EXPLANATORY STATEMENT
Notice of approval pursuant to subclause 11(1) of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval No. 22 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 South West 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 South West 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 provide a framework for supporting students in higher education and vocational education and training sectors. One of the critical gaps it was designed to address was ensuring that eligible students in the vocational education and training (VET) sector could access financial assistance to cover their tuition fees. The VET FEE-HELP scheme, which is part of the Higher Education Loan Program (HELP), was introduced to support full fee-paying students in VET courses. The Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009 made amendments to streamline the approval process for VET providers, allowing decisions to take effect more promptly. This notice of approval, issued by the authority of the Minister for Education, revokes and remakes the approval for The Board of South West Institute of Technical and Further Education as a VET provider to enable it to benefit from these legislative changes, ensuring that eligible students can access VET FEE-HELP assistance more efficiently.
Scope and Application
The Higher Education Support Act 2003, specifically as amended by the Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009, applies to bodies corporate that are also Registered Training Organisations (RTOs) seeking approval as VET providers under the Vocational Education and Training (VET) FEE-HELP scheme. This Act pertains to the vocational education and training sector, enabling eligible students to receive financial assistance for their tuition fees. The legislation's reach extends across Australia, with the approval process overseen by the Commonwealth and the benefits available nationally. The Act allows for the revocation and remake of approval notices, ensuring that approved bodies can benefit from legislative amendments that streamline the approval process. This particular notice of approval pertains solely to The Board of South West Institute of Technical and Further Education and does not impact other entities, businesses, or competition. The Act does not specify any exclusions or thresholds beyond the criteria for being a body corporate and an RTO, and any further details or requirements are determined through subordinate instruments.
Key Provisions
The main operative sections of this legislation are found in Schedule 1A of the Higher Education Support Act 2003 (HESA). Specifically, subclause 11(1) of Schedule 1A is invoked to revoke the current notice of approval for The Board of South West Institute of Technical and Further Education as a VET provider and to remake the notice (subclause 11(1)). The purpose of this action is to align with the amendments introduced by the Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009, which came into effect on 24 June 2009. These amendments allow the approval of a body corporate as a VET provider to take effect in accordance with the provisions of the Legislative Instruments Act 2003, rather than waiting until the end of the disallowance period.
The Act imposes several obligations and requirements on The Board of South West Institute of Technical and Further Education. It must now comply with the new provisions as stipulated in the Higher Education Support Amendment Act 2009, which includes the streamlined approval process for VET providers. This ensures that the Board can effectively participate in the VET FEE-HELP scheme, assisting eligible students in paying for their vocational education and training fees. The approval process also entails meeting certain criteria set by the HESA to be recognised as a VET provider, such as being a Registered Training Organisation (RTO) and offering eligible courses like diplomas, advanced diplomas, graduate certificates, and graduate diplomas.
Failure to comply with the requirements set out by the Act may result in penalties or consequences. While the specific penalties are not detailed in the Notice of Approval, breaches of the Higher Education Support Act 2003 or the related legislative instruments can lead to civil or criminal liabilities. These can include fines and, in more severe cases, imprisonment. The exact penalties would be determined by the courts based on the nature and severity of the breach. The approval process itself, however, does not impose additional obligations beyond those already stipulated by HESA and related legislation.
The Notice of Approval revokes the previous approval and remakes it to reflect the amendments, ensuring that The Board of South West Institute of Technical and Further Education can benefit from the streamlined approval process. By doing so, the Board can continue to provide VET FEE-HELP to eligible students, supporting them in their vocational education and training endeavours. This action ensures that the Board remains compliant with the updated legislative framework, facilitating its role in the vocational education sector.