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Volume 62, No. 2

12/2019

The British Columbia Gazette,

Part II

January 29, 2019

B.C. Reg. 12/2019 , deposited January 24, 2019, under the PENSION BENEFITS STANDARDS ACT [section 133]. Order in Council 21/2019, approved and ordered January 24, 2019.

On the recommendation of the undersigned, the Lieutenant Governor, by and with the advice and consent of the Executive Council, orders that the Pension Benefits Standards Regulation, B.C. Reg. 71/2015, is amended as set out in the attached Appendix.

— C. JAMES, Minister of Finance and Deputy Premier ; J. DARCY, Presiding Member of the Executive Council .

Appendix

1 The Pension Benefits Standards Regulation, B.C. Reg. 71/2015, is amended in

section 1 (1) of

Schedule 8

(

a) by repealing the definition of "exemption period" and substituting the following:

"exemption period" ,

(

a) in relation to a defined benefit component for which an election is made under

section 2 or 2.1 (1) (a), means the period beginning on the date the written notice of election is received by the superintendent and ending on the earlier of

(

i) the date every solvency deficiency of the defined benefit component established on or before the specified review date is eliminated, and

(ii) the end date of the 10-year period referred to in

section 4 (a), and

(

b) in relation to a defined benefit component for which an election is made under

section 2.1 (1) (b), means the period beginning on the date the written notice of election is received by the superintendent and ending on the earlier of

(

i) the date the solvency deficiency of the defined benefit component established on the specified review date is eliminated, and

(ii) the end date of the 10-year period referred to in

section 4 (a); , and

(

b) in the

definitions of "plan contributor" and "specified review date" by striking out " under

section 2 " and substituting " under

section 2 or 2.1 ".

Section 2 (2) (c) (

i) of

Schedule 8 is amended by striking out " under

section 4 (

a) of this Schedule, " and substituting " under

section 4 (a), ".

3 The following

section is added to

Schedule 8:

Further election

2.1

(1) Subject to this Schedule, the administrator of a pension plan may do one of the following, as applicable:

(

a) if the administrator has not made an election under

section 2, elect to have payments made into the plan in accordance with this Schedule, instead of

section 57 (2) (

c) of this regulation, in respect of every solvency deficiency of a defined benefit component of the plan established on or before the specified review date;

(

b) if the administrator made an election under

section 2, elect to have payments made into the plan in accordance with this Schedule, instead of

section 57 (2) (

c) of this regulation, in respect of the solvency deficiency of a defined benefit component of the plan established on the specified review date for which the election is made.

(2) The administrator may make an election under subsection (1) by

(

a) providing to the superintendent a written notice of election in the form and manner required by the superintendent,

(

b) specifying in the written notice of election a review date of the plan falling on or after December 31, 2018 and before January 1, 2021, and

(

c) submitting, together with the written notice of election,

(

i) an amortization schedule, prepared by a Fellow of the Canadian Institute of Actuaries, for the series of payments required under

section 4 (a), and

(ii) any other information or records required by the superintendent.

(3) The administrator may make an election under this

section only once in respect of a defined benefit component of the plan.

Section 3 of

Schedule 8 is amended

(

a) in subsection (1) by striking out " under

section 2 " and substituting " under

section 2 or 2.1 ", and

(

b) in subsection (2) by striking out " , established on or before the specified review date, " and by striking out " under

section 2 " and substituting " under

section 2 or 2.1 ".

Section 4 of

Schedule 8 is amended by repealing paragraph (

a) and substituting the following:

(

a) the plan contributor makes a series of payments into the plan or, in the case of a divisional multi-employer plan, makes the plan contributor's share of a series of payments into the plan, that are made at least monthly, which series of payments must be sufficient, in the opinion of the actuary who prepared the amortization

schedule referred to in

section 2 (2) (c) (

i) or 2.1 (2) (c) (i), as applicable, to amortize,

(

i) in relation to an election made under

section 2 or 2.1 (1) (a), the solvency deficiencies, established on or before the specified review date, of the defined benefit component for which the election is made over the 10-year period that begins on the specified review date, or, in the case of a jointly sponsored plan, on the first anniversary of that review date, or

(ii) in relation to an election made under

section 2.1 (1) (b), the solvency deficiency, established on the specified review date, of the defined benefit component for which the election is made over the 10-year period that begins on the specified review date, or, in the case of a jointly sponsored plan, on the first anniversary of that review date; .

Section 5 of

Schedule 8 is amended

(

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

(1) Subject to this section, sections 46 (4) (d) (ii), 57 (9) and (12) and 63 of this regulation continue to apply during the exemption period in respect of

(

a) the solvency deficiencies, established on or before the specified review date, of a defined benefit component for which an election is made under

section 2 or 2.1 (1) (

a) of this Schedule, and

(

b) the solvency deficiency, established on the specified review date, of a defined benefit component for which an election is made under

section 2.1 (1) (

b) of this Schedule. , and

(

b) in subsection (2) by striking out "

section 4 (

a) of this

Schedule " in both places and substituting "

section 4 (a) ".

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