12 Plan rules
13 Application of
plan rules from prior date
14 Report to
Minister and Association
15 Determination
of current service cost
16 Beneficiaries
17 Temporary
saving of former relationship breakdown rules
18 Employers’ liability for contribution amounts
19 Liability of
benefits to legal process
20 Allocation of
surpluses and experience gains
21 Extra‑statutory
benefits or remedies
22 Winding up of
Private School Plan
23 Dis‑application
of Trustee Act
27 Commencement
and lapsing
Part 2
Division and Distribution of Benefits on Relationship Breakdown
28 Application of
Employment Pension Plans legislation with adaptations to the Plan
29 Interpretation
30 Application of this Part
31 Prevalence of this Part in relation to benefits
32 Effect of matrimonial property orders
33 Requirements for matrimonial property orders
34 Division and distribution of benefits generally
35 Total entitlement
36 Total pre‑division benefit
37 Non‑member pension partner’s share
38 Distribution of non‑member pension partner’s share
39 Adjustment of member pension partner’s benefit
40 Bar against further claims
41 Disclosure of information
42 Application to Court for clarification
43 Assignment and protection from execution, etc.
44 Fees
45 Filing of documents with Board
Schedule
Interpretation
1(1) For
the purposes of section 1(1)(d)(i) of the Act, the bodies listed in the
Schedule are the employer‑contributors, along with the Crown, under the
Principal Plan.
(2) The
minimum funding requirements referred to in section 1(1)(f) of the Act are
those contained in
(a) section
48(2) of the Employment Pension Plans Act, and
(b) the
following provisions of the Employment Pension Plans Regulation (AR
35/2000):
(i) section 48(3)(b), with respect to post‑August 1992 unfunded
liabilities only;
(ii) section 48(3)(c), (7) and (8), with respect only to the Private
Plan;
(iii) section 48(4) and (6).
(3) Interpretation
provisions in the applicable plan rules apply with respect to the
interpretation of this Regulation as this Regulation relates to the Plan in
question.
AR 204/95
s1;99/2001;251/2001
Part 1
General Provisions
Board of trustees
2(1) The number of persons prescribed for the
purposes of section 5(3)(a) of the Act is 3.
(2) Subject
to subsection (4) and section 20(1)(b) of the Interpretation Act, a
member of the Board nominated under section 5(3)(a) of the Act holds office
under the appointment for the term of 4 years.
(3) Subject
to subsection (4), a member of the Board nominated under section 5(3)(b) of the
Act holds office under the appointment for the term of 4 years, but may be
previously removed or suspended by the Lieutenant Governor in Council only
(a) on
the written recommendation of the Association, or
(b) for
cause.
(4) A
person appointed to fill a vacancy in the membership of the Board holds office
for the unexpired portion of the term of the member replaced.
Chair and vice-chair
of Board and committees
3(1) The Board shall elect its chair, for the term
decided by it, from among members of the Board nominated under section 5(3)(b)
of the Act.
(2) The
Board shall elect its vice-chair, for the term decided by it, from among the
remaining 5 members of the Board.
(3) If
the Board fails to elect a chair or a vice‑chair, the Minister may
appoint any member of the Board from either category in section 5(3) of the Act
to fill the vacant position.
(4) A
committee of the Board shall elect a chair and a vice‑chair from among
its members.
(5) The
vice‑chair of the Board or of a committee shall act as chair when the
chair is absent or unable to act.
Board committees
4 The Board may designate members of its
committees as voting or non‑voting committee members.
Quorum of Board and
committees
5(1) A majority of the appointed members of the
Board constitutes a quorum of the Board.
(2) A
majority of the appointed voting members of a committee of the Board
constitutes a quorum of that committee.
Casting votes
6 With respect to the Board and its
committees, if a tie vote occurs on a motion, the chair (including the vice‑chair
when acting under section 3(5)) has a casting vote which, if exercised, creates
a majority for the purposes of section 17(2)(b) of the Interpretation Act.
Remuneration and
costs of Board members
7(1) Members of the Board who are not employed by an
employer or by an employer‑contributor are entitled to the remuneration,
if any, decided by the Board.
(2) Notwithstanding
subsection (1), the Board may, on the application of an employer or an employer‑contributor
that employs a Board member, reimburse that employer or employer‑contributor
in respect of costs incurred in employing another person to perform the Board
member’s duties while engaged in Board responsibilities.
(3) To
avoid any doubt, the Board may regard any payment under subsection (1) or (2)
as plan costs.
Non-delegable
functions, etc.
8 The following are prescribed for the
purposes of section 10(4)(d) of the Act:
(a) appointment
or removal of the chief executive officer;
(b) the
election or removal of the chair or the vice‑chair of the Board;
(c) approval
of the annual financial statements or the annual budget;
(d) approval
of statements of investment policies or goals and any amendments to those
policies or goals;
(e) any
indemnification given under section 11.
Collection and
provision of information
9(1) In this section, “employment information” has
the meaning assigned to it in section 25(1)(c) of the Act.
(2) The
Board may by written notice require any employer to provide employment
information to it, within the time and in the manner specified in the notice.
(3) An
employer shall annually provide to the Board, before the date specified by the
Board by written notice, an independent auditor’s opinion on matters
established by the Board with respect to the employer’s compliance with his
obligations under the Plan during the relevant period.
(4) Where
the opinion required by subsection (3) is not received within the time
specified by the Board, the Board may order that an audit be conducted at the
expense of the employer.
(5) An
employer shall comply with an order made by the Board under subsection (4).
(6) An
employer shall report to the Board each year, forthwith after fixing them,
(a) a
school year which, in the case of an employer that is required to report a
school year under the School Act, will be that school year, and
(b) the
minimum time that is required to constitute a full‑time basis for
employment for the purposes of the Plan,
and, if any such
information is subsequently changed during the year, shall forthwith report the
change to the Board.
(7) Revenue
Canada is prescribed for the purposes of section 25(2)(c) of the Act for the
purpose of the disclosure of employment information that is or may be required
to enable the Board to maintain a Plan’s registration.
(8) The Association is prescribed for the purposes
of section 25(2)(c) of the Act.
AR 204/95 s9;41/96
Immunity from suit
for damages
10(1) No action for damages may be commenced against
a member of the Board for anything done or not done by him while carrying out
duties or exercising powers as a member of the Board under the Act, this
Regulation, the plan rules or any other enactment, provided that he has acted honestly, in good
faith, without negligence and without a wilful failure to observe the best
interests requirement of section
11(1)(a) (as affected by section 11(2)) of the Act.
(2) No
action for damages may be commenced against a member of a committee of the
Board who is not a member of the Board for anything done or not done by him
honestly, in good faith and without negligence while carrying out duties or
exercising powers as such a committee member.
Indemnification
11(1) Except in respect of an action by or on behalf
of the Board to procure a judgment in its favour, the Board may indemnify a
present or former member of the Board or of any of its committees, an officer
or employee or a person who acts or acted at the Board’s request as a director
or officer of a corporation of which the Board is or was a shareholder or
creditor (in this section referred to as the “other corporation”) against
costs, charges and expenses, including any amount paid to settle an action or
satisfy a judgment, reasonably incurred by him with respect to a civil,
criminal or administrative action or proceeding to which he is made a party by
reason of his being or having been such a Board member, committee member,
officer, employee or director but only in accordance with this section.
(2) Notwithstanding
anything in this section, the Board may indemnify the person only if
(a) he
acted honestly, in good faith and with a view
(i) where applicable, to the best interests of the other corporation,
and
(ii) subject to subclause (i), to the observance of the best interests
requirement described (as to Board members) in section 11(1)(a) (as affected by
section 11(2)) of the Act,
and
(b) in
the case of a criminal or administrative action or proceeding, he had
reasonable grounds for believing that the conduct was lawful.
(3) Notwithstanding
anything in this section except subsection (2), the person is entitled to
indemnity from the Board in respect of all costs, charges and expenses
reasonably incurred by him with respect to the defence of any civil, criminal
or administrative action or proceeding to which he is made a party by reason of
his being or having been a Board member, committee member, officer, employee or
director referred to in subsection (1) if he was substantially successful on
the merits in his defence of the action or proceeding and he is fairly and
reasonably entitled to indemnity.
(4) Any
payment under this section under an indemnity or any premium for indemnity
insurance constitutes a plan cost.
(5) Members
of the Board who vote for a resolution authorizing the payment of an indemnity
in contravention of this section are jointly and severally liable to restore to
the Board any amount so paid that is not otherwise recovered by the Board, with
interest at the rate of 8% per year.
Plan rules
12(1) Subject to section 14 of the Act and to this
section, the Board may, following consultation with the Minister and the
Association, by regulation establish new plan rules or amend existing plan
rules, with respect to the matters referred to in subsection (2) (not being
matters respecting which the Board has an obligation under this Regulation to
make plan rules).
(2) The
matters referred to in subsection (1) are
(a) participation
in the Plans,
(b) contributions,
including remuneration with respect to which contributions are payable,
(c) service
and combined pensionable service,
(d) benefits,
(e) beneficiaries,
(f) administration
of the Plans,
(g) methods
of payment of amounts owed by or owing to the Plans, including interest and how
it is to be applied, and
(h) reduction
or suspension of pensions during periods of re‑employment.
(3) Subject
to subsection (4), plan rules made by the Board have no effect unless they have
been approved by the Lieutenant Governor in Council.
(4) Subsection
(3) does not apply with respect to plan rules made under section 14(5), 16(2),
(6) or (7) or 19(4) of the Act or made with respect to the following matters
(being matters falling within the jurisdiction covered by subsection (2)):
(a) alternative
forms of pension to be made available to pensioners that are the actuarial
equivalent of the pension in the form of a normal pension,
(b) categories
of prior service eligible for acquisition on an actuarial reserve basis,
(c) administration
of the Plans insofar as it does not purport to carry into effect benefit
adjustments resulting in a change in the actuarial costs of the Plans, and
(d) the
matters specified in subsection (2)(g).
(5) Subject
to section 14(3) and (6) of the Act, the Lieutenant Governor in Council has
authority to amend plan rules made by the Board.
(6) Subject
to section 14 of the Act and this section, the Board has authority to amend
plan rules made by the Lieutenant Governor in Council on matters within its
legislative jurisdiction.
(7) Plan
rules made by the Board may be integrated with those made by the Lieutenant
Governor in Council, and plan rules made by the Lieutenant Governor in Council
may be integrated with those made by the Board.
(8) Amendments
to plan rules may be made only by regulation.
Application of plan
rules from prior date
13 A provision of the plan rules of either
Plan that
(0a) repealed
AR 99/2001 s4,
(a) relates
to the determination of who is an employee or employer, or
(b) withdraws
any employees or employers from participation in the Plan following an
application by the employer for withdrawal, or attaches any terms or conditions
to a withdrawal,
may be made to apply
with effect from a date specified in those plan rules that is prior to that on
which they are filed under the Regulations
Act.
AR 204/95 s13;99/2001
Report to Minister
and Association
14(1) The
Board shall
(a) provide
to the Minister and the Association copies of a report on the business and
affairs of the Board as soon as practicable after the close of each fiscal
year, based on its operations for that fiscal year,
(b) table
each actuarial valuation report for each Plan at the first Board meeting after
its completion and provide to the Minister and the Association copies of that
report within 90 days after the completed report is so tabled, and
(c) provide
to the Minister and the Association copies of each auditor’s report on the
Plans within 30 days after the Board receives it.
(2) The
Minister may require an audit, at the Crown’s expense, of the administration of
either or both of the Plans, including the management of the Pension Funds.
(3) The
Board shall co‑operate in the conduct of any audit referred to in
subsection (2) and shall provide any information required by the auditor.
Determination of
current service cost
15 The Principal Plan’s current service cost
is to be determined using the attained age normal actuarial cost method, with
all expected plan costs for the next fiscal year included.
Beneficiaries
16(1) Any person on whose death a benefit is payable
is a participant for the purposes of section 47 of the Trustee Act.
(2) When
a benefit is paid to a surviving pension partner or to the personal
representative of an estate by virtue of the operation of section 54(3) of the
plan rules, the payment is validly made as against the Plan and the Board
notwithstanding that a designation is filed under the Plan after the payment is
made, and the person who would have been entitled under the designation has no
right to any benefit as a result of the designation.
(3) A benefit paid on the death of any
person otherwise than to the personal representative of a deceased’s estate is
not part of the estate of the deceased and is not subject to the claims of his
creditors.
(4) The right of any person under section 47 of the
Trustee Act to a benefit is subject to any rights given by Part 5 of the
plan rules to any other person.
AR 204/95 s16;101/2002
Temporary saving of
former relationship breakdown rules
17(1) Interpretation
provisions in Part 2 apply in this section.
(2) Notwithstanding Part 2, either
pension partner may file a matrimonial property order under this section that
reflects the laws that were applicable with respect to the division and
distribution of benefits before May 1, 2004, and in that case those laws
continue to apply with respect to the division and distribution of the member
pension partner’s benefit.
(3) The
right of the pension partners to file under subsection (2) expires, and this
section is repealed, at the end of April 2010.
AR 204/95
s17;84/2004;20/2005;25/2006;30/2007;17/2008
Employers’ liability for contribution amounts
18 Where an employer fails to comply with
section 14 of the plan rules, then, without affecting any rights of the
employer under the law to recover from the member, the employer is liable to
the Board for an amount equal to the contributions that should have been
withheld and remitted, with interest.
Liability of benefits
to legal process
19 A person’s interest in a benefit is not
subject to garnishee proceedings, attachment, seizure or any legal process.
Allocation of
surpluses and experience gains
20(1) Where an experience gain arises in the
Principal Plan under an actuarial valuation report with respect to pre‑September
1992 pensionable service, that experience gain is to be used to shorten the
amortization period set for the retirement of the unfunded liability under
section 19 of the Act so as to have it eliminated at an earlier date than would
otherwise have been applicable.
(2) Where
subsection (1) has been applied and an experience deficiency subsequently
arises in the Principal Plan with respect to pre‑September 1992
pensionable service, the deficiency is to be dealt with by extending the
amortization period referred to in subsection (1) to a later date that is not
later than August 31, 2060 before any additional contribution rates are
increased.
(3) Where
a surplus arises in the Principal Plan with respect to post‑August 1992
pensionable service under any actuarial valuation report up to and including
that as of August 31, 2017, that surplus is to be used to reduce the unfunded
liability referred to in section 19(2)(d) of the Act as and when the surplus is
identified in the report.
(4) Where
a surplus arises in the Principal Plan with respect to post‑August 1992
pensionable service under any actuarial valuation report after that as of
August 31, 2017, that surplus is to be used, in the manner determined by the
Board based on the recommendation of the Plan’s actuary, to reduce the
contributions payable by members and employer‑contributors for current
service over a 5‑year period.
(5) Subsection
(4) will not apply if, before August 31, 2017, the Crown and the Association
have in writing agreed alternative arrangements to those in subsection (4), in
which case those written arrangements are to apply with respect to surpluses
identified in post‑August 31, 2017 actuarial valuation reports instead.
(6) Where
a surplus arises in the Private School Plan, that surplus is to be used, in the
manner determined by the Board based on the recommendation of the Plan’s
actuary, to reduce the contributions payable by members and employer‑contributors
for current service over a 5‑year period.
Extra-statutory
benefits or remedies
21(1) The
Board, including the review committee, shall not provide, and a person is not
entitled to, any benefits or any other remedy at law or in equity relating to a
benefit or to acquire any service unless that benefit, remedy or right is expressly provided for in and permitted by
the applicable Plan or this Regulation.
(2) An employer, an employer‑contributor,
the Association or any local or member of the Association (as such) is not an
agent of the Board for any purpose connected with either Plan or this
Regulation.
(3) Without
limiting subsection (1) or (2), no action lies against the Board in respect of
(a) any
representation made, or any other information provided, by any person to any
other person in respect of benefits, acquisition of service or other
entitlements under either Plan or this Regulation, or
(b) any
failure to provide any information in connection with either Plan, or to
provide it on time.
Winding up of Private
School Plan
22(1) The Board may, after consulting with the
Minister, decide that the Private School Plan is to be wound up as of the date
decided by the Board.
(2) If
a decision is made by the Board to wind up the Private School Plan and the
Plan’s assets are not sufficient to pay all the benefits, the Board shall, in
consultation with the Minister, formulate a plan for the winding up that
complies with section 55 of the Employment Pension Plans Regulation (AR
35/2000).
(3) After
subsections (1) and (2) have been implemented, the Lieutenant Governor in
Council may make an order, generally following the winding‑up plan
formulated by the Board,
(a) winding
up the Private School Plan as of the date specified in the order, and
(b) dividing up any remaining assets and
liabilities.
AR 204/95 s22;99/2001
Dis-application of
Trustee Act
23 The Trustee Act, other than
sections 1, 41, 43 and 47 of it, does not apply with respect to the Board or
its members.
24 to 26 Repealed AR 84/2004 s4.
Commencement and
lapsing
27(1) Repealed AR 84/2004 s4.
(2) Subsections
(4) and (5) of section 20 come into force on September 1, 2017.
(3) Repealed AR 84/2004 s4.
AR 204/95 s27;84/2004
Part 2
Division and Distribution of Benefits
on Relationship Breakdown
Application of
Employment Pension Plans legislation
with adaptations to the Plan
28 The provisions of the Employment
Pension Plans Act and the Employment Pension Plans Regulation
(AR 35/2000) respecting the division and distribution of benefits on the
breakdown of the relationship of pension partners to whom that legislation
relates, as adapted for the purposes of the Plan and contained in this Part,
apply with respect to the Plan and, for the convenience of the users of this
Regulation, the provisions of that legislation, as adapted where applicable,
are set out in full rather than adopted by reference.
AR 84/2004 s5
Interpretation
29(1) In
this Part,
(a) “Court”
mean the Court of Queen’s Bench;
(b) “delayed
division” means a division where the distribution is to be delayed under
section 38(1)(c)(ii);
(c) “division
date” means
(i) where the member pension partner’s pension commencement occurred
before the making of the matrimonial property order, the date when that order
is filed with the Board,
(ii) where there is a delayed division, the event date, or
(iii) in any other case, the end date;
(d) “division
factor” means the fraction constituting the proportion of the total pre‑division
benefit that is awarded or given to the non‑member pension partner in the
matrimonial property order;
(e) “end
date” means the time marking the end of the period of joint accrual;
(f) “event
date” means the time
(i) as of when the member pension partner, having terminated, is paid
a lump sum or has a lump sum transferred,
(ii) when the member pension partner commences a pension,
(iii) when the member pension partner dies, or
(iv) as of when the member pension partner transfers the pension
entitlement to another registered pension plan under a reciprocal agreement,
whichever event occurs
first;
(g) “file”
means file under section 45;
(h) “matrimonial
property order” or “order” means a matrimonial property order within the
meaning of the Matrimonial Property Act, or a similar order enforceable
in Alberta of a court outside Alberta, that affects the payment or distribution
of a pension partner’s benefits and, to avoid doubt, includes a consent order
of the Court adopting an agreement entered into between pension partners in
proceedings under the Matrimonial
Property Act providing for the
division and distribution of a benefit;
(i) “member
pension partner” means, in relation to the Plan, the pension partner who is or
was the member in question, and “non‑member pension partner” means the
other pension partner;
(j) “non‑member
pension partner’s share” means the share referred to in section 37;
(k) “pensionable
age” means, in relation to the member pension partner, the age of 65 years;
(l) “pension
partner” means a pension partner or former pension partner to whom this Part
applies by virtue of section 30;
(m) “period
of joint accrual” means the period whose beginning and end are specified in the
matrimonial property order in accordance with section 33(a);
(n) “total
entitlement” means the total benefit, or the value of that benefit, accrued to
the member pension partner, calculated in accordance with section 35;
(o) “total
pre‑division benefit” means the proportion of the total entitlement, or
the value of that proportion, that is accrued during the period of joint
accrual, calculated in accordance with section 36.
(2) To avoid uncertainty, for the
purposes of this Part, pensionable service accumulated by the member pension
partner during the period of joint accrual includes
(a) all
pensionable service that is credited to the member pension partner before the
end date by reason of a transfer into the Plan of money under a reciprocal
agreement and that relates to service performed during the period of joint
accrual, and
(b) all
other prior service to the extent that it was paid for during the period of
joint accrual,
but does not include any other prior service.
AR 84/2004 s5
Application of this
Part
30(1) Subject
to section 41, this Part applies with respect to the division and distribution
of benefits where, as between pension partners, a matrimonial property order is
filed with the Board, and this Part applies notwithstanding any other provision
of the Act, the regulations and the plan rules, and notwithstanding any other
rule of law or equity to the contrary, except that section 17 prevails over
this Part to the extent of inconsistencies between them.
(2) This
Part applies only with respect to a matrimonial property order made on or after
May 1, 2004.
AR 84/2004 s5
Prevalence of this
Part in relation to benefits
31(1) Notwithstanding
the Matrimonial Property Act or any other rule of law or equity to the
contrary, the Court shall not make a matrimonial property order dividing or
distributing a benefit or any portion of a benefit except in a manner that
complies with this Part.
(2) Nothing
in subsection (1) prevents the Court from distributing, under the Matrimonial
Property Act, property that is not a benefit in a manner that takes account
of how a benefit is to be divided or distributed in compliance with this Part.
AR 84/2004 s5
Effect of matrimonial
property orders
32 Subject to this Part, the
entitlement of any person to a benefit is subject to entitlements arising under
a matrimonial property order filed with the Board.
AR 84/2004 s5
Requirements for
matrimonial property orders
33 A matrimonial property order must specify
(a) the
beginning and end of the period that the benefit is considered to have jointly
accrued for the purposes of the Matrimonial Property Act,
(b) whether
or not there is to be a delayed division, and
(c) the division factor, which must not exceed
50%.
AR 84/2004 s5
Division and
distribution of benefits generally
34 Benefits must be divided
between the pension partners, and the non‑member pension partner’s share
distributed, in accordance with this Part and, subject to the foregoing, in
accordance with the applicable matrimonial property order.
AR 84/2004 s5
Total entitlement
35 The total entitlement, to be calculated
as of the division date,
(a) if
the member pension partner is not then vested, is equal to the value of the
member pension partner’s employee contributions,
(b) if
the member pension partner has already commenced to receive a pension, is the
pension itself,
(c) if
the non‑member pension partner is entitled to choose and chooses a
delayed division, is,
(i) if the event date is not when the member pension partner dies,
the greater of the commuted value of the member pension partner’s pension and
the value of the member pension partner’s employee contributions, or
(ii) if the event date is when the member pension partner dies, the
benefit payable under Division 2 of Part 5 of the Plan’s plan rules,
or
(d) if
the member pension partner is then vested and has not yet commenced to receive
a pension and the non‑member pension partner is not entitled to choose or
does not choose a delayed division, is equal to the greater of the value of the
member pension partner’s employee contributions and the commuted value of the
pension, calculated as if the member pension partner had terminated at the end
date and on the assumption that the member pension partner will commence to
receive the pension
(i) if pensionable age has not yet been reached, on the first day of
the month following pensionable age, or
(ii) if pensionable age has already been reached,
(A) on the first day of the month following the
date mentioned in the matrimonial property order, if such a date is so mentioned,
or
(B) if not so mentioned, on the first day of the
month following the day on which the order is made.
AR 84/2004 s5
Total pre‑division
benefit
36 The total pre‑division benefit is
to be calculated, as of the division date, according to the following formula:
A = B x C
D
where
A = the total pre‑division benefit
B = the total entitlement
C = the aggregate of all the pensionable service
accumulated by the member pension partner in the period of joint accrual
