PART 13 -MUNICIPAL EMPLOYEES PENSIONS

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DIVISION 1

PENSIONS AND GRATUITIES

Retiring grant or annuity

405(1) Where an employee of a municipality, while in its service,

(a) becomes incapable, through illness or infirmity of discharging his or her duties efficiently; or

(b) reaches retirement age and then ceases to be an employee;

and will not, in the judgment of the council, be reasonably provided for under section 406, the council may by by-law grant to the employee, on ceasing to be employed by the municipality,

(c) as a gratuity, an amount not exceeding the aggregate of the employee's salary or other remuneration during the last preceding three years of his or her service; or

(d) an annual retiring allowance of such amount as the majority of the members of the council consider reasonable in the circumstances,

(i) during the remaining years of the employee's life, or

(ii) during the remaining years between the employee's retirement and the date upon which he or she becomes entitled to a retirement pension under the Canada Pension Plan or a pension under the Old Age Security Act (Canada);

but in either case not exceeding 3/5 of the employee's annual salary or other remuneration calculated on the average over the last preceding three years of his or her service, and the retiring allowance may be payable semi-monthly or otherwise, as the council considers proper.

Repeal or amendment of by-law

405(2) A by-law under subsection (1) may not be amended or repealed without the consent of the minister.

Definition

406(1) In this section, "employee" means a person who

(a) is employed by a municipality; and

(b) meets the compulsory eligibility criteria for participation in a pension plan as set out in The Pension Benefits Act.

Pension plan required

406(2) Every municipality must, by by-law, establish or participate in a pension plan for its employees.

Additional benefits

406(2.1) In addition to pension benefits, a municipality may provide other benefits for employees, their dependents or their survivors through the same or separate plans.

Plans before January 1, 1971

406(3) Where before January 1, 1971 a municipality had complied with section 176 of The Municipal Act, as it then was, in respect of employees of the municipality, the municipality may with the written consent of the employees continue to comply with that section and not comply with this section.

Plan under Division 2

406(4) Where a plan or scheme to provide pension or superannuation allowances for employees of municipalities is established under Division 2, participation in the plan or scheme by a municipality is in compliance with subsection (2).

Termination of pension plan

406(5) A municipality must not terminate a plan established under this section, or cease to participate in a plan that it has participated in under this section, or pass a by-law to that effect, without the consent of

(a) the collective bargaining agent of the members of the plan who are also employees of the municipality, or if there is no collective bargaining agent, at least 2/3 of the members of the plan who are also employees of the municipality; and

(b) the board, as defined in section 407, if the board is in existence at the time of the proposed termination.

S.M. 1997, c. 44, s. 3; S.M. 1998, c. 33, s. 39.

DIVISION 2

MUNICIPAL EMPLOYEES BENEFITS PROGRAM

Definitions

407 In this Division,

"board" means The Municipal Employees Benefits Board continued under section 408; (« Commission »)

"board of trustees" means those persons appointed as trustees under a trust agreement; (« conseil de fiducie »)

"employee" means an employee as defined in subsection 406(1); (« employé »)

"fund" means the Municipal Employees Benefits Fund continued under section 409; (« Fonds »)

"plan" means the Manitoba Municipal Employees Pension Plan continued under section 409; (« Régime »)

"trust agreement" means an agreement described in subsection 410(2). (« accord de fiducie »)

S.M. 1997, c. 44, s. 4.

Board continued

408(1) The Municipal Employees Benefits Board is continued as a corporation consisting of the following persons appointed by the Lieutenant Governor in Council:

(a) one person who is not a representative of either municipalities or employees, who must be the chairperson;

(b) two representatives of municipalities;

(c) two representatives of employees.

Powers of board

408(2) The board shall have all the powers and duties it possessed immediately prior to the enactment of this Act and shall administer the plan in accordance with this Act.

Term of members of the board

408(3) Each member of the board holds office for a term fixed by the Lieutenant Governor in Council and thereafter until his or her successor is appointed.

Application of Corporations Act

408(4) The Corporations Act does not apply to the board, but the board has the capacity and, subject to this Act, the rights, powers and privileges of a natural person.

S.M. 1997, c. 44, s. 4.

Fund and plan continued

409 The fund and the plan are continued and nothing in this Act shall be deemed to wind up or terminate the plan or fund in whole or in part.

S.M. 1997, c. 44, s. 4.

Board may amend plan

410(1) With the approval of the Lieutenant Governor in Council, the board may vary or amend the plan.

Trust agreement

410(2) The two representatives of municipalities referred to in clause 408(1)(b), or their successors, may, on behalf of the municipalities participating in the plan, enter into a trust agreement with a board of trustees, which board of trustees shall be constituted so that the number of trustees representing members of the plan is not less than the number of trustees representing participating municipalities or associations of municipalities, or their agents.

Plan and fund administration after execution of trust agreement

410(3) Upon execution of the trust agreement referred to in subsection (2),

(a) the assets of the fund shall vest in the board of trustees;

(b) the board of trustees shall administer the plan and fund in accordance with the trust agreement and The Pension Benefits Act; and

(c) the board shall cease to exist, and the Lieutenant Governor in Council shall have no power to administer, amend, vary or terminate the plan or fund.

Additional benefits

410(4) In addition to pension benefits, the board of trustees may provide other benefits for employees, their dependants or their survivors through the same or separate plans or trust funds.

S.M. 1997, c. 44, s. 4.

Municipalities bound

411 All municipalities and their employees participating in the plan shall be bound by the plan and the trust agreement.

S.M. 1997, c. 44, s. 4.

Deposits to fund

412 All contributions of municipalities and employees under the plan must be paid to and deposited in the fund in accordance with the plan and the trust agreement.

S.M. 1997, c. 44, s. 4.

Plan membership

413 The board of trustees may extend plan membership to its employees.

S.M. 1997, c. 44, s. 4.

414 to 416 Repealed.

S.M. 1997, c. 44, s. 4.

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