Royal Canadian Mounted Police Superannuation Regulations (C.R.C., c. 1393)

9.04 A contributor who does not choose one of the options set out in subsection 9.03(1) within the time limit shall pay the arrears, together with interest calculated in accordance with subsection 9.03(2), in monthly instalments that shall be

• (a) calculated using the mortality rates used in the preparation of the actuarial valuation report that was most recently laid before Parliament, in accordance with section 30 of the Act, before the day on which the notice of default is sent or, if that report was laid before Parliament in the month in which that day falls or in the preceding month, of the report that was laid before Parliament immediately before that report, and shall bear interest, compounded annually, at a rate equal to the projected rate of return of the Royal Canadian Mounted Police Pension Fund that was used in the preparation of the report; and

• (b) payable on the first day of each month after the day on which the notice is sent, until the earlier of

  • (i) the end of the remainder of the period that was chosen under paragraph 9(2)(a), and

  • (ii) the contributor’s death.

Unpaid Instalments when a Contributor Ceases to be a Member of the Force

• 9.05 (1) The unpaid instalments referred to in subsection 8(6) of the Act shall be reserved

  • (a) if the contributor is entitled to a lump sum benefit, in a lump sum; or

  • (b) in any other case, in a lump sum or in monthly instalments equal to those that the contributor was paying before having ceased to be a member of the Force, at the contributor’s option.

• (2) The reservations shall begin in the month in which the pension benefit begins.

Financial Hardship

• 9.06 (1) A contributor who establishes that undue financial hardship, which was unforeseen at the time the election was made, will be caused if the contributor is required to continue to pay the instalments may triple the length of the period that was chosen under paragraph 9(2)(a), up to a maximum of 15 years.

• (2) The remaining instalments shall be adjusted, in accordance with subsection 9(3), on the first day of the month after the day on which the request is made, except that the actuarial valuation report is the one that was most recently laid before Parliament, in accordance with section 30 of the Act, before the day on which the request is made or, if that report was laid before Parliament in the month in which that day falls or in the preceding month, of the report that was laid before Parliament immediately before that report.

Interest Not Payable

9.07 An amount shall not bear interest if

• (a) despite authorization, it was not reserved for administrative reasons;

• (b) it is paid within 30 days after the day on which it became payable; or

• (c) a notice of default has been sent in respect of the amount, together with interest, and it is paid within 30 days after the day on which the notice is sent.

Amount Payable by Reservation on Contributor’s Death

9.08 The unpaid amount referred to in subsection 8(7) of the Act shall be recovered, at the option of the recipient,

• (a) by reservation of the total amount from the first monthly instalment of the allowance payable;

• (b) by reservation from the monthly instalments of the allowance of an amount equal to the monthly instalment paid by the contributor, up to a maximum of 30% of the monthly instalment of the allowance; or

• (c) if the recipient establishes that those terms of recovery will cause financial hardship, by reservation from the monthly instalments of the allowance of an amount not less than 15% of those monthly instalments.

Election Under Clause 6(b)(ii)(L), (N), (O) or (P) of the Act

Amount to be Paid

• 9.09 (1) For the purposes of paragraph 7(1)(i) of the Act, the amount to be paid for a period of service referred to in clause 6(b)(ii)(L), (O) or (P) of the Act is the actuarial present value of the pension benefits that have accrued under the Act in respect of the period of service, that value being determined on valuation day on a going concern basis and in accordance with the methods and assumptions used in the preparation of the actuarial valuation report that was most recently laid before Parliament, in accordance with section 30 of the Act, before valuation day or, if that report was laid before Parliament in the month in which valuation day occurs or in the preceding month, of the report that was laid before Parliament immediately before that report.

• (2) For the purposes of subsection (1), valuation day means

  • (a) the day on which this subsection comes into force, if the contributor makes the election referred to in clause 6(b)(ii)(L), (O) or (P) of the Act within one year after that day;

  • (b) the day on which the contributor most recently became a contributor, if the contributor most recently became a contributor after the day on which this subsection comes into force and makes the election within one year after the day on which the contributor most recently became a contributor; or

  • (c) the day on which the contributor makes the election, in any other case.

Lump Sum Payment

9.091 A contributor who opts to pay for a period of service referred to in clause 6(b)(ii)(L), (N), (O) or (P) of the Act in a lump sum shall ensure that the amount to be paid, despite paragraph 8(5)(a) of the Act, is received by the Commissioner within 30 days after the day on which the Commissioner sends a notice to the contributor of the amount to be paid.

9.092 The amount to be paid shall bear interest, compounded annually, beginning on the first day of the month after the day on which the election is made and ending on the last day of the month that precedes the day on which the payment is received, at a rate equal to the projected rate of return of the Royal Canadian Mounted Police Pension Fund that was used in the preparation of the actuarial valuation report that was most recently laid before Parliament, in accordance with section 30 of the Act, before the day on which the payment is received or, if that report was laid before Parliament in the month in which that day falls or in the preceding month, of the report that was laid before Parliament immediately before that report.

• 9.093 (1) If the amount to be paid is received by the Commissioner in full within the time limit set out in section 9.091, the period of service in respect of which the election was made shall be counted as pensionable service.

• (2) If the amount to be paid is not received by the Commissioner in full within that time limit, the period of service in respect of which the election was made shall be counted as pensionable service, beginning with the part that is most recent in point of time, in the same proportion as the amount that is received by the Commissioner within that time limit bears to the amount to be paid.

• (3) If the period of service in respect of which the election was made that is not counted in whole as pensionable service includes periods of full-time service and periods of part-time service, each of those periods shall be counted as pensionable service, beginning with the part that is most recent in point of time, in the same proportion as the amount that is received by the Commissioner bears to the amount to be paid.

9.094 A contributor’s election to pay for a period of service referred to in clause 6(b)(ii)(L), (N), (O) or (P) of the Act is void if the contributor opts to pay in a lump sum and does not pay into the Retirement Compensation Arrangements Account established under the Special Retirement Arrangements Act, within the time limit set out in section 9.091, any amount required to be paid under section 57 or 58 of the Retirement Compensation Arrangements Regulations, No. 1 for the part of the period of service in respect of which the election was made that is counted as pensionable service.

Annual Rate of Pay

9.095 For the purposes of paragraph 10(4)(b) of the Act, the annual rate of pay that the contributor is deemed to have received during a period of service referred to in clause 6(b)(ii)(L), (O) or (P) of the Act is

• (a) if the contributor was a full-time member on valuation day, within the meaning of subsection 9.09(2), the pay authorized to be paid to the contributor on that day; or

• (b) if the contributor was then a part-time member, the pay that would have been authorized to be paid to the contributor if the contributor had been a full-time member on that day or, if the contributor was then engaged to work concurrently in more than one position, the total of the amounts determined for each position by the formula

  A x B/C

  where

  A

  is the pay that would have been authorized to be paid to the contributor if the contributor had been a full-time member on that day,

  B

  is the weekly average of the hours of work for which the contributor was engaged, and

  C

  is the total of the weekly averages of the hours of work for which the contributor was engaged in all positions.

Transitional

9.096 Section 9 as it read before the day on which sections 9 to 9.095 came into force shall continue to apply to elections made under paragraph 6(b) of the Act before that day.

Recovery of Amounts Paid in Error

• 9.1 (1) Where, under Part I or III of the Act, an amount has been paid in error to a person in respect of an annuity, annual allowance or supplementary benefit, the Minister shall immediately demand payment from that person of that amount.

• (2) If a person from whom payment of an amount has been demanded pursuant to subsection (1) has not paid the amount within 30 days after the day on which the demand is made, the Minister may deduct the amount from the person’s annuity, annual allowance or supplementary benefit, in approximately equal monthly instalments equal to ten per cent of the gross monthly amount of the annuity, annual allowance or supplementary benefit, as the case may be.

• (3) Where deductions are to be made pursuant to this section, the first deduction shall be made in the month following the month in which the 30-day period referred to in subsection (2) ends and further deductions shall be made in each month thereafter until the amount owing has been paid in full.

• (4) A person in respect of whom deductions are made under subsection (2) may, at any time,

  • (a) pay the amount then owing in one lump sum;

  • (b) arrange to have the amount of the monthly instalments increased; or

  • (c) make a partial payment and arrange to have the remaining amount owing deducted in approximately equal monthly instalments, over a period equal to or less than the period over which instalments would otherwise be payable under that subsection.

• (5) Notwithstanding subsection (2), where payment pursuant to that subsection would cause the person financial hardship, the person may pay the amount owing by reservation from the annuity, annual allowance or supplementary benefit of approximately equal instalments over a period not exceeding three times the period over which the instalments would be paid under that subsection or 15 years, whichever is the lesser.

• (6) If the person dies, the balance of any amount owing shall be deducted in a lump sum.

• (7) For the purposes of this section, a demand by or on behalf of the Minister for payment of an amount from a contributor or recipient shall be considered to have been made on the day on which a letter demanding payment, signed by or on behalf of the Minister and addressed to the contributor or recipient, is placed in the mail.

• (8) Nothing in this section prohibits a person from paying an amount at any time before that amount becomes payable.

Leave of Absence Without Pay

• 10 (1) Subject to subsections (2) and (3), the contribution that a contributor who is on leave of absence without pay shall pay to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund is

  • (a) in respect of the first three months of the leave, the amount referred to in subsection (4); and

  • (b) subject to subsection 6.1(2) of the Act, in respect of the remainder of the leave, two and one-half times that amount in respect of any portion of that remainder that is before January 1, 2016 and two times that amount in respect of any portion of that remainder that is after December 31, 2015.

• (2) Subject to subsection 6.1(2) of the Act, where a contributor is absent from the Force on leave of absence without pay

  • (a) [Repealed, SOR/2015-250, s. 1]

  • (b) where the Commissioner is satisfied that the contributor is absent

    • (i) in order to undergo training or instruction to the advantage of the Force,

    • (ii) because of a physical or mental impairment that prevents the contributor from performing the duties of the employment in which they were engaged before the commencement of the impairment, or

    • (iii) because of the pregnancy of the contributor,

    • (iv) [Repealed, SOR/2015-250, s. 1]

  the contribution that the contributor shall pay to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund is the amount referred to in subsection (4).

• (3) Subject to subsection 6.1(2) of the Act, where a contributor is absent from the Force on leave of absence without pay

  • (a) because of the birth of a child of the contributor,

  • (b) in order to carry out parental responsibilities in respect of the acceptance of custody of a child for adoption, or

  • (c) to provide a child of the contributor with care and custody,

  the contribution that the contributor shall pay into the Superannuation Account or the Royal Canadian Mounted Police Pension Fund, in respect of any portion of the leave that falls within the 52-week period following the day of the birth of the child of the contributor or the day of adoption of the child by the contributor, is the amount referred to in subsection (4).

• (4) For the purposes of subsections (1) to (3),

  • (a) if the period of leave of absence without pay or any portion of it was after 1999 but before January 1, 2004, the amount in respect of that period or portion is the amount that would have been payable under subsection 5(1), (6) or (7) of the Act as it read on December 31, 2003, if the contributor had not been on leave;

  • (b) if the period of leave of absence without pay or any portion of it was after 2003 but before January 1, 2013, the amount in respect of that period or portion is the amount that would have been payable under subsection 5(2) or paragraph 5(7)(b) of the Act, as it read on December 31, 2012, if the contributor had not been on leave; and

  • (c) if the period of leave of absence without pay or any portion of it was after 2012, the amount in respect of that period or portion is the amount that would have been payable under subsection 5(1) or (2) of the Act, if the contributor had not been on leave.