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An Act to amend the Parliament of Canada Act, the Members of Parliament Retiring Allowances Act and the Salaries Act

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An Act to amend the Parliament of Canada Act, the Members of Parliament Retiring Allowances Act and the Salaries Act

S.C. 2001, c. 20

Assented to 2001-11-01

An Act to amend the Parliament of Canada Act, the Members of Parliament Retiring Allowances Act and the Salaries Act

SUMMARY

The main purposes of this enactment are to

(a) increase the salaries of members of the Senate and the House of Commons;

(b) reduce the accrual and contribution rates in the Members of Parliament Retiring Allowances Act;

(c) establish a disability allowance for members over 65; and

(d) make consequential adjustments to the Members of Parliament Retiring Allowances Act.

Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

R.S., c. P-1 PARLIAMENT OF CANADA ACT

1. The Parliament of Canada Act is amended by adding the following before the heading “Sessional Allowances” before section 55:

Remuneration Reference Amount

Marginal note:Reference amount

54.1 (1) Commencing on January 1, 2001, the remuneration reference amount is equal to the amount of the annual salary of the Chief Justice of the Supreme Court of Canada.

Marginal note:Retroactive adjustments to reference amount

(2) Adjustments to the remuneration reference amount shall be made retroactively to take into account any retroactive changes in the annual salary of the Chief Justice.

2. (1) The portion of subsection 55(3) of the Act before paragraph (a) is replaced by the following:

Marginal note:Adjustment

(3) Subject to subsections (5) and (6) and section 67, for each twelve month period commencing January 1, there shall be paid to each of the members of the Senate and the House of Commons a sessional allowance at the rate per annum that is obtained by multiplying

(2) Subsection 55(4) of the Act is amended by adding the word “and” at the end of paragraph (a), by striking out the word “and” at the end of paragraph (b) and by repealing paragraph (c).

(3) The portion of subsection 55(5) of the Act before paragraph (a) is replaced by the following:

Marginal note:Sessional allowance for 1984

(5) Subject to section 67, there shall be paid to each of the members of the Senate and the House of Commons for the twelve month period commencing January 1, 1984 a sessional allowance at the rate per annum that is the lesser of

(4) Section 55 of the Act is amended by adding the following after subsection (11):

Marginal note:Sessional allowance after January 1, 2001

(12) Notwithstanding anything in this section, the annual sessional allowance that shall be paid, commencing on January 1, 2001,

(a) to members of the Senate is equal to 50 per cent of the remuneration reference amount referred to in section 54.1 minus $25,000; and

(b) to members of the House of Commons is equal to 50 per cent of the remuneration reference amount referred to in section 54.1.

3. Subsection 57(1) of the Act is replaced by the following:

Marginal note:Deductions for non-attendance

57. (1) A deduction at the rate of $120 per day shall be made from the sessional allowance of a member of either House of Parliament for every day beyond 21 on which the member does not attend a sitting of that House if it sits on that day.

Marginal note:1998, c. 23, ss. 2 to 4

4. Sections 60 to 62 of the Act are replaced by the following:

Marginal note:Presiding officers

60. Commencing on January 1, 2001, there shall be paid to the following members of the Senate or the House of Commons annual salaries equal to the remuneration reference amount referred to in section 54.1 multiplied by the following percentages:

(a) the Speaker of the Senate, 17.6 per cent;

(b) any member of the Senate occupying the recognized position of Speaker pro tempore of the Senate, 7.3 per cent;

(c) the Speaker of the House of Commons, 24 per cent;

(d) the Deputy Speaker of the House of Commons, 12.5 per cent;

(e) the Deputy Chair of the Committee of the Whole House of Commons, 5.1 per cent;

(f) the Assistant Deputy Chair of the Committee of the Whole House of Commons, 5.1 per cent;

(g) any member occupying the position of Chair of a Standing Committee of the Senate or of the House of Commons (other than the Liaison Committee of the House of Commons), or of a Standing Joint Committee of Parliament (other than the Standing Joint Committee on the Library of Parliament), 3.6 per cent; and

(h) any member occupying the position of Vice-Chair of a Standing Committee of the Senate or of the House of Commons (other than the Liaison Committee of the House of Commons), or of a Standing Joint Committee of Parliament (other than the Standing Joint Committee on the Library of Parliament), 1.9 per cent.

Marginal note:Parliamentary Secretaries

61. Commencing on January 1, 2001, a Parliamentary Secretary shall be paid an annual salary equal to the remuneration reference amount referred to in section 54.1 multiplied by 5.1 per cent.

Marginal note:Additional allowances

62. Commencing on January 1, 2001, there shall be paid to the following members of the Senate or the House of Commons additional annual allowances equal to the remuneration reference amount referred to in section 54.1 multiplied by the following percentages:

(a) the member of the Senate occupying the position of Leader of the Government in the Senate, except any such member in receipt of a salary under the Salaries Act, 24 per cent;

(b) the member of the Senate occupying the position of Leader of the Opposition in the Senate, 11.5 per cent;

(c) the member of the Senate occupying the position of Deputy Leader of the Government in the Senate, 11.5 per cent;

(d) the member of the Senate occupying the position of Deputy Leader of the Opposition in the Senate, 7.3 per cent;

(e) the member of the Senate occupying the position of Government Whip in the Senate, 3.6 per cent;

(f) the member of the Senate occupying the position of Opposition Whip in the Senate, 2.2 per cent;

(g) the member occupying the position of Leader of the Opposition in the House of Commons, 24 per cent;

(h) each member of the House of Commons, other than the Prime Minister or the member occupying the position of Leader of the Opposition in the House of Commons, who is the leader of a party that has a recognized membership of twelve or more persons in the House, 17.1 per cent;

(i) each of the members occupying the positions of Chief Government Whip and Chief Opposition Whip in the House of Commons, 9.1 per cent;

(j) each of the members occupying the positions of Deputy Government Whip and Deputy Opposition Whip and the position of Whip of a party that has a recognized membership of twelve or more persons in the House of Commons, 3.6 per cent;

(k) the member occupying the position of Opposition House Leader in the House of Commons, 12.5 per cent; and

(l) the member occupying the position of House Leader of a party that has a recognized membership of twelve or more persons in the House of Commons, 5.1 per cent.

Marginal note:1993, c. 28, s. 78 (Sch. III, s. 119); 2000, c. 9, s. 565

5. Subsections 63(3) and (4) of the Act are repealed.

6. Section 64 of the Act is repealed.

7. Subsection 65(1) of the Act is replaced by the following:

Marginal note:Statement of attendance

65. (1) For each session of Parliament, at the end of each month and at the end of the session, every member of each House of Parliament shall furnish the Clerk of that House with a statement, signed by the member, of the number of days attendance during the month or session, as the case may be, and, in the case of the inclusion of days on which the member has failed to attend by reason of illness, setting out that fact and that the absence was due to that illness and was unavoidable.

Marginal note:1998, c. 23, s. 5

8. Section 66.1 of the Act and the heading before it are repealed.

Marginal note:1991, c. 30, s. 24

9. Sections 67 and 68 of the Act are replaced by the following:

Marginal note:Adjustment of certain salaries and allowances

67. The salaries and allowances payable to members of the Senate and the House of Commons pursuant to subsection 55(12) and sections 60 to 62 that are not a multiple of one hundred dollars shall be rounded to the nearest multiple of one hundred dollars that is lower than the salary or other allowance so determined.

10. (1) Subsection 70(2) of the Act is replaced by the following:

Marginal note:Death or disability

(2) Subject to subsection (2.1) and section 71, where a person who holds a seat in the House of Commons dies or ceases to be a member of the House by reason of any permanent illness or infirmity by which the person is, in the opinion of the Speaker of the House, disabled from performing the person’s duties as a member of the House, there shall be paid to or in respect of the person a severance allowance in accordance with subsection (4).

Marginal note:Exception

(2.1) A severance allowance shall not be paid to or in respect of a person who is entitled to and elects to receive a disability allowance under section 71.1.

Marginal note:2000, c. 27, s. 1(1)

(2) Paragraph 70(4)(b) of the Act is replaced by the following:

(b) any salary or allowance under section 60, 61 or 62 of this Act or section 4 of the Salaries Act

Marginal note:2000, c. 27, s. 1(2)

(3) Paragraphs 70(6)(a) and (b) of the Act are replaced by the following:

(a) in the case of a person to whom an allowance would not be payable under the Members of Parliament Retiring Allowances Act, one twelfth of the sessional allowance under section 55 and any salary or allowance under section 60, 61 or 62 of this Act or section 4 of the Salaries Act to which the person was entitled immediately before ceasing to be a member, for every year the member was a member, to a maximum of twelve years; and

(b) in the case of a person to whom an allowance would be payable under the Members of Parliament Retiring Allowances Act, one twelfth of the sessional allowance under section 55 and any salary or allowance under section 60, 61 or 62 of this Act or section 4 of the Salaries Act to which the person was entitled immediately before ceasing to be a member, for every year the member was a member in the period referred to in subsections 10(1.1) and 32(1.1) of the Members of Parliament Retiring Allowances Act.

11. The Act is amended by adding the following after section 71:

Disability Allowance

Marginal note:Entitlement

71.1 (1) A member of the Senate or the House of Commons who resigns by reason of disability may elect to receive an annual disability allowance equal to 70% of the member’s annual salaries and allowances on the date of resignation, if at the time of resignation the member

(a) is 65 years of age or over; and

(b) is incapable, because of the disability, of performing the member’s duties.

Marginal note:Adjustments

(2) The disability allowance shall be adjusted to take into account changes in the annual salaries and allowances on which the disability allowance was based.

Marginal note:Payment

(3) The disability allowance shall be paid

(a) in the case of a member of the Senate, until the member revokes the election, attains 75 years of age or dies, whichever is the earliest; or

(b) in the case of a member of the House of Commons, until the member revokes the election or dies or the date of the next general election following the member’s resignation, whichever is the earliest.

Marginal note:Regulations

(4) The Governor in Council may make regulations respecting disability allowances, including regulations respecting

(a) the determination of eligibility for disability allowances and medical examinations that are required;

(b) elections to receive disability allowances and the revocation of elections; and

(c) the administration and payment of disability allowances.

Marginal note:Retroactive regulations

(5) Regulations made under subsection (4) may, if they so provide, be retroactive.

Marginal note:1998, c. 23, s. 8

12. Subsection 72(3) of the Act is replaced by the following:

Marginal note:Payments out of C.R.F.

(3) The sessional allowances payable under subsection 55(10), any supplementary severance allowance payable under subsection 70(6) and any disability allowance payable under section 71.1 shall be paid out of the Consolidated Revenue Fund.

13. Paragraph 80(1)(a) of the Act is replaced by the following:

(a) to describe or designate a property, place, site or location in the National Capital Region described in the schedule to the National Capital Act other than the area of ground in the City of Ottawa bounded by Wellington Street, the Rideau Canal, the Ottawa River and Kent Street;

R.S., c. M-5 MEMBERS OF PARLIAMENT RETIRING ALLOWANCES ACT

Marginal note:1992, c. 46, s. 81

14. (1) The definitions “average annual sessional indemnity” and “salary” in subsection 2(1) of the Members of Parliament Retiring Allowances Act are replaced by the following:

“average annual sessional indemnity”

« moyenne annuelle de l’indemnité de session »

“average annual sessional indemnity”, with respect to any member, means the average annual sessional indemnity received as a member during any five year period of pensionable service selected by or on behalf of the member, or during any period so selected consisting of consecutive periods of pensionable service totalling five years;

“salary”

« traitement »

“salary” means a salary payable to a member pursuant to section 4 of the Salaries Act or section 60 or 61 of the Parliament of Canada Act, or payable to a member pursuant to an appropriation Act as a minister of state or a minister without portfolio;

Marginal note:1992, c. 46, s. 81

(2) Paragraph (a) of the definition “sessional indemnity” in subsection 2(1) of the Act is replaced by the following:

(a) in relation to a period before October 8, 1970, the allowances payable to a member under section 55 and subsection 63(3) of the Parliament of Canada Act, as that subsection read immediately before the coming into force of this paragraph,

Marginal note:1992, c. 46, s. 81

15. Paragraphs 4(1)(a) and (b) of the Act are replaced by the following:

(a) the contributions paid pursuant to sections 9 and 11 and contributions made pursuant to subsections 21(7) and 22(3) of the former Act that are paid on or after January 1, 1992;

(b) the interest paid in accordance with subparagraphs 11(1)(a)(ii), (a.1)(ii) and (b)(v) and (vi) and paragraph 11(1.1)(b); and

Marginal note:1992, c. 46, s. 81; 2000, c. 27, s. 3

16. (1) Subsections 9(1) and (1.1) of the Act are replaced by the following:

Marginal note:Contributions

9. (1) Commencing on January 1, 2001, a member shall, by reservation from the sessional indemnity of the member, contribute to the Retiring Allowances Account four per cent of that portion of that sessional indemnity that does not exceed the member’s earnings limit for that calendar year.

Marginal note:Contributions

(1.1) Despite subsection 2.3(1), beginning on September 21, 2000 and ending on December 31, 2000, a member who was entitled to elect under sections 2.1 and 2.6 and who did not make an election shall, by reservation from the sessional indemnity of the member, contribute to the Retiring Allowances Account four per cent of the amount payable to the member by way of that sessional indemnity.

Marginal note:1992, c. 46, s. 81

(2) Subsections 9(2) to (4) of the Act are replaced by the following:

Marginal note:Additional contributions

(2) Commencing on January 1, 2001, a member to whom paragraph 12(1)(b) applies who is in receipt of a salary or an annual allowance shall, by reservation from that salary or allowance, contribute to the Retiring Allowances Account an amount equal to four per cent of that portion of that salary or allowance that does not exceed the member’s earnings limit for that year, unless the member elects in respect of that salary or allowance

(a) not to contribute under this subsection and has at the same time elected not to contribute under subsection 31(4); or

(b) to contribute at a lesser rate than that specified in this subsection.

Marginal note:1992, c. 46, s. 81

17. (1) The portion of subsection 11(1) of the Act before paragraph (b) is replaced by the following:

Marginal note:Contributions in respect of previous sessions

11. (1) Where a member elects to contribute to the Retiring Allowances Account in respect of a previous session, the member shall pay into the Consolidated Revenue Fund

(a) if the election is made on or after January 1, 2001 and the member’s sessional indemnity in respect of that previous session exceeds the member’s earnings limit for the calendar year

(i) a contribution equal to four per cent of that portion of the sessional indemnity paid to the member in respect of that previous session that does not exceed the member’s earnings limit, and

(ii) the interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity was made to the member in respect of that session to the day on which the election is made;

(a.1) if the election is made on or after January 1, 1992 and before January 1, 2001, or if the member’s sessional indemnity in respect of that previous session does not exceed the member’s earnings limit for the calendar year and the election is made on or after January 1, 2001,

(i) a contribution equal to four per cent of the aggregate of the amounts paid to the member in respect of that previous session

(A) by way of sessional indemnity, and

(B) by way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance, and

(ii) the interest on that contribution calculated at a rate and in the manner prescribed from the day on which the final payment by way of sessional indemnity, salary or annual allowance, as the case may be, was made to the member in respect of that session to the day on which the election is made; and

Marginal note:2000, c. 27, s. 5(2)

(2) The portion of subsection 11(2) of the Act before paragraph (a) is replaced by the following:

Marginal note:Maximum contribution

(2) Notwithstanding clause (1)(a.1)(i)(B) or subparagraph (1.1)(a)(ii), where the aggregate of amounts paid to a person as a member in respect of one or more previous sessions, or in respect of a particular period, in a calendar year by way of sessional indemnity, salary or annual allowance exceeds

Marginal note:1992, c. 46, s. 81

18. (1) Paragraphs 12(1)(b) and (c) of the Act are replaced by the following:

(b) subject to subsection (2), in respect of any amount payable to the member by way of sessional indemnity, after the aggregate of the products obtained by multiplying the number of years of pensionable service to the credit of the member by the multipliers set out in subsection 16(1) and, as applicable, paragraph 36(1)(a) or (b) equals 0.75; or

(c) after the member has reached 69 years of age.

Marginal note:1992, c. 46, s. 81

(2) Subsection 12(2) of the Act is replaced by the following:

Marginal note:Exception for one per cent

(2) Commencing on January 1, 2001, a member shall, by reservation from the sessional indemnity payable to the member, continue to contribute under this Part one per cent of that portion of that sessional indemnity that does not exceed the member’s earnings limit for the calendar year, after the aggregate of the products obtained by multiplying the number of years of pensionable service to the credit of the member by the multipliers set out in subsection 16(1) and, as applicable, paragraph 36(1)(a) or (b) equals 0.75.

Marginal note:1992, c. 46, s. 81

19. Subsection 17(4) of the Act is replaced by the following:

Marginal note:Calculation of years of pensionable service after January 1, 1992

(4) For the purposes of paragraph (1)(b), in respect of time spent as a member

(a) on or after January 1, 1992, and before January 1, 2001, or any period of pensionable service in respect of which an election under section 10 has been made during that period, a person is, on ceasing to be a member, deemed to have one year of pensionable service to the credit of that person for each amount, equal to four per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has, during that calendar year, contributed pursuant to subsection 9(2) or elected to contribute pursuant to clause 11(1)(a)(i)(B), as it read before the coming into force of this paragraph, or pursuant to clause 11(1)(a.1)(i)(B); and

(b) on or after January 1, 2001, or any period of pensionable service in respect of which an election under section 10 has been made on or after that date, a person is, on ceasing to be a member, deemed to have one year of pensionable service to the credit of that person for each amount, equal to four per cent of the sessional indemnity payable to the person as a member of the Senate or the House of Commons, as the case may be, during any calendar year, that the person has, during that calendar year, contributed pursuant to subsection 9(2) or elected to contribute pursuant to subparagraph 11(1)(a)(i).

Marginal note:Exception

(4.1) Subsection (4), as it read before the coming into force of this subsection, applies in respect of a period of pensionable service to a member’s credit pursuant to an election referred to in subsection 36(4).

Marginal note:1992, c. 46, s. 81

20. Paragraph 27(1)(b) of the Act is replaced by the following:

(b) the interest paid in accordance with section 33;

Marginal note:1992, c. 46, s. 81; 1995, c. 30, s. 7; 2000, c. 27, s. 6

21. Section 31 of the Act is replaced by the following:

Marginal note:Contributions

31. (1) Commencing on January 1, 2001, a member shall, by reservation from the sessional indemnity of the member, contribute to the Compensation Arrangements Account

(a) if the member has not reached 69 years of age, four per cent of that portion of the sessional indemnity payable to the member that exceeds the member’s earnings limit for the calendar year and 3 per cent of the total sessional indemnity payable to the member; or

(b) if the member has reached 69 years of age, seven per cent of the amount of the member’s sessional indemnity.

Marginal note:Contributions

(2) Despite subsection 2.3(1), beginning on September 21, 2000 and ending on December 31, 2000, a member who was entitled to elect under sections 2.1 and 2.6 and who did not make an election shall, by reservation from the sessional indemnity of the member, contribute to the Compensation Arrangements Account five per cent of the amount payable to the member by way of sessional indemnity if the member has not reached 71 years of age or nine per cent of that amount if the member has reached 71 years of age.

Marginal note:Additional contribution — members under maximum accrual

(3) A member to whom paragraph 12(1)(b) does not apply and who is in receipt of a salary or an annual allowance shall, commencing on January 1, 2001, unless the member elects not to contribute under this subsection, by reservation from that salary or annual allowance, contribute to the Compensation Arrangements Account an amount equal to 7 per cent of the amount payable to the member by way of that salary or annual allowance.

Marginal note:Additional contribution — members who have reached maximum accrual

(4) A member to whom paragraph 12(1)(b) applies and who is in receipt of a salary or an annual allowance shall, commencing on January 1, 2001, unless the member elects not to contribute under this subsection and has at the same time elected not to contribute under subsection 9(2), by reservation from that salary or annual allowance, contribute to the Compensation Arrangements Account an amount equal to

(a) 3 per cent of that portion of the amount payable to the member by way of salary or annual allowance that is less than the member’s earnings limit for the calendar year; and

(b) 7 per cent of the amount that exceeds the member’s earnings limit for that year.

Marginal note:2000, c. 27, s. 7(1)

22. Subsection 32(1.1) of the Act is replaced by the following:

Marginal note:Election to contribute in respect of previous period

(1.1) A member who is required to make contributions under subsection 31(2) may, within one year after September 21, 2000, elect to contribute under this Part to the Compensation Arrangements Account in respect of the period that consists of the period during which that member was a member but was not required to make contributions and the period in respect of which that member was paid a withdrawal allowance under subsection 2.3(2).

Marginal note:1995, c. 30, s. 8(1)

23. (1) The portion of paragraph 33(1)(a) of the Act before subparagraph (i) is replaced by the following:

(a) in the case of a member who, before July 13, 1995, makes an election under subsection 32(1) in respect of amounts paid as a member of the House of Commons, a contribution equal to seven per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to eleven per cent if the member has reached that age at that time, of the aggregate of amounts paid to the member as a member of the House of Commons in respect of that previous session

Marginal note:1995, c. 30, s. 8(1)

(2) The portion of paragraph 33(1)(a.1) of the Act before subparagraph (i) is replaced by the following:

(a.1) in the case of a member who, on or after July 13, 1995 and before January 1, 2001, makes an election under subsection 32(1) in respect of amounts paid as a member of the House of Commons, a contribution equal to five per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to nine per cent if the member has reached that age at that time, of the aggregate of amounts paid to the member as a member of the House of Commons in respect of that previous session

Marginal note:1992, c. 46, s. 81; 1995, c. 30, s. 8(2)

(3) Subparagraphs 33(1)(b)(i) to (iii) of the Act are replaced by the following:

(i) where the election was made on or after July 13, 1995 and before January 1, 2001, a contribution equal to three per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to seven per cent if the member has reached that age at that time, of the aggregate of amounts paid to the member as a member of the Senate in respect of that previous session by way of sessional indemnity,

(ii) where the election was made before July 13, 1995, a contribution equal to seven per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to eleven per cent if the member has reached that age at that time, of the aggregate of amounts paid to that member as a member of the Senate in respect of that previous session by way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance under this subparagraph and, where applicable, subsection (2), and

(iii) where the election was made on or after July 13, 1995 and before January 1, 2001, a contribution equal to five per cent if the member has not reached 71 years of age at the time of the making of the election, or equal to nine per cent if the member has reached that age at that time, of the aggregate of amounts paid to that member as a member of the Senate in respect of that previous session by way of salary or annual allowance, if the member so elects to contribute in respect of that salary or annual allowance under this subparagraph and, where applicable, subsection (2); and

Marginal note:1992, c. 46, s. 81

(4) The portion of subsection 33(2) of the English version of the Act before paragraph (a) is replaced by the following:

Marginal note:Maximum contribution

(2) Notwithstanding subparagraphs (1)(a)(ii), (a.1)(ii) and (b)(ii), in the case of a person who has not reached 71 years of age at the time of the making of the election, where the aggregate of amounts paid to the person as a member in respect of one or more previous sessions in a calendar year by way of sessional indemnity, salary or annual allowance exceeds

Marginal note:1995, c. 30, s. 8(3)

(5) Paragraph 33(2)(c) of the Act is replaced by the following:

(c) in the case of an election made before July 13, 1995, a contribution equal to eleven per cent of the excess amount and, in the case of an election made on or after that date and before January 1, 2001, a contribution equal to nine per cent of the excess amount, and

(6) Section 33 of the Act is amended by adding the following after subsection (3):

Marginal note:Contributions for previous sessions

(4) If a member elects on or after January 1, 2001 to contribute to the Compensation Arrangements Account in respect of a previous session, the member shall pay contributions and interest into the Consolidated Revenue Fund in accordance with the regulations.

Marginal note:1992, c. 46, s. 81

24. (1) Paragraph 34(1)(b) of the Act is replaced by the following:

(b) subject to subsections (2) and (2.1), in respect of any amount payable to the member by way of sessional indemnity after the aggregate of the products obtained by multiplying the number of years of pensionable service to the credit of the member by the multipliers set out in subsection 16(1) and, as applicable, paragraph 36(1)(a) or (b) equals 0.75.

Marginal note:1992, c. 46, s. 81

(2) Subsection 34(2) of the Act is replaced by the following:

Marginal note:Exception if member has reached 69 years of age

(2) Commencing on January 1, 2001, a member who has reached 69 years of age shall, by reservation from the sessional indemnity payable to that member, continue to contribute under this Part one per cent of the amount payable to the member by way of sessional indemnity after the aggregate of the products obtained by multiplying the number of years of pensionable service to the credit of the member by the multipliers set out in subsection 16(1) and, as applicable, paragraph 36(1)(a) or (b) equals 0.75.

Marginal note:Exception for 1 per cent

(2.1) Commencing on January 1, 2001, a member to whom subsection 12(2) applies shall contribute to the Compensation Arrangements Account 1 per cent of that portion of the member’s sessional indemnity for the calendar year that exceeds the member’s earnings limit for that year.

Marginal note:1995, c. 30, s. 9(2)

25. (1) Paragraph 36(1)(a) of the Act is replaced by the following:

(a) in respect of contributions made as a member of the House of Commons,

(i) where the person has not reached 60 years of age,

(A) 0.05 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

(B) 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in clause (A), and

(C) 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 2001, otherwise than pursuant to an election referred to in clause (A) or (B),

(ii) subject to subparagraphs (iii) and (iv), where the person has reached 60 years of age,

(A) 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

(B) 0.02 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in clause (A), and

(C) 0.01 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 2001, otherwise than pursuant to an election referred to in clause (A) or (B),

(iii) where the person has reached 71 years of age and contributed after that,

(A) 0.05 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, in the period commencing on the later of the 71st birthday and January 1, 1992 and ending on July 12, 1995, and

(B) 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made, in the period commencing on the later of the 71st birthday and July 13, 1995 and ending on December 31, 2000, or in respect of which an election was made during that period, other than contributions made pursuant to an election referred to in clause (A), and

(iv) where the person has reached 69 years of age and contributed after that, 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made on or after the later of the 69th birthday and January 1, 2001, or in respect of which an election was made on or after that date, other than contributions made pursuant to an election referred to in subparagraph (iii); and

Marginal note:1995, c. 30, s. 9(2)

(2) Subparagraph 36(1)(b)(iii) of the Act is replaced by the following:

(iii) where the person has reached 69 years of age and contributed after that, 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made on or after the 69th birthday, otherwise than pursuant to an election made before that birthday.

Marginal note:1995, c. 30, s. 9(2)

(3) Subsection 36(2) of the Act is replaced by the following:

Marginal note:Special case

(2) For the purposes of calculating the compensation allowance payable under subsection (1) to a person who, on or after July 13, 1995 and before January 1, 2001, elected to contribute under this Part in respect of any session or part of a session before that date, the multipliers referred to in paragraph (1)(a) shall, in lieu of the numbers set out in that paragraph, be

(a) where the person has not reached 60 years of age, 0.04;

(b) subject to paragraph (c), where the person has reached 60 years of age, 0.02; and

(c) where the person has reached 71 years of age and contributed thereafter, 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made on or after the 71st birthday, otherwise than pursuant to an election made before that birthday.

Marginal note:Special case

(3) For the purposes of calculating the compensation allowance payable under subsection (1) to a person who, on or after January 1, 2001, elected to contribute under this Part in respect of any session or part of a session before that date, the multipliers referred to in paragraph (1)(a) shall, in lieu of the numbers set out in that paragraph, be

(a) where the person has not reached 60 years of age, 0.03;

(b) subject to paragraph (c), where the person has reached 60 years of age, 0.01; and

(c) where the person has reached 69 years of age and contributed after that, 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made on or after the 69th birthday, otherwise than pursuant to an election made before that birthday.

Marginal note:Exception

(4) Clauses (1)(a)(i)(B), (ii)(B) and (iii)(B) and subsection (2) shall apply instead of clauses (1)(a)(i)(C) and (ii)(C), subparagraph (1)(a)(iv) and subsection (3) in respect of a period of pensionable service to a member’s credit pursuant to an election made under subsection 10(1) or 32(1) on or after November 27, 2000 and before November 27, 2001, or under subsection 10(1.1) or 32(1.1).

Marginal note:1995, c. 30, s. 10(1)

26. (1) Paragraphs 37(2)(a) and (b) of the Act are replaced by the following:

(a) the average annual sessional indemnity of the person multiplied by the same number of years or portions of years of pensionable service to the credit of the person as is calculated for the purposes of paragraph 17(1)(b) in accordance with subsections 17(4) and (5), multiplied by

(i) where the person has not reached 60 years of age,

(A) 0.05 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

(B) 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in clause (A), and

(C) 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 2001, otherwise than pursuant to an election referred to in clause (A) or (B),

(ii) subject to subparagraphs (iii) and (iv), where the person has reached 60 years of age,

(A) 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

(B) 0.02 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in clause (A), and

(C) 0.01 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 2001, otherwise than pursuant to an election referred to in clause (A) or (B),

(iii) where the person has reached 71 years of age and contributed after that,

(A) 0.05 for the years or portions of years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, in the period commencing on the later of the 71st birthday and January 1, 1992 and ending on July 12, 1995, and

(B) 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made, in the period commencing on the later of the 71st birthday and July 13, 1995 and ending on December 31, 2000, or in respect of which an election was made during that period, other than contributions made pursuant to an election referred to in clause (A), and

(iv) where the person has reached 69 years of age and contributed after that, 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made on or after the later of the 69th birthday and January 1, 2001, or in respect of which an election was made on or after that date, other than contributions made pursuant to an election referred to in subparagraph (iii); and

(b) the average annual sessional indemnity of the person multiplied by the number of years of pensionable service calculated in accordance with subsections (3) and (4), multiplied by

(i) 0.05 for the years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after January 1, 1992 and before July 13, 1995,

(ii) 0.04 for the years of pensionable service calculated by reference to those contributions made, or in respect of which an election was made, on or after July 13, 1995 and before January 1, 2001, otherwise than pursuant to an election referred to in subparagraph (i), and

(iii) 0.03 for the years of pensionable service calculated by reference to those contributions made, otherwise than pursuant to an election referred to in subparagraph (i) or (ii), on or after January 1, 2001.

Marginal note:1995, c. 30, s. 10(2)

(2) Subsection 37(3) of the Act is replaced by the following:

Marginal note:Years of pensionable service

(3) For the purposes of paragraph (2)(b), a person, on ceasing to be a member, is deemed to have one year of pensionable service to the credit of that person for

(a) each amount, equal to eleven per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has, during that calendar year, contributed or elected to contribute before July 13, 1995 pursuant to paragraph 31(2)(b) or subsection 31(3) or 33(2) as those provisions read before the coming into force of this paragraph or, if the person had reached 71 years of age at the time of making the election, pursuant to subparagraph 33(1)(a)(ii) or (b)(ii);

(b) each amount, equal to nine per cent of the sessional indemnity payable to a member of the House of Commons during any calendar year, that the person has, during that calendar year, contributed or elected to contribute on or after July 13, 1995 and before January 1, 2001 pursuant to a provision referred to in paragraph (a); and

(c) each amount, equal to seven per cent of the sessional indemnity payable to the person as a member of the Senate or the House of Commons, as the case may be, during any calendar year, that the person has, on or after January 1, 2001, contributed or elected to contribute under subsection 31(3) or (4) or 33(4), other than amounts paid under subsection 33(4) in respect of sessional indemnity or as interest.

Marginal note:1995, c. 30, s. 10(3)

(3) Subsection 37(5) of the Act is replaced by the following:

Marginal note:Special case

(5) For the purposes of calculating the additional compensation allowance payable under subsection (2) to a person who, on or after July 13, 1995 and before January 1, 2001, elected to contribute under this Part in respect of any session or part of a session before January 1, 2001,

(a) the multipliers referred to in paragraph (2)(a) shall, in lieu of the numbers set out therein, be

(i) where the person has not reached 60 years of age, 0.04,

(ii) subject to subparagraph (iii), where the person has reached 60 years of age, 0.02, and

(iii) where the person has reached 71 years of age and contributed thereafter, 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made on or after the 71st birthday, otherwise than pursuant to an election made before that birthday; and

(b) the multipliers referred to in paragraph (2)(b) shall, in lieu of the numbers set out in that paragraph, be 0.04.

Marginal note:Special case

(6) For the purposes of calculating the additional compensation allowance payable under subsection (2) to a person who, on or after January 1, 2001, elected to contribute under this Part in respect of any session or part of a session before that date, the multipliers referred to in subsection (2) shall, in lieu of the numbers set out in that subsection, be

(a) where the person has not reached 60 years of age, 0.03;

(b) subject to paragraph (c), where the person has reached 60 years of age, 0.01; and

(c) where the person has reached 69 years of age and contributed after that, 0.03 for the years or portions of years of pensionable service calculated by reference to those contributions made on or after the 69th birthday, otherwise than pursuant to an election made before that birthday.

Marginal note:Exception

(7) Clauses (2)(a)(i)(B), (ii)(B) and (iii)(B), subparagraph (2)(b)(ii), paragraph (3)(b) and subsection (4) shall apply instead of clauses (2)(a)(i)(C) and (ii)(C), subparagraphs (2)(a)(iv) and (b)(iii), paragraph (3)(c) and subsection (5) in respect of a period of pensionable service to a member’s credit pursuant to an election made under subsection 10(1) or 32(1) on or after November 27, 2000 and before November 27, 2001, or under subsection 10(1.1) or 32(1.1).

27. The Act is amended by adding the following after section 60:

Marginal note:Persons in receipt of disability allowance

60.1 (1) For the purposes of this Act, a person who is entitled to and elects to receive a disability allowance under section 71.1 of the Parliament of Canada Act is deemed to remain a member until the person’s entitlement to that allowance ceases.

Marginal note:Contributions

(2) The contributions that the member is required to make under this Act shall be made by reservation from the member’s disability allowance, commencing on the day that the allowance becomes payable, and shall be calculated in respect of the salaries and allowances on which the disability allowance is based.

Marginal note:1992, c. 46, s. 81

28. Paragraph 64(1)(l) of the Act is replaced by the following:

(l) prescribing, for the purposes of sections 9, 11, 12, 31, 33 and 34, the manner of determining a portion of the earnings limit of a member for a calendar year;

(l.1) respecting the determination of the amounts of contributions and interest to be paid by members under subsection 33(4);

R.S., c. S-3 SALARIES ACT

Marginal note:1998, c. 23, ss. 15 and 16

29. Sections 4 and 5 of the Salaries Act are replaced by the following:

Marginal note:Prime Minister’s annual salary

4. (1) Commencing on January 1, 2001, the Prime Minister’s annual salary is equal to the remuneration reference amount referred to in section 54.1 of the Parliament of Canada Act, multiplied by 50 per cent.

Marginal note:Salaries of ministers

(2) Commencing on January 1, 2001, the annual salary of the following ministers, being members of the Queen’s Privy Council for Canada, is equal to the remuneration reference amount referred to in section 54.1 of the Parliament of Canada Act, multiplied by 24 per cent:

(a) the Minister of Justice and Attorney General;

(b) the Minister of National Defence;

(c) the Minister of National Revenue;

(d) the Minister of Finance;

(e) the Minister of Transport;

(f) the President of the Queen’s Privy Council for Canada;

(g) the Minister of Agriculture and Agri-Food;

(h) the Minister of Labour;

(i) the Minister of Veterans Affairs;

(j) the Associate Minister of National Defence;

(k) the Solicitor General of Canada;

(l) the Minister of Indian Affairs and Northern Development;

(m) the President of the Treasury Board;

(n) the Minister of the Environment;

(o) the Leader of the Government in the Senate;

(p) the Minister of Fisheries and Oceans;

(q) the Minister for International Trade;

(r) the Minister for International Cooperation;

(s) the Minister of Western Economic Diversification;

(t) the Member of the Queen’s Privy Council for Canada appointed by Commission under the Great Seal to be the Minister for the purposes of the Atlantic Canada Opportunities Agency Act;

(u) the Minister of Citizenship and Immigration;

(v) the Minister of Natural Resources;

(w) the Minister of Industry;

(x) the Minister of Foreign Affairs;

(y) the Minister of Public Works and Government Services;

(z) the Minister of Canadian Heritage;

(z.1) the Minister of Health; and

(z.2) the Minister of Human Resources Development.

Marginal note:Salaries of ministers of State

(3) Commencing on January 1, 2001, the annual salary of each minister of State, being a member of the Queen’s Privy Council for Canada, who presides over a ministry of State is equal to the remuneration reference amount referred to in section 54.1 of the Parliament of Canada Act, multiplied by 24 per cent.

APPLICATION

Marginal note:Amendments apply to members who make an election and to future members

30. (1) The provisions of the Parliament of Canada Act, the Members of Parliament Retiring Allowances Act and the Salaries Act, as amended by this Act, apply

(a) to any member of the Senate or the House of Commons who files an election in writing with the Clerk of that House, within 90 days after the day on which this section comes into force, to have them apply to the member; and

(b) to any person who becomes a member of the Senate or the House of Commons after the day on which this section comes into force.

Marginal note:Failure to elect

(2) The provisions amended or repealed by this Act, other than paragraph 80(1)(a) of the Parliament of Canada Act as enacted by section 13, apply to any member who fails to make an election under paragraph (1)(a) as they read immediately before the day on which this section comes into force.

Marginal note:Deemed election

(3) A member who dies before making an election under paragraph (1)(a) is deemed to have elected immediately before the member’s death to have the provisions referred to in subsection (1) apply to the member.

Marginal note:Election irrevocable

(4) An election under paragraph (1)(a) is irrevocable.

COMING INTO FORCE

Marginal note:Coming into force

31. The provisions of this Act come into force, or are deemed to have come into force, on a day or days to be fixed by order of the Governor in Council.