Pension Benefits Act

ONTARIO REGULATION 196/11

Resolute FP Canada Inc. Pension Plans

Historical version for the period May 1, 2018 to June 3, 2019.

Last amendment: 251/18.

Legislative History: 71/12, 180/12, 105/14, CTR 9 MA 12 - 1, 464/16, 251/18.

This is the English version of a bilingual regulation.

CONTENTS

 

Application

Purpose

1. (1) This Regulation implements, in part, certain agreements involving Ontario, Quebec and AbiBow Canada Inc. relating to the funding of the Ontario pension plans listed in Schedule 1 and the Quebec pension plans listed in Schedule 2.  O. Reg. 196/11, s. 1 (1).

(2) The agreements provide for aggregate funding of all of these pension plans during a specified period and for the apportionment of the aggregate funding among them.  O. Reg. 196/11, s. 1 (2).

Interpretation

Interpretation

2. (1) In this Regulation, expressions relating to the Ontario pension plans have the same meaning as in the General Regulation, except where otherwise indicated, and expressions relating to the Quebec pension plans have the same meaning as in the Quebec Regulation.  O. Reg. 196/11, s. 2 (1).

(2) In this Regulation,

“General Regulation” means Regulation 909 of the Revised Regulations of Ontario, 1990 (General) made under the Act; (règlement general)

“Ontario pension plan” means a pension plan listed in Schedule 1 that is registered under the Act; (régime de retraite de l’Ontario)

“Quebec pension plan” means a pension plan listed in Schedule 2 that is registered with the Régie des rentes du Québec under the Supplemental Pension Plans Act, R.S.Q., c. R-15.1; (régime de retraite du Québec)

“Quebec Regulation” means O.C. 856-2011 (Regulation respecting supplemental pension plans affected by the arrangement regarding AbitibiBowater Inc. under the Companies’ Creditors Arrangement Act) made under the Supplemental Pension Plans Act,  R.S.Q. c. R-15.1. (“règlement québécois”)  O. Reg. 196/11, s. 2 (2); O. Reg. 71/12, s. 1.

Participating Ontario pension plans

3. (1) For the purposes of this Regulation, an Ontario pension plan is a participating Ontario pension plan until the earliest of the following dates:

1. December 31, 2020.

2. December 31 of the earlier year that is specified by the employer in an election filed under subsection (2).

3. The valuation date of a report filed under this Regulation that indicates that the plan is fully funded.  O. Reg. 196/11, s. 3 (1).

(2) The employer may elect to have a particular Ontario pension plan cease to be a participating plan on December 31 of a year before 2020, and the employer shall file the election in writing before that date.  O. Reg. 196/11, s. 3 (2).

(3) However, a pension plan immediately ceases to be a participating Ontario pension plan if, at any time, it provides pension benefits in respect of employment after December 31, 2010.  O. Reg. 196/11, s. 3 (3).

Participating Quebec pension plans

4. (1) For the purposes of this Regulation, a Quebec pension plan is a participating Quebec pension plan until the earliest of the following dates:

1. December 31, 2020.

2. The date on which the pension plan ceases under subsection (2) to be a participating pension plan.

3. The date as of which the pension plan is fully funded, according to an annual combined report filed under section 35.  O. Reg. 196/11, s. 4 (1).

(2) If, under the Quebec Regulation, the applicable employer makes an election that a particular pension plan ceases to be a participating pension plan under that regulation, the pension plan also ceases to be a participating Quebec pension plan under this Regulation on the same date.  O. Reg. 196/11, s. 4 (2).

Framework for Funding Relief

Overview of contributions and other payments to the Ontario pension plans

5. (1) The employer is required to make the following contributions to each Ontario pension plan in accordance with this Regulation:

1. Annual basic amortization contributions to the pension plan, as described in section 7 or 8, as the case may be.

2. An additional contribution to the pension plan for the period that begins on July 1, 2013 and ends on June 30, 2014, as described in section 7.1.

3. Supplemental contributions to the pension plan beginning in 2016, in the circumstances described in section 9 and as described in that section.

4. Special contributions to the pension plan with respect to a reduction before April 15, 2014 in the employer’s pulp and paper production capacity in Ontario or Quebec, as described in section 11. O. Reg. 105/14, s. 2 (1); O. Reg. 464/16, s. 1.

(2) If benefit improvements are made under a participating Ontario pension plan, the special payment that may be required to fund the benefit improvements must be made in accordance with section 13.  O. Reg. 196/11, s. 5 (2).

(3) If the employer wishes to make voluntary contributions to any participating Ontario pension plan, the voluntary contributions described in section 14 may only be made in accordance with section 14.  O. Reg. 196/11, s. 5 (3).

(4) Despite sections 7 to 14, the employer (or a person or entity required to make contributions on behalf of the employer) is not required to make contributions to a pension plan that would exceed the limit under the Income Tax Act (Canada) for eligible contributions.  O. Reg. 196/11, s. 5 (4); O. Reg. 105/14, s. 2 (2).

(5) To the extent that subsection (4) applies to a pension plan, contributions, if any, under sections 7 to 11 that would exceed the limit under the Income Tax Act (Canada) for eligible contributions should be reallocated in accordance with the rules of the respective section as if the plan had ceased to be a participating pension plan.  O. Reg. 196/11, s. 5 (5).

Joint election to defer certain contributions

6. (1) The administrators of all of the participating Ontario pension plans may jointly file an election with the Superintendent to defer the payment of certain contributions. O. Reg. 105/14, s. 3.

(2) The joint election must be filed before May 15, 2014 and it cannot be withdrawn. O. Reg. 105/14, s. 3.

(3) If the joint election is filed in accordance with this section, the employer is required after April 14, 2014 to make deferred contributions in accordance with this Regulation to each Ontario pension plan, as described in sections 16 and 17. O. Reg. 105/14, s. 3.

(4) If no joint election is filed in accordance with this section, the employer’s obligation after April 14, 2014 to make the contributions required by section 8, as it read on April 14, 2014, and to take the corrective measures required by sections 15 and 16, as they read on April 14, 2014, is not affected by the revocation of those sections. O. Reg. 105/14, s. 3.

(5) If no joint election is filed in accordance with this section, the employer’s obligation after April 14, 2014 to give the Superintendent the notices and actuarial cost certificates required by section 16, as it read on April 14, 2014, is not affected by the revocation of that section. O. Reg. 105/14, s. 3.

(6) If no joint election is filed in accordance with this section, the employer’s obligation after April 14, 2014 to give the Superintendent information and documents upon request under section 25, as it read on April 14, 2014, is not affected by the revocation of that section. O. Reg. 105/14, s. 3.

(7) If no joint election is filed in accordance with this section, the employer’s obligation after April 14, 2014 to prepare and file the reports required by section 31, as it read on April 14, 2014, is not affected by the amendment of that section. O. Reg. 105/14, s. 3.

Annual Basic Amortization Contributions

Annual basic amortization contributions after June 30, 2011

7. (1) The employer (or a person or entity required to make contributions on behalf of the employer) shall make the annual contribution that is required by this section (the “annual basic amortization contribution”) to each of the participating Ontario pension plans for each 12-month period that begins on July 1, 2011 or on July 1 of a subsequent year.  O. Reg. 196/11, s. 7 (1).

(1.1) This section does not apply with respect to a 12-month period that begins on or after July 1, 2017 if the employer has filed an election in accordance with section 8 to have that section apply. O. Reg. 464/16, s. 2.

(2) The amount of the annual basic amortization contribution for the 12-month period that begins on July 1 of a particular year is determined using the information in the annual combined report prepared with reference to the valuation date that falls on December 31 of the previous year.  O. Reg. 196/11, s. 7 (2).

(3) The annual basic amortization contribution is payable in equal monthly instalments, and the amount payable for each month is due on or before the last business day of the month.  O. Reg. 196/11, s. 7 (3).

(4) The amount of the annual basic amortization contribution that must be made to a particular participating Ontario pension plan under this section for a particular month during the 12-month period is calculated using the formula,

A × B/C

in which,

  “A” is $4,166,667 for any month before July 2014 and is $6,666,667 for any month after June 2014,

  “B” is the amount of the adjusted solvency deficiency of the plan as of the applicable valuation date, and

  “C” is the sum of the adjusted solvency deficiencies for every participating pension plan as of the applicable valuation date.

O. Reg. 105/14, s. 5.

(5) The obligation to make the annual basic amortization contribution to a particular Ontario pension plan is terminated when the pension plan ceases to be a participating pension plan.  O. Reg. 196/11, s. 7 (5).

(6) If an Ontario or Quebec pension plan ceases to be a participating pension plan before its annual basic amortization contribution is made in whole or in part under this section (or under the corresponding provision of the Quebec Regulation) to that pension plan, the amount of the unpaid annual basic amortization contribution to be made to that pension plan shall be reallocated among the remaining participating pension plans in accordance with the formula set out in subsection (4).  O. Reg. 196/11, s. 7 (6).

(6.1) Despite subsection (6), the following rule applies if an election is filed in accordance with section 8 to have that section apply:

1. If a Quebec pension plan ceases to be a participating pension plan on or before December 31, 2016, the amount of the unpaid annual basic amortization contribution to be made for a month after December 2016 and before July 2017 to that pension plan shall not be reallocated among the remaining participating pension plans. O. Reg. 464/16, s. 2.

(7) The portion of the annual basic amortization contribution for a particular month reallocated to a particular participating Ontario pension plan is payable to the pension plan as a lump sum within 30 days after the end of the 12-month period described in subsection (1) as it would have been payable to the formerly-participating pension plan.  O. Reg. 196/11, s. 7 (7).

(8) Despite subsections (5), (6) and (7), if a particular Ontario pension plan ceases to be a participating pension plan because it is fully funded before December 31, 2020,

(a) the obligation to make the annual basic amortization contribution to the pension plan ends on June 30 after the valuation date of the final report filed under section 32; and

(b) the monthly contributions made from that valuation date to that June 30th are deemed to be special payments under clause 5 (1) (e) of the General Regulation for purposes of the calculation of present value referred to in clause 1.2 (1) (d) of the General Regulation.  O. Reg. 196/11, s. 7 (8).

Adjustment to basic amortization contribution for 2013-2014

7.1 (1) The employer (or a person or entity required to make contributions on behalf of the employer) shall make the contribution that is required by this section to each of the participating Ontario pension plans with respect to the 12-month period that begins on July 1, 2013 and ends on June 30, 2014. O. Reg. 105/14, s. 6

(2) The amount of the contribution that must be made to a particular participating Ontario pension plan with respect to this period is calculated using the formula,

$45 million × D/E

in which,

  “D” is the amount of the adjusted solvency deficiency of the plan as of December 31, 2012, and

  “E” is the sum of the adjusted solvency deficiencies for every participating pension plan as of December 31, 2012.

O. Reg. 105/14, s. 6

(3) The contribution to a particular participating Ontario pension plan must be paid no later than June 30, 2014. O. Reg. 105/14, s. 6

Annual basic amortization contributions if election filed

8. (1) The employer may file an election with the Superintendent to have this section apply. O. Reg. 464/16, s. 3.

(2) The election may only be filed if, under the Quebec Regulation, elections are made to have every participating Quebec pension plan cease to be a participating pension plan on or before December 31, 2016. O. Reg. 464/16, s. 3.

(3) The election must be filed before December 31, 2016 and it cannot be withdrawn. O. Reg. 464/16, s. 3.

(4) If the election is filed in accordance with this section, the employer (or a person or entity required to make contributions on behalf of the employer) shall make the annual contribution that is required by this section (the “annual basic amortization contribution”) to each of the participating Ontario pension plans for each 12-month period that begins on July 1, 2017 or on July 1 of a subsequent year. O. Reg. 464/16, s. 3.

(5) The amount of the annual basic amortization contribution for the 12-month period that begins on July 1 of a particular year is determined using the information in the annual combined report prepared with reference to the valuation date that falls on December 31 of the previous year. O. Reg. 464/16, s. 3.

(6) The annual basic amortization contribution is payable in equal monthly instalments, and the amount payable for each month is due on or before the last business day of the month. O. Reg. 464/16, s. 3.

(7) The amount of the annual basic amortization contribution that must be made to a particular participating Ontario pension plan under this section for a particular month during the 12-month period is calculated using the formula,

A × B/C

in which,

  “A” is $750,000 per month,

  “B” is the amount of the adjusted solvency deficiency of the plan as of the applicable valuation date, and

  “C” is the sum of the adjusted solvency deficiencies for every participating Ontario pension plan as of the applicable valuation date.

O. Reg. 464/16, s. 3.

(8) The obligation to make the annual basic amortization contribution to a particular Ontario pension plan is terminated when the pension plan ceases to be a participating pension plan. O. Reg. 464/16, s. 3.

(9) If an Ontario pension plan ceases to be a participating pension plan before its annual basic amortization contribution is made in whole or in part under this section to that pension plan, the amount of the unpaid annual basic amortization contribution to be made to that pension plan shall be reallocated among the remaining participating Ontario pension plans in accordance with the formula set out in subsection (7). O. Reg. 464/16, s. 3.

(10) The portion of the annual basic amortization contribution for a particular month reallocated to a particular participating Ontario pension plan is payable to the pension plan as a lump sum within 30 days after the end of the 12-month period described in subsection (4) as it would have been payable to the formerly-participating pension plan. O. Reg. 464/16, s. 3.

(11) Despite subsections (8), (9) and (10), if a particular Ontario pension plan ceases to be a participating pension plan because it is fully funded before December 31, 2020,

(a) the obligation to make the annual basic amortization contribution to the pension plan ends on June 30 after the valuation date of the final report filed under section 32; and

(b) the monthly contributions made from that valuation date to that June 30th are deemed to be special payments under clause 5 (1) (e) of the General Regulation for purposes of the calculation of present value referred to in clause 1.2 (1) (d) of the General Regulation. O. Reg. 464/16, s. 3.

Other Contributions and Payments

Supplemental contributions beginning in 2016

9. (1) This section applies with respect to any year from 2016 to 2020 in which both of the following circumstances exist:

1. The aggregate solvency ratio of all participating pension plans as of December 31 of the previous year is less than the target minimum aggregate solvency ratio as of the same date.

2. The amount of “J” is less than the amount of “K” where,

“J” is the sum of all monthly basic amortization contributions under section 7 that were made during the previous year to all participating pension plans.

“K” is the sum of all payments made from all participating pension plans during the previous year for unfunded benefits, as determined under subsection (13).  O. Reg. 196/11, s. 9 (1); O. Reg. 105/14, s. 9 (1).

(2) The employer (or a person or entity required to make contributions on behalf of the employer) shall make the supplemental contributions required by this section with respect to each year described in subsection (1).  O. Reg. 196/11, s. 9 (2).

(3) Supplemental contributions to be made to participating Ontario pension plans during a particular year before 2021 are determined in two stages:

1. Stage one:  Stage one supplemental contributions are determined for all participating Ontario pension plans with an adjusted solvency ratio that is less than its target solvency ratio as of December 31 of the previous year.

2. Stage two:  Stage two supplemental contributions are determined for all participating Ontario pension plans, if the aggregate supplemental contributions payable during the year are not fully allocated during stage one.  O. Reg. 196/11, s. 9 (3).

(4) Supplemental contributions to be made to Ontario pension plans during a particular year after 2020 are determined in two stages:

1. Stage one:  Stage one supplemental contributions are determined for all Ontario pension plans that, as of December 31, 2019, were participating pension plans with an adjusted solvency ratio that was less than its target solvency ratio.

2. Stage two:  Stage two supplemental contributions are determined for all Ontario pension plans that, as of December 31, 2019, were participating pension plans, if the aggregate supplemental contributions payable during the year are not fully allocated during stage one.  O. Reg. 196/11, s. 9 (4).

(5) The amount of the stage one supplemental contribution to be made to an Ontario pension plan during a particular year before 2021 is calculated using the formula,

L × M/N

in which,

  “L” is the lesser of,

(a) the amount of “N”, or

(b) the amount of the aggregate supplemental contribution that, under section 10, is payable during the year to all participating pension plans,

“M” is the greater of zero and the amount of the additional plan assets, if any, that would be needed to raise the Ontario pension plan’s adjusted solvency ratio so that it equals its target solvency ratio, both determined as of December 31 of the previous year, and

  “N” is the sum of the amounts of “M” for every participating pension plan.

O. Reg. 196/11, s. 9 (5).

(6) The amount of the stage two supplemental contribution, if any, to be made to an Ontario pension plan during a particular year before 2021 is calculated using the formula,

P × Q/R

in which,

“P” is the remaining amount, if any, of the aggregate supplemental contribution that, under section 10, is payable during the year to all participating pension plans and that has not been allocated during stage one (or under the corresponding provisions of the Quebec Regulation),

  “Q” is the amount of the adjusted solvency deficiency of the Ontario pension plan as of December 31 of the previous year, and

  “R” is the sum of the adjusted solvency deficiencies for every participating pension plan as of December 31 of the previous year.

O. Reg. 196/11, s. 9 (6).

(7) The amount of the stage one supplemental contribution to be made to an Ontario pension plan during a particular year after 2020 is calculated using the formula set out in subsection (5) but in which “M” is determined as of December 31, 2019.  O. Reg. 196/11, s. 9 (7).

(8) The amount of the stage two supplemental contribution to be made to an Ontario pension plan during a particular year after 2020 is calculated using the formula set out in subsection (6) but in which “Q” and “R” are determined as of December 31, 2019.  O. Reg. 196/11, s. 9 (8).

(9) The supplemental contributions payable during a year are payable as a lump sum on or before July 31.  O. Reg. 196/11, s. 9 (9).

(10) If, before December 31, 2020, an Ontario or Quebec Pension plan ceases to be a participating pension plan before the supplemental contribution with respect to a year is paid in whole or in part under this section (or under the corresponding provision of the Quebec Regulation) to that pension plan, the amount of the unpaid supplemental contribution shall be reallocated among the remaining participating pension plans in accordance with the formulas set out in subsections (5) and (6).  O. Reg. 196/11, s. 9 (10).

(11) The portion of the supplemental contribution reallocated to a particular participating Ontario pension plan is payable to the pension plan in the same year as it would have been payable to the formerly-participating pension plan.  O. Reg. 196/11, s. 9 (11).

(12) Supplemental contributions made under subsections (7) and (8) are deemed to be special payments under clause 5 (1) (e) of the General Regulation for purposes of the calculation of present value referred to in clause 1.2 (1) (d) of the General Regulation.  O. Reg. 196/11, s. 9 (12).

(12.1) Supplemental contributions made under subsections (7) and (8) are deemed to be special payments under clause 5 (1.0.0.1) (f) of the General Regulation for purposes of the calculation of present value referred to in clause 1.2 (1) (d.1) of the General Regulation. O. Reg. 251/18, s. 1.

(13) For the purposes of subsection (1), the amount of the payments made in a particular year from a pension plan for unfunded benefits is the amount determined in accordance with the following rules:

1. Calculate the amount of the payments made for unfunded pensions during the year using the formula,

S × (T – U)

in which,

“S” is the amount paid from the pension plan during the year for pensions,

“T” is 100 per cent, and

“U” is the adjusted solvency ratio of the pension plan as of December 31 of the previous year.

2. Determine the sum of the payments of unfunded commuted value made during the year from the pension plan, which is an amount equal to the sum of the transfer deficiencies that are transferred during the year from the pension plan,

i. excluding any transfer deficiencies paid from the pension plan during a year when the latest annual report indicates that the pension plan has a transfer ratio of one or more, and

ii. excluding any transfer deficiencies funded through contributions made to the pension plan that are in addition to the contributions required under this Regulation.

3. Add the amounts calculated in accordance with paragraphs 1 and 2.  O. Reg. 196/11, s. 9 (13); O. Reg. 105/14, s. 9 (2); O. Reg. 464/16, s. 4.

Amortization of aggregate supplemental contributions

10. (1) This section applies with respect to each year in which section 9 also applies.  O. Reg. 196/11, s. 10 (1).

(2) The amount of the aggregate supplemental contribution to be made with respect to a year in which section 9 applies is the greater of zero and the amount calculated using the formula,

V − W

in which,

  “V” is the sum of all payments made in the previous year from every participating pension plan for unfunded benefits, as determined under subsection 9 (13), and

“W” is the sum of all basic amortization contributions made during the previous year to every participating pension plan.

O. Reg. 105/14, s. 10.

(3) Despite subsection (2), the amount of the aggregate supplemental contribution to be made with respect to the first year in which section 9 applies is the lesser of $25 million and the amount determined under subsection (2).  O. Reg. 196/11, s. 10 (3).

(4) The aggregate supplemental contribution to be made with respect to a particular year — other than the first year in which section 9 applies — may be amortized over three years.  O. Reg. 196/11, s. 10 (4).

(5) If the aggregate supplemental contribution with respect to a particular year is amortized, it is payable in equal annual instalments during each of the three years that begin with the particular year, together with interest calculated at the same rate effective December 31 of the previous year that would be used to determine the minimum commuted value of a pension, deferred pension or ancillary benefit under subsection 29 (2) of the General Regulation.  O. Reg. 196/11, s. 10 (5).

(6) For the purposes of the calculations under section 9, the amount of the aggregate supplemental contribution that is payable during a particular year to all participating pension plans is the sum of the following amounts:

1. The amount of the aggregate supplemental contribution to be made with respect to the year, if that amount is not amortized under subsection (4).

2. The amounts, if any, that are payable under subsection (5) during the year, if the amount of the aggregate supplemental contribution for the year and any of the two preceding years has been amortized under subsection (4).  O. Reg. 196/11, s. 10 (6).

Special contributions re reduction in pulp and paper production capacity in Ontario

11. (1) The administrator of a participating Ontario pension plan shall notify the Superintendent if, under an agreement referred to in section 1, a special contribution to one or more participating Ontario pension plans is required as a result of a reduction in the employer’s pulp and paper production capacity in Ontario or Quebec before April 15, 2014.  O. Reg. 196/11, s. 11 (1); O. Reg. 105/14, s. 11 (1).

(2) The notice to the Superintendent must contain particulars of the special contribution required under the agreement.  O. Reg. 196/11, s. 11 (2).

(3) The employer (or a person or entity required to make contributions on behalf of the employer) shall make the special contribution to the participating Ontario pension plans in accordance with this section.  O. Reg. 196/11, s. 11 (3).

(4) The amount of the special contribution that must be made to a particular participating Ontario pension plan for a year is calculated using the formula,

Y × Z/AA

in which,

  “Y” is the aggregate amount of the special contribution that, under section 12, is payable during the year to all participating pension plans,

  “Z” is the amount of the adjusted solvency deficiency of the particular pension plan as of December 31 of the previous year, and

“AA” is the sum of the adjusted solvency deficiencies of all participating pension plans as of December 31 of the previous year.

O. Reg. 196/11, s. 11 (4); O. Reg. 105/14, s. 11 (2).

(5) Any special contribution payable for a year is payable as a lump sum on or before July 31.  O. Reg. 196/11, s. 11 (5).

(6) If an Ontario or Quebec pension plan ceases to be a participating pension plan before the special contribution for a year is paid under this section (or under the corresponding provision of the Quebec Regulation), the amount of the unpaid special contribution to be made to that pension plan shall be reallocated among the remaining participating pension plans in accordance with the formula set out in subsection (4).  O. Reg. 196/11, s. 11 (6); O. Reg. 105/14, s. 11 (3).

(7) The portion of the special contribution reallocated to a particular participating Ontario pension plan is payable to the pension plan in the same year as it would have been payable to the formerly-participating pension plan.  O. Reg. 196/11, s. 11 (7).

(8) At the Superintendent’s request, the administrator shall give the Superintendent such information and documents as the Superintendent may specify relating to the special contributions.  O. Reg. 196/11, s. 11 (8).

Amortization of aggregate special contributions

12. (1) This section applies if, under an agreement referred to in section 1, a special contribution to one or more participating Ontario pension plans is required for a year as a result of a reduction in the employer’s pulp and paper production capacity in Ontario or Quebec.  O. Reg. 196/11, s. 12 (1).

(2) The aggregate amount of the special contribution that is required for a particular year under the agreement may be amortized over four years.  O. Reg. 196/11, s. 12 (2).

(3) If the aggregate amount for a particular year is amortized, it is payable in equal annual instalments during each of the four years that begin with the particular year, together with interest calculated at the same rate effective December 31 of the previous year that would be used to determine the minimum commuted value of a pension, deferred pension or ancillary benefit under subsection 29 (2) of the General Regulation.  O. Reg. 196/11, s. 12 (3).

(4) For the purposes of the calculations under section 11, the aggregate amount of the special contribution that is payable during a particular year to all participating pension plans is the sum of the following amounts:

1. The aggregate amount of the special contribution that is required for the particular year, if that amount is not amortized under subsection (2).

2. The amounts, if any, that are payable under subsection (3) during the year, if the aggregate amount of the special contribution for the year and any of the three preceding years has been amortized under subsection (2).  O. Reg. 196/11, s. 12 (4).

Special payment for benefit improvements

13. (1) If benefit improvements are made under a participating Ontario pension plan, the employer (or a person or entity required to make contributions on behalf of the employer) shall make a special payment in accordance with this section to fund the additional liabilities related to the benefit improvements.  O. Reg. 196/11, s. 13 (1).

(1.1) Subsection (1) does not apply with respect to benefit improvements that are required by law.  O. Reg. 180/12, s. 1.

(2) The amount of the special payment is the greater of “BB” and “CC” where,

“BB”  is the increase in going concern liabilities attributable to the benefit improvements, determined as of the effective date of the benefit improvements, and

“CC”  is the increase in solvency liabilities attributable to the benefit improvements, determined as of the same date. O. Reg. 196/11, s. 13 (2).

(3) The special payment (together with interest from the effective date of the benefit improvements) is payable as a lump sum not more than 30 days after the report is filed under section 3 of the General Regulation.  O. Reg. 196/11, s. 13 (3).

(4) For the purposes of this Regulation, benefit improvements are made under a pension plan if an amendment to the plan affects the pensions, pension benefits or ancillary benefits provided by the plan and increases the amount of the normal cost, the going concern unfunded liabilities or the solvency deficiencies of the plan and if the amendment is filed on or after the day this Regulation comes into force.  O. Reg. 196/11, s. 13 (4).

Voluntary contributions

14. (1) This section applies if the employer (or a person or entity required to make contributions on behalf of the employer) wishes to make a contribution (a “voluntary contribution”) to any participating pension plan for a year and the contribution is not required under any other provision of this Regulation and is not a lump sum payment referred to in paragraph 3 of subsection 20 (2) to fund transfer deficiencies.  O. Reg. 196/11, s. 14 (1).

(2) If the employer wishes to make a voluntary contribution to one or more participating pension plans for a year, the employer (or a person or entity required to make contributions on behalf of the employer) shall make contributions to the participating Ontario pension plans in accordance with this section.  O. Reg. 196/11, s. 14 (2).

(3) Revoked:  O. Reg. 105/14, s. 12 (1).

(4) The amount of the voluntary contribution that must be made to a particular participating Ontario pension plan for a year is calculated using the formula,

DD × Z/AA

in which,

“DD” is the amount of the voluntary contribution for the year to be made to all participating pension plans,

  “Z” is the amount of the adjusted solvency deficiency of the particular pension plan as of December 31 of the previous year, and

“AA” is the sum of the adjusted solvency deficiencies of all participating pension plans as of December 31 of the previous year.

O. Reg. 196/11, s. 14 (4); O. Reg. 105/14, s. 12 (2).

(5) Any voluntary contribution payable for a year is payable as a lump sum.  O. Reg. 196/11, s. 14 (5); O. Reg. 105/14, s. 12 (3).

(6) For the purposes of the definition of “B” in subsection 5 (16) of the General Regulation, the total amount of contributions does not include a voluntary contribution made to a participating Ontario pension plan under this section if the contribution is required under an agreement referred to in section 1. O. Reg. 105/14, s. 12 (4).

Transition for Deferral of Contributions

Transition, annual reports

15. (1) This section applies if a joint election is filed in accordance with section 6. O. Reg. 105/14, s. 13.

(2) No later than June 30, 2014, the administrator of each participating Ontario pension plan shall file an annual report for the pension plan, prepared with a valuation date of December 31, 2012, that complies with the requirements of subsection 31 (3) as it read on December 31, 2012. O. Reg. 105/14, s. 13.

(3) No later than June 30, 2014, the administrator of each participating Ontario pension plan shall file an annual combined report about all of the pension plans, prepared with a valuation date of December 31, 2012, that complies with the requirements of subsection 35 (4) as it read on December 31, 2012. O. Reg. 105/14, s. 13.

(4) The annual report required by subsection (2) and the annual combined report required by subsection (3) must also contain the information required by subsection 31 (3), as it reads on April 15, 2014, with respect to the contribution required by section 7.1 and the deferred contributions required by sections 16 and 17. O. Reg. 105/14, s. 13.

Deferral re: additional contribution

16. (1) This section applies if,

(a) a joint election is filed in accordance with section 6; and

(b) the annual combined report filed under subsection 15 (3) discloses that the aggregate solvency ratio as of December 31, 2012 for all participating pension plans is less than the target aggregate solvency ratio as of the same date. O. Reg. 105/14, s. 13.

(2) The employer (or a person or entity required to make contributions on behalf of the employer) shall make an additional contribution in accordance with this section to a participating Ontario pension plan for 2013, and the amount of the additional contribution is calculated in accordance with subsections 8 (2) and (3) as they read on December 31, 2012. O. Reg. 105/14, s. 13.

(3) Payments to liquidate the amount of the additional contribution for 2013, with interest commencing on August 1, 2013 at the rate used for the solvency valuation in the annual report filed under subsection 15 (2), shall be made in equal monthly instalments over a period of five years beginning no later than December 31, 2021, despite subsection 8 (4) as it read on December 31, 2012. O. Reg. 105/14, s. 13.

(4) For the purposes of subsections 1.2 (1) and (2) of the General Regulation, the solvency asset adjustment must also include the present value of the payments described in subsection (3). O. Reg. 105/14, s. 13.

(5) Despite clauses 5 (1) (e) and 5 (1.0.0.1) (g) and subsection 5 (1.0.1) of the General Regulation, the payments described in subsection (3) are deemed to be special payments under subsection 5 (1) or 5 (1.0.0.1) of the General Regulation, as applicable, made for the purpose of liquidating a solvency deficiency. O. Reg. 251/18, s. 2.

(6) Subsection 5 (1.0.1) of the General Regulation does not apply to a participating Ontario pension plan in respect of the additional contribution. O. Reg. 105/14, s. 13.

Deferral re: corrective measures

17. (1) This section applies if,

(a) a joint election is filed in accordance with section 6; and

(b) as of a valuation date of December 31, 2013 or an earlier valuation date, the aggregate solvency ratio of all of the participating pension plans is less than the target aggregate solvency ratio by more than 5 per cent, according to any combined report filed under this Regulation either before or after this section comes into force. O. Reg. 105/14, s. 13.

(2) No later than June 30, 2014, the administrator of each participating Ontario pension plan shall file the notices, documents and actuarial cost certificates required by sections 15 and 16 as they read on December 31, 2011, with respect to the aggregate solvency ratio and target aggregate solvency ratio as of December 31, 2011, despite the deadlines set out in subsections 16 (1) and (2) as they read on that date. O. Reg. 105/14, s. 13.

(3) Payments to liquidate the amount of the contribution required to achieve the target ratios referred to in subsection (2), with interest at the rate used for the solvency valuation in the annual report, shall be made in equal monthly instalments over a period of five years beginning no later than December 31, 2021, despite subsection 15 (2) as it read on December 31, 2011. O. Reg. 105/14, s. 13.

(4) No later than June 30, 2014, the administrator of each participating pension plan shall file the notices, documents and actuarial cost certificates required by sections 15 and 16 as they read on December 31, 2012, with respect to the aggregate solvency ratio and target aggregate solvency ratio as of December 31, 2012, despite the deadlines set out in subsections 16 (1) and (2) as they read on that date. O. Reg. 105/14, s. 13.

(5) Payments to liquidate the amount of the contribution required to achieve the target ratios referred to in subsection (4), with interest at the rate used for the solvency valuation in the annual report, shall be made in equal monthly instalments over a period of five years beginning no later than December 31, 2021, despite subsection 15 (2) as it read on December 31, 2012. O. Reg. 105/14, s. 13.

(6) No later than nine months after the combined report with a valuation date of December 31, 2013 is filed, the administrator of each participating pension plan shall file the notices, documents and actuarial cost certificates required by sections 15 and 16 as they read on December 31, 2013, with respect to the aggregate solvency ratio and target aggregate solvency ratio as of December 31, 2013. O. Reg. 105/14, s. 13.

(7) Payments to liquidate the amount of the contribution required to achieve the target ratios referred to in subsection (6), with interest at the rate used for the solvency valuation in the annual report, shall be made in equal monthly instalments over a period of five years beginning no later than December 31, 2021, despite subsection 15 (2) as it read on December 31, 2013. O. Reg. 105/14, s. 13.

(8) For the purposes of subsections 1.2 (1) and (2) of the General Regulation, the solvency asset adjustment must also include the present value of the payments described in subsections (3), (5) and (7). O. Reg. 105/14, s. 13.

(9) Despite clauses 5 (1) (e) and 5 (1.0.0.1) (g) and subsection 5 (1.0.1) of the General Regulation, the payments described in subsections (3), (5) and (7) are deemed to be special payments under subsection 5 (1) or clause 5 (1.0.0.1) (g) of the General Regulation, as applicable, made for the purpose of liquidating a solvency deficiency. O. Reg. 251/18, s. 3.

(10) Subsection 5 (1.0.1) of the General Regulation does not apply to a participating Ontario pension plan in respect of the contributions referred to in subsections (3), (5) and (7). O. Reg. 105/14, s. 13.

Other Payments and Transfers

Wind up of participating pension plans

18. (1) Subsection 75 (1) of the Act does not apply with respect to the partial wind up of a participating pension plan with an effective date on or after the day this Regulation comes into force.  O. Reg. 196/11, s. 18 (1).

(2) Subsection 75 (1) of the Act does not apply with respect to the partial wind up of a participating pension plan with an effective date prior to the day this Regulation comes into force unless a report was filed under section 32 of the General Regulation before the day this Regulation comes into force certifying that there is no further amount to be funded under section 75 of the Act.  O. Reg. 196/11, s. 18 (2).

(3) However, if the participating pension plan is subsequently wound up in whole, the employer (or a person or entity required to make contributions on behalf of the employer) shall pay into the pension fund the unpaid amount that would have been due under subsection 75 (1) of the Act with respect to the partial wind up, but for the application of subsection (1) or (2).  O. Reg. 196/11, s. 18 (3).

(4) The liability created by subsection (3) shall be funded by the employer by special payments payable in equal amounts annually in advance over a period not exceeding five years from the effective date of the wind up of the pension plan in whole.  O. Reg. 196/11, s. 18 (4).

Partial wind up, transfers for former members

19. (1) This section applies after a wind up report is filed for the partial wind up of a participating pension plan.  O. Reg. 196/11, s. 19 (1).

(2) With the approval of the Superintendent under subsection 70 (3) of the Act, a member of the pension plan who is affected by the partial wind up may require the administrator to transfer under subsection 42 (1) of the Act an amount equal to the commuted value of the member’s deferred pension.  O. Reg. 196/11, s. 19 (2).

(3) If the Superintendent approves the transfers described in subsection (2), a statement containing the information required by subsection 72 (1) of the Act must be given to the persons affected by the approval within 60 days after the administrator receives notice of the approval.  O. Reg. 196/11, s. 19 (3).

(4) Subsections 70 (2) and (4) of the Act and subsection 28 (2.1) of the General Regulation do not apply if the Superintendent approves the transfers described in subsection (2).  O. Reg. 196/11, s. 19 (4).

(5) Clause 29 (8) (b) of the General Regulation does not apply with respect to the partial wind up.  O. Reg. 196/11, s. 19 (5).

Transfer of commuted value

20. (1) This section applies with respect to a transfer under subsection 42 (1) of the Act of the commuted value of a former member’s pension, deferred pension or ancillary benefit from a participating pension plan by a member who terminates membership in the plan whether in the normal course or as part of a partial wind up referred to in section 19.  O. Reg. 196/11, s. 20 (1).

(2) Section 19 of the General Regulation applies with respect to the transfer, with the following modifications:

1. Clause 19 (6) (b) of the General  Regulation does not apply with respect to the transfer.

2. Despite subsection 19 (7) of the General Regulation, if less than 100 per cent of the commuted value of a pension, deferred pension or ancillary benefit is transferred, the balance shall be transferred by the administrator five years after the date of the initial transfer. 

3. However, the balance shall be transferred in less than five years if a lump sum payment was made to the pension plan at an earlier date to fund the transfer deficiency, and if that lump sum payment was made in addition to the contributions required by sections 7 to 13.

4. If, after the initial transfer is made, the pension plan ceases to be a participating pension plan, the employer (or person or entity required to make contributions on behalf of the employer) shall make contributions to fund any remaining transfer deficiency within five years after the initial payment.  Those contributions must be made in addition to those for the normal cost and the special payments required under subsection 4 (2) of the General Regulation.

5. The contributions required by paragraph 4 must be made annually in advance and no later than January 31 of each year.

6. The contributions required by paragraph 4 are deemed to be special payments under clause 5 (1) (e) of the General Regulation for purposes of the calculation of present value referred to in clause 1.2 (1) (d) of the General Regulation.  O. Reg. 196/11, s. 20 (2); O. Reg. 105/14, s. 14; O. Reg. 251/18, s. 4.

7. The contributions required by paragraph 4 are deemed to be special payments under clause 5 (1.0.0.1) (f) of the General Regulation for purposes of the calculation of present value referred to in clause 1.2 (1) (d.1) of the General Regulation. O. Reg. 196/11, s. 20 (2); O. Reg. 105/14, s. 14; O. Reg. 251/18, s. 4.

Payment of Guarantee Fund assessment

21. (1) The administrator of a participating pension plan shall not use contributions made under sections 7 to 13 or under paragraph 3 or 4 of subsection 20 (2) (or under the corresponding provisions of the Quebec Regulation) to pay the annual Guarantee Fund assessment for the pension plan.  O. Reg. 196/11, s. 21 (1); O. Reg. 105/14, s. 15.

(2) Nothing in this Regulation relieves an employer from the obligation under section 37 of the General Regulation to pay the annual Guarantee Fund assessment for a participating pension plan.  O. Reg. 196/11, s. 21 (2).

Guarantee Fund, calculation of guaranteed benefits

22. (1) This section applies if an order is made under subsection 83 (1) of the Act declaring that the Guarantee Fund applies to a participating pension plan.  O. Reg. 196/11, s. 22 (1).

(2) For the purpose of determining the amount that the administrator is required by subsection 34 (3) of the General Regulation to pay to each person who is entitled on wind up to payment of benefits or other amounts guaranteed by the Guarantee Fund, the amount calculated under this section shall be substituted for the amount of the variable “A” in paragraph 2 of that subsection.  O. Reg. 180/12, s. 2 (1).

(3) The substitute amount is calculated using the formula,

(EE – FF + GG) × HH

in which,

“EE”  is 100 per cent,

“FF” is the solvency ratio of the pension plan as of December 31, 2010,

“GG” is the lesser of FF and the ratio D/E, where “D” and “E” have the same meaning as in paragraph 1 of subsection 34 (4) of the General Regulation.

“HH” is the sum of the benefits and other amounts for the person that are included in the calculation of the Guaranteed Benefit liability under subsection 34 (5) of the General Regulation.

O. Reg. 196/11, s. 22 (3); O. Reg. 180/12, s. 2 (2, 3).

(4) This section ceases to apply with respect to a pension plan on the later of the following dates:

1. The date on which the pension plan ceases to be a participating pension plan.

2. The date that is three years after the date specified in the election filed under subsection 3 (2) for an Ontario pension plan or under the corresponding provision of the Quebec Regulation for a Quebec pension plan.  O. Reg. 196/11, s. 22 (4).

Financial and Actuarial Matters

Adjusted solvency assets

23. The adjusted solvency assets of an Ontario pension plan as of a particular valuation date is the amount of the solvency assets of the plan excluding,

(a) any estimated wind up expenses; and

(b) any accrued or receivable contributions not yet received as of the filing date of the report required by this Regulation with respect to the valuation date.  O. Reg. 196/11, s. 23.

Adjusted solvency deficiency

24. The adjusted solvency deficiency of an Ontario pension plan as of a particular valuation date is the amount, if any, by which the solvency liabilities exceed the adjusted solvency assets of the pension plan.  O. Reg. 196/11, s. 24.

25. Revoked: O. Reg. 105/14, s. 16.

Full funding of Ontario pension plans

26. An Ontario pension plan is considered to be fully funded as of a particular valuation date, for the purposes of this Regulation, if either of the following criteria is satisfied:

1. The solvency assets of the pension plan are equal to or greater than its solvency liabilities as of the valuation date.

2. After the valuation date, no special payments would have been required under either of the following provisions if the provisions had applied to the Ontario pension plan on the valuation date:

i. Subsection 5 (1) of the General Regulation.

ii. Section 5.6 of the General Regulation, as that section read immediately before May 1, 2018. O. Reg. 196/11, s. 26; O. Reg. 251/18, s. 5.

Various ratios about solvency

27. (1) The solvency ratio of an Ontario pension plan as of a particular valuation date is calculated by dividing the solvency assets by the solvency liabilities.  O. Reg. 196/11, s. 27 (1).

(2) The adjusted solvency ratio of an Ontario pension plan as of a particular valuation date is calculated by dividing the adjusted solvency assets by the solvency liabilities.  O. Reg. 196/11, s. 27 (2).

(3) The aggregate solvency ratio of all of the participating pension plans as of a particular valuation date is the amount calculated using the formula,

(JJ – KK) / LL

in which,

“JJ” is the sum of the adjusted solvency assets of all of the participating pension plans,

“KK” is the sum of all special contributions made under section 11 to all of the participating pension plans, and

“LL”  is the sum of the solvency liabilities of all of the participating pension plans.

O. Reg. 196/11, s. 27 (3).

(4) The target solvency ratio of an Ontario pension plan as of a particular valuation date is the lesser of 100 per cent and the percentage determined by adding the following percentage to the adjusted solvency ratio of the plan as of December 31, 2010:

1. For December 31, 2011 and 2012, 0 per cent.

2. For December 31, 2013 and 2014, 1 per cent.

3. For December 31, 2015, 2 per cent.

4. For December 31, 2016, 3 per cent.

5. For December 31, 2017, 5 per cent.

6. For December 31, 2018, 8 per cent.

7. For December 31, 2019, 10 per cent.  O. Reg. 196/11, s. 27 (4).

(5) The target aggregate solvency ratio of all of the participating pension plans as of a particular valuation date is the lesser of 100 per cent and the percentage determined by adding the following percentage to the aggregate solvency ratio as of December 31, 2010:

1. For December 31, 2011 and 2012, 0 per cent.

2. For December 31, 2013 and 2014, 1 per cent.

3. For December 31, 2015, 2 per cent.

4. For December 31, 2016, 3 per cent.

5. For December 31, 2017, 5 per cent.

6. For December 31, 2018, 8 per cent.

7. For December 31, 2019, 10 per cent.  O. Reg. 196/11, s. 27 (5).

(6) The target minimum aggregate solvency ratio of all of the participating pension plans as of a particular valuation date is calculated by subtracting 2 per cent from the target aggregate solvency ratio.  O. Reg. 196/11, s. 27 (6).

(7) The ratios are expressed as a percentage and are rounded to the nearest 0.1 per cent.  O. Reg. 196/11, s. 27 (7).

Reports to the Superintendent

Overview of reports

28. (1) The administrator of each Ontario pension plan shall prepare and file the following reports in accordance with this Regulation:

1.-4. Revoked: O. Reg. 105/14, s. 17 (1).

5. An annual report for the pension plan, prepared with a valuation date of December 31 in 2013 and in each subsequent year in which the pension plan is a participating Ontario pension plan.

6. An annual combined report for all participating pension plans, prepared as of December 31 in 2013 and in each subsequent year in which the pension plan is a participating Ontario pension plan.

7. A final report as of the date on which the pension plan ceases to be a participating Ontario pension plan.  O. Reg. 196/11, s. 28 (1); O. Reg. 105/14, s. 17 (2, 3).

(2) The reports described in paragraphs 5 and 7 of subsection (1) that are prepared and filed in accordance with this Regulation are deemed, for the purposes of the General Regulation, to have been prepared and filed under section 3 or 14 of that regulation, as the case may be.  O. Reg. 196/11, s. 28 (2); O. Reg. 105/14, s. 17 (4).

(3) For the purposes of subsection 4 (5) of the General Regulation, the most recent of the annual reports or final report prepared and filed in accordance with this Regulation is considered to be the most recently filed report for the pension plan.  O. Reg. 196/11, s. 28 (3).

(4) The reports described in subsection (1) must be prepared by an actuary and the actuary shall certify that the reports were prepared using methods and actuarial assumptions that are consistent with accepted actuarial practice and with the requirements of the Act, this Regulation and the General Regulation, as applicable.  O. Reg. 196/11, s. 28 (4); O. Reg. 105/14, s. 17 (5).

(5) Where a report requires information to be provided about contributions and payments to the Quebec pension plans, references to a provision of this Regulation shall be read as if the reference were to the corresponding provision of the Quebec Regulation.  O. Reg. 196/11, s. 28 (5).

29., 30. Revoked: O. Reg. 105/14, s. 18.

Annual reports, participating Ontario pension plans

31. (1) The administrator of a participating Ontario pension plan shall cause the pension plan to be reviewed annually and a report prepared with a valuation date of December 31, beginning in 2013.  O. Reg. 196/11, s. 31 (1); O. Reg. 105/14, s. 19 (1).

(2) The annual report must be filed no later than June 30 of the following year.  O. Reg. 196/11, s. 31 (2).

(3) Every annual report must contain the following information:

1. Going concern valuation: The information required by subsection 14 (7) or (8.0.2) of the General Regulation, as applicable.

2. Solvency valuation: The information required by subsection 14 (8) or (8.0.4) of the General Regulation, as applicable.

2.1 Other funding information: The information required by subsections 14 (8.0.5) and (8.0.6) of the General Regulation.

3. Adjusted solvency metrics:  The amount of the adjusted solvency assets, the adjusted solvency deficiency and the adjusted solvency ratio of the pension plan as of the valuation date.

4. Aggregate solvency metrics:  The aggregate solvency ratio of all of the participating pension plans as of the valuation date.

5. Target solvency metrics:  The target aggregate solvency ratios of all of the participating pension plans for each year from 2011 to 2019, the target minimum aggregate solvency ratios for all of the participating pension plans for each year from 2015 to 2019 and the target solvency ratios of the particular pension plan for each year from 2015 to 2019.

6. Basic amortization contributions under section 7 or 8, as the case may be: 

i. The sum of all annual basic amortization contributions that must be made to all participating pension plans for the 12-month period that begins on July 1 of the year after the valuation date.

ii. The amount of the basic amortization contributions to be made to the particular pension plan during the same 12-month period.

7. Adjustment to basic amortization contribution under section 7.1:

i The sum of all contributions, if any, made to all participating pension plans under section 7.1 during 2013 or 2014, as the case may be.

ii. The amount of the contributions made to the particular pension plan under section 7.1 during 2013 or 2014, as the case may be.

8. Supplemental contributions under section 9 (for valuation dates from December 31, 2015 to December 31, 2018):

i. The sum of all supplemental contributions described in section 9 to be made, if any, in each of the three years after the valuation date to all participating pension plans.

ii. The amount of the supplemental contributions described in section 9 to be made, if any, for the year after the valuation date to the particular pension plan.

iii. The amount of the additional plan assets, if any, that would be needed to raise the particular pension plan’s adjusted solvency ratio so that it equals its target solvency ratio, both determined as of the valuation date.

iv. The amount of transfer deficiencies that were transferred from the plan during the year, as determined under paragraph 2 of subsection 9 (13).

v. The amount of payments made from the plan during the year for unfunded benefits as determined under subsection 9 (13).

vi. The amount of payments made from the plan during the year for pensions.

9. Supplemental contributions under section 9 (for a valuation date December 31, 2019):

i. The information required in paragraph 8.

ii. The amount of the supplemental contributions described in section 9 to be made, if any, in each of the three years after the valuation date to the particular pension plan.

10. Special contributions re reduction of pulp and paper production capacity before April 15, 2014:

i. The sum of all special contributions described in section 11 to be made, if any, in each of the four years after the valuation date to the participating pension plans.

ii. The amount of the special contributions described in section 11 to be made, if any, for the year after the valuation date to the particular pension plan.

iii. The sum of all special contributions described in section 11 made in any year prior to the valuation date.

11. Special payments for benefit improvements:  The amount of any special payment described in section 13 to be made not more than 30 days after the filing of the annual report in order to fund benefit improvements.

12. Voluntary contributions:  The amount of any voluntary contributions as described in section 14 made to all participating pension plans during the year and the amount of the voluntary contribution made to the particular pension plan.

12.1 Deferral of additional contribution under section 16:

i. The sum of all payments required to liquidate the amount of the additional contribution that must be made to all participating Ontario pension plans under subsection 16 (3).

ii. The payments required to liquidate the amount of the additional contribution that must be made to the particular pension plan under subsection 16 (3).

12.2 Deferral of contributions for corrective measures under section 17:

i. The sum of all payments required to liquidate the amount of the contribution that must be made to all Ontario pension plans under subsections 17 (3), (5) and (7) respectively.

ii. The payments required to liquidate the amount of the contribution that must be made to the particular pension plan under subsections 17 (3), (5) and (7) respectively.

13. Contributions to fund transfer deficiencies (for a valuation date of December 31, 2015 or later):  The amount of any contributions to be made in each year after December 31, 2020 that are referred to in paragraph 4 of subsection 20 (2) in order to fund transfer deficiencies.

14. Guarantee Fund, ratio to calculate guaranteed benefits:  The solvency ratio of the particular pension plan as of December 31, 2010.  O. Reg. 196/11, s. 31 (3); O. Reg. 71/12, s. 2; O. Reg. 105/14, s. 19 (2-4); O. Reg. 464/16, s. 5; O. Reg. 251/18, s. 6.

Final report, participating Ontario pension plans

32. (1) The administrator of an Ontario pension plan shall cause the pension plan to be reviewed and shall file a final report using as a valuation date the date on which the pension plan ceases to be a participating plan.  O. Reg. 196/11, s. 32 (1).

(2) The final report must be filed within nine months after the valuation date.  O. Reg. 196/11, s. 32 (2).

(3) The final report must satisfy the requirements of sections 3 and 14 of the General Regulation, as applicable in the circumstances, and must be prepared in accordance with such other provisions of the General Regulation as apply with respect to reports under those sections.  O. Reg. 196/11, s. 32 (3).

33., 34. Revoked: O. Reg. 105/14, s. 20.

Annual combined reports, all participating pension plans

35. (1) The administrator of each participating Ontario pension plan shall prepare an annual combined report about all of the participating pension plans, to be prepared for a valuation date of December 31, beginning in 2013.  O. Reg. 196/11, s. 35 (1); O. Reg. 105/14, s. 21 (1).

(2) The annual combined report must be filed no later than June 30 of the following year.  O. Reg. 196/11, s. 35 (2).

(3) The administrator of a particular pension plan is not required to file an annual combined report after the particular pension plan ceases to be a participating pension plan.  O. Reg. 196/11, s. 35 (3).

(4) Every annual combined report must contain the following information:

1. Pension plans no longer participating:  The names of the Ontario and Quebec pension plans that have ceased to be participating pension plans, and the effective date of the cessation.

2. Solvency valuation:  The amount of the solvency assets and solvency liabilities of each of the participating pension plans.

3. Adjusted solvency metrics:  The information required by paragraph 3 of subsection 31 (3) for every participating pension plan.

4. Aggregate solvency metrics:  The information required by paragraph 4 of subsection 31 (3) for every participating pension plan.

5. Target solvency metrics:  The information required by paragraph 5 of subsection 31 (3) for every participating pension plan.

6. Basic amortization contributions under section 7 or 8, as the case may be:  The information required by paragraph 6 of subsection 31 (3) for every participating pension plan.

7. Adjustment to basic amortization contribution under section 7.1:  The sum of all contributions, if any, made to all participating Ontario pension plans under section 7.1 during 2013 or 2014, as the case may be.

8. Supplemental contributions under section 9 (for a valuation date of December 31, 2015 or later): 

i. The information required by paragraph 8 or 9 of subsection 31 (3) for every participating pension plan.

ii. For each participating pension plan, the amount of the additional plan assets, if any, that would be needed to raise the plan’s adjusted solvency ratio so that it equals its target solvency ratio, both determined as of the valuation date.

iii. The aggregate of transfer deficiencies that were transferred from all participating pension plans during the year, as determined under paragraph 2 of subsection 9 (13).

iv. For each participating pension plan, an estimate of the amount of the payments to be made from the pension plan during each of the next five years for unfunded benefits.

9. Special contributions described in section 11 re reduction of pulp and paper production capacity before April 15, 2014:  The information required by paragraph 10 of subsection 31 (3) for every participating pension plan.

10. Voluntary contributions:  The aggregate amount of any voluntary contributions as described in section 14 made to all of the participating pension plans during the year, and the amount of the voluntary contribution made to each participating pension plan.

11. Deferral of additional contribution under section 16:  The information required by paragraph 12.1 of subsection 31 (3) for every participating pension plan.

11.1 Deferral of contributions for corrective measures under section 17:  The information required by paragraph 12.2 of subsection 31 (3) for every participating pension plan.

12. Guarantee Fund, ratio to calculate guaranteed benefits:  The information required by paragraph 14 of subsection 31 (3) for every participating pension plan to which the Guarantee Fund may apply under subsection 83 (1) of the Act.

13. Such other information about all of the participating pension plans as may be required in the corresponding report required under the Quebec Regulation.  O. Reg. 196/11, s. 35 (4); O. Reg. 105/14, s. 21 (2-4); O. Reg. 464/16, s. 6.

(5) At the Superintendent’s request, the administrator of a participating Ontario pension plan shall give the Superintendent such information and documents as the Superintendent may specify to enable the Superintendent to verify the contents of an annual combined report.  O. Reg. 196/11, s. 35 (5).

Extension of time

35.1 Reports referred to in subsection 6 (5) and sections 15, 17, 31 and 35 and actuarial cost certificates referred to in subsection 6 (5) are prescribed documents for the purposes of paragraph 1 of subsection 105 (2) of the Act (filing deadlines). O. Reg. 105/14, s. 22.

Information for Members, Former Members and Retired Members

Statement for members, former members and retired members

36. (1) Each year, the administrator of a participating Ontario pension plan shall give a statement to the members, former members and retired members described in this section at their last known address.  O. Reg. 180/12, s. 3 (1).

(2) The statement must contain the following information:

1. The name and registration number of the pension plan.

2. The administrator’s name and contact information.

3. The name of the member, former member or retired member, and a statement indicating whether he or she is a member, former member or retired member of the pension plan.

4. For a member of the pension plan, a statement indicating whether he or she is represented by a trade union as of the date of the statement.

5. An explanation of how the security of the pension benefits and the ancillary benefits for members, former members and retired members might be affected as a result of the operation of this Regulation.

6. The amount of the solvency deficiency of the pension plan as of the valuation date of the most recent annual report.

7. The transfer ratio of the pension plan as of that valuation date.

8. The amount of the contributions and payments required by sections 6 to 14 to be made to the pension plan during the one-year period immediately after that valuation date.

9. The amount of all special payments that — but for this Regulation — would have been required under the General Regulation to be made during the year after the valuation date of the most recent prior report.  O. Reg. 196/11, s. 36 (2); O. Reg. 180/12, s. 3 (2, 3).

(3) The administrator is required to give the statement to each member who, under the pension plan, has a pension benefit that includes a defined benefit.  O. Reg. 196/11, s. 36 (3).

(4) The administrator is required to give the statement to each former member whose deferred pension includes a defined benefit, but not to a former member who no longer has any entitlement to payments from the pension plan.  O. Reg. 180/12, s. 3 (4).

(5) The administrator is required to give the statement to each retired member whose pension includes a defined benefit, but not to a retired member who no longer has any entitlement to payments from the pension plan.  O. Reg. 180/12, s. 3 (4).

(6) However, no statement is required if the administrator has received notice of the death of the member, former member or retired member.  O. Reg. 180/12, s. 3 (4).

Statement for bargaining agents

37. (1) Each year, the administrator of a participating Ontario pension plan shall give a statement to any trade union that represents members of the pension plan who are entitled to receive the statement under section 36.  O. Reg. 196/11, s. 37 (1).

(2) The statement must contain the information described in paragraphs 1, 2 and 5 to 9 of subsection 36 (2).  O. Reg. 196/11, s. 37 (2).

Exemptions

Additional exemptions from the Act and General Regulation

38. (1) An employer is exempt, in respect of a participating pension plan, from subsection 57 (3) of the Act, except with respect to contributions required under this Regulation, until it ceases to be a participating pension plan.  O. Reg. 196/11, s. 38 (1).

(2) Despite subsection (1), an employer is exempt, in respect of a participating pension plan, from subsection 57 (3) of the Act with respect to contributions required prior to December 9, 2010.  O. Reg. 196/11, s. 38 (2).

(3) An employer is exempt, in respect of a participating pension plan, from subsection 57 (4) of the Act before the effective date of the wind up in whole of the pension plan or before the date the pension plan ceases to be a participating pension plan.  O. Reg. 196/11, s. 38 (3). 

(4) A participating pension plan is exempt from the following requirements of the Act and the General Regulation until it ceases to be a participating pension plan:

0.1 The requirements of section 55.1 (Contribution holidays) of the Act.

1. The requirement in clause 4 (2) (b) of the General Regulation to pay normal costs for any defined benefits provided in respect of employment before January 1, 2011.

2. The requirement in clauses 4 (2) (c) and (c.1) of the General Regulation to make special payments, including any special payments required in respect of the period before this Regulation comes into force.

3. All requirements of sections 7 to 7.0.3 and 12 of the General Regulation that apply with respect to any report filed under this Regulation and any report filed under the General Regulation before this Regulation comes into force.

4. All requirements of section 14 (reports) of the General Regulation, except as otherwise specified in other provisions of this Regulation.  O. Reg. 196/11, s. 38 (4); O. Reg. 251/18, s. 7.

39. Omitted (provides for coming into force of provisions of this Regulation).  O. Reg. 196/11, s. 39.

schedule 1
ontario pension plans

1. Pension Plan for Ontario Hourly Employees of Resolute Forest Products (registration number 202440).

2. Retirement Plan for Unionized Employees of Resolute Forest Products (Thorold) (registration number 294496).

3. Employees’ Retirement Plan (1972) of Resolute Forest Products (registration number 260901).

4. Supervisory Employees’ Retirement Plan (1976) of Resolute Forest Products (registration number 575324).

5. Executive Staff Retirement Plan (1976) of Resolute Forest Products (registration number 355511).

O. Reg. 196/11, Sched. 1; O. Reg. 105/14, s. 23.

schedule 2
quebec pension plans

1. Pension Plan for Unionized Employees of Abitibi-Consolidated Company of Canada (registration number 24239).

2. Pension Plan for Non-Union Employees of Abitibi-Consolidated Inc. (registration number 101793).

3. Pension Plan for Executive Employees of Abitibi-Consolidated Inc. (registration number 30064).

4. Supplementary Pension Plan for Unionized Employees of Abitibi-Consolidated Company of Canada — Pulp and Paper Division — Clermont Sector (registration number 22112).

5. Supplementary Pension Plan for Unionized Employees of Abitibi-Consolidated Company of Canada — Pulp and Paper Division — Amos Sector (registration number 27066).

6. Supplementary Pension Plan for Unionized Employees of Abitibi-Consolidated Company of Canada — Pulp and Paper Division — Baie-Comeau Sector (registration number 22322).

7. Employees Retirement Plan (1988) of Bowater Canadian Forest Products Inc. (registration number 30670).

8. Employees’ Retirement Plan (1946) of Bowater Canadian Forest Products Inc. (registration number 5839).

9. Pension Plan for Non-Union Employees (1995) of Bowater Canadian Forest Products Inc. (registration number 31383).

10. Pension Plan for Union Employees (1994) of Bowater Canadian Forest Products Inc. (registration number 31384).

O. Reg. 196/11, Sched. 2; O. Reg. 71/12, s. 3.