ARCHIVED — Vol. 146, No. 13 — June 20, 2012
SI/2012-41 June 20, 2012
AN ACT TO AMEND THE CANADIAN FORCES SUPERANNUATION ACT AND TO MAKE CONSEQUENTIAL AMENDMENTS TO OTHER ACTS
Order Fixing September 1, 2012 as the Day on which Sections 46 and 47 and Subsections 57(1) and 62(1) of the Act Come into Force
P.C. 2012-771 June 7, 2012
His Excellency the Governor General in Council, on the recommendation of the Minister of Public Safety and Emergency Preparedness, pursuant to section 71 of An Act to amend the Canadian Forces Superannuation Act and to make consequential amendments to other Acts, chapter 26 of the Statutes of Canada, 2003, fixes September 1, 2012 as the day on which sections 46 and 47 and subsections 57(1) and 62(1) of that Act come into force.
(This note is not part of the Order.)
This Order will bring into force sections 46 and 47 and subsections 57(1) and 62(1) of An Act to amend the Canadian Forces Superannuation Act and to make consequential amendments to other Acts (the “Act”), chapter 26 of the Statutes of Canada, 2003, on September 1, 2012.
The provisions of the Act amend the Royal Canadian Mounted PoliceSuperannuation Act (the “RCMPSA”) by replacing the term “commuted value” with the comparable term “transfer value,” bringing the RCMPSA into uniformity with existing federal pension legislation (e.g. the Public Service Superannuation Act, the Canadian Forces Superannuation Act).
The term “transfer value” is further defined in the RCMPSA to mean the lump sum value of a contributor’s pension benefits. The amendments clarify that in order to opt for a transfer value a contributor cannot be entitled to an immediate annuity. This limitation currently exists in the RCMPSA and the Royal Canadian Mounted Police Superannuation Regulations, but was unclear in the RCMPSA.
The use of the term “commuted value” distinguished the Royal Canadian Mounted Police (RCMP) from its counterparts, the public service and Canadian Forces pension plans, who use the term “transfer value.” The Act allowed the RCMP to add minor legislative changes to the RCMPSA, such as the change to and definition of “transfer value,” without sponsoring an independent statutory amendment.
There are no financial costs or implications associated with this submission.
The RCMP consulted with Treasury Board Secretariat, the Department of National Defence and the Department of Justice at the time the provisions of the Act were drafted.
The application of the provisions is limited to members of the RCMP pension plan who are entitled to a transfer value upon ceasing to be a member of the Force. The replacement of the term “commuted value” with the term “transfer value” will be publicized to serving members of the RCMP through internal communication means.
For more information, please contact
Acting Director General
National Compensation Services
Royal Canadian Mounted Police