RECOMMENDATION

Her Excellency the Governor General recommends to the House of Commons the appropriation of public revenue under the circumstances, in the manner and for the purposes set out in a measure entitled ``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.

EXPLANATORY NOTES

Parliament of Canada Act

Clause 1: New.

Clause 2: (1) The relevant portion of subsection 55(3) reads as follows:

(3) Subject to subsections (5) and (6) and 67(2), 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) The relevant portion of subsection 55(4) reads as follows:

(4) For the purposes of subsection (3),

    . . .

    (c) the Consumer Price Index for an adjustment year is the result arrived at by

      (i) aggregating the Consumer Price Index, as published by Statistics Canada under the authority of the Statistics Act, adjusted in such manner as may be prescribed by regulation of the Governor in Council, for each month in that year,

      (ii) dividing the aggregate obtained under subparagraph (i) by twelve, and

      (iii) rounding the result obtained under subparagraph (ii) to the nearest one-thousandth or, if the result obtained is equidistant from two multiples of one-thousandth, to the higher thereof.

(3) The relevant portion of subsection 55(5) reads as follows:

(5) Subject to subsection 67(2), 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) New.

Clause 3: Subsection 57(1) reads as follows:

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

Clause 4: Sections 60 to 62 read as follows:

60. Subject to sections 66.1 and 67, the following salaries shall be paid:

    (a) to the Speaker of the Senate, the sum of nineteen thousand six hundred dollars per annum;

    (a.1) to any member of the Senate occupying the recognized position of Speaker pro tempore of the Senate, the sum of ten thousand five hundred dollars per annum;

    (b) to the Speaker of the House of Commons, the sum of thirty thousand eight hundred dollars per annum;

    (c) to the Deputy Speaker of the House of Commons, the sum of sixteen thousand three hundred dollars per annum;

    (d) to the Deputy Chairman of the Committee of the Whole House of Commons, the sum of six thousand nine hundred dollars per annum; and

    (e) to the Assistant Deputy Chairman of the Committee of the Whole House of Commons, the sum of six thousand nine hundred dollars per annum.

61. Subject to sections 66.1 and 67, a Parliamentary Secretary shall be paid a salary at the rate of six thousand nine hundred dollars per annum in monthly instalments on the last day of each month.

62. Subject to sections 66.1 and 67, there shall be paid, in addition to the sessional allowances that are payable,

    (a) to the member occupying the position of Leader of the Opposition in the House of Commons, an annual allowance of thirty thousand eight hundred dollars;

    (b) to 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, an annual allowance of eighteen thousand six hundred dollars;

    (c) to each of the members occupying the positions of Chief Government Whip and Chief Opposition Whip in the House of Commons, an annual allowance of eight thousand six hundred dollars;

    (d) to 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, an annual allowance of five thousand dollars;

    (e) to the member occupying the position of Opposition House Leader in the House of Commons, an annual allowance of fifteen thousand three hundred dollars;

    (f) to 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, an annual allowance of six thousand six hundred dollars;

    (g) to 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, an annual allowance of twenty-two thousand dollars;

    (h) to the member of the Senate occupying the position of Leader of the Opposition in the Senate, an annual allowance of fifteen thousand three hundred dollars;

    (i) to the member of the Senate occupying the position of Deputy Leader of the Government in the Senate, an annual allowance of nine thousand six hundred dollars;

    (j) to the member of the Senate occupying the position of Deputy Leader of the Opposition in the Senate, an annual allowance of six thousand three hundred dollars;

    (k) to the member of the Senate occupying the position of Government Whip in the Senate, an annual allowance of five thousand dollars; and

    (l) to the member of the Senate occupying the position of Opposition Whip in the Senate, an annual allowance of three thousand three hundred dollars.

Clause 5: Subsections 63(3) and (4) read as follows:

(3) Subject to section 67, in addition to the expenses payable pursuant to subsection (1), there shall be paid to each of the members of the Senate and the House of Commons an allowance for expenses incidental to the discharge of the duties of the member,

    (a) in the case of a member of the Senate, at the rate of five thousand three hundred dollars per annum; and

    (b) in the case of a member of the House of Commons,

      (i) at the rate of fourteen thousand four hundred and seventy-five dollars per annum if the member represents an electoral district in the Northwest Territories or Nunavut,

      (ii) at the rate of $13,275 per annum if the member represents any other electoral district listed in Schedule 3 to the Canada Elections Act, and

      (iii) at the rate of ten thousand six hundred dollars per annum if the member represents an electoral district that is not referred to in subparagraph (i) or (ii).

(4) The allowances described in subsection (3) shall be paid monthly to every member of each House and shall be subject to a deduction in respect of non-attendance at sittings of that House equal to the deduction from the sessional allowance of a member provided for in section 57.

Clause 6: Section 64 reads as follows:

64. The expense allowance of a member of the Senate or the House of Commons who dies shall be paid up to and including the day of the death.

Clause 7: Subsection 65(1) reads as follows:

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, for which the member is entitled to the expense allowance 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.

Clause 8: Section 66.1 and the heading before it read as follows:

Salaries and Allowances during the 36th Parliament

66.1 (1) Despite subsection 67(1), the salaries and allowances payable to members pursuant to sections 60 to 62 and subsections 63(2) and (3) of this Act and sections 4 and 5 of the Salaries Act for the twelve month period beginning on January 1, 1998 and for every twelve month period beginning on every successive January 1 during the 36th Parliament are the salaries and allowances payable under those provisions on December 31 of the preceding year increased by two per cent.

(2) For the purpose of subsection (1), the salary payable under section 60 to the Speaker of the Senate for the twelve month period before the twelve month period beginning on January 1, 1998 is deemed to be five thousand dollars more than the salary that was payable.

Clause 9: Sections 67 and 68 read as follows:

67. (1) The salaries and allowances payable to members of the Senate and the House of Commons pursuant to sections 60 to 62 and subsection 63(3) of this Act and sections 4 and 5 of the Salaries Act shall be adjusted in the manner provided by subsection 55(3), (5) or (9), as the case may be, for each twelve month period commencing January 1 as if they were sessional allowances.

(2) A sessional allowance or other allowance determined for a twelve month period pursuant to subsection (1) or 55(3), (5), (7) or (9) that is not a multiple of one hundred dollars shall be rounded to the nearest multiple of one hundred dollars that is lower than the sessional allowance or other allowance so determined.

68. (1) Within two months after the day fixed for return of the writs at each general election, the Governor in Council shall appoint commissioners to inquire into the adequacy of the annual variations of sessional allowances payable to members of the Senate and the House of Commons and other allowances payable to them and to report thereon, with such recommendations as the commissioners consider appropriate, to the Governor in Council within six months after the time of their appointment.

(2) Every report made to the Governor in Council pursuant to subsection (1) shall be laid before Parliament on any of the first fifteen days after the report is made on which Parliament is sitting.

Clause 10: (1) Subsection 70(2.1) is new. Subsection 70(2) reads as follows:

(2) Subject to 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).

(2) The relevant portion of subsection 70(4) reads as follows:

(4) Subject to subsections (4.1) and (5), the severance allowance to be paid to or in respect of a person under subsection (1) or (2) shall be a lump sum amount equal to fifty per cent of the aggregate of

    . . .

    (b) any salary or allowance under section 60, 61 or 62 of this Act or section 4 or 5 of the Salaries Act

to which the person was entitled immediately before ceasing to be a member of Parliament.

(3) Subsection 70(6) reads as follows:

(6) Subject to subsection (8), a person who was entitled to elect under subsection 10(1.1) and 32(1.1) of the Members of Parliament Retiring Allowances Act and who did not elect shall be paid a supplementary severance allowance in the form of a lump sum equal to

    (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 or 5 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 or 5 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.

Clause 11: New.

Clause 12: Subsection 72(3) reads as follows:

(3) The sessional allowances payable under subsection 55(10), the salaries and allowances payable under subsection 66.1(1) and any supplementary severance allowance payable under subsection 70(6) shall be paid out of the Consolidated Revenue Fund.

Clause 13: The relevant portion of subsection 80(1) reads as follows:

80. (1) Notwithstanding anything contained in any Act of Parliament or regulation made thereunder, no person shall use the words ``Parliament Hill'' in combination

    (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 Bank Street;

Members of Parliament Retiring Allowances Act

Clause 14: (1) The definitions ``average annual sessional indemnity'' and ``salary'' in subsection 2(1) read as follows:

``average annual sessional indemnity'', with respect to any member, means the average annual sessional indemnity received as a member during any six 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 six years;

``salary'' means a salary payable to a member pursuant to section 4 or 5 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;

(2) The relevant portion of the definition ``sessional indemnity'' in subsection 2(1) reads as follows:

``sessional indemnity'' means

      (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,

Clause 15: The relevant portion of subsection 4(1) reads as follows:

4. (1) There shall be credited to the Retiring Allowances Account

    (a) the contributions paid pursuant to subsections 9(1) and (2) and 11(1) 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) and (b)(v) and (vi); and

Clause 16: (1) Subsections 9(1) and (1.1) read as follows:

9. (1) A member 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.

(1.1) Despite subsection 2.3(1), beginning on the date this subsection comes into force, a member who was entitled to elect under sections 2.1 and 2.6 and who did not elect 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.

(2) Subsections 9(2) to (4) read as follows:

(2) A member who is in receipt of a salary or an annual allowance shall, unless the member elects in accordance with subsection 56(2) in respect of that salary or annual allowance

    (a) not to contribute under this subsection and has at the same time elected not to contribute under subsection 31(2), or

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

by reservation from that salary or annual allowance, contribute to the Retiring Allowances Account an amount equal to four per cent of the amount payable to the member by way of that salary or annual allowance.

(3) Notwithstanding subsection (2) but subject to subsection (4), where the aggregate of amounts payable to a person as a member in respect of one or more sessions in a calendar year by way of sessional indemnity, salary or annual allowance exceeds

    (a) the earnings limit of the member for that calendar year, or

    (b) where the person is not a member during the whole of that calendar year, that portion of the earnings limit of the member for that calendar year that the part of the calendar year during which the person is a member bears in relation to the whole of the calendar year, determined in accordance with the regulations,

that member shall not contribute under subsection (2) on the excess amount.

(4) Subsection (3) does not apply in respect of a session in a calendar year to a member who is prohibited by virtue of paragraph 12(1)(b) from contributing on any amount payable to the member by way of sessional indemnity in respect of that session.

Clause 17: (1) Paragraph 11(1)(a) is new. The relevant portion of subsection 11(1) reads as follows:

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) in the case of an election made on or after January 1, 1992,

      (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

(2) The relevant portion of subsection 11(2) reads as follows:

(2) Notwithstanding clause (1)(a)(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

Clause 18: (1) The relevant portion of subsection 12(1) reads as follows:

12. (1) Notwithstanding anything in this Part, no contribution shall be paid by a member under this Part

    . . .

    (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(a) or (b) equals 0.75; or

    (c) after the member has reached seventy-one years of age.

(2) Subsection 12(2) reads as follows:

(2) A member shall, by reservation from the sessional indemnity payable to the member, continue to contribute under this Part one per cent of the amount payable to the member by way of that 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(a) or (b) equals 0.75.

Clause 19: Subsection 17(4) reads as follows:

(4) For the purposes of paragraph (1)(b), in respect of time spent as a member on or after January 1, 1992, or any period of pensionable service in respect of which an election under section 10 has been made 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 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).

Clause 20: The relevant portion of subsection 27(1) reads as follows:

27. (1) There is hereby established in the accounts of Canada an account to be known as the Members of Parliament Retirement Compensation Arrangements Account to which shall be credited

    . . .

    (b) the interest paid in accordance with paragraphs 33(1)(c) and (2)(d);

Clause 21: Section 31 reads as follows:

31. (1) A member shall, by reservation from the sessional indemnity of the member, contribute to the Compensation Arrangements Account

    (a) where the member is a member of the House of Commons,

      (i) if the member has not reached seventy-one years of age, five per cent, or

      (ii) if the member has reached seventy-one years of age, nine per cent, and

    (b) where the member is a member of the Senate,

      (i) if the member has not reached seventy-one years of age, three per cent, or

      (ii) if the member has reached seventy-one years of age, seven per cent

of the amount payable to the member by way of sessional indemnity.

(1.1) Despite subsection 2.3(1), beginning on the date this subsection comes into force, a member who was entitled to elect under sections 2.1 and 2.6 and who did not elect 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 seventy-one years of age or nine per cent of that amount if the member has reached seventy-one years of age.

(2) A member who is in receipt of a salary or an annual allowance shall, unless the member elects, in accordance with subsection 56(2) in respect of that salary or annual allowance, 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) if the member has not reached seventy-one years of age, five per cent, or

    (b) if the member has reached seventy-one years of age, nine per cent

of the amount payable to the member by way of that salary or annual allowance.

(3) Notwithstanding paragraph (2)(a) but subject to subsection (4), where the aggregate of amounts payable to a person as a member who has not reached seventy-one years of age in respect of one or more sessions in a calendar year by way of sessional indemnity, salary or annual allowance exceeds

    (a) the earnings limit of the member for that calendar year, or

    (b) where the person is not a member during the whole of that calendar year, that portion of the earnings limit of the member for that calendar year that the part of the calendar year during which the person is a member bears in relation to the whole of the calendar year, determined in accordance with the regulations,

that member shall not contribute under that paragraph on the excess amount, but shall instead, by reservation from that salary or annual allowance, contribute to the Compensation Arrangements Account nine per cent of the excess amount.

(4) Subsection (3) does not apply in respect of a session in a calendar year to a member who is prohibited by virtue of paragraph 34(1)(b) from contributing on any amount payable to the member by way of sessional indemnity in respect of that session.

Clause 22: Subsection 32(1.1) reads as follows:

(1.1) A member who is required to make contributions under subsection 31(1.1) may, within one year after the day on which this subsection comes into force, elect in accordance with subsection 56(2) 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).

Clause 23: (1) to (3) The relevant portion of subsection 33(1) reads as follows:

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

    (a) in the case of a member who, before the day on which this paragraph comes into force, 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 seventy-one 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

    (a.1) in the case of a member who, on or after the day on which this paragraph comes into force, 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 seventy-one 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

      . . .

    (b) in the case of a member who makes an election under subsection 32(1) in respect of amounts paid as a member of the Senate,

      (i) a contribution equal to three per cent if the member has not reached seventy-one 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 the day on which this subparagraph comes into force, a contribution equal to seven per cent if the member has not reached seventy-one 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 the day on which this subparagraph comes into force, a contribution equal to five per cent if the member has not reached seventy-one 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

(4) and (5) The relevant portion of subsection 33(2) reads as follows:

(2) Notwithstanding subparagraphs (1)(a)(ii) and (1)(b)(ii), in the case of a person who has not reached seventy-one 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

    . . .

the member shall not, in respect of that previous session, contribute under that subparagraph on the excess amount, but shall instead pay into the Consolidated Revenue Fund

    (c) in the case of an election made before the day on which this paragraph comes into force, a contribution equal to eleven per cent of the excess amount and, in the case of an election made on or after that day, a contribution equal to nine per cent of the excess amount, and

(6) New.

Clause 24: (1) The relevant portion of subsection 34(1) reads as follows:

34. (1) Notwithstanding anything in this Part, no contribution shall be paid by a member under this Part

    . . .

    (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(a) or (b) equals 0.75.

(2) Subsection 34(2.1) is new. Subsection 34(2) reads as follows:

(2) A member who has reached seventy-one 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(a) or (b) equals 0.75.

Clause 25: (1) and (2) The relevant portion of subsection 36(1) reads as follows:

36. (1) Subject to sections 58 and 59, where a person ceases to be a member on or after January 1, 1992, having contributed or elected to contribute under this Part or Part I or III of the former Act as a member for at least six years, there shall be paid to that person during the lifetime of that person in respect of contributions made under this Part, other than those made in respect of any amount paid by way of salary or annual allowance or those made under subsection 34(2), a compensation allowance equal to the average annual sessional indemnity of that person multiplied by the same number of years or portions of years of pensionable service to the credit of that person as is calculated for the purpose of paragraph 16(1)(b) in accordance with subsections 16(5) and (6), multiplied by

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

      (i) where the person has not reached sixty 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 the day on which this paragraph comes into force, and

        (B) 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made, otherwise than pursuant to an election referred to in clause (A), on or after the day on which this paragraph comes into force,

      (ii) subject to subparagraph (iii), where the person has reached sixty 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 the day on which this paragraph comes into force, and

        (B) 0.02 for the years or portions of years of pensionable service calculated by reference to those contributions made, otherwise than pursuant to an election referred to in clause (A), on or after the day on which this paragraph comes into force, and

      (iii) where the person has reached seventy-one years of age and contributed thereafter,

        (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 seventy-first birthday and January 1, 1992 and ending on the day before the day on which this paragraph comes into force, and

        (B) 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made, otherwise than pursuant to an election referred to in clause (A), on or after the later of the seventy-first birthday and the day on which this paragraph comes into force; and

    (b) in respect of contributions made as a member of the Senate,

      . . .

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

(3) Subsections 36(3) and (4) are new. Subsection 36(2) reads as follows:

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

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

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

    (c) where the person has reached seventy-one 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 seventy-first birthday, otherwise than pursuant to an election made before that birthday.

Clause 26: (1) Subsection 37(2) reads as follows:

(2) The additional compensation allowance payable to a person pursuant to this section is an amount equal to the aggregate of

    (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 sixty 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 the day on which this paragraph comes into force, and

        (B) 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made, otherwise than pursuant to an election referred to in clause (A), on or after the day on which this paragraph comes into force,

      (ii) subject to subparagraph (iii), where the person has reached sixty 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 the day on which this paragraph comes into force, and

        (B) 0.02 for the years or portions of years of pensionable service calculated by reference to those contributions made, otherwise than pursuant to an election referred to in clause (A), on or after the day on which this paragraph comes into force, and

      (iii) where the person has reached seventy-one years of age and contributed thereafter,

        (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 seventy-first birthday and January 1, 1992 and ending on the day before the day on which this paragraph comes into force, and

        (B) 0.04 for the years or portions of years of pensionable service calculated by reference to those contributions made, otherwise than pursuant to an election referred to in clause (A), on or after the later of the seventy-first birthday and the day on which this paragraph comes into force, 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 the day on which this paragraph comes into force, and

      (ii) 0.04 for the years of pensionable service calculated by reference to those contributions made, otherwise than pursuant to an election referred to in subparagraph (i), on or after the day on which this paragraph comes into force.

(2) Subsection 37(3) reads as follows:

(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 the day on which this subsection comes into force pursuant to paragraph 31(2)(b) or subsection 31(3) or 33(2) or, if the person had reached seventy-one years of age at the time of making the election, pursuant to subparagraph 33(1)(a)(ii) or (b)(ii); and

    (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 the day on which this subsection comes into force pursuant to a provision referred to in paragraph (a).

(3) Subsections 37(6) and (7) are new. Subsection 37(5) reads as follows:

(5) For the purposes of calculating the additional compensation allowance payable under subsection (2) to a person who, after the coming into force of this subsection, elected to contribute under this Part in respect of any session or part of a session before that coming into force,

    (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 sixty years of age, 0.04,

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

      (iii) where the person has reached seventy-one 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 seventy-first 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 therein, be 0.04.

Clause 27: New.

Clause 28: Paragraph 64(1)(l.1) is new. The relevant portion of subsection 64(1) reads as follows:

64. (1) The Governor in Council may make regulations

    . . .

    (l) prescribing, for the purposes of subsections 9(3), 11(2), 31(3), and 33(2), the manner of determining a portion of the earnings limit of a member for a calendar year;

Salaries Act

Clause 29: Sections 4 and 5 read as follows:

4. Subject to section 66.1 of the Parliament of Canada Act, the salaries of the ministers, being members of the Queen's Privy Council for Canada, are as follows:

Per Annum

The Prime Minister $69,920

The Minister of Justice and Attorney General 46,645

The Minister of National Defence 46,645

The Minister of National Revenue 46,645

The Minister of Finance 46,645

The Minister of Transport 46,645

The President of the Queen's Privy Council for Canada 46,645

The Minister of Agriculture and Agri-Food 46,645

The Minister of Labour 46,645

The Minister of Veterans Affairs 46,645

The Associate Minister of National Defence 46,645

The Solicitor General of Canada 46,645

The Minister of Indian Affairs and Northern Development 46,645

The President of the Treasury Board 46,645

The Minister of the Environment 46,645

The Leader of the Government in the Senate 46,645

The Minister of Fisheries and Oceans 46,645

The Minister for International Trade 46,645

The Minister for International Cooperation 46,645

The Minister of Western Economic Diversification 46,645

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 46,645

The Minister of Citizenship and Immigration 46,645

The Minister of Natural Resources 46,645

The Minister of Industry 46,645

The Minister of Foreign Affairs 46,645

The Minister of Public Works and Government Services 46,645

The Minister of Canadian Heritage 46,645

The Minister of Health 46,645

The Minister of Human Resources Development 46,645

5. Subject to section 66.1 of the Parliament of Canada Act, the 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 $46,645 per annum.