Thank you, Mr. Chairman. Our Retirement Plan Beneficiaries Act provides that the owners of certain retirement and pension plans may designate a beneficiary who would receive the benefits of such a plan, in the event that the owner of a plan died without a will. Our act is based on uniform legislation developed in the 1970s by representatives of the federal, provincial and territorial governments. The intention was that the owner of a registered retirement savings plan, or an RRSP, could designate a beneficiary without a will in the same manner as other pension plans.

Recent cases in Alberta, Manitoba, and Ontario have raised questions about the effectiveness of such designation of beneficiaries with respect to these funds. All other jurisdictions with wording similar to that in our act have now amended their legislation to make it clear that RRSPs could be covered by a designation. Most have also passed amendments to cover registered retirement income funds, or RRIFs.

In the Northwest Territories, members of the public presently designate beneficiaries under the impression that their designation is effective. At least one bank has circulated a caution to customers that such designations may not be effective. This is the sort of matter which the public would expect to be uniform across Canada because RRSPs are portable and marked nationally.

The amendment would remove all doubt about this matter and the public and vendors of these plans would have the comfort that designations of beneficiaries for RRSPs and RRIFs are legally secure. The amendment would also allow for the Commissioner and Executive Council to include future plans and funds in the definition of "plans" by order so that amendments will not be required when new types of plans are developed which do not fit neatly into the definition of "plans" in the act. For example, RRIFs did not exist when the legislation was developed in the 1970s.

Mr. Chairman, if there are any questions, I shall be happy to ask my officials to help me answer them. Thank you.

Thank you, Mr. Chairman. Mr. Chairman, the Standing Committee on Legislation has completed its review of Bill 16, An Act to Amend the Retirement Plan Beneficiaries Act. The committee held a public hearing on this bill on Monday, March 27, 1995, in Yellowknife. The Minister of Justice attended to present the bill and respond to the concerns of the committee.

The committee did not receive any presentations from the public on this bill. The standing committee was satisfied that the proposed amendments will serve to clarify that retirement saving plans and retirement income funds are plans for which northerners have the right to designate a beneficiary in the same manner as other pension plans. The committee was also assured that a beneficiary could include any legal entity, including charities.

After careful consideration, the Standing Committee on Legislation is pleased to support these amendments. Mr. Chairman, that concludes the standing committee's report on Bill 16, An Act to Amend the Retirement Plan Beneficiaries Act. On March 27, 1995, the committee passed a motion that this bill be reported to the Legislative Assembly as ready for consideration in committee of the whole. Thank you.

Thank you, Mr. Chairman. On my right is legislative counsel, Diane Buckland and on my left is Gerald Sutton, director of policy and planning for the Department of Justice.