EXPLANATORY STATEMENT
Notice of approval pursuant to subclause 11(1) of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval No. 21 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 The Board of Wodonga Institute of Technical and Further Education 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 The Board of Wodonga Institute of Technical and Further Education 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 Higher Education Support Act 2003 (HESA) was enacted to address the need for a structured approach to supporting the higher education sector in Australia, including vocational education and training (VET). This legislation, overseen by the Parliament of Australia, aims to facilitate the provision of financial support mechanisms such as VET FEE-HELP, which assists eligible students in paying for their vocational training courses. The Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009 introduced amendments to HESA to refine the process of approving VET providers, allowing for more efficient implementation of these financial assistance schemes. The approval notice under discussion, issued by the Minister for Education, serves to revoke and remake the approval for The Board of Wodonga Institute of Technical and Further Education as a VET provider, aligning with the new legislative provisions to enable the provider to benefit from the recent amendments.
Scope and Application
The Notice of Approval issued under subclause 11(1) of Schedule 1A of the Higher Education Support Act 2003 revokes and remakes the approval of The Board of Wodonga Institute of Technical and Further Education as a Vocational Education and Training (VET) provider. The purpose of this action is to enable the body corporate to benefit from recent amendments that allow such approvals to take effect immediately under the Legislative Instruments Act 2003, rather than waiting for the disallowance period to end. The amendments were introduced by the Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009, which commenced on 24 June 2009. This approval allows the Wodonga Institute, as a Registered Training Organisation (RTO), to offer VET FEE-HELP assistance to its eligible students pursuing eligible accredited VET courses. The approval takes effect the day after the notice is registered on the Federal Register of Legislative Instruments. The notice was issued without consultation as it is deemed to confer a benefit solely on the Wodonga Institute, without affecting competition or having a significant impact on businesses.
Key Provisions
The main operative sections of this Notice of Approval (F2009L02585) under subclause 11(1) of Schedule 1A of the Higher Education Support Act 2003 (HESA) include the revocation of the current approval of The Board of Wodonga Institute of Technical and Further Education as a Vocational Education and Training (VET) provider and the subsequent remaking of the approval. This action is taken to allow the body corporate to benefit from recent legislative amendments, specifically those concerning the VET FEE-HELP scheme. These amendments, which came into effect on 24 June 2009, enable a decision to approve a body corporate as a VET provider to take effect in accordance with the provisions of the Legislative Instruments Act 2003, rather than at the end of the disallowance period.
The approval process imposes certain obligations on the parties involved. The Board of Wodonga Institute of Technical and Further Education must meet the criteria set out in the HESA and its amendments to be eligible for approval as a VET provider. As a VET provider, they must comply with all relevant legislative requirements and conditions attached to their approval. This includes adherence to the provisions of the VET FEE-HELP scheme, which assists eligible students to pay for their VET tuition fees.
Failure to comply with the obligations and requirements set out in the HESA and its amendments may result in various consequences. While the specific offences, penalties, or civil/criminal consequences are not detailed in the Explanatory Statement, it is implied that breaches of the Act could lead to penalties under the legislative framework. The penalties for non-compliance with the Higher Education Support Act 2003 can include fines and other sanctions as prescribed by the Act or any other applicable legislation. The maximum penalties for breaches of HESA are not explicitly stated in this Notice of Approval but can be found within the Act itself. It is essential for the Board of Wodonga Institute of Technical and Further Education to ensure compliance with the provisions of the HESA to avoid any potential legal repercussions.