Section 1 (1) definitions of "public service board" and "public service plan" BEFORE amended by 1999-44-114, effective January 1, 2001 (BC Reg 421/2000).
"public service board" means the Public Service Pension Advisory Board established under Schedule C;
"public service plan" means the Public Service Pension Plan continued under Schedule C;
Section 1 (1) definitions of "municipal board" and "municipal plan" BEFORE amended by 1999-44-113, effective April 5, 2001 (BC Reg 97/2001).
"municipal board" means the Municipal Pension Board established under Schedule B;
"municipal plan" means the Municipal Pension Plan continued under Schedule B;
Section 1 (1) definitions of "teachers' board" and "teachers' plan" BEFORE amended by 1999-44-115, effective April 5, 2001 (BC Reg 98/2001).
"teachers' board" means the Teachers' Pension Board established under Schedule D;
"teachers' plan" means the Teachers' Pension Plan continued under Schedule D.
Section 1 (1) definition of "college joint management agreement" was added by 2012-18-44(a), effective June 25, 2012 (BC Reg 179/2012).
Section 1 (1) definitions of "college board", "college plan", "municipal joint management agreement", "public service joint management agreement" and "teachers' joint management agreement" BEFORE amended by 2012-18-44(b), effective June 25, 2012 (BC Reg 179/2012).
"college board" means the College Pension Board of Trustees established under Schedule A;
"college plan" means the College Pension Plan continued under Schedule A;
"municipal joint management agreement" means the agreement between the plan employer partner and the plan member partner, as those terms are defined in section 1 of Schedule B, for the joint management of the municipal plan;
"public service joint management agreement" means the agreement between the plan employer partner and the plan member partner, as those terms are defined in section 1 of Schedule C, for the joint management of the public service plan;
"teachers' joint management agreement" means the agreement between the plan employer partner and the plan member partner, as those terms are defined in section 1 of Schedule D, for the joint management of the teachers' plan;
Section 3 (c) BEFORE amended by 2011-25-434, effective March 18, 2013 (BC Reg 131/2012).
(c) the Family Relations Act, and
Section 5 (7) BEFORE amended by 2003-70-238, effective March 29, 2004 (BC Reg 64/2004).
(7) The Company Act and the Company Clauses Act do not apply to the pension corporation, but the Lieutenant Governor in Council may, on the recommendation of the pension management board, direct that certain provisions of the Company Act apply to the pension corporation.
Section 6 (2) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(2) The share in the pension corporation must be issued to and registered in the name of the Minister of Finance and Corporate Relations and must be held by that minister on behalf of the government.
Section 8 (1) (c) BEFORE amended by 1999-44-116(b), effective January 1, 2001 (BC Reg 421/2000).
(c) 2 directors appointed, on the recommendation of the public service board, by the trustee of the pension fund from among the members of the public service board, one to be nominated by the plan sponsor representatives and one to be nominated by the plan member representatives, as those terms are used in section 3 (1) (a) and (b) of Schedule C;
Section 8 (1) (b) BEFORE amended by 1999-44-116(a), effective April 5, 2001 (BC Reg 97/2001).
(b) 2 directors appointed, on the recommendation of the municipal board, by the trustee of the pension fund from among the members of the municipal board, one to be nominated by the plan sponsor representatives and one to be nominated by the plan member representatives, as those terms are used in section 3 (1) (a) and (b) of Schedule B;
Section 8 (1) (d) BEFORE amended by 1999-44-116(c), effective April 5, 2001 (BC Reg 98/2001).
(d) 2 directors appointed, on the recommendation of the teachers' board, by the trustee of the pension fund from among the members of the teachers' board, one to be nominated by the plan sponsor representatives and one to be nominated by the plan member representatives, as those terms are used in section 3 (1) (a) and (b) of Schedule D.
Section 8 (8) (part) BEFORE amended by 2023-10-957, effective March 30, 2023 (Royal Assent).
(8) If a director ceases for any reason to be a director of the pension management board before the end of the term for which he or she was appointed,
Section 9 (1) (c) BEFORE amended by 2003-70-239, effective March 29, 2004 (BC Reg 64/2004).
(c) select and appoint for the pension corporation an auditor who is qualified to be an auditor of a reporting company under the Company Act;
Section 9 (2) (d) (ii) and (v) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(ii) permitting the Minister of Finance and Corporate Relations to direct the Comptroller General to examine the financial and accounting operations of the pension corporation and report back to the pension management board, Treasury Board, the pension boards or other clients that retain the services of the pension corporation,
(v) providing to the Minister of Finance and Corporate Relations an annual business plan and an annual report on the pension corporation, including the audited financial statements.
Section 9 (2) (d) (v) BEFORE amended by 2012-18-45, effective May 31, 2012 (Royal Assent).
(v) providing to the Minister of Finance an annual business plan and an annual report on the pension corporation, including the audited financial statements.
Section 10 (5) (d) BEFORE amended by 2023-10-958(a), effective March 30, 2023 (Royal Assent).
(d) if, in the opinion of the chief executive officer, the person is unfit to manage his or her own affairs, the allocation of all or part of the benefit payable to that person;
Section 10 (7) BEFORE amended by 2023-10-958(b), effective March 30, 2023 (Royal Assent).
(7) The chief executive officer, in carrying out his or her duties under subsection (5), may rely on information or recommendations provided by the officers and employees of the pension corporation.
Section 13 (3) BEFORE amended by 2016-5-44,Sch 6, effective March 10, 2016 (Royal Assent).
(3) The pension plans must pay to the pension corporation, in quarterly installments from the pension funds, the amounts requisitioned under subsection (2), subject to the limits within the pension corporation's budget as approved by the respective pension boards.
Section 14 (1) (b) BEFORE amended by 2023-10-959, effective March 30, 2023 (Royal Assent).
(b) in the case of a criminal action or proceeding, the director, officer, employee or committee member had reasonable grounds for believing that his or her conduct was lawful.
Section 16 (7) BEFORE amended by 2003-70-240, effective March 29, 2004 (BC Reg 64/2004).
(7) The Company Act, the Company Clauses Act and, despite section 11 of the Financial Institutions Act, the Financial Institutions Act do not apply to the investment management corporation, but the Lieutenant Governor in Council may direct that certain provisions of the Company Act and the Financial Institutions Act apply to the investment management corporation.
Section 16 (8) BEFORE amended by 2007-14-177, effective December 1, 2007 (BC Reg 354/2007).
(8) For the purposes of the Securities Act and its regulations, the investment management corporation must be treated in the same manner as the government is treated under that Act and its regulations.
Section 17 (2) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(2) The share in the investment management corporation must be issued to and registered in the name of the Minister of Finance and Corporate Relations and must be held by that minister on behalf of the government.
Section 18 (1) BEFORE amended by 2003-14-87, effective April 1, 2003.
(1) In this section, "designated institution", "government body", "public money", "special fund" and "trust fund" have the same meaning as in the Financial Administration Act.
Section 18 (4) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(4) In addition to the powers, functions and duties of the investment management corporation as provided in this Part, the investment management corporation has the same powers, functions and duties in the provision of funds management services for funds placed with it under subsection (3) as the Minister of Finance and Corporate Relations would have if the funds had been placed with that minister under Part 5 of the Financial Administration Act as it read on April 1, 1999.
Section 19 (3) (c) BEFORE amended by 1999-44-118(b), effective January 1, 2001 (BC Reg 421/2000).
(c) one director appointed, on the recommendation of the public service board, by the trustee of the pension fund from among the members of the public service board;
Section 19 (3) (b) BEFORE amended by 1999-44-118(a), effective April 5, 2001 (BC Reg 97/2001).
(b) one director appointed, on the recommendation of the municipal board, by the trustee of the pension fund from among the members of the municipal board;
Section 19 (3) (d) BEFORE amended by 1999-44-118(c), effective April 5, 2001 (BC Reg 98/2001).
(d) one director appointed, on the recommendation of the teachers' board, by the trustee of the pension fund from among the members of the teachers' board;
Section 19 (3) BEFORE amended by 2002-48-65(b), effective June 6, 2002 (BC Reg 421/2000).
(3) On the coming into force of this subsection, the investment management board must have 7 directors as follows:
Section 19 (3) (e) BEFORE amended by 2002-48-65(c), effective June 6, 2002 (BC Reg 128/2002).
(e) 2 directors, representative of clients of the investment management corporation, other than those referred to in paragraphs (a) to (d), appointed by the Minister of Finance and Corporate Relations;
Section 19 (3) (f) BEFORE amended by 2002-48-65(d), effective June 6, 2002 (BC Reg 128/2002).
(f) one director who is the Deputy Minister of Finance and Corporate Relations.
Section 19 (4), (5), (6), (7) and (8) BEFORE amended by 2002-48-65(e) to (h), effective June 6, 2002 (BC Reg 128/2002).
(4) The Deputy Minister of Finance and Corporate Relations is designated as chair of the investment management board.
(5) Each director appointed under subsection (1) or (3) has one vote on the board.
(6) An appointment to the investment management board under subsection (3) (a) to (e) must be made
(a) for a term not exceeding 3 years, and
(b) so that no more than 3 appointments expire in any calendar year.
(7) An appointment under subsection (3) (a) to (e) may be renewed.
(8) Despite subsection (1) (a) to (e) or (3) (a) to (e), an appointment to the investment management board may be rescinded by the party that made the appointment.
Section 19 (9) (b) BEFORE amended by 2002-48-65(i), effective June 6, 2002 (BC Reg 128/2002).
(b) that party must promptly appoint, in accordance with subsection (1) or (3), a replacement director for the remainder of the term of that director.
Section 19 (11.1) and (11.2) BEFORE amended by 2002-48-65(j) and (k), effective June 6, 2002 (BC Reg 128/2002).
(11.1) The Deputy Minister of Finance and Corporate Relations may appoint one of the other directors to act, in the Deputy Minister's absence, as chair of the investment management board, but the appointment may be made only if
(a) a quorum has been established under subsection (11) consisting of fewer than the number of directors required under subsection (10), and
(b) the Deputy Minister's presence is not necessary for constituting the quorum.
(11.2) A director appointed under subsection (11.1) to act as chair is not entitled to vote on behalf of the Deputy Minister of Finance and Corporate Relations on any matter before the investment management board.
Section 19 (9) (part) BEFORE amended by 2023-10-957, effective March 30, 2023 (Royal Assent).
(9) If a director ceases for any reason to be a director of the investment management board before the end of the term for which he or she was appointed,
Section 20 (1) (c) BEFORE amended by 2003-70-241, effective March 29, 2004 (BC Reg 64/2004).
(c) select and appoint for the investment management corporation an auditor who is qualified to be an auditor of a reporting company under the Company Act;
Section 20 (2) (e) (ii) and (v) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(ii) permitting the Minister of Finance and Corporate Relations to direct the Comptroller General to examine the financial and accounting operations of the investment management corporation and report back to the investment management board, Treasury Board, the pension boards and other persons responsible for the funds managed by the investment management corporation,
(v) providing to the Minister of Finance and Corporate Relations an annual business plan and an annual report on the investment management corporation, including the audited financial statements.
Section 21 (5) BEFORE amended by 2023-10-960, effective March 30, 2023 (Royal Assent).
(5) In exercising the powers or performing his or her duties, the chief investment officer may enter into agreements in the name of the investment management corporation.
Section 22 (3) and (4) BEFORE amended by 2023-10-961, effective March 30, 2023 (Royal Assent).
(3) If, immediately before appointment to or employment with the investment management corporation, an officer or employee has been confirmed in his or her employment under the Public Service Act, the officer or employee must not suffer a reduction in salary by reason only of his or her appointment or employment, and any monetary benefits that he or she would have enjoyed as a public service officer or employee continue to apply to him or her, subject to the terms of employment determined by the investment management corporation.
(4) An officer or employee referred to in subsection (3) who is appointed to or employed by the investment management corporation retains his or her length of service seniority acquired in the public service for determining his or her length of service seniority in the investment management corporation.
Section 25 (1) (b) BEFORE amended by 2023-10-962, effective March 30, 2023 (Royal Assent).
(b) in the case of a criminal action or proceeding, the director, officer, employee or committee member had reasonable grounds for believing that his or her conduct was lawful.
Part 4, Division 1 heading BEFORE repealed by 2012-18-48, effective June 25, 2012 (BC Reg 179/2012).
Section 26 (2) BEFORE amended by 2003-14-88, effective April 1, 2003.
(2) Without limiting subsection (1), the Lieutenant Governor in Council may make regulations referred to in Part 5 of the Financial Administration Act with the necessary changes so that they apply to the investment management corporation under this Act.
Part 4, Division 2 heading BEFORE repealed by 2012-18-48, effective June 25, 2012 (BC Reg 179/2012).
Section 27 (1), (2) and (3) BEFORE amended by 2003-54-27,Schs A,B, effective April 1, 2004 (BC Reg 11/2004).
(1) All assets and liabilities of the body known as the Superannuation Commission within the Ministry of Finance and Corporate Relations, acting on behalf of the Minister of Finance and Corporate Relations, are transferred at fair market value to the pension corporation.
(2) To the extent the pension funds have paid for assets not reflected in the asset accounts of the body known as the Superannuation Commission within the Ministry of Finance and Corporate Relations, those assets are transferred to the pension corporation at fair market value, with an equivalent transfer of the deemed deferred trust revenue liability.
(3) To the extent that accounts payable and accrued liabilities of the body known as the Superannuation Commission within the Ministry of Finance and Corporate Relations were funded by the pension funds, an equivalent amount of cash must be transferred from the government to the pension corporation.
Section 27 BEFORE repealed by 2012-18-49, effective June 25, 2012 (BC Reg 179/2012).
Transitional — pension corporation
27 (1) All assets and liabilities of the body known as the Superannuation Commission within the Ministry of Finance, acting on behalf of the Minister of Finance, are transferred at fair market value to the pension corporation.
(2) To the extent the pension funds have paid for assets not reflected in the asset accounts of the body known as the Superannuation Commission within the Ministry of Finance, those assets are transferred to the pension corporation at fair market value, with an equivalent transfer of the deemed deferred trust revenue liability.
(3) To the extent that accounts payable and accrued liabilities of the body known as the Superannuation Commission within the Ministry of Finance were funded by the pension funds, an equivalent amount of cash must be transferred from the government to the pension corporation.
(4) All existing agreements and contracts entered into by the superannuation commissioner under the Pension (College) Act and the Pension (Public Service) Act, the commissioner of municipal superannuation under the Pension (Municipal) Act and the commissioner of teachers' pensions under the Pension (Teachers) Act, acting on behalf of the government, are transferred to the pension corporation.
Section 28 (1) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(1) All capital assets and liabilities of the office of the chief investment officer under the Financial Administration Act, acting on behalf of the Minister of Finance and Corporate Relations, are transferred at fair market value to the investment management corporation.
Section 28 (2) (a) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(a) any contract, commercial paper, lease, licence, permit, registration, security or other instrument or document that has been entered into, made or effected through a power of investment by the Minister of Finance and Corporate Relations or the chief investment officer is deemed to have been entered into, made or effected by the chief investment officer in the name of the investment management corporation;
Section 28 (5) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(5) All assets held under or in a portfolio by the Minister of Finance and Corporate Relations or the chief investment officer under the Financial Administration Act immediately before the coming into force of this Part must continue to be held under or in the portfolio, in trust, by the investment management corporation.
Section 28 (3) BEFORE amended by 2007-14-212,Sch, effective December 1, 2007 (BC Reg 354/2007)
(3) Each portfolio established under B.C. Reg. 84/86, the Pooled Investment Portfolios Regulation, is continued under this Act and the regulations.
Section 28 BEFORE repealed by 2012-18-49, effective June 25, 2012 (BC Reg 179/2012).
Transitional — investment management corporation
28 (1) All capital assets and liabilities of the office of the chief investment officer under the Financial Administration Act, acting on behalf of the Minister of Finance, are transferred at fair market value to the investment management corporation.
(2) Despite any other enactment, including the Financial Administration Act, all of the following apply on and after the date this section comes into force:
(a) any contract, commercial paper, lease, licence, permit, registration, security or other instrument or document that has been entered into, made or effected through a power of investment by the Minister of Finance or the chief investment officer is deemed to have been entered into, made or effected by the chief investment officer in the name of the investment management corporation;
(b) an amendment to any contract, commercial paper, lease, licence, permit, registration, security or other instrument or document referred to in paragraph (a) does not constitute a breach or contravention of or default under the contract, commercial paper, lease, licence, permit, registration, security or other instrument or document;
(c) the investment management corporation is exempt from any taxes, fees or other charges imposed by any enactment as a result of any amendment effected under paragraph (b).
(3) Each portfolio established under B.C. Reg. 84/86, the Pooled Investment Portfolios Regulation, is continued under this Act.
(4) Each participating fund allocated units of a portfolio immediately before the coming into force of this Part must continue to be allocated those units of the portfolio with the investment management corporation holding those units as agent for the participating fund.
(5) All assets held under or in a portfolio by the Minister of Finance or the chief investment officer under the Financial Administration Act immediately before the coming into force of this Part must continue to be held under or in the portfolio, in trust, by the investment management corporation.
Section 29 BEFORE repealed by 2012-18-49, effective June 25, 2012 (BC Reg 179/2012).
Transitional — regulations
29 (1) The Lieutenant Governor in Council may make regulations respecting any matters necessary or advisable for more effectively bringing into operation the provisions of Parts 2 and 3 of this Act and for obviating any transitional difficulties encountered.
(2) Unless earlier repealed, a regulation made under this section is repealed one year after it is enacted.
Schedule A, section 1 definition of "plan administrator" BEFORE amended by 2003-62-5(d), effective October 23, 2003 (Royal Assent).
"plan administrator" means the pension corporation;
Schedule A, section 5 (2) (b) (ii) BEFORE amended by 2003-62-7, effective October 23, 2003 (Royal Assent).
(ii) monitoring the performance of the plan administrator and the investment management corporation or other investment manager referred to in section 6 (3);
Schedule A, section 5 (2) (c) BEFORE amended by 2003-62-7, effective October 23, 2003 (Royal Assent).
(c) direct the plan administrator respecting
Schedule A, section 5 (4) (b) and (c) BEFORE amended by 2003-62-7, effective October 23, 2003 (Royal Assent).
(b) the plan administrator keeps an account of all money received and paid out of the pension fund and keeps an accounting of the assets and liabilities of the pension fund,
(c) the plan administrator keeps an individual record of contributions made by each plan member, and
Schedule A, section 7 (1) BEFORE amended by 2003-62-7, effective October 23, 2003 (Royal Assent).
(1) A person or organization directly affected by a decision of the plan administrator in the application of the pension plan rules may, by written notice to the board, appeal all or part of the decision in accordance with the practice and procedure for appeals to the board.
Schedule A, section 14 (a) (i) and (ii) BEFORE amended by 2003-62-7, effective October 23, 2003 (Royal Assent).
(i) the spouse of the plan member if there is a spouse and a valid spousal waiver has not been filed with the plan administrator, or
(ii) the person nominated by the plan member as beneficiary if there is no spouse or a valid spousal waiver has been filed with the plan administrator,
Schedule A, section 16.5 was added by 2003-62-9, effective April 1, 2000 [retro from October 23, 2003 (Royal Assent)].
Schedule A, sections 16.2 to 16.4 were added by 2003-62-9, effective January 1, 2004 (BC Reg 484/2003).
Schedule A, section 5 (2) (h) (iv) BEFORE amended by 2003-54-27,Sch A, effective April 1, 2004 (BC Reg 11/2004).
(iv) providing to the Minister of Finance and Corporate Relations an annual report on the pension plan, including the audited financial statements.
Schedule A, section 7 (7) BEFORE amended by 2007-9-59, effective June 21, 2007 (BC Reg 226/2007).
(7) For the purposes of this section, the board and each of its members, or a panel of the board and each person on the panel, has the powers, protection and privileges of a commissioner under sections 12, 15 and 16 of the Inquiry Act.
Schedule A, section 2 (1) and (4) BEFORE amended by 2007-14-178, effective December 1, 2007 (BC Reg 354/2007).
(1) The plan provided for by and under the Pension (College) Act is continued as the College Pension Plan under this Schedule and the pension plan rules.
(4) Any rights vested in each plan member or beneficiary under the plan provided for by and under the Pension (College) Act continue to apply to the plan member or beneficiary, in the same manner and to the same extent, under the College Pension Plan.
Schedule A, sections 1 and 3 BEFORE amended by 2012-18-50, effective May 31, 2012 (Royal Assent).
Definitions
1 In this Schedule:
"board" means the College Pension Board of Trustees established under section 3;
"investment management corporation" has the same meaning as in section 1 (1) of the Act;
"partners" means the government, the Post Secondary Employers' Association, the College Institute Educators' Association and the British Columbia Government and Service Employees' Union;
"pension corporation" has the same meaning as in section 1 (1) of the Act;
"pension fund" means the College Pension Fund continued under section 9;
"pension plan" means the College Pension Plan continued under section 2 (1);
"pension plan rules" means the regulations made under section 13 (1);
"plan administrative agent" means the pension corporation;
"plan employer partners" means the government and the Post Secondary Employers' Association;
"plan member" has the same meaning as in section 1 (1) of the Act;
"plan member partners" means the College Institute Educators' Association and the British Columbia Government and Service Employees' Union.
College Pension Board of Trustees established
3 (1) There is established a College Pension Board of Trustees comprising at least 10 members as follows:
(a) 4 persons appointed by the government, one of whom is nominated by the Post Secondary Employers' Association;
(b) 3 persons appointed by the College Institute Educators' Association;
(c) one person appointed by the British Columbia Government and Service Employees' Union;
(d) one person who is retired from service and receiving a pension under the pension plan, appointed by the plan member partners;
(e) one person who is a plan member but not a retired plan member nor a member of the College Institute Educators' Association nor a member of the British Columbia Government and Service Employees' Union, appointed by the plan employer partners.
(2) Each member appointed under subsection (1) has one vote.
(3) The members must
(a) designate one of the members appointed under subsection (1) as chair of the board, or
(b) appoint a person, not referred to in subsection (1), as a member of the board and designate that person as chair of the board.
(4) The board must determine whether
(a) the chair designated under subsection (3) (a) is entitled to a second or casting vote, or
(b) the chair designated under subsection (3) (b) has a vote and, if so, whether the chair is entitled to a second or casting vote.
(5) An appointment to the board under subsection (1) or (3) (b) must be made
(a) for a term not exceeding 3 years, and
(b) so that no more than 4 appointments expire in any calendar year.
(6) An appointment under subsection (1) or (3) (b) may be renewed.
(7) Despite subsection (1) or (3) (b), an appointment to the board may be rescinded by the party that made the appointment.
(8) Subject to subsection (9), a quorum of the board consists of 8 members of the board, and all decisions of the board must be made by a majority of at least 80% of the voting members appointed to the board.
(9) The board may, by agreement of a majority of at least 80% of the voting members appointed to the board, change a requirement of subsection (8).
(10) In the absence of a member or members of the board appointed by the government, a government member in attendance at a meeting of the board is permitted to vote on behalf of the absent government member or members.
(11) In the absence of a member or members of the board appointed by the College Institute Educators' Association, a College Institute Educators' Association member in attendance at a meeting of the board is permitted to vote on behalf of the absent College Institute Educators' Association member or members.
(12) The members of the board are the trustees of the pension plan and the pension fund.
(13) Each member of the board must be a permanent resident of Canada.
(14) The board may, from the pension fund, pay
(a) to a member of the board or a person appointed to a committee of the board an allowance for reasonable travel and other expenses necessarily incurred in carrying out the business of the board,
(b) to a member of the board or a person appointed to a committee of the board, if the member or person is not receiving remuneration from any other source for acting as a member or on a committee, remuneration that has been set by the board and is consistent with Treasury Board guidelines, and
(c) to an organization, if the organization is the source of remuneration paid to a member of the board or person appointed to a committee of the board, remuneration for the services of the member or person at the rate set by the board under paragraph (b).
Schedule A, section 1 definitions of "board", "investment management corporation" and "pension plan rules" BEFORE repealed by 2012-18-51(a), effective June 25, 2012 (BC Reg 179/2012).
"board" means the College Pension Board of Trustees established under section 3;
"investment management corporation" has the same meaning as in section 1 (1) of the Act;
"pension plan rules" means the regulations made under section 13 (1);
Schedule A, section 1 definitions of "partners", "pension fund" and "pension plan" BEFORE amended by 2012-18-51(a), effective June 25, 2012 (BC Reg 179/2012).
"partners" means the government, the Post Secondary Employers' Association, the Federation of Post-Secondary Educators of BC and the British Columbia Government and Service Employees' Union;
"pension fund" means the College Pension Fund continued under section 9;
"pension plan" means the College Pension Plan continued under section 2 (1);
Schedule A, section 1 definition of "college board" was added by 2012-18-51(b), effective June 25, 2012 (BC Reg 179/2012).
Schedule A, section 1 definitions of "plan employer partners" and "plan member partners" BEFORE amended by 2012-18-51(b) and (c), effective June 25, 2012 (BC Reg 179/2012).
"plan employer partners" means the government and the Post Secondary Employers' Association;
"plan member partners" means the Federation of Post-Secondary Educators of BC and the British Columbia Government and Service Employees' Union.
Schedule A, part 1 BEFORE repealed by 2012-18-52, effective June 25, 2012 (BC Reg 179/2012).
Part 1 — College Pension Plan
College Pension Plan continued
2 (1) The plan provided for under the Pension (College) Act is continued as the College Pension Plan under this Schedule and the pension plan rules.
(2) An employer to whom the Pension (College) Act applied immediately before the coming into force of this section continues to be an employer, and those eligible employees of that employer continue to be plan members, under the College Pension Plan.
(3) A person who, immediately before the coming into force of this section, was a plan member under the Pension (College) Act continues to be a plan member under the College Pension Plan.
(4) Any rights vested in each plan member or beneficiary under the plan provided for under the Pension (College) Act continue to apply to the plan member or beneficiary, in the same manner and to the same extent, under the College Pension Plan.
(5) The fiscal year end of the pension plan is August 31, or any other date that the board may establish as the fiscal year end for the pension plan.
College Pension Board of Trustees established
3 (1) There is established a College Pension Board of Trustees comprising at least 10 members as follows:
(a) 4 persons appointed by the government, one of whom is nominated by the Post Secondary Employers' Association;
(b) 3 persons appointed by the Federation of Post-Secondary Educators of BC;
(c) one person appointed by the British Columbia Government and Service Employees' Union;
(d) one person who is retired from service and receiving a pension under the pension plan, appointed by the plan member partners;
(e) one person who is a plan member but not a retired plan member nor a member of the Federation of Post-Secondary Educators of BC nor a member of the British Columbia Government and Service Employees' Union, appointed by the plan employer partners.
(2) Each member appointed under subsection (1) has one vote.
(3) The members must
(a) designate one of the members appointed under subsection (1) as chair of the board, or
(b) appoint a person, not referred to in subsection (1), as a member of the board and designate that person as chair of the board.
(4) The board must determine whether
(a) the chair designated under subsection (3) (a) is entitled to a second or casting vote, or
(b) the chair designated under subsection (3) (b) has a vote and, if so, whether the chair is entitled to a second or casting vote.
(5) An appointment to the board under subsection (1) or (3) (b) must be made
(a) for a term not exceeding 3 years, and
(b) so that no more than 4 appointments expire in any calendar year.
(6) An appointment under subsection (1) or (3) (b) may be renewed.
(7) Despite subsection (1) or (3) (b), an appointment to the board may be rescinded by the party that made the appointment.
(8) Subject to subsection (9), a quorum of the board consists of 8 members of the board, and all decisions of the board must be made by a majority of at least 80% of the voting members appointed to the board.
(9) The board may, by agreement of a majority of at least 80% of the voting members appointed to the board, change a requirement of subsection (8).
(10) In the absence of a member or members of the board appointed by the government, a government member in attendance at a meeting of the board is permitted to vote on behalf of the absent government member or members.
(11) In the absence of a member or members of the board appointed by the Federation of Post-Secondary Educators of BC, a Federation of Post-Secondary Educators of BC member in attendance at a meeting of the board is permitted to vote on behalf of the absent Federation of Post-Secondary Educators of BC member or members.
(12) The members of the board are the trustees of the pension plan and the pension fund.
(13) Each member of the board must be a permanent resident of Canada.
(14) The board may, from the pension fund, pay
(a) to a member of the board or a person appointed to a committee of the board an allowance for reasonable travel and other expenses necessarily incurred in carrying out the business of the board,
(b) to a member of the board or a person appointed to a committee of the board, if the member or person is not receiving remuneration from any other source for acting as a member or on a committee, remuneration that has been set by the board and is consistent with Treasury Board guidelines, and
(c) to an organization, if the organization is the source of remuneration paid to a member of the board or person appointed to a committee of the board, remuneration for the services of the member or person at the rate set by the board under paragraph (b).
Legal capacity of the board
4 (1) For the purposes of this Schedule, the board may
(a) retain the services of persons, and
(b) enter into agreements.
(2) The board has the necessary legal capacity to sue and be sued in its own name for the purposes of a matter arising under this Schedule or the pension plan rules.
(3) The board, on behalf of the pension fund, may recover and enforce contributions, deductions and any interest payments that should have been made or are due to the pension fund by action in any court in the name of the board as a debt due to the board and, in that case, the Limitation Act does not apply.
Powers, functions and duties of the board
5 (1) The board is responsible for the administration of the pension plan and the management of the pension fund.
(2) The board must do all of the following:
(a) make rules regarding the conduct of the business of the board, including, but not limited to,
(i) respecting voting by the chair at meetings of the board,
(ii) appointing committees of the board and delegating functions to them,
(iii) allowing non-board members to serve as members of a committee,
(iv) setting the remuneration of eligible board members and persons serving on committees, and
(v) establishing the practice and procedure for appeals to the board;
(b) invest and manage the pension fund to ensure that the obligations of the pension plan are met, including, but not limited to,
(i) establishing the investment policy and the asset mix, and
(ii) monitoring the performance of the plan administrative agent and the investment management corporation or other investment manager referred to in section 6 (3);
(c) direct the plan administrative agent respecting
(i) the application of the pension plan rules,
(ii) the negotiation of agreements on behalf of the board with a person, class of persons or body, including agreements which may differ from the pension plan rules, respecting
(A) portability of pension benefits,
(B) pension-based early retirement incentive programs,
(C) continuation of pension plan membership in the case of employer merger or reorganization,
(D) provision of benefits in addition to those provided for in the pension plan rules,
(E) reporting requirements on behalf of employers under the Income Tax Act (Canada), and
(F) any other agreements the board considers to be advisable, and
(iii) the implementation of any agreements entered into by the board;
(d) approve, in whole or in part and with or without modifications, the annual budget for pension administration and investment activities;
(e) prepare an annual report, including audited financial statements, on the pension plan and pension fund activity;
(f) have an actuarial valuation performed every 3 years, or more frequently if appropriate or necessary;
(g) retain professional, technical and other advisors that it considers necessary and determine the remuneration and reimbursement for expenses to which they are entitled;
(h) provide for the financial administration of the pension plan by
(i) having an accounting system established for the proper reporting and accountability to the board in a timely manner and at a reasonable cost,
(ii) having annual financial statements of the pension plan prepared in accordance with generally accepted accounting principles,
(iii) having a financial reporting audit performed on the financial statements referred to in subparagraph (ii), and
(iv) providing to the Minister of Finance an annual report on the pension plan, including the audited financial statements.
(3) Despite subsection (2) (h) (ii) and (iii), financial statements for a period other than 12 months, but not exceeding 16 months, may be prepared and audited at the time the fiscal year of the pension plan is established in accordance with section 2 (5).
(4) The board must ensure that
(a) the money of the pension fund is invested or loaned in the best financial interests of the plan members and, in doing that, must
(i) exercise the care, diligence and skill that a person of ordinary prudence would exercise when dealing with the property of another person, and
(ii) make the investments and loans in accordance with the provisions of the Pension Benefits Standards Act and other regulatory requirements,
(b) the plan administrative agent keeps an account of all money received and paid out of the pension fund and keeps an accounting of the assets and liabilities of the pension fund,
(c) the plan administrative agent keeps an individual record of contributions made by each plan member, and
(d) the pension plan and pension fund are administered in compliance with the law.
(5) The board may
(a) pass resolutions it considers necessary or advisable to manage and conduct its own affairs and to exercise the board's powers and perform its duties,
(b) establish committees or panels of the board, and may determine the composition, duties, responsibilities, limitations and operating procedures of those committees or panels,
(c) appoint persons other than members of the board to a committee or panel referred to in paragraph (b), and may set the term of appointment to the committee or panel that applies to those persons,
(d) appoint members of the board to the boards of the pension corporation and the investment management corporation, and
(e) rescind an appointment made under paragraph (c) or (d).
Plan administration and investment
6 (1) The board must retain the services of the pension corporation to carry out the board's responsibilities respecting the administration of the pension plan.
(2) The board must place the pension fund with the investment management corporation for funds management services.
(3) Despite subsection (2), the board may place some or all of the pension fund with other investment managers for funds management services if
(a) a period of at least one year has elapsed from the date the first actuarial valuation report was prepared under section 12, and
(b) in the opinion of the board, the alternative funds management services are in the best financial interests of the plan members.
Appeals to the board
7 (1) A person or organization directly affected by a decision of the plan administrative agent in the application of the pension plan rules may, by written notice to the board, appeal all or part of the decision in accordance with the practice and procedure for appeals to the board.
(2) The board must ensure that each appeal is dealt with promptly and efficiently.
(3) The board may establish a panel consisting of one or more persons, as determined by the chair, to consider appeals.
(4) If a panel consists of more than one person, the chair must preside over the panel or designate the person who is to chair the panel.
(5) For an appeal referred to a panel,
(a) the panel has all the jurisdiction and may exercise the powers and perform the duties of the board, and
(b) a decision or order of the panel is a decision or order of the board.
(6) The board or panel must confirm, vary or reverse the decision, order or ruling being appealed.
(7) For the purposes of a hearing under this section, sections 34 (3) and (4), 48, 49 and 56 of the Administrative Tribunals Act apply to the board and a panel of the board.
Indemnification
8 (1) The pension fund may indemnify a person who is a member of the board or a person appointed to a committee or a panel under section 5 (5) (c), or a former member of the board or committee or panel member, against all costs, charges and expenses actually and reasonably incurred by the person, including an amount paid to settle an action or satisfy a judgment in a civil, criminal or administrative action or proceeding to which the person is made a party because of being or having been a board member or committee or panel member, and including an action brought by the board, if
(a) the board member or committee or panel member acted in good faith, and
(b) in the case of a criminal action or proceeding, the board member or committee or panel member had reasonable grounds for believing that his or her conduct was lawful.
(2) The board may purchase and maintain, for the benefit of the board or a board member or committee or panel member referred to in subsection (1), or any of them, insurance against liability incurred by the board or by the board member or committee or panel member.
College Pension Fund continued
9 (1) The College Pension Fund continued under the Pension (College) Act is continued under this Schedule.
(2) The pension fund consists of cash, investments and other assets held by the trustees.
(3) The contributions from the employers and plan members and the net income from investments and other sources must be paid into the pension fund.
(4) Benefits and disbursements payable under this Schedule and the pension plan rules must be paid from the pension fund and, for this purpose, the pension fund must be considered one and indivisible.
(5) The following fees, expenses and disbursements, as are reasonably necessary and approved by the board, must be paid from the pension fund:
(a) the fees, expenses and disbursements of the board incurred in administering the pension plan and managing the pension fund;
(b) the fees, expenses and disbursements of, and amounts requisitioned by, the pension corporation and the investment management corporation, or other investment managers, to operate and administer the pension plan and to manage the pension fund;
(c) any other expenses incurred in the administration of this Schedule and the pension plan rules.
(6) The pension fund is for the sole benefit of the plan members, and the government does not have a claim on the assets of the pension fund other than as expressly provided for in this Schedule.
Appointment of an actuary
10 (1) The board must engage the services of an actuary to prepare all reports and perform all computations required by the board.
(2) Fees of the actuary must be paid from the pension fund.
Appointment of an auditor
11 (1) The board must engage the services of an auditor to perform, at least once in each year, an audit of the financial statements of the pension plan, including the accounts of the board.
(2) Fees of the auditor must be paid from the pension fund.
Actuarial valuation report
12 (1) The board must have the pension plan reviewed and the results of the review set out in the form of an actuarial valuation report for a going concern valuation in accordance with the requirements of the Pension Benefits Standards Act and the regulations under that Act.
(2) If the actuarial valuation report indicates that there is a requirement to increase contribution rates, the increase must be shared equally between the employers and the plan members.
(3) If the actuarial valuation report indicates that an actuarial gain has occurred since the last valuation, the gain must first be applied to offset previous actuarial losses and outstanding unfunded liabilities, if any, and having satisfied that requirement, the board may consider and take action under one or more of the following options:
(a) increase the reserve established for stabilizing contribution rates;
(b) transfer a portion of the gain to an account within the pension fund established to provide for indexing of benefits for retired plan members;
(c) share equally in any reduction or elimination of employer and plan member contributions for a period of time;
(d) make changes to the benefit provisions as set out in section 15 regarding amendments to the plan rules.
(4) Any action taken by the board under subsection (2) or (3) must comply with the Pension Benefits Standards Act funding requirements for a going concern valuation.
Regulations establishing the pension plan rules
13 (1) The College Pension Board of Trustees may make regulations, applicable generally or to a specified person or class of persons, prescribing the pension plan rules, including, without limitation, regulations as follows:
(a) respecting the pension fund, the funding for and payment from different accounts and the establishment of different accounts for different purposes within the pension fund, including
(i) an account for basic pension benefits provided within the Income Tax Act (Canada) maximums for a registered pension plan,
(ii) an account for pension indexing, and
(iii) an account for supplemental benefits not paid from the other accounts;
(b) governing employer and employee eligibility to participate in the pension plan, including any information required to establish the status of employers and the enrollment of particular employees as members, and providing for continuity of service on transfer between different employers, and providing differently for different employee groups;
(c) prescribing employer and plan member contributions to the pension fund, including
(i) prescribing different rates for different circumstances, and the timing and reporting of contributions,
(ii) prescribing what constitutes the salary of a plan member for the purposes of determining contributions,
(iii) imposing restrictions on access to amounts contributed to the pension fund and interest on those amounts, including restrictions on demanding or enforcing payment, and
(iv) prescribing contribution limits;
(d) respecting pensionable service, including
(i) prescribing requirements for calculating annual service accrual for full time and less than full time employment,
(ii) the terms and conditions respecting the recognition of periods of short term and long term disability, and
(iii) restricting recognition of pensionable service on partial payment of arrears;
(e) respecting contributory service, including
(i) prescribing requirements for calculating service accrual for full time and less than full time employment,
(ii) the terms and conditions respecting the recognition of periods of short term and long term disability,
(iii) the terms and conditions respecting the recognition of periods of child rearing, and
(iv) recognition of contributory service on payment or partial payment of arrears;
(f) respecting the purchase of service, including specifying the terms and conditions for the purchase of service, and amounts to be paid and by whom, for periods of
(i) leave of absence,
(ii) service that can be reinstated,
(iii) service during which the plan member was not eligible to make contributions or elected not to make contributions, and
(iv) any other service approved by the board, including service with any employer, whether or not the employer is an employer under this Schedule;
(g) prescribing the earliest retirement age, pensionable age, normal retirement age or latest retirement age applicable to any plan member or group or class of plan members;
(h) respecting benefits, including
(i) the eligibility and entitlement to receive a benefit and the criteria and methods for determining a benefit,
(ii) the calculation of the highest average salary,
(iii) the calculation of the benefit amount on termination of membership, pre-retirement death, disability retirement, early retirement, normal retirement, late retirement, shortened life expectancy and death, and prescribing available options for receiving pension benefits,
(iv) the nature of a benefit, whether pre-retirement, on retirement or post retirement, including spousal benefits, the protection of spousal benefits, the nomination of beneficiaries, a change of beneficiaries or benefit selection, minor beneficiaries, spousal waivers and the nomination of a beneficiary on the breakdown of a marriage or marriage-like relationship,
(v) post retirement group benefits, and the type and level of benefits, entitlement to benefits, terms and conditions of how benefits are provided and funded, and how and by whom they are funded, and
(vi) supplemental benefits, including
(A) benefit calculations and available options for receipt of those benefits with reference to the Income Tax Act (Canada),
(B) the terms and conditions of how those benefits are to be provided, funded and paid, and by whom they are funded, and
(C) the indexing of supplemental benefits;
(i) establishing the terms and conditions for pension indexing, including
(i) the eligibility and entitlement to receive indexing and the criteria and methods for determining indexing, and
(ii) determining the highest average salary for long term disability, deferred pensions and pensions for members with less than full time employment;
(j) respecting the manner of making an application for, and the granting or continuation of, benefits, supplemental benefits and disability benefits, including the information required and the form of proof required for that information;
(k) respecting applications for monthly pension benefits, including
(i) requirements for filing applications,
(ii) the effective date for monthly pension benefits on late filing of applications, and
(iii) exceptions for persons incapable of managing their affairs or other sufficient reason;
(l) respecting the requirements for filing written agreements and court orders made under Parts 5 and 6 of the Family Relations Act, or similar orders of a court outside British Columbia that are enforceable in British Columbia and, in case of late filing, whether or not adjustments are required;
(m) respecting the methodology and assumptions for any calculations required to administer the pension plan;
(n) establishing general administrative requirements and imposing administrative obligations on employers;
(o) prescribing administrative penalties or the payment of interest by employers, plan members or the pension plan in the case of delay or noncompliance;
(p) exempting a person or class of persons, or allowing the board to exempt a person or class of persons, with or without conditions, from any provision of the pension plan or pension plan rules;
(q) defining any word or expression used in this Schedule or in the regulations;
(r) providing for any matter necessary or advisable to carry out effectively the intent and purposes of this Schedule.
(2) In making a regulation under this Schedule, the College Pension Board of Trustees may delegate a matter to a person or the board and confer a discretionary power on a person or the board.
(3) The College Pension Board of Trustees may amend, repeal or replace the pension plan rules made under subsection (1).
(4) Regulations made under this Schedule may be made retroactive to no earlier than April 1, 2000, and a regulation made retroactive is deemed to have come into force on the date specified in the regulation.
Application of pension plan rules
14 The following conditions apply to, and are deemed to be included in, the pension plan rules:
(a) if, on the death of a plan member, a benefit becomes payable to
(i) the spouse of the plan member if there is a spouse and a valid spousal waiver has not been filed with the plan administrative agent, or
(ii) the person nominated by the plan member as beneficiary if there is no spouse or a valid spousal waiver has been filed with the plan administrative agent,
the amount
(iii) is not subject to the control of the creditors of the deceased plan member, and
(iv) does not form part of the estate of the plan member;
(b) if, on the death of a plan member, a benefit becomes payable to his or her estate or to the personal representative of the deceased plan member, the benefit forms part of the estate of the plan member and is subject to the control of the creditors;
(c) if, on the death of a plan member, a benefit becomes payable to a minor, the benefit must be paid to the Public Guardian and Trustee, in trust for the minor, for payment to the minor on reaching the age of 19 years;
(d) a pension or refund of any amount to the credit of any plan member in the pension fund may not be assigned, charged, attached, anticipated or given as security, and any instructions purporting to assign, charge, attach, anticipate or give as security a pension or refund are void;
(e) nothing in the pension plan impairs or affects the rights of an employer to remove or dismiss a person from service.
Amendment of pension plan rules
15 (1) The board must amend the pension plan rules to the extent necessary to keep the rules in compliance with the Family Relations Act, the Income Tax Act (Canada), the Pension Benefits Standards Act and any other enactment applicable to the pension plan, the pension fund and the benefits payable under the pension plan.
(2) The partners may direct the board to amend the pension plan rules and the board must amend the rules if
(a) the partners have first received and considered the advice of the board respecting both the cost and the administrative impact of implementing the proposed amendment, and
(b) the proposed amendment is not inconsistent with subsection (1) or the trustees' fiduciary responsibilities.
(3) The board may make recommendations to the partners respecting amendments to the pension plan rules that the board considers to be in the best interests of the plan members and, with the approval of the partners respecting those recommendations, the board may amend the pension plan rules.
(4) Despite subsection (3), the board may amend the pension plan rules if
(a) there is no resulting increase in the contribution rates for providing the non indexed basic benefits,
(b) there is no resulting increase in the contribution rates for providing for the indexing of benefits,
(c) there is no creation of, or increase in, an unfunded liability, and
(d) the proposed amendment is consistent with the trustees' fiduciary responsibilities.
(5) For the purposes of subsection (4), when considering an amendment to the pension plan rules respecting a benefit improvement, the board must use a 25 year period for the amortization of a pension plan surplus.
Schedule A, part 2 heading BEFORE amended by 2012-18-54, effective June 25, 2012 (BC Reg 179/2012).
Part 2 — Transitional
Schedule A, section 20 BEFORE amended by 2012-18-56, effective June 25, 2012 (BC Reg 179/2012).
Transitional — regulations
20 The College Pension Board of Trustees may make regulations that are necessary or advisable for meeting or removing any difficulty arising out of the transition from the Pension (College) Act repealed by this Act, and for preserving and giving effect to the rights of all persons accrued or accruing under the Pension (College) Act except as those rights are expressly varied by this Schedule, and the regulations may be made to apply generally or to a particular case.
Schedule A, section 16.5 BEFORE amended by 2012-30-168, effective September 30, 2015 (BC Reg 71/2015).
Schedule B, Part 1 BEFORE repealed by 1999-44-120, effective April 5, 2001 (BC Reg 97/2001).
Part 1 — Municipal Pension Plan
Municipal Pension Plan continued
2 (1) The plan provided for by and under the Pension (Municipal) Act is continued as the Municipal Pension Plan under this Schedule and the pension plan rules.
(2) An employer to whom the Pension (Municipal) Act applied immediately before the coming into force of this section, continues to be an employer, and those eligible employees of that employer continue to be plan members, under the Municipal Pension Plan.
(3) A person who, immediately before the coming into force of this section, was a plan member under the Pension (Municipal) Act continues to be a plan member under the Municipal Pension Plan.
(4) Any rights vested in each plan member or beneficiary under the plan provided for by and under the Pension (Municipal) Act continue to apply to the plan member or beneficiary, in the same manner and to the same extent, under the Municipal Pension Plan.
(5) The fiscal year end of the pension plan is December 31, or any other date that the board may establish as the fiscal year end for the pension plan.
Municipal Pension Board established
3 (1) There is established a Municipal Pension Board comprising 13 members appointed by the Lieutenant Governor in Council as follows:
(a) 4 persons nominated by the government and 2 persons nominated by the Union of British Columbia Municipalities, to be known as the plan sponsor representatives;
(b) 6 persons nominated by the Municipal Employees' Pension Committee, to be known as the plan member representatives;
(c) one person nominated by the government and designated in the appointment as chair of the board.
(2) A party that makes a nomination under subsection (1) may nominate an alternate person and, if the member appointed under subsection (1) is unable to act, that alternate person, upon appointment by the Lieutenant Governor in Council, is authorized to act in the first appointee's place.
(3) Each member appointed under subsection (1) (a) and (b) or (2) has one vote.
(4) An appointment to the board may be made for a term not exceeding 2 years, and the appointment may be renewed or extended.
(5) An appointment to the board may, on the recommendation of the party that nominated the member, be rescinded by the Lieutenant Governor in Council.
(6) The chair of the board is the trustee of the pension fund.
(7) The board must determine whether the chair has a vote and, if so, whether the chair is entitled to a second or casting vote.
(8) Subject to subsections (9) and (10), a quorum of the board is a majority of the members of the board.
(9) A quorum requires
(a) one representative of the government,
(b) one representative of the Union of British Columbia Municipalities, and
(c) 2 representatives of the Municipal Employees' Pension Committee.
(10) The board may, by unanimous agreement of all of the members of the board, change a requirement of subsection (8) or (9).
(11) Each member of the board must be a permanent resident of Canada.
(12) The board may, from the pension fund, pay
(a) to a member of the board or a person appointed to a committee of the board an allowance for reasonable travel and other expenses necessarily incurred in carrying out the business of the board,
(b) to a member of the board or a person appointed to a committee of the board, if the member or person is not receiving remuneration from any other source for acting as a member or on a committee, remuneration that has been set by the board and is consistent with Treasury Board guidelines, and
(c) to an organization, if the organization is the source of remuneration paid to a member of the board or person appointed to a committee of the board, remuneration for the services of the member or person at the rate set by the board under paragraph (b).
Legal capacity of the board
4 (1) For the purposes of this Schedule, the board may
(a) retain the services of persons, and
(b) enter into agreements.
(2) The board has the necessary legal capacity to sue and be sued in its own name for the purposes of a matter arising under this Schedule or the pension plan rules.
(3) The board, on behalf of the pension fund, may recover and enforce contributions, deductions and any interest payments that should have been made or are due to the pension fund by action in any court in the name of the board as a debt due to the board and, in that case, the Limitation Act does not apply.
Powers, functions and duties of the board
5 (1) The board is responsible for the administration of the pension plan.
(2) The board must do all of the following:
(a) subject to Treasury Board approval respecting any of the matters described in subsection (3) (b), make recommendations to the Lieutenant Governor in Council respecting the pension plan rules, or any amendments to the pension plan rules, made under section 16;
(b) submit to Treasury Board and to the minister an annual report on the operation of the board, the pension plan and the pension fund;
(c) review reports on the investment of the pension fund;
(d) direct the plan administrator respecting
(i) the application of the pension plan rules,
(ii) the negotiation of agreements on behalf of the board with a person, class of persons or body, including agreements which may differ from the pension plan rules, respecting
(A) portability of pension benefits,
(B) pension-based early retirement incentive programs,
(C) continuation of pension plan membership in the case of employer merger or reorganization,
(D) provision of benefits in addition to those provided for in the pension plan rules,
(E) reporting requirements on behalf of employers under the Income Tax Act (Canada), and
(F) any other agreements the board considers to be advisable, and
(iii) the implementation of any agreements entered into by the board;
(e) establish the practice and procedure for appeals to the board;
(f) approve, in whole or in part and with or without modifications, the annual budget for pension administration and investment activities;
(g) carry out other prescribed duties and responsibilities.
(3) The board may do any of the following:
(a) make recommendations to the minister respecting amendments to this Schedule and, before enactment, review any amendments to this Schedule;
(b) make recommendations to Treasury Board respecting
(i) changes in benefits,
(ii) funding policies for the pension plan,
(iii) contribution rates, and
(iv) modifications to the pension plan;
(c) make recommendations to the Minister of Finance and Corporate Relations and the trustee respecting the investment of the pension fund;
(d) report to plan members on issues related to the pension plan;
(e) establish rules, procedures and methods for board operations.
(4) The board may
(a) pass resolutions it considers necessary or advisable to manage and conduct its own affairs and to exercise the board's powers and perform its duties,
(b) establish committees or panels of the board, and may determine the composition, duties, responsibilities, limitations and operating procedures of those committees or panels,
(c) appoint persons other than members of the board to a committee or panel referred to in paragraph (b), and may set the term of appointment to the committee or panel that applies to those persons,
(d) nominate members of the board to the boards of the pension corporation and the investment management corporation, and
(e) rescind an appointment made under paragraph (c).
Plan administration and investment
6 (1) The board must retain the services of the pension corporation to carry out the board's responsibilities respecting the administration of the pension plan.
(2) Subject to section 12 (2), the trustee may retain the services of the investment management corporation to carry out the trustee's responsibilities respecting the investment of the assets of the pension fund.
(3) The trustee must ensure that the plan administrator keeps
(a) an account of all money received and paid out of the pension fund,
(b) an account of the assets and liabilities of the pension fund, and
(c) an individual record of contributions made by each plan member.
Appeals to the board
7 (1) A person or organization directly affected by a decision of the plan administrator in the application of the pension plan rules may, by written notice to the board, appeal all or part of the decision in accordance with the practice and procedure for appeals to the board.
(2) The board must ensure that each appeal is dealt with promptly and efficiently.
(3) The board may establish a panel consisting of one or more persons, as determined by the chair, to consider appeals.
(4) If a panel consists of more than one person, the chair must preside over the panel or designate the person who is to chair the panel.
(5) For an appeal referred to a panel,
(a) the panel has all the jurisdiction and may exercise the powers and perform the duties of the board, and
(b) a decision or order of the panel is a decision or order of the board.
(6) The board or panel must confirm, vary or reverse the decision, order or ruling being appealed.
(7) For the purposes of this section, the board and each of its members, or a panel of the board and each person on the panel, has the powers, protection and privileges of a commissioner under sections 12, 15 and 16 of the Inquiry Act.
Indemnification
8 (1) The pension fund may indemnify a person who is a member of the board or a person appointed to a committee or a panel under section 5 (4) (c), or a former member of the board or committee or panel member, against all costs, charges and expenses actually and reasonably incurred by the person, including an amount paid to settle an action or satisfy a judgment in a civil, criminal or administrative action or proceeding to which the person is made a party because of being or having been a board member or committee or panel member, and including an action brought by the board, if
(a) the board member or committee or panel member acted in good faith, and
(b) in the case of a criminal action or proceeding, the board member or committee or panel member had reasonable grounds for believing that his or her conduct was lawful.
(2) The board may purchase and maintain, for the benefit of the board or a board member or committee or panel member referred to in subsection (1), or any of them, insurance against liability incurred by the board or by the board member or committee or panel member.
Municipal Pension Fund continued
9 (1) The Municipal Pension Fund continued under the Pension (Municipal) Act is continued under this Schedule.
(2) The pension fund consists of the cash, investments and other assets held by the trustee.
(3) The contributions from the employers and plan members and the net income from investments and other sources must be paid into the pension fund.
(4) Benefits and disbursements payable under this Schedule and the pension plan rules must be paid from the pension fund and, for this purpose, the pension fund must be considered one and indivisible.
(5) The following fees, expenses and disbursements, as are reasonably necessary and approved by the board, must be paid from the pension fund:
(a) the fees, expenses and disbursements of the board incurred in administering the pension plan;
(b) the fees, expenses and disbursements of the trustee with respect to the pension fund;
(c) the fees, expenses and disbursements of, and amounts requisitioned by, the pension corporation and the investment management corporation, or other investment managers, to operate and administer the pension plan and to manage the pension fund;
(d) any other expenses incurred in the administration of this Schedule and the pension plan rules.
Financial administration
10 The trustee must provide for the financial administration of the pension plan by
(a) establishing an accounting system which ensures that there is proper reporting and accountability to the board in a timely manner and at a reasonable cost,
(b) having annual financial statements of the pension plan prepared in accordance with generally accepted accounting principles,
(c) having an audit performed on the financial statements referred to in paragraph (b), and
(d) providing to the Minister of Finance and Corporate Relations an annual report on the pension plan, including the audited financial statements.
Investments and records
11 (1) The plan administrator must advise the trustee of the sums of money available for investment.
(2) The trustee must keep accounts and records in a form specified by the Minister of Finance and Corporate Relations.
Investment by trustee
12 (1) The trustee must cause all money available for investment to be invested in accordance with subsection (2).
(2) The trustee may
(a) subject to the prior approval in writing of the Minister of Finance and Corporate Relations,
(i) invest the money in investments permitted for a pension plan registered in compliance with the Pension Benefits Standards Act,
(ii) exchange an investment made under subparagraph (i) for another investment permitted under that subparagraph, and
(iii) realize an investment held under this paragraph, or
(b) place the money with the investment management corporation for funds management services.
Appointment of an actuary
13 (1) The board must engage the services of an actuary for the purposes of this Schedule and the pension plan rules.
(2) The actuary must
(a) make all actuarial reports and computations required by the board,
(b) make actuarial valuations of assets and liabilities under this Schedule and the pension plan rules when requested by the board, and
(c) report to the board the results of each actuarial valuation.
(3) Despite subsection (2) (b), actuarial valuations must be made at least once in each 3 year period.
(4) An amount paid to the actuary for his or her services is an expense incurred in the administration of this Schedule and the pension plan rules.
Appointment of an auditor
14 (1) At least once in each year the financial statements of the pension plan, including the accounts of the board and the trustee, must be audited by the Auditor General or by an auditor appointed by the Lieutenant Governor in Council for that purpose.
(2) The salary or remuneration of an auditor appointed by the Lieutenant Governor in Council must be paid by the government.
Surplus or unfunded liability
15 (1) If an actuarial valuation, completed by an actuary in accordance with the requirements of section 13, discloses that
(a) there has been an increase in the unfunded actuarial liability for the pension plan when measured on a statutory basis as a percentage of payroll, and
(b) the increase has occurred since the immediately preceding actuarial valuation,
then additional employer contributions determined by the actuary as sufficient to
(c) meet the normal costs of the pension plan,
(d) hold the unfunded actuarial liability constant as a percentage of payroll, and
(e) amortize the identified increase in the unfunded actuarial liability over a period not exceeding 15 years
must be paid to the pension fund in a manner prescribed by the Lieutenant Governor in Council.
(2) If an actuarial valuation, completed by an actuary in accordance with the requirements of section 13, discloses that
(a) a surplus has been created or an existing surplus has been increased, and
(b) the surplus or the increase has occurred since the immediately preceding actuarial valuation,
then employer contributions may be reduced by the amount determined by the actuary as sufficient to amortize the identified surplus or increase over a period of at least 15 years.
Regulations establishing the pension plan rules
16 (1) The Lieutenant Governor in Council may, on the recommendation of the board, make regulations, applicable generally or to a specified person or class of persons, prescribing the pension plan rules, including, without limitation, regulations as follows:
(a) respecting the pension fund, the funding for and payment from different accounts and the establishment of different accounts for different purposes within the pension fund, including
(i) an account for basic pension benefits provided within the Income Tax Act (Canada) maximums for a registered pension plan,
(ii) an account for pension indexing,
(iii) an account for supplemental benefits not paid from the other accounts, and
(iv) an account for retirement annuities;
(b) governing employer and employee eligibility to participate in the pension plan, including any information required to establish the status of employers and the enrollment of particular employees as members, and providing for continuity of service on transfer between different employers, and providing differently for different employee groups;
(c) prescribing employer and plan member contributions to the pension fund, including
(i) prescribing different rates for different circumstances, and the timing and reporting of contributions,
(ii) prescribing what constitutes the salary of a plan member for the purposes of determining contributions,
(iii) imposing restrictions on access to amounts contributed to the pension fund and interest on those amounts, including restrictions on demanding or enforcing payment, and
(iv) prescribing contribution limits;
(d) respecting pensionable service, including
(i) prescribing requirements for calculating annual service accrual for full time and less than full time employment,
(ii) the terms and conditions respecting the recognition of periods of short term and long term disability, and
(iii) restricting recognition of pensionable service on partial payment of arrears;
(e) respecting contributory service, including
(i) prescribing requirements for calculating service accrual for full time and less than full time employment,
(ii) the terms and conditions respecting the recognition of periods of short term and long term disability,
(iii) the terms and conditions respecting the recognition of periods of child rearing, and
(iv) recognition of contributory service on payment or partial payment of arrears;
(f) respecting the purchase of service, including specifying the terms and conditions for the purchase of service, and amounts to be paid and by whom, for periods of
(i) leave of absence,
(ii) service that can be reinstated,
(iii) service during which the plan member was not eligible to make contributions or elected not to make contributions, and
(iv) any other service approved by the board, including service with any employer, whether or not the employer is an employer under this Schedule;
(g) prescribing the earliest retirement age, pensionable age, normal retirement age or latest retirement age applicable to any plan member or group or class of plan members;
(h) respecting benefits, including
(i) the eligibility and entitlement to receive a benefit and the criteria and methods for determining a benefit,
(ii) the calculation of the highest average salary,
(iii) the calculation of the benefit amount on termination of membership, pre-retirement death, disability retirement, early retirement, normal retirement, late retirement, shortened life expectancy and death, and prescribing available options for receiving pension benefits,
(iv) the nature of a benefit, whether pre-retirement, on retirement or post retirement, including spousal benefits, the protection of spousal benefits, the nomination of beneficiaries, a change of beneficiaries or benefit selection, minor beneficiaries, spousal waivers and the nomination of a beneficiary on the breakdown of a marriage or marriage-like relationship,
(v) post retirement group benefits, and the type and level of benefits, entitlement to benefits, terms and conditions of how benefits are provided and funded, and how and by whom they are funded, and
(vi) supplemental benefits, including
(A) benefit calculations and available options for receipt of those benefits with reference to the Income Tax Act (Canada),
(B) the terms and conditions of how those benefits are to be provided, funded and paid, and by whom they are funded, and
(C) the indexing of supplemental benefits;
(i) establishing the terms and conditions for pension indexing, including
(i) the eligibility and entitlement to receive indexing and the criteria and methods for determining indexing, and
(ii) determining the highest average salary for long term disability, deferred pensions and pensions for members with less than full time employment;
(j) respecting the manner of making an application for, and the granting or continuation of, benefits, supplemental benefits and disability benefits, including the information required and the form of proof required for that information;
(k) respecting applications for monthly pension benefits, including
(i) requirements for filing applications,
(ii) the effective date for monthly pension benefits on late filing of applications, and
(iii) exceptions for persons incapable of managing their affairs or other sufficient reason;
(l) respecting the requirements for filing written agreements and court orders made under Parts 5 and 6 of the Family Relations Act, or similar orders of a court outside British Columbia that are enforceable in British Columbia and, in case of late filing, whether or not adjustments are required;
(m) respecting the methodology and assumptions for any calculations required to administer the pension plan;
(n) establishing general administrative requirements and imposing administrative obligations on employers;
(o) prescribing administrative penalties or the payment of interest by employers, plan members or the pension plan in the case of delay or noncompliance;
(p) exempting a person or class of persons, or allowing the board to exempt a person or class of persons, with or without conditions, from any provision of the pension plan or pension plan rules;
(q) defining any word or expression used in this Schedule or in the regulations;
(r) providing for any matter necessary or advisable to carry out effectively the intent and purposes of this Schedule.
(2) In making a regulation under this Schedule, the Lieutenant Governor in Council may delegate a matter to a person or the board and confer a discretionary power on a person or the board.
(3) The Lieutenant Governor in Council may, on the recommendation of the board, amend, repeal or replace the pension plan rules made under subsection (1).
Application of pension plan rules
17 The following conditions apply to, and are deemed to be included in, the pension plan rules:
(a) if, on the death of a plan member, a benefit becomes payable to
(i) the spouse of the plan member if there is a spouse and a valid spousal waiver has not been filed with the plan administrator, or
(ii) the person nominated by the plan member as beneficiary if there is no spouse or a valid spousal waiver has been filed with the plan administrator,
the amount
(iii) is not subject to the control of the creditors of the deceased plan member, and
(iv) does not form part of the estate of the plan member;
(b) if, on the death of a plan member, a benefit becomes payable to his or her estate or to the personal representative of the deceased plan member, the benefit forms part of the estate of the plan member and is subject to the control of the creditors;
(c) if, on the death of a plan member, a benefit becomes payable to a minor, the benefit must be paid to the Public Guardian and Trustee, in trust for the minor, for payment to the minor on reaching the age of 19 years;
(d) a pension or refund of any amount to the credit of any plan member in the pension fund may not be assigned, charged, attached, anticipated or given as security, and any instructions purporting to assign, charge, attach, anticipate or give as security a pension or refund are void;
(e) nothing in the pension plan impairs or affects the rights of an employer to remove or dismiss a person from service.
Schedule B, section 1 definitions of "investment management corporation" and "pension plan rules" BEFORE repealed by 2003-62-12(a), effective October 23, 2003 (Royal Assent).
"investment management corporation" has the same meaning as in section 1 (1) of the Act;
"pension plan rules" means the regulations made under section 16 (1);
Schedule B, section 1 definition of "plan administrator" BEFORE repealed by 2003-62-12(b), effective October 23, 2003 (Royal Assent).
"plan administrator" means the pension corporation;
Schedule B, section 1 definition of "board" BEFORE amended by 2003-62-13(a), effective October 23, 2003 (Royal Assent).
"board" means the Municipal Pension Board established under section 3;
Schedule B, section 1 definitions of "pension fund" and "pension plan" BEFORE amended by 2003-62-13(b), effective October 23, 2003 (Royal Assent).
"pension fund" means the Municipal Pension Fund continued under section 9;
"pension plan" means the Municipal Pension Plan continued under section 2 (1);
Schedule B, section 18 (2) (a) BEFORE amended by 2003-62-14, effective October 23, 2003 (Royal Assent).
(a) the continuation of the pension plan and pension fund for the benefit of plan members;
Schedule B, section 18 (5) (b) and (c) BEFORE amended by 2003-62-16, effective October 23, 2003 (Royal Assent).
(b) the plan administrator keeps an account of all money received and paid out of the pension fund and keeps an accounting of the assets and liabilities of the pension fund, and
(c) the plan administrator keeps an individual record of contributions made by each plan member.
Schedule B, section 18.4 was added by 2003-62-17, effective April 1, 2000 [retro from October 23, 2003 (Royal Assent)].
Schedule B, section 20 BEFORE amended by 2003-62-18, effective October 23, 2003 (Royal Assent).
20 This Schedule continues to apply to all agreements made under the Pension (Municipal) Act that were in effect on the date of the repeal of that Act, as if those agreements had been made by the board under the authority of this Schedule.
Schedule B, section 21 BEFORE amended by 2003-62-18, effective October 23, 2003 (Royal Assent).
21 The Lieutenant Governor in Council may, on the recommendation of the board, make regulations that are necessary or advisable for meeting or removing any difficulty arising out of the transition from the Pension (Municipal) Act repealed by this Act, and for preserving and giving effect to the rights of all persons accrued or accruing under the Pension (Municipal) Act except as those rights are expressly varied by this Schedule, and the regulations may be made to apply generally or to a particular case.
Schedule B, section 18 (4) (f) BEFORE repealed by 2003-62-15, effective January 1, 2004 (BC Reg 484/2003).
(f) post retirement group benefits;
Schedule B, sections 18.1 to 18.3 were added by 2003-62-17, effective January 1, 2004 (BC Reg 484/2003).
Schedule B, section 1 definition of "plan employer partner" BEFORE amended by 2012-18-57(a), effective June 25, 2012 (BC Reg 179/2012).
"plan employer partner" means the government of British Columbia, the municipal governments, including regional districts, as represented by the Union of British Columbia Municipalities, and health sector employers as represented by the Health Employers Association of British Columbia;
Schedule B, section 1 definition of "plan member partner", paragraph (e) BEFORE amended by 2012-18-57(b), effective June 25, 2012 (BC Reg 179/2012).
(e) the British Columbia Federation of Police Officers,
Schedule B, section 1 definition of "HEABC" was added by 2012-18-57(c), effective June 25, 2012 (BC Reg 179/2012).
Schedule B, section 18 (4) (k) BEFORE amended by 2012-18-65, effective June 25, 2012 (BC Reg 179/2012).
(k) any matter necessary or advisable to establish the pension plan rules, including those matters described in section 16 (1).
Schedule B, part 3 heading BEFORE amended by 2012-18-58, effective June 25, 2012 (BC Reg 179/2012).
Part 3 — Transitional
Schedule B, section 21 BEFORE amended by 2012-18-59, effective June 25, 2012 (BC Reg 179/2012).
Transitional — regulations
21 The Lieutenant Governor in Council may, on the recommendation of the municipal board, make regulations that are necessary or advisable for meeting or removing any difficulty arising out of the transition from the Pension (Municipal) Act repealed by this Act, and for preserving and giving effect to the rights of all persons accrued or accruing under the Pension (Municipal) Act except as those rights are expressly varied by this Schedule, and the regulations may be made to apply generally or to a particular case.
Schedule B, section 18.4 BEFORE amended by 2012-30-168, effective September 30, 2015 (BC Reg 71/2015).
Schedule C, Part 1 BEFORE repealed by 1999-44-121, effective January 1, 2001 (BC Reg 421/2000).
Part 1 — Public Service Pension Plan
Public Service Pension Plan continued
2 (1) The plan provided for by and under the Pension (Public Service) Act is continued as the Public Service Pension Plan under this Schedule and the pension plan rules.
(2) An employer to whom the Pension (Public Service) Act applied immediately before the coming into force of this section, continues to be an employer, and those eligible employees of that employer continue to be plan members, under the Public Service Pension Plan.
(3) A person who, immediately before the coming into force of this section, was a plan member under the Pension (Public Service) Act continues to be a plan member under the Public Service Pension Plan.
(4) Any rights vested in each plan member or beneficiary under the plan provided for by and under the Pension (Public Service) Act continue to apply to the plan member or beneficiary, in the same manner and to the same extent, under the Public Service Pension Plan.
(5) The fiscal year end of the pension plan is March 31, or any other date that the board may establish as the fiscal year end for the pension plan.
Public Service Pension Advisory Board established
3 (1) There is established a Public Service Pension Advisory Board comprising 9 members appointed by the Lieutenant Governor in Council as follows:
(a) 4 persons nominated by the government, to be known as the plan sponsor representatives;
(b) 4 persons nominated as follows, to be known as the plan member representatives:
(i) one person nominated by the British Columbia Government and Service Employees' Union;
(ii) one person nominated by the Professional Employees Association;
(iii) one person nominated by the Union of Psychiatric Nurses;
(iv) one person nominated by the British Columbia Government Retired Employees' Association;
(c) one person nominated by the government and designated in the appointment as chair of the board.
(2) A party that makes a nomination under subsection (1) may nominate an alternate person and, if the member appointed under subsection (1) is unable to act, that alternate person, upon appointment by the Lieutenant Governor in Council, is authorized to act in the first appointee's place.
(3) Each member appointed under subsection (1) (a) and (b) or (2) has one vote.
(4) An appointment to the board may be made for a term not exceeding 2 years, and the appointment may be renewed or extended.
(5) An appointment to the board may, on the recommendation of the party that nominated the member, be rescinded by the Lieutenant Governor in Council.
(6) The chair of the board is the trustee of the pension fund.
(7) The board must determine whether the chair has a vote and, if so, whether the chair is entitled to a second or casting vote.
(8) Subject to subsections (9) and (10), a quorum of the board is a majority of the members of the board.
(9) A quorum requires
(a) one representative of the government,
(b) one representative of the British Columbia Government and Service Employees' Union, and
(c) one representative of the other plan member representatives.
(10) The board may, by unanimous agreement of all of the members of the board, change a requirement of subsection (8) or (9).
(11) Each member of the board must be a permanent resident of Canada.
(12) The board may, from the pension fund, pay
(a) to a member of the board or a person appointed to a committee of the board an allowance for reasonable travel and other expenses necessarily incurred in carrying out the business of the board,
(b) to a member of the board or a person appointed to a committee of the board, if the member or person is not receiving remuneration from any other source for acting as a member or on a committee, remuneration that has been set by the board and is consistent with Treasury Board guidelines, and
(c) to an organization, if the organization is the source of remuneration paid to a member of the board or person appointed to a committee of the board, remuneration for the services of the member or person at the rate set by the board under paragraph (b).
Legal capacity of the board
4 (1) For the purposes of this Schedule, the board may
(a) retain the services of persons, and
(b) enter into agreements.
(2) The board has the necessary legal capacity to sue and be sued in its own name for the purposes of a matter arising under this Schedule or the pension plan rules.
(3) The board, on behalf of the pension fund, may recover and enforce contributions, deductions and any interest payments that should have been made or are due to the pension fund by action in any court in the name of the board as a debt due to the board and, in that case, the Limitation Act does not apply.
Powers, functions and duties of the board
5 (1) The board is responsible for the administration of the pension plan.
(2) The board must do all of the following:
(a) subject to Treasury Board approval respecting any of the matters described in subsection (3) (b), make recommendations to the Lieutenant Governor in Council respecting the pension plan rules, or any amendments to the pension plan rules, made under section 16;
(b) submit to Treasury Board and to the minister an annual report on the operation of the board, the pension plan and the pension fund;
(c) review reports on the investment of the pension fund;
(d) direct the plan administrator respecting
(i) the application of the pension plan rules,
(ii) the negotiation of agreements on behalf of the board with a person, class of persons or body, including agreements which may differ from the pension plan rules, respecting
(A) portability of pension benefits,
(B) pension-based early retirement incentive programs,
(C) continuation of pension plan membership in the case of employer merger or reorganization,
(D) provision of benefits in addition to those provided for in the pension plan rules,
(E) reporting requirements on behalf of employers under the Income Tax Act (Canada), and
(F) any other agreements the board considers to be advisable, and
(iii) the implementation of any agreements entered into by the board;
(e) establish the practice and procedure for appeals to the board;
(f) approve, in whole or in part and with or without modifications, the annual budget for pension administration and investment activities;
(g) carry out other prescribed duties and responsibilities.
(3) The board may do any of the following:
(a) make recommendations to the minister respecting amendments to this Schedule and, before enactment, review any amendments to this Schedule;
(b) make recommendations to Treasury Board respecting
(i) changes in benefits,
(ii) funding policies for the pension plan,
(iii) contribution rates, and
(iv) modifications to the pension plan;
(c) make recommendations to the Minister of Finance and Corporate Relations and the trustee respecting the investment of the pension fund;
(d) report to plan members on issues related to the pension plan;
(e) establish rules, procedures and methods for board operations.
(4) The board may
(a) pass resolutions it considers necessary or advisable to manage and conduct its own affairs and to exercise the board's powers and perform its duties,
(b) establish committees or panels of the board, and may determine the composition, duties, responsibilities, limitations and operating procedures of those committees or panels,
(c) appoint persons other than members of the board to a committee or panel referred to in paragraph (b), and may set the term of appointment to the committee or panel that applies to those persons,
(d) nominate members of the board to the boards of the pension corporation and the investment management corporation, and
(e) rescind an appointment made under paragraph (c).
Plan administration and investment
6 (1) The board must retain the services of the pension corporation to carry out the board's responsibilities respecting the administration of the pension plan.
(2) Subject to section 12 (2), the trustee may retain the services of the investment management corporation to carry out the trustee's responsibilities respecting the investment of the assets of the pension fund.
(3) The trustee must ensure that the plan administrator keeps
(a) an account of all money received and paid out of the pension fund,
(b) an account of the assets and liabilities of the pension fund, and
(c) an individual record of contributions made by each plan member.
Appeals to the board
7 (1) A person or organization directly affected by a decision of the plan administrator in the application of the pension plan rules may, by written notice to the board, appeal all or part of the decision in accordance with the practice and procedure for appeals to the board.
(2) The board must ensure that each appeal is dealt with promptly and efficiently.
(3) The board may establish a panel consisting of one or more persons, as determined by the chair, to consider appeals.
(4) If a panel consists of more than one person, the chair must preside over the panel or designate the person who is to chair the panel.
(5) For an appeal referred to a panel,
(a) the panel has all the jurisdiction and may exercise the powers and perform the duties of the board, and
(b) a decision or order of the panel is a decision or order of the board.
(6) The board or panel must confirm, vary or reverse the decision, order or ruling being appealed.
(7) For the purposes of this section, the board and each of its members, or a panel of the board and each person on the panel, has the powers, protection and privileges of a commissioner under sections 12, 15 and 16 of the Inquiry Act.
Indemnification
8 (1) The pension fund may indemnify a person who is a member of the board or a person appointed to a committee or a panel under section 5 (4) (c), or a former member of the board or committee or panel member, against all costs, charges and expenses actually and reasonably incurred by the person, including an amount paid to settle an action or satisfy a judgment in a civil, criminal or administrative action or proceeding to which the person is made a party because of being or having been a board member or committee or panel member, and including an action brought by the board, if
(a) the board member or committee or panel member acted in good faith, and
(b) in the case of a criminal action or proceeding, the board member or committee or panel member had reasonable grounds for believing that his or her conduct was lawful.
(2) The board may purchase and maintain, for the benefit of the board or a board member or committee or panel member referred to in subsection (1), or any of them, insurance against liability incurred by the board or by the board member or committee or panel member.
Public Service Pension Fund continued
9 (1) The Public Service Pension Fund continued under the Pension (Public Service) Act is continued under this Schedule.
(2) The pension fund consists of the cash, investments and other assets held by the trustee.
(3) The contributions from the employers and plan members and the net income from investments and other sources must be paid into the pension fund.
(4) Benefits and disbursements payable under this Schedule and the pension plan rules must be paid from the pension fund and, for this purpose, the pension fund must be considered one and indivisible.
(5) The following fees, expenses and disbursements, as are reasonably necessary and approved by the board, must be paid from the pension fund:
(a) the fees, expenses and disbursements of the board incurred in administering the pension plan;
(b) the fees, expenses and disbursements of the trustee with respect to the pension fund;
(c) the fees, expenses and disbursements of, and amounts requisitioned by, the pension corporation and the investment management corporation, or other investment managers, to operate and administer the pension plan and to manage the pension fund;
(d) any other expenses incurred in the administration of this Schedule and the pension plan rules.
(6) If money is required, under this Schedule and the pension plan rules, to be provided by or paid on behalf of the government as an employer, that money must be paid into the pension fund by the Minister of Finance and Corporate Relations from money appropriated for that purpose by the Legislative Assembly or, if no appropriation is available for that purpose, from the consolidated revenue fund.
Financial administration
10 The trustee must provide for the financial administration of the pension plan by
(a) establishing an accounting system which ensures that there is proper reporting and accountability to the board in a timely manner and at a reasonable cost,
(b) having annual financial statements of the pension plan prepared in accordance with generally accepted accounting principles,
(c) having an audit performed on the financial statements referred to in paragraph (b), and
(d) providing to the Minister of Finance and Corporate Relations an annual report on the pension plan, including the audited financial statements.
Investments and records
11 (1) The plan administrator must advise the trustee of the sums of money available for investment.
(2) The trustee must keep accounts and records in a form specified by the Minister of Finance and Corporate Relations.
Investment by trustee
12 (1) The trustee must cause all money available for investment to be invested in accordance with subsection (2).
(2) The trustee may
(a) subject to the prior approval in writing of the Minister of Finance and Corporate Relations,
(i) invest the money in investments permitted for a pension plan registered in compliance with the Pension Benefits Standards Act,
(ii) exchange an investment made under subparagraph (i) for another investment permitted under that subparagraph, and
(iii) realize an investment held under this paragraph, or
(b) place the money with the investment management corporation for funds management services.
Appointment of an actuary
13 (1) The board must engage the services of an actuary for the purposes of this Schedule and the pension plan rules.
(2) The actuary must
(a) make all actuarial reports and computations required by the board,
(b) make actuarial valuations of assets and liabilities under this Schedule and the pension plan rules when requested by the board, and
(c) report to the board the results of each actuarial valuation.
(3) Despite subsection (2) (b), actuarial valuations must be made at least once in each 3 year period.
(4) Any amount paid to the actuary for his or her services is an expense incurred in the administration of this Schedule and the pension plan rules.
Appointment of an auditor
14 (1) At least once in each year the financial statements of the pension plan, including the accounts of the board and the trustee, must be audited by the Auditor General or by an auditor appointed by the Lieutenant Governor in Council for that purpose.
(2) The salary or remuneration of an auditor appointed by the Lieutenant Governor in Council must be paid by the government.
Surplus and unfunded liability
15 (1) If an actuarial valuation, completed by an actuary in accordance with the requirements of section 13, discloses that
(a) there has been an increase in the unfunded actuarial liability for the pension plan when measured on a statutory basis as a percentage of payroll, and
(b) the increase has occurred since the immediately preceding actuarial valuation,
then additional employer contributions determined by the actuary as sufficient to
(c) meet the normal costs of the pension plan,
(d) hold the unfunded actuarial liability constant as a percentage of payroll, and
(e) amortize the identified increase in the unfunded actuarial liability over a period not exceeding 15 years
must be paid to the pension fund in a manner prescribed by the Lieutenant Governor in Council.
(2) If an actuarial valuation, completed by an actuary in accordance with the requirements of section 13, discloses that
(a) a surplus has been created or an existing surplus has been increased, and
(b) the surplus or the increase has occurred since the immediately preceding actuarial valuation,
then employer contributions may be reduced by the amount determined by the actuary as sufficient to amortize the identified surplus or increase over a period of at least 15 years.
Regulations establishing the pension plan rules
16 (1) The Lieutenant Governor in Council may, on the recommendation of the board, make regulations, applicable generally or to a specified person or class of persons, prescribing the pension plan rules, including, without limitation, regulations as follows:
(a) respecting the pension fund, the funding for and payment from different accounts and the establishment of different accounts for different purposes within the pension fund, including
(i) an account for basic pension benefits provided within the Income Tax Act (Canada) maximums for a registered pension plan,
(ii) an account for pension indexing, and
(iii) an account for supplemental benefits not paid from the other accounts;
(b) governing employer and employee eligibility to participate in the pension plan, including any information required to establish the status of employers and the enrollment of particular employees as members, and providing for continuity of service on transfer between different employers, and providing differently for different employee groups;
(c) prescribing employer and plan member contributions to the pension fund, including
(i) prescribing different rates for different circumstances, and the timing and reporting of contributions,
(ii) prescribing what constitutes the salary of a plan member for the purposes of determining contributions,
(iii) imposing restrictions on access to amounts contributed to the pension fund and interest on those amounts, including restrictions on demanding or enforcing payment, and
(iv) prescribing contribution limits;
(d) respecting pensionable service, including
(i) prescribing requirements for calculating annual service accrual for full time and less than full time employment,
(ii) the terms and conditions respecting the recognition of periods of short term and long term disability, and
(iii) restricting recognition of pensionable service on partial payment of arrears;
(e) respecting contributory service, including
(i) prescribing requirements for calculating service accrual for full time and less than full time employment,
(ii) the terms and conditions respecting the recognition of periods of short term and long term disability,
(iii) the terms and conditions respecting the recognition of periods of child rearing, and
(iv) recognition of contributory service on payment or partial payment of arrears;
(f) respecting the purchase of service, including specifying the terms and conditions for the purchase of service, and amounts to be paid and by whom, for periods of
(i) leave of absence,
(ii) service that can be reinstated,
(iii) service during which the plan member was not eligible to make contributions or elected not to make contributions, and
(iv) any other service approved by the board, including service with any employer, whether or not the employer is an employer under this Schedule;
(g) prescribing the earliest retirement age, pensionable age, normal retirement age or latest retirement age applicable to any plan member or group or class of plan members;
(h) respecting benefits, including
(i) the eligibility and entitlement to receive a benefit and the criteria and methods for determining a benefit,
(ii) the calculation of the highest average salary,
(iii) the calculation of the benefit amount on termination of membership, pre-retirement death, disability retirement, early retirement, normal retirement, late retirement, shortened life expectancy and death, and prescribing available options for receiving pension benefits,
(iv) the nature of a benefit, whether pre-retirement, on retirement or post retirement, including spousal benefits, the protection of spousal benefits, the nomination of beneficiaries, a change of beneficiaries or benefit selection, minor beneficiaries, spousal waivers and the nomination of a beneficiary on the breakdown of a marriage or marriage-like relationship,
(v) post retirement group benefits, and the type and level of benefits, entitlement to benefits, terms and conditions of how benefits are provided and funded, and how and by whom they are funded, and
(vi) supplemental benefits, including
(A) benefit calculations and available options for receipt of those benefits with reference to the Income Tax Act (Canada),
(B) the terms and conditions of how those benefits are to be provided, funded and paid, and by whom they are funded, and
(C) the indexing of supplemental benefits;
(i) establishing the terms and conditions for pension indexing, including
(i) the eligibility and entitlement to receive indexing and the criteria and methods for determining indexing,
(ii) determining the highest average salary for long term disability, deferred pensions and pensions for members with less than full time employment, and
(iii) indexing for plan members receiving a pension granted under Part 2 of the Legislative Assembly Allowances and Pension Act;
(j) respecting the manner of making an application for, and the granting or continuation of, benefits, supplemental benefits and disability benefits, including the information required and the form of proof required for that information;
(k) respecting applications for monthly pension benefits, including
(i) requirements for filing applications,
(ii) the effective date for monthly pension benefits on late filing of applications, and
(iii) exceptions for persons incapable of managing their affairs or other sufficient reason;
(l) respecting the requirements for filing written agreements and court orders made under Parts 5 and 6 of the Family Relations Act, or similar orders of a court outside British Columbia that are enforceable in British Columbia and, in case of late filing, whether or not adjustments are required;
(m) respecting the methodology and assumptions for any calculations required to administer the pension plan;
(n) establishing general administrative requirements and imposing administrative obligations on employers;
(o) prescribing administrative penalties or the payment of interest by employers, plan members or the pension plan in the case of delay or noncompliance;
(p) exempting a person or class of persons, or allowing the board to exempt a person or class of persons, with or without conditions, from any provision of the pension plan or pension plan rules;
(q) defining any word or expression used in this Schedule or in the regulations;
(r) providing for any matter necessary or advisable to carry out effectively the intent and purposes of this Schedule.
(2) In making a regulation under this Schedule, the Lieutenant Governor in Council may delegate a matter to a person or the board and confer a discretionary power on a person or the board.
(3) The Lieutenant Governor in Council may, on the recommendation of the board, amend, repeal or replace the pension plan rules made under subsection (1).
Application of pension plan rules
17 The following conditions apply to, and are deemed to be included in, the pension plan rules:
(a) if, on the death of a plan member, a benefit becomes payable to
(i) the spouse of the plan member if there is a spouse and a valid spousal waiver has not been filed with the plan administrator, or
(ii) the person nominated by the plan member as beneficiary if there is no spouse or a valid spousal waiver has been filed with the plan administrator,
the amount
(iii) is not subject to the control of the creditors of the deceased plan member, and
(iv) does not form part of the estate of the plan member;
(b) if, on the death of a plan member, a benefit becomes payable to his or her estate or to the personal representative of the deceased plan member, the benefit forms part of the estate of the plan member and is subject to the control of the creditors;
(c) if, on the death of a plan member, a benefit becomes payable to a minor, the benefit must be paid to the Public Guardian and Trustee, in trust for the minor, for payment to the minor on reaching the age of 19 years;
(d) a pension or refund of any amount to the credit of any plan member in the pension fund may not be assigned, charged, attached, anticipated or given as security, and any instructions purporting to assign, charge, attach, anticipate or give as security a pension or refund are void;
(e) nothing in the pension plan impairs or affects the rights of an employer to remove or dismiss a person from service.
Schedule C, section 1 definition of "board" BEFORE repealed by 2003-62-19(a), effective October 23, 2003 (Royal Assent).
"board" means the Public Service Pension Advisory Board established under section 3;
Schedule C, section 1 definitions of "investment management corporation" and "pension plan rules" BEFORE repealed by 2003-62-12(a), effective October 23, 2003 (Royal Assent).
"investment management corporation" has the same meaning as in section 1 (1) of the Act;
"pension plan rules" means the regulations made under section 16 (1);
Schedule C, section 1 definitions of "pension fund" and "pension plan" BEFORE amended by 2003-62-19(b), effective October 23, 2003 (Royal Assent).
"pension fund" means the Public Service Pension Fund continued under section 9;
"pension plan" means the Public Service Pension Plan continued under section 2 (1);
Schedule C, section 1 definition of "plan administrator" BEFORE repealed by 2003-62-12(b), effective October 23, 2003 (Royal Assent).
"plan administrator" means the pension corporation;
Schedule C, section 18 (2) (a) BEFORE amended by 2003-62-14, effective October 23, 2003 (Royal Assent).
(a) the continuation of the pension plan and the pension fund for the benefit of plan members;
Schedule C, section 18 (5) (b) and (c) BEFORE amended by 2003-62-16, effective October 23, 2003 (Royal Assent).
(b) the plan administrator keeps an account of all money received and paid out of the pension fund and keeps an accounting of the assets and liabilities of the pension fund, and
(c) the plan administrator keeps an individual record of contributions made by each plan member.
Schedule C, section 18.4 was added by 2003-62-21, effective April 1, 2000 [retro from October 23, 2003 (Royal Assent).
Schedule C, section 20 BEFORE amended by 2003-62-22, effective October 23, 2003 (Royal Assent).
20 This Schedule continues to apply to all agreements made under the Pension (Public Service) Act that were in effect on the date of the repeal of that Act, as if those agreements had been made by the board under the authority of this Schedule.
Schedule C, section 21 BEFORE amended by 2003-62-16, effective October 23, 2003 (Royal Assent).
21 A supplementary allowance that was, under section 35 of the Pension (Public Service) Act as it read on the date of its repeal by this Act, payable to a retired member, or to the spouse of a retired member who dies after retirement, must continue to be paid in the manner and for the period as provided for by the Pension (Public Service) Act, and the present value of those supplementary allowances, as determined by the plan administrator, must be paid by the government to the pension fund.
Schedule C, section 22 BEFORE amended by 2003-62-22, effective October 23, 2003 (Royal Assent).
22 The Lieutenant Governor in Council may, on the recommendation of the board, make regulations that are necessary or advisable for meeting or removing any difficulty arising out of the transition from the Pension (Public Service) Act repealed by this Act, and for preserving and giving effect to the rights of all persons accrued or accruing under the Pension (Public Service) Act except as those rights are expressly varied by this Schedule, and the regulations may be made to apply generally or to a particular case.
Schedule C, section 18 (4) (f) BEFORE repealed by 2003-62-20, effective January 1, 2004 (BC Reg 484/2003).
(f) post retirement group benefits;
Schedule C, sections 18.1 to 18.3 were added by 2003-62-20, effective January 1, 2004 (BC Reg 484/2003).
Schedule C, section 18 (4) (k) BEFORE amended by 2012-18-65, effective June 25, 2012 (BC Reg 179/2012).
(k) any matter necessary or advisable to establish the pension plan rules, including those matters described in section 16 (1).
Schedule C, part 3 heading BEFORE amended by 2012-18-61, effective June 25, 2012 (BC Reg 179/2012).
Part 3 — Transitional
Schedule C, section 21 BEFORE amended by 2012-18-62, effective June 25, 2012 (BC Reg 179/2012).
Transitional — regulations
22 The Lieutenant Governor in Council may, on the recommendation of the public service board, make regulations that are necessary or advisable for meeting or removing any difficulty arising out of the transition from the Pension (Public Service) Act repealed by this Act, and for preserving and giving effect to the rights of all persons accrued or accruing under the Pension (Public Service) Act except as those rights are expressly varied by this Schedule, and the regulations may be made to apply generally or to a particular case.
Schedule C, section 1 definition of "plan member partner" BEFORE amended by 2012-18-60, effective November 28, 2013 (BC Reg 179/2012 and BC Reg 243/2013).
"plan member partner" means
(a) the British Columbia Government and Service Employee's Union,
Schedule C, section 18.4 BEFORE amended by 2012-30-168, effective September 30, 2015 (BC Reg 71/2015).
Schedule D, Part 1 BEFORE repealed by 1999-44-122, effective April 5, 2001 (BC Reg 98/2001).
Teachers' Pension Plan continued
2 (1) The plan provided for by and under the Pension (Teachers) Act is continued as the Teachers' Pension Plan under this Schedule and the pension plan rules.
(2) An employer to whom the Pension (Teachers) Act applied immediately before the coming into force of this section, continues to be an employer, and those eligible employees of that employer continue to be plan members, under the Teachers' Pension Plan.
(3) A person who, immediately before the coming into force of this section, was a plan member under the Pension (Teachers) Act continues to be a plan member under the Teachers' Pension Plan.
(4) Any rights vested in each plan member or beneficiary under the plan provided for by and under the Pension (Teachers) Act continue to apply to the plan member or beneficiary, in the same manner and to the same extent, under the Teachers' Pension Plan.
(5) The fiscal year end of the pension plan is December 31, or any other date that the board may establish as the fiscal year end for the pension plan.
Teachers' Pension Board established
3 (1) There is established a Teachers' Pension Board comprising 7 members appointed by the Lieutenant Governor in Council as follows:
(a) 3 persons nominated by the government, to be known as the plan sponsor representatives;
(b) 3 persons nominated by the executive of the British Columbia Teachers' Federation, to be known as the plan member representatives;
(c) one person nominated by the government and designated in the appointment as chair of the board.
(2) A party that makes a nomination under subsection (1) may nominate an alternate person and, if the member appointed under subsection (1) is unable to act, that alternate person, upon appointment by the Lieutenant Governor in Council, is authorized to act in the first appointee's place.
(3) Each member appointed under subsection (1) (a) and (b) or (2) has one vote.
(4) An appointment to the board may be made for a term not exceeding 2 years, and the appointment may be renewed or extended.
(5) An appointment to the board may, on the recommendation of the party that nominated the member, be rescinded by the Lieutenant Governor in Council.
(6) The chair of the board is the trustee of the pension fund.
(7) The board must determine whether the chair has a vote and, if so, whether the chair is entitled to a second or casting vote.
(8) Subject to subsections (9) and (10), a quorum of the board is a majority of the members of the board.
(9) A quorum requires
(a) one representative of the government, and
(b) one representative of the British Columbia Teachers' Federation.
(10) The board may, by unanimous agreement of all of the members of the board, change a requirement of subsection (8) or (9).
(11) Each member of the board must be a permanent resident of Canada.
(12) The board may, from the pension fund, pay
(a) to a member of the board or a person appointed to a committee of the board an allowance for reasonable travel and other expenses necessarily incurred in carrying out the business of the board,
(b) to a member of the board or a person appointed to a committee of the board, if the member or person is not receiving remuneration from any other source for acting as a member or on a committee, remuneration that has been set by the board and is consistent with Treasury Board guidelines, and
(c) to an organization, if the organization is the source of remuneration paid to a member of the board or person appointed to a committee of the board, remuneration for the services of the member or person at the rate set by the board under paragraph (b).
Legal capacity of the board
4 (1) For the purposes of this Schedule, the board may
(a) retain the services of persons, and
(b) enter into agreements.
(2) The board has the necessary legal capacity to sue and be sued in its own name for the purposes of a matter arising under this Schedule or the pension plan rules.
(3) The board, on behalf of the pension fund, may recover and enforce contributions, deductions and any interest payments that should have been made or are due to the pension fund by action in any court in the name of the board as a debt due to the board and, in that case, the Limitation Act does not apply.
Powers, functions and duties of the board
5 (1) The board is responsible for the administration of the pension plan.
(2) The board must do all of the following:
(a) subject to Treasury Board approval respecting any of the matters described in subsection (3) (b), make recommendations to the Lieutenant Governor in Council respecting the pension plan rules, or any amendments to the pension plan rules, made under section 16;
(b) submit to Treasury Board and to the minister an annual report on the operation of the board, the pension plan and the pension fund;
(c) review reports on the investment of the pension fund;
(d) direct the plan administrator respecting
(i) the application of the pension plan rules,
(ii) the negotiation of agreements on behalf of the board with a person, class of persons or body, including agreements which may differ from the pension plan rules, respecting
(A) portability of pension benefits,
(B) pension-based early retirement incentive programs,
(C) continuation of pension plan membership in the case of employer merger or reorganization,
(D) provision of benefits in addition to those provided for in the pension plan rules,
(E) reporting requirements on behalf of employers under the Income Tax Act (Canada), and
(F) any other agreements the board considers to be advisable, and
(iii) the implementation of any agreements entered into by the board;
(e) establish the practice and procedure for appeals to the board;
(f) approve, in whole or in part and with or without modifications, the annual budget for pension administration and investment activities;
(g) carry out other prescribed duties and responsibilities.
(3) The board may do any of the following:
(a) make recommendations to the minister respecting amendments to this Schedule and, before enactment, review any amendments to this Schedule;
(b) make recommendations to Treasury Board respecting
(i) changes in benefits,
(ii) funding policies for the pension plan,
(iii) contribution rates, and
(iv) modifications to the pension plan;
(c) make recommendations to the Minister of Finance and Corporate Relations and the trustee respecting the investment of the pension fund;
(d) report to plan members on issues related to the pension plan;
(e) establish rules, procedures and methods for board operations.
(4) The board may
(a) pass resolutions it considers necessary or advisable to manage and conduct its own affairs and to exercise the board's powers and perform its duties,
(b) establish committees or panels of the board, and may determine the composition, duties, responsibilities, limitations and operating procedures of those committees or panels,
(c) appoint persons other than members of the board to a committee or panel referred to in paragraph (b), and may set the term of appointment to the committee or panel that applies to those persons,
(d) nominate members of the board to the boards of the pension corporation and the investment management corporation, and
(e) rescind an appointment made under paragraph (c).
Plan administration and investment
6 (1) The board must retain the services of the pension corporation to carry out the board's responsibilities respecting the administration of the pension plan.
(2) Subject to section 12 (2), the trustee may retain the services of the investment management corporation to carry out the trustee's responsibilities respecting the investment of the assets of the pension fund.
(3) The trustee must ensure that the plan administrator keeps
(a) an account of all money received and paid out of the pension fund,
(b) an account of the assets and liabilities of the pension fund, and
(c) an individual record of contributions made by each plan member.
Appeals to the board
7 (1) A person or organization directly affected by a decision of the plan administrator in the application of the pension plan rules may, by written notice to the board, appeal all or part of the decision in accordance with the practice and procedure for appeals to the board.
(2) The board must ensure that each appeal is dealt with promptly and efficiently.
(3) The board may establish a panel consisting of one or more persons, as determined by the chair, to consider appeals.
(4) If a panel consists of more than one person, the chair must preside over the panel or designate the person who is to chair the panel.
(5) For an appeal referred to a panel,
(a) the panel has all the jurisdiction and may exercise the powers and perform the duties of the board, and
(b) a decision or order of the panel is a decision or order of the board.
(6) The board or panel must confirm, vary or reverse the decision, order or ruling being appealed.
(7) For the purposes of this section, the board and each of its members, or a panel of the board and each person on the panel, has the powers, protection and privileges of a commissioner under sections 12, 15 and 16 of the Inquiry Act.
Indemnification
8 (1) The pension fund may indemnify a person who is a member of the board or a person appointed to a committee or a panel under section 5 (4) (c), or a former member of the board or committee or panel member, against all costs, charges and expenses actually and reasonably incurred by the person, including an amount paid to settle an action or satisfy a judgment in a civil, criminal or administrative action or proceeding to which the person is made a party because of being or having been a board member or committee or panel member, and including an action brought by the board, if
(a) the board member or committee or panel member acted in good faith, and
(b) in the case of a criminal action or proceeding, the board member or committee or panel member had reasonable grounds for believing that his or her conduct was lawful.
(2) The board may purchase and maintain, for the benefit of the board or a board member or committee or panel member referred to in subsection (1), or any of them, insurance against liability incurred by the board or by the board member or committee or panel member.
Teachers' Pension Fund continued
9 (1) The Teachers' Pension Fund continued under the Pension (Teachers) Act is continued under this Schedule.
(2) The pension fund consists of the cash, investments and other assets held by the trustee.
(3) The contributions from the employers and plan members and the net income from investments and other sources must be paid into the pension fund.
(4) Benefits and disbursements payable under this Schedule and the pension plan rules must be paid from the pension fund and, for this purpose, the pension fund must be considered one and indivisible.
(5) The following fees, expenses and disbursements, as are reasonably necessary and approved by the board, must be paid from the pension fund:
(a) the fees, expenses and disbursements of the board incurred in administering the pension plan;
(b) the fees, expenses and disbursements of the trustee with respect to the pension fund;
(c) the fees, expenses and disbursements of, and amounts requisitioned by, the pension corporation and the investment management corporation, or other investment managers, to operate and administer the pension plan and to manage the pension fund;
(d) any other expenses incurred in the administration of this Schedule and the pension plan rules.
Financial administration
10 The trustee must provide for the financial administration of the pension plan by
(a) establishing an accounting system which ensures that there is proper reporting and accountability to the board in a timely manner and at a reasonable cost,
(b) having annual financial statements of the pension plan prepared in accordance with generally accepted accounting principles,
(c) having an audit performed on the financial statements referred to in paragraph (b), and
(d) providing to the Minister of Finance and Corporate Relations an annual report on the pension plan, including the audited financial statements.
Investments and records
11 (1) The plan administrator must advise the trustee of the sums of money available for investment.
(2) The trustee must keep accounts and records in a form specified by the Minister of Finance and Corporate Relations.
Investment by trustee
12 (1) The trustee must cause all money available for investment to be invested in accordance with subsection (2).
(2) The trustee may
(a) subject to the prior approval in writing of the Minister of Finance and Corporate Relations,
(i) invest the money in investments permitted for a pension plan registered in compliance with the Pension Benefits Standards Act,
(ii) exchange an investment made under subparagraph (i) for another investment permitted under that subparagraph, and
(iii) realize an investment held under this paragraph, or
(b) place the money with the investment management corporation for funds management services.
Appointment of an actuary
13 (1) The board must engage the services of an actuary for the purposes of this Schedule and the pension plan rules.
(2) The actuary must
(a) make all actuarial reports and computations required by the board,
(b) make actuarial valuations of assets and liabilities under this Schedule and the pension plan rules when requested by the board, and
(c) report to the board the results of each actuarial valuation.
(3) Despite subsection (2) (b), actuarial valuations must be made at least once in each 3 year period.
(4) Any amount paid to the actuary for his or her services is an expense incurred in the administration of this Schedule and the pension plan rules.
Appointment of an auditor
14 (1) At least once in each year the financial statements of the pension plan, including the accounts of the board and the trustee, must be audited by the Auditor General or by an auditor appointed by the Lieutenant Governor in Council for that purpose.
(2) The salary or remuneration of an auditor appointed by the Lieutenant Governor in Council must be paid by the government.
Surplus and unfunded liabilities
15 (1) If an actuarial valuation, completed by an actuary in accordance with the requirements of section 13, discloses that
(a) there has been an increase in the unfunded actuarial liability for the pension plan when measured on a statutory basis as a percentage of payroll,
(b) the increase has occurred since the immediately preceding actuarial valuation, and
(c) the unfunded actuarial liability for the plan when measured on a statutory basis as a percentage of payroll is greater than 50%,
then additional employer contributions determined by the actuary as sufficient to
(d) meet the normal costs of the pension plan, and
(e) reduce the amount of the unfunded actuarial liability expressed as a percentage of payroll to 50% over a period not exceeding 35 years
must be paid to the pension fund in a manner prescribed by the Lieutenant Governor in Council.
(2) If an actuarial valuation, completed by an actuary in accordance with the requirements of section 13, discloses that
(a) there has been an increase in the unfunded actuarial liability for the pension plan when measured on a statutory basis as a percentage of payroll,
(b) the increase has occurred since the immediately preceding actuarial valuation, and
(c) the unfunded actuarial liability for the plan when measured on a statutory basis as a percentage of payroll is 50% or less,
then additional employer contributions determined by the actuary as sufficient to
(d) meet the normal costs of the pension plan,
(e) hold the unfunded actuarial liability constant as a percentage of payroll, and
(f) amortize the identified increase in the unfunded actuarial liability over a period not exceeding 15 years
must be paid to the pension fund in a manner prescribed by the Lieutenant Governor in Council.
(3) If an actuarial valuation, completed by an actuary in accordance with the requirements of section 13, discloses that
(a) a surplus has been created or an existing surplus has been increased, and
(b) the surplus or the increase has occurred since the immediately preceding actuarial valuation,
then employer contributions may be reduced by an amount determined by the actuary as sufficient to amortize the identified surplus or increase over a period of at least 15 years.
Regulations establishing the pension plan rules
16 (1) The Lieutenant Governor in Council may, on the recommendation of the board, make regulations, applicable generally or to a specified person or class of persons, prescribing the pension plan rules, including, without limitation, regulations as follows:
(a) respecting the pension fund, the funding for and payment from different accounts and the establishment of different accounts for different purposes within the pension fund, including
(i) an account for basic pension benefits provided within the Income Tax Act (Canada) maximums for a registered pension plan,
(ii) an account for pension indexing,
(iii) an account for supplemental benefits not paid from the other accounts, and
(iv) an account for retirement annuities;
(b) governing employer and employee eligibility to participate in the pension plan, including any information required to establish the status of employers and the enrollment of particular employees as members, and providing for continuity of service on transfer between different employers, and providing differently for different employee groups;
(c) prescribing employer and plan member contributions to the pension fund, including
(i) prescribing different rates for different circumstances, and the timing and reporting of contributions,
(ii) prescribing what constitutes the salary of a plan member for the purposes of determining contributions,
(iii) imposing restrictions on access to amounts contributed to the pension fund and interest on those amounts, including restrictions on demanding or enforcing payment, and
(iv) prescribing contribution limits;
(d) respecting pensionable service, including
(i) prescribing requirements for calculating annual service accrual for full time and less than full time employment,
(ii) the terms and conditions respecting the recognition of periods of short term and long term disability, and
(iii) restricting recognition of pensionable service on partial payment of arrears;
(e) respecting contributory service, including
(i) prescribing requirements for calculating service accrual for full time and less than full time employment,
(ii) the terms and conditions respecting the recognition of periods of short term and long term disability,
(iii) the terms and conditions respecting the recognition of periods of child rearing, and
(iv) recognition of contributory service on payment or partial payment of arrears;
(f) respecting the purchase of service, including specifying the terms and conditions for the purchase of service, and amounts to be paid and by whom, for periods of
(i) leave of absence,
(ii) service that can be reinstated,
(iii) service during which the plan member was not eligible to make contributions or elected not to make contributions, and
(iv) any other service approved by the board, including service with any employer, whether or not the employer is an employer under this Schedule;
(g) prescribing the earliest retirement age, pensionable age, normal retirement age or latest retirement age applicable to any plan member or group or class of plan members;
(h) respecting benefits, including
(i) the eligibility and entitlement to receive a benefit and the criteria and methods for determining a benefit,
(ii) the calculation of the highest average salary,
(iii) the calculation of the benefit amount on termination of membership, pre-retirement death, disability retirement, early retirement, normal retirement, late retirement, shortened life expectancy and death, and prescribing available options for receiving pension benefits,
(iv) the nature of a benefit, whether pre-retirement, on retirement or post retirement, including spousal benefits, the protection of spousal benefits, the nomination of beneficiaries, a change of beneficiaries or benefit selection, minor beneficiaries, spousal waivers and the nomination of a beneficiary on the breakdown of a marriage or marriage-like relationship,
(v) post retirement group benefits, and the type and level of benefits, entitlement to benefits, terms and conditions of how benefits are provided and funded, and how and by whom they are funded, and
(vi) supplemental benefits, including
(A) benefit calculations and available options for receipt of those benefits with reference to the Income Tax Act (Canada),
(B) the terms and conditions of how those benefits are to be provided, funded and paid, and by whom they are funded, and
(C) the indexing of supplemental benefits;
(i) establishing the terms and conditions for pension indexing, including
(i) the eligibility and entitlement to receive indexing and the criteria and methods for determining indexing, and
(ii) determining the highest average salary for long term disability, deferred pensions and pensions for members with less than full time employment;
(j) respecting the manner of making an application for, and the granting or continuation of, benefits, supplemental benefits and disability benefits, including the information required and the form of proof required for that information;
(k) respecting applications for monthly pension benefits, including
(i) requirements for filing applications,
(ii) the effective date for monthly pension benefits on late filing of applications, and
(iii) exceptions for persons incapable of managing their affairs or other sufficient reason;
(l) respecting the requirements for filing written agreements and court orders made under Parts 5 and 6 of the Family Relations Act, or similar orders of a court outside British Columbia that are enforceable in British Columbia and, in case of late filing, whether or not adjustments are required;
(m) respecting the methodology and assumptions for any calculations required to administer the pension plan;
(n) establishing general administrative requirements and imposing administrative obligations on employers;
(o) prescribing administrative penalties or the payment of interest by employers, plan members or the pension plan in the case of delay or noncompliance;
(p) exempting a person or class of persons, or allowing the board to exempt a person or class of persons, with or without conditions, from any provision of the pension plan or pension plan rules;
(q) defining any word or expression used in this Schedule or in the regulations;
(r) providing for any matter necessary or advisable to carry out effectively the intent and purposes of this Schedule.
(2) In making a regulation under this Schedule, the Lieutenant Governor in Council may delegate a matter to a person or the board and confer a discretionary power on a person or the board.
(3) The Lieutenant Governor in Council may, on the recommendation of the board, amend, repeal or replace the pension plan rules made under subsection (1).
Application of pension plan rules
17 The following conditions apply to, and are deemed to be included in, the pension plan rules:
(a) if, on the death of a plan member, a benefit becomes payable to
(i) the spouse of the plan member if there is a spouse and a valid spousal waiver has not been filed with the plan administrator, or
(ii) the person nominated by the plan member as beneficiary if there is no spouse or a valid spousal waiver has been filed with the plan administrator,
the amount
(iii) is not subject to the control of the creditors of the deceased plan member, and
(iv) does not form part of the estate of the plan member;
(b) if, on the death of a plan member, a benefit becomes payable to his or her estate or to the personal representative of the deceased plan member, the benefit forms part of the estate of the plan member and is subject to the control of the creditors;
(c) if, on the death of a plan member, a benefit becomes payable to a minor, the benefit must be paid to the Public Guardian and Trustee, in trust for the minor, for payment to the minor on reaching the age of 19 years;
(d) a pension or refund of any amount to the credit of any plan member in the pension fund may not be assigned, charged, attached, anticipated or given as security, and any instructions purporting to assign, charge, attach, anticipate or give as security a pension or refund are void;
(e) nothing in the pension plan impairs or affects the rights of an employer to remove or dismiss a person from service.
Schedule D, section 1 definition of "board" BEFORE repealed by 2003-62-23(a), effective October 23, 2003 (Royal Assent).
"board" means the Teachers' Pension Board established under section 3;
Schedule D, section 1 definitions of "investment management corporation" and "pension plan rules" BEFORE repealed by 2003-62-12(a), effective October 23, 2003 (Royal Assent).
"investment management corporation" has the same meaning as in section 1 (1) of the Act;
"pension plan rules" means the regulations made under section 16 (1);
Schedule D, section 1 definitions of "pension fund" and "pension plan" BEFORE repealed by 2003-62-23(b), effective October 23, 2003 (Royal Assent).
"pension fund" means the Teachers' Pension Fund continued under section 9;
"pension plan" means the Teachers' Pension Plan continued under section 2 (1);
Schedule D, section 1 definition of "plan administrator" BEFORE repealed by 2003-62-12(b), effective October 23, 2003 (Royal Assent).
"plan administrator" means the pension corporation;
Schedule D, section 18 (2) (a) BEFORE amended by 2003-62-14, effective October 23, 2003 (Royal Assent).
(a) the continuation of the pension plan and the pension fund for the benefit of the plan members;
Schedule D, section 18 (5) (b) and (c) BEFORE amended by 2003-62-16, effective October 23, 2003 (Royal Assent).
(b) the plan administrator keeps an account of all money received and paid out of the pension fund and keeps an accounting of the assets and liabilities of the pension fund, and
(c) the plan administrator keeps an individual record of contributions made by each plan member.
Schedule D, section 18.4 was added by 2003-62-25, effective April 1, 2000 [retro from October 23, 2003 (Royal Assent).
Schedule D, section 20 BEFORE amended by 2003-62-26, effective October 23, 2003 (Royal Assent).
20 This Schedule continues to apply to all agreements made under the Pension (Teachers) Act that were in effect on the date of the repeal of that Act, as if those agreements had been made by the board under the authority of this Schedule.
Schedule D, section 21 BEFORE amended by 2003-62-26, effective October 23, 2003 (Royal Assent).
21 The Lieutenant Governor in Council may, on the recommendation of the board, make regulations that are necessary or advisable for meeting or removing any difficulty arising out of the transition from the Pension (Teachers) Act repealed by this Act, and for preserving and giving effect to the rights of all persons accrued or accruing under the Pension (Teachers) Act except as those rights are expressly varied by this Schedule, and the regulations may be made to apply generally or to a particular case.
Schedule D, section 18 (4) (f) BEFORE repealed by 2003-62-24, effective January 1, 2004 (BC Reg 484/2003).
(f) post retirement group benefits;
Schedule D, sections 18.1 to 18.3 were added by 2003-62-25, effective January 1, 2004 (BC Reg 484/2003).
Schedule D, part 3 heading BEFORE amended by 2012-18-63, effective June 25, 2012 (BC Reg 179/2012).
Part 3 — Transitional
Schedule D, section 21 BEFORE amended by 2012-18-64, effective June 25, 2012 (BC Reg 179/2012).
Transitional — regulations
21 The Lieutenant Governor in Council may, on the recommendation of the teachers' board, make regulations that are necessary or advisable for meeting or removing any difficulty arising out of the transition from the Pension (Teachers) Act repealed by this Act, and for preserving and giving effect to the rights of all persons accrued or accruing under the Pension (Teachers) Act except as those rights are expressly varied by this Schedule, and the regulations may be made to apply generally or to a particular case.
Schedule D, section 18 (4) (k) BEFORE amended by 2012-18-65, effective June 25, 2012 (BC Reg 179/2012).
(k) any matter necessary or advisable to establish the pension plan rules, including those matters described in section 16 (1).