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3Administration of salaries, allowances, annuities, expenses, and services for members and others Empowered by s 58

1Administration of salaries, allowances, and annuities

2Period for which salaries and allowances of members payable

The salary and allowance of each member are payable for the period—
starting on the day after polling day for the election at which the member is elected; and
ending on the earlier of the following days:
1. polling day for the next general election:
2. the day on which the member’s seat becomes vacant.

However, if the member is returned at a by-election that is not contested,—
subclause (1)(a) does not apply; and
the member’s salary and allowance are payable starting on the day of the return of the writ for the by-election under section 185 of the Electoral Act 1993.

If the member is declared to be elected to fill a vacancy in the seat of a member elected from a party list,—
subclause (1)(a) does not apply; and
the member’s salary and allowance are payable starting on the day on which the member is returned under section 138(a) of the Electoral Act 1993.

Certain circumstances in which salaries and allowances payable

3Additional salary payable if member does not stand or is not re-elected at general election

This clause applies to a person who is a member immediately before the dissolution of a Parliament and—
is not a candidate at the next general election; or
is an unsuccessful candidate at that general election.

A salary is payable to the person for the period—
starting on the day after the day on which the salary payable to the person under clause 2 ceases to be payable; and
ending on the day that is 3 months after polling day (the end date).

If the person is, before the end date, declared to be elected as a member following a by-election,—
subclause (2)(b) does not apply; and
a salary is payable to the person for the period ending on the day before the day of the return of the writ for the by-election under section 185 of the Electoral Act 1993.

If the person is, before the end date, declared to be elected as a member following a vacancy arising in the seat of a member elected from a party list,—
subclause (2)(b) does not apply; and
a salary is payable to the person for the period ending on the day before the day on which the member is returned under section 138(a) of the Electoral Act 1993.

If the person dies before the end date, clause 8 applies, starting on the day after the date on which the member dies.

4Rate at which additional salary payable

A salary under clause 3 is payable at the previous ordinary member rate, unless subclause (2) or (3) applies.
If, on polling day, the person held office as Speaker or Deputy Speaker, the person’s salary under clause 3 is payable—
at the particular member rate for the period starting on the day after polling day and ending on the day of the first meeting of the House of Representatives after the general election; and
at the previous ordinary member rate for the period starting on the day after the day of the first meeting of the House of Representatives after the general election and ending on the day that is 3 months after polling day.

If, on polling day, the person held office as a Minister or as a Parliamentary Under-Secretary, the person’s salary under clause 3 is payable—
at the particular member rate for the period starting on the day after polling day and ending on the day on which the person ceases to hold that office; and
at the previous ordinary member rate for the period starting on the day after the day on which the person ceases to hold that office and ending on the day that is 3 months after polling day.

In respect of a person to whom subclause (2) or (3) applies,—
if the circumstances described in clause 3(4) or (5) subsequently apply to that person, the salary payable under subclause (2) or (3), as the case may be, ceases to be payable on the day specified in clause 3(4)(b) or (5)(b), whichever is applicable:
if the circumstances described in clause 3(6) subsequently apply to that person,—
1. the salary payable under subclause (2) or (3) ceases to be payable on the day of the person’s death; and
2. clause 8 applies, starting on the day after the date on which the member dies.

In this clause, particular member rate means the rate at which the salary determined under section 70 was payable, as at polling day, to the holder of the office of the Speaker, the Deputy Speaker, a Minister, or a Parliamentary Under-Secretary, as applicable.

5Salaries and allowances payable in case of election petition

This clause applies if an election petition relating to a member’s election to the House of Representatives is presented to the court in accordance with Part 8 of the Electoral Act 1993.
Subclause (3) applies if the court determines at the end of the trial of an election petition that—
a person elected or returned was not duly elected or returned; or
the election at which the person was elected or returned was void.

The person must be paid the salary and allowance to which the person would have been entitled if the person had been duly elected or returned as a member for the period—
starting on—
1. the day after polling day; or
2. in the case of a by-election that is not contested, the day of the return of the writ for the by-election under section 185 of the Electoral Act 1993; and
ending on the earlier of the following days:
1. the day on which the House of Representatives gives section 246 directions for the altering of the return:
2. the day on which the seat becomes vacant.

Subclause (5) applies if—
the court determines at the end of the trial of an election petition that a person other than the person elected or returned was duly elected; and
the return is altered in accordance with section 246 directions to carry out the court’s determination.

The person determined to be duly elected must be paid the salary and allowance to which the person would have been entitled if that person’s name had been endorsed on the writ or return when it was first returned.
In this clause,—
court means the High Court or the Court of Appeal
election petition has the meaning given to it by section 229(1) of the Electoral Act 1993
section 246 directions means directions under section 246(2) of the Electoral Act 1993.

Certain circumstances in which salaries and allowances not payable

6Deductions from salary payments if member absent from House of Representatives

If a member has been absent from the House of Representatives for a total of 3 sitting days since the start of a calendar year, an amount must be deducted from the member’s gross salary for the fourth and each subsequent sitting day on which the member is absent during the calendar year.
The amount to be deducted must be calculated in accordance with the following formula:
$a × b$

Where:
- a a
  is 0.2%
- b b
  is the gross yearly salary payable to that member as at the date of the member’s absence.
The deduction must be made as soon as practicable after the sitting day for which the deduction is required to be made.
However, before a deduction is made, the Speaker must certify that—
the circumstances described in subclause (1) apply to the member concerned; and
the member’s gross salary must be deducted in accordance with this clause.

A member is only to be treated as absent on a particular day if the member is, on that day, absent without permission in accordance with the rules and practice of the House of Representatives.

7Deductions from salary payments if member suspended from service of House of Representatives

If the House of Representatives suspends a member from the service of the House of Representatives, an amount must be deducted from the member’s gross salary for each day that the member is suspended.
The amount to be deducted must be calculated in accordance with the following formula:
$a × b$

Where:
- a a
  is 0.2%
- b b
  is the gross yearly salary payable to that member as at the date of the member’s suspension.
The deduction must be made as soon as practicable after the day on which the member is suspended.
However, before a deduction is made, the Speaker must certify that—
the member has been suspended from the House of Representatives; and
the member is suspended for a specified period (which must be stated in the certificate); and
the member’s gross salary must be deducted in accordance with this clause.

Member dying in office: entitlements of family members

8Salary payments to spouse, partner, dependent child, or adult dependant of member dying in office

This clause applies if a member dies—
while in office; or
during the period described in clause 3(2).

If the member is survived by a spouse or partner, the spouse or partner must be paid the specified sum of money.
If the member is not survived by a spouse or partner but is survived by a dependent child or an adult dependant, the specified sum of money must be paid—
to the dependent child or adult dependant; or
if the member is survived by more than 1 dependent child or adult dependant, to those children or dependants in equal shares.

If all or part of a specified sum of money is payable under this clause to a person who is under the age of 18 years, the money may be paid, by direction of the Speaker, to—
that person; or
a guardian or caregiver of that person, to be applied solely for the maintenance, education, advancement, or benefit of that person.

Receipt of the money by the guardian or caregiver is a good discharge to the Speaker for the payment of the specified sum of money or for that part of the specified sum of money that was payable.
The specified sum of money to be paid under this clause is calculated by whichever of the following methods is applicable:
in the case of a member who dies while in office,—
1. calculating the salary payable at the ordinary member rate for the 3-month period starting on the day after the date on which the member dies (the gross amount); and
2. treating the gross amount as the member’s income for tax purposes:
in the case of a member who dies during the period described in clause 3(2),—
1. calculating the salary payable at the previous ordinary member rate for the remainder of that period (the remaining amount); and
2. treating the remaining amount as the member’s income for tax purposes.

9Conflicting claims by family members to payment

If more than 1 person claims to be entitled to a payment under clause 8(2) or (3), the chief executive must decide—
whether more than 1 person is entitled to the payment; and
if so, the proportion of the payment payable to each person entitled to it.

The chief executive must make, or arrange for, the payment in accordance with the decision.
If more than 1 person is entitled to the payment, the total amount paid to the persons entitled to it must not exceed the amount that would have been paid if only 1 person were entitled to it.
A person who claims to be entitled to a payment and who is dissatisfied with the chief executive’s decision under this clause about the payment may appeal against the decision to the High Court.
The High Court Rules 2016 and sections 126 to 130 of the District Court Act 2016 apply, with all necessary modifications, to the appeal as if it were an appeal under section 124 of that Act.
The provisions of the Senior Courts Act 2016 relating to appeals to the Court of Appeal against decisions of the High Court apply to an order or a decision of the High Court on the appeal.

Annuity payments to former Prime Ministers and surviving spouses or partners

10Payment of annuity to former Prime Minister and surviving spouse or partner

An annuity is not payable to a person under section 72(1) during any period in which the person—
holds an office for which a salary (other than a salary payable at the ordinary member rate) is payable under—
1. a determination made under section 70; or
2. the Governor-General Act 2010; or
receives an additional salary (other than a salary payable at the previous ordinary member rate) under clause 3.

The annuity payable to a surviving spouse or partner under section 72(4) is payable—
whether or not the spouse or partner remarries or re-partners; and
until the spouse or partner dies.

11Conflicting claims by family members to annuity

If more than 1 person claims to be entitled to an annuity under section 72(4), clause 9 applies as if—
a reference to a payment were a reference to an annuity; and
a reference to the chief executive were a reference to a person authorised to make decisions under this clause by the Minister Responsible for Ministerial Services.

2Administration of expenses and services

1Rules relating to expenses and services

Cost of publication of election and referendum advertisements

12Public money generally not to be used for publication of advertisements during regulated period

Public money must not be used to pay for the publication of the following advertisements:
an election advertisement that is published during the regulated period for a general election:
a referendum advertisement that is published during the regulated period for a government-initiated referendum.

This clause and clause 13 apply regardless of when any expense in relation to the advertisement is incurred or paid.

13Public money may be used for publication of certain advertisements overlapping with regulated period

This clause applies if an advertisement can be publicly funded under a determination made under section 84(1) for the purpose set out in section 84(1)(e) and—
that advertisement is an election advertisement that is published—
1. before the regulated period for the general election or by-election concerned and continues to be published during the regulated period; or
2. both before and during that regulated period; or
that advertisement is a referendum advertisement that is published—
1. before the regulated period for the government-initiated referendum concerned and continues to be published during the regulated period; or
2. both before and during that regulated period.

Public money may be used to pay for only the portion of the expenses that is attributed to publishing the advertisement before the regulated period.
The chief executive must apportion the expenses for the publication of the advertisement between—
the period before the regulated period; and
the regulated period.

No payments for period in which person receives salary as head of mission or post

14No payments for period in which person receives salary as head of mission or post

A person who receives a salary as head of mission or head of post (within the meaning of the Foreign Affairs Act 1988) in respect of any period may not receive payment under a determination made under section 70, 71, 84, 88, or 95 in respect of that period.
This clause applies despite anything in this schedule or Part 4.

Conversion of expenses and services

15Members of Parliament may apply to convert expenses and services

If subclause (2) or (3) applies, a member may ask the chief executive to approve the conversion of the relevant expense or service into an expense or a service costing a lesser amount.
Subclause (1) applies if—
a member (including a Minister) is able to use authorised funding and services determined by the Speaker under section 84(1); and
the cost of doing a particular activity in a different way is less than the cost of the equivalent expenses and services that the member is able to use under the determination.

Subclause (1) applies if—
a family member of a member (including a Minister) is able to use travel expenses determined by the Remuneration Authority under section 71(1)(a); and
the cost of carrying out the travel in a different way is less than the cost of the travel expenses determined by the Remuneration Authority.

If subclause (5) applies, a Minister may ask the chief executive responsible for Ministerial Services to approve the conversion of the relevant expense or a service into an expense or a service costing a lesser amount.
Subclause (4) applies if—
a Minister is able to use—
1. accommodation expenses determined by the Remuneration Authority under section 71(1)(b); or
2. travel expenses determined by the Minister Responsible for Ministerial Services under section 95(1); and
the cost of doing a particular activity in a different way is less than the cost of the equivalent expenses and services that the member is able to use under the applicable determination.

16Chief executive or chief executive responsible for Ministerial Services may approve application for conversion

The chief executive or the chief executive responsible for Ministerial Services, as applicable, may approve an application for an expense or a service to be converted into an expense or a service costing a lesser amount only if satisfied that—
the expense or service is authorised funding and services; and
the cost of the expense or service represents a fair value for the expense or service provided.

The chief executive or the chief executive responsible for Ministerial Services, as applicable, must inform the following persons in writing of any conversion that they approve:
the Remuneration Authority, in respect of expenses determined by the Remuneration Authority under section 71(1):
the Speaker, in respect of expenses or services determined by the Speaker under section 84(1):
the Minister Responsible for Ministerial Services, in respect of expenses determined by that Minister under section 95(1).

Recovery of amounts not eligible to be paid

17Recovery of amounts paid

This clause applies if—
the Parliamentary Service, under a determination made under Part 4 of this Act, makes a payment out of public money against a claim for expenses; and
it is later established that the person or party to or for whom the payment was made should not have been paid those expenses under this Act.

The Parliamentary Service may recover the amount paid from the person or party as a debt due to the Parliamentary Service.

2Reporting on expenses and services

18Chief executive to report on travel and accommodation expenses

The chief executive must, as soon as practicable after the end of each quarter,—
report the expenses specified in subclause (2); and
publish the report on an internet site maintained by or on behalf of Parliament.

The following expenses are to be reported in respect of each member and each party:
the total cost incurred against the appropriation in section 83(b)(i) to provide each category of travel expenses determined by the Remuneration Authority under section 71(1)(a):
the total cost of providing each category of travel expenses and accommodation expenses determined by the Speaker under section 84(1)(a) to (c).

The Parliamentary Service’s annual financial statements must include the total cost of providing, in respect of each former member and any spouse or partner of that former member, each type of travel expenses provided for in Part 3 of this schedule.
Subclause (3) is in addition to the requirements in section 45B(2) of the Public Finance Act 1989.

19Chief executive responsible for Ministerial Services to report on travel and accommodation expenses

The chief executive responsible for Ministerial Services must, as soon as practicable after the end of each quarter,—
report, in respect of each Minister,—
1. the total cost incurred against the appropriation in section 83(b)(ii) to provide accommodation expenses determined by the Remuneration Authority under section 71(1)(b); and
2. the total cost of providing travel expenses determined by the Minister Responsible for Ministerial Services under section 95; and
publish the report on an internet site maintained by or on behalf of the department responsible for Ministerial Services.

20Clerk to report on travel and accommodation expenses

The Clerk must, as soon as practicable after the end of each quarter,—
report, in respect of each member and each party, the total cost incurred to provide the travel expenses and accommodation expenses determined by the Speaker under section 88; and
publish the report on an internet site maintained by or on behalf of Parliament.

3Travel rebates for members in office before 1999 general election

21Who this Part applies to

This Part applies in relation to the travel expenses of—
a former member; and
if applicable, the spouse or partner of that former member.

1Entitlement to travel rebates

22Interpretation of this Part

In this Part, unless the context otherwise requires,—
corrupt practice has the meaning given to it by section 3(1) of the Electoral Act 1993
fare, in relation to travel,—
1. includes any tax and service fees payable in respect of the travel; but
2. does not include any amounts paid as cancellation fees or for accommodation
former member travel rebate means a rebate of the cost of fares for travel payable under this Part to a former member or the spouse or partner of a former member
private business purposes, in relation to a person’s travel,—
1. means purposes relating to the person's own business interests or the business interests of any other person, trust, company, or organisation (including a charity); and
2. includes purposes relating to the political activities or the management, administration, or governance of a political party (regardless of whether that political party is a party within the meaning of this Act)
spouse or partner, in relation to a former member, means a person who—
1. was the spouse or partner of the former member at the time the former member ceased to be a member; and
2. is the spouse or partner of the former member at the time of claiming a rebate under this Part.

23Travel rebates for former members

The Parliamentary Service must, in accordance with this Part, pay former member travel rebates to a former member—
on and after the date on which they cease to be a member; and
at all times while they are no longer a member.

Subclause (1) applies regardless of whether the former member ceases to be a member before or after the commencement of this schedule.

24Travel rebates for spouses or partners of former members

The Parliamentary Service must—
pay to the spouse or partner of a former member the same former member travel rebates that are payable to the former member; and
pay those rebates on the same conditions as apply to payments to the former member.

Rebates continue to be payable to a spouse or partner of a former member after the death of the former member—
if the spouse or partner was the spouse or partner of the former member at the date of the former member’s death; and
regardless of whether the surviving spouse or partner remarries or re-partners.

For the purposes of this clause, former member also includes a person who was a member of Parliament before the 1999 general election and who died while in office, becoming a former member within the meaning of section 60 on the date of their death.

25Disqualification of certain former members and spouses or partners

Despite clauses 23 and 24, a former member travel rebate is not payable to a former member, or the spouse or partner of a former member if, at the time of the travel,—
the former member has been convicted of either of the following, committed while the former member was a candidate, a member, or a former member:
1. an offence punishable by imprisonment for a term of 2 years or more:
2. a corrupt practice; or
the former member has been reported by the High Court in its report under section 244 of the Electoral Act 1993 on the trial of an election petition to have been proved guilty of a corrupt practice that was committed while the former member was a candidate, a member, or a former member.

A former member travel rebate is not payable to the spouse or partner of a former member if, at the time of the travel,—
the spouse or partner has been convicted of either of the following, committed after the former member left Parliament:
1. an offence punishable by imprisonment for a term of 2 years or more:
2. a corrupt practice; or
the spouse or partner has been reported by the High Court in its report under section 244 of the Electoral Act 1993 on the trial of an election petition to have been proved guilty of a corrupt practice that was committed after the former member left Parliament.

In this clause, candidate means—
a constituency candidate or a list candidate; or
a person who has declared their intention of becoming a constituency candidate or a list candidate.

26Claims for travel rebates

A former member, or the spouse or partner of a former member, who incurs an expense for which a travel rebate is payable must ask the chief executive to approve the payment of the rebate.
A request for a rebate must be in the form, and contain the information, required by the chief executive.

27Resolving issues about former member travel rebates

The Remuneration Authority must establish a procedure for resolving issues about a person’s eligibility for a former member travel rebate or how any provision of this Part is to be interpreted or applied.
The procedure must provide for—
at least the following 2 stages:
1. an assessment of the issue, including whether the issue is able to be resolved by agreement:
2. if required, a final decision by the Remuneration Authority; and
the participation of the chief executive.

2Applicable travel services and amounts of travel rebates

28Travel services for which rebates are payable

Former member travel rebates are payable under this Part for the following travel services:
scheduled air services (domestic and international):
scheduled rail services:
scheduled road travel services:
scheduled inter-island travel on inter-island ferries.

However, rebates are not payable for the following:
suburban rail travel:
suburban road travel:
the carriage of a motor vehicle, or the use of a cabin, on an inter-island ferry.

Rebates are—
payable in accordance with the rules set out in clause 29; and
subject to the limitations set out in clauses 30 to 32.

29Rebate rules

This clause sets out the rules according to which former member travel rebates are payable.
The rules concerning fares that are eligible for a rebate are as follows:
a rebate is payable if the former member paid the fare personally (without relying on public funds or any other source of funding):
no rebate is payable for travel for private business purposes:
if a former member travels for a mixture of personal purposes and private business purposes, the rebate is payable only for the part of the fare that is additional to the cost that would have been incurred if only the private business part of the journey had been undertaken.

The rules concerning the amount of rebate payable are as follows:
the amount of rebate that is payable is the appropriate percentage, set out in the table following this subclause, of the eligible fare:
the eligible fare for domestic travel is the fare for economy-class travel available at the time the travel is booked (or the actual fare paid, if less):
the eligible fare for international air travel is the fare for business-class travel available at the time the travel is booked (or the actual fare paid, if less).

The following table is small in size and has 2 columns. Column 1 is headed Number of complete terms of Parliament through which former member in office. Column 2 is headed Percentage of fare payable (%).
Table of rebates applicable
Number of complete terms of Parliament through which former member in office		Percentage of fare payable as rebate
Less than 2		0%
2		If former member has served as a Speaker or as a Minister (but not as a Parliamentary Under-Secretary): 50% Other cases: 0%
2 (and part of a third)		If former member has served as a Speaker or as a Minister (but not as a Parliamentary Under-Secretary): 50% Other cases: 0%
3		60%
3 (and part of a fourth)		60%
4		75%
4 (and part of a fifth)		75%
5 or more		90%

The rebate that is payable under this clause is subject to clauses 30 to 32.

30Limitations in relation to domestic travel

A rebate is payable for the cost of fares for up to 12 return air trips between any 2 points within New Zealand in each financial year.
A rebate is payable for the cost of fares for up to 12 return trips by any, or any combination, of the following scheduled surface travel services between any 2 points within New Zealand in each financial year:
rail travel:
road travel:
inter-island travel on inter-island ferries.

A one-way trip by air, rail, road, or inter-island ferry is to be treated as one-half of a return trip.

31Limitation in relation to international air travel

The total amount of rebates paid to a former member for international air travel in each year must not exceed the amount of rebate to which the former member would have been entitled if they had flown between Auckland and London using the lowest-cost online business-class return air fare as at 1 July in the relevant year.
Rebates are paid for travel in respect of the relevant year.

32Terms in office after 3 October 2008 not included in calculation of amount of rebate

For the purpose of determining the appropriate percentage of an eligible fare under clause 29(3)(a), the number of terms the former member has been in office does not include any term after 3 October 2008.

1Outline of this schedule

Part 1 of this schedule sets out provisions relating to administering salaries, allowances, and annuities, additional to those in Part 4 of this Act.
Part 2 of this schedule sets out provisions relating to administering expenses and services, additional to those in Part 4 of this Act.
Part 3 of this schedule provides for travel rebates for former members who held office before the 1999 general election.