ATTACHMENT B
EXPLANATORY STATEMENT
Guidelines issued under subsection 238-10 of the Higher Education Support Act 2003
Issued by the authority of the Minister for Education, Science and Training
Subject:- Higher Education Support Act 2003
Amendment number 7 to the Other Grants Guidelines
– Chapter 9 Grants to Foster Collaboration and Reform in Higher Education
Section 238-10 of the Higher Education Support Act 2003 provides that the Minister may make guidelines for the purposes of the Act. In particular, section 238-10 specifies that the Minister may make Other Grants Guidelines to give effect to matters set out in Part 2-3 of the Act.
Chapter 9 of the Other Grants Guidelines sets out the requirements relevant to the Collaboration and Structural Reform Fund (CASR). The objective of CASR is to achieve better higher education outcomes in teaching, learning, research and innovation by promoting structural reform and collaboration in the sector.
Chapter 9 has been amended as follows:
1. Item 9.15.5, which reserves up to 20% of each year’s funding allocation for projects approved by the Minister outside of a competitive funding round, has been deleted and replaced with:
9.15.1 In each year the Allocation will be available for:
(a) meeting existing CASR funding commitments for the year;
(b) grants in response to proposals invited by the Department (a maximum of two rounds will be conducted per year); and
(c) grants in response to proposals outside the submission-based rounds referred to in 2.15.1(b) that address specific priorities set by the Minister from time to time.
2. Item 9.20 - Two bodies corporate have been added to the list of organisations that are eligible to receive CASR grants:
(xii) Gippsland Education Precinct Inc; and
(xiii) TRISH MS Company Limited
The total funds to be allocated under the CASR Fund will be $46.797 million over five years 2005-2009. The yearly provision will be indexed in accordance with Division 198 of Part 5-6 of the Act, as in force from time to time.
University Vice-Chancellors were invited to comment on the amendments to the guidelines in January 2006. The Australian Vice-Chancellors’ Committee and thirteen universities responded to this invitation and, where appropriate, their comments have been incorporated into the guidelines.
The Guidelines commence the day after registration on the Federal Register of Legislative Instruments.
Overview
The Higher Education Support Act 2003, enacted by the Australian Parliament, aims to provide financial support and policy frameworks to the higher education sector, ensuring it meets national standards and contributes effectively to the country's socio-economic development. One specific initiative under this Act is the Amendment number 7 to the Other Grants Guidelines, particularly concerning the Collaboration and Structural Reform Fund (CASR) outlined in Chapter 9. This fund was established with the primary objective of enhancing higher education outcomes in areas such as teaching, learning, research, and innovation by fostering structural reform and collaboration within the sector. The Act allows the Minister for Education, Science and Training to issue guidelines that facilitate the effective implementation of the CASR Fund, which has been allocated a total of $46.797 million for the period spanning 2005 to 2009, with annual adjustments according to the provisions in Division 198 of Part 5-6 of the Act. These guidelines were developed following consultations with university vice-chancellors and the Australian Vice-Chancellors' Committee, ensuring broad stakeholder input in shaping the fund's operational framework.
Scope and Application
The Higher Education Support Act 2003, as amended by Amendment number 7 to the Other Grants Guidelines, pertains specifically to the Collaboration and Structural Reform Fund (CASR) within the higher education sector. This Act applies to educational institutions, including universities and other eligible bodies corporate, such as Gippsland Education Precinct Inc and TRISH MS Company Limited, that are in receipt of CASR grants. The Act operates within the Commonwealth jurisdiction, thereby impacting educational entities across Australia. The Act outlines the allocation of $46.797 million over five years from 2005 to 2009, with annual indexing according to the provisions in Division 198 of Part 5-6 of the Act. Notably, the Act modifies the funding allocation process, reserving funds for existing commitments, grants in response to proposals invited by the Department, and grants addressing specific priorities set by the Minister outside of regular submission rounds. The Act does not specify exclusions or thresholds beyond those outlined in the Guidelines. The Guidelines, which commence on the day after their registration on the Federal Register of Legislative Instruments, may be further extended or restricted through subordinate instruments as deemed necessary by the Minister.
Key Provisions
The Higher Education Support Act 2003, through section 238-10, enables the Minister for Education, Science and Training to issue guidelines under the Act, particularly the Other Grants Guidelines, which pertain to Part 2-3 of the Act. Chapter 9 of these guidelines, concerning the Collaboration and Structural Reform Fund (CASR), has been amended to better facilitate its objectives of enhancing higher education outcomes through reform and collaboration. One notable change is found in Item 9.15.5, which previously reserved up to 20% of each year's funding allocation for projects approved by the Minister outside of a competitive funding round. This has been replaced with Item 9.15.1, which specifies that each year's allocation will be available for meeting existing CASR funding commitments, grants in response to proposals invited by the Department (limited to a maximum of two rounds per year), and grants in response to proposals outside the competitive rounds that address specific priorities set by the Minister from time to time. Additionally, Item 9.20 has been amended to include two new entities, Gippsland Education Precinct Inc and TRISH MS Company Limited, to the list of eligible organisations for CASR grants.
The Other Grants Guidelines impose specific obligations on the entities and parties they govern. Firstly, the Department is required to allocate funds under the CASR Fund in accordance with the guidelines. This includes meeting existing commitments, conducting a maximum of two competitive funding rounds per year, and considering proposals outside these rounds that align with the Minister's priorities. Eligible organisations, including the newly added Gippsland Education Precinct Inc and TRISH MS Company Limited, must submit proposals that meet the criteria outlined in the guidelines to be considered for funding. These organisations are expected to use the grants to foster collaboration and reform in higher education, thereby contributing to the objectives of the CASR Fund. The Minister retains the authority to approve funding outside of the competitive rounds, ensuring flexibility in addressing specific educational priorities.
While the guidelines themselves do not explicitly outline offences or penalties for non-compliance, breaches of the Higher Education Support Act 2003 or any related regulations could lead to civil or criminal consequences. The Act may impose penalties for non-compliance with its provisions, which could include fines or other sanctions. Additionally, any misuse of funds allocated under the CASR Fund could result in financial penalties, recovery of funds, and potential legal action. The specific penalties for breaches of the Act would depend on the nature and severity of the non-compliance, as well as any relevant regulations or subordinate legislation.