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. 32 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 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 University of Ballarat as a VET Provider under Clause 6 of Schedule 1A of HESA and as a consequence decides the application of University of Ballarat for the purposes of paragraph 11(1)(a) of Schedule 1A of HESA. The instrument also gives University of Ballarat 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 University of Ballarat 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 University of Ballarat 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 the Higher Education Loan Program (HELP), including the Vocational Education and Training (VET) FEE-HELP Assistance Scheme. This Act was introduced to address the need for financial assistance to students undertaking vocational education and training courses, thereby broadening the scope of the HELP scheme beyond traditional higher education. The VET FEE-HELP scheme, which is part of HESA, assists eligible students with the payment of their VET tuition fees for courses such as diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The Act empowers the Minister for Education to approve bodies as VET providers, allowing them to offer VET FEE-HELP assistance to their eligible students. This legislative framework ensures that vocational education and training institutions can participate in the HELP scheme, providing a financial support mechanism for students in the VET sector.
Scope and Application
The Higher Education Support Act 2003 (HESA) governs the provision of VET FEE-HELP Assistance Scheme, which is an extension of the Higher Education FEE-HELP arrangements, specifically tailored for the vocational education and training sector. Clauses 6 and 11 of Schedule 1A of HESA outline the process for approving bodies as VET Providers, allowing them to offer VET FEE-HELP assistance to eligible students studying accredited VET courses such as diploma, advanced diploma, graduate certificate, and graduate diploma. The Minister for Education has delegated their powers under these clauses to an employee within the Department, who has approved the University of Ballarat as a VET Provider and issued a notice of approval. The notice, once registered on the Federal Register of Legislative Instruments, will take effect the day after registration, allowing the University of Ballarat to offer VET FEE-HELP assistance to its students. This legislative instrument is limited in scope, specifically targeting the University of Ballarat, and does not require consultation as it does not have a substantial effect on business or competition.
Key Provisions
The main provisions of the legislation (F2009L02728) concern the approval of the University of Ballarat as a VET Provider under the Higher Education Support Act 2003 (HESA). Specifically, clause 6 of Schedule 1A of HESA provides for the approval process, while clause 11 mandates that the Minister must decide on an application for approval and notify the applicant in writing of the decision. The Minister's powers under these clauses have been delegated to an APS employee within the Department, as per section 238-5 of HESA. The legislation also stipulates that a notice of approval is a legislative instrument.
The obligations imposed on the University of Ballarat by this legislation include applying for approval as a VET Provider and meeting any criteria set out by the Minister for such approval. Once approved, the University of Ballarat must comply with the conditions of its approval, which likely involve offering VET FEE-HELP assistance to its eligible students and adhering to the requirements of the VET FEE-HELP scheme.
Regarding potential breaches, the legislation does not explicitly outline specific offences or penalties for non-compliance within the provided text. However, given the regulatory nature of the approval process, any failure to comply with the conditions of approval could lead to the revocation of the VET Provider status. This could be pursued through administrative or legal action, potentially involving fines or other sanctions as permitted under HESA or other relevant legislation. The maximum penalties are not specified in the explanatory statement but would typically be found in the main body of the HESA.