EXPLANATORY STATEMENT
Notice of approval pursuant to subclause 11(1) of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval No. 16 of 2009
Issued by the authority of the
Minister for Education
Subject: Higher Education Support Act 2003 (HESA)
VET Provider approval pursuant to clause 6 and subclause (11)(1) of Schedule 1A of the Higher Education Support Act 2003.
Notice of Approval
The Notice of Approval is made pursuant to subclause 11(1) of Schedule 1A of HESA. The purpose of this notice is to revoke the current notice of approval of ParaPharm Pty Ltd as a VET provider and remake the notice.
Purpose
Under Schedule 2 of the Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009 certain amendments to Schedule 1A of HESA commenced on 24 June 2009. The amendments enable a decision to approve a body corporate as a VET provider to take effect in accordance with provisions of the Legislative Instruments Act 2003 rather than at the end of the disallowance period. The purpose of remaking the notice of approval is to enable the body corporate to take advantage of the beneficial effect of these amendments.
Background
VET FEE-HELP is an income contingent loan scheme for the vocational education and training (VET) sector that is part of the Higher Education Loan Program (HELP). It is an extension of the higher education FEE-HELP arrangements.
VET FEE-HELP assists eligible, full fee-paying students to pay for all or part of their VET tuition fees when studying one or more of the following eligible accredited VET courses of study: diploma; advanced diploma; graduate certificate; and graduate diploma.
Bodies corporate which are also Registered Training Organisations (RTOs) are able to apply to become approved as VET providers. If approved, a VET provider will be able to offer VET FEE-HELP assistance to their eligible students.
Commencement
In accordance with clause 12 of Schedule 1A of HESA, the approval takes effect on the day after the notice of approval is registered on the Federal Register of Legislative Amendments.
Consultation
Consultation was not undertaken and was not considered necessary in this case because the notice confers a benefit on ParaPharm Pty Ltd and this body is the only body affected by the notice. This notice will not have a direct or substantial indirect effect on business, nor will it restrict competition.
Overview
The Explanatory Statement for Notice of Approval No. 16 of 2009 under the Higher Education Support Act 2003 (HESA) outlines the revocation and remaking of the approval for ParaPharm Pty Ltd as a vocational education and training (VET) provider. This action is taken pursuant to subclause 11(1) of Schedule 1A of HESA and is issued by the authority of the Minister for Education. The legislative amendment, which took effect on 24 June 2009, was introduced through the Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009. The policy objective of this amendment is to allow a decision to approve a body corporate as a VET provider to take effect under the Legislative Instruments Act 2003, rather than waiting until the end of the disallowance period. The purpose of this notice is to enable ParaPharm Pty Ltd to benefit from these legislative changes, specifically in relation to the VET FEE-HELP scheme, an income contingent loan arrangement for VET students studying eligible courses. As the notice directly benefits only ParaPharm Pty Ltd and does not have a substantial impact on business or competition, consultation was deemed unnecessary.
Scope and Application
The Higher Education Support Act 2003 (HESA) governs the approval of vocational education and training (VET) providers under Schedule 1A, with specific provisions outlined in the F2009L02591 Notice of Approval for ParaPharm Pty Ltd. This Act applies to body corporate entities that are Registered Training Organisations (RTOs) seeking to offer VET FEE-HELP assistance to their students. The approval process ensures that these entities meet the necessary standards to provide financial assistance to eligible students for accredited VET courses such as diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The Notice of Approval serves to revoke and remake the approval for ParaPharm Pty Ltd, aligning with amendments that took effect under the Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009. These amendments expedite the approval process for VET providers, allowing them to benefit from the changes immediately upon the notice being registered on the Federal Register of Legislative Instruments. The jurisdictional reach of this Act is federal, affecting entities across Australia that participate in the Higher Education Loan Program (HELP).
Key Provisions
The Notice of Approval, issued under subclause 11(1) of Schedule 1A of the Higher Education Support Act 2003 (HESA), serves to revoke the existing approval of ParaPharm Pty Ltd as a VET provider and subsequently remake the approval. This action is necessary to enable ParaPharm Pty Ltd to benefit from recent legislative amendments that came into effect on 24 June 2009. These amendments, introduced by the Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009, allow the decision to approve a body corporate as a VET provider to take effect according to the provisions of the Legislative Instruments Act 2003, rather than waiting until the end of the disallowance period. By remaking the approval, ParaPharm Pty Ltd can now take advantage of these beneficial changes.
Under the Higher Education Support Act 2003, bodies corporate that are also Registered Training Organisations (RTOs) can apply to become approved as VET providers. Once approved, these providers can offer VET FEE-HELP assistance to eligible, full fee-paying students who are enrolled in accredited VET courses such as diplomas, advanced diplomas, graduate certificates, and graduate diplomas. VET FEE-HELP is part of the Higher Education Loan Program (HELP) and assists students with their tuition fees. The approval of ParaPharm Pty Ltd as a VET provider means that it can now participate in this scheme, offering financial assistance to its students through the VET FEE-HELP program.
Entities such as ParaPharm Pty Ltd, once approved as VET providers, must comply with specific obligations and requirements set forth in the Higher Education Support Act 2003 and its related regulations. These obligations include ensuring that they are registered as RTOs, maintaining the quality of their educational offerings, and providing accurate and timely information to students regarding the VET FEE-HELP program. They must also adhere to the relevant educational standards and ensure that their courses meet the necessary accreditation requirements.
Failure to comply with the provisions of the Higher Education Support Act 2003 and related regulations can result in various consequences, including administrative, civil, or criminal penalties. For instance, if ParaPharm Pty Ltd does not adhere to the stipulated requirements, it may face penalties such as fines or the revocation of its approval as a VET provider. The specific penalties can vary depending on the nature and severity of the breach, but they are intended to enforce compliance and maintain the integrity of the VET FEE-HELP program. The approval takes effect on the day after the notice of approval is registered on the Federal Register of Legislative Instruments, as per clause 12 of Schedule 1A of HESA.