5. employer participation in the Ontario municipal employees
retirement system (omers)

PARTICIPATION DE L’EMPLOYEUR AU RÉGIME DE RETRAITE
DES EMPLOYÉS MUNICIPAUX DE L’ONTARIO (omers)

 

 

 

Committee Recommendation

 

That Council approve two new By-Laws, to integrate employees’ pensionable service accrued with former municipalities and be added to the service accumulated with the new City of Ottawa and allowing the new City of Ottawa  participation in the Ontario Municipal Employees Retirement System (OMERS) Pension Plan in accordance with the OMERS Act.  This will be effective January 1, 2001.

 

 

Recommandation du comité

 

Que le Conseil approuve deux nouvelles ordonnances, pour intégrer le service pensionable des employés accumuler avec les municipalitées antérieurs au service pensionable accumulé avec la nouvelle ville d’Ottawa qui permettra la nouvelle ville d’Ottawa la participation au Régime de retraite des employés municipaux de l’Ontario (OMERS), conformément à la Loi sur le régime de retraite des employés municipaux de l’Ontario.  Ceci sera effectif le 1 janvier 2001.

 

 

 

 

 

Documentation

 

1. Human Resources Department General Manager's report dated 21 January 2003 (ACS2003-HMR-CPB-0001).

 

 

 

Report to/Rapport au :

Corporate Services and Economic Development Committee

Comité des services organisationnels et du développement économique

 

and Council/et au Conseil

 

21 January 2003/Le 21 janvier 2003

 

Submitted by/Soumis par : David Bray, General Manager/Directeur général

Human Resources Department/Services des ressources humaines

 

Contact / Personne ressource : Yvonne Mongeon, Director of Compensation, Payroll

and Benefits/Directrice de la rémunération, paie et avantages sociaux

580-2424 ext. 26932, Yvonne.Mongeon@ottawa.ca

 

Ref No : ACS2003-HMR-CPB-0001

 

SUBJECT:

employer integration/participation in the Ontario municipal employees retirement system (omers)

 

OBJET:

integration/PARTICIPATION DE L’EMPLOYEUR AU RÉGIME DE RETRAITE DES EMPLOYÉS MUNICIPAUX DE L’ONTARIO (omers)

 

REPORT RECOMMENDATION

 

That the Corporate Services and Economic Development Committee recommend Council approve two new By-Laws, to integrate employees’ pensionable service accrued with former municipalities and be added to the service accumulated with the new City of Ottawa and allowing the new City of Ottawa  participation in the Ontario Municipal Employees Retirement System (OMERS) Pension Plan in accordance with the OMERS Act.  This will be effective January 1, 2001.

 

 

RECOMMENDATION DU RAPPORT

 

Que le Comité des services organisationnels et du développement économique recommande au Conseil d’approuver deux nouvelles ordonnances, pour intégrer le service pensionable des employés accumuler avec les municipalitées antérieurs au service pensionable accumulé avec la nouvelle ville d’Ottawa qui permettra la nouvelle ville d’Ottawa la participation au Régime de retraite des employés municipaux de l’Ontario (OMERS), conformément à la Loi sur le régime de retraite des employés municipaux de l’Ontario.  Ceci sera effectif le 1 janvier 2001.

 

 

BACKGROUND

 

Eleven Municipalities and five Libraries offered eligible employees participation to the Ontario Municipal Employees Retirement System (OMERS) Pension Plan, as dictated by the OMERS Act, under separate group numbers.

 

Consequently, employees participating in the OMERS Pension Plan are all recognized under separate By-Laws.  Due to the amalgamation and because each municipality had its own group number and By-Law number, the impact to employees is that the employee’s service would not be integrated with the service accumulated with the new City.  Once the By-Laws are approved for the new City and the Ottawa Public Library, OMERS will assign new group numbers and integrate the employees’ service.  Both OC Transpo and the Ottawa Police By-Laws already exist and therefore will remain unchanged.

 

 

FORMER

MUNICIPALITY

FORMER

OMERS GROUP #

FORMER

BY-LAW #

Township of Cumberland

141500

76-95

Township of Gloucester

226500

87-64

Township of Goulbourn

230500

46-73

Township of Kanata

289700

195-99

City of Nepean

396000

57-96

Township of Osgoode

426000

25-91

City of Ottawa

429000

7200

Region of Ottawa-Carleton

429100

142-73

Township of Rideau

478300

86-88

Town of Eastview (Vanier)

572400

1302

Township of West Carleton

098800

10-74

 

FORMER

LIBRARY BOARD

FORMER

OMERS GROUP #

FORMER

BY-LAW #

Kanata Public Library

289766

Letter referencing resolution

Nepean Public Library

396066

1

Ottawa Public Library

429066

Letter referencing resolution

Vanier Public Library

572466

Resolution

West Carleton Public Library

593066

40-98

 

 

 

CONSULTATION

 

We have provided the Ontario Municipal Employees Retirement System (OMERS) representative with a copy of our recommended By-Laws for input that they returned agreeing with its contents.

 

 

FINANCIAL IMPLICATIONS

 

The contribution cost for participating in the Ontario Municipal Employees Retirement System (OMERS) Pension Plan, shown in the chart below, has been included in the corporate budget allocation.  There are no additional financial implications.

 

 

Contribution Rates

 

 

2003

2004

Proposed

2005

Proposed

 

NRA 65

On earnings up to the YMPE

 

2.1%

 

4.2%

 

6.3%

 

On earnings over the YMPE

 

2.6%

 

5.2%

 

7.8%

 

NRA 60

On earnings up to the YMPE

 

2.43%

 

4.96%

 

7.3%

 

On earnings over the YMPE

 

2.93%

 

5.87%

 

8.8%

YMPE (Yearly Maximum Pensionable Earnings,  (set by the Canada Pension Plan every year, is $39,900 in 2003

 

 

ATTACHMENTS

 

Former By-Laws referred to above.

 

 

DISPOSITION

 

Once approved by Council, the Human Resources Department will provide OMERS Officials with the new By-Laws for implementation.

 

“DRAFT” BY-LAW

 

FOR PARTICIPATION IN OMERS’

 

BY A MUNICIPALITY IN RESPECT OF EMPLOYEES

 

 

CITY OF OTTAWA

 

By-Law Number:

 

Whereas pursuant to section 15(1) of the Ontario Municipal Employees Retirement System (OMERS) Act, R.S.O. 1990, Chapter 0.29 and Regulation 890 as amended, a municipality may by by-law participate in OMERS on behalf of its employees and pay to the OMERS Pension Fund the total of the employer and member contributions, and has all the powers necessary and incidental thereto:

 

Now therefore the Council of the City of Ottawa (the Employer) enacts as follows:

 

Election

1. The Employer hereby elects to participate in OMERS in respect of its  employees as of the first day of JANUARY 2001 (the effective date) and authorizes the TREASURER to submit forthwith a certified copy of this by-law to the President of the Ontario Municipal Employees Retirement Board.

 

Membership Guarantee

2. Every employee of the Employer who on December 31, 2000 was employed by the:

Township of West Carleton

The Corporation of the City of Cumberland

City of Gloucester

Township of Goulbourn

City of Kanata

City of Nepean

Township of Osgoode

City of Ottawa

Regional Municipality of Ottawa-Carleton

Township of Rideau

City of Vanier

 

and who was or was entitled to become a member of OMERS on January 1, 2001 shall continue such membership or membership entitlement from January 1, 2001 while employed by the Employer.

 

 

Continuous Full-Time Employees
  1. Every person who becomes an employee of the Employer on or after the effective date, if such person is employed on a continuous full-time basis, shall, as a condition of employment, become a member of OMERS, or if such person is already a member, resume contributions to OMERS on the date so employed.

 

Contributions

4. The Treasurer of the Employer is hereby authorized to deduct from the earnings of each employee who is a member of OMERS, the contributions required to be made by the member, and to remit such contributions together with the amounts required under the OMERS Act to be paid by the Employer to the Ontario Municipal Employees Retirement Fund.

 

Agent

5.             The Treasurer (the Agent) is hereby authorized to execute all necessary documents and to do all such things as are necessary to carry out the intent of this by-law, in accordance with section 6 of the OMERS Regulation.

 

Other Than Continuous Full-Time Employees

6. Every person who becomes an employee of the Employer on or after the effective date, if such person is employed on an other-than-continuous full-time basis, shall, as a condition of employment, become a member of OMERS.

 

Police, Firefighters

7.  The Employer hereby certifies that employees who are engaged as Police Officers, including cadets (and/or Police management), or Firefighters (and/or Fire management) are entitled to retire at age 60.

 

Read and Passed this                day of                                  2003.

 

 

                                                   (Corp. Seal)

Head of Council

 

 

Clerk (or title of authorized official)

 

 

 

 

I hereby certify the above to be a true copy of By-Law Number (               ) passed by (Council of the municipality) at its meeting held on (date of meeting).

“DRAFT” BY-LAW

 

FOR PARTICIPATION IN OMERS’

 

BY A MUNICIPALITY IN RESPECT OF EMPLOYEES

 

CITY OF OTTAWA

 

By-Law Number:

 

Whereas pursuant to section 15(1) of the Ontario Municipal Employees Retirement System (OMERS) Act, R.S.O. 1990, Chapter 0.29 and Regulation 890 as amended, a municipality may by by-law participate in OMERS on behalf of its employees and pay to the OMERS Pension Fund the total of the employer and member contributions, and has all the powers necessary and incidental thereto:

 

Now therefore the Council of the City of Ottawa (the Employer) enacts as follows:

 

Election

1. The Employer hereby elects to participate in OMERS in respect of its employees as of the first day of JANUARY 2001 (the effective date) and authorizes the TREASURER to submit forthwith a certified copy of this by-law to the President of the Ontario Municipal Employees Retirement Board.

 

Membership Guarantee

2.                Every employee of the Employer who on December 31, 2000 was employed by the:

West Carleton Township Public Library Board

Kanata Public Library

City of Nepean Public Library

Ottawa Public Library Board

Vanier Public Library

and who was or was entitled to become a member of OMERS on January 1, 2001 shall continue such membership or membership entitlement from January 1, 2001 while employed by the Employer.

 

Continuous Full-Time Employees

3.   Every person who becomes an employee of the Employer on or after the effective date, if such person is employed on a continuous full-time basis, shall, as a condition of employment, become a member of OMERS, or if such person is already a member, resume contributions to OMERS on the date so employed.

 

 

Contributions

4. The Treasurer of the Employer is hereby authorized to deduct from the earnings of each employee who is a member of OMERS, the contributions required to be made by the member, and to remit such contributions together with the amounts required under the OMERS Act to be paid by the Employer to the Ontario Municipal Employees Retirement Fund.

 

Agent

5.   The Treasurer (the Agent) is hereby authorized to execute all        necessary documents and to do all such things as are necessary to carry out the intent of this by-law, in accordance with section 6 of the OMERS Regulation.

 

Other-Than Continuous Full-Time Employees

6. Every person who becomes an employee of the Employer on or after the effective date, if such person is employed on an other-than-continuous full-time basis, shall, as a condition of employment, become a member of OMERS.

 

 

 

Read and Passed this                day of                                      2003.

 

 

 

 

                                                   (Corp. Seal)

Head of Council

 

 

 

Clerk (or title of authorized official)

 

 

 

I hereby certify the above to be a true copy of By-Law Number (               ) passed by (Council of the municipality) at its meeting held on (date of meeting).