TWENTY-SEVENTH AMENDMENT
of the
PUBLIC SECTOR SUPERANNUATION SCHEME TRUST DEED
THIS DEED is made on 20 JUNE 2006 by THE COMMONWEALTH OF AUSTRALIA.
WHEREAS section 4 of the Superannuation Act 1990 (the Act) provides for the Minister to establish an occupational superannuation scheme to be administered by the Board established under section 20 of the Act (the Board);
AND WHEREAS the Public Sector Superannuation Scheme was established by Trust Deed dated 21 June 1990;
AND WHEREAS the Schedule to the Trust Deed contains Rules for the administration of the Scheme;
AND WHEREAS section 5 of the Act provides for the Minister, by instrument in writing, to amend the Trust Deed, and requires the consent of the Board to amendments in certain circumstances;
AND WHEREAS the Board has consented to the amendments provided for in this Deed;
NOW THIS DEED WITNESSES as follows:
1. The amendments in this Deed take effect as follows:
(a) subject to paragraph (b), on 1 July 2006; and
(b) in relation to subclauses 3.9 and 3.10, on 1 July 2006 in relation to appointments made after 30 June 2006.
2. Unless a contrary intention appears, a word or phrase in this Deed has the same meaning that it has in the Trust Deed.
3. The Trust Deed is amended as follows:
3.1 The following subclause is inserted immediately after subclause 1.3:
“1.3A In this Deed “CSS functions” of the Board means the functions set out in section 27C of the Superannuation Act 1976.
3.2 The following subclauses are inserted immediately after subclause 1.6:
“1.7 In this Deed “PSSAP functions” of the Board has the same meaning that it has in the Trust Deed referred to in section 10 of the Superannuation Act 2005 as amended from time to time pursuant to section 11 of that Act.
1.8 In this Deed “SIS fitness and propriety standard” means a standard prescribed under Part 3 of the Superannuation Industry (Supervision) Act 1993 relating to fitness and propriety for trustees of funds (within the meaning of that Act) and RSE licensees (within the meaning of that Act).”
3.3 The last paragraph in subclause 2.1 is replaced with the following paragraph:
“to be administered in accordance with the Deed:
(e) in relation to the period before 24 June 1995, by the Commonwealth Superannuation Board of Trustees No. 1; and
(f) in relation to the period from 24 June 1995 to 30 June 2006, by the PSS Board; and
(g) in relation to the period after 30 June 2006, by the Australian Reward Investment Alliance established by the Act (in this Deed called “the Board”).”
3.4 Paragraph (c) of subclause 3.4 is replaced with the following paragraph:
“(c) amounts that, under the Act and this Deed, are:
(i) paid out of the Consolidated Revenue Fund into the PSS Fund; or
(ii) paid out of the PSS Fund to the Commonwealth.”
3.5 Subclauses 4.1, 4.2 and 4.3 are replaced with the following subclauses:
“4.1 Six of the 7 Trustees constituting the Board shall be appointed by the Minister. Three of the Trustees shall be persons nominated by the Australian Council of Trade Unions (ACTU), provided that a person shall not be nominated by the ACTU unless the ACTU has consulted relevant organisations, as defined in subsection 28(7) of the Act, in relation to the nomination.
4.2 The 7th Trustee, who will also be the Chairperson of the Board, shall be appointed by the Minister in agreement with the other 6 Trustees in relation to the appointment.
4.3 The 7 Trustees shall be appointed for such period, not exceeding 3 years, as the Minister specifies in the instrument of appointment.”
3.6 The following subclause is inserted immediately after subclause 4.10:
“4.11 A person may only be appointed as a Trustee if the person’s appointment would not result in a contravention of a SIS fitness and propriety standard.”
3.7 Subclause 5.3 is replaced with the following subclause:
“5.3 The Minister may not terminate, under subclause 5.1 or 5.2, the appointment of a Trustee who was nominated for appointment by the Australian Council of Trade Unions unless the ACTU has consented to the termination.”
3.8 The following subclauses are inserted immediately after subclause 5.5:
“5.6 If the continuation in office of an appointed Trustee contravenes or would contravene a SIS fitness and propriety standard, the Minister may terminate the appointment of the Trustee.
5.7 Subclauses 5.1 and 5.2 do not limit the Minister’s power of termination in subclause 5.6.”
3.9 Paragraph (b) of subclause 6.1 is replaced with the following paragraph:
“(b) during any period, or during all periods, when the Chairperson is absent from duty or is, for any reason, unable to perform the duties of the office of Chairperson.”
3.10 Paragraph (b) of subclause 6.2 is replaced with the following paragraph:
“(b) during any period, or during all periods, when a Trustee is acting as Chairperson, is absent from duty or is, for any reason, unable to perform the duties of that office.”
3.11 Subclause 6.3 is replaced with the following subclause:
“6.3 The Minister shall only appoint a person to act as a Trustee who meets the same criteria, as set out in subclause 4.1, as the Trustee in whose place the Trustee is to act.”
3.12 The following subclause is inserted immediately after subclause 6.9:
“6.10 A person may only be appointed to act as a Trustee if the person’s appointment would not result in a contravention of a SIS fitness and propriety standard.”
3.13 The following subclause is inserted immediately after subclause 7.4:
“7.4A A disclosure under subclause 7.4 may be made:
(a) by the Trustee personally; or
(b) on behalf of the Trustee by a person who is attending the meeting as the proxy representative of the Trustee.”
3.14 Paragraph (b) of subclause 7.5 is replaced with the following paragraph:
“(b) take part, either personally or by proxy representative, in any decision of the Board with respect to that matter.”
3.15 Paragraph (b) of subclause 7.6 is replaced with the following paragraph:
“(b) take part, either personally or by proxy representative, in the making by the Board of the determination.”
3.16 Subclauses 8.1 is replaced with the following subclause:
“8.1 The Board shall hold such meetings as are necessary for the conduct of its affairs in relation to the CSS, the CSS Fund, the PSS, the PSS Fund, the PSSAP and the PSSAP Fund.”
3.17 Subclauses 8.4 and 8.5 are deleted and the following subclauses are inserted in their place:
“8.4 A Trustee may, in writing and signed by the Trustee, appoint another Trustee as his or her proxy representative to attend and vote on his or her behalf at a meeting of the Board at which the first-mentioned Trustee is not present.
8.5 The proxy representative of a Trustee is not entitled to vote on behalf of that Trustee on a proposed decision unless:
(a) the instrument of proxy appointment sets out the terms of the proposed decision; and
(b) the instrument of proxy appointment indicates whether the Trustee is in favour of, or against, the proposed decision; and
(c) the proxy representative votes on the proposed decision in accordance with that indication.
8.6 At a meeting of the Board 5 Trustees, or acting Trustees, shall constitute a quorum.
8.7 In determining whether a quorum has been constituted, if a person is attending both as a Trustee and as the proxy representative of one or more other Trustees, count the person:
(a) once for the person’s attendance as a Trustee; and
(b) once for each instrument of proxy appointment held by the person.
8.8 At a meeting, at least 2 Trustees must be present in person.
8.9 All decisions of the Board must be affirmed by at least 5 votes of the Trustees, or acting Trustees, voting, either personally or by a proxy representative.
8.10 The Board shall keep accurate records of all meetings held by the Board.
8.11 If a Trustee votes by proxy representative at a meeting of the Board, the record of that meeting must note that the vote was made by a proxy representative.
8.12 The Board may permit its Trustees to participate in a meeting, or all meetings, by:
(a) telephone; or
(b) closed-circuit television; or
(c) any other means of communication.
8.13 A Trustee who participates in a meeting under a permission under subclause 8.12 is taken to be present in person at the meeting.”
3.18 The following heading and subclauses are inserted immediately after subclause 8.13.
“8A Payment of remuneration and allowances
8A.1 The remuneration and allowances of the Chairperson in relation to:
(a) the Chairperson performing CSS functions are to be paid out of the CSS Fund;
(b) the Chairperson performing PSS functions are to be paid out of the PSS Fund; and
(c) the Chairperson performing PSSAP functions are to be paid out of the PSSAP Fund.
8A.2 The remuneration and allowances of the Trustees other than the Chairperson may be paid:
(a) from one of the following as specified in subsection 160(1) of the Superannuation Act 1976:
(i) out of the CSS Fund; or
(ii) out of the Consolidated Revenue Fund; or
(iii) partly out of the CSS Fund and partly out of the Consolidated Revenue Fund;
(b) from one of the following as determined by the Minister under subsection 34(1) of the Act:
(i) out of the PSS Fund; or
(ii) out of the Consolidated Revenue Fund; or
(iii) partly out of the PSS Fund and partly out of the Consolidated Revenue Fund; and
(c) from one of the following as determined by the Minister under subsection 34(1) of the Superannuation Act 2005:
(i) out of the PSSAP Fund; or
(ii) out of the Consolidated Revenue Fund; or
(iii) partly out of the PSSAP Fund and partly out of the Consolidated Revenue Fund.”
3.19 Subclauses 9.4 and 9.5 are deleted.
3.20 Paragraph (a) of subclause 12.1 is replaced with the following paragraph:
“(a) a Trustee; or”
3.21 The following paragraph is inserted immediately after paragraph (a) of subclause 12.1:
“(aa) a member of the staff of the Board; or”
3.22 Paragraph (a) of subclause 12.3 is replaced with the following paragraph:
“(a) if the delegate is a Trustee — to:
(i) another Trustee; or
(ii) a person referred to in paragraph 12.1(aa), (b), (c), (d), (e) or (f); or”
3.23 Paragraph (c) of subclause 12.3 is replaced with the following paragraph:
“(c) if the delegate is a person referred to in paragraph 12.1(aa), (c), (d), (e) or (f) — to:
(i) another person referred to in the same paragraph; or
(ii) a person referred to in another of those paragraphs.”
IN WITNESS WHEREOF this Deed has been executed the day and year first hereinbefore written.
SIGNED, SEALED AND DELIVERED )
)
by the Honourable NICHOLAS HUGH MINCHIN ) Nick Minchin
)
Minister for Finance and Administration )
)
for and on behalf of )
)
THE COMMONWEALTH OF )
)
AUSTRALIA, in the presence of: ) R Mikkonen
)
)
(name) ) REBECCA MIKKONEN
)
)
(address) ) C/- MG68
) PARLIAMENT HOUSE
) CANBERRA ACT 2600
(description) ) EXECUTIVE ASSISTANT
)