BILL 47

An Act to Amend the Pension Plan for Employees of the City of Moncton Act

WHEREAS the City of Moncton Employees' Pension Board prays that it be enacted as hereinafter set forth;

THEREFORE, Her Majesty, by and with the advice and consent of the Legislative Assembly of New Brunswick, enacts as follows:

1 Section 4 of the Pension Plan for Employees of the City of Moncton Act, chapter 51 of the Acts of New Brunswick, 1998, is amended by repealing the definition "final average earnings" and substituting the following:

"final average earnings" means

(a) for a member who terminated continuous service before January 1, 2001, the annual average of the member's remuneration during the five years of continuous service in which the highest average is attained, and

(b) for a member who terminated continuous service on or after January 1, 2001, the annual average of the member's remuneration during the three years of continuous service in which the highest average is attained,

but if a member has not completed the necessary years of continuous service, as applicable, the final average earnings shall be based on the average of the member's remuneration during the years of continuous service;

2 Section 21 of the Act is amended

(a) by striking out "or" at the end of paragraph (a);

(b) by repealing paragraph (b) and substituting the following:

(b) age 55 and the sum of the member's age and pensionable service total at least 85 for a member whose early retirement date is before January 1, 2001; or

(c) by adding after paragraph (b) the following:

(c) age 50 and the sum of the member's age and pensionable service total at least 80, for a member whose early retirement date is on or after January 1, 2001,

3 The Act is amended by adding after section 32 the following:

Survivor Benefits with respect to Pension Payments which Commenced Before January 1, 1988

32.1 Effective January 1, 2001:

(a) a member whose pension payments commenced prior to January 1, 1988 and who had a spouse at the time pension payments commenced will continue to receive their pension payments for their lifetime and upon the member's death, such spouse shall receive a pension payable in semi-monthly installments for the spouse's lifetime equal to 60% of the amount of each semi-monthly installment paid to the member during the member's lifetime; and

(b) a spouse of a deceased member whose pension payments commenced prior to January 1, 1988 is entitled to a pension payable in semi-monthly installments equal to 60% of each semi-monthly installment paid to the member during the lifetime of the member, starting January 1, 2001, and continuing for the spouse's lifetime.