Bill 89 (Legislature 18, Session 1)

L18 S1 5540

Alberta — Bills

1975 Bill 89 (Second Session) First Session, 13th· Le~islaturet 24 Elizabeth II THE LEGISLATIVE ASSEMBLY OF ALBERTA BILL 89 THE M.L.A. PENSION AMENDMENT ACT, 1975 THE PROVINCIAL TREASURER First Reading .............................. . Second Reading ............................ . Third Reading ............................. . Printed by the Queen's Printer for the Province of Alberta, EDMONTON

Bill 89 BILL 89 1975 (Second Session) THE M.L.A. PENSION AMENDMENT ACT, 1975 (Assented to , 1975) HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Alberta, enacts as follows: 1. The M.L.A. Pension Act is hereby amended.

Section 2 is amended (

a) by striking out clause (

a) and by substituting the following: (a) "Board" means the Public Service Management Pension Board; (

b) as to clause (

b) by striking out subclause (ii) and by substituting the following: (ii) any service as defined in

section 1, clause (

k) of The Public Service Management Pension Act, other than service with any private body. 3. Se.ction 3, subsection (1) is amended by striking out the words ", subsection (1)".

Section 4 is amended (

a) by striking out subsection (2) and by substituting the following:

(2) Pensionable service may include any service recognized as pensionable service under

section 15 of The Public Service Management Pension Act, other than service with any private body. (

b) by striking out subsection (3) and by substituting the following:

(3) After a period of pensionable service of not less than five years, a person who ceases to be a member of the Legislative Assembly is then entitled to receive

Expla natory Notes I. This Bill will amend

chapter 240 of the Revised Statutes of Alberta 197.0. 2. The amendment in clause (

a) results from the administration of this Act being transferred to the Public Service Management Pension Board. The change in clause (

b) will allow service as a teacher to be counted.

Section 2, clause (

a) and clause (b), subclause (ii) read as follows: 2. In this Act, (a) "Board" means the Public Service Pension Board; (b) "service" means (ii) any service as defined in

section 2, clause (

e) of The Public Service Pension Act, other than serVice as a teacher in the employ of a school board as defined in The Teachers' Retirement Fund Act. 3. To up-date a cross-reference.

Section 3 (1) reads as follows: 3.

(1) Each member of the Legislative Assembly may contribute to the General Revenue Fund at the rate of 5 per cent of the allowance payable to him prior to April 1, 1970 under

section 51, subsection (1) of The Legislative Assembly Act and at the rate of 7* per cent of the alloWance so payable to him thereafter. 4. These amendments relate this Act to The Public 8ervice Man agement Pension Act, include service as a teacher, reduce the period of pensionable service required and allow for full formula pension at 55. These amendments coincide with similar provisions in The Public Service Management Pension Act.

Section 4 (2) and (3) read as follows:

(2) Pensionable service may include any service recognized as pensionable service under

section 14 of The Public Service Pension Act, other than service as a teacher in the employ of a school board as defined in The Teachers' Retire ment Fund Act.

(3) After a total period of pensionable service of the lesser of eight years or two· complete terms of the Legislative Assembly, whether continuous or not, d. person who ceases to be a member of the Legislative Assembly is then entitled to receive (

a) if his age is then 60 years or more, a normal pension in an annual amount equal to 4 per cent of the average annual allowance payable to him under The Legislative Assembly Act for the three consecutive years of his service during which that allowance was the highest, multiplied by the total number of years of his pensionable service computed to the nearest complete month thereof, or by 20, whichever number is the less, or at his option, an alternative pension as prescribed by

section 21 of The Public Service Pension· Act, or (

b) if his age is less than 60 years, a pension that is the actuarial equivalent at his age on ceasing to· be a member of the Legislative Assembly of the pension that would be payable to him under clause (

a) were his age then 60 years, as determined by the actuarial tables that are approved by the Board for thiat purpose.

(

a) if his age is then 55 years or more, a nor mal pension in an amount equal to 4 per cent of (

i) the average annual allowance payable to him under The Le,gislative Assem bly Act, where his years of service do not exceed three years, or (ii) the average annual allowance payable to him under The Legislative Assem bly Act for the three consecutive years of his service during which that al lowance was highest, where his years of service exceed three years, multiplied by the total number of years of his pensionable service computed to the nearest complete month thereof, or by 20, whichever number is the lesser, or at his option, an alternative pension as pre scribed by

section 21 of The Public Service Management Pension Act, or (

b) if his age is less than 55 years, a pension that is the actuarial equivalent at his age on ceasing to be a member of the Legisla tive Assembly of the pension that would be payable to him under clause (

a) were his age then, 55 years, as determined by the actuarial tables that are approved by the Board for that purpose.

Section 7 is amended (

a) as to subsection (1) by striking out the words ", subsection (1) or (2)", (

b) as to subsection (3) by striking out the words ", subsection (1)".

Section 8 is amended by striking out subsection (2) and by substituting the following:

(2) After a total period of pensionable s'ervice of at least one yea:r, a, person who ceases to be a member of the Execu tive Council and who has acquired or subsequently acquires the pensionable service required for a pension under

Part 1 is then entitled to receive (

a) if his age is then 55 years or more, a normal pension in an annual amount equal to 4 per cent of (

i) his average annual salary under

section 55 of The Le,gislative Assembly Act, where his years of service do not exceed three years, or 2

5. To up-date cross·-references.

Section 7 (1) and (3) read as follows: 7.

(1) Each member of the Executive Council may contribute to the General Revenue Fund at the r::tte of 5 per cent of the annual compensation payable to him prior to April 1, 1970 under

section 55, subsection (1) or (2) of The Legisla tive Assembly Act and at the rate of 7% per cent of the annual compensation so payable to him thereafter.

(3) A member of the Executive Council who served as a Minister without portfolio before becoming the head of -a Department. may pay into the General Revenue Fund. in such manner and upon such terms as the Board directs. an amount equal to the contributions that could have been made by him during his period of service as a Minister without portfolio had

section 55. subsection (1) of The Legislative Assembly Act applied to him during that period. together with the interest that would have been accumulated thereon to the date of completion of payment in full. 6. This amendment will allow full formula pension at age 5 1 5 to coincide with The Public Service Management Pension Act. Sec- tion 8 (2) presently reads as follows: .

(2) After a total period of pensionable service of at least one year, a person who ceases to be a member of the Executive Council and who has acquired or who subsequently acquires the pensionable service required for a pension under

Part 1 is then entitled to receive (

a) if his age is then 60 years or more, a normal pension in an annual amount equal to 4 per cent of (

i) his average annual income under

section 55, subsection (1) or (2) of The Legislative Assembly Act, where his years of service do not exceed three years, or (ii) his average annual income under

section 55, subsection (1) or (2) of The Legislative Assembly Act for the three consecutive years of his service during which that income was highest, where his years of service exceed three years, multiplied by the total number of years of his. pensionable service com puted to the nearest complete month thereof, or by 20, whichever number is less, or at his option. an alternative pension as prescribed by

section 21 of The Public &;:rvice Pension Act, or (

b) if his age is then less than 60 years, a pension that is the actuarial equivalent at his age on ceasing to be a member of the Executive Council of the pension that would be payable to him under clause (

a) were his age then 60 years. as determined by the actuarial tables that are ap proved by the Board for that purpose. 2

(ii) his average annual salary under

section 55 of The Legislative Assembly Act for the three consecutive years of his service during which that salary was highest, where his years cf service exceed three years, multiplied by the total number of years of his pen sionable service computed to the nearest complete month thereof, or by 20, whichever number is the lesser, or at his option, an alternative pension as prescribed by

section 21 of The Public Service M anageme.nt Pension Act, or (

b) if his age is then less than 55 years, a pension that is the actuarial equivalent of his age on ceasing to be a member of the Executive Council of the pension that would be payable to him under clause (

a) were his age then 55 years, as determined by the actu arial tables that are approved by the Board for that purpose.

Section 9 is amended by striking out subsection (4).

Section 11, subsection (1) is amended by siriking out the words "section 51, subsections (2), (3) and (4)" and by substituting the tDords "section 51.1, subsections (1) and (2) ".

Section 12, subsection (4) is amended (

a) by striking out clause (

a) and by substituting the following: (

a) if his age is then 55 years or more, a normal pension in an annual amount equal to 4 per cent of (

i) in the case of the Speaker, (

A) his average annual salary under sec tion 51.1, subsection (1) of The Legis lative Assembly Act, where his years of service do not exceed three years, or (

B) his average annual salary under sec tion 51.1, subsection (1) of The Legis lative Assembly Act for the three con secutive years of his service during which his salary was highest, where his years of service exceed three years, (ii) in the case of the Deputy Speaker, (

A) his average annual salary under sec tion 51.1, subsection (1) of The Legis lative Assembly Act, where his years of service do not exceed three years, or 3

7. This amendment will remove subsection (4) which is now obsolete.

Section 9 (4) presently reads:

(4) Where any perSfln is, on April 1, 1970, a member of the Legislative As sembly and in receipt of ~ pension by virtue of having been a member of the Executive CouncU, his pension shrul.l after that dBJte be cruloul8Jted on the basis set out in sectior. 8, SUbsection (2). 8. To up-date a cross-reference. 9. These amendments coincide with amendments to sections 4 and 8 of the Act.

Section 12 (4) presently reads:

(4) After a total period of pensionable service of at least one year, a person who ceases to be the Speaker, Deputy Speaker or leader of Her Majesty's loyal opposition and who has acquired or who subsequently acquires the pensionable service required for a pension under

Part 1, is then entitled to receive (

a) if his age is then 60 years or more, a normal pension in an annual amount equal to 4 per cent of (

i) in the case of the Speaker, (

A) his a verage annual allowance under

section 51, subsection (2) of The Legislative Assembly Act where his years of service do not exceed three years. or (

B) his average annual allowance under

section 51, subsection (2) of The Legislative Assembly Act for the three consecutive years of his service during which his allowance was highest, where his years of service eXl'eed three years. (ij) in the case of the Deputy Speaker, (

A) his average annu"l.l allowance under

section 51. subsection (3) of The Legislative Assembly Act where his years of service do not exceed three years. or (

B) his average annual allowance under

section 51, subsection (3) of The Legislative Assembly Act tor the three consecutive years of his service during which his allowance was highest, where his years of service exceed three years. (iii) in the case cf the leader of Her Majesty's loyal oppOsition. (

A) his averag p annual allowance under

section 51. subsection (4) of The Legislative Assembly Act where his years of service do not exceed three years, or (

B) his average annual allowance under

section 51, subsection (4) of The Legislative Assemhly Act for the three consecutive years of his service during which his allowance was highest, where his years of service exceed three years, multi}llied by the total number of years of his pensionable service com puted to the nearest complete month thereof. or by 20, whichever number is the less, or, at his option, an alternative pension as prescribed by

section 21 of The Public Service Pension Act, or <

b) if his age is then less than 60 years, a pension that is the actuarial equivalent at his age on ceasing to hold the office in relation to which he wa!! c(mtributing under this Part of the pension that would be payable tt' him under clause (

a) were his age then 60 years. as determined by the actuarial tables that are approved by the Board for that purpose. 3

(

B) his average annual salary under sec tion 51.1, subsection (1) of The Legis lative Assembly Act for the three consecutive years of his service dur ing which his salary was highest, where his years of service exceed three years, (iii) in the case of the leader of Her Majesty's loyal opposition, (

A) his average annual salary under sec tion 51.1, subsection (2) of The Legis lative. Assembly Act where his years of service do not exceed three years, or (

B) his average annual salary under sec tion 51.1, subsection (2) of The Legis tive Assembly Act, for the three con secutive years of his service during which his salary was highest, where his years of service exceed three years, multiplied by the total number of years of his pensionable service computed to the nearest complete month thereof, or by 20, whichever number is the lesser, or, at his option, an alter native pension as prescribed by

section 21 of The Public Service Management Pension Act, or (

b) in clause (

b) by striking out the figure "60" where ever it appears and by substituting the figure "55".

Section 15 is amended by adding after the word "Service" the word "Management". 11. Se.ction 16, subsection (2) is amended (

a) as to clause (

b) by adding after the figure "17" the word ", or", (

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

c) the date a former member becomes entitled to deferred pension payments.

Section 17 is amended (

a) by striking out subsection (3) and by substituting the following:

(3) Where the beneficiary of a deceased mem ber is (

a) the surviving spouse of that member, or (

b) a dependent child under the age of 18 years, : the beneficiary is also entitled to receive a further sum equal to the amount standing to the credit of 4

Section 15 reads as follows: 15. Subject to the modifications and exceptions set out in this Act, The Public Service Pension Act applies mutatis mutandis to (

a) persons who were members of the Legislative Assembly on the first day of March. 1963, and (

b) persons who became members of the Legislative Assembly after the first day of March, 1963. II. This amendment will allow interest to continue to be credited where a former member elects a deferred pension. This coincides with The Public Service Management Pension Act.

Section 16, subsection (2) presently reads as follows:

(2) The interest shall continue to be credited to a member's account until the end of the calendar month immedia tely preceding (

a) the date when payment is made in full to the member pursuant to

section 5, 9 or 13, or (

b) the date of death of a member whose beneficiary is entitled to benefits pursuant to

section 17. 12. The new subsection (3.1) is for purposes of clarification,

Section 17, subsections (3) and (4) read as follows: (~) Where the beneficiary of a deceased meml:'er is (

a) his widow, or (

b) his or her dependent child under the age of 21 years, or (

c) her widower, the beneficiary is also entitled to receive a further sum equal to the amount standing to the credit of the account of the deceased.

(4) Where a person was, a: the time of his death, eligible for a pension in respect of which he had been contributmg under this Act, and where the bene ficiary is his widow or her widower, the beneficiary may elect to be paid in lieu of the payments under subsection (3) (

a) a pension of the same amount as would have been payable if the mem ber immediately before his death had retired under

section 11, sub section (1), clause (

b) of The Public Service Pension Act and had been entitled to exercise and had exercised the option given of receiving a pension during the joint lives of himself and his wife and during the life of the survivor. or (

b) a pension payable for Ufe or for a term of years certain. whichever Is the longer, that is an actuarial value equivalent to that of the pension provided for under clause (a). 4

the account of the deceased, but that sum shall not exceed an amount that is equal to the accumulated contributions that were paid at the rates set pur suant to

section 3, 7, or 11 together with interest thereon. (

b) by adding the following subsection after subsection (3) :

(3.1) Notwithstanding subsection (3), no pay ment to a beneficiary pursuant to that subsection shall be in an amount greater than the share which is otherwise payable to that beneficiary. (

c) as to subsection (-'+) (

i) by striking out the words "his widow or her widower" and by substituting the words "the spouse", (ii) by striking out clause (

a) and by substituting the following: (

a) a pension of the same amount as would have been payable if the member immedi ately before his death had retired and had been entitled to exercise and had exercised the option given of receiving a pension during the joint lives of himself and his spouse and during the life of the survivor, or 13. This Act comes into force on January 1, 1976. 5 Title: 1975 (18th, 1st) Bill 89, The M.L.A. Pension Amendment Act, 1975

Document details

Collection	Alberta — Bills
Citation	L18 S1 5540
Type	bill
Volume / chapter	L18 S1 5540
Language	en
Format	json
Source	PROVINCIAL
Identifier	dc991cc6a25549ba85799018ca72f00815e2fb9b

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