EXPLANATORY STATEMENT
Notice of approval pursuant to subsection 11(1) of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval (No. 5 of 2009)
Issued by the authority of the
Minister for Education
Subject: Higher Education Support Act 2003
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 approve and give notice of approval Australian College of Sports Therapy Pty Ltd as a VET provider.
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 last day on which a House of Parliament could have passed a resolution disallowing the notice.
Consultation
Consultation was not undertaken and was not considered necessary in this case because the notice confers a benefit on Australian College of Sports Therapy Pty Ltd 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, enacted by the Australian Parliament, aims to provide support for students in higher education and vocational education and training sectors. This legislation was introduced to address the need for a streamlined and supportive financial assistance mechanism for students in VET courses. One significant gap it addresses is ensuring that vocational education and training institutions can effectively participate in the VET FEE-HELP scheme, which provides income contingent loans to eligible students. The policy objective is to enhance accessibility and affordability of VET courses for students, thereby supporting the development of skills in the workforce. Pursuant to the Act, the Minister for Education has issued the "VET Provider Approval (No. 5 of 2009)" as a Notice of Approval for Australian College of Sports Therapy Pty Ltd to become a VET provider under the VET FEE-HELP scheme. This approval allows the institution to offer VET FEE-HELP assistance to its students, furthering the Act's goal of supporting vocational education and training.
Scope and Application
The notice of approval for the Australian College of Sports Therapy Pty Ltd as a VET provider under the Higher Education Support Act 2003 (HESA) applies specifically to this entity, which is a body corporate and a Registered Training Organisation (RTO). The approval allows the Australian College of Sports Therapy Pty Ltd to offer VET FEE-HELP assistance to its eligible students, enabling them to access financial support for their vocational education and training tuition fees. The legislation extends to the Commonwealth level, as it is a federal act, and it specifically targets entities like the Australian College of Sports Therapy Pty Ltd that wish to participate in the VET FEE-HELP scheme. The notice does not explicitly mention any exclusions or exemptions, but its targeted application implies that only entities that meet the criteria for RTO status and VET provider approval are eligible. The approval process is conducted under the authority of the Minister for Education and is subject to the provisions of Schedule 1A of the HESA.
Key Provisions
The VET Provider Approval (No. 5 of 2009) notice, issued under the Higher Education Support Act 2003 (HESA), provides the approval of Australian College of Sports Therapy Pty Ltd as a VET provider (subclause 11(1) of Schedule 1A). This approval allows the institution to offer VET FEE-HELP assistance to eligible students studying certain accredited courses. The approval becomes effective on the day after the last day on which a House of Parliament could have passed a resolution disallowing the notice (clause 12 of Schedule 1A).
The Act imposes certain obligations on the approved VET provider. Firstly, it must ensure that all courses offered under the VET FEE-HELP scheme are eligible and meet the necessary accreditation standards. Secondly, the provider must comply with all terms and conditions set out in the HESA and any subsequent amendments. The institution must also ensure that the VET FEE-HELP assistance is provided to eligible students in accordance with the scheme's guidelines and that it does not misuse the funds allocated for this purpose.
Failure to comply with the provisions of the Act may result in various consequences. Breaches of the Act may lead to civil or criminal penalties, depending on the nature and severity of the offence. For example, knowingly providing false information in the application process could lead to criminal charges, with potential penalties including fines and imprisonment. Civil penalties may also apply, such as financial penalties or orders to rectify non-compliance. Additionally, the provider's approval could be revoked, which would prevent it from participating in the VET FEE-HELP scheme. The Act does not specify the exact maximum penalties for each type of breach, but it is clear that non-compliance carries significant risks.