Ontario Government Proposes Extension to SOMEPP Regulations
July 28, 2023
On July 1, 2023, the Ontario government published proposed regulations that would extend the Specified Ontario Multi-Employer Pension Plan (“SOMEPP”) regime for the period from January 1, 2024 to January 1, 2025. The proposed regulations are publicly available online on the Ontario Regulatory Registry.
These regulations were initially introduced in 2007, to provide temporary solvency funding relief for qualifying multi-employer pension plans, while the government developed a permanent funding framework for such plans.
As we noted in our March 16, 2023 blog, the Ontario government released a consultation proposal for a permanent funding framework for target benefit plans that would replace the SOMEPP regime. The extension of the SOMEPP regulations suggests that further time is required to finalize a permanent funding framework for target benefit plans.
Comments on the draft regulations are due by September 4, and can be submitted to the Ontario Ministry of Finance at:
Pension Policy Branch
Ministry of Finance
5th Floor, Frost Building South
7 Queen’s Park Crescent East
Toronto, ON M7A 1Y7
Pension and Benefits