Interpretive Guideline #01 Issued: January 2015 / Revised: July 2016 The Plan Administrator

Transcription

1 Interpretive Guideline #01 Issued: January 2015 / Revised: July 2016 The Plan Administratr This guideline is designed t explain the prvisins f the Emplyment Pensin Plans Act (the Act) and the Emplyment Pensin Plans Regulatin (the Regulatin) as they relate t the rle and functin f the plan administratr. This guideline summarizes the legislative requirements that apply t the subject matter, and includes additinal details t utline the Superintendent s expectatins and requirements where such authrity has been prvided by the Act and Regulatin. Finally, the guideline utlines best practices and plicies that the Superintendent expects frm prvincially regulated pensin plans. The Act and Regulatin shuld be used t determine specific legislative requirements. Any legal authrity f this Guideline rests in the areas in which the legislatin delegates authrity t the Superintendent t accept a prpsal r actin. The Administratr f a pensin plan is respnsible fr managing a pensin plan. The Administratr crdinates the wrk f the ther parties related t the pensin plan, and is respnsible fr ensuring that the pensin plan is being funded, invested and administered in accrdance with the plan text dcument, the Emplyment Pensin Plans Act (the Act), and the Incme Tax Act (Canada) (the tax Act) as well as the ther supprting dcuments such as the funding, gvernance, and investment plicies. It is the administratr wh, under the Act, stands in a fiduciary capacity t members and must therefre act in their best interest. Legislatin defines wh may be the administratr f a pensin plan, and it further utlines certain duties, and respnsibilities f that administratr. This Guideline identifies wh the administratr is under the Act, describes the rles and respnsibilities f that administratr and prvides an utline fr the filing and preparatin f certain dcuments required by the Act and Regulatin. Wh is the Administratr? Sectin 1(1)(d) f the Act defines the administratr as the persn respnsible fr administering the plan in accrdance with sectin 35, and includes any persn appinted by the Superintendent as an administratr f the plan under sectin 128 (appintment f administratr n plan terminatin r winding-up) r as a temprary administratr f the plan under sectin 134 (appintment f administratr in an nging plan). Qualificatins f the Administratr Sectin 33(a) f the Act requires that every plan must have an administratr wh meets the prescribed requirements. Fr mst plans, thse requirements are fund in sectin 28 f the Regulatin. Hwever, sectin 5 f the Regulatin utlines requirements fr administratrs f Jintly Spnsred Plans. Superintendent f Pensins Interpretive Guideline #01 1

2 Pensin Plans The fllwing criteria apply fr the purpses f sectin 33(a) f the Act in relatin t the administratr f a pensin plan: a) if the plan is a single emplyer plan ther than a jintly spnsred plan, the administratr must be (i) the participating emplyer, r (ii) a bard f trustees r ther similar bdy acceptable t the Superintendent established under the supprting plan dcuments t administer the plan; b) if the plan is a nn-cllectively bargained multi-emplyer plan ther than a jintly spnsred plan, the administratr must be (i) the participating emplyer, if any, wh is identified in the participatin agreement as the administratr f the plan, r (ii) if the participatin agreement des nt identify a participating emplyer as the administratr f the plan, a bard f trustees r ther similar bdy acceptable t the Superintendent established under the supprting plan dcuments t administer the plan; c) if the plan is a cllectively bargained multi-emplyer plan, the administratr must be ne f the fllwing bdies f which the number f members wh are appinted by members f the plan is nt less than the number f members wh are appinted by participating emplyers: (i) a bard f trustees established under the supprting plan dcuments t administer the plan; (ii) a similar bard r bdy t a bard f trustees, acceptable t the Superintendent, that has been established under the supprting plan dcuments t administer the plan; d) if the plan is a jintly spnsred plan, the administratr must be a persn referred t in sectin 5(a) f the Regulatin. Superintendent f Pensins Interpretive Guideline #01 2

3 Jintly Spnsred Pensin Plans Fr the purpses f sectin 1(1)(dd)(i) f the Act, the fllwing criteria applies t a jintly spnsred pensin plan: a) the administratr f the plan is a bard f trustees, r ther similar bdy acceptable t the Superintendent, that has been established under the supprting plan dcuments t administer the plan; b) the number f members f the bard f trustees, r ther similar bdy acceptable t the Superintendent, wh are appinted by members f the plan is nt less than the number f members wh are appinted by participating emplyers, c) the plan dcuments set ut the methds by which the persns referred t in sectin 1(1)(dd)(iv) f the Act make decisins abut (i) the gvernance f the plan, and (ii) the appintment f the administratr f the plan r the appintment r selectin f members f the bard r bdy referred t in clause (a). Since a bard f trustees may als act as the fund hlder fr the plan, the Bard must have at least three members, all f whm must be resident in Canada and at least ne f whm is nt a significant sharehlder, partner, r emplyee f a participating emplyer r a prprietr f the business f a participating emplyer. Appintments f individuals t a bard f trustees may either be representative f the grup which is appinting the trustee, r may instead be independent experts (r sme cmbinatin therein). Nte: The Superintendent may appint an administratr temprarily fr an nging plan r t terminate and wind-up a plan (Act sectins 128 and 134). An administratr appinted by the Superintendent has all the rles and respnsibilities f any administratr under the Act. Sectin 35(7) f the Act permits the Administratr t emply an agent t perfrm sme r all f the duties f the Administratr (ften referred t as a Third Party Administratr r TPA). Nnetheless, the Administratr as described under the Act is the party respnsible and liable fr ensuring cmpliance with the legislatin. Where a TPA is hired the Administratr must be satisfied that the TPA is qualified t exercise the pwers r perfrm the duties fr which it is emplyed, and carry ut reasnable and prudent supervisin f the agent. Superintendent f Pensins Interpretive Guideline #01 3

4 Respnsibilities f the Administratr Divisins 2 and 3 f Part 6 f the Act identify the rles and duties f the Administratr. Act 35(1) The administratr f a pensin plan must ensure that the plan and the pensin fund are administered in accrdance with this Act, the regulatins and the plan dcuments. (2) While acting in the capacity f administratr f a pensin plan, the administratr stands in a fiduciary capacity in relatin t a) the members, and b) thers entitled t benefits. (3) Withut limiting subsectin (2), the administratr, while acting in the capacity f administratr f a pensin plan, must a) act hnestly, in gd faith and in the best interests f and (i) the members, and (ii) thers entitled t benefits, b) exercise the care, diligence and skill that a persn f rdinary prudence wuld exercise when dealing with the prperty f anther persn. (4) The administratr f a pensin plan r, if the administratr is a bard f trustees, a member f that bard, must nt, while acting in the capacity f administratr, knwingly allw his r her interests t cnflict with the administratr s pwers and duties in respect f the pensin plan. (5) Fr the purpse f subsectin (4), an administratr des nt knwingly allw the interests f the administratr t cnflict with the administratr s pwers and duties in respect f the pensin plan merely because the administratr is r may becme entitled t a pensin r ther benefit under the plan. (6) In additin t any ther respnsibilities under this Act, an administratr f a pensin plan must a) ensure that the plan dcuments cmply with this Act and the regulatins, b) if the plan is terminated, ensure that the plan is wund up in accrdance with this Act and the regulatins, Superintendent f Pensins Interpretive Guideline #01 4

5 c) ensure that any agreement respecting the transfer f mney r benefits between the plan and any ther pensin plan des nt cntain any prvisin, relating t a benefit, that a pensin plan is prhibited by this Act frm cntaining, and d) perfrm any ther duties the administratr is bligated under the regulatins t perfrm. (7) If an administratr emplys an agent t exercise ne r mre f the pwers r t perfrm ne r mre f the duties f the administratr, the administratr must a) be satisfied that the agent is qualified t exercise the pwers r t perfrm the duties fr which the agent is emplyed, and b) carry ut reasnable and prudent supervisin f the agent. The administratr must administer the plan in accrdance with the Act, the Regulatin and the plan dcuments. This requirement gives the Superintendent authrity t questin actins that are incnsistent with the plan text dcument, even if they are cmpliant with the Act. The administratr must be familiar with the requirements f all plan dcuments and the legislatin relevant t the plan and ensure there are nt cnflicts between dcuments. Subsectin (7) clarifies, hwever, that the administratr has the ability t hire a qualified third party t perfrm sme, r all, f the administratr functins under the Act. The fiduciary rle nted in subsectin (2) may nt, hwever, be delegated, hence the requirement under subsectin (7)(b) fr the administratr t supervise the actins f the hired agent. Infrmatin frm Participating Emplyers Sectin 46 f the Act gives the administratr the authrity t ask a current r frmer participating emplyer fr any infrmatin r recrds that is required in rder t administer the plan in cmpliance with the Act, the Regulatin and the plan text dcument. In the event a participating emplyer des nt cmply with the request fr infrmatin, sectin 49 f the Act enables the administratr t take a participating emplyer t curt t cmpel cmpliance. Where this happens, Sectin 49(1) f the Act requires that the Superintendent is t be prvided ntice f the curt applicatin. Superintendent f Pensins Interpretive Guideline #01 5

6 Applicatin f Pensin Legislatin There are ten pensin jurisdictins in Canada: the federal jurisdictin, and all prvinces except Prince Edward Island. While there are agreements between the jurisdictins t enable emplyers with members in multiple jurisdictins t register their pensin plan with the jurisdictin in which the majrity f members are emplyed, the legislatin applicable t each member must be applied when determining benefits and entitlements under the plan. Except fr the federal jurisdictin, the legislatin which applies t a member is the legislatin f the jurisdictin in which the member is emplyed (nt resident). The federal Pensin Benefits Standards Act (PBSA) applies t the territries and t industries in included emplyment, which is defined under sectin 4(4) f the PBSA:. 4(4) In this Act, included emplyment means emplyment, ther than excepted emplyment, n r in cnnectin with the peratin f any wrk, undertaking r business that is within the legislative authrity f the Parliament f Canada, including, withut restricting the generality f the freging, (a) any wrk, undertaking r business perated r carried n fr r in cnnectin with navigatin and shipping, whether inland r maritime, including the peratin f a ship and transprtatin by ship anywhere in Canada; (b) any railway, canal, telegraph r ther wrk r undertaking cnnecting a prvince with anther prvince r extending beynd the limits f a prvince; (c) any line f steam r ther ships cnnecting a prvince with anther prvince r extending beynd the limits f a prvince; (d) any ferry between a prvince and anther prvince r between a prvince and a cuntry ther than Canada; (e) any aerdrme, aircraft r line f air transprtatin; (f) any radi bradcasting statin; (g) any bank r authrized freign bank within the meaning f sectin 2 f the Bank Act; (h) any wrk, undertaking r business that, althugh whlly situated within a prvince, is befre r after its executin declared by the Parliament f Canada t be fr the general advantage f Canada r fr the advantage f tw r mre prvinces; and (i) any wrk, undertaking r business utside the exclusive legislative authrity f prvincial legislatures, and any wrk, undertaking r business f a lcal r private nature in Yukn, the Nrthwest Territries r Nunavut. Superintendent f Pensins Interpretive Guideline #01 6

7 If a plan member is temprarily emplyed utside f ne f the nted jurisdictins (fr example in the U.S.), but cntinues t accrue benefits in the pensin plan, the legislatin that applies is the legislatin f the jurisdictin in which the member was last emplyed befre mving t an unrecgnized jurisdictin. Plan Registratin and Amendment Plan Registratin Dcuments related t the registratin f a plan must be filed with the Superintendent within 60 days after plan establishment, and must include an applicatin fr registratin and filing fee, certificatin by the administratr that the plan cmplies with the Act and Regulatin (Frm 1), and must als be accmpanied by certified cpies f the dcuments listed in sectin 13 f the Act: the plan text dcument; the recrd that authrizes the establishment f the plan r under which the plan is established r, if the recrd applies t mre than the establishment f the plan, the prtin f the recrd that applies t the establishment f the plan; each trust deed r trust agreement, insurance cntract, bylaw and reslutin relating t the plan; in the case f a nn-cllectively bargained multi-emplyer plan, the participatin agreement; the list f all participating emplyers; a gvernance plicy; a statement f investment plicies and prcedures, if applicable; if the plan text dcument f the plan cntains a benefit frmula prvisin: an actuarial valuatin reprt, a cst certificate, and a funding plicy If the filed dcuments cmply with the Act, the Superintendent will then register the plan and issue a Certificate f Registratin. Superintendent f Pensins Interpretive Guideline #01 7

8 A plan may nt be administered (i.e. receive cntributins and credit service) unless it has been filed fr registratin. Once the applicatin fr registratin and accmpanying dcuments has been filed, the plan may be administered unless the Superintendent has issued a ntice f refusal t register. Where the Superintendent has issued a ntice f refusal, and if the administratr makes an appeal under sectin 146 f the Act, the plan may cntinue t be administered until the appeal decisin is made and depending n the decisin may cntinue the plan. Plan Amendment Dcuments related t the amendment f a plan text dcument r an amendment t a supprting plan dcument must be filed with the Superintendent within 60 days after the date the amendment is made and must include a certificatin by the administratr that the amendment cmplies with the Act and Regulatin (Frm 2 r Frm 3, as applicable), and be accmpanied by a certified cpy f the amendment. An amendment t a plan text dcument which cmplies with the Act, will result in the Superintendent issuing a Certificate f Amendment. A plan may nt be administered in accrdance with the amendment unless the amendment has been filed fr registratin. Once the amendment has been filed, the plan may be administered in accrdance with the amendment unless the Superintendent issues a ntice f refusal t register. Where the Superintendent refuses t register the amendment, and if the administratr makes an appeal under sectin 146 f the Act, the plan may cntinue t be administered in accrdance with the amendment until the appeal decisin is made. If the plan text dcument cntains a benefit frmula prvisin and the amendment materially affects the cst assciated with that prvisin, the amendment will nt be registered unless accmpanied by a valuatin reprt and cst certificate which reflects the new funding requirements Superintendent f Pensins Interpretive Guideline #01 8

9 Gvernance Sectin 41 f the Act requires that every three years the administratr f the pensin plan must prepare a written assessment f the plan s administratin that addresses at least the fllwing: the plan s cmpliance with the Act and Regulatin, the plan s gvernance, the funding f the plan, the investment f the pensin fund, perfrmance f the trustees, if any, and perfrmance f administrative staff and any agents f the administratr. The administratr must retain that written assessment and make it available t the Superintendent n the Superintendent s request. The first assessment must be cmpleted by three years after the plan year end fllwing the effective date f the Act which was September 1, Subsequent assessments must be dne every three years. pensin plans must have a gvernance plicy (Sectin 42 f the Act) in place by December 31, If the plan text dcument cntains a benefit frmula prvisin, the plan must have a funding plicy (Sectin 44 f the Act). It is the respnsibility f the administratr t ensure that these plicies are develped by the apprpriate parties, that they meet the criteria set ut in the Regulatins and that they are reviewed and updated n an annual basis. Funding Plicy Sectin 44 f the Act requires that all plans with a benefit frmula prvisin must have a funding plicy fr that prvisin. The administratr is respnsible fr ensuring that a written funding plicy which meets prescribed criteria is established, and within 60 days f its establishment r amendment, prviding a cpy f the funding plicy t the plan Actuary. Superintendent f Pensins Interpretive Guideline #01 9

10 Statement f Investment Plicies and Prcedures Sectin 43 f the Act requires that a pensin plan have a written Statement f Investment Plicies and Prcedures (SIPP) that meets the prescribed criteria. The administratr must ensure that the SIPP is established, ensure that the plan funds are invested in accrdance with the SIPP, and within 60 days f its establishment r amendment prvide a cpy f the SIPP t the plan Actuary. A SIPP is nt required fr funds whse investment is directed by the member, hwever the administratr must ensure that investment ptins are sufficient in number and variance t enable the member t create a reasnable prtfli, and must ensure that the default ptin is either a balanced fund, r ne which takes int accunt the member s age (Regulatin 72(3)).. Participatin Agreements The administratr f a nn-cllectively bargained multi-emplyer pensin plan must enter int a participatin agreement with each participating emplyer wh elects t participate in the plan. A list f participating emplyers must be maintained and filed with the Superintendent. An up-t-date cpy f that list must be filed with the Superintendent when changes ccur. Changes Related t Plan Cntacts Where there is a change in the name r address f the administratr, the Superintendent is t be ntified, in writing, within 60 days after the change takes place. The administratr shuld als ntify the Superintendent if there is a change in cnsultant r third party administratr. Where there is a change in fund hlder, a certified cpy f the new funding agreement must be filed with the Superintendent. Funds may nt be mved t the new fund hlder withut the prir written cnsent f the Superintendent unless the funding agreement has been filed and accepted by the Superintendent. Annual Infrmatin Return Each year, an administratr must file an Annual Infrmatin Return t maintain the plan's registered status. The return, alng with the filing fee, must be filed within 180 days after the fiscal year end f the plan. The filing f this return als maintains the registratin f the pensin plan under the federal Incme Tax Act (the tax Act). T eliminate the need fr the administratr t file tw separate annual returns (ne with the prvince and ne with the federal gvernment), the Superintendent cllects the federally required data and passes it n t the Canada Superintendent f Pensins Interpretive Guideline #01 10

11 Revenue Agency. The prvincial filing fee is based n ttal plan members, and must be calculated and published, n an annual basis, n later than September 30 f each year. The filing fee applies t fiscal year ends that fall within Octber 1 t September 30. Please nte that there is a late filing penalty under BOTH the Act and the tax Act. Actuarial Valuatin Reprt and Cst Certificate Plans cntaining a benefit frmula prvisin must ensure that an actuarial valuatin is perfrmed at least nce every three years. A cpy f the valuatin reprt and a cst certificate must be filed with the Superintendent within 270 days after the review date. The review date is the plan fiscal year end unless the plan text dcument specifically defines it as sme ther date. It is mandatry t file bth a cst certificate and an actuarial valuatin reprt, even if the infrmatin in the cst certificate is cntained in the reprt. If valuatins are perfrmed mre frequently they must als be filed with the Superintendent if they are t be acted upn. Funding must always be in accrdance with the mst recently filed actuarial valuatin and cst certificate. Actuarial valuatins and cst certificates must als be filed when a plan event ccurs that materially affects plan csts. Audited Financial Statements An audited financial statements f the plan fund must be filed within 180 days frm the plan s fiscal year end fr: a pensin plan fr which the plan text dcument cntains either a defined benefit r a target benefit prvisin, if the fair value f the assets related t that benefit are at least $10 millin as at the plan s fiscal year end, r a cllectively bargained multi-emplyer pensin plan. Custdian Agreements Plans whse fund hlder is a grup f individual trustees are required t file custdian agreements with the Superintendent. A custdian agreement, between a Bard f Trustees and the financial institutin that is hlding the funds fr the Bard, delegates custdial functins t the financial institutin. Superintendent f Pensins Interpretive Guideline #01 11

12 Transfer Agreement Where tw r mre plan spnsrs enter int an agreement which allws fr the transfer f mnies and benefits frm ne plan t anther n behalf f pensin plan members wh mve frm ne emplyer t anther, the administratr must ensure that nthing in the agreement cnflicts with the Act. Payments ut f the Plan Fund Except fr the payment f benefits t members wh terminate active membership, retired members and t designated beneficiaries (as applicable), n payments may be made, r funds transferred frm an nging plan, withut the prir written cnsent f the Superintendent. If the transfer f a benefit under Sectin 89(1) r (3) r under Divisin 8 r 9 wuld impair the slvency f the plan, then the transfer must cmply with sectin 90 f the Regulatin. Benefit Payments Payment f lump sum amunts, r transfers f benefits, must be made within 60 days f the administratr receiving all the dcuments necessary t effect the transactin. Emplyee Cntributins member cntributins, whether vluntary, ancillary r required, which are received frm a member r deducted frm a member's earnings, must be remitted t the pensin fund within 30 days after receipt r deductin, as the case may be. Emplyer Cntributins Except as nted belw, all participating emplyer cntributins must be remitted t the pensin fund within 30 days after the end f the mnth fr which they are payable. In the case f defined cntributin prvisins where the participating emplyer cntributin is related t prfits f the emplyer, the prfit sharing prtin f the cntributin must be remitted within 90 days after the fiscal year end f the plan. In the case f participating emplyer cntributins under a cllectively bargained multi-emplyer plans, participating emplyers must remit cntributins t the administratr 30 days after the end f the mnth fr which thse cntributins are earned by the member. The administratr must then further remit thse cntributins t a custdian within 30 days after they have been received. Superintendent f Pensins Interpretive Guideline #01 12

13 Disclsure t Members The plan administratr must prvide infrmatin t plan members t ensure that plan members have been advised f hw their pensin plan perates, what the member s benefit entitlements are, and what bligatins participating emplyers, the administratr and members have with respect t the pensin plan. The administratr must als prvide infrmatin abut benefit entitlements t surviving pensin partners, designated beneficiaries r the member s estate, as applicable. The Act recgnizes that there are sme differences between plans based n the types f benefit prvided and hw the plan is structured. Sectins 30 t 46 f the Regulatin shuld be reviewed carefully by the administratr t ensure that all f the infrmatin required t be prvided fr that type f plan is being prvided. Members must als be given infrmatin when a plan cnverts frm ne type t anther, when ne plan merges with r splits frm anther and n plan terminatin. Persns entitled t benefits may ask t review the plan text dcument, plan amendments, funding agreements, audited financial statements (if applicable), transfer agreements and ther plan-related dcuments. See sectin 37(2) and (3) f the Act and sectin 46 (1) thrugh (3) f the Regulatin fr a cmplete listing. They may als request an explanatin f hw their benefit was calculated. The administratr must cmply with these requests within 30 days f receiving the written request. Disclsure t Other Parties The administratr must prvide required infrmatin t a participating emplyer r t a trade unin which has members f the unin in the pensin plan. This infrmatin includes: the mst recent plan summary referred t in Sectin 30 f the Regulatin, the plan text dcument, recrds establishing the plan, and ther dcuments prescribed in sectin 46(4) f the Regulatin: the 3 mst recent annual infrmatin returns filed in relatin t the plan under sectin 38(1)(a) f the Act; the 2 mst recent actuarial valuatin reprts and cst certificates filed in relatin t the plan under sectin 38(1)(b)(i) and (ii) f the Act; the 3 mst recent audited financial statements filed in relatin t the plan under sectin 38(1)(c) f the Act; each trust deed r trust agreement, insurance cntract, Superintendent f Pensins Interpretive Guideline #01 13

14 bylaw and reslutin relating t the plan; in the case f a nn-cllectively bargained multi-emplyer plan, the participatin agreement referred t in sectin 36(1)(a) f the Act and a list f all f the participating emplyers wh signed that agreement; the gvernance plicy referred t in sectin 42 f the Act established in relatin t the plan; the statement f investment plicies and prcedures referred t in sectin 43 f the Act and established in relatin t the plan; the funding plicy referred t in sectin 44 f the Act established in relatin t the plan; the terminatin reprt referred t in sectin 122 f the Act and, if any, filed in relatin t the plan; any reprt resulting frm an inspectin made by an authrized persn under sectin 130 f the Act. Retentin f Recrds Recrd keeping and recrds retentin are the respnsibility f the administratr. Recrds are required bth fr determining the benefits t be paid and in prviding the verificatin that benefits have been paid. Recrds r a cpy f them must be retained in Canada and shuld be kept fr as lng as the administratr deems necessary t ensure questins with respect t benefits may be answered. Required Frms There are a number f required frms that the administratr must use and fr which the administratr must be familiar. Sme f these frms are specifically prescribed in the legislatin while thers are as required by the Superintendent. A full list f pensin frms is fund n the Emplyment Pensins Website Frms Page. Ntice f Inslvency Administratr must disclse inslvency prceedings If there is, in respect f a participating emplyer in a pensin plan ther than a cllectively bargained multi-emplyer plan, a prceeding: a) under the Cmpanies Creditrs Arrangement Act (Canada), b) under the Winding-up and Restructuring Act (Canada) r similar prvincial legislatin, c) in relatin t liquidatin, receivership r secured creditr enfrcement, r d) under the Bankruptcy and Inslvency Act (Canada). Superintendent f Pensins Interpretive Guideline #01 14

15 the administratr f the plan must, immediately after becming aware f the cmmencement f the prceeding, prvide t the Superintendent written ntice f that prceeding. Missing Members Divisin 9 f Part 8 f the Act permits the administratr t transfer funds related t missing members t the fund held under the Unclaimed Persnal Prperty and Vested Persnal Prperty Act (Unclaimed Prperty) in certain circumstances. A persn is cnsidered missing if the administratr has been trying t lcate the individual in the manner set ut in the Regulatin and has cnfirmed this t the Superintendent. If the plan is nging and a member is missing, the balance f the member s benefit may be transferred t Unclaimed Prperty if: the value f his accunt is less than the minimum cmmutable amunt f 20 per cent f the Year s Maximum Pensinable Earnings (YMPE), r the member has reached the age when pensin payments must cmmence under the Incme Tax Act (Canada). If the pensin plan is terminating as a whle, the assets and liabilities related t all members wh cannt be lcated must be transferred t Unclaimed Prperty. Plan Terminatin The administratr is respnsible fr the terminatin and wind-up (disbursement f assets) f the pensin plan and is nt relieved f that respnsibility until all assets have been paid ut f the fund. The administratr must: prvide ntice f the intended terminatin t the Superintendent and t plan members, ensure that all cntributins required t the date f plan terminatin have be remitted t the fund, ensure the terminatin reprt is filed with the Superintendent, disburse assets in accrdance with the terminatin reprt nce it has been accepted by the Superintendent, and nce all assets have been disbursed, cnfirm such t the Superintendent. Superintendent f Pensins Interpretive Guideline #01 15

16 T assist the administratr in meeting time lines required by the Act and Regulatin please see Appendix A Administrative time lines. Please nte that Plans fr Cnnected Persns (PCP s) are nt required t register under the Emplyment Pensin Plans Act. Nnetheless, the administratr f a PCP must ensure that that plan meets the requirements f Sectin 13 f the Regulatin. Fr further infrmatin please cntact: Superintendent f Pensins Alberta Treasury Bard and Finance Rm 402, Street Edmntn, AB T5K 2C3 Fr tll-free dialling within Alberta, call and then dial Telephne: Fax: Emplyment.Pensins@gv.ab.ca Internet: Sign up fr electrnic ntificatins: Superintendent f Pensins Interpretive Guideline #01 16

17 Appendix A Administrative Time Lines Filing with the Superintendent Item Due Date Cmments Plan Registratin Applicatin fr registratin must be made within 60 days after the establishment f the plan A pensin plan may nt be administered fr mre than 60 days after it is established unless the plan has been registered, r Applicable t Plan Type Amendment f a plan text dcument 60 days after the amendment is made an applicatin fr registratin has been filed. A pensin plan may nt be administered in accrdance with an amendment unless the amendment has been registered, r Amendment t supprting dcuments Ntice f Change in Administratr Updated Participating Emplyer List Ntice f Inslvency Prceedings 60 days after the amendment is made 60 days after change takes place 60 days after any new Participating Emplyers have been added r frmer Participating Emplyers have ceased t be parties t the agreement Immediately upn becming aware f the cmmencement f the prceeding an applicatin fr registratin has been filed. An amendment t a supprting dcument may be administered nce it is made unless the plan administratr receives ntice frm the Superintendent that the amendment is nt cmpliant with the Act. This enables the Superintendent t ensure that the plan is wund up in a timely manner. Nncllectively Bargained Multi- Emplyer Plan (NCBMEP) except Cllectively Bargained Multi- Emplyer Plan (CBMEP) Superintendent f Pensins Interpretive Guideline #01 17

18 Filing with the Superintendent Item Due Date Cmments Annual Infrmatin Return Annually, within 180 days after the plan fiscal year end. The plan fiscal year end is December 31 unless the plan text dcument defines if therwise. Applicable t Plan Type Filing is dne n line. Actuarial Valuatin and Cst Certificate Triennially, within 270 days after the plan review date. There is a penalty fee f 10 per cent f the filing fee payable t the Superintendent s ffice if the filing is late. There is als a separate late filing fee that will be assessed by Revenue Canada. The plan review date is the same as the plan fiscal year end unless the plan text dcument defines it therwise. Benefit Frmula 60 days after a plan event A plan event is smething that ccurs in between triennial (r annual) valuatins that impacts the funding f the pensin plan. Audited Financial Statements Plan terminatin ntice 180 days after plan fiscal year end 60 days befre the effective date f terminatin, r Fr example an amendment that affects cst will nt be registered withut the accmpanying actuarial valuatin and cst certificate shwing the impact f the amendment n plan funding. See sectin 50 f the Regulatin Ntice must be given t the Superintendent A CBMEP, r Any plan with a benefit frmula that has assets f $10 millin r mre at the plan s fiscal year end immediately if terminatin date is sner each plan member (active, deferred r retired) surviving pensin partner r Superintendent f Pensins Interpretive Guideline #01 18

19 Filing with the Superintendent Item Due Date Cmments beneficiary (as applicable) Applicable t Plan Type frmer spuses wh have an entitlement under the plan trade unin that represents members cvered by the plan Plan terminatin reprt If plan is purely DC 60 days after the plan terminatin date See sectins 117 f the Act and 142 f the Regulatin See sectin 144(2) f the Regulatin Cnfirm all assets disbursed If plan has benefit frmula prvisins 120 days after the plan terminatin date Prmptly after all assets have been paid ut The plan registratin is nt cancelled until this ntice is received. Superintendent f Pensins Interpretive Guideline #01 19

20 Plan Summary Disclsure Item Due Date Cmments If CBMEP with the first annual statement ther plans - within 120 days after the establishment f the plan, and Must be prvided t the member Must cntain all f the relevant infrmatin nted in sectin 30 f the Regulatin Applicable t Plan Type a) If member is immediately made a member n emplyment, 30 days after emplyed, Annual Statement Ntice f Benefit r Cntributin change Terminatin f membership statement b) if membership ccurs later r is vluntary, 30 days befre the emplyee is eligible t jin the plan 180 days after each plan fiscal year end 30 days befre the effective date f the change If plans is a CBMEP 90 days after the terminatin f active membership ther plans 60 days after the terminatin f membership Must be prvided t the member Must cntain all f the relevant infrmatin nted in sectin 31 f the Regulatin. Must be prvided t the member when the benefit is reduced, r emplyee cntributins are changed. Must be prvided t the member Must cntain all f the relevant infrmatin nted in sectin 34 f the Regulatin Superintendent f Pensins Interpretive Guideline #01 20

21 Pre-retirement Death Benefit Statement Disclsure Item Due Date Cmments Within 60 days f the administratr receiving prf f the member s death Must be prvided t the member s pensin partner r if nne, t the member s beneficiary, r if neither f the tw, t the member s estate Applicable t Plan Type Retirement Statement Pst Retirement Annual Statement Transfer Statement fr Life Incme Type Benefits Statement n Death f a member receiving Life Incme Type Benefits Infrmatin n Marriage Breakdwn 60 days after the administratr receives an applicatin that meets the requirements f sectin 37(2) f the Regulatin T a member receiving life incme type benefits, 30 days after the calendar year end T all ther retired members, 180 days after each plan fiscal year end. 30 days after the date f the transfer 60 days after the administratr receives prf f death f the member 90 days after receiving a written request frm the member r frmer pensin partner Must cntain all f the relevant infrmatin nted in sectin 40 f the Regulatin. Must be prvided t the member. Must cntain all f the relevant infrmatin nted in sectin 37 f the Regulatin. Must be prvided t the member. Must cntain all f the relevant infrmatin nted in sectin 32 f the Regulatin. Must be prvided t the member Must cntain all f the relevant infrmatin nted in sectin 33 f the Regulatin. Must be prvided t the member s pensin partner r if nne t the member s beneficiary, r if neither f the tw t the member s estate. Must cntain all f the relevant infrmatin nted in sectin 41 f the Regulatin. Must be prvided t the member r spuse, whichever requested Must cntain all f the relevant infrmatin nted in sectin 35 f the Regulatin. Benefit Frmula plans paying pensin frm the plan Defined Cntributin plans ffering Life Incme Type Benefits Defined Cntributin plans ffering Life Incme Type Benefits Superintendent f Pensins Interpretive Guideline #01 21

22 Disclsure Item Due Date Cmments Infrmatin statement after filing matrimnial prperty rder (MPO) r agreement (MPA) Phased Retirement Statement Lump Sum Payment Statement Access t additinal infrmatin (members and beneficiaries) Statements n winding up f a pensin plan 60 days after MPO r MPA is filed with the administratr 60 days after receiving an applicatin fr phased retirement 60 days after receiving an applicatin fr lump sum payments 30 days after the administratr receives a written request 30 days after Superintendent prvides ntice f acceptance f the terminatin reprt Must be prvided t the exspuse Must cntain all f the relevant infrmatin nted in sectin 36 f the Regulatin. Must be prvided t the member. Must cntain all f the relevant infrmatin nted in sectin 38 f the Regulatin. Must be prvided t the member. Must cntain all f the relevant infrmatin nted in sectin 39 f the Regulatin. Must be prvided t the party wh makes the request. Includes dcuments and infrmatin listed in sectins 43 and 44 f the Regulatin. Must be prvided t the member and any ther party entitled t benefits as a result f the plan terminatin. Must cntain all f the relevant infrmatin nted in sectin 42 f the Regulatin. Applicable t Plan Type Benefit Brmula plans that allw fr phased retirement Defined Cntributin plans that allw fr lump sum payments Superintendent f Pensins Interpretive Guideline #01 22

23 Administrative Items Filed nly if Requested by the Superintendent Item Due Date Cmments Gvernance Plicy Must be in place as part f plan establishment r by December 31, 2016 fr existing plans Applicable t Plan Type Funding Plicy Statement f Investment Plicies and Prcedures Administratr Review / Assessment Enter int a participatin agreement with a participating emplyer Summary f Cntributins Must be prvided t plan actuary within 60 days f establishment r amendment Must be prvided t plan actuary within 60 days f establishment r amendment Once every three years Within 60 days f the emplyer becming a participating emplyer under the plan 30 days after plan is registered beginning f each plan fiscal year end an event causing a change in cntributins ccurs Retain as a written recrd alng with any amendments made t it Must be in place as part f plan establishment r within 1 year f EPPA(2012) cming int frce Retain as a written recrd alng with any amendments made t it Must be in place as part f plan establishment r within 1 year f EPPA(2012) cming int frce Retain as a written recrd alng with any amendments made t it Must address the items listed in sectin 41 f the Act. Cpies f the assessment must be kept by the administratr. If an emplyer has nt signed the participatin agreement within this time perid he must nt be permitted t cntinue participatin in the plan and all cntributins shuld be refunded. It is imprtant t keep this up-tdate as the fund hlder must reprt variances t the Superintendent Benefit Frmula Benefit Frmula Plans and Defined Cntributin Plans in which the emplyer is managing sme r all f the plan s investments NCBMEP Superintendent f Pensins Interpretive Guideline #01 23

24 Administrative Items Filed nly if Requested by the Superintendent Item Due Date Cmments Remittance f Cntributins t the fund hlder Payment f benefits 30 days after deductin r receipt frm a participating emplyer 60 days after the event giving rise t the member entitlement r, if later, the date the administratr receives all dcumentatin needed t make the transfer Applicable t Plan Type Superintendent f Pensins Interpretive Guideline #01 24