AUSTUDY Regulations (Amendment)

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AUSTUDY Regulations (Amendment) 1997 No. 323

EXPLANATORY STATEMENT

Statutory Rules 1997 No. 323

Issued by the Authority of the Minister for Schools, Vocational Education and Training

Subject: Student and Youth Assistance Act 1973

AUSTUDY Regulations (Amendment)

The Student and Youth Assistance Act 1973 (the Act) provides the legislative authority for the AUSTUDY scheme. Section 56 of the Act provides that the Governor-General may make regulations for the purposes of the Act.

The purpose of the amendments is to extend the "grandfathering" provisions relating to the increase in the AUSTUDY age of independence from 22 to 25 years, which came into effect on 1 January 1997. The "grandfathering" provisions provide for-students who received the independent living allowance in 1996 solely because they had reached 22 years of age to continue to get that allowance after 11996.

Some students who got the independent living allowance in 1995 only because they had reached 22 years of age did not study in 1996 because they Were undertaking a compulsory year of employment in their particular field. When they returned to study in 1997 some were ineligible to get the independent living allowance because they were not 25 and did, not get the allowance in 1996. The Government has decided that these students should get the independent living allowance in 1997 and later years. Regulation 3 amends regulation 68 to implement this decision.

Regulation 1 provides that the amendment made, by regulation 3 are taken to have commenced on 1 January 1997. As this amendment does not disadvantage clients, its retrospective commencement does not contravene subsection 48(2) of the Acts Interpretation Act 1901.

The Attachment contains more details about the amendments.

ATTACHMENT

DETAILS OF AUSTUDY REGULATIONS (AMENDMENT)

Regulation 1 Commencement

Subregulation 1.1 provides that the amendment made by regulation 3 is taken to have commenced on 1 January 1997. As this change does not disadvantage. clients, its retrospective commencement does not contravene subsection 48(2) of the Acts Interpretation Act 1901.

Regulation 2 Amendment

Subregulation 2.1 provides that the AUSTUDY Regulations are amended as set out in these Regulations.

Regulation 3 Regulation 68 Independent student: (a) age

Background

Paragraphs 67(1)(a) and 68(1)(b) provide that most students qualify for the independent living allowance on and after the student's 25th birthday (this was increased from the student's 22nd birthday from 1 January 1997). Paragraph 68(1)(a) enables students who received the independent living allowance in 1996 only because they, had reached the age of 22 to continue to qualify for that allowance in 1997 and later years.

The effect of these provisions is that students who did not receive the independent living allowance in 1996 are not eligible to get it in 1997 and later years if they are, not 25 years of age, unless they qualify under a criterion other than age.

Some students who got the independent living allowance in 1995 only because they had reached 22 years of age did not study in 1906 because they were undertaking a compulsory year of employment in their particular field. When they returned to study in 1997 some were ineligible to get the independent living allowance because they were not 25 and did not get the allowance in 1996. The Government has decided that. these students should get the independent living allowance in 1997 and later years.

Amendments made by these regulation

Subregulation 3.1 omits regulation 68 and substitutes a new regulation 68. This retains the existing provisions and adds a provision to the effect that a student is independent if the student.

*       received the, independent living allowance in 1995 only because he or she had turned 22; and

*       did not receive that allowance in 1996 only because a requirement of his or her course was that the student undertake employment related to the course; and

*       resumed full-time study in the, course in 1997.

 

Overview

The AUSTUDY Regulations (Amendment) 1997 No. 323 were enacted to address a gap in the eligibility criteria for the independent living allowance within the Student and Youth Assistance Act 1973. This legislation, issued by the authority of the Minister for Schools, Vocational Education and Training, seeks to ensure that students who had previously qualified for the allowance based on their age are not unfairly disadvantaged by changes to the age of independence. Specifically, the amendment extends the "grandfathering" provisions to cover students who did not receive the allowance in 1996 due to a compulsory year of employment related to their course but resumed full-time study in 1997. The policy objective is to provide continued support to these students, ensuring they are not left ineligible for the allowance solely due to their circumstances in the transition year.

Scope and Application

The AUSTUDY Regulations (Amendment) 1997 No. 323, issued under the authority of the Minister for Schools, Vocational Education and Training, pertain to the Student and Youth Assistance Act 1973. This Act provides the legislative foundation for the AUSTUDY scheme, which offers financial assistance to students and youth in Australia. The amendments made by these regulations specifically address the "grandfathering" provisions concerning the increase in the AUSTUDY age of independence from 22 to 25 years, which took effect on 1 January 1997. The intent is to ensure that students who received the independent living allowance in 1996 because they had reached 22 years of age can continue to receive it in subsequent years. Additionally, students who did not study in 1996 due to a compulsory year of employment but resumed full-time study in 1997 are also entitled to the allowance, provided they met the 22-year age criterion in 1995. This amendment applies to students who meet the specified conditions and does not disadvantage existing clients, thus complying with the Acts Interpretation Act 1901.

Key Provisions

The AUSTUDY Regulations (Amendment) 1997 No. 323, which amend the Student and Youth Assistance Act 1973, focus on the age of independence for students receiving allowances under the AUSTUDY scheme. The main operative sections include the commencement of these amendments on 1 January 1997 (Regulation 1) and the amendment to Regulation 68 (Regulation 3). Regulation 3 specifically modifies the conditions under which students qualify for the independent living allowance, ensuring that students who received the allowance in 1995 because they turned 22 but did not receive it in 1996 due to mandatory employment related to their course, can continue to qualify for the allowance in 1997 and later years. The amendments impose obligations on students to meet specific criteria to qualify for the independent living allowance. Students must have received the allowance in 1995 solely because they had reached 22 years of age, not received the allowance in 1996 due to a course requirement mandating employment related to the course, and must resume full-time study in 1997. These conditions ensure that students who were temporarily ineligible due to specific circumstances receive the allowance they would have been eligible for under the previous age criteria. There are no specific offences, penalties, or civil/criminal consequences outlined for breaches of these provisions. The regulations primarily address the eligibility criteria for the independent living allowance and do not explicitly state penalties for non-compliance. However, failure to meet the stipulated criteria may result in ineligibility for the allowance, which could indirectly affect the students' financial support. The amendments are designed to be retrospective, ensuring that no client is disadvantaged, and comply with subsection 48(2) of the Acts Interpretation Act 1901, as the retrospective commencement does not contravene this subsection.

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