Document ID: chunk:federal_register_of_legislation:F2008B00485:body:0:p6
Version: federal_register_of_legislation:F2008B00485
Segment Type: other
Provision Reference: 
Character Range: 14606–17579

and only if that employer completely satisfies each of the following requirements:

      (a) the arrangement provides benefits from the employer's own source of funds without obtaining a special supplementation from the Commonwealth;

      (b) the arrangement provides for superannuation benefits to be provided from a fully-funded fund as defined;

      (c) the projected costs to the employer of the arrangement are reasonable having regard to the circumstances of the employer and the cost of superannuation arrangements in the Commonwealth public sector generally;

      (d) the employer is a person that:

        (i) employs people under a relevant law as defined in the Act; or

        (ii) is a relevant body as defined in the Act; or

        (iii) is the subject of a declaration under subsection 3(5) of the Act; and

      (e) the employer does not employ people under the Public Service Act 1922;

      (f) on a normal basis less than 30 per cent of the employer's operating expenses are financed by monies provided by the Commonwealth by way of an operating subsidy;

      (g) the employer generally competes in the open market place for the goods or services it produces, charges the public or other agencies and entities at market rates for the goods or services it produces, has the capacity to pay dividends on profits, sets performance targets in terms of minimum acceptable rates of return, and has the power to reinvest or retain all or a proportion of any profits that might be earned;

      (h) the employer has an accepted system of accrual accounting and reporting;

      (i) the employer has an accountability framework in place which Ministers have agreed; and

      (j) the employer has a capital structure to which the Commonwealth has agreed.

   12. Before the employer establishes a superannuation scheme for the first time for more than one employee, the employer must in writing and by certified mail:

      (a) advise the Assistant Secretary that the employer satisfies the requirements in clause 11;

      (b) provide to the Assistant Secretary a detailed explanation of the manner in which the employer satisfies the requirements in clause 11; and

      (c) if the employer is a participating employer in the Public Sector Superannuation scheme, advise the Assistant Secretary of the arrangements being made to exclude new employees from membership of the Public Sector Superannuation scheme.

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   13. The employer is not to establish a superannuation scheme until after a period of 60 days from the day that the Assistant Secretary receives the required advice or any lesser period agreed to in writing by the Assistant Secretary.

DIVISION II: REPORTING PROCEDURES

   14. Each year after the end of the employer's "reporting period", such reporting period being the same period as for the employer's Annual Report, an employer operating its