Canadian Forces Superannuation Act (R.S.C., 1985, c. C-17)

Short Title

Marginal note:Short title

1 This Act may be cited as the Canadian Forces Superannuation Act.

Interpretation

Marginal note:Definitions

• 2 (1) In this Act,

  Canadian Forces Pension Fund

  Canadian Forces Pension Fund means the fund established under section 55.2; (Caisse de retraite des Forces canadiennes)

  Canadian Forces Superannuation Investment Fund

  Canadian Forces Superannuation Investment Fund means the fund established under section 55.1; (Fonds de placement du compte de pension de retraite des Forces canadiennes)

  child

  child means a child or stepchild of — or an individual adopted either legally or in fact by — a contributor, who at the time of the contributor’s death was dependent on the contributor for support; (enfant)

  contributor

  contributor means a person who is required by section 5 to contribute to the Canadian Forces Pension Fund, and includes, unless the context otherwise requires,

  • (a) a person who has ceased to be required by this Act to contribute to the Superannuation Account or the Canadian Forces Pension Fund, and

  • (b) for the purposes of sections 26 to 35 and 38 to 40, a contributor under Part V of the former Act who has become entitled to a pension under that Part or has died; (contributeur)

  disabled

  disabled, as applied to any member of the regular force, has reference to any condition rendering him mentally or physically unfit to perform his duties as such member; (invalide)

  former Act

  former Act means the Defence Services Pension Act, chapter 63 of the Revised Statutes of Canada, 1952, as it read before March 1, 1960, and includes, unless the context otherwise requires, any other enactment of Parliament providing for the payment of pensions to members of the regular force based on length of service, other than this Act; (ancienne loi)

  intermediate engagement

  intermediate engagement[Repealed, 2003, c. 26, s. 1]

  member of the regular force

  member of the regular force means an officer or non-commissioned member of the regular force; (membre de la force régulière)

  member of the reserve force

  member of the reserve force means an officer or non-commissioned member of the reserve force; (membre de la force de réserve)

  Minister

  Minister means the Minister of National Defence; (ministre)

  officer

  officer means a commissioned or subordinate officer of the regular force; (officier)

  pay

  pay, as applied to the Canadian Forces, means pay at the rates prescribed or established under the National Defence Act for the rank held by the person in respect of whom the expression is being applied, together with the allowances prescribed by the regulations made under this Act for that rank, and, as applied to the public service or the Royal Canadian Mounted Police, means the salary or pay and allowances, as the case may be, applicable in the case of that person, as determined under the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act; (solde)

  provincial pension plan

  provincial pension plan has the same meaning as in the Canada Pension Plan; (régime provincial de pensions)

  public service

  public service has the meaning given that expression in subsection 3(1) of the Public Service Superannuation Act; (fonction publique)

  rank

  rank includes appointment; (grade)

  regular force

  regular force means the regular force of the Canadian Forces and includes

  • (a) the forces known before February 1, 1968 as the regular forces of the Canadian Forces, and

  • (b) the forces known before February 1, 1968 as the Royal Canadian Navy, the Canadian Army Active Force, the Permanent Active Militia, the Permanent Militia Corps, the permanent staff of the Militia, the Royal Canadian Air Force (Regular) and the Permanent Active Air Force; (force régulière)

  retirement age

  retirement age[Repealed, 2003, c. 26, s. 1]

  salary

  salary as applied to a member of the Canadian Forces means the pay received by the member from employment as a member of the Canadian Forces; (traitement)

  short engagement

  short engagement[Repealed, 2003, c. 26, s. 1]

  Superannuation Account

  Superannuation Account means the Canadian Forces Superannuation Account referred to in section 4; (compte de pension de retraite)

  supplementary benefit

  supplementary benefit means a supplementary benefit payable under Part III; (prestation supplémentaire)

  survivor

  survivor, in relation to a contributor, means

  • (a) a person who was married to the contributor at the time of the contributor’s death, or

  • (b) a person referred to in subsection 29(1). (survivant)

• (2) [Repealed, 1999, c. 34, s. 115]

• Marginal note:References to R.C.M.P. Superannuation Act

  (3) A reference in this Act to the Royal Canadian Mounted Police Superannuation Act shall be construed as including a reference to any other enactment of Parliament in force either before or after March 1, 1960 providing for the payment of pensions to members of the Royal Canadian Mounted Police based on length of service.

• Marginal note:Employment in forces pensionable employment

  (4) Except as provided in the regulations, employment as a member of the Canadian Forces is not excepted employment for the purposes of the Canada Pension Plan.

Equality of Status

Marginal note:Status of males and females

3 Male and female contributors under this Act have equality of status and equal rights and obligations under this Act.

Application to Certain Reserve Force Members

Marginal note:Regulations

• 3.1 (1) The Governor in Council may make regulations respecting the manner in which and the extent to which any provisions of Parts I, II and III, or of any regulations made under those Parts, apply to members or former members, or classes of members or former members, of the reserve force that are prescribed in those regulations and adapting any of those provisions for the purposes of that application.

• Marginal note:Reserve force members who were deemed re-enrolled in regular force

  (2) For greater certainty, members of the reserve force who, immediately before the coming into force of this section, were deemed to be re-enrolled in the regular force under subsection 41(2) or (3) of this Act as it read immediately before its repeal are members, or classes of members, who may be prescribed by regulations made under subsection (1).

• Marginal note:Reserve force members who were participants under Part II

  (3) For greater certainty, members of the reserve force who, immediately before the coming into force of this section, were participants within the meaning of paragraph (b) of the definition participant in subsection 60(1) of this Act as it read immediately before its repeal are members, or classes of members, who may be prescribed by regulations made under subsection (1) for the purposes of the application and adaptation of any provisions of Part II.

PART ISuperannuation

Eligibility for Benefits

Marginal note:Eligibility

• 4 (1) Subject to this Act, an annuity or other benefit specified in this Act shall be paid to or in respect of every person who, being required to contribute to the Superannuation Account or the Canadian Forces Pension Fund in accordance with this Act, ceases to be a member of the regular force or dies, and that annuity or other benefit shall, subject to this Act, be based on the number of years of pensionable service to the credit of that person.

• Marginal note:Superannuation Account

  (2) The Permanent Services Pension Account in the accounts of Canada, established pursuant to the former Act, is hereby continued under the name of the Canadian Forces Superannuation Account.

Contributions

Marginal note:Contribution rates — 2013 and later

• 5 (1) A member of the regular force, except a person described in subsection (6), is required to contribute to the Canadian Forces Pension Fund, in respect of every portion of the period beginning on January 1, 2013 by reservation from salary or otherwise, at the contribution rates determined by the Treasury Board in respect of that portion on the joint recommendation of the President of the Treasury Board and the Minister.

• Marginal note:Contribution rates — 35 years of service

  (2) A person who has to his or her credit, on or after January 1, 2013, a period of pensionable service — or a period of pensionable service and other pensionable service — totalling at least 35 years is not required to contribute under subsection (1) but is required to contribute, by reservation from salary or otherwise, to the Canadian Forces Pension Fund, in respect of the period beginning on the later of January 1, 2013 and the day on which the person has to his or her credit those 35 years, in addition to any other amount required under this Act, at the rates determined by the Treasury Board on the joint recommendation of the President of the Treasury Board and the Minister.

• Marginal note:Limitation — determination of contribution rate

  (3) In determining the contribution rates for the purposes of subsections (1) and (2), the rates must not exceed the rates paid under section 5 of the Public Service Superannuation Act by Group 1 contributors who are described in subsection 12(0.1) of that Act.

• Marginal note:Other pensionable service

  (4) For the purpose of subsection (2), other pensionable service means years of service, other than service credited under a plan established in accordance with Part I.1, giving rise to a superannuation or pension benefit of a kind specified in the regulations that is payable

  • (a) out of the Consolidated Revenue Fund, or out of any account in the accounts of Canada other than the Superannuation Account; or

  • (b) out of the Public Service Pension Fund within the meaning of the Public Service Superannuation Act or the Royal Canadian Mounted Police Pension Fund within the meaning of the Royal Canadian Mounted Police Superannuation Act.

• Marginal note:Contributions not required

  (5) Despite anything in this Part, no person shall, in respect of any period of his or her service on or after December 15, 1994, make a contribution under this Part in respect of any portion of his or her annual rate of pay that is in excess of the annual rate of pay that is fixed by or determined in the manner prescribed by the regulations.

• Marginal note:Exceptions

  (6) The exceptions are

  • (a) a member who, immediately before March 1, 1960, was a member of the regular force but not a contributor under Part V of the former Act and who has not elected under subsection 18(2) of the Canadian Forces Superannuation Act, chapter C-9 of the Revised Statutes of Canada, 1970, to become a contributor under this Act; and

  • (b) a person on leave of absence from employment outside the regular force who, in respect of current service continues to contribute to or under any superannuation or pension fund or plan established for the benefit of employees of the employer from whose employment the member is absent.

Pensionable Service

Marginal note:Pensionable service

6 Subject to this Act, the following service may be counted by a contributor as pensionable service for the purposes of this Act, namely,

• (a) non-elective service, comprising,

  • (i) in the case of a contributor who, immediately before March 1, 1960, was a contributor under Part V of the former Act, any period of service that he would have been entitled to count for the purposes of computing any pension or gratuity under that Part had he, at that time, retired from the regular force, except any such period for which he elected under that Part to pay, and

  • (ii) in the case of any contributor,

    • (A) any period during which he or she was required by subsections 5(1) and (1.01), as they read on December 31, 2012, to contribute to the Superannuation Account or the Canadian Forces Pension Fund, and any period during which he or she is required by subsection 5(1) to contribute to the Canadian Forces Pension Fund, and

    • (B) any period of service that may be counted by him as pensionable service pursuant to section 41; and

• (b) elective service comprising

  • (i) any period of service for which a contributor has elected to pay under the provisions of this Act as it read immediately before the coming into force of this paragraph,

  • (ii) any period of service for which a contributor elects to pay under section 7, and

  • (iii) any period of service for which a contributor elects to pay under section 8.

6.1 [Repealed, 2003, c. 26, s. 5]

Marginal note:Elective service

• 7 (1) A contributor may, subject to regulations made under subsection (2) and paragraphs 50(1)(b) and (c), elect to pay for any period of service, or part of a period of service, of a kind prescribed in the regulations.

• Marginal note:Regulations

  (2) For the purposes of subsection (1), the Governor in Council may make regulations

  • (a) prescribing periods of service of a kind for which a contributor may elect to pay;

  • (b) prescribing the terms and conditions on which a contributor may elect to pay for periods of service, including terms and conditions on which a contributor may elect to pay for part only of a period of service and on which a contributor may be required to repay an amount that was paid to the contributor in respect of an annuity, annual allowance, pension or gratuity;

  • (c) respecting the manner of determining the amount that a contributor is required to pay for elective service and the terms and conditions of payment for that service, including terms and conditions for payment by instalments and the bases as to mortality and interest on which instalment payments are to be computed; and

  • (d) prescribing the circumstances in which an election made by a contributor is void.

• Marginal note:Payment to Canadian Forces Pension Fund

  (3) Any amount required to be paid by a contributor in respect of any period of service for which they have elected to pay under this Part after the coming into force of this subsection shall be paid into the Canadian Forces Pension Fund.

• Marginal note:Payment in respect of previous elections

  (4) Any amount that is required to be paid by a contributor after the coming into force of this subsection for a period of service for which they have elected to pay under the provisions of this Act as it read immediately before that coming into force shall be paid, in accordance with those provisions, into the Superannuation Account or the Canadian Forces Pension Fund, as the case may be.

Marginal note:Other elective service

• 8 (1) A contributor may, within two years after the coming into force of this section, elect, in accordance with subsection (2) or (3), as the case may be, to pay for any period of service that they would have been entitled to count as elective service under section 6 of this Act as it read immediately before that coming into force if they were a member of the regular force continuously from the day immediately before that coming into force until the day on which they make the election.

• Marginal note:Old rules applicable

  (2) If a contributor makes an election under subsection (1) to pay for a period of service for which they would not have been entitled to make an election under section 7, the provisions of this Act, and the regulations made under it, as they read immediately before the coming into force of this section, apply to an election under that subsection.

• Marginal note:New rules applicable and election regarding cost

  (3) If a contributor makes an election under subsection (1) to pay for a period of service for which they would also have been entitled to make an election under section 7, then subsection 7(3) and the regulations made under subsection 7(2) apply to the election made under subsection (1), except that the contributor may further elect, in accordance with the regulations, for the provisions of this Act, and the regulations made under it, as they read immediately before the coming into force of this section, to apply to the determination of the amount to be paid for the period of service and the terms and conditions applicable to payment for that service.

8.1 [Repealed, 2003, c. 26, s. 5]

Marginal note:Election for absence from duty

• 9 (1) If, under any regulations made under paragraph 50(1)(e), a contributor is required to count as pensionable service for the purposes of this Act a period of service that exceeds three months, the contributor may, despite those regulations, elect, in accordance with the regulations, not to count as pensionable service that portion of the period that is in excess of three months.

• Marginal note:Contributions not required

  (2) Despite section 5, a contributor who makes an election under subsection (1) is not required to contribute to the Superannuation Account or the Canadian Forces Pension Fund under that section in respect of the portion of the period to which the election relates.

• Marginal note:Election for period of service before December 1, 1995

  (3) A contributor who makes an election under subsection (1) in respect of a period of service that ended before December 1, 1995 and who has, before that day, made some but not all of the contributions that are required to be made by the contributor to the Superannuation Account in respect of that period shall, at the time the election is made, cease to be required to make any further contributions to the Superannuation Account in respect of that period and shall count as pensionable service for the purposes of this Act such portion of that period as is prescribed by the regulations.

Marginal note:Amendment or revocation of election

9.1 An election under this Part may be amended by the elector, within the time prescribed by the regulations for the making of the election, by increasing the period or periods of service for which they elect to pay, and is otherwise irrevocable except under such circumstances and on such terms and conditions, including payment by the elector to Her Majesty of such amount in respect of any benefit accruing to the elector during the subsistence of the election, as a consequence of their having so elected, as is prescribed by the regulations.

Marginal note:Entitlement to benefits to cease on election

9.2 Despite anything in the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act, on the making of any election under this Act to pay for service that they have to their credit under either of those Acts, the contributor so electing, and any person to whom any benefit might otherwise have become payable under the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act, as the case may be, in respect of that contributor, cease to be entitled to any benefit under that Act in respect of any service of that contributor to which that election relates.

Marginal note:Regulations

9.3 The Governor in Council may make regulations prescribing the manner of determining the amount to be charged to the account maintained in the accounts of Canada, or the pension fund established pursuant to the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act, as the case may be, and credited to the Canadian Forces Pension Fund or to the Superannuation Account, as the case may be, in respect of a contributor who elects to pay for a period of service that they were entitled to count for pension purposes under the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act.

Benefits: Definitions, etc.

Marginal note:Definitions

10 In this Act, except Part I.1,

annuity

annuity means an annuity computed in accordance with section 15; (annuité)

cash termination allowance

cash termination allowance[Repealed, 2003, c. 26, s. 7]

deferred annuity

deferred annuity means an annuity that becomes payable to the contributor at the time he reaches sixty years of age; (annuité différée)

immediate annuity

immediate annuity means an annuity that becomes payable to the contributor immediately on his becoming entitled thereto; (annuité immédiate)

recipient

recipient[Repealed, 2003, c. 26, s. 7]

return of contributions

return of contributions means a return of

• (a) the amount paid by the contributor into the Superannuation Account or the Canadian Forces Pension Fund but not including any amount so paid pursuant to subsection 39(7) of the Public Service Superannuation Act or subsection 24(6) of the Royal Canadian Mounted Police Superannuation Act, and

• (b) any amount paid by him or her into any other account or fund, together with interest, if any, that has been transferred to the Superannuation Account or the Canadian Forces Pension Fund,

to the extent that the amount remains to his or her credit in the Superannuation Account or the Canadian Forces Pension Fund, together with interest, if any, calculated pursuant to section 13; (remboursement de contributions)

transfer value

transfer value means a lump sum amount, representing the value of the contributor’s pension benefits, as determined in accordance with the regulations. (valeur de transfert)

Marginal note:Duration of payment, etc., to contributor

• 11 (1) Where an annuity or an annual allowance becomes payable under this Part to a contributor, it shall, subject to the regulations, be paid in equal monthly instalments in arrears and shall continue, subject to this Part, during the lifetime of the contributor and thereafter until the end of the month during which the contributor dies, and any amount in arrears thereof that remains unpaid at any time after their death shall be paid as provided in section 26, in respect of a death benefit.

• Marginal note:Duration of payment, etc., to survivor or child

  (2) When an annual allowance becomes payable under this Part to a survivor or child, it shall, subject to the regulations, be paid in equal monthly instalments in arrears and shall continue, subject to this Part, until the end of the month during which the recipient dies or otherwise ceases to be entitled to receive an annual allowance, and any amount in arrears that remains unpaid at any time after the death of the recipient shall be paid to the estate or succession of the recipient or, if less than one thousand dollars, as the Minister may direct.

Marginal note:Revocation of option

12 If a contributor has exercised an option under this Part, the option may be revoked and a new option exercised by the contributor, in accordance with the regulations.

Marginal note:Interest on return of contributions

13 For the purposes of the definition return of contributions in section 10, interest shall be calculated in the manner that the regulations provide and on the balances that are determined in accordance with the regulations,

• (a) at the rate of four per cent, compounded annually, for any period before January 1, 2001; and

• (b) at the rates established in the regulations made under paragraph 50(1)(j) compounded quarterly, for any period beginning on or after January 1, 2001.

14 [Repealed, 2003, c. 26, s. 11]

Annuities: How Computed

Marginal note:Computation of annuities

• 15 (1) The amount of any annuity to which a contributor may become entitled under this Act is an amount equal to the aggregate of

  • (a) an amount equal to

    • (i) the number of years of pensionable service to the credit of the contributor occurring in the period preceding the day on which this subsection comes into force, not exceeding thirty-five, divided by fifty,

    multiplied by

    • (ii) the average annual pay received by the contributor during any five-year period of pensionable service selected by or on behalf of the contributor, or during any period so selected consisting of consecutive periods of pensionable service totalling five years, or

    • (iii) in the case of a contributor who has to the contributor’s credit less than five years of pensionable service, the average annual pay received by the contributor during the period of pensionable service to the contributor’s credit, and

  • (b) an amount equal to

    • (i) the number of years of pensionable service to the credit of the contributor occurring in the period on and after the day on which this subsection comes into force, not exceeding thirty-five years less the number of years of pensionable service to the credit of the contributor under subparagraph (a)(i), divided by fifty,

    multiplied by the lesser of

    • (ii) the average annual pay received by the contributor during the period referred to in subparagraph (a)(ii) or (iii), as applicable, and

    • (iii) the annual rate of pay that is fixed by the regulations made under paragraph 50(1)(g), or that may be determined in the manner prescribed by those regulations, and in force on the day on which the contributor most recently ceased to be a member of the regular force.

• Marginal note:Deduction from annuity

  (2) Notwithstanding subsection (1), unless the Minister is satisfied that a contributor

  • (a) has not reached the age of sixty-five years, and

  • (b) has not become entitled to a disability pension payable under paragraph 44(1)(b) of the Canada Pension Plan or a provision of a provincial pension plan similar to the Canada Pension Plan,

  there shall be deducted from the amount of any annuity to which that contributor is entitled under this Act an amount equal to the percentage, as set out in subsection (2.1), of

  • (c) the average annual pay received by the contributor during the period of pensionable service described in subsection (1) applicable to him or her, not exceeding his or her Average Maximum Pensionable Earnings,

  multiplied by

  • (d) the number of years of pensionable service after 1965 or after he or she has attained the age of eighteen years, whichever is the later, to the credit of the contributor, not exceeding thirty-five, divided by fifty.

• Marginal note:Percentages

  (2.1) For the purposes of subsection (2), the percentage that applies in respect of a contributor is

  • (a) 35%, if the contributor was born before 1943;

  • (b) 34.25%, if the contributor was born in 1943;

  • (c) 33.5%, if the contributor was born in 1944;

  • (d) 32.75% if the contributor was born in 1945;

  • (e) 32%, if the contributor was born in 1946; and

  • (f) 31.25%, if the contributor was born after 1946.

• Marginal note:Definitions

  (3) For the purposes of subsection (2),

  Average Maximum Pensionable Earnings

  Average Maximum Pensionable Earnings means, with respect to any contributor, the average of the Year’s Maximum Pensionable Earnings for the year in which he or she ceased to be a member of the regular force and for each of the four preceding years; (moyenne des maximums des gains ouvrant droit à pension)

  Year’s Maximum Pensionable Earnings

  Year’s Maximum Pensionable Earnings has the same meaning as in the Canada Pension Plan. (maximum des gains annuels ouvrant droit à pension)

• Marginal note:Pay deemed to have been received during certain periods

  (4) For the purposes of this section, a contributor who has to their credit pensionable service that includes any period of service referred to in paragraph 6(b) is deemed to have received during that period pay determined in accordance with the regulations.

• Marginal note:Computation of average annual pay

  (5) For the purposes of subparagraphs (1)(a)(ii) and (iii), a period of service during which a person continues to be a member of the regular force and is required to make contributions under subsection 5(2), or was required to make contributions under subsection 5(2), (3) or (4) as it read on December 31, 2012, is deemed to be a period of pensionable service to his or her credit.

• Marginal note:Application

  (6) Subparagraphs (1)(a)(ii) and (iii), as enacted by subsection 14(1) of the Budget Implementation Act, 1999, apply with respect to benefits payable to or in respect of a person who contributes under section 5 or 75 on or after the day on which this subsection comes into force but do not apply to a person who became entitled to an annuity before the coming into force of this subsection and is a person described in section 41 and who is only entitled to a return of contributions in respect of the period of service in the regular or reserve force after the time of his or her re-enrollment within the meaning of that section.

• Marginal note:Application

  (7) The definition Average Maximum Pensionable Earnings in subsection (3), as enacted by subsection 14(2) of the Budget Implementation Act, 1999, applies only with respect to deductions from annuities made under subsection (2) that take effect on or after the day on which this subsection comes into force.

Benefits Payable to Contributors

Marginal note:Immediate annuity

• 16 (1) A contributor who ceases to be a member of the regular force and who has to their credit two or more years of pensionable service is entitled to an immediate annuity if

  • (a) they have completed not less than 25 years of Canadian Forces service as prescribed by regulations made under paragraph 50(1)(m);

  • (b) they have reached 60 years of age;

  • (c) they have reached 55 years of age and have to their credit not less than 30 years of pensionable service;

  • (d) they are disabled and have to their credit not less than 10 years of pensionable service; or

  • (e) they cease, otherwise than voluntarily, to be a member of the regular force because of a reduction in the maximum number of officers or non-commissioned members of the regular force authorized by the Governor in Council under section 15 of the National Defence Act or they cease, otherwise than voluntarily, to be a member of the regular force in any circumstances specified by the Treasury Board, and

    • (i) they have reached 55 years of age and have to their credit not less than 10 years of pensionable service, or

    • (ii) they have to their credit not less than 20 years of pensionable service.

• Marginal note:Regulations

  (2) Despite paragraph (1)(a), the Governor in Council may make regulations establishing, for officers, according to their rank, a number of years of Canadian Forces service greater than the minimum number of 25 years referred to in that paragraph and providing for that number to be reduced to 25 years over a maximum period of five years from the coming into force of this section, in the case of

  • (a) contributors who are members of the regular force on the coming into force of this section; and

  • (b) contributors who are entitled to an annuity on the coming into force of this section and who are subsequently re-enrolled in the regular force.

Marginal note:Deferred annuity

17 A contributor who ceases to be a member of the regular force, who has to their credit two or more years of pensionable service and who is not entitled to an immediate annuity, is entitled to a deferred annuity.

Marginal note:Annual allowance

• 18 (1) A contributor who is entitled to a deferred annuity may opt, in accordance with the regulations, for an annual allowance in place of the deferred annuity. The allowance is payable to the contributor

  • (a) immediately, if they are 50 or more years of age when they exercise their option; or

  • (b) on their reaching 50 years of age, if they are less than 50 years of age when they exercise their option.

• Marginal note:Amount of allowance

  (2) The amount of the annual allowance is equal to the amount of the deferred annuity, reduced by the product obtained by multiplying five per cent of the amount of that annuity by the number of years by which the contributor’s age in years, to the nearest one-tenth of a year, at the time the allowance is payable is less than 60.

• Marginal note:Alternative amount

  (3) If a contributor is 50 years or more of age when they cease to be a member of the regular force and has not less than 25 years of pensionable service to their credit, the amount of the annual allowance is the greater of

  • (a) the amount calculated under subsection (2), and

  • (b) the amount of the deferred annuity reduced by the product obtained by multiplying five per cent of the amount of that annuity by the greater of

    • (i) 55 minus the contributor’s age in years at the time they exercise their option, to the nearest one-tenth of a year, and

    • (ii) 30 minus the number of years of pensionable service to their credit, to the nearest one-tenth of a year.

• Marginal note:Adjustment

  (4) If a contributor who was receiving an annual allowance payable under subsection (1) re-enrols in the regular force, the amount of any annuity or annual allowance to which that contributor may become entitled under this Part on again ceasing to be a member of the regular force shall be adjusted in accordance with the regulations to take into account the amount of the annual allowance they have received.

Marginal note:Alternative annuity for certain members

• 19 (1) Subject to regulations made under subsection (2), a contributor who ceases to be a member of the regular force, having been a member continuously from the day immediately before the coming into force of this section until the day on which they ceased to be a member, is entitled, at their option, in place of any other benefit under this Part to which they would otherwise be entitled in respect of the pensionable service that they have to their credit, to an annuity, which may be adjusted in accordance with those regulations, payable from the day on which they cease to be a member of the regular force.

• Marginal note:Regulations

  (2) The Governor in Council may make regulations prescribing the circumstances in which a contributor may exercise an option under subsection (1), the manner of and time for exercising an option and the manner in which the amount of an annuity may be adjusted.

Marginal note:Return of contributions

20 A contributor who ceases to be a member of the regular force and who has to their credit less than two years of pensionable service is entitled to a return of contributions.

Marginal note:Benefit payable in case of disability after retirement

• 21 (1) A contributor who, not having reached 60 years of age but having become entitled under this Part to a deferred annuity or to an annual allowance, becomes entitled to a disability pension under the Canada Pension Plan or a provincial pension plan, ceases to be entitled to that deferred annuity or annual allowance, as the case may be, and becomes entitled to an immediate annuity.

• Marginal note:Adjustment

  (2) If a contributor ceases under subsection (1) to be entitled to an annual allowance, the immediate annuity shall be adjusted in accordance with the regulations to take into account the amount of the annual allowance that the contributor has received.

• Marginal note:Benefit where entitlement to disability pension ceases

  (3) A contributor who, not having reached 60 years of age but having become entitled under subsection (1) to an immediate annuity, has ceased to be entitled to a disability pension under the Canada Pension Plan or a provincial pension plan ceases to be entitled to that immediate annuity and becomes entitled to a deferred annuity or to the annual allowance to which they were originally entitled, as the case may be.

Marginal note:Transfer value

• 22 (1) Despite any other provision of this Act but subject to the regulations, a contributor who has ceased to be a member of the regular force, has to their credit two or more years of pensionable service and is not entitled to an immediate annuity is entitled, in place of any other benefit under this Act to which they would otherwise be entitled in respect of the pensionable service that they have to their credit, to a transfer value that is payable to the contributor in accordance with subsection (2).

• Marginal note:Where transferred

  (2) The payment of a transfer value to which a contributor may be entitled under subsection (1) is effected by transferring it to, at the direction of the contributor,

  • (a) a pension plan selected by the contributor that is registered under the Income Tax Act, if that pension plan so permits;

  • (b) a retirement savings plan or fund for the contributor that is of the kind prescribed by the regulations; or

  • (c) a financial institution authorized to sell immediate or deferred life annuities of the kind prescribed by the regulations, for the purchase from that financial institution of such an annuity for the contributor.

• Marginal note:Election to pay by instalments

  (3) If a contributor who is entitled to a transfer value has elected to pay for a period of pensionable service by means of instalments, the transfer value to be determined in accordance with the regulations shall be determined by reference to the portion of the period of pensionable service that the contributor has paid for at the time prescribed in the regulations.

Marginal note:Period to exercise option under former provisions

• 23 (1) A contributor who ceases to be a member of the regular force before the coming into force of this section and has not exercised their option in favour of a benefit under sections 16 to 22, as those sections read immediately before that coming into force, may, in accordance with the provisions of this Act as it read immediately before that coming into force, exercise that option at any time within one year after the day on which they cease to be a member.

• Marginal note:Failure to exercise option

  (2) If a contributor fails to exercise an option within the period set out in subsection (1), they are deemed to have exercised it in favour of a deferred annuity.

• Marginal note:Becoming a contributor under other Acts

  (3) If a contributor becomes a contributor under the Public Service Superannuation Act or the Royal Canadian Mounted Police Superannuation Act without having exercised, or been deemed to have exercised, an option referred to in subsection (1), they are deemed to have exercised it immediately before becoming a contributor under whichever of those Acts is applicable in favour of a deferred annuity.

24 [Repealed, 2003, c. 26, s. 14]

Benefits Payable to Survivors, Children and Other Beneficiaries

Marginal note:Benefits payable on death of retired member

• 25 (1) On the death of a contributor who, at the time of their death, was entitled under this Part to an annuity or an annual allowance, the survivor and children of the contributor are entitled to the following allowances, computed on the basis of the product obtained by multiplying the average annual pay received by the contributor during the period specified in subparagraph 15(1)(a)(ii) by the number of years of pensionable service to the contributor’s credit, one one-hundredth of the product so obtained being referred to in this section as the “basic allowance”:

  • (a) in the case of a survivor, an immediate annual allowance equal to the basic allowance; and

  • (b) in the case of each child, an immediate annual allowance equal to one-fifth of the basic allowance or, if the contributor died without leaving a survivor, the survivor is dead or the survivor is not entitled to receive an allowance under this Part, other than an immediate annual allowance under section 25.1, two-fifths of the basic allowance.

• Marginal note:Total child allowance

  (2) The total amount of the allowances paid under paragraph (1)(b) shall not exceed four-fifths of the basic allowance or, if the contributor died without leaving a survivor, the survivor is dead or the survivor is not entitled to receive an allowance under this Part, other than an immediate annual allowance under section 25.1, eight-fifths of the basic allowance.

• Marginal note:Apportionment of total among children

  (3) If, in computing the allowances to which the children of a contributor are entitled under subsections (1) and (2), it is determined that there are more than four children of the contributor entitled to an allowance, the total amount of the allowances shall be apportioned among the children in such shares as the Minister considers just and proper under the circumstances.

• Marginal note:Benefits payable on death of serving member — more than two years

  (4) On the death of a contributor who has to their credit two or more years of pensionable service and was a member of the regular force at the time of death, the survivor and children of the contributor are entitled to the annual allowances to which they would have been entitled under subsections (1), (2) and (3) had the contributor, immediately before death, become entitled under this Part to an annuity or an annual allowance.

• Definition of child

  (5) For the purposes of subsections (1) to (4), child means a child of the contributor who

  • (a) is less than eighteen years of age; or

  • (b) is eighteen or more years of age but less than twenty-five years of age, and is in full-time attendance at a school or university as defined in the regulations.

• Marginal note:Benefits payable on death of serving member — less than two years

  (6) On the death of a contributor who has to their credit less than two years of pensionable service and was a member of the regular force at the time of death, the survivor and children of the contributor, in any case where the contributor died leaving a survivor or a child less than eighteen years of age, are entitled jointly to a death benefit equal to the greater of

  • (a) a return of contributions, and

  • (b) an amount equal to one month’s pay for each year of pensionable service to the credit of the contributor, computed on the basis of the rate of pay authorized to be paid to them at the time of their death.

Marginal note:Optional survivor benefit

• 25.1 (1) If the person to whom a contributor is married or with whom the contributor is cohabiting in a relationship of a conjugal nature, having so cohabited for a period of at least one year, would not be entitled to an immediate annual allowance under any other provision of this Act in the event of the contributor’s death, the contributor may opt, in accordance with the regulations, to reduce the amount of the annuity or annual allowance to which the contributor is entitled in order that the person could become entitled to an immediate annual allowance under subsection (2).

• Marginal note:Payment

  (2) A person referred to in subsection (1) is entitled to an immediate annual allowance in an amount determined in accordance with the option and the regulations if the contributor dies and the option is not revoked or deemed to have been revoked in accordance with the regulations, and the person was married to the contributor at the time of the contributor’s death, or was cohabiting with the contributor in a relationship of a conjugal nature for a period of at least one year immediately before the contributor’s death.

• Marginal note:No entitlement

  (3) A person who is entitled to receive an annual allowance under section 29 after the contributor’s death is not entitled to an immediate annual allowance under subsection (2) in respect of that contributor.

Marginal note:Lump sum payments

26 If in this Part it is provided that the survivor and children of a contributor are entitled jointly to a death benefit under subsection 25(6), the total amount of that benefit shall be paid to the survivor of the contributor, except that

• (a) if at the time of the death of the contributor all of the children were eighteen years of age or over and at the time the payment is to be made the survivor is dead or cannot be found, the total amount shall be paid to the children in equal shares;

• (b) if at the time of the death of the contributor any of the children were less than eighteen years of age, and the contributor died without leaving a survivor or at the time the payment is to be made the survivor is dead or cannot be found, the total amount shall be paid to the children in the shares that the Minister considers equitable and proper under the circumstances, or to any of them, as the Minister may direct;

• (c) if any of the children who were less than eighteen years of age at the time of the death of the contributor are living apart from the survivor of the contributor at the time the payment is to be made, the total amount shall be paid to the survivor and the children so living apart in the shares that the Minister considers equitable and proper under the circumstances, or to the survivor or any of the children so living apart, as the Minister may direct; and

• (d) if the contributor died without leaving any children and at the time the payment is to be made the survivor of the contributor is dead or cannot be found, or if the contributor died without leaving a survivor and at the time the payment is to be made all of the children are dead or cannot be found, the total amount shall be paid

  • (i) if the contributor named his or her estate or succession as beneficiary or named another beneficiary under Part II and the beneficiary survives the contributor, to the beneficiary,

  • (ii) if the contributor is not survived by a beneficiary so named and the death of the contributor occurred while he or she was a member of the regular force, to the service estate of the contributor, and

  • (iii) in any other case, to the estate or succession of the contributor or, if less than one thousand dollars, as the Minister may direct.

Marginal note:Apportionment when two survivors

• 26.1 (1) If there are two survivors of a contributor, the share of the total amount referred to in section 26 to be paid to the survivor referred to in paragraph (a) of the definition survivor in subsection 2(1) and the share to be paid to the survivor referred to in paragraph (b) of that definition shall be paid as the Minister may direct.

• Marginal note:Share may be nil

  (2) Nothing in subsection (1) is to be read as limiting the Minister’s power to direct that the share of one or other of the survivors under that subsection is nil.

27 [Repealed, 1989, c. 6, s. 8]

28 [Repealed, 2003, c. 26, s. 18]

Marginal note:Person considered to be the survivor

• 29 (1) For the purposes of this Act, when a person establishes that he or she was cohabiting in a relationship of a conjugal nature with the contributor for at least one year immediately before the death of the contributor, the person is considered to be the survivor of the contributor.

• Marginal note:Person considered to be married

  (2) For the purposes of this Act, when a contributor dies and, at the time of death, the contributor was married to a person with whom the contributor had been cohabiting in a relationship of a conjugal nature for a period immediately before the marriage, that person is considered to have become married to the contributor on the day established as being the day on which the cohabitation began.

• Marginal note:When survivor not to receive annual allowance — waiver

  (3) A survivor is not entitled to receive an annual allowance if the survivor makes an irrevocable waiver under subsection (4).

• Marginal note:Permitted waivers

  (4) A survivor may make an irrevocable waiver in writing only if it results in

  • (a) an increase in the allowance payable to a child under paragraph 25(1)(b); or

  • (b) a benefit being paid under any of sections 38 to 40.

• Marginal note:Time for waiver

  (5) A waiver must be made no later than three months after the survivor is notified of his or her entitlement to an allowance and takes effect as of the date of the death of the contributor.

• Marginal note:When survivor not to receive benefits — criminal responsibility for death

  (6) A survivor is not entitled to receive any benefit under this Act with respect to the contributor when the contributor dies and the survivor is found criminally responsible for the death.

• Marginal note:When survivor not to receive annual allowance — missing survivor

  (7) A survivor is not entitled to receive an annual allowance when the contributor dies if it is established to the satisfaction of the Minister that the survivor cannot be found.

• Marginal note:Apportionment of allowance when two survivors

  (8) When an annual allowance is payable under paragraph 25(1)(a) and there are two survivors of the contributor, the total amount of the annual allowance shall be apportioned so that

  • (a) the survivor referred to in paragraph (a) of the definition survivor in subsection 2(1) is entitled to receive the proportion of the annual allowance that the total of the number of years that he or she cohabited with the contributor while married to the contributor and the number of years that he or she cohabited with the contributor in a relationship of a conjugal nature bears to the total number of years that the contributor so cohabited with the survivors; and

  • (b) the survivor referred to in paragraph (b) of that definition is entitled to receive the proportion of the annual allowance that the number of years that he or she cohabited with the contributor in a relationship of a conjugal nature bears to the total number of years that the contributor cohabited with the survivors, either while married or while in a relationship of a conjugal nature.

• Marginal note:Years

  (9) In determining a number of years for the purposes of subsection (8), part of a year shall be counted as a full year if the part is six or more months and shall be ignored if it is less.

• Marginal note:Death, etc. of one of the survivors

  (10) When one of the survivors referred to in subsection (8) dies or is not entitled to receive a benefit under this Act when the contributor dies, the portion of the annual allowance that would have been payable to the survivor who died or is not entitled shall be paid to the remaining survivor in addition to his or her own portion.

30 [Repealed, 1999, c. 34, s. 136]

Marginal note:Marriage after sixty years of age

• 31 (1) Subject to section 25.1 but notwithstanding any other provision of this Act, the survivor of a contributor is not entitled to an annual allowance in respect of the contributor under this Part if at the time the contributor married the survivor or began to cohabit with the survivor in a relationship of a conjugal nature, the contributor had attained the age of sixty years unless, after that time, the contributor became or continued to be a contributor.

• Marginal note:Child born after parent sixty years of age

  (2) Notwithstanding anything in this Act, except as provided in the regulations a child who was born to or adopted by a person or who became the stepchild of a person at a time when that person was over sixty years of age is not entitled to any annual allowance under this Act, unless, after that time, that person became or continued to be a contributor.

Marginal note:Death within one year after marriage

32 Notwithstanding anything in this Act, when a contributor dies within one year after marriage, no annual allowance is payable to the survivor of the contributor or the children of that marriage unless it is established to the satisfaction of the Minister that the contributor was at the time of the marriage in such a condition of health as to justify the contributor in having an expectation of surviving for at least one year after the marriage.

33 [Repealed, 1989, c. 6, s. 9]

Marginal note:Transitional

34 Notwithstanding anything in this Act, no person is entitled to an allowance under this Part by virtue of being the survivor of a female contributor if the contributor was not a member of the regular force on or after December 20, 1975, and section 3 does not apply in respect of this section.

Marginal note:Saving provision

35 Nothing in sections 31 to 34 shall be held to prejudice any right that a child of an earlier marriage of the contributor has to an allowance under section 25.

35.1 [Repealed, 1999, c. 34, s. 140]

36 [Repealed, 2003, c. 26, s. 19]

37 [Repealed, 2003, c. 26, s. 19]

Minimum Benefits

Marginal note:Minimum benefits

38 Where, on the death of a contributor who was not a member of the regular force on or after December 20, 1975, there is no person to whom an allowance provided in this Act may be paid, or where the persons to whom such allowance may be paid die or cease to be entitled thereto and no other amount may be paid to them under this Part, any amount by which the amount of a return of contributions exceeds the aggregate of all amounts paid to those persons and to the contributor under this Part and Part V of the former Act shall be paid, as a death benefit,

• (a) in the case of a contributor whose death occurred while he was a member of the regular force, to the service estate of the contributor; and

• (b) in any other case, to the estate of the contributor or, if less than one thousand dollars, as the Minister may direct.

Marginal note:Minimum benefits

39 Where, on the death of a contributor who was a member of the regular force on or after December 20, 1975, there is no person to whom an allowance provided in this Part may be paid, or where the persons to whom an allowance may be paid die or cease to be entitled thereto and no other amount may be paid to them under this Part, an amount equal to the amount by which

• (a) the greater of

  • (i) the amount of a return of contributions, and

  • (ii) an amount equal to five times the annuity to which the contributor was or would have been at the time of his death entitled determined in accordance with subsection 15(1),

exceeds

• (b) the aggregate of all amounts paid to those persons and to the contributor under this Part and Part V of the former Act

shall be paid, as a death benefit,

• (c) if the contributor named his estate as his beneficiary or named another beneficiary under Part II and the beneficiary survives the contributor, to the beneficiary,

• (d) if the contributor is not survived by a beneficiary so named and the death of the contributor occurred while he was a member of the regular force, to the service estate of the contributor, and

• (e) in any other case, to the estate of the contributor or, if less than one thousand dollars, as the Minister may direct.

Marginal note:Minimum benefits

• 40 (1) If, on the death of a contributor who, on ceasing to be a member of the Canadian Forces, was entitled to an immediate annuity or an annual allowance from which a deduction had been made pursuant to subsection 15(2), there is no person to whom an allowance provided in this Part may be paid, or where the persons to whom such allowance may be paid die or cease to be entitled to it and no other amount may be paid to them under this Part, any amount by which the calculated amount, within the meaning of subsection (2), exceeds the aggregate of all amounts paid to those persons and to the contributor under this Part or Part V of the former Act shall be paid

  • (a) as provided in section 38 for amounts payable under that section, if the contributor was not a member of the regular force on or after December 20, 1975; or

  • (b) as provided in section 39 for amounts payable under that section, if the contributor was a member of the regular force on or after December 20, 1975.

• Definition of calculated amount

  (2) For the purposes of subsection (1), calculated amount means an amount equal to one month’s pay for each year of pensionable service to the credit of the contributor, computed on the basis of the rate of pay authorized to be paid to them at the time they cease to be a member of the regular force, minus an amount equal to the amount by which

  • (a) the total amount the contributor would have been required to contribute to the Superannuation Account or the Canadian Forces Pension Fund up to the time they cease to be a member of the regular force, other than interest or charges for payments by instalments, in respect of service after 1965, if they had contributed on the basis of the rate set out in subsection 5(1) as it read on December 31, 1965,

  exceeds

  • (b) the total amount the contributor was required to contribute to the Superannuation Account or the Canadian Forces Pension Fund up to the time they cease to be a member of the regular force, other than interest or charges for payments by instalments, in respect of service after 1965.

Re-enrolment or Transfer

Marginal note:Persons re-enrolled or transferred

• 41 (1) If a person who has become entitled to an annuity or an annual allowance under this Act or a pension under Part V of the former Act by virtue of having served in the regular force is re-enrolled in or transferred to the regular force and becomes a contributor under this Part, whatever right or claim that they may have had to that annuity, annual allowance or pension (in this section referred to as the “original annuity”) then ceases and the period of service on which the original annuity was based may be counted by them as pensionable service for the purposes of this Part.

• Marginal note:Benefits prescribed by regulations

  (2) If, on subsequently ceasing to be a member of the regular force, a contributor referred to in subsection (1) is entitled to an annuity or annual allowance under this Part the capitalized value of which is less than the capitalized value of the original annuity, the contributor shall be entitled to benefits prescribed in regulations made under subsection (3) in place of any other benefit under this Part and Part III to which they would otherwise be entitled, but in no case shall the capitalized value of the benefits be less than the capitalized value of the original annuity.

• Marginal note:Regulations

  (3) For the purposes of subsection (2), the Governor in Council may make regulations prescribing benefits to which a contributor is entitled and respecting the manner of determining capitalized values, including the manner of taking into account any benefit under Part III.

42 [Repealed, 2003, c. 26, s. 21]

43 [Repealed, 2003, c. 26, s. 21]

44 [Repealed, 2003, c. 26, s. 21]

45 [Repealed, 2003, c. 26, s. 21]

46 [Repealed, 2003, c. 26, s. 21]

47 [Repealed, 2003, c. 26, s. 21]

48 [Repealed, 2003, c. 26, s. 21]

Service Pension Board

Marginal note:Service Pension Board

• 49 (1) The Minister shall appoint a board, to be known as the Service Pension Board, consisting of a chairman and two other members, one to represent the Canadian Forces and one to represent the Minister.

• Marginal note:Duty of Board

  (2) It is the duty of the Service Pension Board to determine, in the case of any contributor who is retired from the regular force, the reason for the retirement, and the Board shall, on the making of the determination, certify in writing the reason for that retirement as determined by the Board.

• Marginal note:Certification of reason for retirement

  (3) No payment shall be made of any annuity or other benefit under this Act to a contributor who is retired from the regular force except on certification in writing by the Service Pension Board of the reason for the retirement as determined by the Board, and on the certification thereof the contributor shall be presumed, in the absence of evidence to the contrary, to have been retired from the regular force for that reason.

• Marginal note:Application of subsections (2) and (3)

  (4) Subsections (2) and (3) do not apply to any case or class of cases specified by the Treasury Board.

• Marginal note:Limitation on application

  (5) This section does not apply in the case of a contributor who ceases to be a member of the regular force after the coming into force of this subsection.

Advisory Committee

Marginal note:Advisory committee

• 49.1 (1) The Minister shall establish a committee, to be known as the Canadian Forces Pension Advisory Committee, the members of which are appointed by the Minister in accordance with subsection (2), to advise and assist the Minister on matters arising in connection with the operation of this Act in accordance with subsection (1.1).

• Marginal note:Mandate

  (1.1) The mandate of the committee is to

  • (a) review matters respecting the administration, design and funding of the benefits provided under this Act and make recommendations to the Minister about those matters; and

  • (b) review any other pension-related matters that the Minister may refer to it.

• Marginal note:Membership

  (2) The membership of the Committee shall consist of

  • (a) one member appointed from among contributors in receipt of annuities under this Act who are nominated for appointment by an association that, in the opinion of the Minister, represents such contributors;

  • (b) three members appointed from among persons required to contribute to the Canadian Forces Pension Fund who are nominated for appointment by the Chief of the Defence Staff to represent persons serving in the Canadian Forces;

  • (c) one member appointed from among persons who are enrolled in the reserve force who is nominated for appointment by the Chief of the Defence Staff to represent members of the reserve force; and

  • (d) five other members appointed by the Minister, four of whom must be from among persons required to contribute to the Canadian Forces Pension Fund and one of whom may be a person required to contribute to any other superannuation or pension account in the accounts of Canada or the Public Service Pension Fund within the meaning of the Public Service Superannuation Act or the Royal Canadian Mounted Police Pension Fund within the meaning of the Royal Canadian Mounted Police Superannuation Act.

• Marginal note:Term

  (3) A member of the Committee shall be appointed to hold office for a term not exceeding three years and is eligible for reappointment for one or more additional terms.

• Marginal note:Recommendation of candidates

  (3.1) The advisory committee shall recommend to the Minister candidates for appointment to the nominating committee established under section 10 of the Public Sector Pension Investment Board Act.

• Marginal note:Chairperson

  (4) The Minister shall designate one of the members to be the chairperson of the Committee.

Regulations

Marginal note:Regulations

• 50 (1) The Governor in Council may make regulations

  • (a) prescribing anything that, by this Act, is to be prescribed or is to be determined or regulated by regulation;

  • (b) prescribing the circumstances in which, and the terms and conditions on which, elections may be made and options may be exercised under this Part, except section 19, and respecting the manner of and time for doing so;

  • (c) prescribing the circumstances in which, and the terms and conditions on which, elections under this Part may be revoked or amended, options under this Part revoked, and new elections or options made or exercised, and respecting the manner of and time for doing so;

  • (d) prescribing the terms and conditions on which a person who is retired from the regular force and, within sixty days after their retirement from it, again becomes a member of the regular force is deemed to have continued to be a member of the regular force despite their retirement from it;

  • (e) prescribing the extent to which and the circumstances under which any period of service of a person, whether before or after March 1, 1960, for which no pay was authorized to be paid or for which any forfeiture of pay or deduction from pay in respect of a period of suspension from duty was authorized to be made shall be counted as pensionable service for the purposes of this Act, prescribing the pay that is deemed to have been authorized to be paid to that person and to have been received by that person during that period, and prescribing, despite section 5, the contributions to be made by that person to the Superannuation Account or the Canadian Forces Pension Fund in respect of that pay;

  • (f) specifying, for the purposes of subsection 2(4), the employment as a member of the Canadian Forces that is excepted employment;

  • (g) fixing an annual rate of pay for the purposes of subsection 5(5) or prescribing the manner of determining the annual rate of pay;

  • (h) prescribing, for the purposes of subsection 9(3), the portion of the period of service that shall be counted as pensionable service for the purposes of this Act;

  • (i) respecting the manner of determining the amount of a transfer value within the meaning of section 10, the terms and conditions under which a contributor may become entitled to a transfer value and any other matters that the Governor in Council considers necessary for the purposes of carrying out section 22;

  • (j) respecting the manner in which, and the determination of the balances on which, interest is to be calculated under section 13 and respecting the rates of interest for the purposes of paragraph 13(b);

  • (k) prescribing the evidence required to satisfy the Minister that a contributor is not entitled to a disability pension described in paragraph 15(2)(b), the manner in which and the time within which that evidence shall be provided and the form of that evidence;

  • (l) respecting, for the purposes of subsection 15(4), the manner of determining pay that a contributor is deemed to have received;

  • (m) prescribing service in the regular force or in the reserve force that constitutes Canadian Forces service for the purposes of paragraph 16(1)(a);

  • (n) specifying, for the purposes of subsection 18(4), the method by which the amount of any annuity or annual allowance payable to a contributor described in subsection 18(1) shall be adjusted;

  • (o) specifying, for the purposes of subsection 21(2), the method by which the amount of any immediate annuity payable to a contributor described in subsection 21(1) shall be adjusted;

  • (p) defining, for the purposes of subsection 25(5), the expression full-time attendance at a school or university as applied to a child of a contributor;

  • (q) respecting the determination of disability for the purposes of this Part and the conditions on which an immediate annuity shall be paid or continue to be paid, including the initial assessment and subsequent periodic or other assessments of that disability;

  • (r) respecting the reduction to be made in the amount of an annuity or annual allowance when an option is exercised under subsection 25.1(1), the amount of the immediate annual allowance to be paid under subsection 25.1(2), the circumstances in which an option is deemed to have been revoked and any other matters that the Governor in Council considers necessary for the purposes of carrying out section 25.1;

  • (s) providing for the continuation in force of any outstanding direction made by the Minister or the Treasury Board under section 62 of the former Act, under the circumstances contemplated by that section and subject to modification or suspension as contemplated by that section;

  • (t) respecting the rates at which interest shall be credited to the Superannuation Account under paragraph 55(1)(b), the manner in which it shall be calculated and the time at which it shall be credited to the Account;

  • (u) respecting the additional information that is required to be included in annual reports referred to in section 57;

  • (v) providing for the payment out of the Superannuation Account or the Canadian Forces Pension Fund, on the death of a contributor and on application to the Minister by or on behalf of a person to whom any annual allowance becomes payable under this Part, of the whole or any part of the portion of the estate, legacy, succession or inheritance duties or taxes that are payable by the person that is determined in accordance with the regulations to be attributable to that allowance, and prescribing the amounts by which and the manner in which any such allowance and any amount payable in any such case under any of sections 38 to 40 shall be reduced; and

  • (w) generally, for carrying into effect the purposes and provisions of this Act.

• Marginal note:Retroactive application of regulations

  (2) Regulations made under this Act may, if they so provide, be retroactive and have effect with respect to any period before they are made.

50.1 [Repealed, 2003, c. 26, s. 23]

51 [Repealed, 2003, c. 26, s. 24]

Marginal note:Members of Parliament and Senators

52 Notwithstanding anything in this Part, the Governor in Council may by regulation

• (a) provide that the service of a former member of the House of Commons or a former Senator in respect of which he or she made contributions under the Members of Parliament Retiring Allowances Act may, to the extent and subject to the conditions that may be prescribed by the regulations, be counted by that former member or former Senator as pensionable service for the purposes of this Part; and

• (b) provide for the transfer to the Superannuation Account or the Canadian Forces Pension Fund of amounts in the Retiring Allowances Account, within the meaning of that Act, in respect of him or her.

53 [Repealed, 2003, c. 26, s. 25]

Payments out of Account

Marginal note:Payments out of Superannuation Account

• 54 (1) All amounts required for the payment of benefits for which this Part, including any pension referred to in subsection 59(1), and Part III make provision shall be paid out of the Superannuation Account if the benefits are payable in respect of pensionable service to the credit of a contributor before April 1, 2000.

• Marginal note:Transfer of amounts

  (2) The amounts deposited in the Canadian Forces Superannuation Investment Fund under subsection 55.1(2) shall be transferred to the Public Sector Pension Investment Board within the meaning of the Public Sector Pension Investment Board Act to be dealt with in accordance with that Act.

• Marginal note:Payment of benefits

  (3) If there are insufficient amounts in the Superannuation Account to pay all the benefits referred to in subsection (1), the amounts required for the payment of those benefits shall be charged to the Canadian Forces Superannuation Investment Fund and paid out of the assets of the Public Sector Pension Investment Board.

Amounts

Marginal note:Amounts to be credited in each fiscal year

• 55 (1) There shall be credited to the Superannuation Account in each fiscal year

  • (a) [Repealed, 1999, c. 34, s. 151]

  • (b) an amount representing interest on the balance from time to time to the credit of the Account, calculated in such manner and at such rates and credited at such times as the regulations provide, but the rate for any quarter in a fiscal year shall be at least equal to the rate that would be determined for that quarter using the method set out in section 36 of the Canadian Forces Superannuation Regulations, as that section read on March 31, 1991.

• (2) to (5) [Repealed, 1999, c. 34, s. 151]

• Marginal note:Amounts to be credited on basis of actuarial valuation report

  (6) Following the laying before Parliament of any actuarial valuation report pursuant to section 56 that relates to the state of the Superannuation Account and the Canadian Forces Superannuation Investment Fund, there shall be credited to the Account, at the time and in the manner set out in subsection (7), the amount that in the opinion of the President of the Treasury Board will, at the end of the fifteenth fiscal year following the tabling of that report or at the end of the shorter period that the President of the Treasury Board may determine, together with the amount that the President of the Treasury Board estimates will be to the credit of the Account and the Canadian Forces Superannuation Investment Fund at that time, meet the cost of the benefits payable under this Part and Part III in respect of pensionable service that is to the credit of contributors before April 1, 2000.

• Marginal note:Equal annual instalments

  (7) Subject to subsection (8), the amount required to be credited to the Superannuation Account under subsection (6) shall be divided into equal annual instalments and the instalments shall be credited to the Account over a period of fifteen years, or such shorter period as the President of the Treasury Board may determine, with the first such instalment to be credited in the fiscal year in which the actuarial valuation report is laid before Parliament.

• Marginal note:Adjustments

  (8) When a subsequent actuarial valuation report is laid before Parliament before the end of the period applicable under subsection (7), the instalments remaining to be credited in that period may be adjusted to reflect the amount that is estimated by the President of the Treasury Board, at the time that subsequent report is laid before Parliament, to be the amount that will, together with the amount that the President of the Treasury Board estimates will be to the credit of the Superannuation Account and the Canadian Forces Superannuation Investment Fund at the end of that period, meet the cost of the benefits payable under this Part and Part III in respect of pensionable service that is to the credit of contributors before April 1, 2000.

• Marginal note:Amounts to be debited on basis of actuarial valuation report

  (9) Following the laying before Parliament of any actuarial valuation report pursuant to section 56 that relates to the state of the Superannuation Account and the Canadian Forces Superannuation Investment Fund, there may be debited from the Account, at the time and in the manner set out in subsection (11), an amount that in the opinion of the President of the Treasury Board exceeds the amount that the President of the Treasury Board estimates, based on the report, will be required to be to the credit of the Account and the Canadian Forces Superannuation Investment Fund at the end of the fifteenth fiscal year following the tabling of that report or at the end of the shorter period that the President of the Treasury Board may determine, in order to meet the cost of the benefits payable under this Part and Part III in respect of pensionable service that is to the credit of contributors before April 1, 2000.

• Marginal note:If total exceeds maximum

  (10) If the total of the amounts in the Account and in the Fund referred to in subsection (9) exceeds, following the laying of the report referred to in that subsection, the maximum amount referred to in subsection (13), there shall be debited from the Account, at the time and in the manner set out in subsection (11), the amount of the excess.

• Marginal note:Annual instalments

  (11) Subject to subsection (12), the amount that may be debited under subsection (9) and the amount that must be debited under subsection (10) shall be debited in annual instalments over a period of fifteen years, or the shorter period that the President of the Treasury Board may determine, with the first such instalment to be debited in the fiscal year in which the actuarial valuation report is laid before Parliament.

• Marginal note:Adjustments

  (12) When a subsequent actuarial valuation report is laid before Parliament before the end of the period applicable under subsection (11), the instalments remaining to be debited in that period may be adjusted to reflect the amount that is estimated by the President of the Treasury Board, at the time that subsequent report is laid before Parliament, to be the amount that will, together with the amount that the President of the Treasury Board estimates will be to the credit of the Superannuation Account and the Canadian Forces Superannuation Investment Fund at the end of that period, meet the cost of the benefits payable under this Part and Part III in respect of pensionable service that is to the credit of contributors before April 1, 2000.

• Marginal note:Maximum amount to credit of Account and Fund

  (13) At the end of the period, the total of the amounts that are to the credit of the Superannuation Account and the Canadian Forces Superannuation Investment Fund must not exceed one hundred and ten percent of the amount that the President of the Treasury Board estimates is required to meet the cost of the benefits payable under this Part and Part III in respect of pensionable service that is to the credit of contributors before April 1, 2000.

• Marginal note:Costs

  (14) The costs of the administration of this Act, as determined by the Treasury Board on the recommendation of the Minister, with respect to benefits payable under this Act in respect of pensionable service that is to the credit of contributors before April 1, 2000 shall be paid out of the Superannuation Account.

Canadian Forces Superannuation Investment Fund

Marginal note:Establishment of Canadian Forces Superannuation Investment Fund

• 55.1 (1) The Canadian Forces Superannuation Investment Fund is established.

• Marginal note:Amounts to be deposited into Canadian Forces Superannuation Investment Fund

  (2) The following amounts shall be deposited into the Canadian Forces Superannuation Investment Fund:

  • (a) the amounts in the Superannuation Account transferred on or after April 1, 2000 that the Minister of Finance determines, in the manner and at the times that that minister determines; and

  • (b) the income from the investment of the amounts referred to in paragraph (a) plus profits less losses on the sale of the investments.

• Marginal note:Costs

  (3) If there are insufficient amounts in the Superannuation Account to pay the costs of the administration of this Act with respect to benefits payable under this Act in respect of pensionable service that is to the credit of contributors before April 1, 2000, those costs shall be paid out of the Canadian Forces Superannuation Investment Fund.

• Marginal note:Transfer of amounts

  (4) The Minister of Finance may, after consultation with the Public Sector Pension Investment Board within the meaning of the Public Sector Pension Investment Board Act, transfer to the Superannuation Account amounts in the Canadian Forces Superannuation Investment Fund that he or she determines, in the manner and at the times that that minister determines.

Canadian Forces Pension Fund

Marginal note:Establishment of Canadian Forces Pension Fund

• 55.2 (1) The Canadian Forces Pension Fund is established.

• Marginal note:Amounts to be deposited into Canadian Forces Pension Fund

  (2) The following amounts shall be deposited into the Canadian Forces Pension Fund:

  • (a) the amounts determined by the President of the Treasury Board under subsection (3);

  • (b) all other amounts required by this Act to be paid into the Fund; and

  • (c) the income from the investment of the amounts referred to in paragraphs (a) and (b) plus profits less losses on the sale of the investments.

• Marginal note:Amounts to be determined by the President of the Treasury Board

  (3) There shall be deposited into the Canadian Forces Pension Fund, in each fiscal year, in respect of every month, no later than thirty days after the end of the month in respect of which it is made

  • (a) an amount that is determined by the President of the Treasury Board, after consultation with the Minister and based on actuarial advice, to be required to provide for the cost of the benefits that have accrued in respect of that month in relation to current service and that will become payable out of the Canadian Forces Pension Fund; and

  • (b) an amount that is determined by the President of the Treasury Board, after consultation with the Minister, in relation to the total amount paid into the Canadian Forces Pension Fund during the preceding month by way of contributions in respect of past service.

• Marginal note:Determination of the amounts

  (4) In determining amounts for the purposes of paragraph (3)(a), the President of the Treasury Board may take into account any surplus in the Canadian Forces Pension Fund as shown in the most recent actuarial valuation report referred to in section 56 on the state of the Fund.

• Marginal note:Transfer of amounts

  (5) The amounts deposited in the Canadian Forces Pension Fund shall be transferred to the Public Sector Pension Investment Board within the meaning of the Public Sector Pension Investment Board Act to be dealt with in accordance with that Act.

• Marginal note:Payment of benefits

  (6) All amounts required for the payment of benefits for which this Part and Part III make provision shall be charged to the Canadian Forces Pension Fund and paid out of the assets of the Public Sector Pension Investment Board if the benefits are payable in respect of pensionable service that comes to the credit of a contributor on or after April 1, 2000.

Marginal note:Amounts to be paid on basis of actuarial valuation report

• 55.3 (1) Following the laying before Parliament of any actuarial valuation report pursuant to section 56 that relates to the state of the Canadian Forces Pension Fund, there shall be paid into the Fund, at the time and in the manner set out in subsection (2), the amount that in the opinion of the President of the Treasury Board will, at the end of the fifteenth fiscal year following the tabling of that report or at the end of the shorter period that the President of the Treasury Board may determine, together with the amount that the President of the Treasury Board estimates will be to the credit of the Fund at that time, meet the cost of the benefits payable under this Part and Part III in respect of pensionable service that comes to the credit of contributors on or after April 1, 2000.

• Marginal note:Equal annual instalments

  (2) Subject to subsection (3), the amount required to be paid into the Canadian Forces Pension Fund under subsection (1) shall be divided into equal annual instalments and the instalments shall be paid to the Canadian Forces Pension Fund over a period of fifteen years, or the shorter period that the President of the Treasury Board may determine, with the first such instalment to be paid in the fiscal year in which the actuarial valuation report is laid before Parliament.

• Marginal note:Adjustments

  (3) When a subsequent actuarial valuation report is laid before Parliament before the end of the period applicable under subsection (2), the instalments remaining to be paid in that period may be adjusted to reflect the amount that is estimated by the President of the Treasury Board, at the time that subsequent report is laid before Parliament, to be the amount that will, together with the amount that the President of the Treasury Board estimates will be to the credit of the Fund at the end of that period, meet the cost of the benefits payable under this Part and Part III in respect of pensionable service that comes to the credit of contributors on or after April 1, 2000.

Marginal note:No more deposits if non-permitted surplus

• 55.4 (1) If, following the laying before Parliament of any actuarial valuation report pursuant to section 56 that relates to the state of the Canadian Forces Pension Fund, there is, in the President of the Treasury Board’s opinion, a non-permitted surplus in that Fund, no further amounts shall be deposited into the Fund under paragraph 55.2(3)(a) until the time that there is, in the President of the Treasury Board’s opinion, no longer a non-permitted surplus in the Fund.

• Marginal note:When non-permitted surplus

  (2) If, following the laying before Parliament of any actuarial valuation report pursuant to section 56 that relates to the state of the Canadian Forces Pension Fund, there is, in the President of the Treasury Board’s opinion, a non-permitted surplus in that Fund,

  • (a) the contributions payable under section 5 may be reduced in the manner, at the times and for the period that the Treasury Board determines, on the recommendation of the President of the Treasury Board after consultation with the Minister; or

  • (b) there may be paid out of the Canadian Forces Pension Fund, and into the Consolidated Revenue Fund, the amount, at the time and in the manner, that the Treasury Board determines on the recommendation of the President of the Treasury Board after consultation with the Minister.

• Marginal note:Recommendation of President of the Treasury Board

  (3) The President of the Treasury Board shall only make the recommendation referred to in paragraph (2)(b) after estimating, based on the report, that the amount that will be to the credit of the Canadian Forces Pension Fund at the end of the fifteenth fiscal year of that report or at the end of the shorter period that the President of the Treasury Board may determine, will not be less than the total of

  • (a) the amount that will be required in order to meet the cost of the benefits payable under this Part and Part III in respect of pensionable service that comes to the credit of contributors on or after April 1, 2000, and

  • (b) the amount of any surplus in the Canadian Forces Pension Fund that does not constitute a non-permitted surplus.

• Marginal note:When surplus is not non-permitted surplus

  (4) If, following the laying before Parliament of an actuarial valuation report pursuant to section 56 that relates to the state of the Canadian Forces Pension Fund, there is, in the opinion of the President of the Treasury Board, a surplus that is not a non-permitted surplus in that Fund, the contributions payable under section 5 or paragraph 55.2(3)(a) may be reduced in the manner, at the times and for the period that the Treasury Board determines, on the recommendation of the President of the Treasury Board after consultation with the Minister.

• Marginal note:Non-permitted surplus

  (5) For the purposes of this section, a non-permitted surplus exists when the amount by which assets exceed liabilities in the Canadian Forces Pension Fund, as determined by the actuarial valuation report referred to in section 56 or one requested by the President of the Treasury Board, is greater than 25 per cent of the amount of liabilities in respect of contributors, as determined in that report.

• Marginal note:When reduction in contributions

  (6) For greater certainty, a reduction in contributions under paragraph (2)(a) or subsection (4) is not to be considered as changing the contribution rate that applied before the reduction in contributions.

Marginal note:Costs

55.5 The costs of the administration of this Act, as determined by the Treasury Board on the recommendation of the Minister, with respect to benefits payable under Parts I, II and III in respect of pensionable service that comes to the credit of contributors on or after April 1, 2000 shall be paid out of the Canadian Forces Pension Fund.

Actuarial Report

Marginal note:Public Pensions Reporting Act

56 In accordance with the Public Pensions Reporting Act, a cost certificate, an actuarial valuation report and an assets report on the state of each of the Superannuation Account, the Canadian Forces Superannuation Investment Fund and the Canadian Forces Pension Fund shall be prepared, filed with the Minister designated under that Act and laid before Parliament.

Annual Report

Marginal note:Annual report

57 The Minister shall cause to be laid before each House of Parliament each year a report on the administration of this Part and Part III during the preceding fiscal year, including a statement showing the amounts paid into and out of the Superannuation Account, the Canadian Forces Pension Fund, and the Canadian Forces Superannuation Investment Fund during that year, by appropriate classifications, the number of contributors and the number of persons receiving benefits under this Part and Part III together with the additional information that the Governor in Council may by regulation require.

Offence and Punishment

Marginal note:Offence

58 Any person who knowingly makes any statement or gives any information that is false in any material particular for the purpose of obtaining, either for himself or for any other person, any payment under this Act is guilty of an indictable offence and liable to a fine not exceeding one thousand dollars or to imprisonment for a term not exceeding one year or to both.

Transitional

Marginal note:Continuation of pensions

• 59 (1) A person to whom any pension has become payable under Part V of the former Act shall, for the purposes of this Act, be deemed to have become entitled to that pension under this Act.

• Marginal note:Persons deemed to be contributors

  (2) For the purposes of this Act, a person to whom, as a contributor under Part V of the former Act, any pension has become payable under the former Act shall, on his death on or after July 8, 1959, be deemed to have been a contributor under this Act who, at the time of his death, was entitled under this Act to an annuity.

PART I.1Reserve Force Pension Plan

Marginal note:Regulations

59.1 The Governor in Council may make regulations respecting the establishment, funding and administration of pension plans for members of the reserve force prescribed in those regulations to provide for the payment of benefits to or in respect of those members, including regulations respecting the crediting of service in the reserve force as pensionable service for the purposes of Part I and the transfer of amounts in respect of such service from the funds established under the regulations to the Canadian Forces Pension Fund and vice versa.

Marginal note:Contributions by members

59.2 A member of the reserve force who is subject to a plan established in accordance with this Part is required to contribute, by reservation from pay or otherwise, in accordance with the regulations.

Marginal note:Amounts to be deposited

59.3 There shall be deposited into a fund established under the regulations made under section 59.1, at the time and in the manner prescribed by the regulations, in addition to any other amounts that are prescribed by the regulations to be deposited to the fund,

• (a) in the case of a fund established for the payment of benefits that are related to periods of pensionable service, amounts estimated by the President of the Treasury Board to meet the cost of those benefits; and

• (b) in the case of any other fund, the amounts that are determined by the Minister in accordance with the regulations to be required to be deposited to the fund.

Marginal note:Transfer of amounts

59.4 If the regulations made under section 59.1 so provide, amounts deposited in a fund referred to in paragraph 59.3(a) or (b) shall be transferred to the Public Sector Pension Investment Board within the meaning of the Public Sector Pension Investment Board Act to be dealt with in accordance with that Act.

Marginal note:Deposit

59.5 If the regulations made under section 59.1 so provide, amounts deposited in a fund referred to in paragraph 59.3(b) may be deposited with a financial institution specified in the regulations.

Marginal note:Public Pensions Reporting Act

• 59.6 (1) In accordance with the Public Pensions Reporting Act, a cost certificate, an actuarial valuation report and an assets report on the state of a plan established in accordance with this Part the benefits for which would come out of a fund referred to in paragraph 59.3(a) shall be prepared, filed with the Minister designated under that Act and laid before Parliament.

• Marginal note:Review date

  (2) For the purposes of subsection (1), the review date as of which an actuarial valuation report of the plan referred to in that subsection must be conducted for the purposes of the first valuation report is the date prescribed in the regulations and, for each subsequent report, the review dates must not be more than three years apart.

Marginal note:Annual report

59.7 The Minister shall cause to be laid before each House of Parliament each year a report on the administration of this Part during the preceding fiscal year.

59.8 [Repealed, 2003, c. 26, s. 41]

PART IISupplementary Death Benefits

Interpretation

Marginal note:Definitions

• 60 (1) In this Part,

  basic benefit

  basic benefit[Repealed, 1999, c. 34, s. 155]

  benefit

  benefit means the amount payable in respect of a participant under section 66; (prestation)

  elective

  elective as applied to a participant means that the participant comes within paragraph (c) or (d) of the definition participant; (volontaire)

  immediate annual allowance

  immediate annual allowance means an annual allowance payable within 30 days after the day on which a participant ceases to be a member of the regular force; (allocation annuelle immédiate)

  participant

  participant means

  • (a) a member of the regular force,

  • (b) [Repealed, 2003, c. 26, s. 26]

  • (c) a person other than a member of the regular force who has made an election under section 62 and continues to contribute under this Part, and

  • (d) a person who has made an election under section 62 and in respect of whom a benefit is payable without contribution by him or her.

  • (e) [Repealed, 2003, c. 26, s. 26]

  but does not include a person described in paragraph 62(1)(b) of the Public Service Superannuation Act who elected not to come under the provisions of Part II of that Act; (participant)

  public service participant

  public service participant means a person who is a participant under Part II of the Public Service Superannuation Act; (participant de la fonction publique)

  salary

  salary[Repealed, 1999, c. 34, s. 155]

• Marginal note:Other words and expressions

  (2) Other words and expressions used in this Part and not defined in subsection (1) have the same meaning as in Part I.

Marginal note:Apportionment

61 If a benefit payable under Part I is apportioned between two survivors under subsection 29(8) or a pension payable under the Defence Services Pension Continuation Act, chapter D-3 of the Revised Statutes of Canada, 1970, is apportioned between two women under subsection 32(3) of that Act, the benefit payable to a person referred to in subsection 67(2) is apportioned in the same manner.

Marginal note:Election to continue as participant

• 62 (1) A participant who is a member of the regular force and who has been a member substantially without interruption for five years or more or has been a participant under this Part without interruption for five years or more may, within one year before such time as he ceases to be a member, elect to continue to be a participant under this Part after that time.

• Marginal note:Idem

  (2) A person who ceases to be a member of the regular force and at the time he ceases to be a member is a participant who has been a member of the regular force substantially without interruption for five years or more or has been a participant under this Part without interruption for five years or more,

  • (a) shall be deemed, for the purposes of this Part except section 65, to be a participant under this Part for a period of thirty days after that time; and

  • (b) may, within that period of thirty days, elect to continue to be a participant under this Part after the expiration of that period, and is, if on ceasing to be a member they are entitled under Part I or under the Defence Services Pension Continuation Act, chapter D-3 of the Revised Statutes of Canada, 1970, to an immediate annuity, immediate annual allowance or pension, as the case may be, deemed so to have elected within that period to continue to be a participant under this Part after the expiration of that period.

• Marginal note:Idem

  (3) An election under subsection (1) or (2) shall be deemed not to take effect until the expiration of the period of thirty days mentioned in paragraph (2)(a).

• Marginal note:Service in public service to be counted

  (4) For the purpose of subsections (1) and (2),

  • (a) in calculating the period during which a person has been a member of the regular force, any period during which that person was employed in the public service shall be deemed to be service as a member of the regular force; and

  • (b) in calculating the period during which a person has been a participant under this Part, any period during which that person was a participant under Part II of the Public Service Superannuation Act shall be included.

Marginal note:When public service participant deemed participant

63 Despite anything in this Part, a participant who becomes a public service participant ceases to be a participant under this Part, but, if on ceasing to be a public service participant they are not entitled to an immediate annuity or an immediate annual allowance under the Public Service Superannuation Act and are entitled under Part I or under the Defence Services Pension Continuation Act, chapter D-3 of the Revised Statutes of Canada, 1970, to an immediate annuity, immediate annual allowance or pension, they are deemed to have elected under subsection 62(1) to continue to be a participant under this Part.

64 [Repealed, 1999, c. 34, s. 157]

Contributions

Marginal note:Amount of contribution

65 Every participant shall contribute to the Consolidated Revenue Fund the amounts prescribed by the regulations under the conditions prescribed by the regulations, in the manner and at the time prescribed by the regulations.

Benefits

Marginal note:Payment of benefit

• 66 (1) On the death of a participant, there shall be paid to the persons and in the manner specified in this Part, a benefit in the amount prescribed by the regulations.

• Marginal note:Benefits to certain participants continued

  (2) Notwithstanding subsection (1), in calculating the benefit payable under that subsection on the death of a person who was an elective regular force participant under Part II of the Public Service Superannuation Act immediately before August 1, 1966 and who continued to be an elective participant until the time of his death, basic benefit means the basic benefit as defined in subsection 47(1) of the Public Service Superannuation Act as it read immediately prior to August 1, 1966.

Marginal note:To whom benefits paid

• 67 (1) Subject to section 83, benefits shall be paid as follows:

  • (a) where a deceased participant has, pursuant to any regulations made under subsection 73(1), named his estate as his beneficiary or named another beneficiary who may be named under those regulations and the beneficiary survives the participant, to the beneficiary; and

  • (b) in any other case, to the estate of the participant or, if less than one thousand dollars, as the Minister may direct.

• Marginal note:Transitional

  (2) Notwithstanding subsection (1), where, immediately prior to December 20, 1975, any benefit would, on the death of a participant, have become payable to his widow, the benefit shall remain payable, on his death, to his widow, unless

  • (a) she does not survive him;

  • (b) he names his estate as his beneficiary under any regulations made under paragraphs 73(1)(e) and (f); or

  • (c) he names another beneficiary under any regulations made under paragraphs 73(1)(e) and (f).

• Marginal note:Exception

  (2.1) If it is established to the satisfaction of the Minister when the participant dies that the beneficiary or widow cannot be found, the benefit shall be paid to the estate or succession of the participant or, if less than one thousand dollars, shall be paid as the Minister may direct.

• Marginal note:How benefits paid

  (3) Subject to any regulations made under paragraph 73(1)(g), a benefit shall be paid in a lump sum.

Marginal note:Regular Force Death Benefit Account

• 68 (1) There shall be an account in the accounts of Canada to be known as the Regular Force Death Benefit Account to which shall be credited the following:

  • (a) the amount of all contributions paid under section 65 by participants;

  • (b) an amount that is the greater of

    • (i) an amount, representing an amount sufficient to cover the cost of the benefits that will become chargeable against the Account, as determined in accordance with the regulations, and

    • (ii) the aggregate of

      • (A) one twelfth of the benefit paid in respect of each participant who, at the time of death, was a member of the regular force or of the reserve force, for which benefit contributions under this Part were payable by the participant at that time,

      • (B) one twelfth of the benefit paid in respect of each elective participant who, on ceasing to be a member of the regular force was entitled under Part I or under the Defence Services Pension Continuation Act, chapter D-3 of the Revised Statutes of Canada, 1970, to an immediate annuity or pension, for which benefit contributions under this Part were payable by the participant at the time of death, and

      • (C) the amount of the single premium determined under the schedule in respect of each participant in respect of whom a benefit is payable without contribution under this Part by the participant for that benefit; and

  • (c) an amount representing interest on the balance from time to time to the credit of the Account, calculated in such manner and at such rates and credited at such times as the regulations provide.

  • (d) and (e) [Repealed, 1992, c. 46, s. 54]

• Marginal note:How benefits to be charged

  (2) Benefits shall be paid out of the Consolidated Revenue Fund and shall be charged against the Regular Force Death Benefit Account.

General

Marginal note:Elective participants

• 69 (1) There shall be issued to elective participants a document in such form as the regulations prescribe as evidence that they are participants under this Part.

• Marginal note:Idem

  (2) An elective participant ceases to be a participant if any contribution payable by him under this Part is not paid within thirty days after the due date thereof.

70 [Repealed, 2003, c. 26, s. 31]

Marginal note:Valuation and assets reports

• 71 (1) A valuation report and an assets report on the state of the Regular Force Death Benefit Account shall be prepared, filed with the Minister and laid before Parliament in accordance with the Public Pensions Reporting Act and as if the supplementary death benefit plan established by this Part were a pension plan established under an Act referred to in subsection 3(1) of that Act.

• Marginal note:Review dates

  (2) For the purposes of subsection (1), the review date as of which an actuarial review of the Regular Force Death Benefit Account must be conducted for the purposes of the first valuation report is December 31 in the year that is four years after the day on which this subsection comes into force and, thereafter, the review dates must not be more than three years apart.

Marginal note:Annual report

72 The Minister shall lay before Parliament each year a report on the administration of this Part during the preceding fiscal year, including a statement showing the amounts that during such year were credited to or charged against the Regular Force Death Benefit Account.

Marginal note:Regulations

• 73 (1) The Governor in Council may make regulations for carrying the purposes and provisions of this Part into effect and, without restricting the generality of the foregoing, may make regulations

  • (a) prescribing the amounts of contributions to be made by participants;

  • (b) prescribing the conditions, manner and time of payment of contributions by participants;

  • (c) prescribing benefits payable for the purposes of subsection 66(1);

  • (d) respecting the manner of and time for making elections under this Part;

  • (e) prescribing the manner and time of naming, changing or revoking beneficiaries under this Part;

  • (f) authorizing a contributor to name his estate as his beneficiary and prescribing classes of persons and organizations from which beneficiaries may be named for the purposes of this Part;

  • (g) authorizing payment, with the approval of the Minister, out of any benefit payable to the survivor, beneficiary or estate or succession of a deceased participant, of reasonable expenses incurred for the maintenance, medical care or burial of the participant;

  • (g.1) respecting the manner of determining the amount referred to in subparagraph 68(1)(b)(i);

  • (h) respecting the rates at which interest is to be credited to the Regular Force Death Benefit Account under paragraph 68(1)(c), the manner in which it shall be calculated and the times at which it shall be credited to the Account;

  • (i) specifying, for the purposes of this Part, the circumstances under which a person’s service in the regular force shall be deemed to be substantially without interruption;

  • (j) respecting the determination, for the purposes of this Part, of the effective date on which a person shall be deemed to have become or to have ceased to be a member of the regular force;

  • (k) prescribing the nature of the evidence required to establish proof of age or marital status for the purposes of this Part, the time within which that evidence shall be provided and the consequences of any failure to provide that evidence within that time; and

  • (l) [Repealed, 1999, c. 34, s. 161]

  • (m) prescribing forms for the purposes of this Part.

• Marginal note:Application of section 36

  (2) Section 36, except subsection (1) thereof, applies, with such modifications as the circumstances require, to this Part.

• Marginal note:No reduction of benefits

  (3) No regulation made under paragraph (1)(a) shall have the effect of reducing the amount of a benefit payable under this Part to an amount less than five thousand dollars in respect of a person who is a participant under this Part when the regulation comes into force and remains a participant after that coming into force.

PART IIISupplementary Benefits

Marginal note:Definitions

74 In this Part,

contributor

contributor[Repealed, 1999, c. 34, s. 162]

pay

pay, with reference to a contributor to whom the Defence Services Pension Continuation Act, chapter D-3 of the Revised Statutes of Canada, 1970, applies, has the same meaning as in subsection 37(1) of that Act; (solde)

pension

pension means any pension, annual allowance or annuity payable under Part I; (pension)

recipient

recipient means

• (a) a person who is in receipt of a pension and who has reached sixty years of age,

• (b) a person who is in receipt of a pension and who, not having reached sixty years of age, is disabled,

• (c) [Repealed, 2003, c. 26, s. 33]

• (d) a person who, not having reached sixty years of age, is in receipt of a pension based on not less than

  • (i) twenty-six years of pensionable service, in the case of a person who has reached fifty-nine years of age but has not reached sixty years of age,

  • (ii) twenty-seven years of pensionable service, in the case of a person who has reached fifty-eight years of age but has not reached fifty-nine years of age,

  • (iii) twenty-eight years of pensionable service, in the case of a person who has reached fifty-seven years of age but has not reached fifty-eight years of age,

  • (iv) twenty-nine years of pensionable service, in the case of a person who has reached fifty-six years of age but has not reached fifty-seven years of age, or

  • (v) thirty years of pensionable service, in the case of a person who has reached fifty-five years of age but has not reached fifty-six years of age, or

• (e) a person who is in receipt of the pension by reason of being a survivor or a child. (prestataire)

75 [Repealed, 1999, c. 34, s. 163]

76 [Repealed, 2003, c. 26, s. 34]

Marginal note:Benefit payable

77 Subject to this Part, a supplementary benefit is payable to every recipient.

Marginal note:Calculation of benefit

• 78 (1) The supplementary benefit payable to a recipient for a month in any year shall be calculated with reference to the retirement year of the recipient and shall be equal to the amount of the supplementary retirement benefit that would be payable with respect to the recipient’s pension under section 4 of the Supplementary Retirement Benefits Act if that Act applied to the recipient.

• Marginal note:Exception for first year benefits received

  (2) The supplementary benefit payable to a recipient for a month in the year immediately following the recipient’s retirement year is equal to the product obtained by multiplying

  • (a) the amount of the supplementary benefit that would, but for this section, be payable to the recipient for that month

  by

  • (b) the ratio that the number of complete months that remained in the retirement year after the retirement month bears to twelve.

• Marginal note:Determination of retirement year or month

  (3) For the purposes of this section,

  • (a) the retirement year or retirement month of a person to or in respect of whom or in respect of whose service a pension is payable, other than a person referred to in paragraph (b), is the year or month, as the case may be, in which, for the purposes of this Act, that person most recently ceased to be a member of the regular force; and

  • (b) the retirement year or retirement month of a person who is in receipt of a pension by reason of being a survivor or a child, is the retirement year or retirement month, as the case may be, of the person in respect of whom or in respect of whose service the pension is payable.

• Marginal note:No decrease in amount of supplementary benefit

  (4) Notwithstanding subsection (1) but subject to section 79, the aggregate of the amount of the supplementary benefit and the pension that may be paid to a recipient for a month in any year shall not be less than the aggregate of the amount of the supplementary benefit and the pension that was or may be paid to that recipient for any month in the year next before that year.

• Marginal note:Minimum guaranteed amount

  (5) Despite subsections (1), (2) and (4) but subject to section 79, the amount of the supplementary benefit that may be paid for a month in any year to a recipient shall not be less than an amount equal to the difference obtained by subtracting the amount of the pension that may be paid to the recipient for that month in that year from the aggregate of the supplementary benefit and the maximum pension that would have been payable to that recipient for that month in that year, otherwise than pursuant to this section, if the retirement month of the retirement year of the recipient had been that month in such year as is determined by

  • (a) the Governor in Council, in the case of a person to or in respect of whom the pension is payable on ceasing to hold an office to which the person was appointed by the Governor in Council; or

  • (b) the Treasury Board, in the case of a person other than a person described in paragraph (a).

Marginal note:Manner of payment of benefit

• 79 (1) The supplementary benefit payable to a recipient shall be paid at the same times, in the same manner, during or in respect of the same periods and subject to the same terms and conditions as the pension payable to that recipient.

• (2) [Repealed, 1999, c. 34, s. 166]

PART IVGeneral

Marginal note:Regulations

• 80 (1) The Governor in Council may, for the purpose of enabling the pension plan provided by this Act to conform with any provision of section 147.1 of the Income Tax Act and Part LXXXV of the Income Tax Regulations, make regulations

  • (a) adapting any provision of this Act or of any regulation made under this Act;

  • (b) respecting the application of any provision of this Act or of any regulation made under this Act; and

  • (c) generally as the Governor in Council may consider necessary for that purpose.

• Marginal note:Idem

  (2) The Governor in Council may, for the purpose of ensuring the practical and fair application of this Act in any case where regulations are made or have been made under subsection (1), make regulations

  • (a) adapting any provision of this Act or of any regulation made under this Act;

  • (b) respecting the application of any provision of this Act or of any regulation made under this Act; and

  • (c) generally as the Governor in Council may consider necessary for that purpose.

• Marginal note:Inconsistency with Act or other regulations

  (3) In the event of any inconsistency between the provisions of any regulations made under subsection (1) or (2) and the provisions of this Act or any other regulations made under this Act, the provisions of the regulations made under subsection (1) or (2) prevail to the extent of the inconsistency.

• Marginal note:Retroactive application of regulations

  (4) Regulations made under subsection (1) or (2) may, if they so provide, be retroactive and be deemed to come into force on a day prior to the day on which they are made, which prior day shall not be before the day on which this subsection comes into force.

• Marginal note:Void regulations

  (5) A regulation made under subsection (1) or (2) is void if the regulation would reduce or have the effect of reducing the amount of any pension, annual allowance, annuity, supplementary benefit or lump sum payment that has accrued to any person before the day on which the regulation is made.

Marginal note:Regulations regarding small benefits

• 81 (1) The Governor in Council may make regulations respecting the terms and conditions under which, the manner in which and the time within which, a person who is entitled to a periodic benefit under this Act, the annual amount of which is less than a prescribed amount, may be required, or may opt, to take a lump sum amount that is determined, in accordance with those regulations, to be the capitalized value of the periodic benefit, which lump sum amount shall be in place of any other benefit under Part I, I.1 or III to which they would otherwise be entitled.

• Marginal note:Manner of payment

  (2) A lump sum amount referred to in subsection (1) shall be payable directly to the person entitled if that amount is equal to or less than an amount prescribed. If the lump sum amount is more than that amount prescribed, it shall be payable in accordance with subsection 22(2) as if it were a transfer value, with any modifications that the circumstances require.

Marginal note:Regulations — recovery, etc., of amounts

82 The Governor in Council may make regulations respecting the manner in which amounts referred to in sections 86 to 89 may be reserved, recovered or retained, as the case may be, from any benefit payable under this Act.

Marginal note:Benefits not assignable, etc.

83 Subject to Part II of the Garnishment, Attachment and Pension Diversion Act and to the Pension Benefits Division Act,

• (a) a benefit under this Act is not capable of being assigned, charged, anticipated or given as security and any transaction that purports to assign, charge, anticipate or give as security any such benefit is void;

• (b) a benefit to which a person is entitled under Part I, I.1 or III is not capable of being surrendered or commuted during the lifetime of that person except under section 22, subsection 29(3) or section 81 or under regulations made under section 59.1, and any other transaction that purports to so surrender or commute any such benefit is void; and

• (c) a benefit under this Act is exempt from attachment, seizure and execution, either at law or in equity.

Marginal note:Presumption of death

• 84 (1) If a person who is required to contribute under this Act, or who is entitled to a benefit under this Act or the former Act, has, either before or after the coming into force of this subsection, disappeared under circumstances that, in the opinion of the Minister, raise beyond a reasonable doubt a presumption that the person is dead, the Minister may determine the date for the purposes of this Act and the former Act on which that person’s death is presumed to have occurred, and that person is deemed for all purposes of this Act and the former Act to have died on that date.

• Marginal note:Change of date

  (2) If, after the date of a person’s death is determined by the Minister under subsection (1), new information or evidence is received by the Minister that the date of death is different, the Minister may determine a different date of death, in which case the person is deemed for all purposes of this Act and the former Act to have died on that different date.

Marginal note:Allowances paid to children

85 When a child is entitled to an annual allowance or other amount under this Act, payment of it shall, if the child is less than eighteen years of age, be made to the person having custody and control of the child, or, if there is no person having custody and control of the child, to the person whom the Minister may direct.

Marginal note:Reservation of unpaid instalments for elective service

86 If a person who has elected under this Act or Part V of the former Act to pay for any period of service and has undertaken to pay for that period of service in instalments ceases to be a member of the regular force or the reserve force, as the case may be, before all the instalments have been paid, the unpaid instalments may be reserved, in accordance with the regulations, from any amount payable to them by Her Majesty in right of Canada, including any periodic benefit payable to them under this Act, until such time as all the instalments have been paid, or the person dies, whichever occurs first.

Marginal note:Recovery of amounts due at time of death

87 When an amount payable by a person into the Superannuation Account, the Canadian Forces Pension Fund or a fund established under regulations made under section 59.1 by reservation from salary or otherwise has become due, but remains unpaid at the time of death, that amount, with interest at four per cent per annum from the time when it became due, may be recovered, in accordance with the regulations, from any allowance payable under this Act to the survivor or children of that person, without prejudice to any other recourse available to Her Majesty with respect to the recovery of it. Any amount so recovered shall be credited to the Superannuation Account or paid into the Canadian Forces Pension Fund or the fund established under regulations made under section 59.1, as the case may be, and is deemed to have been paid into the Superannuation Account, the Canadian Forces Pension Fund or the fund established under regulations made under section 59.1, as the case may be, by that person.

Marginal note:Retention of amount paid in error

88 If any amount has been paid in error under Part I, I.1 or III on account of any periodic benefit, the Minister may retain by way of deduction from any subsequent payment of that benefit, in accordance with the regulations, an amount equal to the amount paid in error, without prejudice to any other recourse available to Her Majesty with respect to the recovery of the amount paid in error.

Marginal note:Recovery of debit balance in pay account of former member

• 89 (1) Any debit balance in the pay account of a former member of the regular force or of the reserve force, as the case may be, may be recovered from any benefit to which they are entitled under this Act or from any amount that becomes payable under this Act to their service estate, whether the debit balance existed at the time of their retirement or was ascertained after that time.

• Marginal note:Manner of recovery

  (2) Recovery of a debit balance pursuant to this section shall be effected in the manner and to the extent that may be prescribed by the regulations, but, in the case of any benefit to which a former member of the regular force or of the reserve force, as the case may be, is entitled under this Act, such recovery shall not be effected unless notice of the existence of the debit balance and the amount of it has been given to them, or has been forwarded by registered mail addressed to them at their latest known address.

Marginal note:Diversion of payments to satisfy financial support order

• 90 (1) When any court in Canada of competent jurisdiction has made an order requiring a recipient to pay financial support, amounts payable under Part I, I.1 or III to that recipient are subject to being diverted to the person named in the order in accordance with Part II of the Garnishment, Attachment and Pension Diversion Act.

• Marginal note:Where recipient unable to manage own affairs

  (2) If, for any reason, a recipient is unable to manage their own affairs, or where the recipient is incapable of managing their own affairs and there is no person entitled by law to act as the recipient’s committee, the Receiver General may pay to any person designated by the Minister to receive payment on behalf of the recipient any amount that is payable to the recipient under Part I, I.1 or III.

• Marginal note:Payment deemed to be to recipient

  (3) For the purposes of Parts I, I.1 and III, any payment made by the Receiver General pursuant to subsection (1) or (2) is deemed to be a payment to the recipient in respect of whom the payment was made.

• Marginal note:Definition

  (4) For the purposes of this section, recipient means a person to whom any amount is or is about to become payable under Part I, I.1 or III.

Marginal note:Remission of overpayments

91 If a person has received or obtained an overpayment and the Minister is satisfied that

• (a) the overpayment cannot be recovered within the reasonably foreseeable future,

• (b) the administrative costs of recovering the overpayment are likely to equal or exceed the amount to be recovered, or

• (c) repayment of the overpayment would cause undue hardship to the person,

the Minister may, unless that person has been convicted of an offence under the Criminal Code in connection with the receiving or obtaining of the overpayment, remit all or any portion of the overpayment.

Marginal note:Remedial action in case of error

92 If the Minister is satisfied that, as a result of erroneous advice or administrative error in the administration of this Act, a person has failed to make an election or exercise an option under this Act, the Minister may take any remedial action that the Minister considers appropriate to permit that person to make that election or exercise that option, as the case may be, on any terms and conditions that the Minister may determine, including as to the time for making the election or exercising the option and any amount payable in respect of the election.

Marginal note:Request for reconsideration

• 93 (1) A person who is dissatisfied with any decision made under this Act that affects their benefits, or their entitlement to benefits, under this Act may, within 90 days after the day on which the dissatisfied party was notified of the decision, or within any longer period that the Minister may either before or after the expiration of those 90 days allow, make a request to the Minister in the form and manner prescribed by regulation for a reconsideration of that decision.

• Marginal note:Reconsideration by Minister

  (2) The Minister shall reconsider any decision referred to in subsection (1) and may confirm or vary it and shall in writing notify the person who made the request under that subsection of the Minister’s decision and of the reasons for it.

Marginal note:Power of Minister

94 The Minister may use electronic means to create, communicate, make available, collect, receive, store or otherwise deal with documents or information under this Act.

Marginal note:Regulations — electronic means

• 95 (1) The Governor in Council may make regulations

  • (a) respecting the use of electronic means to create, communicate, make available, collect, receive, store or otherwise deal with a document or information under this Act, including

    • (i) the technology or process, and the format, to be used,

    • (ii) the place where an electronic document is to be made or sent,

    • (iii) the time and circumstances when an electronic document is considered to be sent or received and the place where it is considered to have been sent or received,

    • (iv) the technology or process to be used to make or verify an electronic signature and the manner in which the signature is to be used, and

    • (v) the circumstances in which an electronic document must be signed with an electronic signature or a secure electronic signature; and

  • (b) providing that a requirement under a provision of this Act to provide a document or information by non-electronic means is satisfied by the provision of an electronic document if the prescribed conditions, if any, have been complied with.

• Marginal note:Personal Information Protection and Electronic Documents Act

  (2) In subsection (1), electronic document, electronic signature and secure electronic signature have the same meaning as in subsection 31(1) of the Personal Information Protection and Electronic Documents Act.

SCHEDULE(Section 68)

Age of participant at nearest birthday	Amount of Single Premium
	Males	Females
65	$310	$291
66	316	298
67	323	306
68	329	313
69	336	320
70	343	328
71	349	335
72	356	342
73	362	349
74	369	356
75	375	363
76	381	370
77	387	377
78	393	383
79	398	389
80	403	395

• R.S., 1985, c. C-17, Sch.
• 1992, c. 46, s. 59