Ontario is introducing changes to the Pooled Registered Pension Plans Act, 2015 as well as other legislative pension amendments as part of its 2016 budget, which was unveiled on Thursday, Feb. 25.
The goal of the PRPP changes is to “further facilitate harmonization with other jurisdictions and ensure the efficient operation of PRPPs,” according to the budget. Regulations that would make PRPPs available to workers in Ontario are currently being developed.
“The government will also be developing an appropriate test to determine comparability for the purposes of the ORPP,” the budget says.
Ontario is also proposing changes to enable the introduction of pension advisory committees. These committees would be tasked with monitoring plan administration, providing recommendations to the administrator, and promoting awareness and understanding of the plan.
Draft regulations aimed at creating these committees were posted for public consultation last fall.
The government also intends to develop an Ontario Registered Pension Plan comparability test for PRPPs.