Regulation - LGIC
Proposed amendments to Ontario Regulation 311/15 - Conversions and Transfers of Assets Under Section 80.4 and Conversions Under Section 81.0.1 of the Pension Benefits Act
Regulation Number(s):
Ontario Regulation 311/15
Instrument Type:
Regulation - LGIC
Bill or Act:
Pension Benefits Act R.S.O. 1990
Summary of Proposal:
The following amendments under Ontario Regulation 311/15 of the Pension Benefits Act are being proposed:
1) extension of the deadline for plan administrators to file conversion-related actuarial cost certificates to within 210 days of the effective date of a conversion through a transfer of assets and liabilities. Currently, plans have 120 days from the effective date of the conversion to transfer the assets and another 90 days after to file the actuarial cost certificate. The change would allow the same maximum of 210 days but would allow more time in circumstances where assets are transferred early; and,
2) allowing plan administrators to provide to FSRA certification of how the plan members' consent threshold for the conversion from a SEPP to a JSPP has been met, instead of providing certified copies of the plan member conversion consent and objection forms to FSRA. The amendment would give the CEO of FSRA the authority to request, at any time, the consent and objection forms received by administrators.
1) extension of the deadline for plan administrators to file conversion-related actuarial cost certificates to within 210 days of the effective date of a conversion through a transfer of assets and liabilities. Currently, plans have 120 days from the effective date of the conversion to transfer the assets and another 90 days after to file the actuarial cost certificate. The change would allow the same maximum of 210 days but would allow more time in circumstances where assets are transferred early; and,
2) allowing plan administrators to provide to FSRA certification of how the plan members' consent threshold for the conversion from a SEPP to a JSPP has been met, instead of providing certified copies of the plan member conversion consent and objection forms to FSRA. The amendment would give the CEO of FSRA the authority to request, at any time, the consent and objection forms received by administrators.
Analysis of Regulatory Impact:
The proposed amendments would reduce administrative burden and lower costs for compliance and filings.
The current deadline for filing an actuarial cost certificate can result in plans incurring high costs for actuarial overtime work.
Providing paper copies of a large volume of consent and objection forms is costly. If the requirement to provide copies of consent/objection forms is eliminated, plans could save on direct costs of making paper copies, courier charges and legal fees.
There are no anticipated compliance costs for other entities or small businesses.
The current deadline for filing an actuarial cost certificate can result in plans incurring high costs for actuarial overtime work.
Providing paper copies of a large volume of consent and objection forms is costly. If the requirement to provide copies of consent/objection forms is eliminated, plans could save on direct costs of making paper copies, courier charges and legal fees.
There are no anticipated compliance costs for other entities or small businesses.
Further Information:
Pension Benefits Act, R.S.O. 1990, c. P.8
O. Reg. 311/15: CONVERSIONS AND TRANSFERS OF ASSETS UNDER SECTION 80.4 OF THE ACT AND CONVERSIONS UN
Consultation Draft (English Only)
Proposal Number:
23-MOF005
Posting Date:
April 3, 2023
Comments Due Date:
May 18, 2023
Contact Address:
Broader Public Sector Pension Plans Branch
Ontario Ministry of Finance
5th Floor, Frost Building South
7 Queen's Park Crescent East
Toronto, ON
M7A 1Y7
Ontario Ministry of Finance
5th Floor, Frost Building South
7 Queen's Park Crescent East
Toronto, ON
M7A 1Y7