Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698751446827.pdf (New Zealand)
Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Government Bill Explanatory note General policy statement The Social Assistance (Portability to Cook Islands, Niue, and Toke- lau) Bill is introduced under Standing Order 260(a), which provides that an omnibus Bill to amend more than 1 statute may be introduced if the amendments deal with an interrelated topic that can be regarded as implementing a single broad policy.
This Bill will give effect to the Government’s policy on portability of New Zealand superannuation and the veteran’s pension to the Cook Islands, Niue, and Tokelau.

Eligible New Zealanders can currently receive their New Zealand superannuation and veteran’s pension in the Cook Islands, Niue, and Tokelau under the Special Portability Arrangement (the Arrangement).

However, under the Arrangement they must be resident and present in New Zealand on the date of ap- plication for either of those benefits.
The Bill will amend the Ar- rangement to allow eligible residents of the Cook Islands, Niue, and Tokelau to apply from either of those countries or that territory for their New Zealand superannuation and veteran’s pension at age 65.
The changes take into account New Zealand’s close constitutional ties with the Cook Islands, Niue, and Tokelau and are part of New Zealand’s commitment to support their ongoing economic and social 233—1 2 Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Explanatory note viability.
The changes will allow the Cook Islands, Niue, and Toke- lau to attract capital and skills from their citizens who have moved to New Zealand, as well as other New Zealanders who may choose to spend their retirement years in either of those countries or that ter- ritory.
Minister of Finance’s statement on consultation process followed in formulation of amendment to New Zealand Superannuation and Retirement Income Act 2001 included in Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Introduction Section 73 of the New Zealand Superannuation and Retirement Income Act 2001 (the Act) provides that the Minister must, on introduction into the House of Representatives of a Government Bill that proposes an amendment to the Act, bring to the attention of the House the consultation process followed in formulating the pro- posed amendment.
The term Minister, for the purposes of section 73, is defined in section 5 of the Act as the Minister of Finance.

The statement must include (without limitation)— • whether consultation has taken place with the parties that are in agreement with the Part proposed to be amended (as listed in Schedule 4 of the Act): whether consultation has taken place with the Guardians of New Zealand Superannuation (to the extent that the amend- ment relates to Part 2 of the Act): the results of the consultation.
• This Bill proposes amendments to Part 1 of the Act.

The Bill also proposes amendments to the Social Security Act 1964 and the War Pensions Act 1954.

Consultation process The amendments in the Bill have been the subject of a long-standing request from the leaders of the Cook Islands, Niue, and Tokelau, who view greater flexibility around pension portability as a driver for in- creased economic activity in those countries and that territory.
• Explanatory note Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill 3 The proposed amendments are clearly beneficial for people who wish to move permanently to the Cook Islands, Niue, or Tokelau and there- fore consultation has not been undertaken with the parties that are in agreement with the Part proposed to be amended (as listed in Sched- ule 4 of the Act).
These are the Green Party, the New Zealand Labour Party, the Progressive Coalition Party (which was deregistered as a political party in 2012), and United Future New Zealand.

The Ministry of Foreign Affairs and Trade, Veterans’ Affairs New Zealand, and the Ministry for Pacific Island Affairs support the pro- posed amendments to the Act.

No consultation was undertaken with the Guardians of New Zealand Superannuation, as the Bill does not propose to amend Part 2 of the Act.
Departmental disclosure statement The Ministry of Social Development is required to prepare a disclos- ure statement to assist with the scrutiny of this Bill.

The disclosure statement provides access to information about the policy develop- ment of the Bill and identifies any significant or unusual legislative features of the Bill.

A copy of tion.govt.nz/disclosure.aspx?type=bill&subtype=govern- ment&year=2014&no=233&.
the statement can be found at http://legisla- Regulatory impact statement The Ministry of Social Development produced a regulatory impact statement on 26 April 2013 to help inform the main policy decisions taken by the Government relating to the contents of this Bill.
A copy of this regulatory impact statement can be found at— • http://www.msd.govt.nz/about-msd-and-our-work/publi- cations-resources/regulatory-impact-statements/portabil- ity-of-new-zealand-superannuation.html http://www.treasury.govt.nz/publications/informationre- leases/ris • Clause by clause analysis Clause 1 is the Title clause.
4 Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Explanatory note It is intended that the Bill will be divided into the following 3 separate Bills at the committee of the whole House stage: • New Zealand Superannuation and Retirement Income (Porta- bility to Cook Islands, Niue, and Tokelau) Amendment Bill: War Pensions (Portability to Cook Islands, Niue, and Tokelau) Amendment Bill: Social Security (Portability to Cook Islands, Niue, and Toke- lau) Amendment Bill.
• • Clause 2 provides that the Bill comes into force on 1 July 2015.

Part 1 Preliminary provisions Clause 3 states the purpose of the Bill, which is to allow eligible persons who reside in the Cook Islands, Niue, or Tokelau to be able to apply from either of those countries or that territory for New Zealand superannuation or a veteran’s pension and be paid these benefits in either of those countries or that territory or in other specified Pacific countries.
Part 2 Amendments to enactments Subpart 1—Amendments to New Zealand Superannuation and Retirement Income Act 2001 Clause 4 provides that subpart 1 amends the New Zealand Super- annuation and Retirement Income Act 2001 (the principal Act).
Clause 5 amends section 8(a) to include 2 exceptions to the require- ment that a person be ordinarily resident in New Zealand on the date of application for New Zealand superannuation or a veteran’s pen- sion for residents of the Cook Islands, Niue, or Tokelau who meet the criteria in new section 31(4) of the principal Act or new section 74O(4) of the War Pensions Act 1954.
Clause 6 inserts new section 31(4), which sets out the criteria for resi- dents of the Cook Islands, Niue, or Tokelau who have departed from New Zealand before reaching the age of eligibility for New Zealand superannuation, but who will be able to apply for the benefit in either Explanatory note Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill 5 of those countries or that territory and be paid the benefit in a speci- fied Pacific country under one of the exceptions in new section 8(a).
Clause 6 also inserts new section 31(5), which provides that an appli- cation to be paid New Zealand superannuation in a specified Pacific country under new section 31(4) must be made in addition to an ap- plication to be paid New Zealand superannuation under section 11D of the Social Security Act 1964.
Clause 6 also inserts new section 31(6), which provides that the 2 applications referred to in new sec- tion 31(5) may be made together or separately and may be made be- fore the applicant meets the age qualification for New Zealand super- annuation or when or after the applicant meets the age qualification.
Clause 7 inserts new section 33(1A) to include an exception to the usual commencement date of payment of New Zealand superannu- ation in specified Pacific countries for those to whom new section 31(4) applies.

The usual commencement date is the first pay day after the person’s departure from New Zealand.
Because those to whom new section 31(4) applies will depart New Zealand before reaching the age of eligibility for New Zealand superannuation, the applicable commencement date is the later of the date the applicant reaches that age and the date the application for that benefit is made.

Subpart 2—Amendments to War Pensions Act 1954 Clause 8 provides that subpart 2 amends the War Pensions Act 1954 (the principal Act).
Clause 9 inserts new section 74O(4), which sets out the criteria for residents of the Cook Islands, Niue, or Tokelau who have departed from New Zealand before reaching the age of eligibility for New Zealand superannuation, but who will be able to apply for a veteran’s pension in either of those countries or that territory and be paid that benefit in a specified Pacific country under one of the exceptions in new section 8(a) of the New Zealand Superannuation and Retirement Income Act 2001.
Clause 9 also inserts new section 74O(5), which provides that an application to be paid a veteran’s pension in a speci- fied Pacific country under new section 74O(4) must be made in add- ition to an application to be paid a veteran’s pension under section 11D of the Social Security Act 1964.
Clause 9 also inserts new sec- tion 74O(6), which provides that the 2 applications referred to in new 6 Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Explanatory note section 74O(5) may be made together or separately and may be made before the applicant meets the age qualification for New Zealand superannuation or when or after the applicant meets the age quali- fication.
Clause 10 inserts new section 74Q(1)(c) to include an exception to the usual commencement date of payment of the veteran’s pension in specified Pacific countries for those to whom new section 74O(4) ap- plies.

The usual commencement date is the first pay day after the per- son’s departure from New Zealand.
Because those to whom new sec- tion 74O(4) applies will depart New Zealand before reaching the age of eligibility for New Zealand superannuation, the applicable com- mencement date is the later of the date the applicant reaches that age and the date the application for a veteran’s pension is made.

Subpart 3—Amendment to Social Security Act 1964 Clause 11 provides that subpart 3 amends the Social Security Act 1964 (the principal Act).
Clause 12 inserts new section 11D(9A) to include an exception to sec- tion 11D(8) for residents of the Cook Islands, Niue, or Tokelau who meet the criteria in new section 31(4) of the New Zealand Superannu- ation and Retirement Income Act 2001 or new section 74O(4) of the War Pensions Act 1954.
Section 11D(8) provides that an application for a benefit lapses 20 working days after first contact if the require- ments in section 11D(2) (application form and supporting evidence have been received by the department) have not been met within that time.

Section 11D(8) will not apply to those to whom new section 31(4) of the New Zealand Superannuation and Retirement Income Act 2001 or new section 74O(4) of the War Pensions Act 1954 ap- plies.
Hon Paula Bennett Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Government Bill Contents Title Commencement Purpose Part 1 Preliminary provisions Part 2 Amendments to enactments Subpart 1—Amendments to New Zealand Superannuation and Retirement Income Act 2001 Principal Act Section 8 amended (Residential qualification for New Zealand superannuation) Section 31 amended (Entitlement to be paid New Zealand superannuation in specified Pacific country) Section 33 amended (Commencement and termination of payments) Subpart 2—Amendments to War Pensions Act 1954 Principal Act Section 74O amended (Entitlement to be paid veteran’s pension in specified Pacific country) 233—1 Page 2 2 2 2 3 3 4 4 4 1 cl 1 10 Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Section 74Q amended (Commencement and termination of payments) Subpart 3—Amendment to Social Security Act 1964 11 12 Principal Act Section 11D amended (Application process for benefits) 5 5 6 The Parliament of New Zealand enacts as follows: Title This Act is the Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Act 2014.
Commencement This Act comes into force on 1 July 2015.

5 Part 1 Preliminary provisions Purpose The purpose of this Act is to allow eligible persons who re- 10 side in the Cook Islands, Niue, or Tokelau to be able to apply from either of those countries or that territory for New Zealand superannuation or a veteran’s pension and be paid these bene- fits in either of those countries or that territory or in other spe- cified Pacific countries.
15 Part 2 Amendments to enactments Subpart 1—Amendments to New Zealand Superannuation and Retirement Income Act 2001 20 Principal Act This subpart amends the New Zealand Superannuation and Retirement Income Act 2001 (the principal Act).
1 2 3 4 2 Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Part 2 cl 6 5 Section 8 amended (Residential qualification for New Zealand superannuation) Replace section 8(a) with: “(a) is ordinarily resident in New Zealand on the date of ap- plication for New Zealand superannuation, unless sec- 5 tion 31(4) of this Act or section 74O(4) of the War Pensions Act 1954 applies; and”.
6 (1) Section 31 amended (Entitlement to be paid New Zealand superannuation in specified Pacific country) In section 31(1), after “subsection (3)”, insert “or subsection 10 (4)”.
(2) After section 31(3), insert: “(4) This subsection applies to a person— “(a) who, on or after the date this subsection comes into force, makes an application to be paid New Zealand 15 superannuation in a specified Pacific country; and “(b) who is resident in the Cook Islands, Niue, or Tokelau on the date of the application; and “(c) who, before he or she left New Zealand to reside in one of the countries or in the territory specified in para- 20 graph (b), met the residential qualifications for New Zealand superannuation set out in section 8(b) and (c); and “(d) who is resident in a specified Pacific country when each payment of New Zealand superannuation is due to be 25 paid to him or her.
If subsection (4) applies, an application to be paid New Zealand superannuation in a specified Pacific country must be made in addition to an application to be paid New Zealand superannuation under section 11D of the Social Security Act 30 1964.
“(5) “(6) The applications referred to in subsection (5) may be made together or separately, and may be made— “(a) before an applicant meets the age qualification for New Zealand superannuation in section 7, in anticipation of 35 becoming entitled to be paid that benefit on reaching the qualifying age; or 3 Part 2 cl 7 Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill “(b) when or after the applicant meets the age qualification.” 7 Section 33 amended (Commencement and termination of payments) Replace section 33(1) with: (1) “(1) The commencement date of payment of a benefit under section 5 31 is the first pay day after the date of the person’s departure from New Zealand, unless subsection (1A) applies.” (2) After section 33(1), insert: “(1A) The commencement date of payment of a benefit to a person to whom section 31(4) applies is the later of— “(a) the date that the person meets the age qualification for New Zealand superannuation in section 7; and the date that the application referred to in section 31(4) is made.” “(b) Subpart 2—Amendments to War Pensions Act 1954 Principal Act This subpart amends the War Pensions Act 1954 (the prin- cipal Act).
Section 74O amended (Entitlement to be paid veteran’s pension in specified Pacific country) In section 74O(1), after “subsection (3)”, insert “or subsec- tion (4)”.
8 9 (1) (2) After section 74O(3), insert: “(4) This subsection applies to a person— “(a) who, on or after the date this subsection comes into force, makes an application to be paid a veteran’s pen- sion in a specified Pacific country; and “(b) who is resident in the Cook Islands, Niue, or Tokelau on the date of the application; and “(c) who, before he or she left New Zealand to reside in one of the countries or in the territory specified in para- graph (b), met the residential qualifications for New Zealand superannuation set out in section 8(b) and (c) 4 10 15 20 25 30 Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill Part 2 cl 11 of the New Zealand Superannuation and Retirement In- come Act 2001; and “(d) who is resident in a specified Pacific country when each payment of the veteran’s pension is due to be paid to him or her.
5 “(5) If subsection (4) applies, an application to be paid a veteran’s pension in a specified Pacific country must be made in addition to an application to be paid a veteran’s pension under section 11D of the Social Security Act 1964.
“(6) The applications referred to in subsection (5) may be made 10 together or separately, and may be made— “(a) before an applicant meets the age qualification for New Zealand superannuation in section 7 of the New Zealand Superannuation and Retirement Income Act 2001, in anticipation of becoming entitled to be paid a veteran’s 15 pension on reaching the qualifying age; or “(b) when or after the applicant meets the age qualification.” 10 Section 74Q amended (Commencement and termination of payments) In section 74Q(1)(b), after “into force”, insert “; and”.
20 (1) (2) After section 74Q(1)(b), insert: “(c) in the case of a person to whom section 74O(4) ap- plies, the later of— “(i) the date that the person meets the age qualifica- tion for New Zealand superannuation in section 7 25 of the New Zealand Superannuation and Retire- ment Income Act 2001; and the date that the application referred to in sec- tion 74O(4) is made.” “(ii) Subpart 3—Amendment to Social Security Act 1964 30 11 Principal Act This subpart amends the Social Security Act 1964 (the prin- cipal Act).
5 Part 2 cl 12 Social Assistance (Portability to Cook Islands, Niue, and Tokelau) Bill 12 Section 11D amended (Application process for benefits) After section 11D(9), insert: “(9A) Subsection (8) does not apply to an application for— “(a) New Zealand superannuation, if section 31(4) of the New Zealand Superannuation and Retirement Income 5 Act 2001 applies; or a veteran’s pension, if section 74O(4) of the War Pen- sions Act 1954 applies.” “(b) 12 6 Wellington, New Zealand: Published under the authority of the New Zealand Government—2014