Superannuation Legislation Amendment Act 2008

i Superannuation Legislation Amendment Act 2008 No. 43 of 2008 TABLE OF PROVISIONS Section Page PART 1—PRELIMINARY 1 1 Purpose 1 2 Commencement 2 PART 2—EMERGENCY SERVICES SUPERANNUATION ACT 1986 3 3 Amendment of section 3—Definitions 3 4 Amendment of section 4—Application of Act 3 5 Amendment of section 6—Objectives and duties of the Board 4 6 Amendment of section 6A—Functions and powers of the Board 4 7 Amendment of section 20A—Contributions 4 8 New section 20PA inserted—Entitlements in respect of returning members who are operational staff members 5 20PA Entitlements in respect of returning members who are operational staff members 5 9 Amendment of section 21—Definitions 5 10 Amendment of section 21A—ESSPLAN Scheme 6 11 Amendment of section 21B—Membership of ESSPLAN 7 12 Amendment of section 21E—Amount and payment of benefits under ESSPLAN 7 13 Amendment of section 21F—Disability and death cover under ESSPLAN 8 14 New section 21FA inserted—Optional additional disability and death cover under ESSPLAN 8 21FA Optional additional disability and death cover under ESSPLAN 8 15 Amendment of section 21G—Disability and death insurance under ESSPLAN 9 16 Amendment of section 21H—Amount and payment of disability or death benefit 9 17 Amendment of section 21I—Member's accounts for ESSPLAN 10 18 Amendment of section 21J—Beneficiaries Accounts 10 19 Amendment of section 21JA—Spouse Accounts 11 20 Amendment of section 29A—Specified standards 12 -- 1 of 17 -- Section Page ii PART 3—AMENDMENTS TO OTHER ACTS 13 21 Amendment of State Superannuation Act 1988 13 22 Amendment of Transport Superannuation Act 1988 13 23 Amendment of Victorian Managed Insurance Authority Act 1996 13 PART 4—REPEAL OF AMENDING ACT 14 24 Repeal of amending Act 14 ═══════════════ ENDNOTES 15 -- 2 of 17 -- 1 Superannuation Legislation Amendment Act 2008 † No. 43 of 2008 [Assented to 26 August 2008] The Parliament of Victoria enacts: PART 1—PRELIMINARY 1 Purpose The purpose of this Act is to— (a) amend the Emergency Services Superannuation Act 1986 to enable greater access to superannuation products and services; Victoria -- 3 of 17 -- Part 1—Preliminary Superannuation Legislation Amendment Act 2008 No. 43 of 2008 2 (b) consequentially amend the State Superannuation Act 1988 and the Transport Superannuation Act 1988; (c) amend section 25A of the Victorian Managed Insurance Authority Act 1996 to extend from 1 year to 5 years the maximum period that may be specified by the Minister in a direction in respect of the period for which insurance or an indemnity is to be provided by the Victorian Managed Insurance Authority. 2 Commencement This Act comes into operation on the day after the day on which it receives the Royal Assent. __________________ s. 2 -- 4 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 3 PART 2—EMERGENCY SERVICES SUPERANNUATION ACT 1986 3 Amendment of section 3—Definitions In section 3(1) of the Emergency Services Superannuation Act 1986 insert the following definitions— "eligible beneficiary means a person who is entitled to a benefit under a Superannuation Act (other than this Act) or an administered scheme; returning member means a person who— (a) was as an officer or other member of the police force of Victoria under the Police Regulation Act 1958; and (b) is re-appointed under a fixed term agreement as an officer or other member of the police force of Victoria under the Police Regulation Act 1958;". 4 Amendment of section 4—Application of Act After section 4(7) of the Emergency Services Superannuation Act 1986 insert— "(8) A returning member who is an operational staff member cannot become a contributor. (9) Despite anything to the contrary in this section, an eligible beneficiary— (a) may become a member of the ESSPLAN Scheme in accordance with section 21B(1)(c); (b) who becomes a member of the ESSPLAN Scheme in accordance with section 21B(1)(c) is not a contributor to the Scheme.". s. 3 See: Act No. 94/1986. Reprint No. 6 as at 1 December 2005 and amending Act Nos 97/2005, 41/2006, 37/2007 and 12/2008. LawToday: www. legislation. vic.gov.au -- 5 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 4 5 Amendment of section 6—Objectives and duties of the Board After section 6(2)(f) of the Emergency Services Superannuation Act 1986 insert— "(fa) have regard to the interests of contributing employers under the Scheme, a Superannuation Act or an administered scheme; and". 6 Amendment of section 6A—Functions and powers of the Board After section 6A(3)(a)(iii) of the Emergency Services Superannuation Act 1986 insert— "(iv) to provide superannuation advice and financial planning services for beneficiaries, contributors, members and eligible spouses;". 7 Amendment of section 20A—Contributions After section 20A(3) of the Emergency Services Superannuation Act 1986 insert— "(3A) For the purposes of subsection (3), the Board may review the contributions payable by a part-time contributor. (3B) If after a review under subsection (3A), the Board considers that the contributions paid by the part-time contributor during the period reviewed do not bear the same proportion to the contributions otherwise determined in accordance with this section that the service of the part-time contributor bears to the service of a person in similar employment on a full-time basis, the Board may require the part-time contributor to make additional contributions as determined by the Board.". s. 5 -- 6 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 5 8 New section 20PA inserted—Entitlements in respect of returning members who are operational staff members After section 20P of the Emergency Services Superannuation Act 1986 insert— "20PA Entitlements in respect of returning members who are operational staff members (1) If the circumstances specified in section 20E, 20F, 20G, 20H or 20O apply— (a) a returning member who is an operational staff member; or (b) in the event of the death of a returning member who is an operational staff member, a dependant or nominee of the returning member— is entitled to a benefit under the relevant section calculated and payable in accordance with this Part as if the returning member who is an operational staff member were a contributor. (2) For the purposes of this section— (a) membership means the period of service under the fixed term agreement; and (b) the accrual rate specified in section 20C(1)(a) is to be taken to apply for each year of the fixed term agreement.". 9 Amendment of section 21—Definitions In section 21 of the Emergency Services Superannuation Act 1986— (a) in the definition of beneficiary for "or former contributor" substitute ", former contributor or eligible beneficiary"; s. 8 -- 7 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 6 (b) for the definition of eligible spouse substitute— "eligible spouse, in relation to a member, contributor or former contributor, has the same meaning as spouse has in section 10 of the Superannuation Industry (Supervision) Act 1993 of the Commonwealth;"; (c) for the definition of member substitute— "member means a person who is— (a) a member of the ESSPLAN Scheme under section 4(7) or 4(8); or (b) a contributor who becomes a member of the ESSPLAN Scheme in accordance with section 21B(1)(b); or (c) an eligible beneficiary who becomes a member of the ESSPLAN Scheme in accordance with section 21B(1)(c);". 10 Amendment of section 21A—ESSPLAN Scheme After section 21A(2)(a) of the Emergency Services Superannuation Act 1986 insert— "(ab) subject to any specified standards, any other contributions made by, or in respect of, a member or eligible spouse; (ac) subject to any specified standards, any amount rolled over, transferred or allotted from within the superannuation system;". s. 10 -- 8 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 7 11 Amendment of section 21B—Membership of ESSPLAN (1) In section 21B(1)(b) of the Emergency Services Superannuation Act 1986 for "the participating employer." substitute "the participating employer; or". (2) After section 21B(1)(b) of the Emergency Services Superannuation Act 1986 insert— "(c) if the person is an eligible beneficiary and applies in writing to the Board to become a member, if and when the Board accepts the application; or (d) if the person is a returning member who is an operational staff member, on the commencement of the fixed term agreement.". (3) Sections 21B(2), 21B(3), 21B(4) and 21B(5) of the Emergency Services Superannuation Act 1986 are repealed. 12 Amendment of section 21E—Amount and payment of benefits under ESSPLAN For sections 21E(3) and 21E(4) of the Emergency Services Superannuation Act 1986 substitute— "(3) Subject to subsection (2), the benefit is payable unless— (a) a member applies in a form approved by the Board to defer payment of benefits or to pay the benefits to an investment fund maintained for that purpose by the Board; and (b) the application is approved by the Board.". s. 11 -- 9 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 8 13 Amendment of section 21F—Disability and death cover under ESSPLAN (1) In section 21F(1) of the Emergency Services Superannuation Act 1986— (a) after "member who" insert "is not an eligible beneficiary and who"; (b) for "Part 3" substitute "Part 3AA". (2) For section 21F(4) of the Emergency Services Superannuation Act 1986 substitute— "(4) Unless the Board otherwise determines, a member's disability and death benefits cover in force under this section ceases 30 days after section 21B(10) applies to that member.". (3) In section 21F(5) of the Emergency Services Superannuation Act 1986 for "Part 3" substitute "Part 3AA". (4) Section 21F(12) of the Emergency Services Superannuation Act 1986 is repealed. 14 New section 21FA inserted—Optional additional disability and death cover under ESSPLAN After section 21F of the Emergency Services Superannuation Act 1986 insert— "21FA Optional additional disability and death cover under ESSPLAN (1) The Board may in accordance with this section offer optional additional disability and death cover to members whom the Board determines are eligible. (2) The Board may determine the level of optional additional disability and death cover and the basis on which and the terms and conditions that are to apply. s. 13 -- 10 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 9 (3) An application for optional additional disability and death cover— (a) must be in the form approved by the Board; and (b) must be accompanied by any information required by the Board. (4) For the purposes of this section, the Board may require a member to submit to any medical examination that the Board considers appropriate. (5) The Board may obtain any evaluation of any medical examination or other information provided as the Board considers appropriate.". 15 Amendment of section 21G—Disability and death insurance under ESSPLAN In section 21G(1) of the Emergency Services Superannuation Act 1986 for "section 21F" substitute "sections 21F and 21FA". 16 Amendment of section 21H—Amount and payment of disability or death benefit (1) In section 21H(1)(b) of the Emergency Services Superannuation Act 1986 after "21F" insert "or 21FA". (2) In section 21H(3) of the Emergency Services Superannuation Act 1986 for "A" substitute "Unless subsection (4) applies, a". s. 15 -- 11 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 10 (3) After section 21H(3) of the Emergency Services Superannuation Act 1986 insert— "(4) Subject to any specified standards, if the member has given the Board a notice in a form approved by the Board, the Board must pay the death benefit in respect of the member that is payable under this Part in accordance with the notice.". 17 Amendment of section 21I—Member's accounts for ESSPLAN In section 21I(2)(d) of the Emergency Services Superannuation Act 1986 before "any other" insert "subject to any specified standards,". 18 Amendment of section 21J—Beneficiaries Accounts (1) After section 21J(2A) of the Emergency Services Superannuation Act 1986 insert— "(2B) Subject to any specified standards, any amount rolled over, transferred or allotted from within the superannuation system for the beneficiary may be paid or transferred to a beneficiary account.". (2) In section 21J(3)(b) of the Emergency Services Superannuation Act 1986 before "in the" insert "unless subsection (3A) applies,". (3) After section 21J(3) of the Emergency Services Superannuation Act 1986 insert— "(3A) Subject to any specified standards, if the beneficiary has given the Board a notice in a form approved by the Board, the Board must on the death of the beneficiary pay the balance of the beneficiary account established under subsection (1) in accordance with the notice.". s. 17 -- 12 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 11 (4) After section 21J(8) of the Emergency Services Superannuation Act 1986 insert— "(9) The Board must debit to a beneficiary account any other amount payable by the beneficiary.". 19 Amendment of section 21JA—Spouse Accounts (1) After section 21JA(1) of the Emergency Services Superannuation Act 1986 insert— "(1A) Without limiting subsection (1), a person who— (a) is an eligible spouse; and (b) within the period of 3 months after the death of the member spouse applies in writing to the Board to become a member— may, if the Board accepts the application to become a member, make a request under subsection (1).". (2) In section 21JA(2) of the Emergency Services Superannuation Act 1986 omit "in accordance with section 159TC of the Commonwealth Income Tax Assessment Act 1936". (3) In section 21JA(3) of the Emergency Services Superannuation Act 1986— (a) after paragraph (b) insert— "(ba) subject to any specified standards, any other contributions made by, or in respect of, the eligible spouse; and"; (b) in paragraph (d) before "any other" insert "subject to any specified standards," (4) Section 21JA(5) of the Emergency Services Superannuation Act 1986 is repealed. s. 19 -- 13 of 17 -- Part 2—Emergency Services Superannuation Act 1986 Superannuation Legislation Amendment Act 2008 No. 43 of 2008 12 (5) In section 21JA(7)(b) of the Emergency Services Superannuation Act 1986 before "in the" insert "unless subsection (7A) applies,". (6) After section 21JA(7) of the Emergency Services Superannuation Act 1986 insert— "(7A) Subject to any specified standards, if the eligible spouse has given the Board a notice in the form approved by the Board, the Board must on the death of the eligible spouse pay the balance of the spouse account in accordance with the notice.". (7) For section 21JA(8) of the Emergency Services Superannuation Act 1986 substitute— "(8) The spouse may elect to— (a) maintain the account in an investment fund in accordance with section 21K; or (b) roll over, transfer or allot the account balance within the superannuation system.". 20 Amendment of section 29A—Specified standards After section 29A(1)(b) of the Emergency Services Superannuation Act 1986 insert— "(ba) specify standards (including conditions) in respect of the acceptance by the Board of— (i) contributions made by, or in respect of, a member, eligible spouse or beneficiary; or (ii) any amount rolled over, transferred or allotted from within the superannuation system; and". __________________ s. 20 -- 14 of 17 -- Part 3—Amendments to Other Acts Superannuation Legislation Amendment Act 2008 No. 43 of 2008 13 PART 3—AMENDMENTS TO OTHER ACTS 21 Amendment of State Superannuation Act 1988 (1) In section 4(1) of the State Superannuation Act 1988 for "This" substitute "Subject to subsection (1A), this". (2) After section 4(1) of the State Superannuation Act 1988 insert— "(1A) Subsection (1) does not apply if the officer is a member of the ESSPLAN Scheme in accordance with section 21B(1)(c) of the Emergency Services Superannuation Act 1986.". 22 Amendment of Transport Superannuation Act 1988 (1) In section 4(5) of the Transport Superannuation Act 1988 for "This" substitute "Subject to subsection (5A), this". (2) After section 4(5) of the Transport Superannuation Act 1988 insert— "(5A) Subsection (5) does not apply if the employee is a member of the ESSPLAN Scheme in accordance with section 21B(1)(c) of the Emergency Services Superannuation Act 1986.". 23 Amendment of Victorian Managed Insurance Authority Act 1996 In section 25A(3)(c) of the Victorian Managed Insurance Authority Act 1996 for "one year" substitute "5 years". __________________ See: Act No. 50/1988. Reprint No. 6 as at 1 December 2005 and amending Act Nos 97/2005, 24/2006, 37/2007 and 12/2008. LawToday: www. legislation. vic.gov.au s. 21 See: Act No. 33/1988. Reprint No. 5 as at 1 December 2005 and amending Act Nos 97/2005, 37/2007 and 12/2008. LawToday: www. legislation. vic.gov.au See: Act No. 11/1996. Reprint No. 3 as at 1 July 2006 and amending Act No. 80/2006. LawToday: www. legislation. vic.gov.au -- 15 of 17 -- Part 4—Repeal of Amending Act Superannuation Legislation Amendment Act 2008 No. 43 of 2008 14 PART 4—REPEAL OF AMENDING ACT 24 Repeal of amending Act This Act is repealed on the first anniversary of its commencement. Note The repeal of this Act does not affect the continuing operation of the amendments made by it (see section 15(1) of the Interpretation of Legislation Act 1984). ═══════════════ s. 24 -- 16 of 17 -- Superannuation Legislation Amendment Act 2008 No. 43 of 2008 15 ENDNOTES † Minister's second reading speech— Legislative Assembly: 12 June 2008 Legislative Council: 31 July 2008 The long title for the Bill for this Act was "A Bill for an Act to amend the Emergency Services Superannuation Act 1986, the State Superannuation Act 1988, the Transport Superannuation Act 1988 and the Victorian Managed Insurance Authority Act 1996 and for other purposes." Endnotes -- 17 of 17 --