October 31 2020
ESSSuper is an exempt public sector superannuation scheme under the Commonwealth's Superannuation Industry (Supervision) Act 1993 (SIS). The SIS legislation treats exempt public sector superannuation schemes as complying for concessional taxation and superannuation guarantee purposes.
The 2014 Heads of Government Agreement (the Agreement) between the Commonwealth and Victorian Governments sets out the principles of the Commonwealth's retirement incomes policy that the Victorian Government is required to comply with to ensure consistency with national superannuation standards. These principles include (but are not limited to) such matters as preservation standards, investing, benefit reporting to members, member representation, regular audit and actuarial reviews and ensuring that members' accrued benefits are fully protected.
The Victorian Government has agreed to conform with the principles of the Commonwealth's retirement income policy as reflected in the Agreement and from time to time in Commonwealth superannuation and taxation legislation. The Victorian Government is required to monitor this Agreement and publish a statement of its commitments in the ESSSuper Annual Report - including details of the processes that ESSSuper have in place to monitor compliance with the Agreement. On an annual basis, the Victorian Government is required to provide the Commonwealth Government with a copy of the ESSSuper Annual Report and confirm that there has been no legislative change in the governing rules of its exempt public sector superannuation schemes that would lead to a breach of the Agreement.
ESSSuper has a detailed compliance review program in place that assesses compliance with internal policies/procedures, Victorian Acts of Parliament and with Commonwealth superannuation and taxation legislation. The results of this program are reported regularly to the Audit Committee.