Case Management Masters Supplemental Pension Plan 

  1. Introduction

    1. Establishment

      This Case Management Masters Supplemental Pension Plan is established by the Order in Council.

    2. CMM Supplemental Plan Provisions

      This Schedule 1 to the Order in Council constitutes the provisions of the CMM Supplemental Plan and applies to Members and Former Members in respect of service as a Case Management Master.

    3. Purpose

      The primary purpose of the CMM Supplemental Plan is to provide additional pension benefits to Case Management Masters who ceased or will cease to hold office on or after April 1, 2011 in respect of all of their service as Case Management Masters.

  2. Construction and Interpretation

    1. Construction

      The division of this CMM Supplemental Plan text into sections, subsections, clauses, and the insertion of headings, sub-headings, an introduction, and a table of contents is for convenience and reference only and shall not affect the construction or interpretation of the CMM Supplemental Plan.

    2. Interpretation

      The provisions of the CMM Supplemental Plan are to be interpreted in the same manner as the provisions of the PSPP subject to necessary modifications.

    3. Conflicts with the PSPP

      If there is a conflict or inconsistency between the CMM Supplemental Plan and the PSPP, the CMM Supplemental Plan prevails.

    4. Elections under the PSPP apply to the CMM Supplemental Plan

      Any choice, selection, election or waiver made or deemed to be made under the PSPP that can apply shall apply to the CMM Supplemental Plan including but not limited to the following:

      1. the type or form of a pension benefit,
      2. the pension commencement date,
      3. the designation of beneficiaries and recipients,
      4. joint and survivor pensions,
      5. the division of pension assets on marriage breakdown except that any payment from the CMM Supplemental Plan to the Member’s spouse in respect of the value of the spouse’s pension benefit that is made prior to the date of pension commencement shall be paid in cash as a lump sum, or
      6. shortened life expectancy.

  3. Definitions

    1. Definitions

      In this Schedule 1,

      “Account”
      means the Supplemental Pension Account for Case Management Masters established within the Consolidated Revenue Fund.
      “Act”
      means the Public Service Pension Act, R.S.O. 1990, c. P.48, as amended from time to time.
      “Administrator”
      means the Ontario Public Service Pension Board referred to in the PSPP or any other person with whom the Minister has entered into an agreement to administer the CMM Supplemental Plan.
      “Average Annual Salary”
      means the average of the Member's annual salary rate in each month of the period of 36 consecutive months of service as a Case Management Master which produces the highest average or, if the number of consecutive months is less than 36, the total number of consecutive months.
      “Case Management Master” or “CMM”
      means a person appointed as a Case Management Master by the Lieutenant Governor in Council pursuant to section 86.1 of the Courts of Justice Act.
      “CMM Supplemental Plan”
      means the payments from, contributions to, and the terms and conditions placed upon the Account by the Order in Council, including this Schedule 1.
      “Credit”
      when used in reference to credit in the CMM Supplemental Plan has the same meaning as under the PSPP, including with respect to the accrual of credit while a Member qualifies for a benefit under the long term income protection plan, except that credit:
      1. is restricted to the period of time for which contributions, including contributions for the purchase of prior service, have been or are being made to the PSPP in respect of service as a Case Management Master; and
      2. shall include the period of time for which contributions are made to the Account in respect of service as a Case Management Master during the Waiver Period.
      “Crown”
      means the Crown in right of Ontario.
      “Excess Refund Including the CMM Supplemental Plan”
      means the amount, if any, that would have been payable to the Case Management Master under subsection 13(15) of the PSPP if the commuted value included the commuted value of any benefits under this CMM Supplemental Plan, and if the contributions included contributions made under this CMM Supplemental Plan.
      “Excess Refund Excluding the CMM Supplemental Plan”
      means the amount, if any, determined under the Excess Refund Including the CMM Supplemental Plan excluding the commuted value of any benefits under this CMM Supplemental Plan and contributions made under this CMM Supplemental Plan.
      “Former Member”
      means a person who has ceased to be Member under Section 4.3 and who is entitled, either immediately or at a future time, to payment of a Supplemental Benefit or any other form of payment under the CMM Supplemental Plan.
      “Member”
      means a person who meets the requirements of section 4.1 but does not include a Former Member.
      "Minister”
      means the minister to whom the responsibility for the administration of the Act is assigned under the Executive Council Act.
      “Order in Council”
      means Order in Council O.C.515/2017 dated March 8, 2017 authorizing the establishment of this CMM Supplemental Plan.
      “PSPP”
      means the Public Service Pension Plan as set out in Schedule 1 under the Act.
      “PSPP Fund”
      means the Public Service Pension Fund.
      “PSPP Maximum Age”
      means the end of the calendar year in which the Member attains age 71 or such other maximum age for participation under the PSPP as prescribed by the Income Tax Act (Canada) or the Regulations thereunder.
      “PSSBA”
      means the Public Service Supplementary Benefits Account established under Order in Council 3044/98 as amended from time to time.
      “PSSBP”
      means the Supplementary Plan as defined under Order in Council 3044/98, as amended from time to time.
      “Service Level Agreement”
      means the agreement between the Administrator and the Crown regarding the administration of CMM Supplemental Plan.
      “Supplemental Benefit”
      means the aggregate payments or payment, made periodically or at one time from the Account as part of the CMM Supplemental Plan.
      "Waiver Period”
      means the period of time for which a waiver has been obtained under the Income Tax Act (Canada) or the Regulations thereunder, that has the effect of permitting a Member to delay the start of his or her pension benefits under the PSPP until after the PSPP Maximum Age, but ending no later than the first day of the month following the date on which the membership ceases under section 4.3 of the CMM Supplemental Plan.

    2. PSPP Definitions Apply

      Except as otherwise stated in section 3.1, where terms that are defined in the PSPP are used in this Schedule 1, the definitions of those terms in the PSPP apply to this Schedule 1 with necessary modifications.

  4. Membership

    1. Membership

      A Case Management Master who is:

      1. a member of and contributing under the PSPP, or
      2. not contributing under the PSPP because the member is in the Waiver Period

      shall be a Member of the CMM Supplemental Plan.

    2. Deemed Membership

      A person who held the office of Case Management Master on or after April 1, 2011 and ceased to hold office prior to the date the Order in Council was made shall be deemed to have been a Member of the CMM Supplemental Plan for the purposes of computing that person’s Supplemental Benefit for all periods of service as a Case Management Master except that person’s Supplemental Benefit shall be reduced by any amounts already paid from the PSSBA in respect of the person’s service as a Case Management Master.

    3. Cessation of Membership

      A Member ceases to be a Member of the CMM Supplemental Plan upon the earliest of:

      1. ceasing to hold office as a Case Management Master,
      2. ceasing to be a member of the PSPP,
      3. the death of the Member, or
      4. the Member’s attainment of age 75.

  5. Contributions and Funding

    1. Member contributions – prior to the PSPP Maximum Age

      Each Member shall contribute to the Account an amount equal to the amount the Member would have contributed to the PSPP Fund in accordance with the terms of the PSPP without regard to the maximum contribution limit under the Income Tax Act (Canada) and the Regulations under that Act, reduced by the amount that is actually paid to the PSPP Fund.

    2. Member contributions – after the PSPP Maximum Age

      Each Member who continues to be a Member after the PSPP Maximum Age shall contribute to the Account the amount that the Member would have contributed to the PSPP Fund in accordance with the terms of the PSPP without regard to the maximum contribution limit and the maximum age for making contributions for registered pension plans under the Income Tax Act (Canada) and the Regulations thereunder.

    3. Member Contributions Deducted from Salary

      The contributions to be made by a Member to the Account shall be deducted from the Member’s salary.

    4. Funding by the Crown

      1. The Crown shall pay into or credit the Account with the following amounts in respect of service as a Case Management Master: (i) the amount by which contributions to the PSPP Fund are reduced under subsection 7(1b) of the PSPP, and (ii) an amount equal to the amount that would have been paid by a Member or by the Crown on behalf of a Member under Section 9 of the PSSBA if Case Management Masters were participating in the PSSBP except where the Member’s contributions are doubled under subsections 8(4) or 11(5) of the PSPP; and
      2. The Crown shall also credit the Account with the additional amount necessary to fund the benefits payable under the CMM Supplemental Plan as indicated in an actuarial valuation required by subsection 11.3.

    5. Surplus May Reduce Crown Payments

      At the direction of the Minister, any amount in the Account that is indicated by a going concern actuarial valuation to be surplus to the requirements of the CMM Supplemental Plan while it continues in existence may be held in the Account to the credit of the Crown to be applied against any amount that would otherwise be paid or credited by the Crown under Section 5.4 provided that no going concern unfunded actuarial liability arises in the CMM Supplemental Plan.

  6. Pension Commencement Date

    1. General

      A Former Member shall commence receiving a Supplemental Benefit under the CMM Supplemental Plan on the same day as the pension is paid to the Former Member under the PSPP.

    2. Deemed Members

      With respect to persons who are deemed Members under Section 4.2, their Supplemental Benefit shall be deemed to have commenced on the same date as their pensions commenced to be paid under the PSPP and the Supplemental Benefit that would have been paid to those persons if the CMM Supplemental Plan had been in effect, less the pension payments they received from the PSSBA prior to the date the Order in Council was made, plus credited interest, shall be paid to those persons in cash.

  7. Supplemental Benefits

    1. Immediate Vesting

      All entitlements under the CMM Supplemental Plan vest immediately.

    2. Computation of Pension

      The Supplemental Benefit is a pension equal to three and one half percent (3.5%) of the Member’s Average Annual Salary multiplied by the Member’s years of Credit in the CMM Supplemental Plan, including any fraction of a year, to a maximum of the Member’s annual salary rate in effect on the date membership in the CMM Supplemental Plan ceased, reduced by the amount payable to the person under the PSPP in respect of service as a Case Management Master.

    3. Calculation Date

      The Supplemental Benefit shall be calculated at the date on which membership ceases in the CMM Supplemental Plan.

    4. Reductions to PSPP Pension Apply

      Subject to section 7.6, where a Member’s pension benefit in respect of service as a Case Management Master under the PSPP is reduced for a reason including but not limited to the rules regarding:

      1. early retirement,
      2. spousal survivor pensions,
      3. the application of shortened life expectancy provisions, and
      4. the division of pension assets on marriage breakdown.

      any Supplemental Benefit calculated under Section 7.2 shall be reduced in proportion to the reduction applied to the Member’s pension benefit under the PSPP.

    5. Re-engagement

      If a Former Member who is receiving a Supplemental Benefit is re-employed or re-engaged by an employer who contributes to the PSPP Fund, the formula set out in Subsection 26(1) of the PSPP shall apply with necessary modifications.

    6. CPP Reductions to PSPP Pension Do Not Apply

      The reduction formula applicable to the pensions of former members under the PSPP at age 65 to integrate with the pension benefits that commence to be paid under the Canada Pension Plan do not apply to the Supplemental Benefit.

    7. Same Form as PSPP

      Supplemental Benefits payable to a Former Member shall be payable in the same manner and in the same form as pension benefits payable to the former member under the PSPP.

    8. Payment of Supplemental Benefit upon Transfer or Withdrawal from PSPP Fund

      Where a Former Member withdraws or transfers from the PSPP Fund any amount payable under the PSPP, the commuted value of the Supplemental Benefit under section 7.2 shall be paid to the Former Member in cash.

    9. Inflation

      Supplemental benefits shall be adjusted for inflation in the same manner and at the same time as pension benefits payable under the PSPP.

  8. Death Prior to Commencement of Supplemental Benefit

    1. Pre-Retirement Death Benefit

      The death benefit for a Member or Former Member under the CMM Supplemental Plan who dies prior to the commencement of his or her Supplemental Benefit shall be equal to the commuted value of the benefit calculated under section 7 and shall be payable in the same form and to the same person(s) as the pre-retirement death benefit payable under the PSPP.

  9. Transition

    1. Transfer to Account from PSSBA

      The portion of the amount required to fund the Supplemental Benefits in the CMM Supplemental Plan that would have otherwise been provided under the PSSBP in respect of service as a Case Management Master for Members, Former Members and beneficiaries as at December 31, 2016, determined by the actuary retained under section 11.3, shall be transferred from the PSSBA to the Account.

  10. Account

    1. Establishment of Account

      The Account shall be established for the receipt of transfers and contributions and for the payment of Supplemental Benefits and other payments as described in the Order in Council and this Schedule 1.

    2. Custodian

      The Minister of Finance shall be the custodian of the Account and shall have charge of the investment of money from time to time to the credit of the Account.

    3. Interest paid into the Account

      Pursuant to section 7 of the Financial Administration Act, interest on balances to the credit of the Account shall be paid in accordance with the terms set out in the applicable order(s) in council under that Act.

    4. Payments from the Account

      Payments for any entitlement under the CMM Supplemental Plan shall be from the Account and no payment from the Account shall be otherwise than for the entitlements provided in the CMM Supplemental Plan and no person is entitled to receive any benefit from the Account which is in excess of, or in addition to, the Supplemental Benefit provided for under the CMM Supplemental Plan.

    5. Termination of the Supplemental Plan and Account

      In the event the Supplemental Plan and Account are terminated by the Order of the Lieutenant Governor in Council, after the allocation of assets to satisfy all benefit rights under the CMM Supplemental Plan, the assets and liabilities of the Account shall revert to the Crown.

  11. Administration

    1. CMM Supplemental Plan Administrator

      The Administrator shall have the powers and responsibilities given to it under the Service Level Agreement.

    2. Administration Expenses

      The expenses for the administration of the CMM Supplemental Plan shall be paid in accordance with the Service Level Agreement and shall not be deducted from the credit standing to the Account.

    3. Actuarial Valuation

      An actuary employed or retained by the Administrator or the Crown shall:

      1. prepare an initial going concern actuarial valuation report as at December 31, 2016,
      2. prepare subsequent going concern actuarial valuation reports at intervals co-incident with the filing of any going concern valuation for the PSPP, and
      3. prepare any additional actuarial valuation reports that may be requested by the Minister, and

      shall, through the Secretary of the Management Board of Cabinet, report to the Minister and the Minister of Finance on the amount required to fund the Supplemental Benefits and on the adequacy of the Account, as then constituted to provide the Supplemental Benefits.

    4. Limitation of Assignment

      No right of a person under the CMM Supplemental Plan is capable of being assigned, charged, anticipated, given as security or surrendered, except in a manner consistent with the treatment of benefits under the PSPP.

    5. No Right to Engagement

      The CMM Supplemental Plan does not convey any further rights on a Member to continue to be engaged by the Crown.

    6. Fiscal Year

      The fiscal year of the CMM Supplemental Plan is the twelve-month period commencing on the 1st day of January in each year.

  12. Non-Application of Legislation

    1. Non-Application of Income Tax Act (Canada)

      The provisions of the PSPP requiring compliance with the Income Tax Act (Canada) and Regulations for all credit accruing and all contributions after December 31, 1991 do not apply to the CMM Supplemental Plan.

    2. Non-Application of the Pension Benefits Act (Ontario)

      Pursuant to subsection 47 (3) of Regulation 909 made under the Pension Benefits Act, the Supplemental Plan is exempt from the Pension Benefits Act.

  13. Streamlining Excess Refunds

    1. Withholding of Excess Refund

      If a Member is entitled to a refund under subsection 13(15) of the PSPP and if the Member’s Excess Refund Including the CMM Supplemental Plan is less than the Member's Excess Refund Excluding the CMM Supplemental Plan, then the Member shall, as a condition of qualifying for the Supplemental Benefit, account for the difference between the excess refunds as follows:

      1. where the Supplemental Benefit is payable in periodic amounts, request the Administrator, in writing, to pay to the Account the difference between the excess refunds excluding any withholding taxes;
      2. where the Supplemental Benefit is payable in a lump sum, be deemed to have consented to the reduction of the Supplemental Benefit by any amount equal to the difference between the excess refunds.

    2. Excess Refund Payment

      If a Member is entitled to a refund under subsection 13(15) of the PSPP and if the Member’s Excess Refund Including the CMM Supplemental Plan exceeds the Member's Excess Refund Excluding the CMM Supplemental Plan, then the Member shall receive a lump sum payment equal to the difference between the excess refunds.

  14. Amendments and Termination

    1. Amendments and Termination Re CMM Supplemental Plan

      Subject to the requirements of judicial independence, the CMM Supplemental Plan may be amended or terminated by Order of the Lieutenant Governor in Council.

Order in Council 515/2017