NEWFOUNDLAND AND LABRADOR REGULATION 49/20

NEWFOUNDLAND AND LABRADOR
REGULATION 49/20

Pension Benefits Act Regulations (Amendment)
under the
Pension Benefits Act, 1997
(O.C. 2020-110)

(Filed July 8, 2020)

Under the authority of section 78 of the Pension Benefits Act, 1997, the Lieutenant-Governor in Council makes the following regulations.

Dated at St. John's, July 8, 2020.

Elizabeth Day
Clerk of the Executive Council

REGULATIONS

Analysis

NLR 114/96
as amended

1. (1) Subsection 41(4) of the Pension Benefits Act Regulations is repealed and the following substituted:

(4) Notwithstanding subsection (1), the Memorial University Pension Plan is

(a) exempt for the period from January 1, 2019 to March 31, 2020 from the requirement that the employer pay an amount under paragraph 12(3)(d) of these regulations;

(b) exempt from the requirement under paragraph 12(3)(c) of these regulations to liquidate the going concern unfunded liability arising from the cost of providing indexed benefits in relation to past service under section 24.1 of the Memorial University Pensions Act within the prescribed 15 year period and is instead permitted to liquidate this liability within 40 years from the day that indexing is effective; and

(c) exempt for the period from April 1, 2018 to March 31, 2020 from the requirement that the employer pay an amount under paragraph 12(3)(c) of these regulations.

(2) Subsections 41(4.2), (4.3) and (4.4) of the regulations are repealed and the following substituted:

(4.2) Notwithstanding paragraph (4)(c), money required to be paid by the employer during the period from April 1, 2018 to March 31, 2020 shall be added to the end of the going concern special payment schedules in effect on April 1, 2018.

(4.3) The going concern special payment schedules in effect on April 1, 2018 based on the actuarial report of December 31, 2017 shall recommence on April 1, 2020 and shall be adjusted to add

(a) two years of accrued interest; and

(b) two additional years for payment.

(4.4) The interest referred to in subsection (4.3) shall be based on the going concern discount rate from the December 31, 2017 actuarial report.

Commencement

2. These regulations are considered to have come into force on April 1, 2018.