or LIRA, as the case may be, unless I have previously given up that entitlement under the waiver in Form 3 in the Employment Pension Plans Regulation,

(b) if the original plan member dies after pension commencement, the beneficiary of a 60% joint life pension unless I have previously given up that entitlement under the waiver in Part 1 of Form 4 or Option 2 of the Form 6 waiver, as applicable, in the Employment Pension Plans Regulation, and

(c) even if I sign the Part 1 of the Form 4 waiver or the Option 2 waiver noted in paragraph (b) above, entitled to continue to be the beneficiary of any residual benefit from the pension plan unless I also sign Part 2 of that Form 4 or the Option 3 of the Form 6 waiver, as applicable.

I further understand that if I choose to sign this waiver and it is filed with the administrator/financial institution, I give up all entitlement to any benefit, as described in the preceding paragraph, from the pension plan, LIRA or LIF, as the case may be.

Nevertheless, I give up my right to receive the benefit otherwise required by the legislation.

This waiver does not affect any rights that I could have arising as a result of any breakdown or potential breakdown in the relationship between the original plan member and myself.

I have chosen to sign this waiver and in so doing I give up any and all of my entitlement to any death benefit payment.

Certification

I certify that

(a) I have read this waiver and understand it or the potential results of my signing it,

(d) the original plan member is not present while I am signing this waiver,

(e) I have obtained independent advice about the implications of signing this waiver,

(f) I realize that

(i) this waiver only gives a general description of the legal rights I have under the legislation, and

(ii) if I wish to understand exactly what my legal rights are, I must read the legislation applicable and, if necessary, consult a professional with pension expertise,

and

(g) the information that I have given in this waiver is true, to the best of my knowledge, at the time when I sign this waiver but, if any of that information changes before the original plan member makes the election to commute his or her pension or part of it or dies, whichever happens first, I undertake that I will immediately notify the administrator or financial institution of that change.

Dated at (municipality) in the Province/Territory of this day of (month) , 20 (year) .

(signature of waiving pension partner)

I, (name of witness) , of (address of witness) do witness the signature of the pension partner who signed this waiver before me outside of the presence of the original plan member.

(signature of witness to signature of waiving pension partner)
(print full name of witness)

Form 6
(Sections 39, 40, 41, 43(2) and (3) and 46.1)

Employment Pension Plans Act and Regulation

[Note: 1. In interpreting this Form, "pension" is to be taken as including an annuity or retirement income and "pension commencement" as including the commencement of the payment of an annuity or retirement income.

2. The Employment Pension Plans Regulation is Alberta Regulation 35/2000.]

Pension Partner Waiver on
Transfer to a LIF, DC RIA or Annuity

Part 1
Waiver of Up to 50% Unlocking, Minimum 60%
Joint Life Pension/Retirement Income

I, (name) , am a "pension partner" (as described below) of (insert name of member/former member/original owner) (in this waiver form referred to as "the original plan member") who, at the time of my signing anything in this Form, is alive and is about to transfer money, as mentioned below.

Being the original plan member's "pension partner" means that

(a) I am married to the original plan member and have not been living separate and apart from him or her for 3 or more consecutive years, or

The original plan member earned benefits under (name of pension plan) , a pension plan regulated in accordance with the Employment Pension Plans Act and Regulation (in this Form referred to as "the legislation"). The money representing those benefits*

remains in the pension plan, or

  was transferred from that plan and is now in a LIRA,
and is about to be transferred to
  a LIF,
  a DC RIA, or
  an annuity.

[* Please tick the box that applies to you.]

I understand that the legislation requires that

(a) in general, all of the money in the pension plan or LIRA account must be used to purchase a pension, and

(b) the pension must be paid in the form of a joint life pension with at least a 60% survivor pension from the pension plan or through the purchase of an annuity in that form from an insurance business, which means that if the original plan member starts to receive a pension and dies before I do, survivor payments equal to at least 60% of the original payments will continue to me for my lifetime.

I further understand that if I agree to give up my rights under the legislation by signing this waiver under this Part (Part 1), the legislation permits the original owner

(a) to unlock up to 50% of the money in the pension plan or LIRA account and to receive that unlocked money in cash or as a transfer to an RRSP or RRIF, in which case I may receive no benefit from that money, and

(b) to choose a form of pension that would no longer guarantee that I will receive the minimum 60% survivor payments on the death of the original plan member.

Understanding this, by exercising
Option 1,
I agree to the unlocking of up to 50% of the pension/LIRA account money, and

Option 2,
I give up my right to receive the minimum 60% survivor pension or annuity that the legislation otherwise requires to be paid to me.

(Please tick one or both or neither of the boxes, according to your intentions. If you tick a box, this indicates that you wish to give up that right. Part 1 must be completed as a whole at one time, at the time when the LIF is first purchased. You may not exercise one Option in this Part at one time and the other at a later time.)

This waiver form does not affect any rights that I could have arising as a result of any breakdown or potential breakdown in the relationship between the original plan member and myself.

I have chosen to execute this waiver form and in so doing I give up the right(s) that I have checked off above.

Certification as to Part 1

I certify that

(a) I have read this Form and understand it or the potential results of my signing it,

(b) I have read the original plan member's retirement statement or a statement from the administrator/financial institution showing the balance in his or her account and know the approximate current value of the benefit I am giving up as a result of executing this Form,

(d) the original plan member is not present while I am signing this Form,

(e) I have obtained independent advice about the implications of waiving each of the items listed in this Form,

(f) I realize that

(i) this Form only gives a general description of the legal rights I have under the legislation, and

(ii) if I wish to understand exactly what my legal rights are, I must read the legislation applicable and, if necessary, consult a professional with pension expertise,

and

(g) the information that I have given is true, to the best of my knowledge, at the time when I sign this Form but, if any of that information changes before the original plan member dies or receives or commences to receive the benefit, whichever happens first, I undertake that I will immediately notify the administrator or financial institution of that change.

Dated at (municipality) in the Province/Territory of this day of (month) , 20 (year) .

(signature of waiving pension partner)

I, (name of witness) , of (address of witness) do witness the signature of the pension partner who signed this waiver before me outside of the presence of the original plan member.

(signature of witness to signature of waiving pension partner)
(print full name of witness)

Part 2
Waiver of Sole Designated Beneficiary Rights

[NOTE:  Before signing this Part, please consider all of the following:
  If you have signed Part 1 of this Form above, you may, but do not have to, sign this Part (Part 2).
  You may not sign Part 2 unless you have signed Part 1.
  You may not sign Part 2 if the original plan member has selected any joint life form of pension.
  You do not have to sign Part 2 at the same time as you sign Part 1, but may do it at any time before the member dies.
  If you have previously signed Part 2, you may cancel it at any time before the member dies.]

I am and was, at pension or retirement income commencement a "pension partner", as defined in Part 1 above, of the member referred to in Part 1.

The money representing the residual benefit referred to in the next paragraph remains in the pension plan referred to in Part 1 or was transferred as mentioned in that Part.

I understand that, although I have given up my rights to the minimum 60% joint life pension by executing Part 1 above, the legislation makes me the automatic sole designated beneficiary of the original plan member, meaning that I would receive any residual benefit from the plan, LIRA, LIF, DC RIA or annuity (as the case may be) on the member's death unless I sign the waiver in this Part (Part 2).

Option 3
Nevertheless, in addition to giving up my right to the minimum 60% joint life pension (as I have done in Part 1), I also, by exercising Option 3, give up all my rights as such automatic designated beneficiary and, as a result, all other benefits or entitlements that I have or may have under the plan.

This Part does not affect any rights that I could have arising as a result of any breakdown or potential breakdown in the relationship between the member and myself.

I have chosen to execute Part 2 of this Form and in so doing I give up my entitlement to be the sole designated beneficiary with respect to any death benefit payable from the plan.

Certification as to Part 2

I certify that

(a) I have read Part 2 of this Form and understand it or the potential results of my executing it,

(d) the member is not present while I am signing this Part,

(e) I have obtained independent advice about the implications of signing Part 2,

(f) I realize that

(i) Part 2 only gives a general description of the legal rights I have under the legislation relating to Part 2, and

(ii) if I wish to understand exactly what my legal rights are, I must read the legislation applicable and, if necessary, consult a professional with pension expertise,

(h) I understand that I have the right to cancel this waiver I have signed in this Part (Part 2) at any time before the member dies.

Dated at (municipality) in the Province/Territory of this day of (month) , 20 (year) .

(signature of waiving pension partner)

I, (name of witness) , of (address of witness) do witness the signature of the pension partner who signed this Part (Part 2) of this Form before me outside of the presence of the member.

(signature of witness to signature of waiving pension partner)
(print full name of witness)

Schedule 1.1
(Section 68(6))
Up to 50% Unlocking Option

Interpretation

1 In this Schedule,

(a) "eligible person" means a person who is eligible under section 3 to unlock;

(b) "unlock" means exercise the unlocking election;

(d) "vehicle" means

(i) the non-DC RIA portion of a plan, to the extent that it permits portability to a LIF, DC RIA or annuity,

(ii) a LIRA,

(iii) a LIF, or

(iv) an LRIF.

Rights to unlock

2(1) A vehicle must provide that an eligible person is entitled to elect to withdraw from the vehicle such amount, not exceeding 50% of the vehicle's commuted value or the value of that person's vehicle account as the case may be, as is specified in the unlocking election, in the circumstances prescribed in provisions of this Regulation outside this Schedule.

(2) Notwithstanding subsection (1), if an eligible person who is a former member or original owner has a pension partner when the unlocking election is exercised, that person is not entitled to withdraw the money, and the administrator or financial institution shall not allow the withdrawal, unless the pension partner has exercised Option 1.

(3) Rights purportedly given by any other provisions referred to in subsection (1) are subject to any restrictions on those rights contained in this Schedule.

Eligible persons

3(1) Subject to sections 2(2) and 4, a person is eligible to unlock if and only if that person has attained the age of 50 years and

(a) where the vehicle is the non-DC RIA portion of a plan, that person is entitled to elect and has elected to transfer money to a LIF, annuity or DC RIA, and

(i) is a former member,

(ii) is a surviving pension partner of a deceased member or former member who died prior to pension commencement, or

(iii) is a pension partner of a member or former member to whom Parts 4 of the legislation apply, where the period of joint accrual referred to in section 57(a) of this Regulation ended before that election to transfer money,

and who is entitled to elect and has elected to transfer the money to a LIF or an annuity, if the plan so permits, or to a DC RIA,

(b) where the vehicle is a LIRA, is an original owner or a surviving pension partner or a non-member-pension partner who is entitled to make and is making an election to commence to receive retirement income or an annuity, or

(c) in the case of a LIF or LRIF, is an original owner or a surviving pension partner or a non-member-pension partner owner.

(2) Notwithstanding anything in subsection (1), unlocking may not be effected where pension commencement or retirement income commencement has already taken place before the unlocking election except with respect to LIFs and LRIFs that were established before the commencement of this subsection.

Making of unlocking election

4 An unlocking election may only be exercised in writing

(a) in the case of the non-DC RIA portion of a plan, at the time when the eligible person elects to transfer money as mentioned in section 3(1)(a),

(b) in the case of a LIRA, at the time when the eligible person elects to commence to receive retirement income, or

Manner of payment

5 Payment of the money withdrawn is to be in the form of

(a) cash,

(b) a transfer to an RRSP, or

at the option of the eligible person.

Chronology and irrevocability of elections

6(1) Where an eligible person elects to exercise the 50% unlocking option, the money withdrawn must be paid before any transfer of the remaining money not being withdrawn is made.

(2) Elections referred to in section 4(a) and (b) and unlocking elections must be made in writing and, once made and the unlocked money paid out, are irrevocable.

Deemed incorporation in vehicle

7 A vehicle is deemed to make the provisions provided for in this Schedule whether it actually does so or not, and those provisions prevail against any other provisions in the vehicle to the contrary.

Record keeping, reporting and provision of waiver copies

8(1) Where the vehicle is a LIF or an LRIF, the financial institution effecting an unlocking shall

(a) keep a full record of the unlocking,

(b) provide the financial institution to whom the transfer of locked-in money is made with full written details of the unlocking, and

(c) if the unlocking involves a waiver referred to in section 2(2), provide the transferee financial institution with a certified copy of that waiver.

(2) A transferee financial institution referred to in subsection (1) shall keep a written record of the unlocking or a copy of the waiver, as the case may be and shall not offer the 50% unlocking option.

LRIF recording of withdrawals

9 If the owner of an LRIF elects to exercise the 50% unlocking option, the amount that may be withdrawn is based on the balance in the LRIF immediately before the 50% unlocking election is made, and where that option is exercised, the LRIF institution within the meaning of section 41(4) shall record the withdrawal and advise the transferee financial institution that the withdrawal was made before transferring money to it.

Transitional

10 Notwithstanding section 2, all vehicles are deemed, from the commencement of this Schedule until the end of 2007, to contain the provisions required by that section, whether they are so contained or not.

63 Schedules 2 and 3 are repealed and the following is substituted:

Schedule 2
(Section 38(2))

Application for Inclusion on the List
of Acknowledged Financial Institutions

I hereby apply to have the following financial institution, on its behalf and on the basis of this application (including the certification below), acknowledged under section 38 of the Employment Pension Plans Regulation and placed on the Superintendent's list of financial institutions to issue and administer
Locked-in Retirement Accounts (LIRAs), and/or
Life Income Funds (LIFs).
[Check one or both, as applicable.]

Financial Institution Information

1 (name of financial institution)

2 (name of authorized signing officer)

3 (title of authorized signing officer)_

4 (mailing address)

5 (telephone number) (fax number)

6 (e-mail address)

Certification

I hereby certify that

(a) an addendum in the exact wording prescribed in Form 1/Form 2 (as applicable) of Schedule 1 to the Employment Pension Plans Regulation (with the appropriate box ticked by the owner) will form a part of every LIRA/LIF issued by that financial institution, regardless of when it was issued,

(b) a copy of the addendum will be given to each LIRA/LIF owner in accordance with the legislation,

(c) each addendum will be amended as and when the prescribed form for that addendum is legislatively amended and a copy of the amended addendum or the amendments given to all affected LIRA/LIF owners,

(d) the money held in the LIRA/LIF will be administered in accordance with the legislation, and

(e) in the case of a LIF issued to an original owner and if applicable, the part of the LIF to which the addendum is attached identifies any pension partner, as required by the asterisked part near the beginning of the addendum.

(signature of authorized signing officer) (date)

64 Schedule 4 is amended

(a) by striking out "(Section 41.1)" and substituting "(Sections 41.1 and 46.2)";

(b) in section 1(1)

(i) in clause (j) by striking out "39(2), 40(2) or 41(2)" and substituting "2(1)(p.1)";

(ii) in clause (k) by adding ", at the time of the application" after "any";

(iii) in clause (m) by striking out ", LRIF";

(c) in section 3

(i) by adding the following after subsection (1):

(1.1) Only 2 applications may be made in any period of 12 months.

(ii) in subsection (5) by striking out ", LIF or LRIF" and substituting "or LIF";

(d) in section 5(1)(g) by striking out "Customs and";

(e) in section 5(7)(d) by striking out "Child Welfare Act" and substituting "Child, Youth and Family Enhancement Act".

65 Sections 24, 42, 56(2)(b), 57(b), 58, 59, 60 and 67(9) are amended by striking out "member-pension-partner", "non-member-pension-partner", "non-member-pension-partner's", "member-pension-partner's" and "non-member-pension-partners" wherever they occur and substituting "member-pension partner", "non-member-pension partner", "non-member-pension partner's", "member-pension partner's" and "non-member-pension partners" respectively.

66(1) The Regulation as amended by the Employment Pension Plans (General, 2006) Amendment Regulation is amended by this section.

(2) Section 40(11) is amended

(a) by striking out ", a LIRA or an LRIF" and substituting "or a LIRA";

(b) by striking out "41,".

(3) Sections 4 of Forms 1 and 2 in Schedule 1 are amended by striking out "or the transitional (temporary) maximum 50% unlocking option in Schedule 1.1 to the Regulation".

(4) Subject to the continuing liabilities of the financial institution imposed, and the continuing rights of the Superintendent given, by sections 41 and 73.2, those sections are repealed at the end of the last transition period, within the meaning of section 41(4) and 73.2(2) respectively, applicable to the financial institution.

(5) Paragraph 10(2) of Form 2 is amended by striking out ", a LIRA or an LRIF" and substituting "or a LIRA."

(6) Schedule 1.1 is amended

(a) in section 1(d) by adding "or" at the end of subclause (i) and repealing subclauses (iii) and (iv);

(b) in section 3(1) by adding "or" at the end of clause (a), striking out ", or" at the end of clause (b) and repealing clause (c);

(c) in section 3(2) by striking out "except with respect to LIFs and LRIFs that were established before the commencement of this subsection.";

(d) in section 4 by adding "or" at the end of clause (a), striking out ", or" at the end of clause (b) and repealing clause (c);

(e) by repealing sections 8, 9 and 10.

67 The Employment Pension Plans Act is amended by adding the following after section 19(3):

(4) Notwithstanding subsection (3), the Superintendent may refuse to register a plan that is not registered under the tax Act.

68(1) Section 66(1) of the Employment Pension Plans Amendment Regulation (AR 245/2003) is amended by adding "(excluding clause (b))" after "(2)".

(2) Section 66(2) of the Employment Pension Plans Amendment Regulation (AR 245/2003) is amended by striking out "64(2) (excluding clause (a))" and substituting "64(2)(b)".

69(1) Section 58(b), to the extent that it incorporates section 68(6), and section 62, to the extent that it inserts Schedule 1.1 and Form 6 (to the extent that it relates to Option 1) into the principal Regulation, and provisions relying on the operation of Schedule 1.1 and those portions of Form 6, come into force on November 1, 2006.

(2) Section 61, to the extent that it inserts a new section 1(1) of Schedule 0.2 into the principal Regulation, is deemed to have come into force on January 1, 1997 to the extent that it relates to the City of Calgary Firefighters Supplementary Pension Plan.

(3) Section 66(2) and (5) come into force at the time referred to in section 66(4) as it applies in respect of section 41 of the principal Regulation.

(4) Section 66(3) and (6) come into force at the end of 2007.

(5) Section 68 is deemed to have come into force on December 30, 2002.

Form 4 (Section 40(4) and (4.2) of the Act and 43(2) and (3)) Employment Pension Plans Act and Regulation

Form 6 (Sections 39, 40, 41, 43(2) and (3) and 46.1) Employment Pension Plans Act and Regulation

Form 4
(Section 40(4) and (4.2) of the Act and 43(2) and (3))

Employment Pension Plans Act and Regulation

Form 6
(Sections 39, 40, 41, 43(2) and (3) and 46.1)

Employment Pension Plans Act and Regulation