2007-10-26_Supplemental Agenda Packet--Dossier de l'ordre du jour supplémentaire
City of Saint John
Common Council Meeting
Friday, October 26, 2007
Supplemental Agenda
1.1 (a) Letter from Secretary of the Board of Trustees - City of Saint John
Pension Plan advising of a Pension Board Resolution
1 .1 (b) Proposed Amendments to City of Saint John Pension Act
1 .1 ( c) Public Notice of Application for Private Legislation (Pension Act
Amendments)
City of Saint John
Seance du conseil communal
Vendri, 26 octobre, 2007
Ordre du jour supplementaire
1.1 (a) Lettre du secretaire du conseil d'administration du regime de retraite de
The City of Saint John au subject de I'adoption d'une resolution relative au
conseil de retraite
1.1 (b) Project de modification de la Loi sur Ie regime de retraite de The City of
Saint John
1.1 (c) Avis public concernant une demande de project de loi d'interet prive
(modification relatives a la Loi sur Ie regime de retraite)
City of Saint John
Common Council Meeting
Friday, October 26, 2007
Regular Meeting
1. Call to Order - Prayer
1.1 Special Meeting 12:00 noon 8th Floor Boardroom City Hall
City of Saint John
Common Council Meeting
Vendredi, 26 Octobre, 2007
1. Ouverture de la seance, suivie de la priere
1.1 Reunion extraordinaire 12-h Salle de conference du 8e etage de I'hotel
de ville
\ \0;) Common Clerk's Office
. Bureau du greffier communal
P.O. Box/C.P. 1971
Saint John, NBjN.-B.
Canada E2L 4Ll
www.saintjohn.ca
The City of Saint John
October 25, 2007
Mayor Norm McFarlane and Members
of Common Council
Your Worship:
At a meeting of the Board of Trustees of The City of Saint John Pension Plan,
held on October 25,2007 the following resolution was adopted, namely:
"RESOLVED that the City of Saint John Pension Board approve the proposed
amendments to the City of Saint John Pension Act relating to the agreement
reached between the City and its employees respecting the level of annual
contributions each is required to make to the Pension Fund, in addition to
bringing the provisions of the Act into conformity with the current Pension
Benefits Act, Canada Revenue Agency pursuant to the Income Tax Act and to
make administrative changes to the Pension Act as are required by the
substantive changes noted."
Yours truly,
~w~:?~
Secretary
Board of Trustees
City of Saint John Pension Plan
/jaf
City Solicitor's Office
Bureau de l'avocat municipal
~ www.saintjohn.ca
\ l\ October 26, 2007
P.O. Box/C.P. 1971
Saint John, NB/N.-B.
Canada E2L 4L1
The City of Saint John
J. Patrick Woods
Common Clerk
8th Floor, City Hall
Dear Sir:
Re: Amendments to City of Saint John Pension Act
Recommended by the Board of Trustees of the
City of Saint John Pension Plan
Attached is the English text of the proposed amendments. The text was last
revised by the Board's legal counsel on October 17, 2007. Those amendments
were prepared in Word Perfect format and the conversion to Microsoft Word
created some anomalies. As a result of our review I believe that they have now
been identified and corrected in the text attached.
Yours truly,
Joi!:::!Y~--;-
City Solicitor
Attachment
REVISED
OCTOBER 17,2007.
An Act to Amend
The City of Saint John Pension Act
WHEREAS The City of Saint John prays that it be enacted as hereinafter set forth;
THEREFORE, Her Majesty, by and with the advice and consent of the Legislative
Assembly of New Brunswick, enacts as follows:
1. Subsection 1(1) of the City of Saint John Pension Act, chapter 112 of the Acts of New
Brunswick, 1994, is amended by repealing the definition of "member" and substituting the
following:
"member" means an employee who is contributing to the pension fund and includes a person
who is not required to contribute under subsection 6(5);
2. Section 5 of the Act is amended by repealing subsection (1) and substituting the
following:
5(1) Subject to this section every employee who is employed in full-time employment shall
become a member on the day of commencement of full-time employment other than
(a) a person who, on the date of becoming an employee is 63 years of age or over and who
could not have purchased or does not agree to purchase sufficient pensionable service, which
the person is entitled to purchase under this Act, to have acquired 2 years pensionable service
by the time such person attains 65 years of age, and
(b) a contributor under the County Plan who was 50 years of age or over on the date of
becoming a contributor to the County Plan.
3. Section 6 of the Act is repealed and the following is substituted:
6(1) A member shall contribute to the pension fund 8 Yz per cent of the member's annual salary.
6(2) Commencing May 1, 2007 each member shall contribute to the pension fund 2% of the
member's annual salary in addition to the contributions mentioned in subsection 6(1).
6(3) The contributions mentioned in subsection 6(2) shall be paid for a period which ends on the
earlier of April 30, 2010 and the review date of the first actuarial valuation report for the plan
after May 1, 2007 which is filed with the Superintendent of Pensions under the Pension Benefits
Act and which shows an actuarial surplus on a going-concern valuation basis.
6(4) Commencing at the end of the period specified in subsection 6(3) the rate ofamember's total
annual contributions expressed as a percentage of the member's annual salary shall be one-half of
the total annual current service cost stated as a percentage ofthe aggregate ofthe annual salaries
of the members in the most recent actuarial valuation report for the plan filed with the
Superintendent of Pensions, provided that a member's contribution rate shall not be more than 9%
of the member's annual salary nor, subject to subsection 7(3), less than 7.5% of the member's
annual salary.
6(5) Notwithstanding subsections 6(1), 6(2), 6(3) and 6(4), the amount of a member's
contributions for any calendar year shall not exceed the least of "a", "b" and "c", where:
"a" is an amount equal to $1,000.00 plus 70 per cent of the member's pension credit in
respect of that calendar year, and
"b" is an amount equal to the member's contribution rate for the calendar year as a
percentage of annual salary divided by 0.18 and multiplied by the sum of $600.00 plus the
pension credit in respect of the calendar year, and
"c" is an amount equal to $0.00 if the member's pension credit in respect of that calendar
year is $0.00 and at January 1 of the calendar year either the member's pensionable service is
greater than or equal to 35 years or the member's pensionable service multiplied by the
member's full-time equivalent annualized salary in respect of the calendar year exceeds
64.47 multiplied by the Year's Maximum Pensionable Earnings in respect ofthe calendar
year; otherwise "c" is an amount equal to the contribution rate for the calendar year as a
percentage of annual salary times the member's salary in the calendar year.
6( 6) The period during which a member has ceased to contribute under subsection 6(5) shall not
count as pensionable service under this Act
6(7) The City is authorized to deduct from the salary paid to a member, an amount equal to the
contributions required to be paid by a member under this Act, and to pay such amount into the
pension fund within 15 days after the last day of the month in which the contribution was
withheld from the member's salary.
4. Section 7 of the Act is repealed and the following is substituted:
7(1) The City shall contribute to the pension fund
(a) an amount equal to the excess ofthe total current service cost ofthe pension plan for the
year over the aggregate contributions made by the members for that year, and
(b) such additional amounts as are required to amortize any unfunded liability on a going-
concern valuation basis or, if the plan is not exempt from the funding of solvency
deficiencies, any solvency deficiency on a solvency valuation basis over such period or
periods as are permitted by the Pension Benefits Act.
7(2) Prior to the end of the period specified in subsection 6(3) the aggregate of the annual
contributions by the City under paragraphs 7(1)(a) and (b) shall not be less than 7% of the
aggregate of the salaries of the members for that year provided that such contributions by the City
are eligible contributions under the Income Tax Act.
7(3) After the end of the period specified in subsection 6(3) the aggregate of the annual
contributions by the City under paragraphs 7(1)(a) and (b) shall not be less than 7.5% of the
aggregate of the salaries of the members for that year provided that such contributions by the City
are eligible contributions under the Income Tax Act, but ifthe contributions by the City are less
than 7.5% ofthe aggregate ofthe salaries ofthe members, then the members' contribution rate as
a percentage of annual salary shall be reduced to equal the City's contribution rate as a percentage
of the aggregate of the salaries of the members.
7(4) The City shall pay the contributions referred to in this section to the funding agent within
the periods prescribed under the Pension Benefits Act.
5. Section 12 of the Act is amended by
(a) repealing subsection (1) and substituting the following:
12(1) A member
(a) who is not eligible to receive a pension under sections 10 or 11,
(b) has been employed for a continuous period of not less than two years, or has been a
member of the pension plan for a continuous period of not less than two years; and
( c) is within ten years of normal retirement date, or
(d) is not within ten years of normal retirement date and is retired on the order ofthe Council,
may retire and receive a reduced pension.
(b) repealing subsection (2) and substituting the following:
12(2) The amount of an annual pension to which a member may become entitled under this
section is the pension calculated under subsection 10(2) reduced by 5 per cent for each year ofthe
difference between the member's normal retirement date, or the earliest date at which the member
could have retired under section 11 had the member continued to be an employee, and the date of
the member's actual retirement.
6. Subsection 15(1) of the Act is repealed and the following is substituted:
1"5 (I)Subject to this Act, a member who has not reached normal retirement date and ceases to
be an employee by reason of having become totally and permanently disabled, is entitled to
receive an annual disability pension for life calculated in the manner set forth in subsection 10(2).
7. Section 21 of the Act is amended
(a) by repealing subsection (1) and substituting the following:
21 (1) Where a person ceases to be totally and permanently disabled under section 20 and is not
re-employed by the City, that person shall be a former member whose employment terminated on
the date the member became totally and permanently disabled and shall be entitled to benefits
under whichever of sections 10, 11, 12, 13 or 28 applies to the former member as of the date he
or she ceased to be totally and permanently disabled; and the former member's pensionable
service shall be the pensionable service the former member had on the day before he or she
became totally and permanently disabled.
(b) by repealing subsection (2) and substituting the following:
21 (2) Where a person ceases to be totally and permanently disabled under section 20 by reason of
being re-employed by the City, subsection 31(3.2) shall apply to the person.
8. Section 22 of the Act is repealed and the following is substituted:
22. Upon the death of a member who has less than 2 years of continuous employment and has
been a member of the pension plan for a continuous period of less than two years, the
contributions of such member together with credited interest shall be paid to the surviving spouse
of the member, or if there is no surviving spouse, to the member's designated beneficiary, or if
there is no designated beneficiary, to the member's estate.
9. Section 23 ofthe Act is amended by
(a) repealing subsection (1) and substituting the following:
23(1) Upon the death of a member who has more than 2 years of continuous employment or has
been a member of the pension plan for a continuous period of not less than two years, the
surviving spouse of that member is entitled to an annual pension equal to 60 per cent of the
annual pension that would have been payable to the member had the member been entitled to a
normal retirement pension at the time of that member's death.
(b) repealing subsection (2) and substituting the following:
23(2) Upon the death of a former member who was in receipt of any pension under this Act, the
surviving spouse ofthe former member is entitled to an annual pension equal to 60 per cent ofthe
annual pension that was being paid to such former member at death, except that, if the former
member elected an adjusted pension under section 13 and ifthe surviving spouse was the spouse
of the member at the time that the former member elected the adjusted pension, then the surviving
spouse of the former member is entitled to an annual pension equal to 100 per cent of the annual
pension that was being paid to such former member at death.
10. Section 24 is amended
(a) by repealing subsection (3) and substituting the following:
24(3) Where a child's pension is payable under subsections (2), (2.1) or (4), it is to be paid to the
person having custody and control ofthe child, and where there is no such person, it is to be paid
to the child himself or to such other person as the Pension Board directs.
(b) by repealing subsection (4) and substituting the following:
24(4) On the death of a surviving spouse of a member or former member and the cessation of
the surviving spouse's pension, or on the death of a member or former member who has no
surviving spouse, the Pension Board shall grant to the dependent children of the member or
former member in equal shares who were dependent children at the date of death of the member
or former member
(a) a pension in an amount equal to the amount of the surviving spouse's pension that was
being paid or could have been paid had the spouse survived the member or former member
under subsections 23(1) or (3), or
(b )if the former member was in receipt of an adjusted pension under section 13, a pension in
an amount equal to 60% of the adjusted pension,
for the period beginning on the day of death of the member or former member or the day of death
of the surviving spouse, as the case may be, and ending on the day on which the dependent
children cease to be dependent as defined in subsection 24( 5), or ifthere is no such day, the day of
death of the dependent children.
( c) by repealing (5) and substituting the following:
24(5) In this Act, "dependant" of a member or former member means a parent, grandparent,
brother, sister, child or grandchild of the member or former member who is both dependent on the
member or former member for support and
(a) under 19 years of age and will not attain 19 years of age in the calendar year in which the
pension to the dependant becomes payable,
(b) in the case of a child who is 19 years or older but under the age of 25, is in full-time
attendance at an educational institution, or
( c) dependent on the member or former member by reason of mental or physical infirmity.
11. Subsection 26(2) of the Act is amended by repealing paragraph (a) and substituting the
following:
(a) the former member's excess contributions plus 100 per cent of the actuarial equivalent
value of that former member's accrued pension on the date of that member's death, or
12. Subsection 27(5) of the Act is repealed and the following substituted:
27(5) The amount of a pension given up by a member as a result of a settlement on marriage
breakdown shall be deemed to be included in the pension payable to the member for the purposes
of the application of subsection 27(2).
13. Section 28 ofthe Act is amended
(a) by repealing subsection (1) and substituting the following:
28(1) A member who has been employed for a continuous period ofless than 2 years and has
been a member of the plan for a continuous period of less than 2 years and is not otherwise
entitled to a pension or pension benefit under this Act or the previous Act, is entitled, upon
termination of employment, to a refund of the member's contributions with credited interest to the
date of termination.
(b) by repealing subsection (2) and substituting the following:
28(2) A member who has been employed for a continuous period of2 years or more or has been
a member of the plan for a continuous period of not less than two years, which period includes
employment before the commencement of this Act and the Pension Benefits Act, and is not
otherwise entitled to a pension under this Act, is entitled, upon termination of employment, to
(a) a deferred pension payable from normal retirement date calculated in accordance with
subsection 10(2), and
(b) a refund of the member's excess contributions, if any.
(c)by repealing subsection (4) and substituting the following:
28(4) If a member is entitled to a deferred pension under subsection 28(2), the deferred pension
in respect of pensionable service after January 1, 1993 shall be increased by 2% for each year, on
a compounded basis, from the first day of January of the year following the year in which the
member ceased to be employed to the date the pension commences to be paid. In addition, the
deferred pension in respect of pensionable service between January 1, 1975 and December 31,
1992 shall be increased by 1 % for each year, on a compounded basis, from the later of January 1,
1999 and the first day of January of the year following the year in which the member ceased to be
employed to the date the pension commences to be paid, but in no case shall the total percentage
increase in the accrued pension exceed the total percentage increase in the average wage, as
defined in subsection 147.1(1) of the Income Tax Act, during the same period.
14. Section 29 of the Act is amended
(a) by repealing subsection 29(1) and substituting the following:
29(1) A member who is entitled to a deferred pension under subsection 28(2) and is not within
10 years of normal retirement date may, upon written notice given to the Pension Board within
ninety days after receipt of the written statement prescribed by subsection 26(1) of the Pension
Benefits Act, require the Pension Board to transfer the actuarial equivalent value of the member's
pension under subsection 28(2) or (3), subject to the Pension Benefits Act,
(a) to another pension plan with the consent of the administrator of that plan,
(b) to a prescribed retirement savings arrangement, or
(c) for purchase of a deferred life annuity with payments commencing not earlier than ten
years prior to normal retirement date and not later than the end of the year in which the
member attains 71 years of age.
(b) by adding after subsection (1) the following:
29(1.1) Upon termination of employment, a member who is entitled to a deferred pension under
subsection 28(2), is entitled to withdraw the actuarial equivalent value of the deferred pension
from the pension fund if
(a) the member and his or her spouse, if any, are not Canadian citizens,
(b) the member and his or her spouse, if any, are not resident in Canada for the purposes of
the Income Tax Act, and
(c) the member's spouse, if any, waives, on a prescribed form, any rights that he or she may
have in the pension fund under this Act, the regulations or the pension plan.
15. Section 30 of the Act is amended
(a) by repealing subsection (2) and substituting the following:
30(2) If the adjusted actuarial equivalent value of the accrued pension to which a member or
former member is entitled to the date oftermination of employment is less than 40% ofthe Year's
Maximum Pensionable Earnings at the date of termination of employment, the Pension Board
may pay, in lieu of the pension, the actuarial equivalent value ofthe pension in a lump sum.
(b) by adding after subsection (2) the following:
30(3) For the purposes of subsection (2) and subject to subsection (4), the adjusted actuarial
equivalent value of the accrued pension payable is calculated using the following formula:
A= V X 1.0665--n
where
A = the adjusted actuarial equivalent value of the benefit;
V = the actuarial equivalent value of the benefit; and
n = the age of the member or former member on December 31 of the year in which his or her
employment is terminated or his or her pension plan is wound-up.
30(4) For the purposes of subsection (3), "n" shall not be greater than sixty-five.
16. Section 31 is amended
(a) by repealing subsection (3) and substituting the following
31 (3) Where a former member who is receiving a pension from the plan subsequently becomes
an employee
( a) payment of the pension to the former member shall be suspended and the former member
shall again become a member of the plan no later than the date on which payment of the
pension is suspended, and
(b) upon subsequent retirement, the member's pension shall not be less than the pension
payable with respect to the member's pensionable service after the most recent date he or she
became a member, plus a pension payable with respect to the member's pensionable service
before the previous commencement of the member's pension which is no less than
(i) ifthe member originally retired under subsection 10(2), sections 11 or 14, the pension
that was payable when the pension began to be paid, or,
(ii) if the member originally retired under section 12, the pension that would have been
payable when the pension began to be paid if the reduction in the pension had been
calculated as ifthe member was age "a", where "a" equals "b" minus "c" plus "d", and "b"
is the member's age at the date of subsequent pension commencement, "c" is the
member's age at the date of the pension suspension, and "d" is the member's age at the
date of the original pension commencement.
(b) by adding after subsection (3) the following:
3l(3.1)For those members who elect an adjusted pension under subsection 13(1), the pensions
referred to in subsection (3) are the pensions before the adjustment.
31 (3.2) Ifthe former member who rejoined the plan as a member under subsection (3) originally
retired under section 15 then, upon subsequent retirement or other termination of employment, the
member shall be entitled to benefits under whichever of sections 10, 11, 12, 13, 14 or 28 applies
to the member as of the member's date of retirement or termination, based on pensionable service
which includes the period during which that person was in receipt of a disability pension.
17. Section 33 is repealed and the following is substituted:
33 The division ofthe benefits of a member or former member under the plan established by this
Act or the previous Act on marriage breakdown shall be in accordance with the Pension Benefits
Act, and upon such division, the Pension Board shall revalue the pension or pension benefit ofthe
member or former member.
18. Section 36 of the Act is amended
(a) by renumbering section 36 as subsection 36(1),
(b) by renumbering section 36.1 as subsection 36(2), and
(c) by adding after subsection (2) the following:
36(3) The percentage increase in the pension of any person under this section shall not exceed
the percentage increase in the Consumer Price Index for Canada from the date of retirement ofthe
person to the date of the coming into force of this section.
19. Subsection 37.1(1) is amended
(a) by repealing paragraph (e) and substituting the following:
(e) under subsections 23(1), (2), (3) and (4) on the date of death of the member or former
member, as the case may be, and
(b) by repealing paragraph (f) and substituting the following:
(f) under subsections 24(2) and 24(2.1), on the date of death ofthe member, former member or
the surviving spouse of the member or former member, as the case may be, and
(c) by repealing paragraph (g).
I ' lee)
City Solicitor's Office
Bureau de l'avocat municipal
P.O. Box/C.P. 1971
Saint John, NB/N.-B.
Canada E2L 4L1
www.saintjohn.ca
John L. Nugent
Direct Line: 506.658.4098
Fax. No.: 506.649.7939
The City of Saint John
October 24, 2007
Elizabeth Gormley
Assistant Common Clerk
Dear Ms. Gormley:
Re: Notice of Application for Private Legislation -
(Pension Act Amendments) - Publication
As you know Council is scheduled to consider proposed amendments to the
City Pension Act on Friday, October 26, 2007. The time line for filing an
application for these amendments and having that application processed by the
Legislature this Fall is very tight. Consequently, we have already delivered to
the Queen's Printer the Notice that would be required in the event Council
approves the application.
Would you please attend to advertising this same Notice in the Telegraph
Journal, the Daily Gleaner, the Times Transcript and L' Acadie Nouvelle. The
newspaper publication requirement is "... once a week for three consecutive
weeks ...." Would you please attend to the required publication arrangements
as soon as possible and in the event that the application is not approved by
Council, we will simple cancel the publication requests.
Yours truly,
I '1
.~
v ~ Lc l
Johll L. Nugent I
City Solicitor /
. ,/-r'
t t .:/
Attachments
c: J. Patrick Woods
Notice of Application
By The City of Saint John
for Private Legislation
Amending The City of Saint John Pension Act,
Chapter 112 S.N.B. 1994
The City of Saint John intends to apply for the
enactment of an Act to Amend the City of Saint John
Pension Act at the 2007 Second Session of the 56th
Legislature.
The proposed legislation, if enacted would effect
several amendments to the current City of Saint
John Pension Act. In general terms, the object of
those amendments is:
. to reflect the agreement reached
between the City and its employees
respecting the level of annual
contributions each is required to make
to the Pension Fund;
. to address the funding of any solvency
deficiency;
. to bring the provisions of the City of
Saint John Pension Act into conformity
with the current Pension Benefits Act;
. to bring the City of Saint John Pension
Act into conformity with the
requirements of the Canada Revenue
Agency pursuant to the Income Tax Act;
and
. to make such consequent administrative
changes to the Pension Act as are
required by the substantive changes
noted.
Avis d'une demande de projet de loi d'interet
prive
de la part de The City of Saint John
visant a modifier la Loi sur Ie regime de retraite
de la ville de Saint John, ch. 12 L.N.B. 1994
The City of Saint John (la << cite >>) a l'intention de
solliciter, durant la deuxieme session de 2007 de la
56e legislature, l'ediction d'<< Une Loi modifiant la
Loi sur Ie regime de retraite de la ville de Saint
John >>.
Le projet de loi, s'i! est edicte, apportera plusieurs
modifications a la Loi sur Ie regime de retraite de la
ville de Saint John actuelle. En general, l'objet du
projet de loi est de :
. Refleter I' entente convenue entre la cite
et ses employes concernant Ie niveau de
cotisation annuelle que chacun doit
verser a la caisse de retraite;
. Examiner Ie financement de tout deficit
de solvabilite;
. Rendre les dispositions de la Loi sur Ie
regime de retraite de la ville de Saint
John conformes a la Loi sur les
prestations de pension.
. Rendre la Loi sur Ie regime de retraite
de la ville de Saint John conforme aux
exigences de I' Agence du Revenu du
Canada conformement a la Loi sur
I'impot, et
. Faire tout changement administratif
consequent a la Loi sur Ie regime de
retraite de la ville de Saint John
necessaires en raison des modifications
substantives notees.
-2-
More specifically, the proposed amendments would: Plus specifiquement, Ie projet de loi :
. increase by 2% of a member's annual
salary the amount to be contributed
annually to the Pension Fund
commencing as of May 1, 2007 with
such contributions to be effective until
the first actuarial evaluation which
identifies a surplus on a going concern
basis, or April 30, 2010, whichever is
earlier;
. establish the City's annual contribution
rate to the Pension Fund prior to and
following the end of the period
identified in the immediately preceding
item;
. permit the City to fund any solvency
deficiency of the Pension Fund over
such periods as are permitted by the
Pension Benefits Act in the event the
Plan is not exempted from such funding
requirements;
. incorporate the "two years in
membership vesting" currently provided
for in the Pension Benefits Act;
. permit a person eligible for ordinary
early retirement and who becomes
totally and permanently disabled, to
retire on a disability pension as opposed
to an ordinary early retirement pension;
. provide for a pre-retirement death
benefit in an amount determined in
accordance with the provisions of the
current Pension Benefits Act;
. augmenter de 2% du salaire annuel du
participant Ie montant it verser
annuellement it la caisse de retraite it
partir du 1 er mai 2007, ces contributions
devant etre versees pendant une peri ode
se terminant Ie 30 avril 2010 ou, si elle
est anterieure, it la date de verification
du premier rapport d'evaluation
actuarielle du regime qui affiche un
surplus actuariel selon une evaluation
sur une base de permanence.
. etablir Ie taux de cotisation annuelle de
la cite it la caisse de retraite avant et
suivant la fin de la periode identifiee au
paragraphe precedent.
. Permettre it la cite de financer tout
deficit de solvabilite du Regime sur les
periodes qu'admet la Loi sur les
prestations de pension dans
l' eventualite OU Ie Regime n' est pas
dispense de telles exigences de
financements.
. Incorporer Ie << droit acquis apres deux
ans de contributions>> presentement
prevu it la Loi sur les prestations de
pension.
. Permettre qu'une personne eligible it la
retraite anticipee ordinaire qui devient
souffrante d'une invalidite permanente
totale se retire sur un regime de rente
viagere d' invalidite annuelle par
opposition au regime de retraite
anticipee ordinaire.
. Prevo ire Ie paiement d'une rente de
preretraite au deces d'un montant
determine conformement aux
dispositions de la Loi sur les prestations
de pension actuelle.
-3-
. provide for the unlocking of accrued
benefits to certain terminated
employees as required by the provisions
of the current Pension Benefits Act;
. clarify, III accordance with the
provisions of the current Pension
Benefits Act, the treatment for pension
purposes of persons who are re-hired;
. incorporate wording respecting past
increases in pensions as required by the
Canada Revenue Agency pursuant to
the Income Tax Act; and
. change the language and numbering of
the Act resulting from the proposed
substantive amendments identified.
The text of the proposed amendments may be
examined at the office of the Common Clerk of The
City of Saint John, 8th Floor, City Hall, Saint John,
New Brunswick.
. Prevo ire Ie reHichement des benefices
echus de certains employes a la
cessation de leur emploi conformement
aux dispositions de la Loi sur les
prestations de pension actuelle.
. Clarifier, conformement aux
dispositions de la Loi sur les prestations
de pension actuelle, Ie traitement, aux
fins de pension, des personnes qui sont
reembauchees.
. Incorporer une terminologie concernant
des augmentations anterieures aux
regimes de retraite, tel que l'exige
I' Agence du Revenu du Canada
conformement a la Loi sur l'impot, et
. Changer Ie langage et Ie numerotage de
la Loi resultant des modifications
substantives proposees.
Le texte propose a cette fin peut etre consulte au
bureau du greffier communal de la cite, situe au 8e
etage de I'Hotel de ville, a Saint John (Nouveau-
Brunswick).
J. Patrick Woods
COMMON CLERK/GREFFIER COMMUNAL
The City of Saint John
P.O. Box/C.P. 1971
Saint John (N.-B.) E2L 4Ll
Avis d'une demande de projet de loi d'interet prive
de la part de The City of Saint John
vis ant a modifier la Loi sur Ie regime de retraite de la ville de Saint John, ch. 12
L.N.B.1994
The City of Saint John (la <<cite >>) a l'intention de solliciter, durant la deuxieme session
de 2007 de la 56e legislature, l'ediction d'<< Une Loi modifiant la Loi sur Ie regime de
retraite de la ville de Saint John >>.
Le projet de loi, s'il est edicte, apportera plusieurs modifications a la Loi sur Ie regime de
retraite de la ville de Saint John actuelle. En general, l'objet du projet de loi est de:
· Refleter I' entente convenue entre la cite et ses employes concernant Ie niveau
de cotisation annuelle que chacun doit verser a la caisse de retraite;
· Examiner Ie financement de tout deficit de solvabilite;
· Rendre les dispositions de la Loi sur Ie regime de retraite de la ville de Saint
John conformes a la Loi sur les prestations de pension;
· Rendre la Loi sur Ie regime de retraite de la ville de Saint John conforme aux
exigences de I' Agence du Revenu du Canada conformement a la Loi sur
l'imp6t; et
· Faire tout changement administratif consequent a la Loi sur Ie regime de
retraite de la ville de Saint John necessaires en raison des modifications
substantives notees.
Plus specifiquement, Ie projet de loi :
· augmenter de 2% du salaire annuel du partIcIpant Ie montant a verser
annuellement a la caisse de retraite a partir du 1 er mai 2007, ces contributions
devant etre versees pendant une periode se terminant Ie 30 avril 2010 ou, si
elle est anterieure, a la date de verification du premier rapport d'evaluation
actuarielle du regime qui affiche un surplus actuariel selon une evaluation sur
une base de permanence.
· etablir Ie taux de cotisation annuelle de la cite a la caisse de retraite avant et
suivant la fin de la periode identifiee au paragraphe precedent.
· Permettre a la cite de financer tout deficit de solvabilite du Regime sur les
periodes qu'admet la Loi sur les prestations de pension dans l'eventualite OU
Ie Regime n'est pas dispense de telles exigences de financements.
-2-
. Incorporer Ie <<droit acquis apres deux ans de contributions >> presentement
prevu a la Loi sur les prestations de pension.
. Permettre qu'une personne eligible a la retraite anticipee ordinaire qui devient
souffrante d'une invalidite permanente totale se retire sur un regime de rente
viagere d'invalidite annuelle par opposition au regime de retraite anticipee
ordinaire.
. Prevoire Ie paiement d'une rente de preretraite au deces d'un montant
determine conformement aux dispositions de la Loi sur les prestations de
pension actuelle.
. Prevo ire Ie relachement des benefices echus de certains employes a la
cessation de leur emploi conformement aux dispositions de la Loi sur les
prestations de pension actuelle.
. Clarifier, conformement aux dispositions de la Loi sur les prestations de
pension actuelle, Ie traitement, aux fins de pension, des personnes qui sont
reembauchees.
. Incorporer une terminologie concernant des augmentations anterieures aux
regimes de retraite, tel que l'exige l' Agence du Revenu du Canada
conformement a la Loi sur l'impot, et
. Changer Ie langage et Ie numerotage de la Loi resultant des modifications
substantives proposees.
Le texte propose a cette fin peut etre consulte au bureau du greffier communal de la cite,
situe au ge etage de l'Hotel de ville, a Saint John (Nouveau-Brunswick).
J. Patrick Woods
COMMON CLERK/GREFFIER COMMUNAL
The City of Saint John
P.O. Box/C.P. 1971
Saint John (N.-B.) E2L 4Ll
Notice of Application
By The City of Saint John
for Private Legislation
Amending The City of Saint John Pension Act, Chapter 112 S.N .B. 1994
The City of Saint John intends to apply for the enactment of an Act to Amend the City of
Saint John Pension Act at the 2007 Second Session of the 56th Legislature.
The proposed legislation, if enacted would effect several amendments to the current City
of Saint John Pension Act. In general terms, the object of those amendments is:
. to reflect the agreement reached between the City and its employees
respecting the level of annual contributions each is required to make to the
Pension Fund;
. to address the funding of any solvency deficiency;
. to bring the provisions of the City of Saint John Pension Act into conformity
with the current Pension Benefits Act;
. to bring the City of Saint John Pension Act into conformity with the
requirements of the Canada Revenue Agency pursuant to the Income Tax Act;
and
. to make such consequent administrative changes to the Pension Act as are
required by the substantive changes noted.
More specifically, the proposed amendments would:
. increase by 2% of a member's annual salary the amount to be contributed
annually to the Pension Fund commencing as of May 1, 2007 with such
contributions to be effective until the first actuarial evaluation which identifies
a surplus on a going concern basis, or April 30, 2010, whichever is earlier;
. establish the City's annual contribution rate to the Pension Fund prior to and
following the end of the period identified in the immediately preceding item;
. permit the City to fund any solvency deficiency of the Pension Fund over such
periods as are permitted by the Pension Benefits Act in the event the Plan is
not exempted from such funding requirements;
-2-
. incorporate the "two years in membership vesting" currently provided for in
the Pension Benefits Act;
. permit a person eligible for ordinary early retirement and who becomes totally
and permanently disabled, to retire on a disability pension as opposed to an
ordinary early retirement pension;
. provide for a pre-retirement death benefit in an amount determined III
accordance with the provisions of the current Pension Benefits Act;
. provide for the unlocking of accrued benefits to certain terminated employees
as required by the provisions of the current Pension Benefits Act;
. clarify, in accordance with the provisions of the current Pension Benefits Act,
the treatment for pension purposes of persons who are re-hired;
. incorporate wording respecting past increases in pensions as required by the
Canada Revenue Agency pursuant to the Income Tax Act; and
. change the language and numbering of the Act resulting from the proposed
substantive amendments identified.
The text of the proposed amendments may be examined at the office of the Common
Clerk of The City of Saint John, 8th Floor, City Hall, Saint John, New Brunswick.
J. Patrick Woods
COMMON CLERK/GREFFIER COMMUNAL
The City of Saint John
P.O. Box/C.P. 1971
Saint John (N.-B.) E2L 4L1