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Amendments to be moved on behalf of the Government
(Circulated by the authority of the Minister for Finance and Administration, Senator the Hon Nick Minchin)
OUTLINE OF AMENDMENTS
Current provisions in the Bill
The Superannuation Legislation (Commonwealth Employment) Repeal and Amendment Bill 2002 (the Bill) was introduced into Parliament to make amendments to various Acts including the Superannuation Act 1976 (the 1976 Act) and the Superannuation Act 1990 (the 1990 Act). These Acts provide, amongst other things, for superannuation schemes for employees of the Commonwealth and agencies.
The Bill proposes to amend the 1976 and 1990 Acts in relation to membership of the superannuation schemes to allow for simplified administration without having any adverse effects on existing entitlements. These amendments include replacing the current process relating to the status of authorities or bodies under those Acts with a new process.
These amendments were proposed to take effect from 1 July 2002.
Proposed amendments
In order to put beyond doubt the intention that existing entitlements are not to be affected, it is proposed that the amendments in the Bill relating to the determination of the status of authorities and bodies as 'approved authorities' under the 1976 and 1990 Acts be set aside. The existing process in the 1976 and 1990 Acts will continue to apply.
It is also proposed to amend the Bill to provide that the remaining amendments allowing for simplified administration of the schemes take effect from 1 July 2003 rather than 1 July 2002.
Financial Implications
There are no financial implications arising from the proposed amendments.
Amendments to change the date of effect of certain provisions
Amendment 1 – Commencement
Amendment 1 amends item 2 in the table provided for under subclause 2(2) to change the date of effect of certain amendments in the Superannuation Legislation (Commonwealth Employment) Repeal and Amendment Bill 2002 (the Bill) from 1 July 2002 to 1 July 2003.
Amendment 5 –Membership declarations
2. Item 9 of Schedule 1 to the Bill makes certain provisions in relation to dates of effect of declarations made for the purposes of paragraph (ec) of the definition of "eligible employee" included in subsection 3(1) of the Superannuation Act 1976 (the 1976 Act).
3. Amendment 5 replaces 1 July 2002 with 1 July 2003 in item 9.
Amendment 11 – Date of application
4. Items 21 to 24 of Schedule 1 to the Bill amend provisions relating to the updating of salary that occurs on an annual basis on the birthday of a member. Item 25 provides that the new arrangements only apply to birthdays that occur after 30 June 2002.
5. Amendment 11 replaces 30 June 2002 with 30 June 2003 in item 25.
Amendment 12 – Period of leave of absence
6. Item 27 of Schedule 1 to the Bill amends section 51 of the 1976 Act in relation to periods of leave of absence without pay that commence after 1 July 2002.
7. Amendment 12 replaces 30 June 2002 with 30 June 2003 in item 27.
Amendments 13 and 14 – Dates of application
8. Item 29 of Schedule 1 to the Bill provides that amendments made by items 27 and 28 apply only in respect of periods of leave of absence that commence on or after 1 July 2002.
9. Amendments 13 and 14 replace 1 July 2002 with 1 July 2003 in item 29.
Amendment 15 – Updating of final annual rate of salary
10. Item 32 of Schedule 1 to the Bill amends provisions relating to the updating of final annual rate of salary required in relation to invalidity pensioners under the 1976 Act. Item 33 ensures that the existing method of updating salary continues to apply up to 30 June 2002.
11. Amendment 15 replaces 30 June 2002 with 30 June 2003 in item 33.
Amendments 16 and 17 – Updating of final annual rate of salary
12. Item 40 of Schedule 1 to the Bill amends provisions relating to the updating of salary required in relation to the payment of postponed benefits under the 1976 Act to take effect from 1 July 2002.
13. Amendments 16 and 17 replace 1 July 2002 with 1 July 2003 in item 40.
Amendments 18 and 19 – Payment of transferred amounts
14. Item 48 of Schedule 1 to the Bill amends the 1976 Act to provide for the payment into the scheme of transferred amounts that become payable to, or in respect of a CSS member after 30 June 2002.
15. Amendments 18 and 19 replace 30 June 2002 with 30 June 2003 in item 48.
Amendment 20 – Eligible superannuation schemes
16. Item 50 of Schedule 1 to the Bill amends the 1976 Act to provide that no further agreements that a superannuation scheme should be an eligible scheme for the purposes of the Act can be made between the CSS Board and the Minister after 30 June 2002.
17. Amendment 20 replaces 30 June 2002 with 30 June 2003 in item 50.
Amendments to remove provisions relating to approved authorities
Amendment 2 – Commencement
18. Amendment 2 omits an item from the commencement provisions as a consequence of the intention to oppose the amendments to the Superannuation Act 1990 (the 1990 Act) provided for by Part 1 of Schedule 2 to the Bill.
Amendments 3, 4 and 6 to 10 – Approved authorities
19. Amendments 3 and 7 oppose items 1 and 12 of Schedule 1 to the Bill which respectively repeal a definition of 'approved authority' in the 1976 Act and insert a new definition into that Act.
20. Amendments 4, 6 and 8 to 10 oppose items 8, 10, 13, 14 and 15 of Schedule 1 to the Bill as a consequence of amendments 3 and 7.
Amendment 21 – Approved authorities
21. Amendment 21 opposes Part 1 of Schedule 2 to the Bill which repeals a definition of 'approved authority' in the 1990 Act, inserts a new definition into that Act and makes a number of consequential amendments to that Act.