Order in Council 421/2017

On the recommendation of the undersigned, the Lieutenant Governor of Ontario, by and with the advice and concurrence of the Executive Council of Ontario, orders that:

Whereas the Government of Ontario has committed to strengthening the retirement income system with certain measures, including by establishing the Investment Management Corporation of Ontario (IMCO) to improve the management of public sector and broader public sector (hereinafter referred to together as “BPS”) investment funds;

And whereas IMCO was established on July 1, 2016, pursuant to the Investment Management Corporation of Ontario Act, 2015, for the purposes of enabling BPS organizations to lower administration costs and help improve investment returns by pooling their assets;

And whereas IMCO will provide investment management services and advisory services to participating organizations in Ontario’s BPS;

And whereas it is expected that a number of employees will be transferred to IMCO from their employment at the Ontario Pension Board (OPB), where they are currently members of the Public Service Pension Plan (PSPP) set out in Schedule 1 as amended under the Public Service Pension Act, R.S.O. 1990, Chapter P. 48 (PSPA);

And whereas it is expected that other employees will be transferred from the Workplace Safety and Insurance Board where they are also currently members of a final average earnings defined benefit pension plan;

And whereas the Lieutenant Governor in Council considers it reasonable and appropriate for IMCO to enable former employees of the Ontario Public Service who are employees of IMCO to continue to participate in the PSPP and to also enable other employees of IMCO to join the PSPP;

And whereas members of the PSPP whose salaries exceed the thresholds set out under the Income Tax Act (Canada) also make contributions to and receive benefits from the Public Service Supplementary Benefits Account that has been continued under Order in Council O.C. 3044/98 as amended by Order in Council O.C. 1905/2209 and as may be further amended from time to time;

And whereas IMCO has entered into an agreement to address its financial obligations in respect of its employees who participate in the PSPP and, where applicable, the PSSBA including the obligations to make ongoing employer contributions and to pay any pro rata share of unfunded liability under the PSPP and PSSBA in respect of its employees as well as to indemnify the Crown against liabilities incurred in connection with the participation of its employees in the PSPP;

And whereas IMCO will be entering into a participation agreement with the OPB and will agree in it to assume a number of obligations and responsibilities in respect of its participation in the PSPP and PSSBA including to: assume all the responsibilities of an employer under the PSPP, PSSBA and the Pension Benefits Act, maintain a letter of credit as security to the PSPP and PSSBA for six months of expected contributions, provide true and accurate records to the OPB regarding plan members and produce such records as may be required by the OPB to administer the PSPP and PSSBA;

Now therefore pursuant to Section 6 of the PSPA, the PSPP set out in schedule 1 thereunder, as amended, be further amended as follows:

1. Section 1 is amended by inserting the following as a new paragraph (d) in the definition of “employer” and marking the current paragraph (d) as a new paragraph (e):
   4. the Investment Management Corporation of Ontario.
2. Paragraph 2(1) 2 is revoked and replaced with the following:
   2. A class of employees of any agency, board, commission, corporation, foundation, organization or public body that is established under an Act of the Legislature and that is designated by order of the Lieutenant Governor in Council as one whose employees in that class are required to be members of the Plan.
3. Clause 2(2) 1. (b) is revoked and replaced with the following:
   2. by an agency, board, commission, corporation, foundation, organization or public body designated by order of the Lieutenant Governor in Council as one whose employees in a designated class are members of the plan.

And pursuant to paragraph 2 of subsection 2(1) of the PSPP, all permanent full-time employees of IMCO are designated as a class of employees required to be members of the PSPP, in respect of service with IMCO on or after July 1, 2016.