Alberta provides temporary solvency funding relief
Alberta has enacted regulations to provide temporary solvency funding relief. The regulations, which were adopted on September 19, 2012, apply to defined benefit pension plans registered in Alberta other than specified multi-employer pension plans.
The regulations provide two forms of solvency funding relief:
- Consolidation of all existing solvency deficiencies into a single new solvency deficiency; and
- Extending the amortization period for solvency deficiencies from five to ten years.
A plan administrator is permitted to make a single application for solvency funding relief together with an actuarial valuation report with a review date between December 31, 2011, and December 31, 2012, inclusively.
If an actuarial valuation report has already been filed in respect of a December 31, 2011, valuation, replacement pages for the already filed valuation report are acceptable.