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This Act is the Superannuation Administration Act 1996.
This Act commences on a day or days to be appointed by proclamation.
The objects of this Act are as follows—
to establish the SAS Trustee Corporation as the trustee for the State defined benefit public sector superannuation schemes,
to provide for the provision of investment management services and other services for State public sector superannuation schemes,
to set out the functions and responsibilities of trustees and service providers for State public sector superannuation schemes,
(Repealed)
to enable the establishment of additional superannuation schemes for State public sector employees and associated persons by trust deed.
In this Act—
benefit means a pension or lump sum retirement or superannuation benefit.
exercise a function includes perform a duty.
function includes a power, authority or duty.
investment manager means a person who provides superannuation investment management services for a superannuation fund or funds or part of any such fund under a contract or an arrangement with STC, and includes any other person engaged by that person to provide all or any of those superannuation investment management services.
mandated investment manager—see section 60.
public authority means a person or body constituted or established by an Act for a public purpose.
SAC means the Corporation constituted under the Superannuation Administration Authority Corporatisation Act 1999.
State sector employer means an employer under an STC scheme that is included in the consolidated Total State Sector financial statements under section 7.17 (1) of the Government Sector Finance Act 2018.
STC means the SAS Trustee Corporation continued by this Act.
STC dispute function means the principal function, referred to in section 50 (1) (e), to determine disputes under the Acts under which the STC schemes are established or constituted.
STC disputes committee means a committee delegated the STC dispute function under section 77.
STC fund or STC scheme means a superannuation fund or superannuation scheme established or constituted under any of the following Acts—
Police Regulation (Superannuation) Act 1906,
Superannuation Act 1916,
Local Government and Other Authorities (Superannuation) Act 1927,
Transport Employees Retirement Benefits Act 1967,
New South Wales Retirement Benefits Act 1972,
Public Authorities Superannuation Act 1985,
State Public Service Superannuation Act 1985,
State Authorities Superannuation Act 1987,
State Authorities Non-contributory Superannuation Act 1987.
superannuation fund means a fund established under a superannuation scheme.
superannuation investment management services include (but are not limited to) the following—
managing investments for any superannuation fund or funds or part of any such fund,
advising on investments and investment strategies and other related strategies for any superannuation fund or funds or part of any such fund,
providing services in relation to the custody of the assets and securities of any superannuation fund or funds or part of any such fund.
superannuation scheme means a scheme, fund or arrangement (whether or not established by an Act) under which any benefits are provided.
surplus funds means the funds in an employer’s reserve in an account maintained under section 81 that are in excess of the amount that is required to meet current and future liabilities under the STC scheme to which the account relates. The amount of surplus funds is the amount that is actuarially determined in accordance with Accounting Standard AASB 119: Employee Benefits made by the Australian Accounting Standards Board (as in force from time to time) or another standard prescribed by the regulations.
Note.
The Interpretation Act 1987 contains definitions and other provisions that affect the interpretation and application of this Act.
Introductory notes to Parts or Divisions and other notes in the text of this Act do not form part of this Act.
The corporation constituted by the Superannuation Administration Act 1987 with the corporate name of State Authorities Superannuation Board and continued by the Superannuation Administration Act 1991 is continued by this Act.
The continued corporation is to have the corporate name SAS Trustee Corporation. The body may also be called STC, and the use of that name has the same effect for all purposes as the use of its corporate name.
STC is, for the purposes of any Act, a statutory body representing the Crown.
STC is the trustee for the STC schemes and is to hold in trust for the persons who are or will be entitled to benefits under the STC schemes all assets held by, and all contributions and other money paid or payable to, STC under this Act and any Act under which an STC scheme is constituted or established.
STC is a trustee for the purposes of the Trustee Act 1925. Accordingly, subject to this Act, and unless this Act, the Trustee Act 1925 or any other Act otherwise provides, STC has the obligations, rights and duties of a trustee under Division 2 of Part 2 of the Trustee Act 1925.
Note.
The effect of this is that STC is subject to both the common law obligations, duties and rights of trustees and the obligations, duties and rights of trustees under the Trustee Act 1925. These are in addition to its obligations, duties and rights under this Act, unless the Trustee Act 1925 or this Act otherwise provides.
The principal functions of STC are—
to administer the STC schemes, and
to invest and manage the STC funds, and
to provide for the custody of the assets and securities of the STC schemes, and
to ensure that benefits payable to the persons entitled to receive benefits under the STC schemes are paid in accordance with the Acts under which the schemes are established or constituted, and
to determine disputes under those Acts, and
to exercise such other functions with respect to the STC schemes and STC funds as the Minister may from time to time approve by order in writing.
The Minister may in an order for the purposes of subsection (1) (f), direct that a function specified in the approval may be exercised by STC directly or only by entering into a contract or arrangement under section 53 with SAC or (if the direction so provides) with a person of STC’s choosing, under which SAC or that person undertakes to carry out the function on behalf of STC.
STC has such other functions as may be conferred or imposed on it by or under this or any other Act.
(Repealed)
Note.
The STC schemes include the State Authorities Superannuation Scheme, the Police Superannuation Scheme, the State Superannuation Scheme, the State Authorities Non-contributory Superannuation Scheme and other public sector schemes. None of these schemes are currently open to new members, though public sector employees still contribute to some of them.
Other particular functions and obligations of STC are contained in the legislation establishing the STC schemes, including the Police Regulation (Superannuation) Act 1906, the Local Government and Other Authorities (Superannuation) Act 1927, the Superannuation Act 1916, the State Authorities Superannuation Act 1987 and the State Authorities Non-contributory Superannuation Act 1987.
STC must—
act honestly in all matters relating to its functions relating to the STC schemes, and
exercise, in relation to all matters affecting the STC schemes, the same degree of care, skill and diligence as an ordinary prudent person would exercise in dealing with property of another for whom the person felt morally bound to provide, and
ensure that its functions relating to the STC schemes are exercised in the best interests of persons entitled to receive benefits under the STC schemes, and
not enter into any contract or arrangement, or do anything else, that would prevent STC from, or hinder STC in, properly exercising STC’s functions as a trustee.
Note.
The duties contained in subsection (1) reflect the covenants required of superannuation scheme trustees under the Superannuation Industry (Supervision) Act 1993 of the Commonwealth.
In exercising its functions, STC must have regard to—
the interests of persons entitled to receive benefits under the STC schemes, and
the Heads of Government Agreement, commencing 1 July 1996, relating to the exemption of certain State public sector superannuation schemes from the Superannuation Industry (Supervision) Act 1993 of the Commonwealth, and
the future liabilities of the STC funds, and
any statement in writing of the policy of the Government on any matter that is relevant to the functions of STC given by the Minister to STC, and
the role of employers under STC schemes in funding benefits under those schemes.
Subsection (1) (d) does not prevent STC from entering into a contract or an arrangement under section 53.
Note.
Members of the STC Board have a duty to ensure that STC carries out its duties (see section 73).
The Minister is required to lay before each House of Parliament, within 14 sitting days after giving a statement under section 51 (2) (d), a copy of the statement.
If a House of Parliament is not sitting when the Minister seeks to comply with this section, the Minister is required to present a copy of the relevant statement to the Clerk of the House.
A copy of a statement presented to the Clerk of a House of Parliament under this section—
is, on presentation and for all purposes, taken to have been laid before the House, and
is required to be printed by authority of the Clerk, and
if printed by the authority of that Clerk, is, for all purposes, taken to be a document published by order or under the authority of that House, and
is to be recorded in the Minutes, or Votes and Proceedings, of that House on the first sitting day of that House after receipt of the copy by that Clerk.
STC may enter into contracts or arrangements with any person—
under which the person undertakes to carry out the function of providing all or any superannuation investment management services for a superannuation fund or part of a fund under one or more of the STC schemes, on behalf of STC, or
under which the person undertakes to carry out the function of providing superannuation scheme administration services to the STC schemes on behalf of STC, or
(Repealed)
under which the person undertakes to carry out any other functions on behalf of STC under this or any other Act, or
for the performance of any other services.
An investment manager who enters into a contract or arrangement with STC to provide superannuation investment management services may (subject to the terms of that contract or arrangement) engage another investment manager to provide any such service. In that case, a reference in this section to the person who enters into or makes the contract or arrangement with STC includes a reference to any such other investment manager engaged to provide the service.
The power of STC to enter into a contract or an arrangement does not extend to conferring on any other person the power of STC to appoint an actuary or actuaries to conduct an investigation into the state or sufficiency of an STC fund.
A person who enters into a contract or an arrangement with STC under this section has, while acting in accordance with the terms of the contract or arrangement, those functions of STC specified in the contract or arrangement.
STC may enter into a contract or an arrangement under this section only if STC is satisfied that the contract or arrangement is in the interests of the persons entitled to receive benefits under the STC schemes.
Any such contract or arrangement may deem the person with whom STC makes the contract or arrangement to be an agent of STC.
A contract or an arrangement entered into by STC under this section does not confer on the other party any of the principal functions and responsibilities of STC as trustee.