id="main-content">

Order in Council 507/2021

On the recommendation of the undersigned, the Lieutenant Governor of Ontario, by and with the advice and concurrence of the Executive Council of Ontario, orders that:

Whereas AgriCorp is an agent of the Crown established under the AgriCorp Act, 1996 (Ontario);

And

whereas certain classes of AgriCorp employees currently participate in a pension plan known as the Pension Plan for Employees of AgriCorp, effective January 1, 1997 with registration number 1034321 (the “AgriCorp Plan”);

And

whereas AgriCorp also provides a supplemental payment under a plan entitled the AgriCorp Supplemental Employee Retirement Plan to members whose pension entitlement is limited by the maximum pension payable pursuant to the provisions of the Income Tax Act (Canada);

And

whereas AgriCorp, which is an agent of the Crown, has requested to be designated as a participating employer in the Public Service Pension Plan ( PSPP ) set out in

Schedule 1, as amended, under the Public Service Pension Act (Ontario) and in the Public Service Supplementary Benefits Account continued under Order in Council 867/2019 as may be amended from time to time ( PSSBA );

And

whereas , pursuant to a separate Order in Council, the Lieutenant Governor in Council is designating the employees of AgriCorp as classes of employees who are either required or eligible to join the PSPP effective May 1, 2021;

And

whereas the Lieutenant Governor in Council considers it reasonable and appropriate for the assets and liabilities in the AgriCorp Plan in respect of pension credit accrued by AgriCorp employees and former employees prior to May 1, 2021 to be transferred into the PSPP pursuant to

Section 81 of the Pension Benefits Act (Ontario);

And

whereas the Lieutenant Governor in Council considers it reasonable and appropriate to facilitate the purchase of credit in the PSPP for periods of employment of AgriCorp employees and former employees prior to May 1, 2021, and also to provide for other transition provisions in relation to former AgriCorp employees;

Now therefore pursuant to subsection 6(1) of the Public Service Pension Act, (Ontario) the Public Service Pension Plan set out in

Schedule 1 under that Act, as amended, is further amended, as follows:

Section 1 is amended by adding the following definition immediately after the definition of “actuary”:

“AgriCorp Plan” means the pension plan known as the Pension Plan for Employees of AgriCorp, effective January 1, 1997, registration number 1034321;

Subsection 11(8) of the PSPP is amended by replacing “section 36, 36.1, 36.3 or 36.4” with “section 36, 36.1, 36.3, 36.4 or 36.5”.

Subsection 13(14)(

b) of the PSPP is amended by replacing “by the person under subsection 11(2) or (5),

section 36, 36.3 or 36.4” with “by the member under subsection 11(2) or (5),

section 36, 36.3, 36.4 or 36.5”.

Subsections 13(15) and (16) of the PSPP are amended by replacing references to "subsection 11(2) or (5), 36.3(4) or (5) or 36.4(4)” with “subsection 11(2) or (5),

section 36.3(4) or (5), 36.4(4) or 36.5(4)".

Subsections 13(15) and (16) of the PSPP are further amended by replacing references to "section 36, 36.1, 36.3 or 36.4” with “section 36, 36.3, 36.4 or 36.5".

Section 17 of the PSPP is amended by adding new subsections 17(1.4), (1.5) and (1.6) immediately following subsection 17(1.3).

Guarantee for AgriCorp Credit Prior to May 1, 2021

(1.4) Subject to the other subsections of this section, with the exception of subsection (3), the annual amount of every pension payable to a former member with respect to credit that was transferred to the Plan from the AgriCorp Plan in respect of service prior to May 1, 2021 shall be calculated as follows:

before a former member attains sixty-five years of age, as the greater of:

the annual amount of pension calculated in accordance with subsection (1), and

2 per cent of the former member’s “Best Average Earnings” under the AgriCorp Plan as of April 30, 2021 multiplied by the years and completed months of transferred credit; and

when a former member who is in receipt of a pension attains sixty-five years of age or who is not in receipt of a pension commences to receive a pension on or after attaining sixty-five years of age, as the greater of:

the annual amount of pension calculated in accordance with subsection (1) less the reduction under subsection (3), and

2 per cent of the former member’s “Best Average Earnings” under the AgriCorp Plan as of April 30, 2021 multiplied by the years and completed months of transferred credit.

(1.5) The annual amount of every pension provided for in subsection (1.4) shall be subject to the reductions set out in subsections (4) to (9) and sections 20 and 21, as applicable, and the equivalent reduction provisions of the AgriCorp Plan shall not apply.

(1.6) For greater certainty, the amount calculated under subparagraph (1.4)(b)(ii) shall not be subject to the reduction under subsection (3).

The PSPP is amended by adding new

Section 36.5 immediately following

Section 36.4.

Transfer from AgriCorp Plan to the Plan

36.5

(1) Following the designation of certain classes of AgriCorp employees as persons who are either required or eligible to be members in the Plan effective May 1, 2021, and in accordance with

Section 81 of the Pension Benefits Act, the Board may enter into one or more written agreements with AgriCorp providing for the transfer to the Plan of the assets and liabilities in the AgriCorp Plan in respect of credit accrued prior to May 1, 2021 for members, former members and retired members of the AgriCorp Plan as well as other persons who are entitled to payments under the AgriCorp Plan.

Transfer of assets

(2) If the Board enters into the transfer agreement described in subsection (1), the Board shall comply with all applicable requirements under the Pension Benefits Act in order to transfer the assets from the AgriCorp Plan into the Plan.

ITA Limits

(3) The transfer of assets and liabilities under this

section is subject to the limitations set out in the Income Tax Act (Canada) and Regulations.

Other service

(4) AgriCorp employees who were members of the AgriCorp Plan on or before April 30, 2021 and have one or more periods of employment with AgriCorp prior to May 1, 2021 for which they do not have credit in the AgriCorp Plan, and who become members of the Plan on or after May 1, 2021, may purchase credit in the Plan in respect of that period or periods of prior employment by paying into the Fund the amount set out in subsection 11(2).

Transition - Deferred AgriCorp Plan Members and Retirees

(6) If the assets and liabilities in the AgriCorp Plan in respect of credit accrued prior to May 1, 2021 are transferred to the Plan pursuant to this section, and if any of the persons described in subsection (5) accrue credit in the Plan between May 1, 2021 and the date on which assets are transferred, their pension benefits in respect of that credit shall be calculated separately in accordance with the terms of the Plan.

(7) For the persons described in subsection (5), all conditions, terms and rules that applied and

options that were available for the payment, eligibility and entitlement to a pension or other payment under the AgriCorp Plan as of the date immediately preceding the date on which the assets are transferred shall apply to the payment, entitlement and eligibility to the pension or other payment provided under subsection (5).

Treasury Board Secretariat

Approved and Ordered:

April 22, 2021

Updated: January 18, 2023

Published: May 06, 2021