Royal Canadian Mounted Police Superannuation Act

This Act may be cited as the Royal Canadian Mounted Police Superannuation Act.

Male and female contributors under this Act have equality of status and equal rights and obligations under this Act.

In this Act,

active service means any service that is specified in the regulations to be active service and is deemed for the purposes of this Act to have terminated on discharge or, in the case of a person who underwent treatment in a veterans’ hospital, as defined in the regulations, immediately following their discharge, on their release from that hospital; (activité de service)

child means a child or stepchild of — or an individual adopted either legally or in fact by — a contributor, who at the time of the contributor’s death was dependent on the contributor for support; (enfant)

contributor means a person who is required by section 5 to contribute to the Royal Canadian Mounted Police Pension Fund, and includes, unless the context otherwise requires,

a person who has ceased to be required by this Act to contribute to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund, and

for the purposes of sections 15 to 19 and 22, a contributor under Part V of the former Act who has been granted a pension or annual allowance under that Act or has died; (contributeur)

disabled, except in Part II, as applied to any member of the Force, means incapable, by reason of any condition, of performing their duties as a member of the Force, and, for the purposes of section 12 as applied to any person, means ordinarily incapable, by reason of any condition, of pursuing any substantially gainful occupation; (invalide)

Force means the Royal Canadian Mounted Police; (Gendarmerie)

former Act means the Royal Canadian Mounted Police Act, chapter 241 of the Revised Statutes of Canada, 1952, as it read before April 1, 1960, and includes, unless the context otherwise requires, any other Act of Parliament providing for the payment of pensions to members of the Force based on length of service, other than this Act; (ancienne loi)

member of the Force means a member of the Force, as those terms are defined in the Royal Canadian Mounted Police Act, holding a rank in the Force, and any other member of the Force, as those terms are defined in that Act, of a class designated in accordance with the regulations for the purposes of this Act; (membre de la Gendarmerie)

Minister means the Minister of Public Safety and Emergency Preparedness; (ministre)

officer means a commissioned officer of the Force; (officier)

pay means,

as applied to the Force, the pay of the substantive rank held by the person in respect of whom the expression is being applied, not including the pay of acting rank or extra pay for staff or similar temporary appointments, or, in the case of a person not holding a rank in the Force, the salary or other remuneration for the performance of the regular duties of that person as a member of the Force, together with such allowances by way of compensation or otherwise as are prescribed by the regulations, and

as applied to the public service or the Canadian Forces, the salary or pay and allowances, as the case may be, applicable in the case of that person, as determined under the Public Service Superannuation Act or the Canadian Forces Superannuation Act; (solde)

provincial pension plan has the same meaning as in the Canada Pension Plan; (régime provincial de pensions)

public service has the same meaning as in subsection 3(1) of the Public Service Superannuation Act; (fonction publique)

regular force means the regular force of the Canadian Forces and includes

the forces known before February 1, 1968 as the regular forces of the Canadian Forces, and

the forces known before February 1, 1968 as the Royal Canadian Navy, the Canadian Army Active Force, the Permanent Active Militia, the Permanent Militia Corps, the permanent staff of the Militia, the Royal Canadian Air Force (Regular) and the Permanent Active Air Force; (force régulière)

retirement age, as applied to any rank or class of contributor, means such age as is fixed by the regulations as the retirement age applicable to that rank or class; (âge de retraite)

Royal Canadian Mounted Police Pension Fund means the fund established under section 29.2; (Caisse de retraite de la Gendarmerie royale du Canada)

Royal Canadian Mounted Police Superannuation Investment Fund means the fund established under section 29.1; (Fonds de placement du compte de pension de retraite de la Gendarmerie royale du Canada)

service in the Force includes any period of service

as a special constable of the Force before April 1, 1960,

as a police officer that is counted as pensionable service under subsection 24.1(9),

as a police officer that is described in clause 6(b)(ii)(A) or (L) if the contributor elects to pay for that service, and

as a police officer or as a member of the Force that forms part of any period of service described in any of clauses 6(b)(ii)(H), (I), (O) and (P) if the contributor elects to pay for that service; (service dans la Gendarmerie)

Superannuation Account means the Royal Canadian Mounted Police Superannuation Account referred to in section 4; (compte de pension de retraite)

supplementary benefit means a supplementary benefit payable under Part III; (prestation supplémentaire)

survivor, in relation to a contributor, means

a person who was married to the contributor at the time of the contributor’s death, or

a person referred to in subsection 18(1); (survivant)

World War I means the war that was declared on August 4, 1914 and that is deemed, for the purposes of this Act, to have terminated on August 31, 1921; (Première Guerre mondiale)

World War II means the war that was declared on September 10, 1939 and that is deemed, for the purposes of this Act, to have terminated on September 30, 1947. (Seconde Guerre mondiale)

A reference in this Act to the Canadian Forces Superannuation Act includes a reference to any other Act of Parliament in force either before or after April 1, 1960 providing for the payment of pensions to members of the Canadian Forces based on length of service.

For the purposes of this Act, the Public Service Superannuation Act and the Canadian Forces Superannuation Act, a person who is employed under the authority of the Royal Canadian Mounted Police Act but who is not a member of the Force is deemed to be employed in the public service, and any period of service of a person during which they were employed under the authority of that Act but were not a member of the Force or during which they were a person to whom Part VII of the former Act applied is deemed to be a period of service during which they were employed in the public service.

Except as provided in the regulations, employment as a member of the Force is not excepted employment for the purposes of the Canada Pension Plan.

Subject to this Part, an annuity or other benefit specified in this Act shall be paid to or in respect of every person who, being required to contribute to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund in accordance with this Part, ceases to be a member of the Force or dies, which annuity or other benefit shall, subject to this Part, be based on the number of years of pensionable service to the credit of that person.

The Royal Canadian Mounted Police Pension Account established in the accounts of Canada pursuant to the former Act is hereby continued under the name of the Royal Canadian Mounted Police Superannuation Account.

A member of the Force is required to contribute to the Royal Canadian Mounted Police Pension Fund, in respect of every portion of the period beginning on January 1, 2013, by reservation from pay or otherwise, at the contribution rates determined by the Treasury Board in respect of that portion on the joint recommendation of the President of the Treasury Board and the Minister.

A person who has to his or her credit, on or after January 1, 2013, a period of pensionable service — or a period of pensionable service and other pensionable service — totalling at least 35 years is not required to contribute under subsection (1) but is required to contribute, by reservation from pay or otherwise, to the Royal Canadian Mounted Police Pension Fund, in respect of the period beginning on the later of January 1, 2013 and the day on which the person has to his or her credit those 35 years, in addition to any other amount required under this Act, at the rates determined by the Treasury Board on the joint recommendation of the President of the Treasury Board and the Minister.

In determining the contribution rates for the purposes of subsections (1) and (2), the rates must not exceed the rates paid under section 5 of the Public Service Superannuation Act by Group 1 contributors described in subsection 12(0.1) of that Act.

For the purpose of subsection (2), other pensionable service means years of service giving rise to a superannuation or pension benefit of a kind specified in the regulations that is payable

out of the Consolidated Revenue Fund, or out of any account in the accounts of Canada other than the Superannuation Account; or

out of the Canadian Forces Pension Fund within the meaning of the Canadian Forces Superannuation Act or the Public Service Pension Fund within the meaning of the Public Service Superannuation Act.

Despite anything in this Part, no person shall, in respect of any period of his or her service on or after December 15, 1994, make a contribution under this Part in respect of any portion of his or her annual rate of pay that is in excess of the annual rate of pay that is fixed by or determined in the manner prescribed by the regulations.

A member of the Force who is engaged to work on average fewer than a number of hours per week or days per year prescribed in the regulations shall not contribute under this Act.

Subject to this Part, the following service may be counted by a contributor as pensionable service for the purposes of this Part:

non-elective service, comprising,

in the case of a contributor who, immediately before April 1, 1960, was a contributor under Part V of the former Act, any period of service that he would have been entitled to count for the purpose of computing any pension, allowance or gratuity under that Part had he, at that time, retired from the Force, except any such period for which he elected under that Part to pay, and

in the case of any contributor,

any period during which he or she was required by subsections 5(1) and (2), as they read on December 31, 2012, to contribute to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund, and any period during which he or she is required by subsection 5(1) to contribute to the Royal Canadian Mounted Police Pension Fund,

any period of service that may be counted by him as pensionable service pursuant to section 23, and

any period of service that may be counted by that contributor as pensionable service under subsection 24.1(9); and

elective service, comprising,

in the case of a contributor who, immediately before April 1, 1960, was a contributor under Part V of the former Act,

any period of service for which he elected under that Part to pay, and

any period of service for which he might have elected, under the provisions of that Part in force immediately before April 1, 1960, to pay, if he elects, within the time prescribed by those provisions, to pay for that service, and

in the case of any contributor,

any period of service as a member of a police force of a province or municipality with which the Minister has entered into an arrangement under section 20 of the Royal Canadian Mounted Police Act, that, in accordance with the regulations, may be counted by him as pensionable service for the purpose of this Part, if he elects, within one year of becoming a contributor under this Part, to pay for that service,

any period of service on active service in the navy, army or air forces of His Majesty during World War I or World War II, if he elects, within one year of becoming a contributor under this Part, to pay for that service,

any period of service in the Canadian Army Special Force established by Order in Council P.C. 3860 of August 7, 1950 made under the National Defence Act, if he elects, within one year of becoming a contributor under this Part, to pay for that service,

any period of service in the regular force, if he elects, within one year of becoming a contributor under this Part, to pay for that service,

any continuous period of full-time service of six months or more in the Canadian Forces other than the regular force or in the navy, army or air forces of Her Majesty raised by Canada other than the regular force, if he elects, within one year of becoming a contributor under this Part, to pay for that service,

any period of service as a member of the Force for which he was not required to contribute under the former Act, if he elects, within one year of becoming a contributor under this Part, to pay for that service,

any period of service during which he was employed in the public service on a full-time basis and was in receipt of salary, if he or she elects, within one year of becoming a contributor under this Part, to pay for that service, and any period of service with any board, commission, corporation or portion of the federal public administration that is added to Schedule I to the Public Service Superannuation Act after April 1, 1960, during which he or she was employed on a full-time basis and was in receipt of salary, if he or she elects, within one year of such addition, to pay for that service,

any period of service that may be counted by him as pensionable service pursuant to section 24 of this Act or section 18 of the Royal Canadian Mounted Police Superannuation Act, chapter R-11 of the Revised Statutes of Canada, 1970,

any period of service in respect of which the contributor was entitled to be paid or was granted a return of contributions or other lump sum payment, other than a transfer value or a commuted value, under this Part or under Part V of the former Act, if the contributor elects, within one year after subsequently becoming a contributor under this Part, to pay for that service,

any period of service described in this paragraph for which he might have elected, under this Part, Part V of the former Act, the Civil Service Superannuation Act, chapter 50 of the Revised Statutes of Canada, 1952, the Public Service Superannuation Act, the Canadian Forces Superannuation Act or any order in council made under The Canadian Forces Act, 1950, as amended by the Canadian Forces Act, 1954, to pay, but for which he failed so to elect within the time prescribed therefor, if he elects, at any time before he ceases to be a member of the Force, to pay for that service,

any period of service in respect of which the contributor makes an election under subsection 6.1(1), if the contributor elects, at any time before the contributor ceases to be a member of the Force, to pay for that service,

any period of service of a kind described in the regulations if the contributor elects within the time specified, and in the manner specified, in the regulations to pay for that service,

any period of service in the Public Service, after December 31, 1980 and before the day on which this clause comes into force, during which he or she was engaged to work on average at least a number of hours per week or days per year prescribed in the regulations, if the contributor was a contributor immediately before the day on which this clause comes into force and the contributor elects, within one year after that day, to pay for that service,

any period of service in the Public Service, after December 31, 1980, during which he or she was engaged to work on average at least a number of hours per week or days per year prescribed in the regulations, if he or she elects, within one year of becoming a contributor under this Part, to pay for that service,

subject to the regulations, any period of service in respect of which payment of a commuted value or a transfer value, as the case may be, to a contributor has been effected in accordance with section 12.1 of this Act, section 22 of the Canadian Forces Superannuation Act or section 13.01 of the Public Service Superannuation Act, if the contributor elects, in accordance with the regulations, to pay for that service, and

subject to the regulations, any period of service in respect of which a payment has been made in respect of the contributor pursuant to an agreement entered into under subsection 24.1(2), if the contributor elects, in accordance with the regulations, to pay for that service.

Subject to subsection (3), where a contributor is or has been absent from the Force on leave of absence without pay for a period that exceeds three months, the contributor may elect, at the time and in the manner prescribed by the regulations, not to count as pensionable service under clause 6(a)(ii)(A) that portion of the period that is in excess of three months.

Notwithstanding section 5, a contributor who makes an election under subsection (1) is not required to contribute to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund under that section in respect of the portion of the period to which the election relates.

A contributor is not entitled to make an election under subsection (1) if

the period of leave of absence ended before the day on which that subsection comes into force; and

the contributor has, before that day, made all of the contributions that are required to be made by the contributor to the Superannuation Account in respect of that period.

A contributor who makes an election under subsection (1) in respect of a period of leave of absence that ended before the day on which that subsection comes into force and who has, before that day, made some but not all of the contributions that are required to be made by the contributor to the Superannuation Account in respect of that period shall, at the time the election is made, cease to be required to make any further contributions to the Superannuation Account in respect of that period and shall count as pensionable service under clause 6(a)(ii)(A) such portion of that period as is prescribed by the regulations.

Subject to section 8, a contributor who is entitled under this Part to count as pensionable service any period of elective service specified in paragraph 6(b) is required to pay, in respect thereof, as follows:

in respect of any period specified in clause 6(b)(i)(A), any amount that he would have been required to pay under Part V of the former Act had that Part continued in force;

in respect of any period specified in clause 6(b)(i)(B), any amount that he would have been required to pay under Part V of the former Act in force immediately before April 1, 1960;

in respect of any period specified in clause 6(b)(ii)(A), an amount determined in the manner prescribed by the regulations;

in respect of any period specified in clause 6(b)(ii)(B), an amount equal to the amount that he or she would have been required to contribute had he or she, during that period, been required to contribute in respect of pay equal to the pay authorized to be paid to him or her on the most recent occasion on which he or she became a contributor under this Act, together with interest;

if that period or any portion of it was before 1966, in the manner and at the rate set forth in subsection 5(1) as it read on December 31, 1965, in respect of that period or portion,

if that period or any portion of it was after 1965 but before April 1, 1969, in the manner and at the rate set forth in subsection 5(1) as it read immediately before April 1, 1969, in respect of that period or portion,

if that period or any portion of it was after March 31, 1969 but before January 1, 2000, in the manner and at the rates set forth in subsection 5(1), as it reads on December 31, 1999, in respect of that period or portion,

if that period or any portion of it was after 1999 but before January 1, 2004, in the manner and at the rates set out in subsection 5(1), as it read on December 31, 2003, in respect of that period or portion,

if that period or any portion of it was after 2003 but before January 1, 2013, in the manner and at the rates determined under subsection 5(2), as it read on December 31, 2012, in respect of that period or portion, and

if that period or any portion of it was after 2012, in the manner set out in subsection 5(1) and at the rates determined by the Treasury Board under that subsection, in respect of that period or portion,

in respect of any period specified in clause 6(b)(ii)(C), (D), (E), (F) or (G), an amount equal to the amount that he or she would have been required to contribute had he or she, during that period, been required to contribute in respect of pay equal to the pay authorized to be paid to him or her on the most recent occasion on which he or she became a contributor under this Act, together with interest;

if that period or any portion of it was before 1966, in the manner and at the rate set forth in subsection 5(1) as it read on December 31, 1965, in respect of that period or portion,

if that period or any portion of it was after 1965 but before April 1, 1969, in the manner and at the rate set forth in subsection 5(1) as it read immediately before April 1, 1969, in respect of that period or portion,

if that period or any portion of it was after March 31, 1969 but before January 1, 2000, in the manner and at the rates set forth in subsection 5(1), as it reads on December 31, 1999, in respect of that period or portion,

if that period or any portion of it was after 1999 but before January 1, 2004, in the manner and at the rates set out in subsection 5(1), as it read on December 31, 2003, in respect of that period or portion,

if that period or any portion of it was after 2003 but before January 1, 2013, in the manner and at the rates determined under subsection 5(2), as it read on December 31, 2012, in respect of that period or portion, and

if that period or any portion of it was after 2012, in the manner set out in subsection 5(1) and at the rates determined by the Treasury Board under that subsection, in respect of that period or portion,

notwithstanding anything in paragraphs (d) and (e) of this subsection, in respect of any period described in clause 6(b)(ii)(H), such amount as is required by section 24 to be paid by him therefor;

notwithstanding anything in paragraphs (a) to (f) of this subsection, in respect of any period described in clause 6(b)(ii)(I), an amount equal to the amount of the return of contributions or other lump sum payment referred to in that clause plus the capitalized value, as of the time of the making of that payment to him, of such amounts by way of instalments of the amount required by this Part or Part V of the former Act to be paid by him in respect of that period as were payable by him before the time of the making of that payment to him and remained unpaid by him at that time, together with simple interest at four per cent per annum from that time until the time of the election;

notwithstanding anything in this subsection, in respect of any period described in clause 6(b)(ii)(J), an amount equal to the amount that he would have been required to pay if he had elected under this Part, within the time prescribed for the making of the election, to pay for that period, and if, during that period, the rate of pay authorized to be paid to him had been equal to the rate of pay so authorized at the time when he made the election, together with interest; and

in respect of any period described in clauses 6(b)(ii)(F.1), (K), (L), (M), (N), (O) and (P), the amounts determined in accordance with the regulations.

In this section, unless otherwise specified, interest means simple interest at four per cent per annum from the middle of the fiscal year in which the contributions would have been made, had the contributor been required to make those contributions during the period for which he elected to pay, until the time of the election.

Every election made by a contributor under this Part shall be made by him while a member of the Force and shall be evidenced in writing, in the form prescribed by the regulations, and witnessed, and the original thereof shall be forwarded to the Commissioner of the Royal Canadian Mounted Police, within the time prescribed by this Part for the making of the election or, in the case of an election that may be made by the contributor at any time before he ceases to be a member of the Force, within one month from the time of making the election.

An election under this Part is void in so far as it is

an election to pay for any period of service described in any of clauses 6(b)(ii)(A) to (G) that the elector is entitled to count for the purposes of any superannuation or pension benefit of a kind prescribed by the regulations, otherwise than under the provisions of this Part;

an election to pay for any period of service described in clause 6(b)(ii)(J), (K) or (L), unless the elector has passed a medical examination, as prescribed by the regulations, within such time immediately before or after the making of the election as is prescribed by the regulations;

an election to surrender an annuity, annual allowance or pension under subsection 24(5) on or after December 1, 1995, unless the elector has passed a medical examination, as prescribed by the regulations, within the time immediately before or after the making of the election that is prescribed by the regulations; or

an election to pay for any period of service of less than ninety days as defined by the regulations, unless it is service that may be counted under clause 6(b)(ii)(I).

A contributor who is entitled under this Part to elect to pay for a period of service is entitled to elect to pay for part only of that period but only that part which is most recent in point of time.

An election under this Part may be amended by the elector, within the time prescribed by this Part for the making of the election, by increasing the period or periods of service for which he elects to pay, and is otherwise irrevocable except under such circumstances and on such terms and conditions, including payment by the elector to Her Majesty of such amount in respect of any benefit accruing to the elector during the subsistence of the election, as a consequence of his having so elected, as is prescribed by the regulations.

Subject to this section, any amount required by subsection 7(1) to be paid by a contributor in respect of any period of service for which he has elected to pay shall be paid by him into the Superannuation Account at his option.

in a lump sum, at the time of making the election, or

in instalments, on such terms and computed on such bases as to mortality and interest as are prescribed by the regulations,

For the purposes of subsections (5) and 24(1), an amount required to be paid by a contributor pursuant to an election made after March 31, 2000 shall be paid into the Royal Canadian Mounted Police Pension Fund.

Where a contributor who has elected under this Part or Part V of the former Act to pay for any period of service and has undertaken to pay for that period by instalments ceases to be a member of the Force before all the instalments have been paid, the unpaid instalments may be reserved, in accordance with the regulations, from any amount payable to him by Her Majesty, including the annuity or other benefit payable to him under this Part, until such time as all the instalments have been paid or the contributor dies, whichever occurs first.

When an amount payable by a contributor into the Superannuation Account or the Royal Canadian Mounted Police Pension Fund by reservation from pay and allowances or otherwise has become due, but remains unpaid at the time of death, that amount, with interest at four per cent per annum from the time it became due, may be recovered in accordance with the regulations from any allowance payable under this Part to the survivor or children of the contributor, without prejudice to any other recourse available to Her Majesty with respect to the recovery of it, and any amount so recovered shall be credited to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund and shall be deemed, for the purposes of the definition return of contributions in subsection 9(1), to have been paid into that Account or Fund by the contributor.

When an election is made to count as pensionable service a period of service specified in clause 6(b)(ii)(F.1), (L), (M), (N), (O) or (P), this section applies in the manner and to the extent set out in the regulations.

Where any amount has been paid in error under this Part or Part III on account of any annuity, annual allowance or supplementary benefit, the Minister may retain by way of deduction from any subsequent payment of that annuity, allowance or supplementary benefit, in the manner prescribed by the regulations, an amount equal to the amount paid in error, without prejudice to any other recourse available to Her Majesty with respect to the recovery thereof.

In this Part,

annuity means an annuity computed in accordance with section 10; (annuité)

cash termination allowance means an amount equal to one month’s pay for each year of pensionable service to the credit of the contributor, computed on the basis of the rate of pay authorized to be paid to him or her at the time he or she ceases to be a member of the Force, minus an amount equal to the amount by which exceeds

the total amount the contributor would have been required to contribute to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund up to the time he or she ceases to be a member of the Force, other than interest or charges for payments by instalments, in respect of service after 1965, if he or she had contributed on the basis of the rate set forth in subsection 5(1) as it read on December 31, 1965,

the total amount the contributor was required to contribute to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund up to the time he or she ceases to be a member of the Force, other than interest or charges for payments by instalments, in respect of service after 1965; (allocation de cessation en espèces)

deferred annuity means an annuity that becomes payable to the contributor at the time he reaches sixty years of age; (annuité différée)

immediate annuity means an annuity that becomes payable to the contributor immediately on his becoming entitled thereto; (annuité immédiate)

recipient means a person to whom any amount is or is about to become payable under this Part; (prestataire)

return of contributions means a return of to the extent that the amount remains to his or her credit in the Superannuation Account or the Royal Canadian Mounted Police Pension Fund, together with interest, if any, calculated pursuant to subsection (6). (remboursement de contributions)

the amount paid by the contributor into the Superannuation Account or the Royal Canadian Mounted Police Pension Fund but not including any amount so paid pursuant to subsection 39(7) of the Public Service Superannuation Act, and

any amount paid by him or her into any other account or fund, together with interest, if any, that has been transferred to the Superannuation Account or the Royal Canadian Mounted Police Pension Fund,

transfer value means a lump sum amount, representing the value of the contributor’s pension benefits, as determined in accordance with the regulations. (valeur de transfert)

Where an annuity or annual allowance becomes payable under this Part to a contributor, it shall, subject to the regulations, be paid in equal monthly instalments in arrears and shall continue, subject to this Part, during the lifetime of the contributor and thereafter until the end of the month during which he dies, and any amount in arrears thereof that remains unpaid at any time after his death shall be paid as provided in section 15, in respect of a return of contributions.

When an annual allowance becomes payable under this Part to a survivor or child, it shall, subject to the regulations, be paid in equal monthly instalments in arrears and shall continue, subject to this Part, until the end of the month during which the recipient dies or otherwise ceases to be entitled to receive an annual allowance, and any amount in arrears that remains unpaid at any time after the death of the recipient shall be paid to the estate or succession of the recipient or, if less than one thousand dollars, as the Minister may direct.

Where, under section 11, a contributor is entitled to a return of contributions or, at his option, to any other benefit specified therein,

if he fails to exercise the option within one year from the time he became so entitled, he shall be deemed to have exercised it in favour of a deferred annuity; and

if, without having exercised the option, he becomes a contributor under the Public Service Superannuation Act or the Canadian Forces Superannuation Act, he shall be deemed to have exercised the option, immediately before becoming a contributor under that Act, in favour of a deferred annuity.

Where, under section 11, a contributor is entitled to a benefit therein specified at his option, the option may be revoked and a new option exercised by the contributor, under such circumstances and on such terms and conditions as the Governor in Council by regulation prescribes.

For the purposes of the definition return of contributions in subsection (1), interest shall be calculated in the manner that the regulations provide and on the balances that are determined in accordance with the regulations,

at the rate of four per cent, compounded annually, for any period before January 1, 2001; and

at the rates established in the regulations made under paragraph 26.1(1)(c.3) compounded quarterly, for any period beginning on or after January 1, 2001.

Subject to Part II of the Garnishment, Attachment and Pension Diversion Act and to the Pension Benefits Division Act,

a benefit under this Part or Part III is not capable of being assigned, charged, anticipated or given as security and any transaction that purports to assign, charge, anticipate or give as security any such benefit is void;

a benefit to which a contributor, survivor or child is entitled under this Part or Part III is not capable of being surrendered or commuted during the lifetime of that person except under section 12.1 or subsection 18(2) and any other transaction that purports to so surrender or commute any such benefit is null and void; and

a benefit under this Part or Part III is exempt from attachment, seizure and execution, either at law or in equity.

The amount of any annuity to which a contributor may become entitled under this Part is an amount equal to the aggregate of

an amount equal to multiplied by

the number of years of pensionable service to the credit of the contributor occurring in the period preceding the day on which this subsection comes into force, not exceeding thirty-five, divided by fifty,

the average annual pay received by the contributor during any five-year period of pensionable service selected by or on behalf of the contributor, or during any period so selected consisting of consecutive periods of pensionable service totalling five years, or

in the case of a contributor who has to the contributor’s credit less than five years of pensionable service, the average annual pay received by the contributor during the period of pensionable service to the contributor’s credit, and

an amount equal to multiplied by the lesser of

the number of years of pensionable service to the credit of the contributor occurring in the period on and after the day on which this subsection comes into force, not exceeding thirty-five years less the number of years of pensionable service to the credit of the contributor under subparagraph (a)(i), divided by fifty,

the average annual pay received by the contributor during the period referred to in subparagraph (a)(ii) or (iii), as applicable, and

the annual rate of pay that is fixed by the regulations made under paragraph 26.1(1)(a), or that may be determined in the manner prescribed by those regulations, and in force on the day on which the contributor most recently ceased to be a member of the Force.

Notwithstanding subsection (1), unless the Minister is satisfied that a contributor there shall be deducted from the amount of any annuity to which that contributor is entitled under this Part an amount equal to the percentage, as set out in subsection (2.1), of multiplied by

has not reached the age of sixty-five years, and

has not become entitled to a disability pension payable under paragraph 44(1)(b) of the Canada Pension Plan or a provision of a provincial pension plan similar to the Canada Pension Plan,

the average annual pay received by the contributor during the period of pensionable service described in subsection (1) applicable to him or her, not exceeding his or her Average Maximum Pensionable Earnings,

the number of years of pensionable service after 1965 or after he or she has attained the age of eighteen years, whichever is the later, to the credit of the contributor, not exceeding thirty-five, divided by fifty.

For the purposes of subsection (2), the percentage that applies in respect of a contributor is

35%, if the contributor was born before 1943;

34.25%, if the contributor was born in 1943;

33.5%, if the contributor was born in 1944;

32.75% if the contributor was born in 1945;

32%, if the contributor was born in 1946; and

31.25%, if the contributor was born after 1946.

For the purposes of subsection (2),

Average Maximum Pensionable Earnings means, with respect to any contributor, the average of the Year’s Maximum Pensionable Earnings for the year in which he or she ceased to be a member of the Force and for each of the four preceding years; (moyenne des maximums des gains ouvrant droit à pension)

Year’s Maximum Pensionable Earnings has the same meaning as in the Canada Pension Plan. (maximum des gains annuels ouvrant droit à pension)

For the purposes of this section,

a person who has to his credit pensionable service that includes any period described in any of clauses 6(b)(ii)(A) to (G) shall be deemed to have received during that period pay at a rate equal to the rate of pay on the basis of which the amount required by this Act to be paid by him for that period of service was determined.

a person who has to their credit pensionable service that includes any period described in any of clauses 6(b)(ii)(L), (O) and (P) and subsection 24.1(9) is deemed to have received during that period the annual rate of pay that is fixed by or determined in the manner prescribed by the regulations.

For the purposes of subparagraphs (1)(a)(ii) and (iii), a period of service during which a person continues to be a member of the Force and is required to make contributions under subsection 5(2), or was required to make contributions under subsection 5(5), (6) or (7) as it read on December 31, 2012, is deemed to be a period of pensionable service to his or her credit.

Subparagraphs (1)(a)(ii) and (iii), as enacted by subsection 16(1) of the Budget Implementation Act, 1999, apply with respect to benefits payable to or in respect of a person who contributes under section 5 on or after June 17, 1999 but do not apply to a person who became entitled to an annuity before that date, is re-appointed to or re-enlisted in the Force and is a contributor referred to in section 23 and who, on subsequently ceasing to be a member of the Force, is only entitled to a return of contributions.

The definition Average Maximum Pensionable Earnings in subsection (3), as enacted by subsection 16(2) of the Budget Implementation Act, 1999, applies only with respect to deductions from annuities made under subsection (2) that take effect on or after the day on which this subsection comes into force.

A contributor who, having reached retirement age, ceases to be a member of the Force for any reason other than disability or misconduct is entitled to a benefit determined as follows:

if he or she has served in the Force for a period that is less than the period prescribed by the regulations for the purposes of this paragraph, he or she is entitled to whichever is the greater; and

a return of contributions, or

a cash termination allowance,

if he or she has served in the Force for a period equal to or greater than the period prescribed by the regulations for the purposes of paragraph (a), he or she is entitled to an immediate annuity.

A contributor who is compulsorily retired from the Force by reason of having become disabled is entitled to a benefit determined as follows:

if he or she has to his or her credit a period of pensionable service less than the period prescribed by the regulations for the purposes of this paragraph, he or she is entitled to whichever is the greater; and

a return of contributions, or

a cash termination allowance,

if he or she has to his or her credit a period of pensionable service equal to or greater than the period prescribed by the regulations for the purposes of paragraph (a), he or she is entitled to an immediate annuity.

A contributor who, not having reached retirement age, is compulsorily retired from the Force to promote economy or efficiency is entitled to a benefit determined as follows:

if he or she has served in the Force for a period that is less than the period prescribed by the regulations for the purposes of this paragraph, he or she is entitled to a return of contributions;

if he or she has served in the Force for a period equal to or greater than the period prescribed by the regulations for the purposes of paragraph (a) but less than the period prescribed by the regulations for the purposes of paragraph (c), he or she is entitled to at his or her option; and