Mr. Speaker, I want to take a few minutes to talk about the RCMP. As you know, I have a very strong interest in policing matters. I was a former chairman of the Waterloo Regional Police. I think we need to ensure that all things are done in every way for our police services across Canada, wherever they may be, and I think it is important to highlight this fact.
I want to begin by pointing out that the government is aware that some members of the RCMP have expressed concern over the lack of RCMP input into the pension amendment package. It is true that the same degree of consultation did not take place with RCMP representatives as it was the case with public service employee representatives.
I think it is fair to say that the government would have preferred to consult more widely with the RCMP on its future pension arrangements. I think that is clear. Most of the proposed changes, however, will address pressing financial issues facing all of the public sector pension plans, including the RCMP plan. I think we need to note that the superannuation plan in that sense will be fully taken into account.
For example, because of the way the RCMPSA is harmonized with the Canada Pension Plan, RCMP members have been protected from CPP contribution increases since 1987, while the government's costs have been increasing. The urgency of addressing these financial pressures was a major reason for the government's decision to proceed as quickly as possible with the pension changes, including benefit improvements included in Bill C-71, the budget implementation act. The change to base the pension calculation on a five year instead of a six year average is an important change.
The government recognizes the fact that the RCMP is a unique organization and that consultation with members around plan changes is highly desirable. For these reasons, Bill C-78 contains a number of areas in which consultation can take place in the future. It should be noted that the solicitor general has ensured that the proposed amendments to the RCMPSA contain flexibility to adjust the pension plan to meet the future needs of the RCMP. The areas where change will be possible are vesting, portability of pension credits, both in and out of the RCMPSA, expanded elective service provisions and plan provisions for members working part time.
Present vesting periods are set at 10 years for regular members and 5 years for civilian members. The bill will allow these periods to be shortened by regulations if, after extensive study and consultation, such changes are indeed desirable.
Under the current provisions of the RCMPSA, members wishing to increase their pensionable service can only do so if they have prior public service, or service in the Canadian forces, or service as a member of a provincial or municipal police force absorbed by the RCMP. The bill provides for greater pension portability for members joining or leaving the RCMP. The bill will make it possible to transfer pension credits from a previous employer, which is an important provision for police personnel. It is one that we should note and indicate that we are prepared to support.
For members leaving the RCMP in the future, a new option will be available to improve pension portability under conditions to be determined in new regulations. Members will be able to transfer the actuarially calculated value of their pension benefits to locked-in financial vehicles or to another employer's pension plan.
Currently, there are a number of RCMP members who are working on a part time basis. This bill will make it possible to accommodate such members through the making of new regulations. Again that is an important provision and one that is important to police personnel.
Another area in which future consultation between the solicitor general and the RCMP will take place is on the member contribution rates which will be in effect beginning in the year 2004. For the period beginning January 1, 2004, the Treasury Board will set the member contribution rates on the joint recommendation of the solicitor general and the President of the Treasury Board. Although the bill specifically states that RCMPSA member contribution increases cannot be greater than those of the public service, because of the unique nature of the force the contribution increases could in fact be less.
Finally, the solicitor general will be given increased powers under the new bill for the financing and funding of the RCMP superannuation plan. In addition, the solicitor general's pension advisory committee created under the RCMPSA is being given a strengthened mandate in Bill C-78. That is an important implementation provision and one that all members of the House should be prepared to support.
This strengthened mandate will ensure that members and pensioners will be able to use their pension advisory committee for the purposes of making recommendations to the solicitor general on the administration, design and funding of the pension plan. That too is an important area in which personnel will have valued input.
The solicitor general will rely on his pension advisory committee to assist him in carrying out his increased responsibilities. In addition, a stronger pension advisory committee will lead to greater opportunities for meaningful consultation with RCMP plan members in the future.
I think these are important areas that need to have the legislative background which will ensure that our police services and the RCMP in particular have the kind of provisions that are necessary. Bill C-78 does that. Therefore, I would urge all members of the House to support it because it is an important initiative and one that benefits RCMP, wherever they may be in Canada.