Alberta Regulation 30/2000

Municipal Government Act

Interpretation Act

CAPITAL REGION SEWAGE COMMISSION AMENDMENT REGULATION

Filed: February 16, 2000

Made by the Lieutenant Governor in Council (O.C. 40/2000) on February 16,

2000 pursuant to

section 602.02 of the Municipal Government Act.

1 The Capital Region Sewage Commission Regulation (AR 129/85) is amended

by this Regulation.

2 The heading before the title, indicating the enabling Act, is repealed

and the following is substituted:

Municipal Government Act

Section 1 is amended by striking out "Capital Region Sewage" and

substituting "Alberta Capital Region Wastewater".

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Alberta Regulation 31/2000

Municipal Government Act

EVERGREEN REGIONAL WASTE MANAGEMENT SERVICES

COMMISSION REGULATION

Filed: February 16, 2000

Made by the Lieutenant Governor in Council (O.C. 41/2000) on February 16,

2000 pursuant to

section 602.02 of the Municipal Government Act.

Table of Contents

Establishment 1

Members 2

Services 3

Operating deficits 4

Sale of property 5

Profit and surpluses 6

Establishment

1 A regional services commission known as the Evergreen Regional Waste

Management Services Commission is established.

Members

2 The following municipalities are members of the Commission:

(

a) County of St. Paul No. 19;

(

b) Smoky Lake County;

(

c) Town of St. Paul;

(

d) Town of Elk Point;

(

e) Town of Smoky Lake;

(

f) Village of Vilna;

(

g) Village of Warspite;

(

h) Village of Waskatenau.

Services

3 The Commission is authorized to provide solid waste management

services.

Operating deficits

4 The Commission must not assume

(

a) operating deficits that are shown on the books of any of the

member municipalities;

(

b) any debts, liabilities, obligations or agreements incurred,

held or entered into by the member municipalities with respect to modified

landfill operations.

Sale of property

5(1) The Commission may not, without the approval of the Lieutenant

Governor in Council, sell any of its land, buildings, equipment or

inventory whose purchase has been funded wholly or partly by grants from

the Government of Alberta.

(2) The Lieutenant Governor in Council may not approve a sale under

subsection (1) unless the Lieutenant Governor in Council is satisfied

(

a) as to the repayment of grants from the Government of Alberta

and outstanding debt associated with that portion of the land, buildings,

equipment and inventory to be sold,

(

b) that the sale would not have a significant adverse effect on

the services the Commission provides, and

(

c) that the sale will be properly reflected in the rates

subsequently charged to the customers of the Commission.

Profit and surpluses

6(1) Unless otherwise approved by the Minister, the Commission must not

(

a) operate for the purposes of making a profit, or

(

b) distribute any of its surpluses to its member municipalities.

(2) The Minister's approval may contain any terms or conditions that the

Minister considers appropriate.

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Alberta Regulation 32/2000

Traffic Safety Act

LICENCE SUSPENSION PROGRAM AMENDMENT REGULATION

Filed: February 22, 2000

Made by the Minister of Infrastructure (M.O. 5/00) on February 14, 2000

pursuant to

section 64(

a) and (

u) of the Traffic Safety Act.

1 The Licence Suspension Program Regulation (AR 249/99) is amended by

this Regulation.

2 The form in the

Schedule is struck out and the form attached to this

Regulation is substituted.

FORM

IMPORTANT INFORMATION

TEMPORARY OPERATOR'S PERMIT

Your privilege to operate a motor vehicle in the Province of Alberta has

been suspended/disqualified pursuant to the Traffic Safety Act. If you are

eligible for a Temporary Operator's Permit, this allows you to operate a

motor vehicle in the Province of Alberta for a period of 21 days starting

on the "Issue Date" as indicated on the face of this form. This Temporary

Operator's Permit carries the same conditions and restrictions and is the

same class as your current operator's licence.

REINSTATEMENT CONDITIONS

There may be reinstatement conditions associated with this

suspension/disqualification. Until you comply with all reinstatement

conditions as set out by the Registrar, your driving

suspension/disqualification will remain in effect. A list of these terms

and conditions may be obtained at any Alberta Registry Agent.

REVIEW PROCESS

You have the right to have this driving suspension/disqualification

reviewed by the Driver Control Board. A hearing before the Board can

either be in writing or in person. Application forms to initiate the

review process are available at any Alberta Registry Agent. There is a fee

for the review process.

 The issue of hardship caused by this

suspension/disqualification will not be considered.

 The filing of an application for review does not stay the

suspension/disqualification.

At the hearing, the Board shall consider any relevant sworn or solemnly

affirmed statements, the report of the peace officer, a copy of any

certificate of analysis and, where an oral hearing is held, any relevant

evidence and information or presentations. If you request an oral hearing

and fail to appear on the date and at the time and place arranged for the

hearing, without prior notice to the Board, your appeal is abandoned.

OUT OF PROVINCE OPERATOR'S LICENCE

If you currently hold a valid operator's licence from a jurisdiction other

than from the Province of Alberta, you are not eligible for a Temporary

Operator's Permit. However, subject to any conditions and driving

privileges your current licence affords you, your disqualification will

commence on the 22nd day following the issue date as indicated on the face

of this form.

REGISTRY AGENTS

To obtain further information contact the Alberta Registry Agent near you.

For a listing of authorized agents, please refer to the Yellow Pages under

Licensing and Registry Services.

Alberta Regulation 33/2000

Apprenticeship and Industry Training Act

HAIRSTYLIST TRADE AMENDMENT REGULATION

Filed: February 22, 2000

Made by the Alberta Apprenticeship and Industry Training Board on December

10, 1999 and approved by the Minister of Learning on February 14, 2000

pursuant to

section 33(2) of the Apprenticeship and Industry Training Act.

1 The Hairstylist Trade Regulation (AR 286/93) is amended by this

Regulation.

2 The

Schedule is amended in

section 3 by repealing clause (

b) and

substituting the following:

(

b) using rinses, tints and bleaches;

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Alberta Regulation 34/2000

Apprenticeship and Industry Training Act

INSULATOR TRADE AMENDMENT REGULATION

Filed: February 22, 2000

Made by the Alberta Apprenticeship and Industry Training Board on December

10, 1999 and approved by the Minister of Learning on February 14, 2000

pursuant to

section 33(2) of the Apprenticeship and Industry Training Act.

1 The Insulator Trade Regulation (AR 19/96) is amended by this

Regulation.

2 The

Schedule is amended

(

a) in

section 1 by adding the following after clause (f):

(

g) utilidors.

(

b) in

section 3(

d) by striking out ", explosive actuated tools".

Alberta Regulation 35/2000

Employment Pension Plans Act

EMPLOYMENT PENSION PLANS REGULATION

Filed: February 23, 2000

Made by the Lieutenant Governor in Council (O.C. 43/2000) on February 23,

2000 pursuant to

section 62 of the Employment Pension Plans Act.

Table of Contents

Interpretation for purposes of the Act 1

Interpretation 2

Part 1

Administration

Collection of personal information 3

Extension of time limits 4

Participation agreements 5

Fees 6

Consolidated copies of plans and other documents 7

Returns by administrators 8

Review of plan 9

Actuarial valuation report and cost certificate 10

Collective agreement, etc., or financial statements of SMEPP 11

Timing of explanation or

summary 12

Additional explanation or

summary requirements 13

Annual statement 14

Statement on termination of membership 15

Retirement statement 16

Transfer statement for specified multi-employer plans 17

Exemptions from sections 14 to 17 18

Statement on death before pension commencement 19

Calculation data 20

Notice of intention to terminate or wind up 21

Termination or winding-up statement 22

Statement on reduction in working time 23

Information on spousal relationship breakdown 24

Examination and provision of copies 25

Part 2

Registration and Amendment

Registration of plans 26

Amendment of plans 27

Part 3

Provisions Respecting Contractual

Plan Provisions

Benefit and contribution formulas 28

Commuted value 29

Entitlement of employees to join plan 30

Pensioner's recommencing employment 31

Locking in 32

Interest 33

Treatment of excess contributions 34

Manner and extent of transfers 35

Minimum amount for compulsory transfer 36

Exercise of options 37

Acknowledged institutions 38

Locked-in retirement account conditions 39

Life income fund conditions 40

Locked-in retirement income fund conditions 41

LIRAs, LIFs and LRIFs on spousal relationship breakdown 42

Spousal waiver forms 43

Optional ancillary contributions and ancillary benefits 44

Maximum commutable amounts 45

Conversion of pensions to other benefits 46

Variation for reduction in working time 47

Solvency tests and funding of plans 48

Remitting of contributions 49

Investment requirements 50

Statement of investment policies and procedures 51

Review, confirmation or amendment of investment statement 52

Safeguarding of investments 53

General investment rules 54

Allocation and distribution of assets on winding-up 55

Part 4

Division and Distribution of Benefits

on Spousal Relationship Breakdown

Definitions 56

Matrimonial property orders 57

Division and distribution of benefits 58

Calculation of benefits 59

Adjustment of member-spouse's share 60

Fees 61

Filing of documents with administrator 62

Part 5

Termination, Winding-up, Withdrawal

and Succession

Rules on plan termination and MUPP employer withdrawal 63

Qualifications for signing termination report 64

Predecessor and successor plans and employers 65

Part 6

Miscellaneous Provisions

Repayment of funds wrongfully transferred 66

Surplus and excess assets 67

Exemptions 68

Transitional - registration of amendments 69

Transitional - pre-1987 special payments 70

Transitional - LIRAs, etc. 71

Amendment - audited financial statements 72

Repeals 73

Coming into force 74

Schedules

Interpretation for purposes of the Act

1(1) For the purposes of the Act,

(a) "audited financial statements" means financial statements that

are

(

i) prepared in accordance with generally accepted

accounting principles, including the accounting recommendations of the

Canadian Institute of Chartered Accountants set out in the Handbook

published by that Institute, as amended from time to time, and

(ii) accompanied by an audit report that is prepared

(

A) by a person who is legally entitled to

engage in the performance of an audit, within the meaning of the Chartered

Accountants Act, in Alberta on a fee for service basis, and

(

B) in accordance with generally accepted

auditing standards, including the auditing recommendations of that

Institute set out in the Handbook, as amended, referred to in subclause

(i);

(b) "bridging benefits" means a series of periodic payments

provided to a former member who terminated before attaining the age of 65

years for a fixed period of time ending not later than the date when he

attains that age;

(c) "disability benefits" means a series of periodic payments

provided to a former member who has become totally or partially disabled

prior to attaining pensionable age;

(d) "file", used in

Part 3.1 of the Act with reference to the

filing of a matrimonial property order or agreement with a plan's

administrator, means file under

section 62;

(e) "matrimonial property agreement" means an agreement entered

into between spouses or former spouses in proceedings under the Matrimonial

Property Act and providing for the division and distribution of a benefit,

that is adopted by the Court as a consent order;

(f) "optional ancillary benefits" means benefits that the tax Act

allows a pension plan to provide in respect of a member under a defined

benefit provision as a consequence of the member's having made optional

ancillary contributions;

(g) "participation agreement" means an agreement between a

participating employer or employers on the one hand and the administrator

of a specified multi-employer plan or a multi-unit plan on the other hand,

that meets the conditions set out in

section 5(1) or (2) respectively;

(h) "postponed retirement benefits" means enhancements to the

pension of a person referred to in

section 35(2) of the Act beyond that

payable as a result of the application of that subsection.

(2) For the purposes of

section 1(1)(

j) and (

q) of the Act, the following

are prescribed to be provinces in which there is in force legislation

substantially similar to the Act and this Regulation, and "initial

qualification date" means, in respect of employment in each of those

provinces, the respective date specified:

(

a) Ontario: January 1, 1965;

(

b) Quebec: January 1, 1966;

(

c) The Northwest Territories: October 1, 1967;

(

d) The Yukon Territory: October 1, 1967;

(

e) Saskatchewan: January 1, 1969;

(

f) Manitoba: July 1, 1976;

(

g) Nova Scotia: January 1, 1977;

(

h) Newfoundland: January 1, 1985;

(

i) New Brunswick: December 31, 1991;

(

j) British Columbia: January 1, 1993;

(

k) Nunavut: April 1, 1999.

(3) For the purposes of

section 1(1)(m.1) of the Act, the prescribed

assets and liabilities of a pension plan are respectively,

(

a) in respect of defined contribution provisions,

(

i) the market value of those of its assets that derive

from defined contribution provisions, and

(ii) the liabilities that are equal to the aggregate of

those of its assets that derive from defined contribution provisions that

(

A) represent employer and member

contributions with interest, and

(

B) are or may be required by the plan to

be applied for the provision of benefits,

and

(

b) in respect of defined benefit provisions, those of the plan's

going concern assets and going concern liabilities that relate to defined

benefit provisions, as stated in the most recent actuarial valuation report

or cost certificate filed.

(4) The conditions prescribed for the purposes of

section 1(1)(s.1) of the

Act are

(

a) those prescribed for a LIRA or contract in

section 39,

(

b) that the RRSP was treated as locked in by the Employment

Pension Plans Regulation (AR 364/86) (repealed), as it existed until

February 3, 1993, or

(

c) that, under the legislation of the designated province of which

the owner of the RRSP is resident for the purposes of the tax Act, the RRSP

is generally equivalent to a LIRA or a locked-in RRSP and is provided to be

a LIRA or a locked-in RRSP for the purposes of that legislation.

(5) For the purposes of

section 1(1)(

z) of the Act, "pension plan" or

"plan" does not include

(

a) an employees profit sharing plan or a deferred profit sharing

plan within the meaning of sections 144 and 147 respectively of the tax

Act, or

(

b) an arrangement to provide a retiring allowance within the

meaning of

section 248(1) of the tax Act.

(6) The provisions of the tax Act prescribed for the purposes of

section

1(1)(aa.1) of the Act are subsections 8515(1) and (4) of the Income Tax

Regulations (Canada) (CRC Vol X c945).

(7) The conditions prescribed for the purposes of

section 1(1)(ee.1)(

i) of

the Act are those specified in

section 40, to the extent that the

retirement income arrangement is a LIF, and

section 41, to the extent that

it is an LRIF.

(8) An arrangement prescribed for the purposes of

section 1(1)(ee.1)(ii)

of the Act is a vehicle that, under the legislation of the designated

province of which the owner of the vehicle is a resident for the purposes

of the tax Act, is generally equivalent to a LIF or an LRIF and that is

provided to be a retirement income arrangement for the purposes of that

legislation.

(9) The breaks in employment prescribed for the purposes of

section

1(1)(qq)(i.1) of the Act are, assuming that an actual cessation of

employment has not occurred, any period not exceeding 26 consecutive weeks,

(

a) where the continuous period is with one employer, during which

the member immediately before the commencement of the period was in the

employment of the employer and is not doing work or providing a service for

that employer for remuneration and after the expiry of which is again in

the employment of that employer, or

(

b) where the continuous period is with more than one employer,

respecting which the plan treats the employment as continuing without

interruption.

(10) For the purposes of

section 1.01(1) of the Act, the purposes of the

Act prescribed relate to the

interpretation of sections 1(1)(k), (l), (

m) and (

t) and (3), 23, 24, 26, 27(5) and (12), 29(2) and 30(1) of the Act.

Interpretation

2(1) In this Regulation,

(a) "Act" means the Employment Pension Plans Act;

(b) "filed", subject to

section 1(1)(d), means filed with the

Superintendent under the Act or this Regulation or under the former Act;

(c) "fiscal year", except where not used in relation to a pension

plan, means the fiscal year of the plan in question;

(d) "going concern assets" means the value of the assets of a plan

as of the relevant review date, determined on the basis of a going concern

valuation;

(e) "going concern liabilities" means the actuarial present value

of a plan's benefits as of the relevant review date, determined on the

basis of a going concern valuation;

(f) "going concern valuation" means a valuation, prepared on the

basis of actuarial assumptions and methods that are adequate and

appropriate and that are in accordance with generally accepted actuarial

principles, of the assets and liabilities of a plan respecting which no

decision has been made to terminate it or to wind it up;

(g) "insured plan" means a pension plan under which all the

benefits are insured by a contract with an insurance business under which

that business is obligated to pay those benefits;

(h) "latest pension commencement date" means, in relation to a

member or former member whose pension has not yet commenced, the last

moment as of which that person is allowed to commence to receive the

pension under the tax Act;

(i) "LIF" means a retirement income arrangement, known as a life

income fund, that is a RRIF that will not commence before the person

entitled to it attains the age of 50 years and that meets the conditions

set out in

section 40;

(j) "life annuity contract" means an arrangement made to purchase

through an insurance business a non-commutable pension that will not

commence before the person entitled to it attains the age of 50 years;

(k) "LIRA" means a locked-in retirement account;

(l) "LRIF" means a retirement income arrangement, known as a

locked-in retirement income fund, that is a RRIF that will not commence

before the person entitled to it attains the age of 50 years and that meets

the conditions set out in

section 41;

(m) "member-spouse" and "non-member-spouse" have the meanings

assigned to them in

section 44.1(1)(

c) of the Act;

(n) "money", where appropriate, includes other assets;

(o) "normal actuarial cost" means the amount estimated by a

reviewer, on the basis of a going concern valuation, to be the cost to

persons required to contribute to a plan of the plan's benefits for a

fiscal year, excluding any special payments, determined in accordance with

the same methods and assumptions that are used to determine the going

concern liabilities;

(p) "plan termination basis" means a basis for determining the

value of a plan's liabilities that

(

i) is predicated on the hypothesis of the plan's

terminating at the review date and takes into account any benefit increases

or decreases as a result of the hypothetical termination, other than

decreases resulting from a reduction in benefits as contemplated by

section

42(1) of the Act, and

(ii) if the plan is not in fact terminating and if the

Superintendent so allows in writing, is based on assumptions for the

calculation of commuted values under a defined benefit provision that meet

the conditions of

section 1(1)(e)(i)(

A) and (

C) of the Act but that differ

from those prescribed in

section 29(1)(a);

(q) "review" means a review under

section 6(4) of the Act of a plan

that contains one or more defined benefit provisions;

(r) "review date" means, in relation to a review, the date as of

which that review is or was required to be made;

(s) "reviewer" means the person referred to in

section 9(2) making

the review in question;

(t) "RRIF" means a retirement income fund within the meaning of the

tax Act that is registered under the tax Act;

(u) "solvency deficiency" means the amount, if any, by which the

plan's liabilities, determined on a plan termination basis and as of the

latest review date, exceed,

(

i) in the case of a pension plan that is not

terminating, the value of its assets as determined under subsection (2),

and

(ii) in the case of a plan that is terminating, the

value of its assets as determined under subsection (2), exclusive of the

items specified in subsection (2)(b)(ii);

(v) "solvency ratio" means the fraction obtained by dividing the

value of a plan's assets determined by applying subsection (2)(a), by the

liabilities of that plan calculated on a plan termination basis as of the

latest review date;

(w) "special payments" means payments referred to in

section

48(3)(

b) or (c), (4) or (5);

(x) "statement of investment policies and procedures" means the

statement established under

section 51(1);

(y) "unfunded liability" means the amount, if any, by which a

plan's going concern liabilities exceed its going concern assets.

(2) For the purposes of subsection (1)(u), the value of a plan's assets is

(

a) to be determined as of the latest review date and on the basis

of their market value, but reduced by the actuary's estimate of the

expenses that would be incurred in winding up the plan, and

(

b) to include

(

i) any cash balances and accrued and receivable

income, and

(ii) the actuarial present value, determined using the

same methods and assumptions as are used in the valuation of the plan's

liabilities for the purposes of subsection (1)(u), of any special payments

that are

(

A) payable in respect of benefits for

employment before the effective date of the plan, if no benefits for that

employment have been provided under the plan previous to the establishment

of those special payments, or

(

B) payable over the 5 years following the

plan's latest review date and not included in paragraph (A).

(3) For the purposes of this Regulation, money is locked in to a pension

plan, LIRA, LIF, LRIF or life annuity contract if its withdrawal, surrender

or commutation is prohibited by or as the result of the application of

(a)

section 27(1) or (2) or 44.7(2) of the Act,

(b)

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

(

c) any legislation of a designated province that is similar to any

of those provisions of the Act or this Regulation, or

(

d) a plan provision under

section 22.1(5) of the Act.

(4) Section 20 of the Act, as it relates to

Part 3 and

section 1 of the

Act, also applies with respect to

Part 3 and sections 1 and 2 of this

Regulation respectively.

(5) Where a provision of this Regulation refers to employment in Alberta

or in Alberta or a designated province and the subject-matter of the

provision is not dealt with by

section 1.01(1) of the Act, that reference

is to be taken to include employment outside Alberta and the designated

provinces if the person's last employment within Alberta and the designated

provinces before the event in question was in Alberta.

(6) For the purposes of this Regulation, assets of a pension plan are

determined on the basis of their market value

(

a) if those assets are valued at the most probable price that they

should bring in an arm's length sale in a competitive and open market under

all conditions requisite to a fair sale and on terms that, having regard to

open market conditions, are competitive and not unreasonable and assuming

that the price is not affected by undue stimuli, with both seller and buyer

acting willingly, prudently and knowledgeably, and

(

b) if, where the Superintendent so requires, the value is that

established in an appraisal by an independent appraiser acceptable to the

Superintendent.

PART 1

ADMINISTRATION

Collection of personal information

3 The Superintendent may collect personal information about persons

entitled to benefits under a pension plan if the information is necessary

to determine whether the plan is in full compliance with the Act and this

Regulation.

Extension of time limits

4 For the purposes of

section 4 of the Act, the prescribed provisions are

(

a) sections 3.2, 7(1), (2) and (3), 8(1) and (4), 12(1), 13(1),

16(2), 28(4), 36(1) and (1.1), 40(2), 48(1) and 51(3) and (4) of the Act,

and

(

b) sections 7, 8, 10(2), 12, 14 to 17, 19(1), 20, 22(1), 23, 24,

27(1), (3) and (4), 29(1)(b), 55(9), (10) or (11) and 63(2)(

a) of this

Regulation.

Participation agreements

5(1) The conditions referred to in

section 1(1)(g), so far as it relates

to a specified multi-employer plan, whether or not any particular employer

was a party to the original agreement where there is more than one

agreement, are that the agreement or agreements

(

a) set the terms of employer participation in the plan,

(

b) bind all the participating employers to the terms of the trust

deed or agreement or similar document, and

(

c) make each participating employer responsible for making

contributions and special payments to the plan as required by the

applicable collective agreement.

(2) The conditions referred to in

section 1(1)(g), so far as it relates to

a multi-unit plan, and that are also prescribed for the purposes of

section

5.01(2) of the Act, whether or not any particular employer was a party to

the original agreement where there is more than one agreement, are that the

agreement or agreements

(

a) set the terms of employer participation in the plan,

(

b) bind all the participating employers to the terms of the trust

deed or agreement or similar document, and

(

c) make each participating employer responsible for making

contributions and special payments to the plan as required under the plan

by the administrator.

Fees

6(1) The fee for filing a return referred to in

section 7(3)(a)(ii) of the

Act or, subject to subsection (2), an application for registration under

section 12(1) of the Act is payable at the rate of $6 for each person who

was a member of the pension plan at the effective date of the plan in the

case of such an application or at the end of the fiscal year in the case of

such a filing, subject to a minimum fee of $100 and a maximum fee of $10

000 for each filing.

(2) The fee for an application for registration of a plan for specified

individuals under

section 12(1) of the Act is $500.

(3) The fee payable on the termination of a plan for specified individuals

is $100.

(4) The fee for obtaining a written notice of consent from the

Superintendent under

section 58(1)(

c) of the Act is a fee based on the cost

of the service provided, calculated in accordance with subsection (5).

(5) The fee is in the amount of $100 for each hour or portion of an hour

spent by each person in performing the service, except that

(

a) there is no fee if the surplus or excess assets to be paid or

transferred amount to less than $500, and

(

b) the total fee is not to exceed 25% of those surplus or excess

assets.

(6) The amount of time charged for shall be as evidenced in a notice given

by the Superintendent to the administrator requesting payment.

Consolidated copies of plans and other documents

7 Where there are 5 or more amendments to a pension plan or any other

document referred to in

section 12(1)(

a) of the Act, the Superintendent may

require the administrator to provide a certified consolidated copy of the

plan or document, incorporating all amendments to date, within 180 days of

the Superintendent's requiring it in writing, and the administrator shall

comply with that requirement.

Returns by administrators

8(1) A certificate referred to in

section 7(3)(a)(

i) of the Act must be

filed by the deadline when, if it were a return referred to in

section

7(3)(a)(ii) of the Act, it would have to be filed under subsection (2).

(2) A return referred to in

section 7(3)(a)(ii) of the Act must be filed

(

a) where the plan has not been terminated, within 180 days after

the end of each fiscal year,

(

b) where the plan has been terminated and approval to postpone the

winding-up has not been given, within 60 days after the date of the

termination, or

(

c) where the plan has been terminated and approval to postpone the

winding-up has been given, within 60 days after the date of the termination

and thereafter within 60 days after each anniversary date of the

termination,

and also, if applicable, at the end of any period in which the employer is

required to make payments into the plan under

section 48(2) of the Act and

section 63.

Review of plan

9(1) This

section and

section 10 apply only to pension plans that contain

one or more defined benefit provisions.

(2) The review of a plan must be made by a Fellow of the Canadian

Institute of Actuaries except that, in the case of an insured plan, it may

be made by a person who is authorized to prepare or sign an actuarial

valuation report or cost certificate under

section 10(1).

(3) An administrator shall have the plan reviewed

(

a) in the case of a new plan, as of the effective date of the

plan,

(

b) where the Superintendent sends a notice to the administrator

requesting that a review be made of the plan, as of the date specified in

the notice, and

(

c) subject to clauses (

a) and (

b) and subsections (4) to (8), as

of the end of a fiscal year and within intervals not exceeding 3 years

after the immediately preceding review date.

(4) Subsection (3)(

c) does not apply with respect to a plan that is

terminated and with respect to which the employer is still required to make

payments towards the elimination of a solvency deficiency or has eliminated

it.

(5) A plan may state a review date other than the fiscal year end required

by subsection (3)(c), in which case the maximum 3-year interval in

subsection (3)(

c) applies with reference to that changed date, but once

another date has been so established, the plan may not be again amended to

change that date within the 5-year period following that when the change

was made.

(6) The Superintendent may, on application by the administrator, in

writing extend any interval referred to in subsection (3)(

c) where he

considers that the circumstances of the case justify it, but the total

period of the interval must not exceed 33/4 years and the next review must

be performed by the deadline that would have applied had the extension not

been given.

(7) Where

(

a) an amendment to the plan, or

(

b) benefits provided at the discretion of the administrator

affect the cost of benefits provided by the plan, create an unfunded

liability or otherwise affect the solvency or funding of the plan, the

administrator shall have the plan reviewed or the latest review revised as

of the date the amendment is made or the discretionary benefits are

provided, as the case may be.

(8) Where subsection (7) is applied, the administrator shall have the next

review performed not later than 3 years after the last day of the fiscal

year or the other date established under subsection (5), as the case may

be, preceding the date when the amendment was made or the discretionary

benefits were provided, as the case may be.

Actuarial valuation report and cost certificate

10(1) For the purposes of

section 7(3)(

b) of the Act, an actuarial

valuation report or a cost certificate respecting an insured plan may be

prepared or signed, as the case may be, by any person so authorized by the

insurance business.

(2) Subject to

section 27(4), actuarial valuation reports and cost

certificates resulting from reviews with review dates occurring after the

effective date of the plan must be filed not later than,

(

a) in the case of a specified multi-employer plan or multi-unit

plan, 270 days, and

(

b) in the case of any other plan, 180 days,

after the review date.

(3) An actuarial valuation report or a cost certificate resulting from a

review must be prepared in a manner that is consistent with the

recommendations for the preparation of actuarial valuation reports in

connection with pension plans issued by the Canadian Institute of Actuaries

and, subject to this section, must include the following, so far as

applicable:

(

a) the estimated total dollar cost of benefits for all members,

showing separately the employer contributions and the member contributions

relating to the normal actuarial cost,

(

i) for the fiscal year following the review date,

where that date falls on the last day of a fiscal year, or

(ii) for the fiscal year in which the review date falls,

where that date falls on any other day;

(

b) the rules for computing normal actuarial cost and for

allocating that cost between the employer and the members in respect of

employment in the period covered by the report or certificate;

(

c) the date of establishment and the unamortized balance of any

unfunded liability, the special payments to be made to amortize that

liability and the date at which that liability will be amortized;

(

d) either

(

i) a statement that in the opinion of the reviewer

there is no solvency deficiency, or

(ii) the date of establishment and the unamortized

balance of any solvency deficiency, the special payments to be made to

amortize, and the value of the assets and liabilities used to determine,

that solvency deficiency, together with the assumptions and valuation

methods used to calculate those liabilities, and the date at which that

solvency deficiency will be amortized;

(

e) either

(

i) a statement that in the opinion of the reviewer,

the solvency ratio is not less than one, or

(ii) if the solvency ratio is less than one, the

solvency ratio, the value of the assets and liabilities used to determine

the solvency ratio and the assumptions and valuation methods used to

calculate those liabilities;

(

f) the surplus assets or excess assets, as the case may be, of the

plan and, if known to the reviewer, a description of how they will be

utilized;

(

g) the value of the assets of the plan on a market and, if

available, a book basis, the value of the going concern assets and a

description of the valuation method used to determine the going concern

assets;

(

h) the value of the going concern liabilities with respect

separately to

(

i) members,

(ii) as a single grouping,

(

A) former members who have not commenced

to receive their pensions under the plan, and

(

B) other persons, other than members, who

have a future entitlement to receive payments from the plan,

and

(iii) as a single grouping,

(

A) former members receiving their

pensions, and

(

B) other persons who are receiving

payments from the plan,

and a description of the assumptions and valuation methods used

to determine those values;

(

i) in the case of a review occurring after the effective date of

the plan, a reconciliation of the results of the review and identification

of the sources of experience gains and losses since the immediately

previous review date;

(

j) with respect to a defined benefit provision of a specified

multi-employer plan where employer contributions are based on a fixed rate

of dollars and cents per hour of employment,

(

i) the respective average rate per hour per member

that will be contributed by the employer and the members,

(ii) a breakdown of the rate specified under subclause

(i), stating the rate per hour attributable to the plan's normal actuarial

cost and the amortization of an unfunded liability or solvency deficiency

and the rate per hour that is to be applied as part of a contingency

reserve, and

(iii) the average number of hours of employment per

member per fiscal year that has been assumed for the purposes of the

review;

(

k) such other information as the Superintendent requires to be

able to determine whether the plan will meet the solvency tests.

(4) Where a going concern valuation is made in respect of a plan that

provides a pension based on a rate of salary during a period immediately

before the date of pension commencement or on average rates of salary over

a specified and limited period, a projection of the current salary of each

member shall be used to estimate the salary on which the pension payable at

pension commencement will be based.

(5) Where the actuarial method used in a review is such that an unfunded

liability or solvency deficiency may not be revealed, the reviewer shall

perform supplementary calculations to show that the solvency tests are

being met, and the reviewer shall certify that they are being met.

(6) Where all the benefits under an insured plan established before the

initial qualification date are funded by level premiums that do not extend

beyond the pensionable age for each member or former member, an actuarial

valuation report or cost certificate may confirm the adequacy of the

premiums to provide for the payment of all benefits instead of providing

the information required by subsection (3).

(7) Where a person who is authorized by subsection (1) to prepare or sign

an actuarial valuation report or cost certificate respecting an insured

plan certifies that

(

a) all benefits relating to a defined benefit provision of the

plan are insured by a contract with an insurance business under which that

business is obligated to pay those benefits and that no further benefits

are to accrue under that provision without further amendment of the plan,

and

(

b) all future benefits will accrue under a defined contribution

provision of the plan,

the administrator is not required to file any further actuarial valuation

reports or cost certificates until the plan again provides for benefits to

accrue under a defined benefit provision.

Collective agreement, etc., or financial statements of SMEPP

11(1) The period prescribed for the purposes of

section 7(3)(

c) of the Act

is 30 days.

(2) The period prescribed for the purposes of

section 7(3)(

d) of the Act

is 60 days.

Timing of explanation or

summary

12(1) The administrator of a pension plan, pursuant to

section 8(1)(

a) of

the Act, shall provide an explanation or

summary of the plan, including its

name and Canada Customs and Revenue Agency registration number, and of the

relevant entitlements and obligations under the plan,

(

a) in the case of a new plan, to each member within 120 days after

the effective date of the plan,

(

b) in the case of an existing specified multi-employer plan that

has not received the approval of the Superintendent under

section 23(3) of

the Act, to each member who has not already received one at the same time

as the first statement is provided to the member under

section 14(1) or

within 30 days after a request made by him for the explanation or

summary

is received by the administrator, whichever occurs first, and

(

c) in the case of any other existing plan, to each employee

referred to in

section 8(1)(

a) of the Act,

(

i) at least 30 days before the employee first becomes

eligible or is required to be a member of that plan, or

(ii) on or before the employee's date of employment, if

he becomes eligible or is required to be a member at or less than 30 days

after the date of his employment.

(2) The administrator shall, pursuant to

section 8(1)(

a) of the Act,

provide an explanation or

summary of an amendment to the plan and of the

relevant entitlements and obligations under that amendment,

(

a) if the amendment adversely affects the rights of a member or

former member or of any other person entitled to benefits or payments from

the plan and the Superintendent requires the administrator by notice in

writing to do so, within 14 days of being served with that notice,

(

b) in the case of a specified multi-employer plan referred to in

subsection (1)(b), where the amendment does not have such an adverse

effect, at the same time as the next following statement is provided to the

member under

section 14(1) or within 30 days after a request made by him

for the explanation or

summary is received by the administrator, whichever

occurs first, or

(

c) in any other case affecting benefits or contributions, within

90 days after the registration of the amendment.

Additional explanation or

summary requirements

13(1) The administrator of a pension plan, pursuant to

section 8(1)(a)(ii)

of the Act, shall provide with or in the relevant explanation or

summary

referred to in

section 12(1),

(

a) where the plan requires interest to be paid on member or

additional voluntary contributions or optional ancillary contributions

pursuant to

section 28 of the Act, a brief description of how the plan's

assets are invested,

(

b) where any change is made respecting how the plan's assets are

invested, an explanation of the change,

(

c) a description of the method used to determine the application

of interest on member or additional voluntary contributions or optional

ancillary contributions and, where that method may give rise to a negative

rate of interest, a statement of that fact, and

(

d) where the plan permits a member to make optional ancillary

contributions, a full explanation of the benefits available for purchase,

the estimated value of the maximum benefits allowable at pensionable age

and a statement explaining the risk of forfeiture of part of those

contributions under the tax Act.

(2) The administrator shall provide with any explanation or

summary

provided under

section 12(2)(a), a written notice inviting the recipients

to submit representations on the subject-matter to the administrator within

45 days of the sending of that invitation.

Annual statement

14(1) An administrator shall provide, pursuant to

section 8(1)(

b) of the

Act and within 180 days after the end of each fiscal year, an annual

statement for the fiscal year just ended containing or accompanied by the

following information so far as applicable respecting the member:

(

a) the name of the plan and its Canada Customs and Revenue Agency

registration number;

(

b) the member's name;

(

c) the date or, if the date is not known, the month of the

commencement of his employment;

(

d) his designated beneficiary under the plan;

(

e) in respect of contributions that have been transferred from

another plan and applied under a defined benefit provision and where no

period of employment has been credited for the purposes of determining

benefits, the amount of pension that will be provided by the plan by those

contributions;

(

f) in respect of employer contributions under a defined

contribution provision,

(

i) the balance at the end of the fiscal year previous

to that covered by the statement,

(ii) the contributions made during the fiscal year

covered,

(iii) the amount of interest accrued during the fiscal

year covered, and

(iv) the rate of interest applied during the fiscal year

covered or the manner in which interest was applied and, if the rate of

interest is net of transaction fees and charges, the gross rate of interest

before the reduction for fees and charges;

(

g) subject to

section 18(2), in respect of each of the following

categories of contribution, that is

(

i) contributions transferred from another plan that

have not been applied under a defined benefit provision and that are locked

in,

(ii) required member contributions,

(iii) as a single categorization, both contributions

transferred from another plan that have not been applied under a defined

benefit provision and that are not locked in and additional voluntary

contributions, and

(iv) optional ancillary contributions,

the items referred to in clause (f)(

i) to (iv);

(

h) in the case of a defined benefit provision,

(

i) the period of employment credited for the purposes

of determining the member's benefits,

(ii) assuming full vesting, the estimated annual pension

accrued to the end of the fiscal year covered and payable at pensionable

age, and

(iii) if the formula for determining benefits provides

for a reduction of the pension by an amount payable under the Canada

Pension Plan (Canada), the Quebec Pension Plan (Quebec) or the Old Age

Security Act (Canada) or another pension plan, a statement to that effect;

(

i) if the solvency ratio, as of the latest review date, is less

than one,

(

i) the solvency ratio expressed as a percentage,

(ii) a statement that, on a plan termination basis, the

plan's assets are not sufficient to cover the liabilities accrued in

respect of benefits promised, as of the latest review date, and

(iii) confirmation that special payments are being made

to make the plan solvent in accordance with the Act and this Regulation;

(

j) if, in the case of a specified multi-employer plan, the member

has not completed at least 350 hours of employment during the period of the

last 2 consecutive completed fiscal years of the plan, a statement

informing the member of that fact and that he may apply for a transfer

under

section 30(3) or, if applicable, (4) of the Act;

(

k) where the plan permits a member to make optional ancillary

contributions,

(

i) the estimated amount of optional ancillary

contributions that he could make to purchase the available optional

ancillary benefits as of certain ages, assuming continuous employment and

current earnings, and

(ii) a statement that there is a risk of forfeiture of

part of those contributions under the tax Act;

(

l) if the member's membership is suspended pursuant to the plan,

the dates on which he has the right to have his suspension lifted.

(2) The annual statement may, without limiting any other effective mode of

service, be sent by ordinary mail to the last address of the member known

to the administrator.

Statement on termination of membership

15(1) Subject to

section 18, an administrator shall provide, pursuant to

section 8(1)(

c) of the Act and within 60 days after the termination of

membership or the receipt of the written request for information under that

clause, as the case may be, a statement containing the following

information:

(

a) the name of the plan and its Canada Customs and Revenue Agency

registration number;

(

b) the former member's name;

(

c) the date of the commencement of his employment;

(

d) the date of the termination of his membership;

(

e) the extent to which a pension has vested in him;

(

f) to the extent that a pension has not vested in him,

(

i) the information referred to in

section 14(1)(

e) and

(g), updated,

(ii) an explanation of the options available, and

(iii) the deadlines for choosing any option available and

the consequences, if any, of not meeting them;

(

g) to the extent that a pension has vested in him,

(

i) in the case of a defined contribution provision,

the information referred to in

section 14(1)(

f) and (g), updated,

(ii) in the case of a defined benefit provision,

(

A) the information referred to in

section

14(1)(e), (

g) and (h), updated,

(

B) the commuted values of the pensions

referred to in

section 14(1)(

e) and (

h) respectively, and

(

C) the amount of his excess contributions

referred to in

section 29(2) of the Act, if applicable,

(iii) an explanation of the options available for each of

the additional voluntary contributions, optional ancillary contributions,

excess contributions referred to in

section 29(2) of the Act, contributions

transferred from another plan, the pension referred to in

section 14(1)(

e) and the accrued pension, and

(iv) the deadlines for choosing any option available and

the consequences, if any, of not meeting them;

(

h) if he is eligible to choose a deferred pension,

(

i) the date on which pension payments may commence,

(ii) the benefit payable on death before and after

pension commencement, including an explanation of the joint pension and the

spouse's waiver option under

section 32 of the Act,

(iii) optional early, disability and postponed pension

commencement dates available, and an explanation of any adjustments to the

amount of pension in each case, and

(iv) the name and address of the person to whom

application must be made to start receiving the pension and when the

application may be made;

(

i) where there is a transfer deficiency within the meaning of

section 35(1)(b),

(

i) a statement that a transfer deficiency exists and

that the balance of accrued benefits owing to him may not be transferred

until the deficiency has been funded in accordance with the solvency tests,

(ii) the amount of the transfer deficiency,

(iii) the latest date at which it will be transferred,

and

(iv) a statement of the obligation under

section 35(9)

to notify the administrator of where the balance owing is to be

transferred.

(2) In subsection (1), "updated" means, to the extent applicable,

completed in respect of the most recently completed fiscal year and further

extending to cover the period between then and at least the termination of

membership or the date of the receipt of the request for updated

information, as the case may be.

(3) Subsection (1) does not apply to a former member if a statement has

been provided to him pursuant to

section 17(1) in respect of his

termination of membership.

Retirement statement

16(1) Subject to

section 18, an administrator shall provide, pursuant to

section 8(1)(

d) of the Act and within 90 days after receiving a completed

application in the form required by the administrator for commencement of

the pension, a statement containing the following information:

(

a) the name of the plan and its Canada Customs and Revenue Agency

registration number;

(

b) the name of the member or former member;

(

c) his date of birth;

(

d) the date when pension payments are to commence;

(

e) in the case of a defined contribution provision,

(

i) the information referred to in

section 14(1)(

f) and

(g), updated, and

(ii) the amount of pension that will be provided by the

contributions referred to in

section 14(1)(

f) and (g)(

i) to (iii)

respectively;

(

f) in the case of a defined benefit provision,

(

i) the information referred to in

section 14(1)(e),

(

g) and (h), updated, and

(ii) the amount of his excess contributions referred to

section 29(2) of the Act, if applicable;

(

g) an explanation of the normal and optional forms of pension

available, the adjustment in the amount of pension if a form other than the

normal form is chosen and the procedure for choosing;

(

h) if the member or former member has a spouse,

(

i) the spouse's name and date of birth,

(ii) an explanation of the joint pension and the

spouse's waiver option under

section 32 of the Act, and

(iii) the amount of pension payable while both are alive

and to each on the death of the other;

(

i) if the member or former member has additional voluntary

contributions, the options available, including the amount of pension that

will be provided if the contributions are left in the plan;

(

j) if he has optional ancillary contributions, the selection of

optional ancillary benefits available to him to enhance the pension and, if

his contributions exceed the maximum value of optional ancillary benefits

available for purchase, the amount of that excess and the fact that the

excess is retained in the plan;

(

k) if he has excess contributions referred to in

section 29(2) of

the Act, the options available under that subsection;

(

l) the basis for future indexation, if applicable;

(

m) the deadline for choosing any option available and the

consequences, if any, of not meeting it;

(

n) where employer contributions cease or are about to cease in

respect of the sole member or all the members of a plan for specified

individuals by reason of the fact that the sole member or all the members

are about to commence to receive his pension or their pensions, as the case

may be, and

section 45(3.1) of the Act is about to apply, a statement of

the member's or former member's right to have an annuity purchased for him

or, if the plan so provides, to choose a pension from the plan.

(2) In subsection (1), "updated" means, to the extent applicable,

completed in respect of the most recently completed fiscal year and further

extending to cover the period between then and pension commencement.

Transfer statement for specified multi-employer plans

17(1) Subject to

section 18, the administrator of a specified

multi-employer plan shall provide, pursuant to

section 8(1)(

e) of the Act

and within 90 days after receiving a completed application in the form

required by the administrator for the transfer, a statement containing the

following information:

(

a) the name of the plan and its Canada Customs and Revenue Agency

registration number;

(

b) the member's name;

(

c) the date of the commencement of his employment;

(

d) the information referred to in

section 14(1)(e), (f), (

g) and

(h), updated;

(

e) to the extent that

section 14(1)(

e) and (

h) apply, the commuted

values of the respective pensions and excess contributions referred to in

section 29(2) of the Act, if any;

(

f) an explanation of the options available for those excess

contributions under

section 29(2) of the Act, and for additional voluntary

contributions, if applicable;

(

g) an explanation of the options available for the accrued pension

under

section 30(1) and (2) of the Act;

(

h) the information required by

section 15(1)(i), if applicable.

(2) In subsection (1), "updated" means, to the extent applicable,

completed in respect of the most recently completed fiscal year and further

extending to cover the period between then and the date of the receipt of

the application for the transfer.

Exemptions from sections 14 to 17

18(1) An administrator is not obliged to comply with

section 15, 16 or 17

in respect of a request or application referred to in that

section made by

any person if the administrator has already provided the relevant

information under that

section and in respect of that person within the 12

months preceding the application or request.

(2) Where a member or a former member was permitted but not required to

make contributions to a specified multi-employer plan that has not received

the approval of the Superintendent under

section 23(3) of the Act, and

those contributions were made for the purpose of providing a benefit under

a defined benefit provision and are not a significant portion of the

commuted value of the member's or former member's pension, then, unless the

Superintendent otherwise directs, those contributions are not required to

be included in the statements of information described in sections

14(1)(g), 15(1)(g), 16(1)(

f) and 17(1)(d).

Statement on death before pension commence-ment

19(1) An administrator shall provide, in relation to a member or former

member who died before pension commencement, pursuant to

section 8(1)(

f) of

the Act and within 90 days after proof of the death is provided to the

administrator, a statement containing the following information:

(

a) the name of the plan and its Canada Customs and Revenue Agency

registration number;

(

b) the deceased's name;

(

c) the information referred to in

section 14(1)(

e) and (g),

updated;

(

d) if the deceased had no spouse at his death or a pension had not

vested in him, the total lump sum available for refund and an explanation

of any other benefits or options available under the plan;

(

e) if the deceased was a member who had a spouse at his death and

to the extent that a pension had vested in him,

(

i) the information referred to in

section 14(1)(

f) and

(h), updated,

(ii) an explanation of the benefits and options

available under

section 31 of the Act and any others provided by the plan,

and

(iii) the deadline for choosing any option available and

the consequences, if any, of not meeting it;

(

f) the information required by

section 15(1)(i), if applicable.

(2) In subsection (1), "updated" means, to the extent applicable,

completed in respect of the most recently completed fiscal year and further

extending to cover the period between then and the date of the

administrator's receiving notice of the death.

Calculation data

20 An administrator shall provide, pursuant to

section 8(1)(

g) of the

Act, the data referred to in that clause within 30 days after receiving the

request for it.

Notice of intention to terminate or wind up

21 An administrator shall provide, pursuant to

section 8(1)(

h) of the

Act, the notice in respect of the termination or winding-up of the plan

that is required by that clause

(

a) at least 60 days before the proposed termination or

commencement of the winding-up, as the case may be, or

(

b) if it is intended to terminate or to commence to wind up the

plan, as the case may be, less than 60 days after the decision is made,

forthwith after that decision is made.

Termination or winding-up statement

22(1) Subject to subsection (2), an administrator shall provide, pursuant

section 8(1)(

i) of the Act and within 60 days after the approval by the

Superintendent of the report filed under

section 51(3) and, if applicable,

section 51(4) of the Act,

(

a) the information, so far as applicable, referred to in sections

15 and 16,

(

b) if benefits are not fully funded at the termination of the

plan, a statement acceptable to the Superintendent of the extent of and the

reasons for the deficiency, and the consequences to the member or former

member,

(

c) if there are surplus assets, how they will be utilized, and

(

d) any other rights and options that the member or former member

may have.

(2) The Superintendent may, where

section 51(4) of the Act will apply,

exempt the administrator from the requirements of subsection (1) with

respect to the provision of information following approval of the report

filed under

section 51(3) of the Act.

Statement on reduction in working time

23 An administrator shall provide, pursuant to

section 8(1)(

j) of the Act

and within 60 days after the making of an agreement referred to in

section

37.1(1) of the Act, a statement containing

(

a) the amount of pension the member could expect to receive at

pensionable age if he did not take any lump sum payments under

section 37.1

of the Act,

(

b) the maximum lump sum payment the member is permitted to receive

under

section 37.1 of the Act in the year covered by the statement, and

(

c) the amount of the reduced pension payable at pensionable age if

the member withdraws the maximum lump sum referred to in clause (b),

and shall provide a further updated statement in each subsequent year while

the agreement remains in force on or before each anniversary of the

provision of the first statement relating to the agreement.

Information on spousal relationship breakdown

24(1) The information prescribed for the purposes of

section 8(1)(

k) of

the Act is as set out in this section.

(2) An administrator shall provide to the member-spouse and

non-member-spouse, within 90 days after receiving a written request for it

from either, a statement specifying

(

a) an estimate of the member-spouse's total entitlement, as

calculated under

section 59, and, except where payment of the pension has

already commenced, the value of the member-spouse's additional voluntary

contributions and optional ancillary contributions with interest, if

applicable, but only up to and as of the date specified in the request,

(

b) the date on which the member-spouse became a member, and

(

c) the date, if applicable, on which the member-spouse terminated

his membership.

(3) An administrator shall provide to the non-member-spouse, within 90

days after receiving a matrimonial property order, a statement containing

(

a) the options available under

section 58 to the non-member-spouse

and a

summary of the benefits to which the non-member-spouse may become

entitled on exercising each of the options, and

(

b) the deadline for choosing any option available and the

consequences, if any, of not meeting the deadline.

(4) An administrator shall provide to the member-spouse, within 90 days

after the division takes place, a statement containing

(

a) the date the division became effective, and

(

b) a

summary and description of the remaining benefits to which

the member-spouse will be entitled after the distribution of the

non-member-spouse's share.

(5) Section 56 applies with respect to the

interpretation of this section.

Examination and provision of copies

25(1) The following are the prescribed documents for the purposes of

section 8(4)(

g) of the Act:

(

a) where the person entitled to the benefit and seeking the

examination is

(

i) a member, the most recent explanation or

summary

and other information provided under

section 8(1)(

a) of the Act and

sections 12 and 13 of this Regulation,

(ii) a former member, the last such explanation or

summary and other information that was current when that former member was

a member, or

(iii) any other person, the last such explanation or

summary and other information that was current when the person through whom

that other person derives the entitlement was a member;

(

b) where the person entitled to the benefit and seeking the

examination is a member of a specified multi-employer plan or a multi-unit

plan, the plan's 3 most recent audited financial statements;

(

c) a report under

section 51(3) or (4) of the Act, except any

portions of the report stating the benefits of individual members or former

members;

(

d) the current statement of investment policies and procedures,

with all amendments, or a

summary of it.

(2) The period prescribed for the purposes of

section 8(4.1) of the Act is

30 days from the providing of the notice referred to in

section 67(2).

(3) The period referred to in

section 8(7) of the Act is 12 months.

PART 2

REGISTRATION AND AMENDMENT

Registration of plans

26 The documents prescribed for the purposes of

section 12(1)(a)(

v) of

the Act are, where applicable,

(

a) any participation agreements respecting the plan,

(

b) in the case of a specified multi-employer plan, any custodian

agreements referred to in

section 53 respecting the plan, and

(

c) any agreements between the administrator and fund holder that

give the responsibility for making actual pension payments to the employer.

Amendment of plans

27(1) An administrator shall provide to the Superintendent, at the same

time that it is provided to members, a copy of the explanation or

summary

of any amendment referred to in

section 12(2)(a), and shall certify to the

Superintendent in writing the date on which the explanation or

summary was

so provided.

(2) The period prescribed for the purposes of

section 13(1) of the Act is

(

a) where the amendment is one referred to in

section 12(2)(a), the

period that begins 45 days and ends 60 days after the date certified under

subsection (1), or

(

b) in any other case, the period of 60 days beginning at the time

the amendment is made.

(3) Where an amendment referred to in

section 9(7) is made, the

administrator shall file, along with the certified copy of the amendment

required by

section 13(1) of the Act, a statement showing the effect that

the amendment will have on the going concern liabilities, special payments

and normal actuarial cost and the changes that will result to the latest

cost certificate filed.

(4) Notwithstanding subsection (3), the Superintendent may require the

administrator to file a new actuarial valuation report and cost certificate

if considered necessary, instead of the statement referred to in that

subsection.

PART 3

PROVISIONS RESPECTING

CONTRACTUAL PLAN PROVISIONS

Benefit and contribution formulas

28(1) For the purposes of

section 21(1)(

h) of the Act, formulas for

determining benefits, member and employer contributions and the allocation

of contributions under a pension plan must comply with this section.

(2) The formulas for determining benefits under defined benefit

provisions, member contributions relating to defined benefit provisions and

contributions relating to defined contribution provisions of a plan must be

uniform

(

a) for each year of future employment, except to the extent that

the Superintendent approves a variation in any formula that he considers

reasonable, and

(

b) for each member of a class prescribed in

section 30(1).

(3) The formula for determining the pension under a defined benefit

provision may not be based on a member's age on joining the plan.

(4) Where a formula relating to a defined contribution provision provides

for contributions on a basis other than

(

a) a percentage of a member's remuneration, or

(

b) a fixed dollar amount in respect of each member,

the formula for establishing the amount of those contributions may not be

based solely on the age of the member and it must be based on factors other

than the accumulated value of the contributions made by or on behalf of the

member with interest at the date that amount is established.

(5) Where an additional amount of benefit is payable from pension

commencement and the plan provides for that additional amount to cease or

be reduced at the date when a pension becomes available, or when receipt of

the pension occurs, under the Canada Pension Plan (Canada), the Quebec

Pension Plan (Quebec) or the Old Age Security Act (Canada), then, for the

purposes of the plan, that date shall be treated as being the date when the

person entitled to that pension attains the age of 65 years,

notwithstanding that that pension may actually be payable at another time.

Commuted value

29(1) For the purposes of

section 1(1)(e)(i)(

B) of the Act,

(

a) the actuarial present value of benefits must be determined in

accordance with the recommendations for the computation of transfer values

of pensions issued by the Canadian Institute of Actuaries, as amended from

time to time, and

(

b) the administrator shall file a copy of any basis for

determining any actuarial present value and the assumptions relating to

that basis, including such other information about the basis as the

Superintendent requires, with the actuarial valuation report and cost

certificate required to be filed in accordance with

section 7(3)(

b) of the

Act.

(2) Where the Superintendent considers that the actuarial basis or the

assumptions or methods relating to that basis do not meet the requirements

section 1(1)(e)(

i) of the Act, he shall notify the administrator in

writing of that fact and shall direct the administrator to have the basis

or assumptions or methods amended so as to comply with that subclause.

(3) The administrator shall forthwith comply with the direction.

(4) Sections 18 and 19 of the Act apply in respect of the direction as if

the Superintendent were cancelling a registration.

(5) Where no change has been made or is required to be made to a basis

that has previously been filed under subsection (1)(b), the administrator

may comply with that clause by advising the Superintendent in writing that

no change has been made to the previously filed basis.

(6) Subject to subsection (7), the commuted value of a benefit under a

defined benefit provision must be determined as of the date of termination

of membership, death, pension commencement or termination of the plan, as

the case may be, and must be adjusted for interest, in respect of the

period between that date and a date not earlier than the end of the month

immediately preceding the payment or transfer of the commuted value out of

the plan, at a rate not less than the rate of interest that was assumed in

determining that commuted value.

(7) Where the period between the date as of which the commuted value was

determined under subsection (6) and the date of the payment or transfer of

the commuted value out of the plan exceeds 120 days, the administrator may

elect to recompute the commuted value as of the date of the payment or

transfer instead of adjusting the commuted value for interest under

subsection (6).

Entitlement of employees to join plan

30(1) The prescribed classes of employees referred to in

section 22(1) of

the Act are employees who fall within any of the following classes:

(

a) employees who are paid a salary;

(

b) employees who are paid on an hourly basis;

(

c) employees who are members of a trade union within the meaning

of the Labour Relations Code;

(

d) employees who are not members of such a trade union;

(

e) supervisory employees;

(

f) management employees;

(

g) executive employees;

(

h) employees who are officers of the employer;

(

i) employees who are significant shareholders within the meaning

section 39(2) of the Act;

(

j) persons who fall within clause (

c) or (

d) and also any of

clauses (

a) or (

b) or (

e) to (i);

(

k) employees belonging to any other identifiable group of

employees acceptable to the Superintendent.

(2) The times prescribed for the purposes of sections 22(1) and 22.1(3)(

b) of the Act are the first day, and the first day of the 7th month, of any

fiscal year.

(3) A plan for specified individuals in which all the members are

employees who, but for this subsection, fall within one or more of the

classes described in subsection (1)(g), (

h) and (

i) is exempt from

section

22 of the Act, and those employees shall be treated for the purposes of the

Act and this Regulation as not falling within that class or those classes.

Pensioner's recommencing employment

31(1) A pension plan must provide that where a former member of the plan

who has commenced to receive his pension recommences work or service in an

employment covered by the plan,

(

a) payment of the pension is to continue and he is not eligible to

become a member, or

(

b) payment of the pension is to be suspended and he is to become a

member with effect from the date of his commencing that subsequent

employment,

but the plan may make the provisions specified in both clauses (

a) and (

b) applicable under differing circumstances.

(2) A specified multi-employer plan respecting which the approval of the

Superintendent under

section 23(3) of the Act has not been received may

provide that where a former member of that plan who has commenced to

receive his pension commences work or service in an employment covered by

another specified multi-employer plan in Canada that has a transfer

agreement referred to in

section 16(1) of the Act with the first-mentioned

plan,

(

a) payment of the pension is to continue and he is not eligible to

become a member of the first-mentioned plan, or

(

b) payment of the pension is to be suspended, he is to become a

member of either plan from the date of his commencing that work or service

and the pension is to recommence from the first day of the month

immediately following the cessation of that work or service,

but the plan may make the provisions referred to in both clauses (

a) and

(

b) applicable under differing circumstances.

(3) Where a plan provides for the suspension of payment of the pension as

provided in subsection (1)(

b) or (2)(b), the amount of the pension payable

at the member's subsequent pension commencement must be at least equal to

the sum of the amount of the pension that is provided for his employment

from the date of his commencing the subsequent employment to his subsequent

pension commencement under the terms of the plan at that subsequent pension

commencement and either,

(

a) if the initial pension commencement occurred before pensionable

age, the amount of the pension that would have been payable had the initial

pension commencement occurred at pensionable age reduced in accordance with

the terms of the plan as they were at the initial pension commencement, or

(

b) if the initial pension commencement occurred at or after

pensionable age, the amount of pension payable at the initial pension

commencement.

(4) The calculation of a reduction under subsection (3)(

a) must be based

on the assumption of the member's having attained an age that is equal to

his age, in years and any portion of a year, at the subsequent pension

commencement less the number of years and any portion of a year between his

initial pension commencement and the effective date of the suspension.

(5) Notwithstanding subsections (2), (3) and (4), the plan may provide

that the amount of pension that was payable at the initial pension

commencement and that becomes payable at the subsequent pension

commencement be increased in such an alternative manner that the

Superintendent considers reasonable and appropriate.

Locking in

32(1) To the extent that

section 27(3) of the Act applies to any part of a

pension deriving from optional ancillary contributions, that exception to

section 27(1) and (2) of the Act does not apply

(

a) to the extent that the money was locked in when it entered into

the pension plan as optional ancillary contributions, or

(

b) to earnings originally deriving from such locked-in money.

(2) The breaks in employment prescribed for the purposes of

section 27(11)

of the Act are those described in

section 1(9), and the member is to be

treated as employed by a participating employer during those breaks.

Interest

33(1) For the purposes of

section 28(4) of the Act, interest shall be

calculated in the manner and applied to contributions at the times, and at

least at the rates, provided by this section.

(2) Subject to this section, the rate of interest to be applied to

contributions for the purposes of

section 28(2) and (3.1) of the Act is the

amount determined under the plan as the gross rate of interest earned by

the pension fund that holds those contributions for the most recently

completed period, not exceeding 12 months, with respect to which the plan

provides for interest to be applied, less the rate attributable to any

expenses of administering the plan relating to that period that are not

required to be paid by the employer.

(3) Subject to this section, the rate of interest to be applied for the

purposes of

section 28(1) and (3) of the Act is

(

a) the rate specified in subsection (2), or

(

b) the rate of interest calculated on the basis of the average of

the yields of 5-year personal fixed term chartered bank deposit rates,

published in the Bank of Canada Review as CANSIM Series B 14045, over the

most recent period for which the rates are available, with an averaging

period equal to the number of months in the period for which interest is to

be applied to a maximum of 12 months and, where that rate results in a

fraction of 1% that is expressed otherwise than as a multiple of a full

1/10 of 1%, rounded downwards to the next full 1/10 of 1%,

and once the method specified in clause (

a) or (

b) has been selected, it

may not be changed in respect of any subsequent year without the prior

written consent of the Superintendent.

(4) Interest shall be calculated at least annually, forthwith after the

end of each fiscal year.

(5) Interest shall be applied at least annually, with respect to member

contributions, additional voluntary contributions, optional ancillary

contributions and, if applicable, employer contributions

(

a) with interest, made in respect of employment up to the end of

the fiscal year immediately preceding the most recently completed fiscal

year, at the applicable rate prescribed by subsection (2) or (3), and

(

b) made in respect of employment during the most recently

completed fiscal year, at 1/2 of the applicable interest rate prescribed by

subsection (2) or (3).

(6) Where a person becomes entitled to have a benefit paid to him,

interest shall be applied, to the end of the month immediately preceding

the date of payment or the first payment in a series of payments,

(

a) with respect to all member contributions, additional voluntary

contributions, optional ancillary contributions and, if applicable,

employer contributions, with interest, accumulated to the end of the most

recently completed fiscal year, at whichever of the following rates is

provided for in the plan, rounded downwards to the next full 1/10 of 1%,

where the rate so provided for results in a fraction of 1% that is

expressed otherwise than as a multiple of a full 1/10 of 1%, namely,

(

i) 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) or (3),

(ii) the actual net rate of interest earned by the plan

during that portion of the uncompleted fiscal year, or

(iii) an estimate of the actual net rate of interest

determined solely on the basis of information regarding the performance of

the investments of the assets of the plan during that portion of the

uncompleted fiscal year, as reported to the administrator by the fund

holder or the person making the plan investments,

and

(

b) to contributions made during the more recent uncompleted fiscal

year, at 1/2 of the rate applied under clause (a)(i), (ii) or (iii).

(7) Where the rate determined under subsection (6)(a)(

i) would result in a

negative interest rate, the interest rate to be applied under that clause

is 0%.

(8) Once the method of calculating the rate under subsection (6)(

a) or (

b) has been chosen in respect of a fiscal year, that same method shall be used

with respect to all benefit payments from the plan to be made during that

fiscal year.

(9) Notwithstanding subsections (5)(

b) and (6), the plan may provide for

interest on contributions referred to in those subsections to be calculated

in such other manner and at such other rates as the Superintendent

considers reasonable and appropriate.

Treatment of excess contributions

34(1) Where the circumstances described in

section 29(1) of the Act apply

and the plan is amended while the member is employed in Alberta or a

designated province to provide in effect that benefits on and after the

effective date of the amendment will be determined for the member under a

defined contribution provision, then, if the defined benefit provision is

to continue to apply with respect to employment before the effective date

of the amendment, the amount of any excess contributions is not to be

determined until the termination of membership or of the whole plan,

commencement of the member's pension, the member's death or any subsequent

conversion of the defined benefit provision.

(2) Where the circumstances described in

section 29(1) of the Act apply

and the plan is amended while the member is employed in Alberta or a

designated province to provide in effect that all benefits, whenever

accrued, are to be the subject of a conversion to a defined contribution

provision, the amount of any excess contributions is to be determined as

at the time of the conversion and the excess contributions may be used in

accordance with the options listed in

section 29(2) of the Act.

Manner and extent of transfers

35(1) In this section,

(a) "transfer" means a transfer of assets of a pension plan

pursuant to, or pursuant to a plan provision made under,

section 22.1(5),

30 or 31(6) of the Act or

section 58 of this Regulation;

(b) "transfer deficiency" means, where a pension plan has a

solvency ratio of less than one, the amount by which the commuted value of

a benefit exceeds the product of that commuted value and the solvency

ratio.

(2) Subject to this section, references in this

section to impairment of

the solvency of a plan are to be taken to mean such impairment as would

prevent an administrator, without consent or direction, from making a

transfer under

section 57(3) of the Act.

(3) The manner in and the extent to which a transfer may be made are as

set out in this section.

(4) Where a plan has a solvency ratio of at least one, a transfer shall

not, subject to this subsection, be considered to impair the solvency of

the plan, but the Superintendent, on the written request of the

administrator, may permit the administrator to refuse the transfer if the

Superintendent agrees with the administrator's assessment that the transfer

would in fact impair the solvency of the plan.

(5) Where the transfer value under a defined benefit provision of a plan

is higher than the amount that would result if

section 1(1)(e)(

i) of the

Act were applied, the administrator shall ensure that supplementary

calculations are made to ensure that the solvency of the plan will not be

impaired by the transfer.

(6) Where a plan has a solvency ratio of less than one, a transfer shall

be considered to impair the solvency of the plan, but the administrator may

make the transfer where

(

a) the employer has remitted sufficient money to the plan to

eliminate any transfer deficiency relating to the transfer, or

(

b) the transfer deficiency in respect of every person eligible for

a transfer is less than 5% of the Year's Maximum Pensionable Earnings for

the year in which the transfer is made and the total transfer deficiency in

respect of all persons so eligible since the last review date does not

exceed 5% of the market value of the assets of the plan at the time of

transfer.

(7) Notwithstanding subsection (6), the transfer of an amount equal to the

commuted value of a benefit less the transfer deficiency related to that

benefit shall not be considered to impair the solvency of the plan.

(8) Any transfer deficiency that remains untransferred shall be

transferred within 5 years of the initial transfer and must include

interest up to the end of the month immediately preceding the date when the

last transfer is made.

(9) The person entitled to have the transfer deficiency transferred shall

notify the administrator of where the transfer is to be made at least 60

days before the expiry of the 5-year period.

Minimum amount for compulsory transfer

36 For the purposes of

section 30(5) of the Act, the prescribed amount

for the commuted value of the pension is 20% of the Year's Maximum

Pensionable Earnings for the calendar year in which the earlier of the

termination of membership and termination of the plan occurs.

Exercise of options

37 Where a person is entitled to exercise an option under

section 29(2),

30(1) and (2) or 31(6) or (7) of the Act or

section 58(2) of this

Regulation, the person must exercise the option within 90 days of the

receipt of the information required by

section 15, 16, 17, 19, 22 or 24, as

the case may be, and where he does not exercise the option within the

90-day period, his options with respect to his benefits are limited to

those, if any, provided by the plan.

Acknowledged institutions

38(1) The Superintendent shall, for the purposes of all or any one or more

of sections 39, 40 and 41 in relation to any given financial institution,

establish and maintain a list of the financial institutions that are

acknowledged for those purposes and that are thereby authorized to issue

the categories or category of LIRAs, LIFs and LRIFs or any of those

vehicles, as the case may be, that is or are identified in that list.

(2) For the purposes of this

section and sections 39 to 41, a financial

institution is acknowledged

(

a) if there have been filed

(

i) a completed application on that financial

institution's behalf in the form set out in

Schedule 2,

(ii) a specimen copy of the addendum or endorsement

forming part of the LIRAs, LIFs and LRIFs or any of them that it proposes

to issue, including any amendments made to that addendum or endorsement,

and

(iii) any other relevant documents that the

Superintendent has required it to file,

(

b) if the Superintendent has provided written notice to the

financial institution stating that it has been acknowledged and placed on

the list, and

(

c) to the extent that the institution has not been removed under

subsection (3).

(3) The Superintendent may, without affecting the duties or liability of a

financial institution in relation to any transfer, LIRA, LIF or LRIF,

remove the financial institution from the list, or from the list so far as

it relates to LIRAs, LIFs or LRIFs, if the financial institution has acted

in breach of any of its obligations under sections 39, 40 and 41, or any of

them, as the case may be.

Locked-in retirement account conditions

39(1) The conditions on which

(

a) a transfer of locked-in money to a LIRA under

section 22.1(5),

30 or 31(6) of the Act or

section 40, 41 or 58(2) of this Regulation or

from a vehicle comprising a sum administered as a deferred life annuity

pursuant to an agreement originally entered into under

section 16 of The

Regulations under the Pension Benefits Act (AR 446/66) (repealed), and

(

b) any subsequent transfer to a LIRA with a financial institution

of money so transferred

are to be made are as set out in this

section and in other provisions of

the Act and this Regulation dealing with the component requirements for a

LIRA.

(2) In this section,

(a) "acknowledged" means, in relation to a financial institution,

currently acknowledged under

section 38 in relation to contracts;

(b) "addendum" means the portion of a contract, known as an

addendum or endorsement, that is referred to in

section 38(2)(

a) and

subsection (3);

(c) "contract" means an agreement that, with the addendum forming

part of it, is a LIRA;

(d) "financial institution" means the underwriter or depositary of

a LIRA, LIF or LRIF, as the case may be;

(e) "fiscal year" means a fiscal year of the contract;

(f) "list" means the list of financial institutions established and

maintained under

section 38, so far as it relates to contracts;

(g) "non-spouse owner" means an owner who is a member or former

member referred to in clause (h);

(h) "owner" means a member or former member of a pension plan who

has made a transfer pursuant to

section 22.1(5) or 30 of the Act or

section

40 or 41 of this Regulation to a contract and, except where otherwise

stated, includes a surviving spouse owner and a non-member-spouse who owns

a contract as a result of the application of

Part 3.1 of the Act or

Part 4

of this Regulation;

(i) "surviving spouse owner" means

(

i) the surviving spouse, who has made a transfer

pursuant to

section 31(6) of the Act, of a member or former member, or

(ii) the surviving spouse of a non-spouse owner.

(3) A financial institution issuing contracts must ensure that each

contract has attached to or incorporated in and forming part of it an

appropriate addendum or endorsement that

(

a) positively identifies the contract as a LIRA, and

(

b) corresponds exactly to the specimen copy (with any amendments)

filed by the financial institution under

section 38(2),

but nothing in this subsection affects the validity of a contract if the

addendum becomes detached from, or is not attached to, the rest of the

contract if the addendum has, as a matter of law, become part of the

contract.

(4) A financial institution must not accept any transfer of money to a

contract unless that institution is acknowledged in relation to contracts

of that kind.

(5) The financial institution issuing a contract must provide the owner

with a copy of the whole contract.

(6) An administrator must not transfer money to a contract with a

financial institution unless he has

(

a) ascertained that the financial institution is acknowledged as

to contracts, and

(

b) advised the financial institution in writing of the requirement

to lock in the money.

(7) If the administrator does not comply with subsection (6) and the

transferee financial institution fails to pay the money transferred in the

form of a pension or in the manner described in subsection (10), the

pension plan continues to be liable to ensure that the prospective

recipient receives a pension in a manner and in the amount that would have

been provided had the transfer not been made.

(8) Where the owner receives any money from the transferee financial

institution in respect of which the plan is required to meet and does meet

its continuing liability under subsection (7), the plan has a right of

action against the owner for that money.

(9) Subsections (6), (7) and (8) apply to a transferring and a transferee

financial institution referred to in subsection (10) as if the transferring

financial institution were the administrator and the plan and as if the

transferee financial institution were accepting the transfer from the

administrator.

(10) The addendum must contractually incorporate the appropriate

definitions and

interpretation provisions in

section 1 of the Act, sections

1 and 2 of this Regulation and subsection (2) of this

section and must

include, as well as other matters required by the Act or this Regulation to

be included in a contract, the following contractual provisions:

(

a) subject to clause (b), that all money, including all investment

earnings, that is subject to any transfer to a contract is to be used to

provide or secure a pension that would, but for the transfer and previous

transfers, if any, be required or permitted by the Act and this Regulation;

(

b) that no transfer from a contract is permitted except

(

i) to transfer the money to another contract or to

another acknowledged financial institution to purchase a contract, on the

relevant conditions specified in this section,

(ii) to purchase a life annuity contract that meets the

conditions set out in clauses (

h) and (i),

(iii) to transfer the money to a pension plan on the

conditions referred to in

section 30(2)(

a) of the Act, or

(iv) to transfer the money to an acknowledged financial

institution to purchase a LIF or LRIF, on the relevant conditions specified

section 40 or 41, as the case may be, with the further condition, in the

case of a living non-spouse owner who has a spouse, that in order to effect

this transfer, the spouse must have waived the entitlement to the joint

life pension in the form and manner prescribed in Form 1 of

Schedule 1,

and that, subject to subsections (11) and (12) and

section

45(2), no withdrawal, commutation or surrender of money is permitted at

all;

(

c) that the money may not be assigned, charged, alienated or

anticipated and is exempt from execution, seizure or attachment, and that

any transaction purporting to assign, charge, alienate or anticipate the

money is void;

(

d) that the money will be invested in a manner that complies with

the rules for the investment of RRSP money contained in the tax Act and

will not be invested, directly or indirectly, in any mortgage in respect of

which the mortgagor is the owner or the parent, brother, sister or child of

the owner or the spouse of any such person;

(

e) that if money is paid out contrary to the Act or this section,

the financial institution will provide or secure the provision to the owner

of a pension in a manner and in the amount that would have been provided

had the money not been paid out;

(

f) that before the financial institution transfers the money to

another financial institution, it will advise the transferee financial

institution in writing of the locked-in status of the money and make its

acceptance of the transfer subject to the conditions provided for in this

subsection;

(

g) that if the transferring financial institution does not ensure

that the transferee financial institution is appropriately acknowledged or

comply with clause (

f) and the transferee financial institution fails to

pay the money transferred in the form of a pension or in the manner

required or permitted by this section, the transferring financial

institution will provide or secure the provision to the owner of the

pension referred to in clause (e);

(

h) that the pension to be provided to a living non-spouse owner

with a spouse at the date when that owner commences the pension is to be

such joint life pension as would, if the owner were a former member, be in

compliance with

section 32 of the Act, unless the spouse waives the

entitlement in the form and manner prescribed in Form 1 of

Schedule 1;

(

i) that, within 60 days after the submission to the financial

institution of the relevant documents required by it following the death of

a non-spouse owner with a spouse on the date of death, the balance in the

contract will be used to provide a pension for the surviving spouse and

will be transferred

(

i) to an acknowledged financial institution to

purchase a contract on the relevant conditions specified in this section,

(ii) to an acknowledged financial institution to

purchase a LIF or LRIF on the relevant conditions specified in

section 40

or 41, as the case may be, or

(iii) to purchase a life annuity contract;

(

j) that, within 60 days after the submission to the financial

institution of the relevant documents required by it following the death of

an owner, other than a non-spouse owner with a spouse at the date of death,

the balance in the contract will be paid to or on behalf of the designated

beneficiary or, if there is no valid designation of beneficiary, the

personal representatives of the estate in their representative capacity;

(

k) that money that is not locked in will not be transferred to or

held under a contract, unless the locked-in money will be held in a

separate account that will contain only locked-in money;

(

l) that, where

Part 3.1 of the Act and

Part 4 of this Regulation

apply with respect to the share of a non-member-spouse, the conditions set

out in those Parts continue to apply to that share if it is transferred

into a contract.

(11) Notwithstanding subsection (10), an addendum may provide that the

money may be withdrawn as a lump sum if an owner applies to the financial

institution with written evidence that the Canada Customs and Revenue

Agency has confirmed that he has become a non-resident for the purposes of

the tax Act and, where that owner is a living non-spouse owner with a

spouse, if that spouse has waived all entitlements under the contract in

the form and manner prescribed in Form 2 of

Schedule 1.

(12) Notwithstanding subsection (10), a contract may provide for the

withdrawal of money as a lump sum or a series of payments for the purposes

section 37(3) of the Act where a physician certifies that the owner has

a terminal illness or that due to a disability the owner's life is likely

to be considerably shortened, but the payment or payments may only be made,

in the case of a living non-spouse owner with a spouse, where that spouse

has waived the entitlement to the joint life pension described in

section

32 of the Act in the form and manner prescribed in Form 2 of

Schedule 1.

(13) A contract that is not eligible for the payment option referred to in

section 45(2) may not be severed so as to transform it into 2 or more

contracts that are so eligible.

(14) To the extent that a contract does not in any respect effect a

provision required by subsection (10), the contract is deemed to make such

provision in that respect as would make it comply with subsection (10).

(15) A financial institution shall comply with the contractual provisions

provided for in subsection (10) of a contract to which it is a party, or

ensure that they are complied with.

(16) A contract must comply with the conditions for registration under the

tax Act and, once registered, must be kept in such a form as to ensure

continuation of the registration.

Life income fund conditions

40(1) The conditions on which a transfer of locked-in money to a LIF under

section 30 or 31(6) of the Act or

section 39, 41 or 58(2) of this

Regulation and any subsequent transfer to a LIF with a financial

institution of money so transferred are to be made are as set out in this

section and in other provisions of the Act and this Regulation dealing with

the component requirements for a LIF.

(2) Section 39(2) to (9) and (11) to (16), as they apply with respect to a

LIRA, apply with respect to a LIF except that in construing those

subsections for the purposes of applying them to a LIF,

(

a) references to

section 39(10) are to be taken as references to

subsection (3) of this section, and

(

b) with reference to

section 39(2)

(

i) clause (

c) is to be taken as reading:

(c) "contract" means an agreement that,

with the addendum forming part of it, is a LIF;

(ii) in clause (h),

(A) "22.1(5) or" is to be taken as excluded

from that clause, and

(

B) the reference to

section 40 is to be

taken to refer to

section 39.

(3) The addendum must contractually incorporate the appropriate

definitions and

interpretation provisions in

section 1 of the Act, sections

1 and 2 of this Regulation and

section 39(2), as adapted by subsection

(2) of this section, and must include, as well as other matters required by the

Act or this Regulation to be included in a contract, the following

contractual provisions:

(

a) the provisions of

section 39(10)(a), (c), (d), (e), (f), (g),

(

k) and (l), with the reference in that clause (

d) to "RRSP" being taken as

a reference to "RRIF" as those clauses apply to a LIF;

(

b) that, subject to clause (d), prior to using the balance of the

contract to purchase an immediate life annuity contract, the owner will be

allowed to transfer all or part of the balance of the contract

(

i) to another contract, on the relevant conditions

specified in this section,

(ii) for the purchase of a deferred life annuity

contract that meets the conditions of

section 39(10)(h)and (i),

(iii) to a LIRA on the relevant conditions specified in

section 39, or

(iv) to an LRIF on the relevant conditions specified in

section 41,

or to use part of the balance of the contract to purchase an

immediate life annuity and to transfer the remainder of it in the manner

set out in subclause (i), (ii), (iii) or (iv);

(

c) that, at any time prior to the date referred to in clause (d),

the owner will be allowed to use all or part of the balance of the contract

to purchase an immediate life annuity contract;

(

d) that the balance of the contract must be used to purchase an

immediate life annuity contract not later than the end of the calendar year

in which the owner attains the age of 80 years;

(

e) that, where the balance in the contract is to be used to

purchase a life annuity contract, the pension to be provided to a living

non-spouse owner with a spouse at the date when that owner commences the

pension is to be such joint life pension as would, if the owner were a

former member, be in compliance with

section 32 of the Act, unless the

spouse waives the entitlement in the form and manner prescribed in Form 1

of

Schedule 1;

(

f) that, within 60 days after the submission to the financial

institution of the relevant documents required by it following the death of

a non-spouse owner, the balance in the contract is to be paid to or on

behalf of the surviving spouse owner or, if there is none, the designated

beneficiary or, if there is no valid designation of beneficiary, the

personal representatives of the estate in their representative capacity;

(

g) that the fiscal year ends on December 31 of each year;

(

h) that the owner will be paid an income the amount of which may

vary annually;

(

i) that payment of the income to the owner will commence not later

than the last day of the 2nd fiscal year;

(

j) if the fair market value of the contract or of the balance of

the contract is not to be used, the methods and factors that are to be used

to establish its value for the purpose of

(

i) a transfer of assets,

(ii) the purchase of a life annuity contract,

(iii) a payment or transfer on the death of the owner,

and

(iv) the determination of the maximum benefits payable;

(

k) that the owner is to establish the amount of income to be paid

during each fiscal year at the beginning of that fiscal year and after the

receipt of the information specified in subsection (4)(

a) except that if

the financial institution guarantees the rate of return of the contract

over a period that is greater than one year, then the owner may establish,

at the beginning of that period, the amount of income to be paid during any

one or more of the calendar years that end not later than the expiration of

that period;

(

l) that, subject to clauses (m), (

n) and (q), the amount of income

paid during a fiscal year is not less than the minimum amount required to

be paid under the tax Act and does not exceed M, with that symbol being

calculated in accordance with the following formula:

where

C = the balance of money in the contract on the first day of

the fiscal year, and

F = the value on January 1 of the year in which the

calculation is made of a guaranteed amount of which the annual payment is

$1 payable at the beginning of each fiscal year between that date and

December 31 of the year during which the owner attains the age of 90 years;

(

m) that for the initial fiscal year, the minimum amount to be

paid, as referred to in clause (

l) is set at zero and the limit M is

adjusted in proportion to the number of months in the fiscal year divided

by 12, with any part of an incomplete month counting as one month;

(

n) that, if the money in the contract is derived from money

transferred directly or indirectly from, and comprising the whole of, an

LRIF or another contract of the owner, then, during the first fiscal year

following that transfer, the limit M is equal to zero except to the extent

that the tax Act requires the payment of a higher amount;

(

o) that, if in any fiscal year an additional transfer is made to

the contract and that additional transfer has never been under a contract

or an LRIF before, an additional withdrawal will be allowed in that fiscal

year;

(

p) that the additional amount of withdrawal referred to in clause

(

o) will not exceed the maximum amount that would be calculated under this

section if the additional transfer were being transferred into a separate

contract and not the existing contract, with clause (

m) applying;

(

q) that the value F in clause (

l) is calculated by using

(

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

(ii) for the first 15 years after the date of the

valuation, an interest rate exceeding 6% per year if that rate does not

exceed the interest rate obtained on long-term bonds issued by the

valuation, as compiled by Statistics Canada and published in the Bank of

Canada Review as CANSIM Series B - 14013, and using an interest rate not

exceeding 6% in subsequent years;

(

r) that where, in the application of clause (k), the amount of

income to be paid to the owner is fixed at an interval of more than one

year, clauses (l), (m), (

n) and (

q) will apply with such modifications as

the circumstances require to determine, at the date of the beginning of the

first fiscal year in the interval, the amount of income to be paid for each

fiscal year in that interval;

(

s) that where the contract holds identifiable and transferable

securities, the transfer or purchase referred to in clauses (b), (

c) and

(

d) may, unless otherwise stipulated, at the option of the financial

institution and with the consent of the owner, be effected by remittance of

the investment securities of the contract;

(

t) an agreement by the financial institution to provide the

information specified in subsection (4).

(4) The financial institution shall provide

(

a) to the owner, at the beginning of each fiscal year, information

(

i) the sums deposited, the investment income, gains

and losses earned, the payments made out of the contract and the fees

charged against it during the previous fiscal year,

(ii) the balance in the contract, and

(iii) the minimum amount that must, and the maximum

amount that may, be paid out of the contract to the owner during the

current fiscal year,

(

b) to the owner, if the balance in the contract is transferred as

described in subsection (3)(b), the information described in clause (a), as

of the date of the transfer, and

(

c) if the owner dies before the balance in the contract is used to

purchase a life annuity contract or transferred under subsection (3)(b), to

the person entitled to receive the balance, the information described in

clause (a), as of the date of death.

Locked-in retirement income fund conditions

41(1) The conditions on which a transfer of locked-in money to an LRIF

under

section 30 or 31(6) of the Act or

section 39, 40 or 58(2) of this

Regulation and any subsequent transfer to an LRIF with a financial

institution of money so transferred are to be made are as set out in this

section and in other provisions of the Act and this Regulation dealing with

the component requirements for an LRIF.

(2) Section 39(2) to (9) and (11) to (16), as they apply with respect to a

LIRA, apply with respect to an LRIF except that in construing those

subsections for the purposes of applying them to an LRIF,

(

a) references to

section 39(10) are to be taken as references to

subsection (3) of this section, and

(

b) with reference to

section 39(2)

(

i) clause (

c) is to be taken as reading:

(c) "contract" means an agreement that,

with the addendum forming part of it, is an LRIF;

(ii) in clause (h)

(A) "22.1(5) or" is to be taken as excluded

from that clause, and

(

B) the reference to

section 41 is to be

taken to refer to

section 39.

(3) The addendum must contractually incorporate the appropriate

definitions and

interpretation provisions in

section 1 of the Act, sections

1 and 2 of this Regulation and

section 39(2), as adapted by subsection

(2) of this section, and must include, as well as other matters required by the

Act or this Regulation to be included in a contract, the following

contractual provisions:

(

a) the provisions of

(i)

section 39(10)(a), (c), (d), (e), (f), (g), (

k) and

(l), with the reference in that clause (

d) to "RRSP" being taken as a

reference to "RRIF", and

(ii)

section 40(3)(e), (f), (g), (h), (i), (j), (k),

(o), (

t) and, subject to subsection (5) as they apply to an LRIF, (p), (

r) and (s),

as those clauses apply to an LRIF;

(

b) that the owner will be allowed to transfer all or part of the

balance of the contract

(

i) to another contract, on the relevant conditions

specified in this section,

(ii) for the purchase of an immediate or a deferred life

annuity contract that meets the conditions set out in

section 39(10)(

h) and

(i),

(iii) to a LIRA on the relevant conditions specified in

section 39, or

(iv) to a LIF on the relevant conditions specified in

section 40,

or to transfer to any combination of the vehicles set out in

subclauses (i), (ii), (iii) and (iv);

(

c) that, subject to clauses (

d) and (e), the amount of income paid

during a fiscal year is not less than the minimum amount required to be

paid under the tax Act and does not exceed the maximum amount, being the

greatest of

(

i) the income, gains and losses earned from the time

the contract was established to the end of the most recently completed

fiscal year and, with respect to any money in the contract that is derived

directly from money transferred from a LIF, the income, gains and losses

earned in the final complete fiscal year of the LIF under the LIF, less the

sum of all income paid to the owner from the contract,

(ii) the income, gains and losses earned in the

immediately previous fiscal year, and

(iii) if the payment is being made in the fiscal year in

which the contract was established or in the fiscal year immediately

following its establishment, 6% of the fair market value of the contract at

the beginning of that fiscal year, prorated, where applicable, in

proportion to the number of months in the fiscal year for which the

contract was established divided by 12, with any part of an incomplete

month counting as one month,

except that if that maximum amount is less than that minimum

amount, the latter prevails;

(

d) that for the initial fiscal year, the minimum amount to be

paid, as referred to in clause (c), is set at zero;

(

e) that, if the money in the contract is derived from money

transferred directly or indirectly during the first fiscal year following

that transfer from another contract of the owner, the maximum amount

specified in clause (

c) is equal to zero, except to the extent that the tax

Act requires the payment of a higher amount.

(4) Section 40(4) applies with respect to contracts.

(5) In construing the parts of subsection (3)(a)(ii) that incorporate the

provisions of

section 40(3)(p), (

r) and (

s) for the purpose of applying

them to LRIFs,

(

a) the reference in that clause (

p) to "clause (m)" is to be taken

as a reference to subsection (3)(

d) of this section,

(

b) the reference in that clause (

r) to "clauses (l), (m), (

n) and

(q)" is to be taken as a reference to subsection (3)(c), (

d) and (

e) of

this section, and

(

c) the references in that clause (s)

(

i) to clauses "(b)" and "(c)" are to be taken as

references to subsection (3)(

b) of this section, and

(ii) to clause "(d)" is to be taken as excluded from

that clause (s).

LIRAs, LIFs and LRIFs on spousal relationship breakdown

42(1)

Part 3.1 of the Act and

Part 4 of this Regulation, as they apply

with respect to benefits, also apply, subject to the adaptations set out in

this section, to money contained in a LIRA, LIF or LRIF at the time of the

marriage breakdown.

(2) In applying

Part 4 to money contained in a LIRA, LIF or LRIF,

(a) "total entitlement" is to be taken as the total value of the

LIRA, LIF or LRIF, as the case may be, at the time mentioned in the

matrimonial property order or agreement as the end of the period of joint

accrual, and

(b)

section 58(2) does not apply and the non-member-spouse's share

may be transferred to the non-member-spouse's pension plan, if permitted by

that plan, or to a LIRA, LIF, LRIF or annuity.

(3) Sections 24 and 45(2) apply with respect to money of a member-spouse

or non-member-spouse held in a LIRA, LIF or LRIF, with references in

section 24 to the administrator being treated as references to the

financial institution.

Spousal waiver forms

43 The forms of the statements for the purposes of sections 32(4) and

37(5) of the Act are the respective forms set out in

Schedule 1.

Optional ancillary contributions and ancillary benefits

44(1) For the purposes of

section 33.1(1)(

d) of the Act, cost-of-living

adjustments are prescribed to be ancillary benefits except to the extent

that they must be paid under the terms of the plan or are purchased by the

employee with optional ancillary contributions.

(2) Optional ancillary contributions must be converted to ancillary

benefits on a basis that is consistent with generally accepted actuarial

practice for the calculation of transfer values or other standards

established by the Canadian Institute of Actuaries, or on any other basis

considered reasonable by the Superintendent and allowed by the tax Act.

Maximum commutable amounts

45(1) A pension plan must provide for the payment option referred to in

section 37(1) of the Act at the earliest of termination of membership or of

the plan, death or pension commencement if,

(

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

(

i) the monthly pension payments that would be payable

to him at or after pensionable age do not exceed 1/12 of 4% of the Year's

Maximum Pensionable Earnings for the calendar year in which that earliest

event occurred, or

(ii) the commuted value of the pension to which he is

entitled does not exceed 20% of that year's Year's Maximum Pensionable

Earnings,

(

b) in the case of a plan containing only defined contribution

provisions, that commuted value does not exceed that 20%.

(2) A LIRA, LIF or LRIF must provide for the payment option referred to in

section 37(1) of the Act, on application to the financial institution for

the payment, at any time

(

a) if the value of that vehicle does not exceed 20% of the Year's

Maximum Pensionable Earnings for the calendar year in which the application

is made, or

(

b) if

(

i) the former member or surviving spouse had attained

the age of 65 years at the end of the preceding calendar year,

(ii) the application is accompanied by a completed

declaration in the form set out in

Schedule 3, and

(iii) the value of that vehicle and of other plans and

vehicles listed in

Schedule 3 belonging to the owner does not exceed 40% of

the Year's Maximum Pensionable Earnings for that year in which the

application is made.

Conversion of pensions to other benefits

46 The conversion of pensions or parts of pensions to benefits payable

under

section 37(3) of the Act must be done using actuarial assumptions

that do not take into account the shortened life expectancy of the person

referred to in that subsection.

Variation for reduction in working time

47(1) This

section sets out the prescribed conditions, amount and

adjustment for the purposes of

section 37.1(1) and (2) respectively of the

Act.

(2) The lump sum payment amount referred to in

section 37.1(1) of the Act

is an amount not exceeding the lowest of

(a) 70% of the reduction in remuneration resulting from the

reduction in working time during the year in question,

(b) 40% of the Year's Maximum Pensionable Earnings for that year,

prorated accordingly where the agreement does not cover the full year, and

(

c) the value of what would be the member's benefits if he ceased

to be a member on the date he applies for the payment of the lump sum.

(3) The receipt of the lump-sum payment does not in itself affect the

member's continued membership in the plan or the continuing accrual of

benefits.

(4) The administrator shall ascertain the amount of that portion of the

pension that would have been payable to the member if he were to terminate

at pensionable age, or on the date of the payment of the lump sum if he has

already reached pensionable age, that is equivalent to each lump-sum

payment under this section.

(5) The pension to be paid when the member ultimately terminates is to be

reduced

(

a) if payment of the pension is to commence at his pensionable

age, by an amount that is equivalent to the amount ascertained under

subsection (4), or

(

b) if payment of the pension is to commence at any other time, by

an amount that is equivalent to the amount by which it would have been

reduced had clause (

a) been applied.

(6) The administrator shall make the calculations for the purposes of

subsections (4) and (5), as at the date of the payment of the lump sum,

according to the same actuarial assumptions and methods, other than those

related to early or postponed payment of the pension, as are used in

applying

section 29 of the Act.

(7) The remuneration paid during the period in respect of which the member

is entitled to the lump-sum payment is not to be taken into account in

computing the benefits relating to employment that does not relate to that

period, unless it is to the advantage of the member.

(8) The member must apply to the administrator each time a payment is

requested but may not apply more than once each calendar year.

(9) If the member has a spouse, no lump sum to which this

section applies

may be paid unless the spouse consents in writing to that particular

payment.

Solvency tests and funding of plans

48(1) This

section applies only in relation to pension plans that contain

defined benefit provisions.

(2) The tests referred to in

section 38(2) of the Act for the solvency of

plans are as set out in, and plans shall be funded in accordance with, this

section, and this

section also contains certain matters referred to in

sections 55(1) and 63(1).

(3) Subject to subsection (4) and

section 49(2), an employer shall pay

into a plan

(

a) in respect of current employment, an amount of employer

contributions on at least a quarterly basis equal to the normal actuarial

cost allocated to the employer, as stated in the most recent actuarial

valuation report or cost certificate filed,

(

b) where the plan has an unfunded liability, payments consisting

of equal payments made at least quarterly that are sufficient to amortize

the unfunded liability over a period not exceeding 15 years from the review

date relating to the establishment of the unfunded liability, and

(

c) where the plan has a solvency deficiency, payments consisting

of equal payments made at least quarterly that are sufficient to amortize

the solvency deficiency over a period not exceeding 5 years from the review

date relating to the establishment of the solvency deficiency.

(4) Except where payments required by

section 48(2) or (3) of the Act are

being made, the employer may elect to make, instead of the special payments

referred to in subsection (3)(

b) and (c), at least quarterly payments

expressed in such a manner that

(

a) each payments is a constant percentage of the future payroll of

the members projected as of the date of the original establishment of the

unfunded liability or solvency deficiency, and

(

b) the actuarial present value of all the payments over the period

selected, not exceeding the maximum period referred to in subsection (3)(

b) or (c), as the case may be, is equal to that liability or deficiency.

(5) An employer or employers, as the case may be, shall make the payments

required by

section 48(2) or (3) of the Act in accordance with the payment

schedule established under subsection (3)(

c) and other applicable

provisions of this section.

(6) Each unfunded liability or solvency deficiency must be funded

separately and not combined with any other unfunded liability or solvency

deficiency.

(7) Where a review is made and

(

a) it is determined that an unfunded liability exists, or

(

b) it is determined that no unfunded liability exists but the

reviewer considers that an actual termination of the plan would result in

benefit decreases to the members or former members,

the reviewer shall perform supplementary calculations to determine whether

a solvency deficiency exists.

(8) Where a solvency deficiency has been amortized, the reviewer may

recalculate any special payments for an unfunded liability that has not

been amortized and the employer may make the special payments as

recalculated instead of the special payments calculated at the review date

relating to the establishment of the unfunded liability.

(9) Where a filed actuarial valuation report or cost certificate reveals

that the plan has experience gains with respect to solvency, the gains must

be used to amortize or, where insufficient to amortize, then to reduce the

outstanding balance of any solvency deficiency, with the oldest established

solvency deficiencies being amortized or reduced according to the

chronological order in which they were established.

(10) Where a filed actuarial valuation report or cost certificate reveals

that the plan has excess assets,

(

a) the excess assets shall be used to amortize or, where

insufficient to amortize, then to reduce the outstanding balance of any

unfunded liability, with the oldest established unfunded liabilities being

amortized or reduced according to the chronological order in which they

were established, and

(

b) when all the unfunded liabilities have been amortiz