Staffordshire Pension Fund Administration Strategy

Transcription

1 Staffordshire Pension Fund Administration Strategy Issue Date 1 December 2016 Review Date 1 December 2017 Version 1.0 1

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3 Staffordshire County Council Pension Administration Strategy Introduction This is the Pension Administration Strategy prepared by Staffordshire County Council, the administering authority of the Staffordshire Pension Fund. Background The Staffordshire Pension Fund is responsible for the administration of the Local Government Pension Scheme (LGPS) within the geographical area of Staffordshire. The Fund also administers the Scheme on behalf of a number of qualifying employers who are not situated within the Staffordshire area. The service is carried out by Staffordshire County Council ( the administering authority ) on behalf of qualifying employers and ultimately the Scheme members. This document is the Pensions Administration Strategy Statement outlining the policies and performance standards needed to provide a cost effective, inclusive and high quality pensions administration service. Our key objectives are: To deliver a consistently high level of performance and customer service; To maintain a high level of data integrity; Communicate to our stakeholders in a clear informative style; Provide cost efficient pension administration; To fully comply with legislation governing the administration of the Scheme. Delivery of such an administration service is not the responsibility of one person or one organisation, but is rather the joint working of a number of different stakeholders which between them are responsible for delivering the pensions administration service to meet the diverse needs of the membership. Governance Benefits accrued in the LGPS are funded. This Fund is made up of contributions and earnings from investment of these contributions. Two committees (the Pensions Committee and the Pensions Panel) have been created to administer the LGPS. A Local Pensions Board has also been set up as required by the Public Service Pensions Act The purpose of the Pensions Board is to assist the Scheme Manager (Administering Authority), ensuring that the governance and administration of the scheme is both effective and efficient. 3

4 Compliance Developed in consultation with employers within the Fund, this statement seeks to promote good working relationships, improve efficiency and ensure agreed standards of quality in delivery of the pension administration service between the employers and the Fund. A copy of this strategy can be found in the employer area of the website In no circumstances does this strategy override any provision or requirement of the Regulations. Review The Fund will review this strategy annually and make revisions as appropriate following a material change in its policies in relation to any matters contained in the strategy. When preparing, reviewing or making revisions, the Fund will consult employers and other persons it considers appropriate. Legislation The Local Government Pension Scheme Regulations enables an administering authority to prepare a written statement of the Authority s policies in relation to the following: Procedures for liaison and communication with participating employers; The establishment of levels of performance which the administering authority and its participating employers are expected to achieve in carrying out their scheme functions; Procedures which aim to ensure that the administering authority and its participating employers comply with statutory requirements in respect of those functions and with any agreement about levels of performance; Procedures for improving communication of information relating to those functions by an administering authority and its participating employers; The circumstances in which an administering authority may consider giving notice to any of its participating employers on account of that employer s unsatisfactory performance in carrying out its scheme functions; Such other matters that appear to an administering authority to be suitable for inclusion in the strategy. Regulation 59 (1) of the LGPS Regulations 2014 enables an LGPS administering authority such as Staffordshire County Council to prepare a document ( the pension administration strategy ) detailing administrative standards, performance measures, data flows and communication with employers. In addition, Regulation 70 (1) of the LGPS Regulations 2014 allows an administering authority to recover costs from an employing authority where costs have been incurred because of that employing authority s level of performance in carrying out its functions under these Regulations. See Appendix A regulatory requirements of the Local Government Pension Scheme Regulations 2014 and additional overriding legislation. 4

5 Objectives The main objectives of this Pension Administration Strategy are to ensure that the administering authority and employing authorities understand their roles and responsibilities under the LGPS Regulations. This can be achieved through: Informative communications; Establishing statements of policy relating to the use of discretionary powers; Timely data submission and processing; Agreed levels of performance and Service Level Agreements; Performance monitoring and feedback; Training; Powers to charge for poor performance. These are all considered in more detail. Communications Communications are an important feature in achieving the Administration Strategy objectives. The administering authority s communication with employing authorities will be via: Direct contact with identified personnel; Employer pages on Pension Fund website; Employer newsletters; Employer meetings; Employer training; Employer guides, e.g. Procedural Guide, Guide to Policy Statements, and Guide to Internal Dispute Resolution Procedures. The employing authority s communication with the administering authority will be via: Documentation, in hard copy or electronic format as directed in the Procedural Guide; Direct contact, e.g. via telephone calls, s and correspondence. The effectiveness of communication methods will be monitored through the use of: Feedback questionnaires; Compliment and complaint monitoring; Customer surveys. Employing authorities and members are invited to offer suggestions for improvements in any areas of communication. 5

6 The Communication Strategy for the Staffordshire Pension Fund can be found on the Staffordshire Pension Fund website at Policy statements: discretionary powers Regulation 60 of the Local Government Pension Scheme Regulations 2014 requires every employing authority to prepare, maintain and publish a written statement of their policy in relation to the exercise of certain discretionary functions as set out in the Benefits Regulations. Regulation 16(2) and 16(4) (d) Funding additional Pension; Regulation 30(6) Flexible Retirement; Regulation 30(8) Waiving of actuarial reduction and Regulation 31 Award of Additional Pension. The Regulations contain many other discretionary powers for the administering authority and employing authorities where a policy statement is not compulsory but, if prepared and published, would be helpful to members and employing authorities. A template is available to assist employing authorities with the process of preparing their policy statements. This can be found in the employer section of the Pension Fund website at Data submission and processing The Pension Regulator who has oversight of public sector pension schemes has published a code of practice which emphasises the need for accurate record keeping and the timely and accurate processing of benefits as being essential. The administering authority uses the Altair system for maintaining and paying the pension members, and for processing benefits. The accuracy of those records and calculations, however, depends upon the reliability of the data upon which they are based. Employing authorities must ensure that information submitted to the administering authority is authorised by an agreed signatory, accurate (checked by an appropriately qualified member of staff), in the correct format, and delivered on time. This is to ensure that benefit details are issued in accordance with the standards and time limits set by legislation. For the majority of our employers, we would expect this by i-connect, which will be phased in during 2017/18. Each employer will be informed of the date from which they should start using the system. Levels of performance and Service Level Agreements Expected Levels of Performance are set out at Appendix B to this document. If the administering or employing authority delegates to an external service provider any of their functions in relation to the administration of the LGPS (e.g. payroll services), the relevant authority retains responsibility for ensuring that the standards specified in this document are met. Consequently, the administrating authority or employing 6

7 authority must ensure that their contractual relationship with their provider includes these standards. Performance monitoring Internal and external audit The Staffordshire Pension Fund will be subject to an annual audit of its processes. The administering and employing authorities will be expected to fully comply with any requests for information from internal and approved external auditors. Any subsequent recommendations will be considered and, where appropriate, implemented (following discussions with employing authorities where necessary). Monitoring performance under Service Level Agreement The administering authority will continually review and monitor performance under the Service Level Agreement against specific tasks from the event date (e.g. date of leaving, or retirement, etc.) to the date of the completion of the task (notwithstanding that service levels for benchmarking purposes are measured from the date that all necessary data have been received/are available). Performance reports will be made available to employing authorities on request. See Appendix C for Service Level Agreement. Monitoring performance by benchmarking Staffordshire County Council as administering authority will also regularly monitor performance by benchmarking against other administering authorities through benchmarking clubs and by using other available comparators. See Appendix D for our service standards. Staffordshire Pension Fund Committee The Staffordshire Pension Fund Committee is required to review the performance of the Pension Fund and to receive reports on pension s administration activities. The roles and responsibilities of the Committee are set out in the Terms of Reference as contained in the Fund s Governance Policy Statement and the Governance Compliance Statement. They can be found on the Pension Fund website at Stakeholders Pensions Consultative Forum The Stakeholders Pensions Consultative Forum meets half-yearly with employers and employee representatives to provide a forum for communication and consultation about the activities and governance of the Staffordshire Pension Fund. They will consider and discuss, amongst other things, the principles and practices of the interaction between the administering authority and employing authorities. The Terms of Reference for the Forum are contained in the Fund s 7

8 Governance and Compliance Statement which is on the Pension Fund website at Pension Board The Pension Board has been created under the Pensions Act of 2013, to assist the Scheme Manager in the following: To secure compliance with the LGPS Regulations and any other legislation relating to governance and administration of the LGPS; To secure compliance with the requirements imposed in relation to the LGPS by the Pensions Regulator; In such matters as the LGPS regulations may specify. Customer Service Excellence Standard The Pension Services Section of Staffordshire County Council has responsibility for benefits administration. The Section has been accredited with the Government s Customer Service Excellence Standard. The making of the award is subject to an organisation meeting the five criteria of customer service excellence: customer insight, customer focused culture, accurate and comprehensive information for customers, delivery of service and timeliness and quality of service. The Section will seek to maintain this accreditation. Procedures to address poor performance The Fund will seek, at the earliest opportunity, to work closely with employers in identifying areas of poor performance, provide the necessary training and development and to put in place appropriate processes to improve the level of service in the future. In the event of continued poor performance and a lack of any evidence of any measures being taken to achieve improvement by an employing authority, the Fund may seek to recover any additional costs arising. Any third party costs or regulatory fines incurred by the Fund as a consequence of administrative failures or poor performance by the employing authority will be recovered from the employer. 8

9 Additional costs incurred as a result of the employer's level of performance Legislation. The administering authority may use this power. They will issue a written notice to the employing authority if they consider that additional costs have been incurred as a result of an employer s level of performance quoting this section of the Pension Administration Strategy and stating the administering authority's reasons for forming the opinion; the administering authority's basis on which the costs have been calculated. Circumstances where additional costs may be recovered The circumstances where additional costs may be recovered from the employing authority are: persistent failure to provide relevant information to the administering authority, scheme member, or any other interested party in accordance with specified performance targets (either relating to the timeliness of delivery or the quality of information); instances where performance by the employing authority results in a loss to the Pension Fund, e.g any overpayment resulting from inaccurate information supplied by the employing authority, costs associated with the assessment of benefits, interest on late payment of benefits, scheme tax charges, etc; failure to deduct and pay over correct employee and employer contributions within the standard timescales; failure to pay any other amounts due to the Pension Fund, e.g, actuarial stain payments; instances where the performance of the employing authority results in fines being levied against the administering authority by the courts, the Pensions Regulator, the Pensions Ombudsman or any other regulatory body. Approach to seeking additional administration costs: failure to meet performance targets The approach taken by Staffordshire County Council as administering authority in the case of circumstances above will be to consider seeking additional administration costs where persistent failure occurs and no improvement is demonstrated by an employing authority once all the opportunities to resolve any issues identified have been exhausted. In these circumstances the administering authority would: write to the employing authority, setting out the area(s) 9

10 of poor performance; meet with the employing authority to discuss area(s) of poor performance and how these can be addressed; issue formal written notice, where no improvement is demonstrated by the employing authority, setting out the areas of poor performance that have been identified, the steps taken to resolve the area(s) of poor performance, and that the additional costs will now be reclaimed; clearly set out the calculations of any loss resulting to the Pension Fund or administering authority, or additional costs, taking into account the time spent and resources used in resolving the specific area of poor performance; and make a claim against the employing authority, setting out the reasons for doing so, in accordance with Regulation 70(1). Approach to seeking additional administration costs: financial failure The approach taken by Staffordshire County Council as administering authority in the case of financial failure will be to seek additional administration costs and immediate reimbursement of costs or losses in instances which have resulted in a fine or a loss to the Pension Fund. In these circumstances the administering authority would: write to the employing authority; issue formal written notice of the additional costs that will be reclaimed; clearly set out the calculations of any loss resulting to the Staffordshire Pension Fund or the administering authority, or additional costs, taking into account the time and resources used; and make a claim against the employing authority, setting out the reasons for doing so, in accordance with Regulation 70(1). Any disagreement regarding the amount of additional administration costs to be recovered would be decided by the Secretary of State. 10

11 The Pension Regulator The Pensions Act of 2013, gave the Pension Regulator an expanded role. The Regulator is responsible for setting standards of governance and administration in the Local Government, NHS, Teachers, Civil Service, Armed Forces, Police, Firefighters and Judicial pension schemes. Between them these schemes represent about 12.6 million members and more than 22,000 employers (2012 figures). The regulator is particularly interested in areas of governance and administration and oversees and advises Local Government Funds on the following: Reporting duties Internal controls and managing risks Record-keeping Communicating to members Publishing scheme information Maintaining contributions Pension board conflicts of interest and representation Resolving internal disputes Reporting breaches of the law One particular area you need to be aware of is Reporting breaches of the law. Responsible parties such as the Administering Authority, Employers and Members must report breaches of the law to the Regulator where they have reasonable cause to believe that: a legal duty relevant to the administration of the scheme hasn t been or isn t being complied with: this could relate for instance to keeping records, internal controls, calculating benefits and, for funded schemes, includes investment governance and administration matters this failure to comply is likely to be of 'material significance' to us As an employer you have a responsibility just like Staffordshire County Council to Report any breach that is materially significant. Further guidance on this can be found on the employer pages of our website, or alternatively you can call the Staffordshire Pension Fund directly for help or guidance. 11

12 Appendices 12

13 Appendix A Regulations covering the Administration Strategy Regulation 59 of the Local Government Pension Scheme Regulations 2014 Pension administration strategy 59. (1) An administering authority may prepare a written statement of the authority s policies in relation to such of the matters mentioned in paragraph (2) as it considers appropriate ("its pension administration strategy") and, where it does so, paragraphs (3) to (7) apply. (2) The matters are (a) (b) (i) (c) (d) (e) (f) procedures for liaison and communication with Scheme employers in relation to which it is the administering authority ("its Scheme employers"); the establishment of levels of performance which the administering authority and its Scheme employers are expected to achieve in carrying out their Scheme functions by the setting of performance targets, (ii) the making of agreements about levels of performance and associated matters, or (iii) such other means as the administering authority considers appropriate; (i) (i) (g) procedures which aim to secure that the administering authority and its Scheme employers comply with statutory requirements in respect of those functions and with any agreement about levels of performance; procedures for improving the communication by the administering authority and its Scheme employers to each other of information relating to those functions; the circumstances in which the administering authority may consider giving written notice to any of its Scheme employers under regulation 70 (additional costs arising from Scheme employer s level of performance) on account of that employer s unsatisfactory performance in carrying out its Scheme functions when measured against levels of performance established under sub-paragraph (b); the publication by the administering authority of annual reports dealing with the extent to which that authority and its Scheme employers have achieved the levels of performance established under sub-paragraph (b), and such other matters arising from its pension administration strategy as it considers appropriate; and such other matters as appear to the administering authority after consulting its Scheme employers and such other persons as it considers appropriate, to be suitable for inclusion in that strategy. (3) An administering authority must (a) keep its pension administration strategy under review; and 13

14 (b) make such revisions as are appropriate following a material change in its policies in relation to any of the matters contained in the strategy. (4) In preparing or reviewing and making revisions to its pension administration strategy, an administering authority must consult its Scheme employers and such other persons as it considers appropriate. (5) An administering authority must publish (a) its pension administration strategy; and (b) where revisions are made to it, the strategy as revised. (6) Where an administering authority publishes its pension administration strategy, or that strategy as revised, it must send a copy of it to each of its Scheme employers and to the Secretary of State as soon as is reasonably practicable. (7) An administering authority and its Scheme employers must have regard to the pension administration strategy when carrying out their functions under these Regulations. (8) In this regulation references to the functions of an administering authority include, where applicable, its functions as a Scheme employer. Regulation 70 of the Local Government Pension Scheme Regulations 2014 Additional costs arising from Scheme employer s level of performance 70. (1) This regulation applies where, in the opinion of an administering authority, it has incurred additional costs which should be recovered from a Scheme employer because of that employer s level of performance in carrying out its functions under these Regulations. (2) The administering authority may give written notice to the Scheme employer stating (a) the administering authority s reasons for forming the opinion mentioned in paragraph (1); (b) the amount the authority has determined the Scheme employer should pay under regulation 69(1)(d) (payments by Scheme employers to administering authorities) in respect of those costs and the basis on which the specified amount is calculated; and (c) where the administering authority has prepared a pension administration strategy under regulation 59, the provisions of the strategy which are relevant to the decision to give the notice and to the matters in sub-paragraphs (a) or (b). 14

15 Overriding legislation In discharging their roles and responsibilities under the LGPS Regulations, the administering authority and participating employers are required to comply with the following regulations, which require contributing employers to supply information on time. The Occupational Pensions Schemes (Disclosure of Information) Regulations 1986; The Pensions Act 1995; The Disability Discrimination Act 1995; The Data Protection Act 1998; The Freedom of Information Act 2000; The Pensions Act 2004; The Finance Act 2004; The Discretionary and Compensation Regulations 2006; The Age Discrimination Act 2006; The Pensions Act 2008; Employment Rights Act 2010; Public Services Pension Act 2013; The Public Service Pensions (Record Keeping and Miscellaneous Amendments) Regulations 2014; The Pensions Regulators Code of Practice no.14 Governance and Administration of Public Service Pension Schemes The Pensions Acts provides for fines to be levied on Pension Scheme Administrators when information is not processed in a timely manner. 15

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17 Appendix B Expected Levels of Performance Area of Performance to be Measured Timescale Employer to determine if employee eligible to join the LGPS and to issue Short Guide to the LGPS, together with a copy of their Policy Statement Employer to send Pension Services complete and accurate details of new member using Form PEN APT 1 (all employers) or electronic alternative. Joining the LGPS Prior to commencement of employment By the 19 th of the month following the first payment of salary. Staffordshire Pension Fund to create a basic pension record for new member, send a Membership Pack and issue a membership certificate. Within 20 working days of receiving all relevant details from employer. Employer to ensure correct deduction of employee contributions from a Scheme member s pay on joining LGPS, or a change in circumstances, or on a change in pay banding. Employer to pay over employer s and employees contributions and any additional amounts as directed, to administering authority, on a monthly basis. Employer to send a complete and accurate Form PEN CTR 1 to Pension Services to give details of payments made. Staffordshire Pension Fund to report delay in payment, where appropriate, to Pensions Committee. Employer to refer enquiry about opting out to Pension Services or direct member to the website. Staffordshire Pension Fund to issue Form PEN 2 (Election to opt out) to member only if the member is unable to download one from Contributions Opting out of the LGPS No later than date of joining LGPS or date of change. No later than the 19 th of the month after which contributions are deducted. No later than the 19 th of the month after which contributions are deducted. Next appropriate Pension Committee. Referred within 2 working days of the request being made. Form issued on day of request. 17

18 the website or access the on-line Opt Out form. Staffordshire Pension Fund to forward online Opt Out form submission to employer on receipt. Employer to send For office use only part of Form PEN 2 accurately completed to Staffordshire Pension Fund together with Form PEN LV 1. Employer to refund contributions to an employee with less than 3 months membership. Staffordshire Pension Fund to assess and notify benefit options to member with 3 or more months membership. Forwarded on day of receipt. No later than the 19 th of the month after which election was made. Contributions should be refunded in the next available pay period. Within 20 working days of the Fund obtaining all the complete and accurate information under the regulations, in order to carry out the calculation. Employer to inform Staffordshire Pension Fund of all members that took part in the Trade Dispute Action using the Strike Notification Spreadsheet available on the Staffordshire Pension Fund Employers Website. Staffordshire Pension Fund to update the member record to show the Trade Dispute Absence. Employer to inform members of their right to pay Additional Pension Contributions (APCs) to cover their lost pension and confirm the lost pay, directing them to the national LGPS Website and the APC calculator to obtain their own quotation and to the Staffordshire Pension Fund website to obtain the APC1 election form. Employer to receive completed elections directly from members and, where the member elects for an immediate deduction from their pay, arrange for contributions to be deducted and paid to Staffordshire Pension Fund (registering the APC on the PEN CTR1). Employer to complete page 2 of the APC1 election and forward to Staffordshire Pension Fund. Staffordshire Pension Fund to register the APC election and update the member s record with details of the APC. Trade Dispute Absence As soon as administratively possible following the end of the Trade Dispute. Within 40 working days of the Fund obtaining all the complete and accurate information under the regulations At the end of the next available pay period following the end of the Trade Dispute. No later than the 19 th of the month after which contributions are deducted. No later than the 19 th of the month after which contributions are deducted. As soon as administratively possible. Child Related Leave (Maternity, Paternity, Adoption) Employer to submit details of all members on nil pay due to Child Related Leave on the PEN CTR1 monthly contribution return. Staffordshire Pension Fund to update the member record to show the unpaid Child Related Absence Employer to calculate Assumed Pensionable Pay (APP) for any period of Ordinary Child No later than the 19 th of every month. Within 40 working days of the Fund obtaining all the complete and accurate information under the regulations APP to be included on the CARE return. 18

19 Related Absence where a member is in receipt of reduced or nil pay. Employer to calculate APP for any period of Additional Child Related Absence where a member is in receipt of reduced pay. Employer to inform members of their right to pay Additional Pension Contributions (APCs) to cover their lost pension and confirm the lost pay for any period of Additional Unpaid Child Related Absence, directing them to the national LGPS Website and the APC calculator to obtain their own quotation and to the Staffordshire Pension Fund website to obtain the APC1 election form. Employer to receive completed elections directly from members and, where the member elects for a deduction from their pay, arrange for contributions to be deducted and paid to Staffordshire Pension Fund (registering the APC on the PEN CTR1). Employer to complete page 2 of the APC1 election and forward to Staffordshire Pension Fund. Staffordshire Pension Fund to register the APC election and update the member s record with details of the APC. APP to be included on the CARE return. As soon as the Return to Work is confirmed (please note if the member elects within 30 days of their Return to Work the APC is shared cost with the employer, but where there is an administrative delay by the employer in informing the member of their rights, the 30 day time limit should be extended. No later than the 19 th of the month after which contributions are deducted. No later than the 19 th of the month after which contributions are deducted. Within 10 working days following receipt of election to proceed. Authorised Absence Employer to submit details of all members on nil pay due to Authorised Absence on the PEN CTR1 monthly contribution return. Staffordshire Pension Fund to update the member record to show the Authorised Absence Employer to calculate APP for any period of Authorised Absence where a member is in receipt of reduced or nil pay. Employer to inform members of their right to pay Additional Pension Contributions (APCs) to cover their lost pension and confirm the lost pay for any period of Authorised Absence, directing them to the national LGPS Website and the APC calculator to obtain their own quotation and to the Staffordshire Pension Fund website to obtain the APC1 election form. Employer to receive completed elections directly from members and, where the member elects for an immediate deduction from their pay, arrange for contributions to be deducted and paid to Staffordshire Pension Fund (registering the APC on the PEN CTR1). Employer to complete page 2 of the APC1 election and forward to Staffordshire Pension Fund. No later than the 19 th of every month. Within 40 working days of the Fund obtaining all the complete and accurate information under the regulations APP to be included on the CARE return. As soon as the Return to Work is confirmed (please note if the member elects within 30 days of their Return to Work the APC is shared cost with the employer, but where there is an administrative delay by the employer in informing the member of their rights, the 30 day time limit should be extended). No later than the 19 th of the month after which contributions are deducted. No later than the 19 th of the month after which contributions are deducted. 19

20 Staffordshire Pension Fund to register the APC election and update the member s record with details of the APC. Within 10 working days following receipt of election to proceed. Employer to submit details of all members on Unauthorised Absence on the PEN CTR1 monthly contribution return. Staffordshire Pension Fund to update the member record to show the Unauthorised Absence Unauthorised Absence No later than the 19 th of every month. Within 40 working days of the Fund obtaining all the complete and accurate information under the regulations Amendment to Scheme Member s Details, terms of contract Employer to notify Pension Services of relevant change accurately, using Form PEN AMD 1 or electronic alternative. By the 19 th of the month following the change. Permanent Reduction or Restriction in Pay Employer to notify Pension Services of relevant change accurately, using Form PEN AMD 1 or electronic alternative. By the 19 th of the month following the change. Payments by Scheme Member to Improve Benefits Employer to refer enquiry about improving benefits to Pension Services or direct member to the website. Staffordshire Pension Fund to issue generic Improving Pension Benefits booklet, together with information and election forms for Additional Voluntary Contributions and, where a member is not able to do so, to run a quotation for the member on the national LGPS website APC calculator. Staffordshire Pension Fund to provide to member confirmation of acceptance of election to pay additional contributions. Staffordshire Pension Fund to amend pension record with details of additional contributions. Staffordshire Pension Fund, where appropriate, to notify AVC provider of member s election. Staffordshire Pension Fund to notify employer of member s election or amendment or cancellation of election as appropriate. Referred within 2 working days of request being made. Documents issued on day of request. Within 10 working days of receipt of all accurately completed forms. Within 10 working days of receiving all the required information. Within 10 working days of receiving completed election from member. Within 10 working days of member s notification. Divorce or Dissolution of a Civil Partnership Employer to provide Pension Services with details of final pay and CARE pay, in order to Within 5 working days of request from Staffordshire Pension Fund. 20

21 provide valuation of pension benefits for divorce purposes. Staffordshire Pension Fund to provide valuations and information to parties to divorce, their solicitors, and the courts, as appropriate. Pension Services to apply any Sharing Order or other documentation issued by the Court to the member s record. Within 10 working days following the receipt of all the relevant information. Within 21 Working days of receiving all relevant documentation. Estimate of Benefits Member request Employer to provide accurate details of final pay and CARE pay and any other relevant information at request of Staffordshire Pension Fund. Staffordshire Pension Fund to provide estimate to member. Within 5 working days of receiving request from Staffordshire Pension Fund. Within 10 working days of receiving all the required information from the employer. Estimate of Benefits Employer request (individual cases) Employer to complete form PEN EST 1 (Estimate Request form), ensuring that the correct reason for leaving is ticked and providing details of final pay and CARE pay and any other relevant information requested by Staffordshire Pension Fund. Staffordshire Pension Fund to send estimate(s) to employer. At least 10 working days before the estimate is required (i.e. 10 working days before any upcoming meetings about the case). Within 10 working days of receiving all the required information from the employer. Estimate of Benefits Employer request (Bulk request) Employer to give notice of any bulk estimate request (i.e. more than 10 estimates for the same Employer with the same reason for leaving, using the same date of leaving for redundancy costing exercise etc.) A Employer to complete bulk estimate request spreadsheet providing details of final pay and CARE pay and any other relevant information as requested by Pension Services. Staffordshire Pension Fund to send estimate(s) to employer. At least 15 working days before the estimate is required (i.e. 15 working days before any upcoming meetings about the case). At least 10 working days before the estimate is required (i.e. 10 working days before any upcoming meetings about the case). Within 10 working days of receiving all the required information from the employer. Early Leavers (member leaving below age 55) Employer to notify Staffordshire Pension Fund of leaver, and relevant details in a complete and accurate manner on form PEN LV 1. Staffordshire Pension Fund to assess and notify benefit options to member, together with other options available (i.e. Transfer Out etc.) Normally within10 working days of learning that a member has left but no later than the 19 th of following month. Within 40 working days of the Fund obtaining all the complete and accurate information under the regulations, in order to carry out the calculation. 21

22 Early Leavers (member leaving voluntarily between age 55 and 60 if Staffordshire Pension Fund has not already been informed of member s intention to take payment of reduced benefits) Employer to notify Staffordshire Pension Fund of leaver, and relevant details in a complete and accurate manner on form PEN LV 1. Staffordshire Pension Fund to assess and notify benefit options to member, together with other options available (i.e. Payment of Retirement Benefits, Transfer Out etc.) Normally within 10 working days of learning that a member has left but no later than the 19 th of following month. Within 20 working days of the Fund obtaining all the complete and accurate information under the regulations. Voluntary Retirement (from Age 55) Employer to notify Staffordshire Pension Fund of leaver, and relevant details (including confirmation where a discretion has been exercised to waive Actuarial Reduction in Full or in Part) in a complete and accurate manner on form PEN LV 1. Staffordshire Pension Fund to assess and notify benefits to member. Staffordshire Pension Fund to pay benefits to member in accordance with their wishes. Employer, where relevant, to pay actuarial costs relating to early retirement. Employer to notify Staffordshire Pension Fund of Flexible Retirement on Form FR 1, accompanied by Form PEN FR5/ 5A and Form 12/12A (if appropriate). All forms must be both complete and accurate. Staffordshire Pension Fund to assess and notify benefits to member. Staffordshire Pension Fund to pay benefits to member in accordance with their wishes. Employer, where relevant, to pay actuarial costs relating to early retirement. Normally within10 working days of learning that a member is leaving but no later than the 19 th of following month left. Within 10 working days of the Fund obtaining all the complete and accurate information under the regulations, in order to carry out the calculation. Within 10 working days of the Fund receiving the member s election. Within the agreed recovery period or by a single payment. Flexible Retirement (from age 55) Within 10 working days of decision being made about entitlement. Within 10 working days of the Fund obtaining all the complete and accurate information under the regulations, in order to carry out the calculation. Within 10 working days of the Fund receiving the member s election. Within the agreed recovery period or by a single payment. Retirement on grounds of Redundancy/Efficiency (from age 55) Employer to notify Staffordshire Pension Fund of leaver, and relevant details in a complete and accurate manner on form PEN LV 1. Employer to confirm if Additional Pension has been granted under Regulation 31 of the Local Government Pension Scheme Regulations Within 10 working days of decision being made about entitlement. Within 10 working days of decision being made about entitlement. 22

23 2013. Staffordshire Pension Fund to assess and notify benefits to member. Staffordshire Pension Fund to pay benefits to member in accordance with their wishes. Employer, where relevant, to pay actuarial costs relating to early retirement. Within 10 working days of the Fund obtaining all the complete and accurate information under the regulations, in order to carry out the calculation. Within 10 working days of the Fund receiving the member s election. Within the agreed recovery period or by a single payment. Employer to notify employee of any entitlement to award and Tier of award. If Tier 3, notice must include terms under which Tier 3 is paid, reviewed or is cancelled. Employer to notify Staffordshire Pension Fund of ill-health award, and Tier of award, on Form PEN LV 1 which must be complete and accurate, together with necessary details for assessing benefits plus medical certificate(s) signed by the IRMP and copy of other supporting documents. Staffordshire Pension Fund to assess and notify benefits to member. Staffordshire Pension Fund to pay benefits to member in accordance with their wishes. Employer to review Tier 3 ill-health pension at 18 months and, if required, at the 3 rd year after payment. Employer to notify member when Tier 3 pension ceases. Employer to notify Staffordshire Pension Fund when Tier 3 pension is to cease. Staffordshire Pension Fund to write to member when Tier 3 pension is to cease, giving details of entitlement as pensioner member with deferred benefits. Employer to notify Staffordshire Pension Fund when Tier 3 pension is to be uprated to a Tier 2 benefit, together with necessary details for assessing benefits plus medical certificate(s) signed by the IRMP and copy of other supporting documents. Staffordshire Pension Fund to write to member when Tier 3 pension is to be uprated to a Tier 2 benefit, giving details of revised Ill Health Retirement Review of Tier 3 Ill Health Benefits Within 10 working days of decision being made about entitlement. Within 10 working days of decision being made about entitlement. Within 10 working days of the Fund obtaining all the complete and accurate information under the regulations, in order to carry out the calculation. Within 10 working days of the Fund receiving the member s election. In line with regulations and advice of IRMP. As soon as reasonably possible after employer decides, following advice from IRMP. Within 10 working days of decision by employer or notification from member that they have acquired work that no longer makes them eligible for the award. Within 10 working days of notification by employer with all the relevant supporting documentation. Within 10 working days of decision by employer. Within 10 working days of notification by employer with all the relevant supporting documentation. 23

24 benefit entitlement. Early Payment of Deferred Benefits/Deferred Pensioner Benefits on Grounds of Ill Health Staffordshire Pension Fund to issue PEN DEF 4 Application form on receipt of member request. Employer to arrange for IRMP Referral on receipt of completed PEN DEF 4 form from member. Employer to notify employee of any entitlement to award. Employer to notify Staffordshire Pension Fund of ill-health award together with necessary details for assessing benefits plus medical certificate(s) signed by the IRMP and copy of other supporting documents. Staffordshire Pension Fund to assess and notify benefits to member. Staffordshire Pension Fund to pay benefits to member in accordance with their wishes. Form issued within 5 working days of receipt of request. Within 5 working days of receipt of request. Within 10 working days of decision being made about entitlement. Within 10 working days of decision being made about entitlement. Within 10 working days of the Fund obtaining all the complete and accurate information under the regulations, in order to carry out the calculation. Within 10 working days of the Fund receiving the member s election. Early Payment of Deferred Benefits with Employer Consent (from age 55 pre 2014 member) Employer to respond to former employee s application for early payment of deferred benefits where employer s discretion is required and to forward details to Staffordshire Pension Fund if early payment is agreed. Within 10 working days of exercising the discretion. Staffordshire Pension Fund to assess and notify benefits to member. Staffordshire Pension Fund to pay benefits to member in accordance with their wishes. Employer, where relevant, to pay actuarial costs relating to early retirement. Within 10 working days of the Fund obtaining all the complete and accurate information under the regulations, in order to carry out the calculation. Within 10 working days of the Fund receiving the member s election. Within the agreed recovery period or by a single payment. Early Payment of Deferred Benefits with Fully or Partially Waived Reduction (from age 55 post 2014 member) Employer to respond to former employee s application for early payment of deferred benefits where employer s discretion is required and to forward details to Staffordshire Pension Fund if early payment is agreed. Within 10 working days of exercising the discretion. Staffordshire Pension Fund to assess and notify benefits to member. Within 10 working days of the Fund obtaining all the complete and accurate information 24

25 Staffordshire Pension Fund to pay benefits to member in accordance with their wishes. Employer, where relevant, to pay actuarial costs relating to early retirement. under the regulations, in order to carry out the calculation. Within 10 working days of the Fund receiving the member s election. Within the agreed recovery period or by a single payment. Employer to notify Staffordshire Pension Fund of death in service accurately using Form LV 1 together with next of kin/contact details and any relevant documents. Staffordshire Pension Fund to liaise with next of kin for any additional information required. Staffordshire Pension Fund to write to surviving spouse/partner/children to give details of benefits payable, any conditions, and rights of appeal. Staffordshire Pension Fund to arrange payment of death grant and survivor pensions. Death In Service Benefits Within 5 working days of receipt of notification. Within 5 working days of receipt of notification. Within 5 working days of receipt of the relevant and accurate information. Within 5 working days of receipt of the relevant and accurate information. Internal Dispute Resolution Procedure Appeal against determination of Employer Employer to nominate person(s) who will consider Stage One appeal. Employer to refer any member who enquires about appeal process to Staffordshire Pension Fund. Staffordshire Pension Fund to issue appeal forms and notes to any member who enquires about appeal process. Employer to acknowledge receipt of appeal form from member and to explain processes which will follow. Employer to decide Stage One appeal and notify member with details of further appeal rights and Stage Two appeal form. Employer to send copy of Stage One determination to Staffordshire Pension Fund with any instructions for amendment of pension record and/or benefits, even if Stage One appeal is not upheld Staffordshire Pension Fund to advise member of any revision made to pension record and/or benefits following Stage One determination, where required. Staffordshire Pension Fund to nominate person(s) who will consider Stage Two appeal. On receipt of appeal, unless one is already in place. Referred within 2 working days of request being made. Documents issued within 2 working days of request being made.. Within 5 working days of receiving the completed documentation. Within 2 months of receiving all the documentation from employer and member or to provide interim reply for up to 2 more months with explanation as to why no decision can yet be made. Within 5 working days of the determination. Within 5 working days of any revision being made. On receipt of appeal, unless one is already in place. 25

26 Staffordshire Pension Fund to acknowledge receipt of Stage Two appeal form if submitted by member and send form to Stage Two Panel Member. Stage Two Panel Member to acknowledge receipt of appeal form from member and to explain processes which will follow, including stating they have two months in which to reply. Stage Two Panel Member to determine appeal and to notify member with details of further appeal rights. Stage Two Panel Member to copy determination to employer and to Staffordshire Pension Fund. Employer to inform Staffordshire Pension Fund of any adjustment to pension record and/or benefits. Staffordshire Pension Fund to advise member of any revision made to pension record and/or benefits following Stage Two determination. Within 5 working days of receiving the forms. Within 5 working days of receiving the completed documentation. Within 2 months following receipt of all the relevant documentation from all parties or to provide interim reply for up to 2 more months with explanation as to why no decision can yet be made. Within 5 working days of determination. Within 5 working days of receiving notification of the determination. Within 5 working days of any revision being made. Internal Dispute Resolution Procedure Appeal against determination of Staffordshire Pension Fund Staffordshire Pension Fund to issue appeal forms and notes to any member who enquires about appeal process. Staffordshire Pension Fund to acknowledge receipt of Stage Two appeal form if submitted by member and send form to Stage One Panel Member. Stage One Panel Member to decide Stage One appeal and notify member with details of further appeal rights and Stage Two appeal form. Stage One Panel Member to send copy of Stage One determination to Staffordshire Pension Fund with any instructions for amendment of pension record and/or benefits, even if Stage One appeal is not upheld Staffordshire Pension Fund to advise member of any revision made to pension record and/or benefits following Stage One determination, where required. Staffordshire Pension Fund to nominate person(s) who will consider Stage Two appeal. Staffordshire Pension Fund to acknowledge receipt of Stage Two appeal form if submitted by member and send form to Stage Two Panel Documents issued on date of request. Within 5 working days of receiving the completed documentation. Within 2 months of receiving all the documentation from employer and member or to provide interim reply for up to 2 more months with explanation as to why no decision can yet be made. Within 5 working days of the determination. Within 5 working days of any revision being made. On receipt of appeal, unless one is already in place. Within 5 working days of receiving the forms. 26