TWENTY-EIGHTH AMENDMENT

of the

PUBLIC SECTOR SUPERANNUATION SCHEME TRUST DEED

THIS DEED is made on 21 June 2007 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 (the PSS) was established by a Trust Deed dated 21 June 1990 (the Trust Deed)[1];

AND WHEREAS The Schedule to the Trust Deed contains Rules for the administration of the PSS (the Rules);

AND WHEREAS the Trust Deed and the Rules have been amended from time to time by various Deeds;

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 the day after this Deed is registered on the Federal Register of Legislative Instruments;

(b) in relation to clauses 8 and 9, on 1 July 2007.

To avoid doubt, the amendments made by clause 8 do not affect any determination or determinations by the Board as to rates of interest and methods of allocation before 1 July 2007.

2.                       Unless a contrary intention appears, a word or phrase in this Deed has the same meaning that it has in the Trust Deed and the Rules.

3.                       The Trust Deed is amended as follows:

3.1                   Paragraph 3.2(i) is replaced with the following paragraph:

“(i) effect policies with insurers in the Board’s name to provide additional death and invalidity cover for members as provided for in the Rules;”

3.2                   Paragraph 3.2(k) is deleted.

3.3                   Subclauses 10.7 and 10.8 are deleted.

4.                       The Rules are amended by deleting Section A.

5.                       Section B of the Rules is amended as follows:

5.1                   Before the heading “Part B1 – Introduction” in the amended Rules delete the following heading:

SECTION B – DEFINED BENEFITS PLAN

5.2                   In the heading to each Part, delete the letter “B” as a prefix to the Part number.

5.3                   In each rule number, delete the letter “B” as a prefix to the rule number.

5.4                   Amend each reference to a Part of the Rules by deleting the letter “B” as a prefix to the Part number.

5.5                   Amend each reference to a rule number in the Rules by deleting the letter “B” as a prefix to the rule number.

6.                       Part 1 of the Rules, as amended by clauses 4 and 5 above, is further amended as follows:

6.1                   The heading to Division 1 is replaced with the following heading:

Division 1

6.2                   The heading to Rule 1.1.1 is replaced with the following heading:

Structure of the Rules

6.3                   Rule 1.1.1 is amended by:

(a) replacing the first sentence with the following:

"These Rules have been divided into 16 Parts, each dealing with a major aspect of the operation of the PSS scheme."

(b) in the Guide, deleting the words “Section B of” (wherever appearing);

(c) in the Guide, replacing the words:

“PSS defined benefits plan”

with the words:

“PSS scheme”

wherever appearing.

6.4                   Rules 1.1.3, 1.1.4 and 1.1.5 are replaced with the following Rules:

“1.1.3 The Rules have been numbered so that the first number refers to the Part number, the second refers to the Division number within that Part and the third to the Rule number within that Division. For example, Rule 6.3.2 is the second Rule in Division 3 of Part 6 of the Rules.

1.1.4 There are several notes, diagrams and guides within the Rules to help you understand the more complicated superannuation concepts or to warn you if you need to also look in another area of the Rules. However, these aids (including Part, Division and Rule headings) do not form part of the Rules.

1.1.5 Tables on the other hand form part of the Rules and are used to provide factors or other similar information. Examples also form part of the Rules and have been included to demonstrate a practical application of a particular rule or the combined effect of a particular Division or Part.”

6.5                   The heading to Division 2 is replaced with the following heading:

Division 2

6.6                   Rule 1.2.1 is amended by:

(a) replacing the first and second sentence of the Rule with the following:

“Because some words and phrases have a special meaning when used in these Rules they have been explained below. They appear throughout the Rules in bold print to remind you they have a special meaning.”

(b) in the definition of approved medical practitioner, deleting the words “Section B of”;

(c) replacing the definition of casual member with the following definition:

“casual member means a PSS member who is:

•      not a regular member and is not entitled to holiday leave and sick leave in his/her job; or
•      a PSS member who is paid fees on a daily basis in respect of an office or position.”

(d) deleting the definition of category A member;

(e) in the definitions of decision, pension, pensioner and surchargeable contributions, deleting the words “Section B of” (wherever appearing);

(f) in the definitions of preserved benefit and transfer amount, replacing the words:

“PSS defined benefits plan”

with the words:

“PSS scheme”

wherever appearing.

(g) deleting the definition of PSS defined benefits plan;

(h) replacing the definition of regular member with the following definition:

“regular member means a PSS member who is:

•      a permanent full-time employee;
•      a permanent part-time employee;
•      a temporary full-time employee; or
•      a temporary part-time employee who is entitled to holiday leave and sick leave in his/her job;

 but does not include a PSS member who is paid fees on a daily basis in respect of an office or position.”

7.                       Part 2 of the Rules, as amended by clauses 4 and 5 above, is further amended as follows:

7.1                   The following note is inserted immediately after Rule 2.1.1:

7.2                   Rule 2.1.1A (including the note to Rule 2.1.1A) and Rule 2.1.1B are deleted.

8.                       The Rules are further amended as follows:

8.1                   Rule 1.2.1 is amended by replacing the second dot point of the definition of accumulated funded productivity contributions with the following dot point:

“• the amount of any accumulated funded productivity contributions included in a preserved benefit applicable to the person immediately before last becoming a member, plus the amount of any interest up to his/her first day of membership in accordance with a determination or determinations by the Board as to rates of interest and the method of allocation; and”

8.2                   Rule 1.2.1 is further amended by replacing the sixth dot point of the definition of accumulated funded productivity contributions with the following dot point:

“• the interest (if any) on these amounts in accordance with a determination or determinations by the Board as to rates of interest and method of allocation;”

8.3                   Rule 1.2.1 is further amended by replacing the second dot point of the definition of accumulated member contributions with the following dot point:

“• the amount of any accumulated member contributions included in a preserved benefit applicable to the person immediately before last becoming a member, plus the amount of any interest up to his/her first day of membership in accordance with a determination or determinations by the Board as to rates of interest and the method of allocation; and”

8.4                   Rule 1.2.1 is further amended by replacing the sixth dot point of the definition of accumulated member contributions with the following dot point:

“• the interest (if any) on these amounts in accordance with a determination or determinations by the Board as to rates of interest and method of allocation.”

8.5                   Rule 1.2.1 is further amended by replacing the fifth dot point of the definition of accumulated unfunded productivity contributions with the following dot point:

“• the interest (if any) on these amounts in accordance with a determination or determinations by the Board as to rates of interest and method of allocation.”

8.6                   Rule 1.2.1 is further amended by inserting the following definition in alphabetical order:

“amount includes a nil amount.”

8.7                   Rule 1.2.1 is further amended by inserting the following definition in alphabetical order:

“cumulative has a meaning affected by Rule 1.2.5.”

8.8                   Rule 1.2.1 is further amended by inserting the following definition in alphabetical order:

“interest includes negative or zero interest, and the following words, when used in relation to interest, have a corresponding meaning – accrue, accrued, accruing, accumulate, accumulated, accumulates.”

8.9                   Rule 1.2.1 is further amended by inserting the following definition in alphabetical order:

“notional interest includes negative or zero notional interest.”

8.10               Rule 1.2.1 is further amended by inserting the following definition in alphabetical order:

“plus has a meaning affected by Rule 1.2.5.”

8.11               Rule 1.2.1 is further amended by inserting the following definition in alphabetical order:

“sum has a meaning affected by Rule 1.2.5.”

8.12               Rule 1.2.1 is further amended by inserting the following definition in alphabetical order:

“total has a meaning affected by Rule 1.2.5.”

8.13               The following rule is inserted after Rule 1.2.4:

“1.2.5 If:

(a) a provision of these Rules involves the calculation of a sum (whether the expression “cumulative”, “sum”, “total”, “plus” or any other expression is used); and

(b) the calculation involves negative interest or negative notional interest; and

(c) apart from this Rule, the sum would be less than zero;

the sum is taken to be zero.”

8.14               Rule 11.3.11 is replaced with the following Rule:

“11.3.11 Any member contributions paid by the member subsequent to the contribution due day ascertained under Rule 11.3.10, plus the interest (if any) on these contributions in accordance with a determination or determinations by the Board as to rates of interest and method of allocation, are payable to the former member.”

8.15               Subparagraph (a)(i) of Rule 12.1.5 is replaced with the following subparagraph:

“(i) the amount of lump sum paid that is no longer payable, plus such interest, if any, as the Board determines is repaid by the date specified by the Board; and”

9.                       To avoid doubt, the amendments made by clause 8 do not imply that:

(a) zero interest could not have been determined under the Rules before 1 July 2007; or

(b) zero notional interest could not have been determined under the Rules before 1 July 2007.

IN WITNESS WHEREOF this Deed has been executed the day and year first hereinbefore written.

SIGNED, SEALED AND DELIVERED  )

       )

by the Honourable NICK MINCHIN   ) Nick Minchin

       )

Minister for Finance and Administration  )

       )

for and on behalf of     )

       )

THE COMMONWEALTH OF   )

       )

AUSTRALIA, in the presence of:   )

       ) DWawn

        DAVID WAWN    )

  (name)     )

       )

 Parliament House, Canberra   )

  (address)    )

       )

  Chief of Staff    )

  (description)    )

       )

Note to the Deed:

TABLE LISTING TRUST DEED AND AMENDING DEEDS

Before 1 January 2005, section 45 of the Superannuation Act 1990 provided, in part, that instruments under subsection 5(1) amending the Trust Deed were disallowable instruments for the purposes of section 46A of the Acts Interpretation Act 1901. The effect of these provisions was that amending instruments were required to be notified in the Gazette and take effect from the date of gazettal (unless the instrument provided otherwise).

From 1 January 2005, paragraph 6(d) of the Legislative Instruments Act 2003 declared disallowable instruments (such as the instruments amending the Trust Deed) to be legislative instruments. Legislative instruments are registered on the Federal Register of Legislative Instruments instead of being notified in the Gazette.

[1] Section 3 of the Act defines “Trust Deed” to include that deed as subsequently amended. A note listing particulars of the Trust Deed and the amending deeds is set out at the end of this Deed.