NORTHERN TERRITORY ABORIGINAL SACRED SITES AMENDMENT BILL 2002 Second Reading Speech

Northern Territory Second Reading Speeches

NORTHERN TERRITORY ABORIGINAL SACRED SITES AMENDMENT BILL 2002

(This an uncorrected proof of the daily report. It is made available under the condition that it is recognised as such.)

Mr Deputy Speaker, I move that the bills be now read a second time.

The purpose of the bills is to introduce amendments to the Superannuation Act, the Legislative Assembly Members’ Superannuation Act, the Supreme Court (Judges Pensions) Act, the Superannuation Guarantee (Safety Net) Act and the Administrators Pensions Act, to include the requirements of the Commonwealth Family Law Act amendments in the governing rules of these schemes.

Under current law, superannuation interests can, and usually are, taken into account in court proceedings for property settlement following marriage breakdown. However, under the laws that now stand, superannuation interests are not able to be split in a family law property settlement. Commencing 28 December this year, it will be mandatory for superannuation schemes to comply with the new laws which give effect to the Commonwealth government’s family law reforms to allow legally married persons to divide the superannuation in the same way as property and other assets on marriage breakdown.

Our Department of Justice is working for its counterparts in all other jurisdictions with the aim of enabling de facto relationships to be covered by this legislation. The complexities of family law, taxation and superannuation laws, means that together the new laws will create a complex and complicated legislative framework, which will impose a significant impact upon trustees of all superannuation funds. Trustees will be required to comply with the new laws and will be bound to give effect to a binding superannuation agreement, or court order, to divide the value of the superannuation interest between separating persons. The division of the superannuation interest will become an interest in the person’s own name. Actuarial methods will be developed to calculate the value of a defined benefit interest in the Territory’s defined benefits schemes which will take into account movements in salary, membership periods, benefit multiples, contributions, and investment returns. The value that is determined by these actuarial calculations will be the superannuation interest to be divided to create the separate superannuation interest in the name of an ex-spouse. The creation of the separate interest for an ex-spouse will result in a reduction in the value of a member’s superannuation entitlement, which represents the value of the superannuation interest created for the ex-spouse.

The amendments will enable the various Territory superannuation schemes to comply with the Commonwealth requirements; to provide information to members and their spouses; to reduce the superannuation benefit payable to a member; and to create a separate interest in the name of an ex-spouse. I commend the bill to honourable members.

Debate adjourned.

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