March 20, 2012

Independent Review of Contribution Rate Allocation

The SC continued to discuss and ultimately requested additional technical information to illustrate the practical application of the identified principles.

OAC Update

The OMERS CEO provided an update on recent activities at the OAC and informed the SC that the 2011 pension plan financial statements had been completed.  Also discussed was the use of financial and economic leverage by OMERS in comparison with other pension plans.

Specified Plan Change (SPC) Proposals

At first tabling, five Proposals were brought forward by Members, including one which originated from the various stakeholder submissions which are reviewed by the Board. One of the proposals related to RCA (Retirement Compensation Arrangement) participation and pensionable earnings, one was related to delaying early retirement, two were for changes to the indexing provisions and the last was for the right to negotiate NRA 60 benefits for police civilians. It was noted that the proponents had until May 14 to amend their proposals, after which time a Compendium of current proposals would be provided to all SC Members.

(Note: Details regarding SPCs and subsequent amendments are posted on the SC website, under Plan Design, on an ongoing basis throughout the deliberation period.)

Projection Valuation

The Board received further technical information related to the annual actuarial valuation for the Primary Plan and RCA. Actuarial assumptions, projection scenarios and other analyses were discussed.

Technical Plan Change

The SC considered a proposed plan change which would provide employers with the option of sharing the cost of purchasing reservist leaves in the OMERS plans. Where an employer makes such a decision, the affected member and employer would pay their respective share of the contributions.

The SC approved this change in principle and will be considering the amendment to the plans at its April 26, 2012 meeting. The proposed effective date of the amendment is January 1, 2013.

Governance

The SC welcomed Chris Vanden Haak to the SC staff.  Chris fills the Director, Pension Policy & Communications position left vacant when Deb Preston became Chief Executive Officer.