EXPLANATORY STATEMENT
Approval and Notice of approval under clauses 6 and 11 of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval No. 30 of 2009
Issued by the authority of the
Minister for Education
Subject: Higher Education Support Act 2003 (HESA)
VET Provider approval and notice of approval under clauses 6 and 11 of Schedule 1A of HESA
Authority
Schedule 1A of HESA makes provision for the VET FEE-HELP Assistance Scheme. Clause 6 of Schedule 1A provides for the approval of bodies as VET Providers by the Minister, while clause 11 of Schedule 1A provides that the Minister must decide an application for approval as a VET Provider (paragraph 11(1)(a)) and cause the applicant to be notified in writing whether or not the applicant is approved as a VET provider (paragraph 11(1)(b)).
Subclause 12(1) of Schedule 1A of HESA stipulates that a notice of approval of a body as a VET Provider is a legislative instrument.
Under section 238-5 of HESA the Minister has delegated her powers under clauses 6 and 11 of Schedule 1A of HESA to an APS employee in the Department.
Purpose
This instrument approves The Board of the Bendigo Regional Institute of Technical and Further Education as a VET Provider under Clause 6 of Schedule 1A of HESA and as a consequence decides the application of The Board of the Bendigo Regional Institute of Technical and Further Education for the purposes of paragraph 11(1)(a) of Schedule 1A of HESA. The instrument also gives of The Board of the Bendigo Regional Institute of Technical and Further Education notice of that approval for the purposes of paragraph 11(1)(b) of Schedule 1A of HESA.
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 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 its eligible students.
Commencement
In accordance with subclause 12(2) of Schedule 1A of HESA and paragraph 12(1)(d) of the Legislative Instruments Act 2003, the notice and the decision to approve The Board of the Bendigo Regional Institute of Technical and Further Education as a VET provider take effect on the day after the notice is registered on the Federal Register of Legislative Instruments.
Consultation
Consultation was not undertaken and was not considered necessary in this case because the notice confers a benefit on The Board of the Bendigo Regional 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 legislative framework supporting the higher education sector, including the establishment of the VET FEE-HELP Assistance Scheme. This scheme extends the FEE-HELP arrangements to the vocational education and training sector, assisting eligible students in paying for their tuition fees. The problem this legislation addresses is the financial barrier faced by students in accessing vocational education and training by providing a means for them to manage their tuition costs more effectively. Enacted by the Australian Parliament, the policy objective of HESA, particularly in relation to VET FEE-HELP, is to ensure that eligible students can access quality vocational education without being hindered by upfront tuition costs. The approval and notification of VET providers, as outlined in Schedule 1A of HESA, are critical to this objective, allowing approved bodies to offer financial assistance to their students under the scheme.
Scope and Application
The Higher Education Support Act 2003 (HESA) provides the legislative framework for the approval of bodies as Vocational Education and Training (VET) Providers, enabling them to offer VET FEE-HELP assistance to eligible students. Specifically, under clauses 6 and 11 of Schedule 1A of HESA, the Minister for Education has the authority to approve bodies as VET Providers, a responsibility that has been delegated to an Australian Public Service employee within the Department. This instrument not only approves The Board of the Bendigo Regional Institute of Technical and Further Education as a VET Provider but also serves to notify them of their approval, in line with the statutory requirements. The approval process ensures that only entities meeting the necessary criteria, such as being a Registered Training Organisation (RTO), can participate in the VET FEE-HELP scheme. The scheme itself is designed to assist eligible students in paying for their VET tuition fees for accredited courses like diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The approval and notification are governed by specific legislative provisions, which also outline the jurisdictional scope and conditions under which the approval operates.
Key Provisions
The key operative sections of this legislation (clauses 6 and 11 of Schedule 1A of the Higher Education Support Act 2003 (HESA)) provide for the approval of bodies as VET Providers by the Minister (Clause 6) and require the Minister to decide an application for approval as a VET Provider and notify the applicant in writing of the decision (Clause 11). The approval process is a formal one, with a notice of approval being a legislative instrument under subclause 12(1) of Schedule 1A of HESA. Section 238-5 of HESA delegates the Minister’s powers under clauses 6 and 11 to an APS employee in the Department. The purpose of this legislation is to approve The Board of the Bendigo Regional Institute of Technical and Further Education as a VET Provider under Clause 6 of Schedule 1A of HESA and to notify The Board of the Bendigo Regional Institute of Technical and Further Education of that approval under Clause 11 of Schedule 1A of HESA.
The obligations and requirements imposed by this Act on the parties it governs are primarily concerned with the approval process for VET Providers. The Board of the Bendigo Regional Institute of Technical and Further Education must apply for approval as a VET Provider, and the Minister is required to decide the application and notify the applicant of the decision. If approved, The Board of the Bendigo Regional Institute of Technical and Further Education will be able to offer VET FEE-HELP assistance to its eligible students. The Act also requires the Minister to delegate their powers to an APS employee in the Department, ensuring that the approval process is carried out by a qualified individual within the relevant government department.
Any offences, penalties, or consequences for breach under this legislation are not explicitly stated in the text. However, the approval process and the granting of VET Provider status are critical for the operation of the VET FEE-HELP scheme. Non-compliance or failure to adhere to the requirements of the Act could potentially result in the revocation of VET Provider status, which would prevent The Board of the Bendigo Regional Institute of Technical and Further Education from offering VET FEE-HELP assistance to its students. While the specific penalties for non-compliance are not detailed in the text, the importance of the approval process suggests that there could be significant consequences for any breaches of the Act’s requirements.