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The Pension Plan Acts Amendment Act

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S.M. 1992, c. 57

The Pension Plan Acts Amendment Act

(Assented to June 24, 1992)

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Manitoba, enacts as follows:

PART 1

THE CIVIL SERVICE SUPERANNUATION ACT

C.C.S.M. c. C120 amended

1           The Civil Service Superannuation Act is amended by this Part.

2           Subsection 1(1) is amended

(a) by repealing the definition "approved benefit index";

(b) by repealing the definition "common-law spouse" and substituting the following:

"common-law spouse" means a person publicly represented by another person as the spouse of that other person

(a) where either of the persons is prevented by law from marrying the other, for a period of not less than three years, or

(b) where neither of the persons is prevented by law from marrying the other, for a period of not less than one year,

as shown by written evidence satisfactory to the board; («conjoint de fait»)

(c) in the definition "employee", by adding the following after clause (k):

(l) a person who is in receipt of a pension under this Act in respect of his or her employment;

(d) by adding the following definition in alphabetical order:

"spouse" includes a common-law spouse; («conjoint»)

'3(1) Subsection 3(1) is repealed and the following is substituted:

Period of common-law relationship

3(1)        For the purposes of section 44 of this Act and of any division of the pension benefit credit of a person under subsection 31(2) of The Pension Benefits Act, the period during which an employee shall be considered a party to a common-law relationship shall be determined in accordance with the provisions of section 31 of The Pension Benefits Act.

3(2)        Subsection 3(2) is repealed and the following is substituted:

Payment where no common-law declaration

3(2)        Where the board pays out an amount under this Act by reason of the death of a person as though the person were not survived by a spouse, and the person at the time of death was not married but was a party to a common-law relationship and is survived by a common-law spouse, and the board had not before making the payment received a declaration under The Pension Benefits Act in respect of the common-law spouse, the board is not liable in any way for not having made the payment to the surviving common-law spouse.

4           Subsection 10(2) is repealed and the following is substituted:

Membership of investment committee

10(2)       The investment committee consists of

(a) subject to subsections (2.1) and (2.2), a chairperson who shall be appointed by the minister, for a term not to exceed five years, from a list of names submitted by the board;

(b) the chairperson of the board;

(c) the Deputy Minister of Finance;

(d) a person appointed from among their number by the members of the board representing employees;

(e) the general manager of the fund; and

(f) subject to subsection (2.3), at least two but not more than four persons appointed by the board on the recommendation of the members of the investment committee appointed under clauses (a) to (e).

Chairperson of both investment committee and board

10(2.1)     The chairperson of the investment committee may also be the chairperson of the board.

Investment experience:  chairperson

10(2.2)     The names submitted to the minister under clause (2)(a) shall be selected by the board on the basis of investment experience and competence.

Investment experience:  clause (2)(f) appointees

10(2.3)     The persons recommended for appointment under clause (2)(f) shall be selected by the members of the investment committee appointed under clauses (2)(a) to (e) on the basis of investment experience and competence, and the appointments shall be for such terms and at such remuneration for services as the board may fix.

5           Clause 13(2)(a) is amended by striking out "section 17" and substituting "subsection 17(1)".

6           Section 17 is amended

(a) by renumbering it as subsection 17(1);

(b) in clause (b), by adding the following after "pensionable earnings":

", up to the maximum salary allowed under the Income Tax Act (Canada) to be used for the purposes of pension accrual in the year in which the contributions are made."

(c) by adding the following as subsection 17(2):

Employee contributions on excess earnings

17(2)       Employees earning in excess of the maximum salary referred to in subsection (1) shall continue to contribute 7% to the fund on that excess salary up to the maximum annual contribution allowed in that year under the Income Tax Act (Canada), and those contributions shall be accounted for separately by the board and shall be used to reduce the payments required under subsections 6(5), 22(1) and 22(2).

7           Section 22 is amended by adding the following after subsection (9):

Payment to fund for defunct agencies

22(10)      Where an agency of the government, to the employees and former employees of which this Act applies, ceases to exist and

(a) no other agency of the government assumes or is charged with satisfying that agency's obligations under this Act; and

(b) payments are required to be made by the board from the fund in respect of any of those former employees, and the agency that has ceased to exist would have been required if it had continued to exist to make payments to the fund in respect of those payments by the board;

the Lieutenant Governor in Council may designate the source from which those payments of the agency that has ceased to exist shall be made to the fund.

8           Section 25 is amended by striking out "normal".

9           The following is added after subsection 26(1):

Reduction to prevent excess

26(1.1)     The allowance calculated under subsection (1) shall be reduced, if necessary, so that the maximum pension allowed under the Income Tax Act (Canada) is not exceeded.

10          Section 28 is repealed and the following is substituted:

Allowance on retirement

28(1)       Except as in this Act otherwise provided, the board shall grant to an employee who is deemed to have retired under section 59 or 60, or to a person who makes an application under subsection 42(19),

(a) for service accumulated under this Act prior to January 1, 1992,

(i) where the allowance is to commence being paid after the employee reaches the age of 60 years, an annual superannuation allowance calculated in accordance with subsection 26(1),

(ii) where the allowance is to commence being paid before the employee reaches the age of 60 years but the combination of the employee's age and service totals 80 or more, an annual superannuation allowance calculated in accordance with subsection 26(1), or

(iii) where the allowance is to commence being paid before the employee satisfies any of the conditions set out in sub-clauses (i) and (ii), an annual superannuation allowance calculated in accordance with subsection 26(1) and reduced by .0625% for each full month beginning with the day on which the allowance is to commence being paid up to and including the day on which the employee satisfies or would satisfy any of those conditions; and

(b) for service accumulated under this Act after December 31, 1991,

(i) where the allowance is to commence being paid after the employee reaches the age of 60 years, an annual superannuation allowance calculated in accordance with subsection 26(1),

(ii) where the allowance is to commence being paid before the employee reaches the age of 60 years but the combination of the employee's age and service accumulated under this Act totals 80 or more, an annual superannuation allowance calculated in accordance with subsection 26(1), or

(iii) where the allowance is to commence being paid before the employee satisfies any of the conditions set out in sub-clauses (i) and (ii), an annual superannuation allowance calculated in accordance with subsection 26(1) and reduced by .25% for each full month beginning with the day on which the allowance is to commence being paid up to and including the day on which the employee satisfies or would satisfy any of those conditions;

and the superannuation allowance shall be calculated and payable as of the date the employee is deemed to have retired.

Transitional

28(2)       Subsection (1) applies, on and after the day it comes into force, to any person who on that day is an employee, a recipient in respect of an employee, a pensioner or a deferred pensioner.

Additional allowance

28(3)       Where an employee is granted an allowance under sub-clause 28(1)(b)(iii), the board shall grant to the employee or to a recipient in respect of the employee an additional allowance, paid in monthly instalments from the date of retirement of the employee to the end of the month in which the employee reaches or would have reached the age of 65 years, based on the factors recommended by the actuary and approved by the board and equal to the present value of an amount calculated in accordance with the following formula:

A = B - C

In this formula,

A

is the amount from which the additional allowance is determined;

B

is the allowance that would be payable as of the date of retirement of the employee as if all of the service had been accumulated prior to January 1, 1992; and

C

is the allowance payable under sub-clause 28(1)(b)(iii).

11(1)       Clauses 29(1)(d) to (g) are repealed and the following is substituted:

(d) payable until the death of the retired employee, and thereafter a continuing annuity equal to two-thirds of the annuity is payable to his or her surviving spouse until the death of the surviving spouse; or

(e) payable until the death of the retired employee, and thereafter a continuing annuity equal to one-half of the annuity is payable to his or her surviving spouse, until the death of the spouse; or

(f) payable until the death of the retired employee, or until the death of his or her spouse as the continuing recipient of the annuity, whichever death first occurs, and thereafter a continuing annuity equal to two-thirds of the annuity is payable for life to the retired employee or that spouse, whichever is the survivor; or

(g) payable until the death of the retired employee, or until the death of his or her spouse as the continuing recipient of the annuity, whichever death first occurs, and thereafter a continuing annuity equal to one-half of the annuity is payable for life to the retired employee or that spouse, whichever is the survivor; or

11(2)       Clause 29(1)(i) is amended by adding "acceptable under the Income Tax Act (Canada)" after "annuity" where it appears for the first time.

11(3)       The following is added after subsection 29(1):

Reference to "spouse" in subsection (1)

29(1.1)     In clauses (1)(d) to (g), "spouse" means the person who was the designated spouse of the retired employee at the time the employee applied for an optional annuity under subsection (1).

11(4)       Subsection 29(7) is amended by adding "to a maximum of 180 months" after "period" where is appears for the second time.

12          Subsection 31(5) is repealed and the following is substituted:

Partial and permanent disability allowance

31(5)       Where upon an application under this section the board is satisfied that an employee has retired or will retire from the civil service on account of a partial and permanent disability, the board shall grant to the employee an allowance calculated as if the employee were deemed to have retired under section 59.

13          Section 32 is repealed.

14(1)       Subsections 33(5) and (5.1) are repealed.

14(2)       Subsection 33(6) is repealed and the following is substituted:

Approval of superannuation adjustment

33(6)       A superannuation adjustment calculated under subsection (7) or (7.1) does not become effective until it is approved by the board and may at any time before it becomes effective, upon the recommendation of the actuary and if the board deems it warranted by prevailing circumstances and except where the Lieutenant Governor in Council directs that the amendment shall not be made, be amended by the board to reduce the amounts thereof to such lesser amounts as the board deems advisable.

14(3)       Subsection 33(7) is amended

(a)  by repealing the formula and substituting the following:

Monthly superannuation adjustment = I x A

(b) by repealing the definitions D and Y.

14(4)       Clauses 33(10)(a) and (b) are amended by striking out "subsection (5)" and substituting "subsection (7)".

14(5)       The following is added after subsection 33(10):

Adjustment applicable to additional allowance

33(11)      Where a person is entitled to an additional allowance under subsection 28(3), a monthly adjustment to the allowance, calculated in accordance with subsection 33(7), shall also be granted, but the adjustment shall cease to be payable on the date the allowance ceases to be payable.

15          Clause 38(1)(c) is repealed.

16          Section 41 is amended by striking out "section 32" and substituting "section 33".

17(1)       Subsection 42(11) is repealed and the following is substituted:

Accruals on refunds

42(11)      Where a refund of contributions becomes payable to any person under subsection (5), clause (10)(a) or subsection (13) for contributions made from 1970 to 1983 both years inclusive, each separate account for the person shown in the accounts of the fund as required under section 12 shall, in addition to the contributions made by the person, be credited with an amount that bears the same proportion to 3% of the amount in that person's account on January 1 of the year in which the refund becomes payable as the period from that January 1

(a) to the date the person ceases to be an employee under subsection (5) or clause (10)(a); or

(b) to the date the board receives a refund request in writing from a former employee under subsection (13);

as the case may be, bears to a full year.

Final accrual on contributions

42(11.1)    Where a refund of contributions becomes payable to a person under subsection (5), clause (10)(a) or subsection (13), each separate account for the person shown in the accounts of the fund as required under section 12 shall, in addition to the accruals credited under subsections (11), (21) and (21.1), be credited with interest

(a) from the date the employee ceases to be an employee under subsection (5) or clause (10)(a); or

(b) from the date the board receives a refund request in writing from a former employee under subsection (13);

as the case may be, to the date of refund.

17(2)       Subsection 42(20.1) is repealed.

17(3)       Subsection 42(21) is repealed and the following is substituted:

Accruals on contributions made after 1983

42(21)      For the purposes only of determining the amounts of accruals payable under subsection (5), clause (10)(a) or subsection (13), each separate account for a person shown in the accounts of the fund as required under section 12 shall, in addition to the contributions made by the person, be credited on December 31 in each year with interest on contributions made for service after December 31, 1983 at a rate fixed by the board and approved by the Superintendent of Pensions in accordance with The Pension Benefits Act.

17(4)       The following is added after subsection 42(21):

Accruals on contributions made prior to 1984

42(21.1)    For the purposes only of determining the amounts of accruals payable under subsection (5), clause (10)(a) or subsection (13), each separate account for a person shown in the accounts of the fund as required under section 12 shall, in addition to the contributions made from 1970 to 1983 both years inclusive, be credited on December 31 in each year with interest on those contributions equivalent to the total of

(a) an amount equal to 3% of the amount at the credit of the person's account on January 1 of that year; and

(b) an amount equal to 1.5% of the total amount of the contributions made by the person during that year.

18          Clause 44(2)(a) is amended by striking out "section 32" and substituting "section 33".

19          Subsection 54(2) is repealed and the following is substituted:

Payments in addition to superannuation allowance

54(2)       Unless otherwise directed by the Lieutenant Governor in Council, the board shall make payments in addition to the superannuation allowance or payment that would otherwise be paid from and out of the fund to or in respect of an employee or class of employees entitled to a benefit on or after January 1, 1992, or to a surviving spouse or eligible survivor of the employee or class of employees if the employee dies on or after January 1, 1992, where payments are made to provide an amount that, in combination with the superannuation allowance paid or payment made from and out of the fund, is equal to the allowance or payment that would have been paid or made if the benefit entitlement had occurred prior to January 1, 1992.

Payments from Consolidated Fund

54(3)       In addition to any other amounts required to be paid under this Act, the Minister of Finance shall pay from and out of the Consolidated Fund to the board in respect of each month a sum equal to the total of the amounts that the board has paid in respect of that month under subsection (1) or (2), in respect of persons who, at the time of their benefit entitlement, were not employed by an agency of the government, to provide the increases in allowances or payments that are required under subsection (1) or (2), and the sums so payable are a permanent and direct charge on the Consolidated Fund and notwithstanding any provision of The Financial Administration Act, those sums may be paid although no further appropriation for the purpose is made by the Legislature.

Payment by agencies

54(4)       Where the board makes payments under subsection (1) or (2) in respect of an employee of an agency of the government or an employee or employer under subsection 6(3), the agency or employer shall pay to the board an amount calculated and paid in the same manner as amounts payable by the Minister of Finance under subsection (3).

Administration of section 54

54(5)       The board may approve administrative policies respecting record keeping, the collection of required contributions and employer payments, and the determination and payment of benefits, to ensure that benefits under this section are maintained in a manner that is consistent with those in effect prior to January 1, 1992.

20(1)       The following is added after subsection 63(2):

Application to include continuous employment

63(2.1)     Notwithstanding clause (b) of the definition "temporary suspension of employment" in subsection 1(1), where an employee or retired employee had continuous employment with the government, an agency of the government or any other employer to whom this Act applies prior to January 1, 1984 and if, as at the date of an application made under this subsection by the employee or retired employee or by a recipient in respect of the employee or retired employee, a person employed with the government, an agency of the government or that other employer in the same or a similar position, class or category would, in respect of that employment,

(a) be required under this Act to contribute to the fund;

(b) have the option of contributing to the fund; or

(c) meet the requirements under clause (a) of the definition "temporary suspension of employment" in subsection 1(1);

the employee or retired employee or recipient, as the case may be, may apply on a form prescribed by the board to have that continuous employment or a portion thereof included in computing the service of the employee or retired employee for the purposes of this Act so long as the application is received prior to July 1, 1994.

Transitional

63(2.2)     Subsection (2.1) applies to any person who, on the day it comes into force, is an employee, a recipient in respect of an employee, a pensioner or a deferred pensioner.

20(2)       Subsection 63(3) is amended

(a) by adding "or (2.1)" after "subsection (2)"; and

(b) by adding "or have the option" after "required" in paragraph (a)(ii)(A).

20(3)       Subsection 63(5) is amended by adding "or (2.1)" after "subsection (2)" wherever it occurs.

20(4)       The following is added after subsection 63(12):

Contributions and benefits

63(13)      Contributions received and benefits paid in any year pursuant to this section shall be limited to the maximum permitted for that year under the Income Tax Act (Canada).

21          The following is added after section 66:

Establishment of account

66.1(1)     For the purposes of this section, the board shall establish, within the fund, an account consisting of separate sub-accounts for the government and each agency of the government, and shall administer the account for the government and the agencies of the government, and in this section "account" means the account so established.

Agreements respecting account

66.1(2)     The board shall enter into an agreement with the government and each agency of the government respecting the administration and use of their respective sub-accounts in the account.

Account to be credited

66.1(3)     The account shall be credited annually with earnings based on the average yield on the book value of the fund for the year or any portion thereof.

Crediting government and agencies

66.1(4)     The board shall credit the sub-account of the government and each agency of the government that has not paid contributions into the fund with an amount as at January 1, 1992 calculated in accordance with the following formula:

A = $11,140,800. x C/E

In this formula,

A

is the amount to be credited to the sub-account of the government or agency;

C

is the number of employees of the government or agency who were contributing to the fund on December 31, 1991; and

E

is the total number of employees of the government and of all agencies of the government who were contributing to the fund on December 31, 1991.

Credit in respect of purchase costs

66.1(5)     The board shall credit the sub-account of the government and each agency of the government, in the account, each month, in respect of purchases of prior service under subsection 63(2.1), with an amount equal to the cost to the government or agency associated with those purchases.

PART 2

THE LEGISLATIVE ASSEMBLY ACT

C.C.S.M. c. L110 amended

22          The Legislative Assembly Act is amended by this Part.

23          Section 69 is amended by adding the following definitions in alphabetical order:

"common-law relationship" means the relationship between a man and a woman who are common-law spouses; («relation maritale»)

"common-law spouse" means a person publicly represented by another person as the spouse of that other person

(a) where either of the persons is prevented by law from marrying the other, for a period of not less than three years, or

(b) where neither of the persons is prevented by law from marrying the other, for a period of not less than one year,

as shown by written evidence satisfactory to the administrator; («conjoint de fait»)

"family assets" means family assets as defined in The Marital Property Act; («éléments d'actif familiaux»)

"pension benefit credit" means the value at a particular time of the pension benefits under this Part to which a member has become entitled as of that time; («crédit de prestations de pension»)

"spouse" includes a common-law spouse; («conjoint»)

24          Section 86 is amended

(a) in clause (a), by striking out "of applications"; and

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

(c) prescribing the manner in which the pension benefit credit of a member shall be divided between the member and his or her spouse.

25           The following is added after section 89:

Division of pension benefits on break-up

90(1)       Subject to subsections (2) to (7), where

(a) pursuant to an order of the Court of Queen's Bench made under The Marital Property Act, family assets of a member are required to be divided between the member and his or her spouse;

(b) pursuant to a written agreement between a member and the spouse to whom the member is married, family assets of the member and spouse are divided between them; or

(c) pursuant to a written agreement between a member and the member's common-law spouse who have been parties to a common-law relationship that has been terminated, assets that would have been family assets of the parties if they had been married to each other are divided between them;

the pension benefit credit of the member under this Part shall be divided between the member and the spouse, and the division shall be made in the manner provided in this Part and directed by the administrator notwithstanding that the order or agreement, as the case may be, may require the division to be made in a different manner.

Application of subsection (1)

90(2)       Subsection (1) does not apply except in the case of spouses who began living separate and apart from each other after December 31, 1983.

Common-law parties - opting in

90(3)       Subsection (1) does not apply in the case of a member whose spouse is a common-law spouse, unless the member makes and executes a written declaration, in a form prescribed by the administrator,

(a) identifying the spouse and showing that the spouse is his or her common-law spouse within the meaning of the definition of that term in section 69;

(b) specifying the commencement date of the common-law relationship between the member and that spouse; and

(c) stating that subsection (1) shall apply.

Married and common-law - opting out

90(4)       Where subsection (1) becomes applicable in the case of any member, it ceases to be applicable if both the member and his or her spouse, after each has received

(a) independent legal advice; and

(b) a statement from the administrator showing the commuted value of the pension benefit credit, or the amount of the pension payments, to which the spouse would be entitled if the subsection remained applicable;

enter into a written agreement to the effect that the subsection shall not apply.

Termination date of common-law relationship

90(5)        For the purposes of this Part, a common-law relationship is considered to be terminated on a date specified as the termination date in a written declaration, in a form prescribed by the administrator, or in a written agreement, made and executed or entered into by both parties to the common-law relationship or, where the parties are unable to agree, on a date determined by a court of competent jurisdiction on the application of the parties or either of them.

Filing of declaration or agreement

90(6)       A declaration or agreement under subsection (3), (4) or (5) shall be filed with the administrator, but a declaration under subsection (3) is of no force or effect unless it is filed with the administrator before the member receives any pension payments.

Transfer of pension benefit credit

90(7)       Any pension benefit credit to which the spouse or former spouse of a member becomes entitled under subsection (1) shall be transferred by the administrator to such locked-in registered retirement savings plan or locked-in registered pension plan as the spouse or former spouse may designate, in the name of the spouse or former spouse.

Remarriage of member

91          Where the former spouse of a former member is receiving pension payments under this Part consequent upon the break-up of the former member's marriage or the termination of the former member's common-law relationship, and the former member remarries or enters into a new common-law relationship and subsequently dies, the surviving former spouse shall continue to receive 60% of those payments.

Remarriage of surviving spouse

92          A pension or pension benefit payable to the surviving spouse of a member or former member who dies does not terminate in the event of the remarriage of, or the entry into a new common-law relationship by, the surviving spouse.

Effect of division on qualifying service

93          The transfer of a portion of a member's pension benefit credit to the member's spouse or former spouse under this Part does not reduce the period of qualifying service that the member has already accumulated under and for the purposes of this Part.

Reduction in credit on division of assets

94          Where the pension benefit credit of a member has been divided in the manner provided in this Part and the member subsequently becomes entitled to the payment of a pension, the pension shall be reduced by one-half of the pension that accrued during the period on the basis of which the division was made and that would have been payable to the member when he or she became eligible to receive a pension under this Part.

Status under Income Tax Act

95          The Lieutenant Governor in Council may, by regulation, specify those benefits out of the pension benefits provided under this Part that shall form a plan with the status of a pension plan registerable under the Income Tax Act (Canada).

PART 3

THE TEACHERS' PENSIONS ACT

C.C.S.M. c. T20 amended

26          The Teachers' Pensions Act is amended by this Part.

27          Subsection 1(1) is amended

(a) by repealing the definition "approved benefit index";

(b) by repealing the definition "common-law spouse" and substituting the following:

"common-law spouse" means a person publicly represented by another person as the spouse of that other person

(a) where either of the persons is prevented by law from marrying the other, for a period of not less than three years, or

(b) where neither of the persons is prevented by law from marrying the other, for a period of not less than one year,

as shown by written evidence satisfactory to the board; («conjoint de fait»)

(c) by adding the following definition in alphabetical order:

"spouse" includes a common-law spouse; («conjoint»)

28          Section 2 is repealed and the following is substituted:

Period of common-law relationship

2           For the purposes of section 32 of this Act and of any division of the pension benefit credit of a person under subsection 31(2) of The Pension Benefits Act, the period during which a teacher shall be considered a party to a common-law relationship shall be determined in accordance with the provisions of section 31 of The Pension Benefits Act.

29(1)       The following is added after subsection 6(1):

Reduction where federal maximum exceeded

6(1.1)      The pension calculated under this section shall be reduced, if necessary, so that the maximum pension allowed under the Income Tax Act (Canada) is not exceeded.

29(2)       Clause 6(6)(b) is amended by striking out "five" and substituting "two".

29(3)       Clause 6(6)(c) is repealed and the following is substituted:

(c) who reaches the age of 55 years or any greater age and, in addition, for service on and after January 1, 1992, whose service under this Act and age combined total  80 or more or who is more than 60 years of age;

29(4)       The following is added after subsection 6(6):

Reduction for service on and after January 1, 1992

6(6.1)      Where neither of the conditions set out in clause (6)(c) for service on and after January 1, 1992 has been satisfied at the time of an application for a pension, the pension calculated under subsection (1) in respect of that service shall be reduced by .25% for each month between the month in which the pension commences to be paid and the month in which one of those conditions is satisfied.

29(5)       The following is added after subsection 6(12):

Additional allowance

6(13)       A teacher receiving a pension under subsection (6) may, in addition, receive an allowance, payable in monthly instalments from the date of the teacher's retirement to the end of the month in which the teacher reaches the age of 65 years, based on factors recommended by the actuary and approved by the board and equal to the present value of an amount calculated in accordance with the following formula:

A = B - C

In this formula,

A

is the amount from which the additional allowance is determined;

B

is the pension that would be payable as of the date of the teacher's retirement as if all of the service had been accumulated prior to January 1, 1992; and

C

is the pension payable under subsection (6).

30          Clause 9(3)(b) is amended by striking out "five" and substituting "two".

31(1)       Subsections 10(5) and (6) are repealed.

31(2)       Subsection 10(7) is amended

(a) by repealing the formula and substituting the following:

Monthly pension adjustment = I x A

(b) by repealing the definitions D and Y.

31(3)       Subsection 10(9) is repealed and the following is substituted:

Adjustment of additional allowance

10(9)        A teacher receiving an allowance under subsection 6(13) is entitled to a monthly adjustment of the allowance calculated in accordance with subsection (7), and the adjustment shall cease to be payable on the date the allowance ceases to be payable.

32          Subsection 11(6) is repealed.

33          The following is added after subsection  27(3):

Certain contributions after 1990 not refundable

27(3.1)     Notwithstanding any other provision of this Act and section 3 and subsection 21(13) of The Pension Benefits Act, where a teacher

(a) ceases to be a teacher after December 31, 1989; and

(b) has at least two years of service as a teacher in the last 10 years immediately prior to his or her ceasing to be a teacher;

his or her contributions and accruals in the fund in respect of service under this Act after December 31, 1984, shall not be refunded, and the provisions of this Act continue to apply in respect of those contributions and that service after December 31, 1984.

34          The following is added after subsection 52(1):

Contributions limited

52(1.1)     The total of the contributions made in any year under subsection (1) shall be limited to the maximum allowable in the year under the Income Tax Act (Canada) for purposes of pension accrual.

35          The following is added after section 75:

Refund of conversion surplus

76          The surplus in the fund as at January 1, 1987 attributable to payments made for the conversion of service prior to July 1, 1980 to a five year average basis, shown in the January 6, 1989 actuarial report to be $ 832,700., shall be distributed, in accordance with recommendations made by the actuary and approved by the board, to the employees who made those payments.

PART 4

COMING INTO FORCE

Coming into force

36(1)       Subject to subsections (2), (3) and (4), this Act comes into force on the day it receives royal assent.

Coming into force:  section 10

36(2)       Section 10 is retroactive and is deemed to have come into force on January 1, 1992.

Coming into force:  section 14

36(3)       Section 14 comes into force on July 1, 1992, and if this Act receives royal assent after that date section 14 is retroactive and is deemed to have come into force on July 1, 1992.

Coming into force:  section 20

36(4)       Section 20 comes into force on the day this Act receives royal assent or on November 1, 1992, whichever occurs last.