24—Insertion of Part 4 Division 2A
After Part 4 Division 2 insert:
Division 2A—Superannuation benefits for PSS 3 members
21AB—Application of Division
This Division applies in relation to PSS 3 members.
21AC—Interpretation
In this Division—
"Government-funded component" in relation to a member (other than a member who
is a PSS 3 member by virtue of section 7F) means the amount standing to the
credit of the member's Government contribution account;
"member-funded component" in relation to a member (other than a member who is
a PSS 3 member by virtue of section 7F) means the amount standing to the
credit of the member's contribution account;
"rollover component" in relation to a member means the amount standing to the
credit of the member's rollover account.
21AD—Retirement at or above age 55
(1) A PSS 3 member
who—
(a) has
retired (either voluntarily or involuntarily); and
(b) has
reached the age of 55 years,
is entitled to payment of the member-funded component and the
Government-funded component and to payment of the rollover component (if any)
to the extent that that payment can be made in accordance with the SIS Act.
(2) Subject to
subsection (3), a PSS 3 member who does not apply to the Board in writing
for the payment of an entitlement under subsection (1) within 3 months
after retirement will be taken to have preserved the relevant components and
section 21AF will apply to and in relation to them.
(3) A PSS 3 member who
has retired and reached the age of 65 years must immediately be paid any
entitlement under subsection (1).
(4) However, a
rollover component, or part of a rollover component, that cannot be paid in
accordance with the SIS Act must be preserved and section 21AF will apply
to and in relation to it.
(5) This section does
not apply to or in relation to a case involving the death of a PSS 3
member (see section 21AH) and does not derogate from the ability of a
member to apply for a benefit under section 21AG (rather than taking a
benefit under this section).
21AE—Cessation of membership before age 55
(1) Subject to this
section, a PSS 3 member who retires (either voluntarily or involuntarily)
before reaching the age of 55 years may—
(a)
elect—
(i)
to take immediately the member-funded component; or
(ii)
to preserve the member-funded component; or
(iii)
to carry the member-funded component over to another
superannuation fund or scheme that is a complying superannuation fund (as a
preserved employee component); and
(b)
elect—
(i)
to preserve the Government-funded component; or
(ii)
to carry the Government-funded component over to another
superannuation fund or scheme that is a complying superannuation fund (as a
preserved employer component); and
(c)
elect—
(i)
to take immediately the rollover component (if any) to
the extent that payment of that component can be made in accordance with the
SIS Act; or
(ii)
to preserve the rollover component; or
(iii)
to carry the rollover component over to another
superannuation fund or scheme that is a complying superannuation fund.
(2) A PSS 3 member who
does not inform the Board in writing of his or her election under
subsection (1) within 3 months after ceasing to be a member will be taken
to have elected to preserve the relevant components and section 21AF will
apply to and in relation to them.
(3) If the Board is of
the opinion that the limitation period referred to in subsection (2)
would unfairly prejudice a member, the Board may extend the period that
applies to the member.
(4) A PSS 3 member who
has elected, or has been taken to have elected, to preserve his or her
member-funded component, Government-funded component or rollover component and
to whom the component has not been paid under section 21AF, may elect to
withdraw the election and to elect to carry the component over to a complying
superannuation fund.
(5) If 2 or 3
components have been preserved, a member cannot make an election under
subsection (4) to carry 1 or 2 but not both or all of them over.
(6) If a member elects
to carry over a component to a complying superannuation fund, the following
provisions apply:
(a) the
member must satisfy the Board by such evidence as it may require that he or
she has been admitted to membership of the fund; and
(b) on
being so satisfied the Board will authorised payment of the component on
behalf of the member to the fund.
(7) If a PSS 3 member
has ceased to be a member of the Parliament of the State and has elected to
preserve the member-funded, Government-funded or rollover component but has
subsequently again become a member of the Parliament, the Board may maintain
separate member's contribution accounts or Government contribution accounts or
rollover accounts or a combined member's contribution account or Government
contribution account or rollover account in the name of the member.
(8) This section does
not apply to or in relation to a case involving—
(a) a
cessation of membership on the ground of invalidity (in circumstances
entitling the member to a benefit under section 21AG); or
(b) the
death of a PSS 3 member (see section 21AH).
21AF—Preservation of components
(1) If a
superannuation component has been preserved under section 21AD(2) or (4)
or 21AE, then the following provisions will apply (subject to
subsection (2)):
(a) the
Board must in relation to a component preserved under section 21AE, not less
than 6 months before the relevant member's 55th birthday (unless that period
has already been reached), notify the relevant member in writing of his or her
entitlement to require the Board to make a payment under paragraph (b);
(b) the
relevant member may at any time after reaching 55 years of age require the
Board to authorise payment of the component and, if no such requirement has
been made on or before the date on which the member reaches 65 years of age,
the Board will authorise payment of the component to the member;
(c) if
the relevant member has become incapacitated and satisfies the Board that his
or her incapacity for all kinds of work is 60 per cent or more of total
incapacity and is likely to be permanent, the Board will authorise payment of
the component to the member;
(d) if
the relevant member dies, the component will be paid to the spouse of the
deceased member or, if he or she left no surviving spouse, to the member's
estate,
(and a payment under any of the above paragraphs excludes further rights so
that a claim cannot be subsequently made under some other paragraph).
(2)
Subsection (1) applies to a rollover component subject to restrictions
imposed by the SIS Act.
21AG—Cessation of membership on ground of invalidity
(1) If—
(a) a
PSS 3 member ceases to be a member of the Parliament of the State before
reaching the age of 70 years; and
(b) a
judge is satisfied that the cessation is due to ill health that prevents the
member from being able to carry out the duties of office to a reasonable
degree,
then the member is entitled to benefits made up of the following components:
(c) the
member-funded component; and
(d) the
Government-funded component; and
(e) the
rollover component (if any); and
(f)
subject to this section, the invalidity insurance benefit (if any) for PSS 3
members (see section 21AI).
(2) The invalidity
insurance benefits are not payable unless the Board is satisfied that the
member's incapacity for all kinds of work is 60 per cent or more of total
incapacity and is likely to be permanent.
(3) The invalidity
insurance benefit is not payable to a member within 1 year after becoming
a PSS 3 member unless the Board is satisfied (by the production of such
evidence as the Board thinks fit) that—
(a) the
invalidity is attributable to a medical condition arising after the member
became a PSS 3 member and is not attributable (or is not attributable in
any material degree) to a medical condition existing before the member became
a PSS 3 member; or
(b) the
invalidity is attributable to a medical condition existing before the member
became a PSS 3 member in a situation where, at the time of becoming a
PSS 3 member, there was no reason for the member to believe that such a
condition existed; or
(c) the
invalidity was caused by accidental injury.
(4) A member who
claims to be entitled to benefits under this section (or a person acting on
his or her behalf) must make the claim (being a claim for benefits that have
not otherwise been paid) to the Board within 3 months after ceasing to be a
member of the Parliament of the State.
21AH—Death of PSS 3 member
(1) If a PSS 3 member
ceases to be a member of the Parliament of the State by reason of his or her
death—
(a) if
the deceased member is survived by a spouse—a payment will be made to
the spouse;
(b) if
the deceased member is not survived by a spouse—a payment will be made
to the member's estate.
(2) A payment under
subsection (1)(a) or (b) is to be made up of the following components:
(a) the
member-funded component; and
(b) the
Government-funded component; and
(c) the
rollover component (if any); and
(d)
subject to this section, the death insurance benefit (if any).
(3) A surviving spouse
will not be entitled to a benefit under this section if section 23J applies to
the spouse.
(4) The death
insurance benefit is not payable in respect of a member who dies within 1 year
after becoming a PSS 3 member unless the Board is satisfied (by the production
of such evidence as the Board thinks fit) that—
(a) the
death is attributable to a medical condition arising after the member became a
PSS 3 member and is not attributable (or is not attributable in any
material degree) to a medical condition existing before the member became a
PSS 3 member; or
(b) the
death is attributable to a medical condition existing before the member became
a PSS 3 member in a situation where, at the time of becoming a PSS 3
member, there was no reason for the member to believe that such a condition
existed; or
(c)
death was caused by accidental injury.
(5) If a PSS 3 member
who has died is not survived by a spouse and probate or letters of
administration in relation to the deceased's estate have not been granted to
any person, the Board may use the amount payable under this section, or such
part of it as is required, to pay the funeral expenses of the deceased member
or to reimburse a person who has paid those expenses.
(6) If—
(a) a
PSS 3 member ceases to be a member of the Parliament of the State for any
reason other than his or her death; and
(b) the
member dies within 1 month after that cessation,
the member's spouse or estate is entitled to the death insurance benefit (if
any) that the spouse or estate would have been entitled to if the member had
ceased to be a member of Parliament by virtue of the member's death
unless—
(c) an
invalidity insurance benefit has been paid; or
(d) the
member has taken his or her own life.
21AI—Determination of invalidity/death insurance
(1) For the purposes
of this Division, a PSS 3 member is entitled to the following level of
invalidity/death insurance by virtue of his or her membership of PSS 3:
"B" is the amount of benefit.
"F" is—
(a) in
the case of a PSS 3 member who has not reached the age of 66 years at the
relevant time—5;
(b) in
the case of a PSS 3 member who is 66 years of age at the relevant
time—4;
(c) in
the case of a PSS 3 member who is 67 years of age at the relevant
time—3;
(d) in
the case of a PSS 3 member who is 68 years of age at the relevant
time—2;
(e) in
the case of a PSS 3 member who is 69 years of age at the relevant
time—1;
(f) in
the case of a PSS 3 member who has reached the age of 70 years at the relevant
time—0.
"BS" is the member's basic salary at the relevant time (expressed as an annual
salary).
"AS" is—
(a) in
the case of a member who has held a prescribed office at any time—an
amount arrived at by taking the rate of remuneration for the highest
prescribed office that the member held, being the rate applying to the holder
or holders of such an office immediately before the relevant time, and—
(i)
in the case of a member who held prescribed offices for a
total period exceeding 4 years, or who held any prescribed office
immediately before the relevant time—applying that rate over a period of
4 years;
(ii)
in any other case—applying that rate over the
period or periods over which the member held any prescribed office before the
relevant time;
(b) in
any other case—0.
"GCA" is the amount standing to the credit of the member's Government
contribution account at the relevant time, less any amount credited to that
account due to superannuation salary sacrifice payments under
section 14C(2).
(2) For the purposes
of subsection (1), the "relevant time is—
(a) in
the case of invalidity insurance—the date on which the relevant member
ceases to be a member of the Parliament of the State;
(b) in
the case of death insurance—the date on which the relevant member dies
or, if the relevant member died after leaving the Parliament of the State (see
section 21AH(6)), the date on which he or she ceased to be a member of the
Parliament of the State.
(3) If an entitlement
under this section would be a negative number (or zero), there is no
entitlement.