While the original roles and responsibilities of both the SC and the OAC were defined in legislation, over time, the bicameral governance structure has required practical and effective methods and protocols to be developed.
The SC has responsibility for plan design, which includes determining benefit changes, contribution rate adjustments and any amendments to change the reserve to stabilize contribution rates. The SC is also charged with setting compensation levels and amending the appointment protocol for both the SC and the Administration Corporation Board.
As the Plan Sponsor, SC Board Members have a duty to represent the best interests of all the sponsor organizations and not just the group that appointed them, which means a commitment to communicating with all stakeholders and sponsor organizations.
The OAC is responsible for overseeing the administration and management of pension services, appointing and overseeing OMERS management, investment policies and management of the assets of the Plans, and for appointing the auditors and actuary for the Plans.
Issues of ongoing interest and mutual SC/OAC involvement are addressed in the Framework Agreement, and by an eight-member Joint Council; it meets on an as-needed basis and is assisted by senior administrative staff from both the SC and the OAC. Among the items included in the Framework Agreement are the communications commitments to Plan members and employers, and information about the initial government funding for the start up of the SC (including a protocol defining the financial obligations of both the SC and the OAC regarding what constitutes expenses which can be “properly paid for by the Plan”.) The SC is always aware that it represents a broad constituency and exercises appropriate financial restraint, even as it continues to improve its practices.