EXPLANATORY STATEMENT
Notice of approval pursuant to subclause 11(1) of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval No. 23 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 Goulburn Ovens 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 Goulburn Ovens 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 facilitate the provision of financial support to students in the higher education sector, including vocational education and training (VET). The enactment of this Act aimed to address the need for structured financial assistance to ensure access to higher education for all eligible students. The Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009 introduced amendments to HESA, particularly focusing on VET FEE-HELP provisions. This legislative amendment was intended to streamline the approval process for VET providers, enabling them to offer VET FEE-HELP assistance more efficiently. The Notice of Approval, issued by the authority of the Minister for Education, revokes and remakes the approval for The Board of Goulburn Ovens Institute of Technical and Further Education as a VET provider, taking effect from the date of registration on the Federal Register of Legislative Instruments. This action ensures that the body corporate can benefit from the legislative amendments, enhancing its capability to provide VET FEE-HELP assistance to eligible students.
Scope and Application
The Higher Education Support Act 2003 (HESA) encompasses the approval of Vocational Education and Training (VET) providers, enabling them to offer VET FEE-HELP assistance to eligible students. Specifically, this legislation applies to entities that are body corporates and Registered Training Organisations (RTOs) seeking approval to become VET providers. These providers are authorised to assist their students in paying for their VET tuition fees through the VET FEE-HELP scheme, which is an extension of the higher education FEE-HELP arrangements. The geographic reach of this Act is national, given its administration under the Commonwealth of Australia. The Act does not specify exclusions or exemptions but focuses on providing a streamlined approval process for eligible entities through the Legislative Instruments Act 2003, thereby enabling the approval to take effect immediately rather than waiting for the disallowance period. The notice of approval for The Board of Goulburn Ovens Institute of Technical and Further Education, remade under this legislation, is an example of the Act’s application to particular entities, facilitating their participation in the VET FEE-HELP scheme.
Key Provisions
The main operative sections of this Notice of Approval under subclause 11(1) of Schedule 1A of the Higher Education Support Act 2003 (HESA) concern the revocation and remake of the approval of The Board of Goulburn Ovens Institute of Technical and Further Education as a VET provider (paragraphs 1 and 2). The purpose of this action is to enable the body corporate to benefit from recent legislative amendments, which allow the 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 (paragraph 3). This change was initiated by the Higher Education Support Amendment (VET FEE-HELP and Providers) Act 2009, which came into effect on 24 June 2009 (paragraph 4). The approval will take effect on the day after the notice of approval is registered on the Federal Register of Legislative Instruments (clause 12 of Schedule 1A of HESA) (paragraph 6).
This Act imposes specific obligations on The Board of Goulburn Ovens Institute of Technical and Further Education. It must meet the criteria to be approved as a VET provider, which includes being a body corporate and a Registered Training Organisation (RTO) (Schedule 1A of HESA). Once approved, the Institute must comply with all the conditions and requirements associated with offering VET FEE-HELP assistance to its eligible students (Schedule 1A of HESA). The Institute must ensure that it adheres to the provisions of the Higher Education Support Act 2003 and any related legislation to maintain its approval status (Schedule 1A of HESA).
There are no specific offences, penalties, or civil/criminal consequences mentioned in the notice for the breach of the provisions related to this approval. However, failure to comply with the conditions of approval or the requirements of the Higher Education Support Act 2003 could result in the revocation of the approval and loss of eligibility to offer VET FEE-HELP assistance to students (Schedule 1A of HESA). The potential consequences for the Institute include the inability to provide financial assistance to eligible students through the VET FEE-HELP scheme and potential reputational damage (Schedule 1A of HESA).