87 Method of
payment of pensions
88 Idem ‑
conversion following death
89 Prohibition of
pension suspension
90.1 Exemption for
certain provincial supernumerary judges
90.2 Provincial
judges and masters in chambers - benefits
91 Continuation of
existing pensions and pension rights
Subdivision B
For Service After 1991
92 Interest
allowance
93 Co‑ordination
of certain pensions with C.P.P. and O.A.S.
94 Pension
commencement
95 Commencement of
guaranteed term of years
96 Requirement of
evidence
97 Transfer of
pensions under reciprocal agreements
98 Prohibition
against certain reciprocal transfers of service
99 Beneficiaries
100 Method of
payment of pensions
101 Idem ‑
conversion following death
102 Prohibition of
pension suspension
104 Continuation of
existing pensions and pension rights
Part 6
Miscellaneous
105 Interest
chargeable
106 Advance against
pension
107 Actuarial
formulas
108 Exercise of
benefit choice
109 Prohibition
against assignment, etc.
110 Overpayments
and deficiencies
111 Return of money
112 Retentions for
debt
Part 7
Transitional and Commencement Provisions
114 Transitional -
prior service provisions
115 Transitional -
spousal protection
116 Savings -
suspensions of pension
117 Commencement
Schedules
Application and
Interpretation
Application
1 This Regulation constitutes the major
part of the plan rules for the Management Employees Pension Plan (in these plan
rules referred to as “the Plan”).
Interpretation
generally
2(1) In
these plan rules,
(a) “Act”
means sections 1 to 12 of and Schedule 5 to the Public Sector Pension Plans
Act;
(b) “Act
Schedule” means the Schedule 5 referred to in clause (a);
(c) “actuarial
equivalent” means the equivalent in actuarial present value, as calculated by
the Plan’s actuary and approved in writing by the Minister;
(d) “actuarial
reserve” means the actuarial present value of benefits payable in the future in
respect of a period of service already performed, including the portion of
those benefits relating to expected future salary and cost‑of‑living
increases, as determined by the Plan’s actuary and approved by the Minister;
(e) “actuarial
valuation report” means a report prepared under section 5(1) of the Act
Schedule;
(f) “actuary”
means a Fellow of the Canadian Institute of Actuaries;
(g) “additional
contributions” means additional contributions under section 9 of the Act
Schedule;
(h) “benefit”
means a retirement benefit, a death benefit or a benefit on termination before
pension eligibility, under Part 5;
(h.1) “combined
pensionable service” means
(i) pensionable service, and
(ii) pensionable service (if any) under and within the meaning assigned
to that phrase in the related plan (and whether or not continuously performed)
provided that
(A) the person immediately became
(I) a participant of this Plan after ceasing to
be a participant (within that meaning) of the related plan, or
(II) a participant (within that meaning) of the
related plan after ceasing to be a participant of this Plan,
(B) he was employed by the same employer
immediately before and immediately after that event, and
(C) the event described in paragraph (A)
occurred after commencement,
regardless
of when that service was accumulated;
(h.2) “combined
pensionable service in the related plan” means combined pensionable service
described in clause (h.1)(ii);
(i) “commencement”,
except where it relates to a benefit, means January 1, 1994;
(j) “commuted
value” means the actuarial present value of accrued benefits, determined using
actuarial assumptions and methods recommended by the Canadian Institute of
Actuaries for the minimum transfer values of deferred pensions as at the date
provided for in this Plan, but including any such value to be determined on a
transfer under a new reciprocal agreement;
(k) “continuous
basis” means, in relation to employment, a basis where no date or event, other
than by reference to the attainment of the mandatory retirement age, if any,
fixed with reference to the employment, has been established for the
termination of the employment;
(l) “contributions”
means contributions, including additional contributions, under the Plan, and
includes any payment referred to in section 20(1)(d), before its repeal, or
section 20(1.1)(d) and contributions under the former Act that are of a nature
corresponding to those in question;
(m) “current
service contributions” means a participant’s contributions under section 13 or
14 or both, and includes current service contributions under and within the
meaning of the former Act;
(n) “dependent
minor child” means, in relation to a deceased, a minor child who
(i) was wholly or substantially supported financially by that other
person immediately before that person’s death, and
(ii) was not then married;
(o) “disability
plan” means a long term disability income continuance plan or program that
satisfies the criteria specified in section 5 and that is filed with the Minister,
or compensation for temporary total disability or temporary partial disability
referred to in section 51(7) of the Workers’ Compensation Act;
(p) “employee”
means
(i) a person who holds a position designated by an order of the
Minister (including an order under the former Act) as a management position or
who is so designated as an employee and is employed by an employer on a full‑time
continuous basis,
(ii) a person referred to in subclause (i) but who is employed by an
employer under a contract of service if that contract provides for
(A) his employment on a full‑time but not
a continuous basis, or
(B) his employment other than on a full‑time
basis where the regularly scheduled hours of work are not fewer than 14 hours
per week or 728 hours per year and the employment is on a continuous basis,
and the employer,
pursuant to his established policy for pension coverage of persons or classes
of persons employed by him, applies to the Minister for the person’s
participation in the Plan, or
(iv) any person specified in section 3(1), (2) or (5) to be an
employee of an employer,
and includes a member of a
corporation specified in Part 3 of Schedule 2 so long as that corporation is an
employer, but does not include a person to whom the Universities Academic
Pension Plan, the Teachers’ Pension Plans Act or the Provincial
Judges and Masters in Chambers Pension Plan Regulation (Alta. Reg. 265/88)
applies or a member of the Legislative Assembly;
(q) “employer”
means the Government or any person who employs a participant or otherwise
occupies an employer or former employer relationship in relation to a person
who is or was a participant and, in relation to a person who is a participant
by virtue of being a member of a corporation, includes that corporation;
(r) “financing
rate” means, in relation to interest, the rate specified in section 105(3);
(s) “fiscal
year” means the fiscal year of the Plan provided for in section 6;
(t) “former
Act” means the Public Service Management Pension Plan Act and includes
the Public Service Management Pension Act or the corresponding
provisions of it, and the regulations under the Act in question;
(u) “full‑time
basis” means, in relation to an employment, a basis where the regularly
scheduled hours of work in the employment are not fewer than 30 hours per week;
(u.1) “Government”
means the Crown in right of the Province of Alberta in its capacity as an
employer;
(u.3) “latest
pension commencement date” means, in relation to a participant or former
participant whose pension has not yet commenced, the last moment as of which
that person is or was allowed to commence to receive the pension under the tax
rules;
(v) “leave
with partial salary” means a period of service
(i) during which a participant is, with the authority of his
employer, on leave from all or a portion of the regular duties of his
employment and is receiving remuneration that is less than regular salary from
his employer, including leave with partial pay under the former Act, and
(ii) that, if after 1991, is or was an eligible period of temporary
absence or an eligible period of reduced pay under and within the meaning of
the tax rules,
but does not include a
period during which he is in receipt of benefits under a disability plan;
(w) “leave
without salary” means a period of service during which a participant is, with
the authority of his employer, on leave from the regular duties of his
employment and is receiving no remuneration from his employer and includes
leave without pay under the former Act, but does not include a period during
which he is in receipt of benefits under a disability plan;
(x) “locked‑in
retirement account” means a registered retirement savings plan that meets the
conditions referred to in section 1(1)(s.1) of the Employment Pension Plans
Act;
(y) “matrimonial
property order” means a matrimonial property order within the meaning of the Matrimonial
Property Act, or a similar order enforceable in Alberta of a court outside
Alberta, that affects the payment or distribution of a person’s benefits;
(z) “new
reciprocal agreement” means a reciprocal agreement in respect of which all the
conditions specified in sections 84(2) and 97(2) had been fully met at the time
in question;
(aa) “old
reciprocal agreement” means a reciprocal agreement that is not a new reciprocal
agreement;
(bb) “participant”
means a person who is a participant of the Plan by virtue of Part 2;
(cc) “pension”
means a pension under the Plan;
(dd) “pension
commencement” means the time established by section 81 or 94 that constitutes
the effective date for the commencement of the relevant pension;
(dd.1) “pension
partner” means
(i) a person who, at the relevant time, was married to a participant
or former participant and
(A) was not judicially or otherwise separated from
him or her, or
(B) if so separated, was wholly or substantially
dependent on him or her,
(ii) if there is no person to whom subclause (i) applies, a person
who, as at and up to the relevant time, had lived with the participant or
former participant 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,
and was, during
that period or that relationship, as the case may be, held out by the participant
or former participant in the community in which they lived as being in that
conjugal relationship, or
(iii) if there is no person to whom subclause (i) or (ii) applies, a
person who was married to but separated from the participant or former participant
and not wholly or substantially dependent on him or her at the relevant time;
(iii) repealed AR 196/2006 s10;
(ee) “pensionable
salary” means the salary of a participant that is compensation within the
meaning of the tax rules, subject however to such limitation as is necessary to
ensure that the benefit accrual for the calendar year, being the amount of
benefit accrued in respect of that year’s pensionable service, as computed
under the tax rules, does not exceed the defined benefit limit fixed by the tax
rules for that year;
(ff) “pensionable
service” means, subject to clause (h.1) and to section 20, service in respect
of which contributions have been made under section 13, 14, 20 or 26 or section
14 or 16 of the former Act;
(gg) “prior
service” means any service other than
(i) that for which current service contributions are or were made, or
(ii) combined pensionable service in the related plan,
and includes service that
was prior service under the former Act;
(hh) “reciprocal
agreement” means a reciprocal or any other agreement entered into under section
84 or 97, and includes an order under section 10(1) of the Regulations or an
equivalent agreement or order under the former Act;
(ii) “registered”
means registered or accepted for registration under the Income Tax Act
(Canada);
(jj) “Regulations”
means the portion of the Public Sector Pension Plans (Legislative
Provisions) Regulation preceding the Schedules and Schedule 5 to that
Regulation;
(kk) “related
plan” means the Public Service Pension Plan;
(ll) “salary”,
subject to sections 29 and 30, means
(i) subject to subclause (ii),
(A) an employee’s gross basic pay
(B) repealed AR 144/2005 s2,
(C) repealed AR 69/2002 s2,
that is related to the
performance of the regular duties of the employment, or
(ii) in the case of an employee who is receiving benefits under a
disability plan or on leave without or with partial salary, the salary he was
earning immediately before he commenced to receive those benefits or went on
that leave, adjusted in accordance with any subsequent general adjustments in
respect of the period in question that are applicable to the class of employees
that he was then in,
but does not include any
expense allowance, overtime payment, special remuneration or other similar
compensation;
(mm) “salary
period” means the length of time, related to a recurring salary payment cycle,
for which an employee normally receives a payment of salary;
(nn) “service”
means
(i) any period that may be recognized as eligible service under the
tax rules, excluding any such period performed outside Canada that is not a
period of employment with an employer,
(ii) any other period before July 1, 2002 that was or is maintained as
pensionable service as the result of section 20(1.1)(b) or (c), and
(iv) combined pensionable service in the related plan;
(oo) repealed
AR 100/2002 s17;
(pp) “tax
rule excess” means any amount of money that, when a transfer is to be made from
the Plan to a registered retirement savings plan, exceeds that amount that
will, in the Minister’s opinion, be certain not to attract an income tax
penalty under the tax rules in respect of the transfer;
(qq) “tax
rules” means those provisions of the Income Tax Act (Canada) or of the
regulations under it, or of both, that apply to pension plans registered or to
be registered under that Act and includes any approval, certification or other
permission or any direction or order from the federal Minister of National
Revenue the absence of which or failure to comply with which may make the
Plan’s registration liable to revocation under that Act;
(rr) “termination”,
used in relation to a person, means that person’s ceasing to be an employee,
under any circumstances other than death;
(ss) “transfer”
or “transferred”, where used with reference to the transfer of money from the
Plan, means transfer or transferred (as the case may be) to another registered
pension plan, to a registered retirement savings plan, to a locked‑in
retirement account or to any other registered vehicle that is designed to
assist with retirement savings, to the extent, in the case of a transfer to a
registered retirement savings plan, that the amount transferred does not
constitute a tax rule excess and with any tax rule excess being paid to the
person entitled;
(ss.2) “vested”
means, in relation to a participant, having
(i) accumulated at least 5 years’ combined pensionable service, or
(ii) attained the age of 65 years;
(tt) “year’s
maximum pensionable earnings” means the Year’s Maximum Pensionable Earnings
within the meaning of the Canada Pension Plan (Canada).
(2) References in these plan rules to a section “of
the Act”, where there is no reference to the Act Schedule, are references to a
section of the Public Sector Pension Plans Act preceding Schedule 1 to
that Act.
AR 367/93
s2;184/96;151/98;7/2002;69/2002;100/2002;301/2003;108/2004;
144/2005;196/2006
Interpretation -
employee
3(1) For the purposes of the Plan, an employee who
commences to receive benefits under a disability plan remains, while receiving
those benefits, an employee of the employer who was employing him immediately
before that time.
(2) For the purposes of the Plan, an
employee who goes on leave without or with partial salary remains, while on
that leave, an employee of the employer who authorized that leave.
(5) A
person who has pensionable service that becomes combined pensionable service in
the related plan on joining the related plan nevertheless remains an employee
for the purposes of this Plan as well as being an employee for the purposes of
the related plan as long as he remains an employee within the meaning of the
related plan.
(6) Before
an employer makes an application under section 2(1)(p)(ii), he shall formulate
in writing a policy for determining, subject to that provision, the basis on
which persons are eligible to become employees by virtue of that provision, and
shall, on being requested to do so by the Minister, furnish the Minister
forthwith with a copy of that policy.
4 Repealed AR 69/2002 s3.
Interpretation -
disability plan
5 The criteria for disability plans
referred to in section 2(1)(o) are as follows:
(a) all
participants employed by an employer in a group specified by the Minister in
relation to the employer, except for those ineligible for coverage by reason of
not meeting the medical requirements, must be covered by the disability plan;
(b) a
participant must not be required to apply for a pension as long as he qualifies
for benefits under the disability plan.
Part 1
Administration
Fiscal year of Plan
6 The fiscal year of the Plan is the
calendar year.
Administration of the
Plan
7(1) The Minister is the administrator of the Plan.
(2) Notwithstanding
anything in the Plan except subsection (3), the Minister shall administer the
Plan in accordance with the tax rules.
(3) If
in any respect the Plan does not comply with the applicable tax rules, the
Minister may administer the Plan as if it were amended so to comply.
(4) In
administering the Plan, the Minister shall take into consideration applicable
general policy guidelines set for the purposes of section 3(2)(c) of the Act
Schedule.
Report to Board
8 The Minister shall provide to the Board,
at the request of the Board and at least semi‑annually, written reports
on the administration of the Plan and on the investment of the plan fund’s
assets.
Forms
9 The forms provided for by these plan
rules are those set out in Schedule 1.
Part 2
Participation
The participants
10 Subject to section 11, the following are
the persons who are to participate in the Plan:
(a) employees
holding positions in the public service of Alberta;
(b) employees
of a corporation listed in Part 1 of Schedule 2;
(c) employees
of
(i) any other Provincial corporation or Provincial committee, as
defined in the Financial Administration Act, or
(ii) another public body
that is listed in Part 2 of
Schedule 2;
(c.2) employees
who are employed by Edmonton School District No. 7 (known as “Edmonton Public
Schools”) and who were participants at the end of 1999 by virtue of section 117.2(5)
(repealed);
(c.3) employees
who are employed by Pembina Hills Regional Division No. 7 and who were
participants at the end of 1999 by virtue of section 117.3(5) (repealed);
(c.4) employees
who are employed by Lakeland College and who were participants of the Plan at
the end of 1999 by virtue of section 117.5(5) (repealed);
(c.5) employees
who are employed by the Provincial Mental Health Advisory Board (now known as
the Alberta Mental Health Board) and who were participants of the Plan at the
end of 1999 by virtue of section 117.6(5) (repealed);
(d) employees
holding positions in the Legislative Assembly Office who are not excluded from
participation by the terms and conditions of their employment;
(f) employees
in receipt of benefits under a disability plan;
(g) employees
on leave without or with partial salary;
(h) employees who immediately before
commencement were participating in the Plan under the former Act.
AR 367/93 s10;259/99
Exceptions to
participation
11 Section 10 does not apply to an employee
(a) after
the employee reaches his latest pension commencement date,
(b) who
reached that date before July 1, 2002,
(c) repealed
AR 301/2003 s57,
(d) who
is in receipt of a pension in respect of his own pensionable service,
(d.1) who
has ever been in receipt of any pension under this Plan, the Public Service
Pension Plan or the Public Service Management (Closed Membership) Pension Plan
after December 31, 2000, or
(e) who remains an employee by virtue of section
3(5).
AR 367/93 s11;326/2000;69/2002;288/2003;301/2003
Part 3
Funding
Disposition of
contributions
12 All contributions, with
interest, if any, shall be made and remitted to the Minister of Finance for
deposit under section 8(1) of the Act Schedule.
AR 367/93 s12;269/2002
Participant’s current
service contributions
13(1) Subject
to this section and section 14(1), a participant shall, at intervals coinciding
with the salary periods fixed by his employer with respect to him, make
contributions for current service for which he is receiving remuneration at the
rate of 10.50% of his pensionable salary.
(2) An
employer who is paying a participant’s remuneration is liable for the
remittance of the current service contributions under subsection (1), for which
purpose he may, if applicable, withhold those contributions from the
remuneration payments.
(3) Current
service contributions are not to be made
(a) after
the length of a participant’s combined pensionable service reaches 35 years, or
(b) at
all, if before becoming a participant of this Plan, the person accumulated
service that constitutes at least 35 years’ combined pensionable service under
these plan rules.
(4) Subject
to subsection (5), the Government shall pay the contributions required by
subsection (1) on behalf of a participant who is in receipt of benefits under
its disability plan.
(5) A participant who is in receipt of benefits
under the Government’s disability plan and who is also earning a salary under a
rehabilitation employment program shall make contributions in respect of that
salary.
AR 367/93
s13;196/2000;76/2003;46/2005
Participant’s
contributions respecting leave periods
14(1) A
participant who is performing service in the form of qualifying leave without
salary may have that service taken into account as pensionable service and, if
he wishes to do so, may make contributions pursuant to section 13(1) with
respect to that leave.
(2) Subject
to this section, a person who
(a) was
performing service in the form of qualifying leave without salary,
(b) wishes
to have any period of that qualifying leave taken into account as pensionable
service, and
(c) did
not make contributions under section 13(1) in respect of that period,
must make
contributions in respect of that period in accordance with this section at the rate
specified in section 13(1), with interest at the relevant rate.
(3) If
the required payment exceeds $500, the person may choose to make the payment by
instalments pursuant to sections 23 to 25 with interest at the financing rate,
as if it were prior service contributions, if he provides the Minister with a
completed election to do so in the form required by the Minister before May 1
of the year following the year in which the qualifying leave period terminated.
(4) If
the person does not choose to make the required payment in accordance with
subsection (3) or if the required payment does not exceed $500, he must make
the whole of the required payment, including interest, before the date referred
to in subsection (3).
(5) If
the person does not return to the employment at the end of the qualifying leave
period or returns to the employment but terminates it before the date referred
to in subsection (3), he must apply to the Minister to have the qualifying
leave period taken into account as pensionable service within 30 days of
termination or before the date referred to in subsection (3), whichever is
earlier, and must pay the whole of the required payment, with interest, within
90 days of being requested by the Minister to make payment.
(6) Where
an employer notifies the Minister that the terms and conditions of a qualifying
leave without salary have not been met, the participant’s contributions shall
be returned, with interest at the rate allowed under section 79 or 92 or that
person shall not be allowed to make the contributions, as the case may be, in
respect of the qualifying leave.
(7) Section
27 applies for the purposes of subsections (3), (4) and (5).
(8) In
this section, “qualifying leave without salary” or “qualifying leave” means any
period of leave without salary to the extent that the aggregate of
(a) all
the periods of leave without salary, both before and after the beginning of
January 1, 1992, and all unsalaried portions of periods of leave with
partial salary occurring after 1991, (excluding any period referred to in
clause (b)) does not exceed 5 years, and
(b) all the periods of parenting of an
individual, as that term is used in the
tax rules, occurring after June 30, 2002 does not exceed 3 years.
AR 367/93 s14;69/2002
Employer contributions
for current service
15(1) Subject
to subsections (2) and (3), whenever current service contributions are made,
the participant’s employer is liable to make contributions for the current
service at the rate of 18.0% of the participant’s pensionable salary.
(2) The
aggregate of the periods of leave without salary in respect of which an
employer is liable to make contributions is limited to one year less any
periods for which any other employers have been so liable.
(3) The
contributions required by subsection (1) are to be paid by the participant,
rather than the employer, where the service in question is leave without salary
beyond the limitation period referred to in subsection (2).
(4) Where contributions are returned under section
14(6), the Minister shall also return the corresponding contributions under
this section, with interest at the rate allowed under section 79 or 92 to the
person who paid them.
AR 367/93
s15;196/2000;76/2003;46/2005
Additional
contributions
16(1) Subject
to the Act and subsection (2), sections 13, 14 and 15, as they apply with
respect to contributions for current pensionable service, apply with respect to
additional contributions under section 9 of the Act Schedule.
(2) Additional
contributions are payable
(a) by
a participant at the rate of 0% of his pensionable salary, and
(b) by an employer at the rate of 0% of the
participant’s pensionable salary.
AR 367/93 s16;196/2000
Interest on unpaid or
unremitted contributions
17(1) Where
contributions under section 13, 14, 15 or 16 to be remitted by an employer are
not received by the Minister of Finance on or before the end of a period of 15
days following
(a) the
end of the salary period for which they are payable, or
(b) in
the case of contributions that are not regularly payable, the last date on
which they are payable,
the Minister of
Finance may charge the employer interest on those overdue contributions.
(2) Interest
charged under subsection (1) is payable at a rate per year equal to the prime
interest rate, according to the Canadian Imperial Bank of Commerce, on the
first banking day of each quarter, plus 2%.
(3) Where contributions that were liable to be
remitted by an employer under section 13 but were not withheld by the employer
are more than $500 in arrears, the Minister may enter into an arrangement with
a participant, former participant or the employer pursuant to sections 23 to
25, with interest at the financing rate, as if the contributions were prior
service contributions payable by a participant, for payment of the amount
owing.
AR 367/93 s17;269/2002
Prior service
contributions - evidence requirement
18 Before any contributions with respect to
prior service may be made, there must be provided to the Minister, so far as
applicable, the documents required by section 83(1) or 96 or both.
Transfer to combined
pensionable service plan
19 Where the circumstances prescribed with
reference to this section apply, the Minister shall, if the Board so approves,
transfer the amount so prescribed to the related plan representing the cost to
the related plan of applying the combined pensionable service provisions of the
plan rules of the 2 plans.
Part 4
Pensionable Service
Computation of
pensionable service
20(1.1) Subject
to this section and section 21(2), in computing the length of pensionable
service that a person accumulated, the following periods of service are the
periods to be taken into account:
(a) service
after June 30, 2002 with an employer in respect of which current service
contributions have been made;
(b) periods
before July 1, 2002 which, as at the end of June 30, 2002, had been acquired as
pensionable service;
(c) other
periods before July 1, 2002 in respect of which arrangements for payment had
been made before that date under the applicable provisions referred to in
sections 22 to 25 or arrangements referred to in section 26 had been made to
acquire those periods as pensionable service, and provided that those
arrangements and the rules of the Plan applicable to them continue after that
date to be adhered to without interruption;
(d) any
other service in respect of which arrangements for payment have been made after
June 30, 2002 on an actuarial reserve basis and the applicable terms and
conditions set out in sections 22 to 25 have been satisfied.
(3) Service
that is recognized as pensionable under any other registered pension plan under
which a person is receiving or is or will be entitled to receive a pension may
not be taken into account as pensionable service.
(4) Service
with respect to which the contributions made have been returned or paid to a
person or contributions or pension entitlements have been transferred out of
the Plan on a person’s behalf may not be taken into account as pensionable
service.
(5) Service
that falls within section 85 or 98 of the related plan may not be transferred
into the Plan under a reciprocal agreement as pensionable service.
(6) A
person may not be credited with more than one year’s pensionable service in
respect of service performed in a calendar year, regardless of the nature and
extent of the service so performed.
(7) Contributions
referred to in subsection (1.1)(d) are subject to any limitations imposed under
the applicable circumstances by the tax rules.
(8) Where service is performed on less than a full‑time
basis, the length of the service performed is to be prorated in determining the
length of the pensionable service accumulated.
AR 367/93
s20;7/2002;69/2002
Limit on pensionable
and combined pensionable service
21(1) The
aggregate of the periods that are to be taken into account in determining the
length of the combined pensionable service that a person has accumulated is not
to exceed 35 years.
(2) The
aggregate of the periods that are to be taken into account in determining the
length of the pensionable service that a person has accumulated is not to
exceed 35 years less any combined pensionable service in the related plan that
has been accumulated.
Requirement to apply
and make payments in time
22(1) Service
described in section 20(1.1)(d) may not be taken into account as pensionable
service unless the person entitled to have it taken into account applied to the
Minister in the form approved by the Minister, while a participant, as to the
amount of contributions required and has complied with section 23 and, where
applicable, sections 24 and 25.
(2) After receiving an application as to the amount
of contributions required, the Minister shall send the applicant a notice
advising of the required amount.
AR 367/93 s22;69/2002
Method of making lump
sum and instalment contributions - general provisions
23(1) Contributions
for service described in section 20(1.1)(d), except in the case of a payment
into the Plan under a reciprocal agreement, are to be made by lump sum payment,
by instalments withheld from remuneration or by annual instalments, but they
may be made only by lump sum payment if the required payment is $500 or less.
(2) In
the case of a lump sum payment, the required amount must be paid in full within
90 days of the date of the notice advising the person of the required amount.
(3) In
the case of payment by instalments withheld from remuneration, the participant
must authorize the withholding and the first payment must be withheld from the
participant’s remuneration and remitted to the Minister of Finance within 90
days of the date of the notice advising of the required amount, and the
required amount must be paid in full by regular instalments withheld from
remuneration in an amount that is not less than $50 per month and is in any case
at least sufficient to ensure full payment, with interest at the financing
rate,
(a) by
his latest pension commencement date,
(b) by
the date when the aggregate of the number of years of
(i) his combined pensionable service already accumulated,
(ii) all service being acquired by him, and
(iii) the pensionable service that will accumulate on a current basis
while the instalments are being made, assuming no change in employment,
will equal 35 years,
or
(c) in
10 years,
whichever comes first.
(4) In
the case of payment by annual instalments, the required amount must be paid in
full by annual payments each in an amount that is at least equal to 12 times
the minimum monthly payment specified in subsection (3), with the first
instalment being remitted to the Minister of Finance within 90 days of the date
of the notice advising the person of the required amount and the subsequent
annual instalments being payable on or before the anniversary of the due date
of the first instalment.
(5) Notwithstanding
a person’s having entered into arrangements to effect payment under subsection
(3) or (4), he may thereafter change the basis of instalment payments to that
provided for in subsection (4) or (3) respectively.
(6) Notwithstanding a person’s having entered into
arrangements to effect payment under subsection (3), (4) or (5), he may at any
time prepay the balance of the required amount or any portion of that balance,
without penalty.
AR 367/93
s23;69/2002;269/2002
Payment of balance on
termination
24(1) Notwithstanding
section 23, where a person terminates leaving contributions covered by section
20(1.1)(c) or (d) that are not fully paid, he must pay the full balance of the
required amount within 90 days after termination if he wishes the remaining
service to be taken into account as pensionable service.
(2) A person who is liable to make payments under
section 23 and who becomes a participant of the related plan nevertheless
continues to be liable and entitled to continue to make payments under sections
23 to 25 as if still a participant of this Plan.
AR 367/93 s24;69/2002
Effect of leave
without salary on instalment payments
25(1) Notwithstanding
section 23, a participant who goes on leave without salary and has previously
undertaken payments under section 23(3), (4) or (5) may
(a) continue
to make those payments, or
(b) without
affecting his liability to make the payments within the time limit that would
have applied had he not gone on that leave, cease to make those payments during
the leave period.
(2) Where
the participant has ceased to make payments under subsection (1)(b), he shall
recommence making them within 90 days after the end of the leave period and
make such further payments as the Minister considers necessary to ensure that
the time limit referred to in that clause is met.
Prior service
liability - continuation of arrangements under
former Act
26(1) Notwithstanding
anything in the Plan, a person who immediately before commencement was
participating in the Plan under the former Act and had previously made
arrangements for payment with respect to prior service under and within the
meaning of the former Act is to continue to make payments under those
arrangements under the same terms and conditions, including the rate of
interest, until payment is made in full, and the employer is liable to continue
to make those contributions, if any, with interest at the rate formerly
payable, in respect of that service, that the employer would have been liable
to make had the former Act been still in force.
(2) and (3) Repealed AR 69/2002 s10.
(4) A person who is liable to make payments under
section 26 and who becomes a participant of the related plan nevertheless
continues to be liable and entitled to continue to make payments under section
26 as if still a participant of this Plan.
AR 367/93 s26;69/2002
Cessation of prior
service arrangement payments
26.1 If a person to whom section
20(1.1)(c) applies ceases to make the required payments under the arrangements
referred to in that clause, section 27 applies and, on the crediting of service
under that section, the person is thereafter entitled to purchase the remainder
of the service not credited only pursuant to sections 20(1.1)(d) and 22 to 25.
AR 69/2002 s11
Partial credit of
partially paid service
27 Notwithstanding section 22(1),
where a person complied with the applicable provisions of sections 20(2), 23,
24 and 25 or section 26 except that he did not pay the whole of the required
amount, the Minister may take the service for which he has paid into account as
pensionable service.
AR 367/93 s27;69/2002
Interest on unpaid or
unremitted prior service contributions
28 Where contributions under or referred to
in section 20(1.1)(c) or (d) or 26 to be remitted by an employer are not
received by the Minister of Finance on or before the end of a period of 15 days
following
(a) in
the case of a lump sum payment, the last date on which it is payable,
(b) in
the case of instalments withheld from remuneration, the end of the salary
period for which they are payable, or
(c) in
the case of annual instalments, the applicable date referred to in section
23(4),
the Minister of
Finance may charge the employer interest on those overdue contributions at the
rate referred to in section 17(2).
AR 367/93
s28;69/2002;269/2002
Part 5
Benefits
Interpretation and
application of Subdivisions A
29(1) This
section applies with respect to the interpretation and application of
Subdivision A of any Division of this Part and, in any such Subdivision,
(a) “employee
contributions” means the following, so far as they relate to service that
occurred before 1992 and have not previously been returned, namely
(i) current service contributions,
(ii) contributions described in section 15(3),
(iii) contributions for prior service made by a participant, and
(iv) any part of a sum paid into the Plan under an old or a new
reciprocal agreement that is recognized by the Minister as employee
contributions,
whether those contributions
were made before or after January 1, 1992, and includes interest on those
amounts;
(b) “highest
average salary” means, subject to this section, the average
(i) of a person’s annual salaries in the 5 or, if less than 5, the
total number of consecutive years (whether before or after or partly before and
partly after the beginning of 1992) of the following service over which the
average of his salaries was the highest, namely
(A) his pensionable service for which current
service contributions were paid,
(A.1) his combined pensionable service in the
related plan for which current service contributions within the meaning of the
related plan were paid,
(B) any further service that would be
pensionable service referred to in paragraph (A) or combined pensionable
service referred to in paragraph (A.1), as the case may be, but only for its
exceeding the applicable limit established by section 21, and
(C) any service transferred into the Plan under
a reciprocal agreement and performed with a party to a reciprocal agreement,
or
(ii) if the person has not accumulated 5 such consecutive years, then,
in respect of other service not taken into account for the purposes of
subclause (i), of the highest of the remuneration on which the contributions
paid to establish that other service as pensionable service were based under
section 16(1)(b) of the former Act or section 26 or of the remuneration
implicit in the salary basis used in determining the actuarial reserve value,
excluding salary growth assumptions, paid to establish the service as
pensionable service under the relevant portions of section 20(1)(d) (before its
repeal) and section 20(1.1)(d) of these plan rules;
(c) “normal
pension” means a pension in the amount receivable under section 36(1) and in
the form specified in section 36(2)(a) or (b), depending on which of those clauses
applies to him;
(d) “years
of pensionable service” means the number of complete years and any fraction of
a remaining year of pensionable service.
(2) Except
where specifically stated, Subdivision A of any Division of this Part applies
only with respect to service that occurred before 1992, but this subsection
does not apply to the extent that a reference is made to combined pensionable
service.
(3) For
the purpose of determining the consecutive years referred to in subsection
(1)(b), breaks in service shall be disregarded.
(4) For
the purposes of subsection (1)(b)(i), the salary with respect to service that
has been transferred into the Plan under
(a) an
old reciprocal agreement is the remuneration reported as the person’s
remuneration by the other party to the agreement, or
(b) a
new reciprocal agreement is the remuneration on which contributions paid to
establish that service as pensionable service were based.
(5) In
determining the annual salary for the purposes of the calculation under subsection
(1)(b) of a person who has accumulated prorated pensionable service under
section 20(8), the person’s actual annual salary is to be annualized in
accordance with the following formula:
actual
annual salary earned X 1
decimalized
proportion of
pensionable
service
accumulated
to full length
of
service performed
(6) Where any combined pensionable service in the
related plan or any service that would be such but only for its exceeding the
applicable limit established by section 21 is to be taken into account for the
purposes of subsection (1)(b), “salary” is to be taken for that purpose as
referring to any salary (within the meaning of the related plan) earned while
that service was being performed.
AR 367/93
s29;69/2002;129/2004
Interpretation and
application of Subdivisions B
30(1) This
section applies with respect to the interpretation and application of
Subdivision B of any Division of this Part and, in any such Subdivision,
(0b) “employee
contribution excess” means an amount equal to the excess, if any, of the
employee contributions, other than additional contributions, over half the
commuted value as at the date provided for in this Plan;
(a) “employee
contributions” means additional contributions paid by a participant and, so far
as they relate to service that occurs after 1991 and have not previously been
returned, any contributions referred to in section 29(1)(a)(i) to (iv), and
includes interest on those amounts;
(b) “highest
average salary” has the meaning assigned to it by section 29(1)(b);
(c) “normal
pension” means a pension in the amount receivable under section 47(1) and in
the form specified in section 47(2)(a) or (b), depending on which of those
clauses apply to him;
(d) “years
of pensionable service” has the meaning assigned to it by section 29(1)(d).
(2) Except
where specifically stated, Subdivision B of any Division of this Part applies
only with respect to service occurring after 1991, but this subsection does not
apply to the extent that a reference is made to combined pensionable service.
(3) For
the purpose of determining the consecutive years for the purposes of subsection
(1)(b), breaks in service shall be disregarded.
(4) For
the purposes of subsection (1)(b), as it incorporates section 29(1)(b)(i),
section 29(4) applies.
(5) In
determining the annual salary for the purposes of subsection (1)(b), section
29(5) applies.
(6) Section
29(6) applies.
(7) In
determining salaries or the average of a person’s annual salaries for the
purposes of subsection (1)(b),
(a) the
salary in respect of any year after 1991 is to be taken to be pensionable
salary for the year in question, and
(b) a salary in respect of any year before 1992
that exceeds the amount that would have been required to produce the defined
benefit limit fixed by the tax rules for 1992 is deemed to be equal to that
amount.
AR 367/93 s30;151/98
Limitation of
benefits where obtainable under
Subdivisions A and B
32(1) Notwithstanding
anything in this Part, so far as applicable,
(a) where
more than one type of benefit is obtainable under Subdivision A or B of any
Division of this Part and benefits corresponding to those Subdivision A or B
benefits are also obtainable under Subdivision B or A thereof, as the case may
be, the person entitled is permitted to take only the one type of benefit under
the 2 Subdivisions,
(b) if
benefits under the 2 Subdivisions would otherwise be obtainable at or from
different times, the person may only take the benefits at or commencing from
one single time under the 2 Subdivisions, and
(c) where
different forms of pension may be selected, only one form of pension may be
selected under the 2 Subdivisions.
(2) The
taking of a pension in the form of a normal pension under Subdivisions A and B
of any Division of this Part is not to be considered as constituting different
forms of pension for the purposes of subsection (1).
Locking in - general
provisions
33(1) Where
money held in the Plan is locked in, the money is to be held in the Plan until
(a) it
is paid out in the form of a pension,
(b) it
is transferred from the Plan to a locked‑in retirement account pursuant
to a provision of this Part allowing a transfer, or
(c) it
is transferred from the Plan under a new reciprocal agreement pursuant to a
provision of this Part allowing such a transfer.
(2) Notwithstanding
anything in this Part, money that would otherwise be locked in or required to
be transferred to a locked‑in retirement account is not locked in
(a) to
the extent that it consists of a tax rule excess, or
(b) if
the lump sum amount is less than 4% of the year’s maximum pensionable earnings
for the year in which termination or death, as the case may be, occurred and
the benefit is not a pension.
Imposition of locking
in on other plans and vehicles
34(1) Notwithstanding
anything in this Part, where money that is locked in is to be transferred to a
locked‑in retirement account, it may be transferred only if the financial
institution or entity to which it is transferred receives it on a locked‑in
basis and the acceptance of the money, and any subsequent transfer of it, will
be the subject of a contract within the meaning of, and that is subject to,
section 39, 40 or 41 of the Employment
Pension Plans Regulation (Alta. Reg. 35/2000).
(2) When
a transfer of locked‑in money has been made in compliance with this
section or section 33(1)(c), all the liabilities of the Minister and of the
Plan with respect to the money become extinguished.
(3) To avoid doubt, where money has been
transferred from this Plan to a locked‑in retirement account, the Employment
Pension Plans Act and the regulations under it (and particularly their
spousal protection provisions) rather than these plan rules apply.
AR 367/93 s34;326/2000
Commuted value and
employee contribution excess
34.1(1) This
section applies where a provision of the Plan necessitates determination of the
commuted value of a person’s benefits or of an employee contribution excess.
(2) Commuted
value and employee contribution excess are
to be determined as of the date of pension commencement, termination
before eligibility for a pension or death before pension commencement, as the
case may be, except as provided for in subsection (3) or (4) or in section
84(2)(a)(i) or 97(2)(a).
(3) Where
there is a delay of more than one year between the date as of which the
commuted value or the employee contribution excess was determined and the date
of the transfer of the commuted value or the transfer or payment of that
excess, the Minister shall recompute the commuted value or excess as if never
originally done and as of the date when the transfer or payment, as the case
may be, is made, except where the commuted value or employee contribution
excess has to be computed for the purpose of a transfer under a reciprocal
agreement.
(4) Where
a participant terminates and opts to receive a pension under section 69(d) or
72(d)(i), or both, and an employee contribution excess is payable or
transferable, that excess is to be determined as at pension commencement.
(5) Where
commuted value is transferable, interest is to be added, at the rate that was
assumed in determining that commuted value, for the period of one year or less
between the date of the determination of the commuted value and the date when
the commuted value is transferred.
(6) Where
an employee contribution excess is payable or transferable, interest is to be
added for the period of one year or less between the date of the determination
of that excess and the date when that excess is paid or transferred.
(7) In this section, “employee contribution excess”
has the meaning assigned to it in section 30(1)(0b).
AR 151/98 s4;296/2002
Division 1
Retirement Benefits
Subdivision
A
For Service Before 1992
Limitation of benefits
to meet tax rules
35 Benefits that relate to
service that is pensionable under section 20(1.1) are limited to what is
allowed by the tax rules.
AR 367/93 s35;69/2002
Normal pension based
on age or service
36(1) A
person who terminates, is vested and has attained the age of 55 years is
entitled to receive a pension in the annual amount that is equal to 2% of his
highest average salary multiplied by the number of years of his pensionable
service or, if he has not yet attained the age of 65 years, the benefit
referred to in section 69(c).
(2) A pension under subsection (1) is
payable
(a) if
the pensioner did not have a pension partner at pension commencement or if he
did but a valid statutory declaration under section 37(3) was filed in respect
of his pension, for the life of the pensioner, or
(b) if
the pensioner did have a pension partner at pension commencement and such a
declaration was not filed in respect of his pension, in the form of a single
life pension, payable only for the life of the pensioner with the provision
that, if the pensioner dies survived by that person, the pension is payable to
that person for life in an amount equal to 3/4 of the pension that would have
been payable to the pensioner had he continued to live.
(5) Repealed
AR 129/2004 s3.
AR 367/93
s36;7/2002;301/2003;129/2004
Pension partner
protection
37(1) Notwithstanding
anything in the Plan except subsections (2) and (3) and section 34(3), a
pensioner who has a pension partner at pension commencement is deemed for the
purposes of the Plan to choose a pension in the form specified in section
36(2)(b).
(2) The
pensioner may select the form of joint life pension under section 38(1)(d) or
(f), with the pension partner at pension commencement as the designated
nominee, rather than that referred to in subsection (1).
(3) Subsections
(1) and (2) do not apply where there was filed with the Minister
(a) a
valid statutory declaration by the person who was the pension partner at
pension commencement in the form set out in, and signed in accordance with the
requirements of, Form 1 of Schedule 1,
(b) where
that person was a pension partner within the meaning of section 2(1)(oo)(iii)
and the circumstances described in subsection (6) apply, a valid statutory
declaration by the pensioner in the form set out in Form 2 of Schedule 1, or
(c) a
matrimonial property order.
(4) Notwithstanding
subsection (3), a declaration under that subsection is not valid if it is made
more than 90 days before pension commencement.
(5) A
pension payable under subsection (2) is in an amount that is the actuarial
equivalent of the pension payable in the form specified in section 36(2)(b).
(6) The
circumstances referred to in subsection (3)(b) are that
(a) the
pension partner was separated from the pensioner for at least 3 years prior to
pension commencement, and
(b) the Minister has not been notified in
writing that any matrimonial property proceeding designed to obtain a
matrimonial property order has been or is about to be commenced.
AR 367/93
s37;7/2002;296/2002;129/2004
Alternative forms of
pension
38(1) A
person who is entitled to receive a pension in the form specified in section
36(2)(a) is entitled, as an alternative, to select a form of pension from one
of the following:
(a) a
guaranteed term pension, payable for
(i) whichever term, being 5, 10 or 15 years, is selected by the
pensioner, or
(ii) his life,
whichever is the longer;
(c) repealed
AR 296/2002 s4;
(d) a
joint life pension, payable during the joint lives of the pensioner and a
nominee designated by the pensioner and which, after the death of either,
continues to be payable in the same amount as was payable
before the death, to the survivor for life and that is payable, in the event
that the survivor dies within 10 years of pension commencement, for the
remainder of the guaranteed term of 10 years from pension commencement;
(e) a
joint life pension, payable during the joint lives of the pensioner and a
nominee designated by the pensioner and which, after the death of either,
continues to be payable in the amount of 2/3 of the amount payable before the
death, to the survivor for life but that is payable, in the event that either
or both die within 10 years of pension commencement, for the remainder of the
guaranteed term of 10 years from pension commencement in the amount that was
payable immediately before the first death;
(f) a
single life pension, payable only for the life of the pensioner with the
provision that, if the pensioner dies survived by a nominee designated by the
pensioner, the pension is payable to that nominee for life in an amount equal
to 3/4 of the pension that would have been payable to the pensioner had he
continued to live, but that is payable, in the event that the
pensioner dies within 10 years of pension commencement, for the remainder of
the guaranteed term of 10 years from pension commencement in the amount that
was payable to the pensioner immediately before the death of the pensioner.
(2) Where
an alternative form of pension is selected under subsection (1), the pension is
in an amount that is the actuarial equivalent of the pension payable in the
form specified in section 36(2)(a).
(3) The nominee referred to in subsection (1)(d),
(e) or (f) must be eligible for post‑retirement survivor benefits under
and within the meaning of the tax rules.
AR 367/93
s38;69/2002;296/2002;129/2004
Pension after
reaching 69
40 A person who ceases to be a
participant or a participant of the related plan by reason only of reaching his
latest pension commencement date is to receive a normal pension.
AR 367/93
s40;69/2002;301/2003
Disability pensions
41(1) Subject
to subsection (3), a person who, before attaining the age of 55 years,
(a) is
vested,
(b) satisfies
the Minister that he has become totally disabled, and
(c) either
terminates and ceases to be a participant as a result of that disability or had
previously terminated and had elected to receive a deferred pension under
section 69(d),
becomes and, subject
to section 42, is entitled to receive a normal pension.
(2) Subject
to subsection (3), a person who, before attaining the age of 55 years,
(a) is
vested,
(b) satisfies
the Minister that he
(i) has become incapable of effectively performing the regular duties
of his work as a result of his mental or physical impairment, and
(ii) is not totally disabled,
and
(c) either
terminates and ceases to be a participant as a result of that impairment or had
previously terminated and had elected to receive a deferred pension under
section 69(d),
becomes and, subject
to section 42, is entitled to receive a pension in the form and in the amount
of a normal pension, reduced, however, in amount by 3/12 of 1% for each
complete month (with a proration for the additional portion, if any, of a
month) by which pension commencement falls short of his 55th birthday.
(3) A
person is not entitled to receive any pension if he is receiving benefits under
a disability plan.
(4) In this section and in section 42, “totally
disabled” means suffering from a physical or mental impairment that can
reasonably be expected to last for the remainder of the person’s lifetime and
that prevents the person from engaging in any gainful occupation.
AR 367/93 s41;301/2003
Disability pension
adjustments
42(1) Where
a person who has not yet attained the age of 55 years is in receipt of a
pension under section 41(1) and
(a) does
not submit the evidence required under section 83 of the continuing total
disability, or
(b) the
Minister finds that he is no longer totally disabled,
the Minister may have
his pension reduced to the amount provided for by section 41(2).
(2) Where
a person who has not yet attained the age of 55 years is in receipt of a
pension under section 41(2) and satisfies the Minister that he is totally
disabled, the Minister may upgrade his pension to a pension under section 41(1)
with effect from the date of his application for the upgrading.
(3) Where
a person who has not yet attained the age of 55 years is in receipt of a
pension under section 41(2) and the Minister is no longer satisfied that he is
eligible for the pension, the Minister may eliminate payment of the pension.
Postponement of
pension
43(1) A
person who is entitled to receive a pension under section 36 or 69(d) may
postpone commencement of the pension to any date up to his latest pension
commencement date.
(2) Whether
or not the person has taken any active steps to effectuate a postponement, the
pension becomes postponed when, and only when, it transpires that pension
commencement has not occurred at the date when, given the circumstances
described in the relevant enactment referred to in subsection (1), it would
have occurred.
(3) Subject
to subsection (3.1), when a pension that was postponed becomes payable, it is
to be in the form of a normal pension and in the amount that is the actuarial
equivalent of the normal pension that the person would have been entitled to
receive had the postponement not been made.
(3.1) A
person who makes the election under section 54(3.1) is entitled to receive,
instead of the amount specified in subsection (3),
(a) a
pension in the form and in the amount of a normal pension based, however, only
on pensionable service up to the effective date of the postponement, and
(b) a lump sum payment equal to the total
pension payments that would have been made during the period of the
postponement had the pension not been postponed.
AR 367/93 s43;69/2002
Failure to select
pension
44 A person who is requested in writing by
the Minister to make a choice of pensions and who fails to do so within 90 days
after the request is sent is deemed for the purposes of the Plan to have chosen
a pension in the form of a normal pension.
Death after
entitlement to section 36 pension
45 Where the deceased had terminated, had
become entitled to a pension under section 36 or had become so entitled but
only for postponing it, and died without having made a valid choice as to the
form of pension to be taken, the deceased is deemed for the purposes of the
Plan to have chosen,
(a) if
there is a surviving pension partner and no valid statutory declaration under
section 37(3) had been filed in respect of his pension, a pension in the form
specified in section 36(2)(b), or
(b) if there is no surviving pension partner or
if there is but a valid statutory declaration under section 37(3) had been
filed in respect of his pension, a guaranteed term pension referred to in
section 38(1)(a) on a 10‑year basis.
AR 367/93
s45;7/2002;129/2004
Subdivision B
For Service After 1991
Tax rule limitations on
benefits
46 Notwithstanding anything in the Plan but
without affecting any particular provision of the Plan further limiting
benefits, benefits are limited to what is allowed by the tax rules.
Normal pension based
on age or age and service
47(1) A
person who
(a) terminates,
(b) is
vested, and
(c) either
(i) has attained the age of 55 years with the sum of his age and
combined pensionable service amounting to not less than 80 years, or
(ii) has attained the age of 60 years,
is entitled to receive
a pension in the annual amount that is equal to 2% of his highest average
salary multiplied by the number of years of his pensionable service.
(2) A
pension under subsection (1) is payable
(a) if
the pensioner did not have a pension partner at pension commencement or if he
did but a valid statutory declaration under section 48(3) was filed in respect
of his pension, for the life of the pensioner or the term of 10 years,
whichever is the longer, or
(b) if
the pensioner did have a pension partner at pension commencement and such a
declaration was not filed in respect of his pension, in the form of a single
life pension, payable only for the life of the pensioner with the provision
that, if the pensioner dies survived by that person, the pension is payable to
that person for life in an amount equal to 2/3 of the pension that would have
been payable to the pensioner had he continued to live.
(6) The person entitled is also entitled to receive
the employee contribution excess.
AR 367/93
s47;7/2002;301/2003
Pension partner
protection
48(1) Notwithstanding
anything in the Plan except subsections (2) and (3) and section 34(3), a
pensioner who has a pension partner at pension commencement is deemed for the
purposes of the Plan to choose a pension in the form specified in section
47(2)(b).
(2) Section
37(2) applies, with the reference in it to section 38(1)(d) or (f) being taken
as a reference to section 49 as it incorporates section 38(1)(d) or (f).
(3) Section
37(3) applies.
(4) Section
37(4) applies.
(5) A
pension payable under subsection (2) is in an amount that is the actuarial
equivalent of the pension payable in the form specified in section 47(2)(b).
(6) Section 37(6) applies.
AR 367/93
s48;7/2002;296/2002;129/2004
Alternative forms of
pension
49(1) A person who is entitled to receive a pension
in the form specified in section 47(2)(a) is entitled, as an alternative, to
select any other form of pension from any of those provided for in section
38(1), (treating the reference in section 38(1)(f) to “3/4” as a reference to
“2/3”).
(2) Where an alternative form of pension is
selected under subsection (1), the pension is in an amount that is the
actuarial equivalent of the pension payable in the form specified in section
47(2)(a).
AR 367/93
s49;129/2004;221/2004
Pension on early
retirement
50(1) A
person who terminates, has attained the age of 55 years without meeting the
requirements of section 47(1)(c) and has accumulated at least 5 years’ combined
pensionable service, is entitled
(a) to
receive a pension in the form and in the amount of a normal pension, reduced,
however, in amount by 3/12 of 1% for each complete month (with a proration for
the additional portion, if any, of a month) by which pension commencement falls
short of the date when his future age and his accumulated combined pensionable
service to pension commencement, or his future age, would entitle him, if
instead he terminated at that future date, to a pension under section 47, or
(b) to
the benefit referred to in section 72(c).
(2) In
addition, the person is entitled to the employee contribution excess.
Pension after
reaching 69
51(1) Section
40 applies.
(2) In
addition, the person is entitled to the employee contribution excess.
Disability pensions
52(1) Section
41(1) applies, with references in it to sections 69(d) and 42 being taken as
references to sections 72(d) and 53 respectively.
(2) Subject
to subsection (3), a person referred to in section 41(2) (treating the
reference in it to section 69(d) as a reference to section 72(d)) becomes and,
subject to section 53, is entitled to receive a pension in the form and in the
amount of a normal pension, reduced, however, in amount by 3/12 of 1% for each
complete month (with a proration for the additional portion, if any, of a
month) by which pension commencement falls short of the date when his future age
and his accumulated combined pensionable service to pension commencement, or
his future age, would entitle him, if instead he terminated at that future
date, to a pension under section 47.
(3) Section
41(3) applies.
(4) Section
41(4) applies, with the reference in it to section 42 being taken as a
reference to section 53.
(5) In
addition, the person is entitled to the employee contribution excess.
Disability pension
adjustments
53(1) Where
a person who is not yet entitled to a pension under section 47 is in receipt of
a pension under section 52(1) and
(a) does
not submit the evidence required under section 96 of the continuing total
disability, or
(b) the
Minister finds that he is no longer totally disabled,
the Minister may have
his pension reduced to the amount provided for by section 52(2).
(2) Where
a person who is not yet entitled to a pension under section 47 is in receipt of
a pension under section 52(2) and satisfies the Minister that he is totally
disabled, the Minister may upgrade his pension to a pension under section 52(1)
with effect from the date of his application for the upgrading.
(3) Where
a person who has not yet attained the age of 55 years is in receipt of a
pension under section 52(2) and the Minister is no longer satisfied that he is
eligible for the pension, the Minister may eliminate payment of the pension.
Postponement of
pension
54(1) A
person who is entitled to receive a pension under section 47 or a normal
pension under section 72(d) may postpone commencement of the pension to any
date up to his latest pension commencement date.
(2) Section
43(2) applies.
(3) When
a pension that was postponed becomes payable and the person entitled has not
made an election under subsection (3.1), it is to be in the form of a normal
pension and
(a) if
pension commencement is on or before the date when the person attains the age
of 65 years, in the amount specified in section 47(1), or
(b) if
pension commencement is after that date, in the amount that is the actuarial
equivalent of the normal pension that the person would have been entitled to
receive had pension commencement occurred on the later of
(i) the date when the person attained the age of 65 years, and
(ii) the day after the person terminated.
(3.1) A
person to whom subsection (3) will (but for the making of an election under
this subsection) apply may, at any time before pension commencement, make an
election in the written form required by the Minister, that subsection (3) is
not to apply to him, in which case he is to receive
(a) a
pension in the form and in the amount of a normal pension based, however, only
on pensionable service up to the effective date of the postponement, and
(b) a
lump sum payment equal to the total pension payments that would have been made
during the period of the postponement had the pension not been postponed.
(4) Where a pension is postponed, any employee
contribution excess is payable at pension commencement.
AR 367/93 s54;69/2002
Failure to select
pension
55 Section 44 applies.
Death after entitlement
to section 47 pension
56 Section 45 applies, with references in it
to sections 36, 37(3) and 38(1)(a) being respectively taken as references to
section 47 and to sections 48 and 49(1), as they incorporate sections 37(3) and
38(1)(a).
Death after
entitlement to section 50 pension
56.1 Where a person dies after pension
commencement has occurred in relation to a pension under section 50 but before
he has made a valid choice as to the form of pension to be taken, the deceased
is deemed for the purposes of the Plan to have chosen
(a) if
there is a surviving pension partner and no valid statutory declaration under
section 48(3) had been filed in respect of his pension, a pension in the form
specified in section 47(2)(b), or
(b) if there is no surviving pension partner or
if there is but a valid statutory declaration under section 48(3) had been
filed in respect of his pension, a guaranteed term pension referred to in
section 47(2)(a).
AR 367/93 s56.1;7/2002
Division 2
Death Benefits
Application and
interpretation of Division
57(1) This
Division applies with respect to a person, other than a pensioner, who dies
with employee contributions referred to in section 29(1) or 30(1) in the Plan.
(2) In this Division, “surviving pension partner”
means the person (if any) who was the pension partner of the person referred to
in subsection (1) immediately before death occurred, and who survived the
deceased.
AR 367/93 s57;7/2002
Return of prior, etc.
service contributions
58(1) Except
where a pension is to be paid under this Division, the amount of any employee
contributions referred to in section 29(1) or 30(1) paid to establish any prior
service on an actuarial reserve basis covered by section 20(1.1)(b), (c) or (d)
and any leave without pay or salary in respect of which the participant paid
employer contributions pursuant to section 15(3) or pursuant to the former Act
in respect of service in 1992 or 1993 shall be
(a) paid
to, or transferred to a registered retirement savings plan belonging to, the
surviving pension partner, if there is one, or
(b) paid
to the person entitled to receive any benefit on the death, if there is no
surviving pension partner.
(2) Subdivisions A and B apply to a person only
after any applicable payment or transfer required by subsection (1) has been
made and after section 20(4) has been applied.
AR 367/93
s58;7/2002;69/2002
Subdivision A
For Service Before 1992
Benefit on death before
commencement of pension - pension partner’s entitlements
59 Where there is a surviving pension
partner, the pension partner may choose,
(a) if
the deceased was vested,
(i) the pension that would have been payable if the deceased,
immediately before dying, had terminated under the circumstances referred to in
section 41(1) (disregarding age however) and had exercised the joint life
option specified in section 38(1)(d), with the surviving pension partner as the
designated nominee or, if the pension partner so selects as an alternative, a
guaranteed term pension, payable for
(A) whichever term, being 5, 10 or 15 years, is
selected by the pension partner, or
(B) the life of the pension partner,
whichever
is the longer, in an amount that is the actuarial equivalent of that deemed
joint life pension,
(ii) to have transferred from the Plan an amount equal to the employee
contributions and a further amount equal to
(A) current service contributions,
(B) contributions paid by the deceased in
respect of the first year of leave without salary, to the extent that they are
not included under paragraph (A),
(C) either the part of a sum transferred into
the Plan under a reciprocal agreement that is recognized by the Minister as
employee contributions or the total sum transferred into the Plan under the
reciprocal agreement less the amount that is recognized by the Minister as
employee contributions, whichever is less, and
(D) contributions made for service described in
section 20(1)(d)(iii), to the extent that the original contributions that were
returned were contributions described in paragraph (A), (B) or (C),
that were not
previously returned to the deceased, with interest, or
(iii) to receive the amounts specified in subclause (ii),
(b) if
the deceased died while an employee not being vested, the benefit specified in
clause (a)(ii) or (iii), or
(c) if
neither clause (a) nor clause (b) applies,
(i) to receive an amount equal to the employee contributions, or
(ii) to have that amount transferred from the
Plan.
AR 367/93
s59;7/2002;296/2002;301/2003;129/2004
Idem - where no
pension partner, but eligible dependent minor children
60 Where there is no surviving pension partner and
the persons entitled to receive any benefit on the death are dependent minor
children, the legal guardian of those children is entitled, on behalf and for
the benefit of all those children, in equal shares, if more than one, to
receive
(a) if
the deceased was vested or died while an employee but not vested, the benefit
specified in section 59(a)(iii), or
(b) if clause (a) does not apply, to receive an
amount equal to the employee contributions.
AR 367/93
s60;7/2002;301/2003
Idem - where no
penson partner or eligible dependent minor children
61 Where there is no surviving
pension partner and no dependent minor child entitled to a benefit under
section 60, the person entitled to receive any benefit on the death is entitled
to receive an amount equal to the employee contributions.
AR 367/93 s61;7/2002
Subdivision B
For Service After 1991
Interpretation for
Subdivision
63 In this Subdivision, the deceased’s
accrued benefits that are to be taken into account in determining commuted
value are to be taken to be what his accrued benefits would have been under
Subdivision B of Division 3 had the deceased terminated rather than dying.
Benefit on death
before commencement of pension - pension partner’s entitlements
64 Where there is a surviving pension
partner, the pension partner may choose,
(a) if
the deceased was vested,
(i) both
(A) the pension that would have been payable if
the deceased, immediately before dying, had terminated under the circumstances
referred to in section 52(1), as it incorporates section 41(1) (disregarding
age however) and had exercised the joint life option under section 49(1),
specified in section 38(1)(d), with the surviving pension partner as the designated
nominee or, if the pension partner so
selects as an alternative, a guaranteed term pension, payable for
(I) whichever term, being 5, 10 or 15 years, is
selected by the pension partner, or
(II) the life of the pension partner,
whichever is the longer, in
an amount that is the actuarial equivalent of that deemed joint life pension,
and
(B) to receive the employee contribution excess,
or
(ii) to have an amount equal to the commuted value transferred from
the Plan to a locked‑in retirement account and either to receive the
employee contribution excess or to have it transferred from the Plan,
or
(b) if
the deceased was not vested,
(i) to receive an amount equal to the employee contributions, or
(ii) to have that amount transferred from the Plan.
AR 367/93
s64;7/2002;296/2002;301/2003;129/2004
Idem - where no
pension partner
65(1) Where
there is no surviving pension partner and the deceased was vested, the person
entitled to receive any benefit on the death is entitled to receive an amount equal
to the aggregate of the commuted value and the employee contribution excess.
(2) Where there is no surviving pension partner and
the deceased was not vested, the person entitled to receive any benefit on the
death is entitled to receive an amount equal to the employee contributions.
AR 367/93
s65;7/2002;301/2003
Division 3
Benefits on Termination Before
Pension Eligibility
Application of Division
66 This Division applies with respect to a
person who terminates with pensionable service before being entitled to apply
for and receive a pension.
Return of prior
service contributions
67(1) Except
where a deferred pension is to be paid under this Division, the amount of any
employee contributions referred to in section 29(1) or 30(1) paid to establish
any prior service on an actuarial reserve basis covered by section 20(1.1)(b),
(c) or (d) and any leave without pay or salary in respect of which the
participant paid employer contributions pursuant to section 15(3) or pursuant
to the former Act in respect of service in 1992 or 1993 shall be paid to, or
transferred to a registered retirement savings plan belonging to, the former
participant or transferred from the Plan to a registered pension plan operated
by the other party to a reciprocal agreement.
(2) Subdivisions A and B apply to a person only
after any applicable payment or transfer required by subsection (1) has been
made and after section 20(4) has been applied.
AR 367/93 s67;69/2002
Locking in under old
reciprocal agreements
68 Nothwithstanding anything in this
Division, where any amount that would otherwise be payable to a person or
transferable on a non‑locked‑in basis under this Division
represents money that has been received on a locked‑in basis under an old
reciprocal agreement, that money must nevertheless be transferred from the Plan
on a locked‑in basis.
Subdivision A
For Service Before 1992
Termination after 5
years’ combined pensionable service
69 A person who is vested may choose
(a) to
receive an amount equal to the employee contributions,
(b) to
have the amount specified in clause (a) transferred from the Plan,
(c) subject
to sections 71 and 85, to have his pension entitlements transferred from the
Plan to a registered pension plan operated by the other party to a reciprocal
agreement in the amount required by that other party, not exceeding, however,
the amount which, taken together with the amount to be transferred under
section 72(c) (excluding any employee contribution excess) is specified in
section 84(2)(a), or
(d) to receive, when he attains the age of 55
years, a normal pension.
AR 367/93 s69;301/2003
Termination before 5
years’ combined pensionable service
70 A person who is not vested may
choose the benefit specified in section 69(a), (b) or (c).
AR 367/93 s70;301/2003
Excess not
transferred under reciprocal agreement
71 Where a sum of money is transferred from
the Plan under a reciprocal agreement that is less than the amount of the
benefit transferable under a reciprocal agreement under section 84(2)(a), the
excess is to be
(a) transferred
from the Plan on a locked‑in basis, to the extent that it is locked in,
and
(b) paid
to the person, to the extent that it is not.
Subdivision B
For Service After 1991
Termination after 5
years’ combined pensionable service
72 A person who is vested may choose
(a) to
have an amount equal to the commuted value transferred from the Plan to a
locked‑in retirement account and to receive the employee contribution
excess,
(b) to
have an amount equal to the commuted value transferred from the Plan to a
locked‑in retirement account and to have the employee contribution excess
transferred from the Plan,
(c) subject
to sections 74 and 98, to have his pension entitlements transferred on a locked‑in
basis from the Plan to a registered pension plan operated by the other party to
a reciprocal agreement in the amount required by that other party, not
exceeding, however, the amount which, taken together with the amount to be
transferred under section 69(c), is specified in section 97(2)(a), or
(d) to
receive
(i) a pension in the form of a normal pension and in the amount that
is equal to a pension under section 47 or 50, as the case may be, having
reached the date when he would have been entitled to receive a pension under that section had he continued
to be an employee until that time, but taking into account only combined
pensionable service and pensionable service, respectively, accumulated at the
actual date of termination, and actual highest average salary, and
(ii) the employee contribution excess.
AR 367/93
s72;151/98;301/2003
Termination before 5
years’ combined pensionable service
73 A person who is not vested may choose
(a) to
receive an amount equal to the employee contributions,
(b) to
have the amount specified in clause (a) transferred from the Plan, or
(c) subject to sections 74 and 98, to have his
pension entitlements transferred from the Plan to a registered pension plan
operated by the other party to a reciprocal agreement in the amount required by
that other party, not exceeding, however, the amount which, taken together with
the amount to be transferred under section 70 (as it relates to section 69(c)),
is specified in section 97(2)(a).
AR 367/93 s73;301/2003
Excess not
transferred under reciprocal agreement
74 Section 71 applies with the reference in
it to section 84(2)(a) being taken as a reference to section 97(2)(a).
Division 4
Cost‑of‑Living Increases
Subdivision
A
For Service Before 1992
Cost‑of‑living
increases
75(1) Notwithstanding
anything else in the Plan, if the cost of living has increased in the 12‑month
period ending on October 31 in the calendar year previous to the current
calendar year, all amounts payable as pensions in the current calendar year
shall be increased by a cost‑of‑living increase calculated in
accordance with subsections (3) to (6) or by the higher rate, if any, that the
Minister establishes under section 76.
(2) The
increases shall also be applied to the periods
(a) of
postponement under section 43, and
(b) between
termination and the commencement of deferred pensions under section 69(d).
(3) The
amount of a cost‑of‑living increase under this section shall be
determined using a pension index, calculated in accordance with subsection (4).
(4) The
pension index for each calendar year shall be calculated as
(a) the
quotient obtained by dividing the sum of the consumer price indices for
Alberta, as published by Statistics Canada, for each month in the 12‑month
period ending on October 31 in the previous year by the sum of the
corresponding indices for the 12‑month period immediately preceding that
period, adjusted to 3 digits after the decimal point, or
(b) one,
if the quotient so obtained is less than 1.
(5) Subject
to subsection (6), the basic monthly amount of a pension, excluding any additional
payment under section 80, in one calendar year shall be increased, if
applicable, annually with effect from January 1 of the following calendar year
so that the amount payable, to the nearest cent, for a month in that following
year is an amount equal to the product obtained by multiplying
(a) the
basic amount that would have been payable for that month if no increase had
been made under this section,
by
(b) 1
+ .6X,
where X is equal to
the pension index (calculated in accordance with subsection (4)) minus 1.
(6) Where
a pension has commenced in the calendar year immediately preceding the
effective date of a cost‑of‑living increase, the amount of the
increase shall be multiplied by the fraction obtained by dividing the number of
complete months in that year during which the pension was paid by 12.
(7) The amount of any increase under this section
must not exceed the maximum amount set for cost‑of‑living increases
by the tax rules.
AR 367/93 s75;69/2002
Increase by Minister
of normal COLA
76(1) The
Minister may establish a higher rate of increase for the purposes of section
75(1) and (2), but only if the Plan meets the minimum funding and solvency
requirements set by section 38(2) and (3), and the regulations made with
reference to section 38(2), of the Employment
Pension Plans Act.
(2) Section 75(6) and (7) apply with respect to
increases under subsection (1).
AR 367/93 s76;69/2002
Subdivision B
For Service After 1991
Cost‑of‑living
increases
77 Section 75 applies, with references in it
to sections 76, 43, 69(d) and 80 being taken as references to sections 78, 54,
72(d) and 93 respectively.
Increase by Minister
of normal COLA
78(1) The
Minister may establish a higher rate of increase for the purposes of section
77, as it incorporates section 75(1) and (2), but only if
(a) the
Plan meets the minimum funding and solvency requirements set by section 38(2)
and (3), and the regulations made with reference to section 38(2), of the Employment
Pension Plans Act, and
(b) the
higher rate complies with the tax rules.
(2) Section 76(2) applies, with the reference in it
to section 75(6) and (7) being taken as a reference to section 77, as it
incorporates those subsections.
AR 367/93 s78;69/2002
Division 5
Miscellaneous
Subdivision
A
For Service Before 1992
Interest allowance
79(1) Except
where otherwise specifically provided, where the Plan provides for the allowing
of interest, interest shall be
(a) allowed
at the rate of 4% per annum compounded semi‑annually up to commencement,
and
(b) thereafter
allowed at the rate, compounded annually, calculated in the manner and applied
at the times, provided in subsections (2) to (5).
(2) Subject
to this section, the rate of interest to be allowed for the purposes of
subsection (1)(b) is the rate that is calculated on and as of the first day of
the fiscal year on the basis of the average of the yields of 5‑year
personal fixed term chartered bank deposit rates maintained by Statistics
Canada as CANSIM Series B 14045, over the most recent 12‑month period for
which the rates are available 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%.
(3) Interest
shall be applied on the first day of each fiscal year with respect to all
contributions, with interest accumulated up to the end of the fiscal year
immediately preceding the most recently completed fiscal year.
(4) Interest
shall be applied on the first day of each fiscal year to contributions made
during the most recently completed fiscal year at 1/2 of the applicable rate
provided by subsection (2).
(5) Where
a person becomes entitled to have a benefit, other than a pension, paid to him
or transferred, interest shall be applied to the date of payment,
(a) at
the rate calculated by dividing 365 into the product of the number of days in
the uncompleted fiscal year with respect to which interest is to be paid and
the applicable rate provided for by subsection (2) at the end of the
immediately preceding fiscal year, and
(b) to contributions made during the more recent
uncompleted fiscal year, at 1/2 of the rate applied under clause (a).
AR 367/93 s79;296/2002
Co-ordination of
certain pensions with C.P.P. and O.A.S.
80(1) Where
a person is to receive a pension commencing on or after January 1, 2004 under
section 36, 41(2) or 69(d) before attaining the age of 65 years, he may choose
to increase the pension by an amount equal to the actuarial equivalent of such
amount as that person decides, which amount so decided is in this section
referred to, as applicable, as the “decided amount” and is to be an amount not
exceeding but decided by reference to the maximum Canada Pension Plan
retirement pension or the Old Age Security benefit or both until he reaches the
age of 65 years or dies before reaching that age.
(2) Where
a person is to receive a pension commencing on or after January 1, 2004 under
section 41(1) or 59(a)(i) before attaining the age of 65 years, he may choose
to increase the pension by an amount equal to the actuarial equivalent of such
amount as that person decides, which amount so decided is in this section
referred to, as applicable, as the “decided amount” and is to be an amount not
exceeding but decided by reference to the maximum Old Age Security benefit
until he reaches the age of 65 years or dies before reaching that age.
(2.1) Where
a person who has chosen to increase a pension under subsection (1) or (2)
attains the age of 65 years, the increased pension, including the added amount,
shall be reduced at that time by the actuarial equivalent of the decided amount
and, for (but only for) the remainder of that person’s lifetime, the pension
shall be further reduced from that time by the difference between the decided
amount and the actuarial equivalent of the decided amount.
(2.2) Where
a person who has chosen to increase a pension under subsection (1) or (2) dies
before attaining the age of 65 years, the increased pension, including the
added amount, shall be reduced at that time by the actuarial equivalent of the
decided amount without the further reduction referred to in subsection (2.1).
(7) Where
a basic pension is upgraded under section 42(2) and the person entitled to the
pension had chosen to increase it by the amount of the actuarial equivalent of
the decided amount of Canada Pension Plan retirement pension or the Old Age
Security benefit or both, payment of the actuarial equivalent or recovery of
the previously decided amount of Canada Pension Plan retirement pension or the
Old Age Security benefit or both shall occur as if the basic pension had not
been so upgraded.
(8) In
this section, “basic pension” means a pension in the amount computed before any
adjustment is made for
(a) co‑ordination
under this section, or
(b) any
cost‑of‑living increase under Division 4 or under the former Act,
other than, in the case of a deferred pension under section 69(d) of these plan
rules or under section 30(1)(c) of the former Act, any increase for a period
prior to its pension commencement.
(9) Notwithstanding
anything in this section, a person is not entitled to make a choice under this
section if the monthly pension payments payable to that person under both
Subdivisions A and B of a Division of this Part, after the reduction by the
decided amount of Canada Pension Plan retirement pension or the Old Age
Security benefit or both, as the case may be, has commenced, will be less than
1/12 of 4% of the year’s maximum pensionable earnings for the calendar year in
which the termination or death occurred.
(10) The conditions set out in subsections (1) or
(2) and (3) or (6), as they existed prior to their repeal by Part 4 of the Public
Sector Pension Plans (Miscellaneous 2004) Amendment Regulation, continue to
apply with respect to a choice or selection made thereunder in respect of a
pension commencing in or before 2003, but if a choice under subsection (1) or
(2) relates to a pension commencing on or after January 1, 2004, the choice is
deemed to have been made under subsection (1) as it exists on January 1, 2004.
AR 367/93
s80;296/2002;301/2003
Pension commencement
81(1) Where
a person becomes entitled to receive a pension under section 36 and does not
postpone commencement of that pension, the effective date of the commencement
of the pension is the day after termination.
(2) Where
a person becomes entitled to receive a pension under section 41, the effective
date of the commencement of the pension is the latest of
(a) the
date indicated in the application for the pension,
(b) the
day of receipt of the application by the Minister, and
(c) the
day after termination.
(3) Where
a person becomes entitled to receive a pension under section 69(d) and does not
postpone commencement of that pension, the effective date of the commencement
of the pension is the latest of
(a) the
date indicated in the application for the pension,
(b) the
day of receipt of the application by the Minister, and
(c) the
day the person attains the age of 55 years.
(4) Where
a person postpones commencement of a pension, the effective date of the
commencement of the pension is the later of
(a) the
date indicated in the application for the pension, and
(b) the
day of receipt of the application by the Minister.
(5) Notwithstanding
subsections (2) and (3), the Minister may treat the effective date of the
commencement of a pension under either of those subsections as being a date
that is not more than 6 months prior to the date that would otherwise be the
effective date under that subsection and that is not prior to the day after
termination.
(6) The effective date of the commencement of a
pension under section 59(a)(i) is the day of the deceased’s death.
AR 367/93 s81;296/2002
Commencement of
guaranteed term of years
82 The guaranteed term of a guaranteed term
pension is to be taken as commencing on pension commencement.
Requirement of
evidence
83(1) Before
any benefit is paid or transferred, there must be provided to the Minister
(a) where
it is necessary to determine in relation to a person the age, pension partner,
single or dependent minor child status, legal change of name, fact of death or
facts relative to previous employment, documents evidencing the facts, and
(b) where
a person applies for a pension under section 41,
(i) a medical statement from a physician outlining the findings of a
medical examination and assessing the degree of the person’s disability or
mental or physical impairment, and
(ii) any other documents evidencing that incapacity that the Minister
specifies.
(2) Without
limiting the application of subsection (4), for the purposes of determining
whether a person who has been granted a pension under section 41 is to continue
to receive the same amount of pension or not, the Minister may require that
person
(a) to
undergo the special medical examinations,
(b) to
supply the reports, and
(c) to
supply the statements of his occupation and earnings for any period,
that the Minister
specifies.
(3) An
employer shall submit to the Minister the evidence required by the Minister in
respect of a participant who applies for a pension under section 41.
(4) For the purposes of determining whether a
person who has been granted a pension is or is not entitled to continue to
receive the same amount of pension or any pension at all, the Minister may
require that person to supply any information that the Minister considers
relevant to determining that entitlement.
AR 367/93 s83;7/2002
Transfer of pensions
under reciprocal agreements
84(1) The
Minister may enter into a reciprocal or any other agreement with any
government, local authority within the meaning of the Local Authorities Pension Plan or other public body, or any
private body that has assumed any of the functions of an employer or any of
whose functions an employer has assumed, any of whose workers is subject to a
pension plan, for the purposes of enabling the transfer of pension entitlements
between the Plan and any such plan.
(2) A
reciprocal agreement entered into, made or amended after commencement must be
consistent with the Plan and provide
(a) for
pension entitlements under the Plan, based on all pensionable service, whether
accumulated before or after January 1, 1992, to be transferred from the Plan on
a locked‑in basis only in an amount that is not greater than the greater
of
(i) the commuted value, based on all such service and determined as
of the date when the application for the transfer is received by the Minister,
and
(ii) the aggregate of the combined employee contributions within the
meanings of sections 29(1)(a) and 30(1)(a) and the amount (based on all such
service) transferable under section 67(1),
(b) that
only persons who were participants at or after commencement are entitled to
transfer pension entitlements from the Plan,
(c) that
application to transfer into the Plan must be made within one year of
commencing to be a participant,
(d) for
service that is eligible to be recognized as pensionable service under the Plan
to be recognized only on an actuarial reserve basis,
(e) where
the amount transferred into the Plan is less than the amount required by
applying clause (d), for the participant to be able to
(i) prorate the service, or
(ii) both
(A) prorate the service, and
(B) subject to meeting the requirements of
section 22, acquire as pensionable service the service not recognized as pensionable
service on an actuarial reserve basis,
and
(f) that
money that is locked in under the transferring plan will continue to be locked
in under the transferee plan even if it would not be locked in under the
transferee plan but for this requirement.
(3) Repealed AR 301/2003 s71.
AR 367/93
s84;151/98;301/2003
Prohibition against
certain reciprocal transfers of service
85 A person who ceases to be a participant
and immediately becomes a participant of and within the meaning of the related
plan under circumstances whereby the pensionable service will become combined
pensionable service in the related plan is not entitled to have any pensionable
service transferred to the related plan under a reciprocal agreement.
Beneficiaries
86(1) Where
a person designates a person to receive a benefit payable on his death, whether
beneficially or in a representative capacity, or revokes a designation so made,
the designation or revocation may be filed with the Minister.
(2) Where
a person designates his estate as being entitled to receive a benefit payable
on his death, or makes a designation using words indicative of his estate or of
the representative capacity of his personal representative, he shall be deemed
to have designated the personal representative of his estate in his
representative capacity.
(3) Where
(a) at
the date of the death of a person on whose death a benefit is payable, there is
no valid designation by him filed with the Minister, or
(b) after
his death but before any payment is made under section 12(2) of the
Regulations, there is filed with the Minister a valid revocation by him of a designation filed with
the Minister
and no valid
designation is filed with the Minister before any such payment is made, the
person entitled to receive any benefit payable on his death is the deceased’s
pension partner, if he is survived by a pension partner, or the personal
representative of the deceased’s estate, if there is no surviving pension
partner.
(4) The right of any person under this section to a
benefit is subject to any rights given by Subdivision A of Division 1 or 2 of
this Part to any other person.
AR 367/93 s86;7/2002
Method of payment of
pensions
87(1) A
pension shall be paid on a monthly basis in an amount equal to 1/12 of the
annual amount of the pension.
(2) If
pension commencement occurs after the first day of a month, the amount payable
in respect of the remaining days in the month is as follows:
number
of days remaining
annual amount of
pension X in the
month
365
(3) Subject
to subsection (4), where a person in receipt of a pension dies, the pension is
payable to the person for the full month in which the death occurred.
(4) Subsection
(3) does not have the effect of extending the term of any guaranteed term
pension.
(5) The
reduction of a pension payable on the first death in the form specified in
(a) section
38(1)(c)(ii) or section 38(1)(d), as it related to section 38(1)(c)(ii), as
those enactments existed before December 1, 2002, in the case of a death that
occurred before that date, or
(b) section
38(1)(d)(ii), in the case of a death occurring on or after that date,
is to be taken as occurring with effect from the beginning
of the month following that in which the death occurred.
AR 367/93 s87;296/2002
Idem - conversion
following death
88(1) Where
a pensioner who has chosen a guaranteed term pension dies before the expiry of
the guaranteed term and the person entitled to the remainder of the pension
payments requests the Minister in writing that those payments be converted to a
lump sum payment, the person so entitled shall instead be paid the present
value of the remaining pension payments.
(2) Subsection
(1) does not apply if the person entitled is the pension partner or a dependent
minor child in relation to the deceased unless the Minister grants the request
for the conversion.
(3) Where a person is to be paid the present value
under this section and there are pension payments outstanding after the date of
death and before the payment of the present value, the outstanding payments are
to be made first and the remaining payments are to be converted to a lump sum.
AR 367/93 s88;7/2002
Prohibition of
pension suspension
89(1) Once
a pension has commenced, it may not be suspended for any reason.
(2) Subsection (1) does not affect the ongoing
validity of a pension suspension effected under section 89 (but not under
section 90) as those sections existed at the end of 2000.
AR 367/93 s89;326/2000
90 Repealed AR 326/2000 s4.
Exemption for certain
provincial supernumerary judges
90.1 Section 89 or 90, as the case may be,
does not apply to a person appointed as a supernumerary judge under the Provincial
Court Judges Act if
(a) his
pension is not liable to suspension under that section as a result solely of
work other than as a supernumerary judge, and
(b) the
terms and conditions of his appointment provide in effect that, subject to
clause (a), his pension is not to be suspended.
Provincial judges and
masters in chambers ‑ benefits
90.2 Notwithstanding anything in this Plan, a
participant of the Provincial Judges and Masters in Chambers Pension Plan who
has pensionable service recognized under this Plan that does not constitute
prior service within the meaning of that Plan that is recognized as pensionable
service for the purposes of that Plan, is entitled to a benefit under this Plan
based on that pensionable service, and this Plan shall be construed
accordingly.
Continuation of
existing pensions and pension rights
91(1) A
person who was in receipt of or entitled to a benefit immediately before
commencement continues, subject to these plan rules, to be entitled to that
benefit and in the same form that applied on that date and the same
survivorship rights, if any, that applied on that date continue to apply
thereafter.
(2) A
person who before commencement had chosen to receive a deferred pension under
section 30(1)(c) of the former Act and, immediately before commencement, had
not yet commenced to receive that pension continues to be entitled to receive
the same pension, with the same rights appertaining to himself and to other
persons flowing through him, that would have applied had the former Act, as it
was on that date, still been in force, except that the options as to the form
of pension to be taken are to be those under these plan rules rather than those
under the former Act.
Subdivision B
For Service After 1991
Interest allowance
92 Section 79 applies.
Co-ordination of
certain pensions with C.P.P. and O.A.S.
93(1) Where
a person is to receive a pension under section 47, 50, 52(2) or section 72(d)
before attaining the age of 65 years, section 80(1) applies.
(2) Where
a person is to receive a pension under section 52(1) or section 64(a)(i) before
attaining the age of 65 years, section 80(2) applies.
(2.1) Section
80(2.1) applies.
(2.2) Section
80(2.2) applies.
(7) Where
a basic pension is upgraded under section 53(2), section 80(7), if applicable,
applies.
(8) Section
80(8) applies, with the reference in it to section 69(d) being taken as a
reference to section 72(d) and the reference to section 30(1)(c) of the former
Act being taken as a reference to section 31.2(c) of it.
(9) Section
80(9) applies.
(10) Section 80(10) applies.
AR 367/93
s93;296/2002;301/2003
Pension commencement
94(1) Section
81(1) to (3) apply, with references to sections 36, 41 and 69(d) being taken as
references to sections 47, 52 and 72(d) respectively.
(4) Where
a person postpones commencement of a pension, the effective date of the
commencement of the pension is the later of
(a) the
date indicated in the application for the pension, and
(b) the
day of receipt of the application by the Minister.
(5) Section
81(5) applies.
(6) Section 81(6) applies, with the reference to
section 59(a)(i) being taken as a reference to section 64(a)(i).
AR 367/93 s94;326/2000
Commencement of
guaranteed term of years
95 Section 82 applies.
Requirement of
evidence
96 Section 83 applies, with references in it
to section 41 being taken as references to section 52.
Transfer of pensions
under reciprocal agreements
97(1) Section
84(1) applies.
(2) A
reciprocal agreement entered into, made or amended after commencement must be
consistent with the Plan and provide
(a) for
the transfer of the pension entitlements covered by section 84(2)(a) (based on
all pensionable service, whenever accumulated), subject to the maximum of the
aggregate of the maximum allowed by section 84(2)(a) and in addition, in the
case of a person falling within section 72(a), the employee contribution excess
determined as of the date when the application for the transfer is received by
the Minister, and
(b) the
matters specified in section 84(2)(b), (c), (d), (e) and (f).
(3) Repealed AR 301/2003 s73.
AR 367/93
s97;151/98;301/2003
Prohibition against
certain reciprocal transfers of service
98 Section 85 applies.
Beneficiaries
99 Section 86 applies, with the reference in
subsection (4) of it to Subdivision A being taken as a reference to Subdivision
B.
Method of payment of
pensions
100 Section 87 applies, with the
references in subsection (5) of it to section 38(1)(c)(ii), (d) and (d)(ii)
being taken as references to section 49 as it incorporated or incorporates,
respectively, those enactments.
AR 367/93 s100;296/2002
Idem - conversion following
death
101 Section 88 applies.
Prohibition of
pension suspension
102(1) Once
a pension has commenced, it may not be suspended for any reason.
(2) Subsection (1) does not affect the ongoing
validity of a pension suspension effected under section 102 (but not under
section 103) as those sections existed at the end of 2000.
AR 367/93 s102;326/2000
103 Repealed AR 326/2000 s6.
Continuation of
existing pensions and pension rights
104 Section 91 applies, with the reference in
subsection (2) of it to section 30(1)(c) of the former Act being taken as a
reference to section 31.2(c) of the former Act.
Part 6
Miscellaneous
Interest chargeable
105(1) Where
the Plan provides for the charging of interest, interest shall be charged at
the rate of 4% per annum compounded semi‑annually up to commencement.
(2) Where
a provision of these plan rules provides for the charging of interest after
commencement and does not provide for a specific rate, interest shall be
charged at the rate that is calculated on and as of the first day of the fiscal
year on the basis of the average of the yields of 5‑year personal fixed
term chartered bank deposit rates maintained by Statistics Canada as CANSIM
Series B 14045, over the most recent 12‑month period for which the rates
are available 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%.
(3) Where a provision of these plan rules provides
for the charging of interest at the financing rate, interest shall be charged
at the rate that is equal to the nominal interest rate per annum, compounded
annually, used in the calculation of actuarial reserve amounts.
AR 367/93 s105;254/98
Advance against
pension
106 Where there is a delay in
processing a pension beyond 30 days from pension commencement, the Minister of
Finance may advance money from the plan fund to the pensioner against the
pension.
AR 367/93 s106;269/2002
Actuarial formulas
107(1) The
actuarial formulas to be used for the purposes of the Plan or for particular
provisions of the Plan are to be certified by an actuary and approved in writing by the Minister for the
purposes of the Plan.
(2) The
actuarial formulas are exempt from the application of the Regulations Act.
Exercise of benefit
choice
108(1) A
person wishing to exercise a choice in relation to a benefit must do so by
giving written notice to the Minister indicating the choice.
(2) A
choice made, including a choice deemed to be made, in relation to a benefit is
irrevocable when, and is not irrevocable until, the benefit is received or
commences to be paid.
Prohibition against
assignment, etc.
109(1) A
person may not assign, charge, anticipate, give as security or surrender his
interest in a benefit or any of his rights under the Plan.
(2) For
the purposes of subsection (1),
(a) assignment
does not include
(i) an assignment under a matrimonial property order, or
(ii) an assignment by the legal representative of a deceased
individual on the distribution of the individual’s estate,
and
(b) surrender
does not include a reduction in benefits to avoid the revocation of the Plan’s
registration.
Overpayments and
deficiencies
110 Any overpayment of benefit paid or
underpayment of contribution payable is recoverable by the Minister, with
interest, as a debt due to the Plan.
Return of money
111(1) If
the Minister finds that a person paid a contribution that was not, or that was
in excess of what was, payable, the Minister of Finance shall repay from the plan
fund the contribution or the excess, with interest.
(2) The Minister of Finance shall return any
contribution to the person who made it where returning it is necessary to
ensure compliance with the tax rules.
AR 367/93 s111;269/2002
Retentions for debt
112(1) The
Minister of Finance may withhold from any benefit payable a sum sufficient to
meet any amount by which the person entitled to the benefit is indebted to the
Plan.
(2) The Minister of Finance shall apply any money
withheld under this section in satisfaction of the debt to the Plan.
AR 367/93 s112;269/2002
Part 7
Transitional and Commencement Provisions
113 Repealed AR 196/2000 s5.
Transitional - prior
service provisions
114(1) Notwithstanding
anything in Part 3, a person is regarded as having made the arrangements to
purchase prior service under and within the meaning of the former Act if he
made an application pursuant to section 10 of the Public Service Management
Pension Plan Regulation (Alta. Reg. 311/85) before commencement or, in the
case of leave without pay that ended at any time within the 7 months prior to
commencement, within 7 months of the end of that leave period, and he commences
to comply with section 11 and, if applicable, section 12 of that Regulation
expeditiously after commencement or the end of that leave, as the case may be,
as if those provisions were still in force.
(2) Where
a person, immediately before the commencement of section 14, was performing
service in the form of leave without pay that continued as leave without salary
after that commencement, that person remains entitled to purchase that service
as prior service under and within the meaning of the former Act until 7 months
after the end of the leave period and, if he does so, that person and, if
applicable, the employer continue to be liable to make contributions in respect
of that leave on the same basis, including the rate of interest, that applied
immediately before that commencement, as if the former Act were still in force.
(4) Section
26 applies where subsection (1) or (2) is met.
Transitional -
spousal protection
115(1) Section
37(3)(a) is to be read as if “or an effective statutory declaration by that
person made under section 25 of the former Act before its repeal” were added at
the end of that clause, and section 48(3) is deemed to read accordingly.
(2) Without
affecting the application of section 37(4) or section 48(4), as it incorporates
section 37(4), subsection (1) ceases to have any force 90 days after
commencement.
Savings - suspensions
of pension
116(1) Subject
to subsection (2), sections 89 and 102, as they existed at the end of 2000
(except for the reference in section 102(4) to attaining the age of 71 years
being treated as referring to reaching the latest pension commencement date),
continue to apply with respect to pension suspensions effected under them
before 2001 so long as the person continues, without interruption, to make
current service contributions.
(2) A
person whose pension was, as at the end of 2000, under suspension pursuant to
section 89 or 102 or both, as those sections then existed, may, before April 1,
2001, apply in writing to the Minister not to have subsection (1) apply to him
at all, in which case subsection (1) does not apply to him and payment of his
pension recommences with effect from January 1, 2001 on the basis of that
section or those subsections.
(3) Where, as at the end of 2000, a pension was
under suspension under section 90 or 103, or both, payment of the pension is to
recommence as at January 1, 2001.
AR 367/93 s116;326/2000
Commencement
117(1) This
Regulation comes into force on January 1, 1994.
(2) Sections
75 and 77 apply initially with effect from January 1, 1994 as they relate to
increases in the cost of living between November 1, 1992 and October 31, 1993.
117.2 Repealed AR 367/93 s117.2(8).
117.3 Repealed AR 367/93 s117.3(8).
117.4 Repealed AR 327/2002 s2.
117.5 Repealed AR 367/93 s117.5(8).
117.6 Repealed AR 367/93 s117.6(8).
118 Repealed AR 241/97 s4.
