Item - 2018.GM29.10
Tracking Status
- City Council adopted this item on July 23, 2018 without amendments.
- This item was considered by the Government Management Committee on July 3, 2018 and adopted without amendment. It will be considered by City Council on July 23, 2018.
GM29.10 - Mergers of Pre-OMERS Pension Plans with OMERS and Proposal for Sharing of Surplus Funds
- Decision Type:
- ACTION
- Status:
- Adopted
- Wards:
- All
City Council Decision
City Council on July 23, 24, 25, 26, 27 and 30, 2018, adopted the following:
1. City Council approve the negotiated surplus sharing for the Police Fund and the York Fund set out in Confidential Attachment 1 to the report (June 18, 2018) from the Treasurer.
2. City Council authorize the public release of Confidential Attachment 1 to the report (June 18, 2018) from the Treasurer at the discretion of the Treasurer following the approval of the plan mergers by the Superintendent of Financial Services.
Confidential Attachment 1 to the report (June 18, 2018) from the Treasurer remains confidential in its entirety at this time in accordance with the provisions of the City of Toronto Act, 2006, as it pertains to the security of property belonging to the City of Toronto. Confidential Attachment 1 to the report (June 18, 2018) from the Treasurer will be made public at the discretion of the Treasurer following the approval of the plan mergers by the Superintendent of Financial Services.
Confidential Attachment - The security of property belonging to the City of Toronto
Background Information (Committee)
https://www.toronto.ca/legdocs/mmis/2018/gm/bgrd/backgroundfile-117239.pdf
Confidential Attachment 1
Motions (City Council)
Vote (Adopt Item) Jul-26-2018 6:40 PM
| Result: Carried | Majority Required - GM29.10 - Adopt the item |
|---|---|
| Total members that voted Yes: 32 | Members that voted Yes are Paul Ainslie, Jon Burnside, John Campbell, Josh Colle, Gary Crawford, Joe Cressy, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Frank Di Giorgio, Sarah Doucette, John Filion, Paula Fletcher, Michael Ford, Mary Fragedakis, Jim Hart, Michelle Holland, Stephen Holyday, Norman Kelly, Mike Layton, Josh Matlow, Mary-Margaret McMahon, Miganoush Megardichian, Denzil Minnan-Wong, Frances Nunziata (Chair), Gord Perks, Anthony Perruzza, Jaye Robinson, David Shiner, Michael Thompson, Jonathan Tsao, Kristyn Wong-Tam |
| Total members that voted No: 0 | Members that voted No are |
| Total members that were Absent: 13 | Members that were absent are Maria Augimeri, Ana Bailão, Christin Carmichael Greb, Justin J. Di Ciano, Mark Grimes, Jim Karygiannis, Giorgio Mammoliti, Joe Mihevc, Cesar Palacio, James Pasternak, Neethan Shan, John Tory, Lucy Troisi |
GM29.10 - Mergers of Pre-OMERS Pension Plans with OMERS and Proposal for Sharing of Surplus Funds
- Decision Type:
- ACTION
- Status:
- Adopted
- Wards:
- All
Confidential Attachment - The security of property belonging to the City of Toronto
Committee Recommendations
The Government Management Committee recommends that:
1. City Council approve the negotiated surplus sharing for the Police Fund and the York Fund as set out in Confidential Attachment 1 to the report (June 18, 2018) from the Treasurer.
2. City Council authorize the public release of the information contained in Confidential Attachment 1 to the report (June 18, 2018) from the Treasurer at the discretion of the Treasurer following the approval of the plan mergers by the Superintendent of Financial Services.
Decision Advice and Other Information
The Government Management Committee recessed its public session to meet in closed session to consider this item as it relates to the security of the property belonging to the City of Toronto.
Origin
Summary
This report outlines the actions and timelines for the merger of four pre-OMERS pension funds with OMERS. The merger process is a technical and regulatory process, with approvals of pensioners, and the Financial Services Commission of Ontario (FSCO), as well as detailed work by City and OMERS staff. It is anticipated that the York fund merger will be effective October 31, 2018, while the three other funds will be effective mid to late 2019.
In addition to pensioners receiving their existing pensions plus OMERS inflationary indexing, members of funds which have surpluses, will also receive a share of the surplus, on wind up of their fund. The City will also be receiving a share of surpluses, which will vary depending on fund earnings and other actuarial factors between now and the effective dates, but is anticipated at this time to be $70 to $90 million.
Background Information
https://www.toronto.ca/legdocs/mmis/2018/gm/bgrd/backgroundfile-117239.pdf
Confidential Attachment 1
Motions
That:
1. City Council direct the Treasurer to review administrative efficiencies that OMERS might provide to the Toronto Fire Department Superannuation Benefit Fund and report back to the Government Management Committee.
12:38 p.m. - The Government Management Committee recess its public session to meet in closed session as to consider this item as it relates to the security of property belonging to the City of Toronto.
That Motion No. 1 by Councillor Ainslie be withdrawn.