Municipalities and Public Authorities Provident Fund Act

Section 1. Interpretation Section " approved scheme " means a provident fund scheme the rules or regulations of which have been approved by the Minister under section 2 ;

Section 2. Minister to approve providentfundschemes Section 2(1) Notwithstanding the Local Governments Act, no public authority shall establish or maintain a provident fund scheme for the benefit of its employees or its members unless the proposed rules or regulations making provision for the establishment of the scheme have been approved by the Minister. Section 2(2) The Minister shall give his or her approval under subsection (1) only if— Section 2(2)(a) the proposed rules or regulations of the scheme are substantially in accordance with the draft regulations ; and Section 2(2)(b) he or she considers the rates of contributions and bonus are in accordance with the best interests of the authority and its employees or members. Section 2(3) The decision of the Minister as to whether or not the proposed rules or regulations are or are not substantially in accordance with the draft regulations shall be final.

Section 3. Amendments to the rules or regulations Section No public authority or board of management of any approved scheme shall amend or alter the rules or regulations in respect of any such scheme without prior approval of the Minister.

Section 4. Amendments to thedraft regulations Section 4(1) The Minister may from time to time by statutory instrument amend the draft regulations . Section 4(2) An amendment shall not affect any of the rules or regulations of any approved scheme in operation at the date of the amendment unless the Minister so orders, in which event due regard shall be had to the existing rights of depositors.

Section 5. Amounts in hand not assignable or liable to attachment Section 5(1) No contribution in an approved scheme , bonus or interest on the contribution or bonus shall be assignable or transferable or liable to be attached, sequestered or levied upon for or in respect of any debt or claim other than as provided for in subsection (2). Section 5(2) Any sum or sums due by a contributor to a public authority may be deducted from the amount standing to his or her credit in any fund administered by the authority on the closure of his or her account.

Section 6. Funds to be kept in separate account Section 6(1) Every public authority administering an approved scheme shall keep the fund in respect of the scheme in a separate account and shall pay into the account all contributions so soon as they are paid and all bonus payments and interest when due. Section 6(2) The monies paid into a fund may be invested in such security or securities as is permitted for the investment of money held on trust. Section 6(3) No fund shall be liable to be attached, sequestered or levied upon but shall be held in trust for the contributors; and in the event of the winding up or dissolution of any public authority that has established a fund under this Act, the funds shall be divided among the contributors in such manner as the High Court shall direct on the motion of the Administrator General. Section 6(4) Nothing in this section shall be deemed to affect any rule or regulation making provision for payment of the expenses of administering a fund being made from out of the fund .

Section 7. Persons prohibited from contributing to two schemes Section Notwithstanding any other provision in this Act, no person shall be entitled to be a contributor in any approved scheme while he or she contributes to any provident fund scheme established under the provisions of any other Act.

Section 8. Schemes under the Provident Fund (Local Governments) Act not affected Section Nothing in this Act shall be deemed to affect any scheme established under the Provident Fund (Local Governments) Act.

Section 9. Provision in respect of the Kampala City Council Section 9(1) So soon as convenient after the commencement of this Act, the Kampala City Council shall establish a provident fund scheme under this Act. Section 9(2) Notwithstanding section 2 (2), the Minister shall not approve any such scheme (hereafter referred to as "the new scheme") unless the provisions of the new scheme are just and equitable to persons who are contributors to any provident fund scheme in force at the commencement of this Act (hereafter referred to as "the existing scheme") and unless in the new scheme provision is made— Section 9(2)(a) for the winding up of the existing scheme and the transfer to the new scheme of the monies, assets and liabilities of the fund of the existing scheme; Section 9(2)(b) for contributors under the existing scheme to become contributors under the new scheme with effect from the date upon which they became contributors to the existing scheme, unless, within such period as may be specified in the new scheme, any such contributor elects to retain his or her rights and liabilities under the existing scheme; Section 9(2)(c) for the provisions of the existing scheme to continue...