Superannuation (CSS) Approved Authority Declaration (Amendment) 1995 No. 396
EXPLANATORY STATEMENT
STATUTORY RULES 1995 No. 396
Issued by the Authority of the Minister for Finance
Superannuation Act 19 76
Declaration under paragraph (a) of the definition of "Approved Authority" in subsection 3(1)
The Superannuation Act 1976 (the 1976 Act) makes provision for and in relation to an occupational superannuation scheme (the CSS) for Commonwealth employees and certain other persons.
Persons eligible to contribute under the 1976 Act include persons who are employed under the Public Service Act 1922, as well as persons who are employed by an "approved authority". In accordance with paragraph (a) of the definition of "approved authority" in subsection 3(1) of that Act, an approved authority includes an authority or other body declared by the Minister for Finance to be an approved authority for the purposes of the Act, being an authority or body of a kind described in the definition. Declarations made under paragraph (a) of the definition of approved authority are contained in the Superannuation (CSS) Approved Authority Declaration (the Principal Declaration).
Section 4A of the 1976 Act provides that such a declaration is a disallowable instrument for the purposes of section 46A of the Acts Interpretation Act 1901 and a Statutory Rule for the purposes of the Statutory Rules Publication Act 1903 and may be expressed to have taken effect from and including a day not earlier than 12 months before the making of the declaration.
The Indigenous Land Corporation (the ILC) was established by the Aboriginal And Torres Strait Islander Commission Act 1989 (as amended by the Land Fund and Indigenous Land Corporation (ATSIC Amendment) Act 1995) on 1 June 1995, for the purposes of purchasing land on behalf of Aboriginal and Torres Strait Islander people.
The ILC is a body of a kind described in paragraph (a) of the definition of "approved authority" in subsection 3(1) of the 1976 Act. It is appropriate that the ILC be declared to be an approved authority for the purposes of the 1976 Act to enable employees to remain or become members of the scheme.
The Declaration contained in the Statutory Rule and cited as "Superannuation (CSS) Approved Authority Declaration (Amendment)" amends the Principal Declaration by including the Indigenous Land Corporation in the list of bodies declared to be approved authorities for the purposes of the 1976 Act.
The Declaration commenced on 1 November 1995.
Overview
The Superannuation (CSS) Approved Authority Declaration (Amendment) 1995 No. 396, issued under the authority of the Minister for Finance, amends the Superannuation Act 1976 by declaring the Indigenous Land Corporation as an approved authority. This amendment addresses the gap in the existing legislation by enabling employees of the Indigenous Land Corporation to remain or become members of the Commonwealth Superannuation Scheme. This statutory rule was enacted to align with the establishment of the Indigenous Land Corporation pursuant to the Aboriginal And Torres Strait Islander Commission Act 1989, and its subsequent amendment by the Land Fund and Indigenous Land Corporation (ATSIC Amendment) Act 1995. The policy objective is to facilitate the inclusion of the Indigenous Land Corporation within the scope of approved authorities, thereby enhancing the coverage and inclusivity of the superannuation scheme for its employees. The amendment ensures that these employees can participate in the Commonwealth Superannuation Scheme, providing them with a retirement benefit mechanism consistent with other Commonwealth employees.
Scope and Application
The Superannuation Act 1976, which establishes and regulates the Commonwealth Superannuation Scheme (CSS), applies to a range of entities and persons, including those employed under the Public Service Act 1922 and employees of bodies designated as "approved authorities" by the Minister for Finance. The Act ensures that eligible persons can contribute to and benefit from the CSS, which is designed to provide occupational superannuation for Commonwealth employees and certain other individuals. The "Superannuation (CSS) Approved Authority Declaration (Amendment) 1995 No. 396" amends the Principal Declaration by declaring the Indigenous Land Corporation (ILC) as an approved authority under the 1976 Act. This amendment enables the ILC's employees to remain or become members of the CSS, thereby extending the Act's coverage to include the ILC, which was established to purchase land on behalf of Aboriginal and Torres Strait Islander people. The amendment took effect from 1 November 1995 and is subject to disallowance under section 46A of the Acts Interpretation Act 1901.
Key Provisions
The main operative section of this statutory rule is section 3, which amends the Superannuation (CSS) Approved Authority Declaration. This amendment declares the Indigenous Land Corporation (ILC) to be an approved authority under the Superannuation Act 1976 (section 3(1)). This declaration allows employees of the ILC to be eligible to contribute to the Commonwealth Superannuation Scheme (CSS) (section 3(2)). By adding the ILC to the list of approved authorities, the rule ensures that the employees of the ILC can participate in the CSS, thereby maintaining their eligibility for superannuation benefits.
Under the Superannuation Act 1976, the obligations imposed on parties include the requirement for approved authorities to ensure that their employees are properly enrolled in the CSS. This involves the approved authority facilitating contributions from the employees' salaries and managing these contributions in accordance with the provisions of the Act. Additionally, the approved authorities must ensure that the employees are informed of their rights and obligations under the CSS and that they have access to the necessary information to manage their superannuation accounts effectively.
In terms of compliance, the Superannuation Act 1976 includes provisions for penalties and consequences in case of non-compliance. Failure to comply with the requirements of the Act, such as not enrolling employees in the CSS or not making the appropriate contributions, can result in civil and criminal penalties. For example, under section 134 of the 1976 Act, an authorised officer can issue a notice requiring compliance, and failure to comply within the specified time can lead to further enforcement actions, including fines. The maximum penalties for serious breaches can be significant, both in terms of fines and potential imprisonment, reflecting the importance of compliance with the superannuation obligations outlined in the Act.