ACT 26 OF 2008

THE KERALA PAYMENT OF PENSION TO MEMBERS OF

LEGISLATURE (AMENDMENT) ACT, 2008

            An Act further to amend the Kerala Payment of Pension to Members of Legislature (Amendment) Act, 1976.

            Preamble.- WHEREAS, it is expedient further to amend the Kerala Payment of Pension to Members of Legislature (Amendment) Act, 1976 for the purposes hereinafter appearing;

            BE it enacted in the Fifty-ninth Year of the Republic of India as follows:-

            1.  Short title and commencement.- (1)  This Act may be called the Kerala Payment of Pension to Members of Legislature (Amendment) Act, 2008.

                   (2) Save as otherwise provided in this Act, it shall come into force at once.

           2.  Amendment of section 2.- In section 2 of the Kerala Payment of Pension to Members of Legislature (Amendment) Act, 1976 (46 of 1976) (hereinafter referred to as the principal Act).-

    (1) insub-section (1E),-

             (a)  in the opening paragraph, for the words "the minor son or the  unmarried daughter or both", the words "the minor son or the unmarried daughter or the mentally retarded son or daughter or all of them together" shall be substituted;

             (b) in clause (i), after the words "twenty-five years", the words "or he starts earning his livelihood, whichever is earlier" shall be inserted;

             (c) in clause (ii), after the words "she gets married", the words "or she starts earning her livelihood" shall be inserted;

            (d) after clause (ii), the following clause shall be inserted, namely:-

                 "(iia) in the case of mentally retarded son or daughter, without  considering age.".

    (2) after sub-section (3), the following Noteshall be inserted, namely:-

            “Note: This sub-section shall be deemed to have come into force on the 14th day of May, 1996.”.

          3.  Insertion of new section 2B.- In the principal Act, after section 2A, the following section shall be inserted, namely:-

            “2B. Free Transit Coupons for ex-Members of the Legislative Assembly.- (1) Subject to such rules as may be made in this behalf, any person, who has served as a member referred to in clause (i) or clause (ii) or clause (iii) of sub-section (1) of section 2 shall, at the option of such ex-Member, be provided with all or any of the following free transit coupons of an aggregate value of twelve thousand rupees for a period of twelve calendar months, namely:-

        (i)    rail travel coupons for travel by such ex-member by rail; and

        (ii)   fuel coupons for the purchase of fuel for the travel of such ex-member in a private vehicle:

         Provided that it shall be lawful for the Government to enhance, by order, from time to time, the aforesaid amount of free transit coupons proportionate to the periodical increase in rail charges made by the Central Government.

        (2) Subject to such rules as may be made in this behalf every ex-member shall be entitled to utilise such rail travel coupons for the travel by such ex-member and his or her spouse and one companion in any class by any railway in India.”.

          4. Amendment of the Schedule.- In the principal Act, for the Schedule, the following Schedule shall be substituted, namely:-

“SCHEDULE

[See section 2 (1)]

Rate of Pension

           Provided that where any person has served as a member as stated in sub-section (1) of section 2 for a period exceeding five years, there shall be paid to him an additional pension of five hundred rupees per mensem for every year in excess of five years:

          Provided further that in calculating the net qualifying period for pension, fraction of half year and above shall be rounded to the next completed year:

         Provided also that the maximum pension to which a member is eligible under this Act shall not, in the aggregate, exceed rupees twenty thousand per mensem.”.

STATEMENT OF OBJECTS AND REASONS

            The last revision of pension to the Ex-Members of the Kerala Legislative Assembly was made in the year 2005 by Act 44 of 2005.  The rate of pension has to be enhanced due to the increase in price of commodities and other charges.

            As per sub-section (1E) of section 2 of the Kerala Payment of Pension to Members of Legislature (Amendment) Act, 1976 (46 of 1976), the minor son or unmarried daughter or both, as the case may be, of the member shall be entitled to a family pension from the date of death of the spouse subject to the following conditions, namely:-

      (i)     in the case of minor son, until he attains the age of twenty five years;

      (ii)    in the case of unmarried daughter, until she attains the age of twenty five years or she gets married which ever is earlier.

          But there is an ambiguity regarding payment of pension to a son/daughter, who has started earning his/her livelihood before attaining the age of twenty five years.  Payment of pension to such persons has to be avoided.  This has to be clarified.  Government have decided to extend the benefit of family pension to the mentally retarded son/daughter without considering their age.  Government have also proposed to give retrospective effect to sub-section (3) of section 2 of the Payment of Pension to Members of Legislature (Amendment) Act, 1976 as amended by Act 44 of 2005 with effect from 14th May, 1996.  Government have also decided to introduce free transit coupons to Ex-Members of Legislative Assembly of an aggregate value of twelve thousand rupees for a period of twelve calendar months.

          Further it is decided to enhance the minimum pension of the Ex-Members of Legislative Assembly from the existing rate of two thousand and five hundred rupees to four thousand and five hundred rupees to the rate of four thousand rupees to six thousand rupees and the maximum pension from seventeen thousand and five hundred rupees to twenty thousand rupees per mensem.

          The Bill seeks to amend the Payment of Pension to Members of Legislature (Amendment) Act, 1976 to achieve the above object.

      FINANCIAL MEMORANDUM

           Clause 3 of the Bill seeks to introduce free transit coupons of an aggregate value of twelve thousand rupees for a period of twelve calendar months to the Ex-Members of Legislative Assembly.

           In clause 4 of the Bill seeks to enhance the minimum pension of the Ex-Members of Legislative Assembly from the existing rate of two thousand and five hundred rupees to four thousand and five hundred rupees to the rate of four thousand rupees to six thousand rupees and the maximum pension from seventeen thousand and five hundred rupees to twenty thousand rupees per mensem.

        The Bill if enacted and brought into operation would involve a fairly substantial amount of expenditure of a recurring nature, for its implementation.  The actual expenditure that may have to be incurred on this account from the Consolidated Fund of the State cannot be estimated with any reasonable degree of the accuracy at this stage.

MEMORANDUM REGARDING DELIGATED LEGISLATION

             The section 2B of the Act proposed to be inserted by clause 3 of the Bill seeks to empower the Government to make such rules prescribing free transit coupons and the method of utilization of such coupons for rail travel for Ex-members of the Legislative Assembly.  The above matter is of routine or administrative nature.  The delegation of legislative power is, thus of a normal character.

                                                                                                            M. VIJAYAKUMAR.