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. 7 of 2010
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.
This instrument was made in the period between Parliament being prorogued on 19 July 2010 and the Federal election on 21 August 2010, during which the Government has assumed a caretaker role. In the view of the Minister’s delegate, the approval of a body corporate as a VET provider under the Higher Education Support Act 2003 is an ordinary matter of government administration because the approval would enable the students of the VET provider to access VET FEE-HELP assistance for payment of tuition fees for any approved course of study undertaken by the VET provider’s students. Further, the Minister’s delegate considers that the making of the instrument is consistent with previous, similar decisions and that the caretaker conventions are not infringed because such an approval would not bind an incoming government, nor limit its freedom of action because the instrument is a disallowable instrument (under the Legislative Instruments Act 2003) which can be subject to a notice of motion to disallow in the new Parliament.
Purpose
This instrument approves St Patrick’s Business College Limited as a VET Provider under Clause 6 of Schedule 1A of HESA and as a consequence decides the application of St Patrick’s Business College Limited for the purposes of paragraph 11(1)(a) of Schedule 1A of HESA. The instrument also gives St Patrick’s Business College Limited 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 St Patrick’s Business College Limited 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 St Patrick’s Business College Limited 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 F2010L02321, known as the "VET Provider Approval No. 7 of 2010," was enacted to address the need for formal approval processes for entities wishing to participate in the Vocational Education and Training (VET) FEE-HELP Assistance Scheme under the Higher Education Support Act 2003 (HESA). This legislative instrument was issued by the authority of the Minister for Education and serves to approve St Patrick’s Business College Limited as a VET Provider, thereby enabling their students to access VET FEE-HELP assistance for tuition fees related to approved courses. The Minister's delegate has determined that this approval is a routine administrative matter, essential for facilitating student access to financial support for vocational education. Furthermore, the approval is consistent with previous decisions and does not infringe upon caretaker conventions as it is a disallowable instrument that can be reviewed by the new Parliament. The policy objective is to ensure that eligible VET students can benefit from financial assistance for their studies, thereby supporting the vocational education and training sector.
Scope and Application
The legislation F2010L02321 pertains to the approval of St Patrick's Business College Limited as a VET Provider under the Higher Education Support Act 2003 (HESA). Specifically, it addresses clauses 6 and 11 of Schedule 1A of HESA, which deal with the approval of bodies as VET Providers and the ministerial decision-making process for such approvals. The Minister for Education has delegated the powers to approve VET Providers to an Australian Public Service employee in the Department, in accordance with section 238-5 of HESA. The approval of St Patrick's Business College Limited as a VET Provider enables the institution's students to access VET FEE-HELP assistance for their tuition fees, specifically for accredited courses such as diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The approval and notice of approval take effect on the day after the notice is registered on the Federal Register of Legislative Instruments. Importantly, no consultation was deemed necessary as the notice only affects St Patrick's Business College Limited and does not have a significant impact on business or competition.
Key Provisions
The main operative sections of this legislation pertain to the approval of St Patrick’s Business College Limited as a VET Provider under clause 6 of Schedule 1A of the Higher Education Support Act 2003 (HESA) and the notification of this approval under clause 11 of Schedule 1A of HESA. Specifically, section 238-5 of HESA delegates the Minister's powers to an Australian Public Service (APS) employee in the Department, who has approved the application of St Patrick’s Business College Limited as a VET Provider. This approval allows the students of the college to access VET FEE-HELP assistance for their tuition fees for approved courses of study. The notice of approval, being a legislative instrument, is registered on the Federal Register of Legislative Instruments, after which it takes effect (subclause 12(2) of Schedule 1A of HESA).
The Act imposes certain obligations on St Patrick’s Business College Limited as a newly approved VET Provider. Primarily, it must comply with the requirements of the VET FEE-HELP Assistance Scheme, ensuring that it offers VET FEE-HELP assistance to its eligible students. The college must maintain its status as a Registered Training Organisation (RTO) and adhere to the conditions set forth in the Higher Education Support Act 2003 and any subsequent regulations or guidelines issued by the Department. The approval also necessitates that St Patrick’s Business College Limited provides accurate and timely information to students regarding their eligibility for VET FEE-HELP and the terms and conditions of the assistance scheme.
There are no specific offences, penalties, or civil/criminal consequences outlined in this legislative instrument itself. However, breaches of the VET FEE-HELP Assistance Scheme or non-compliance with the terms of the Higher Education Support Act 2003 could lead to penalties under other provisions of the Act. These could include financial penalties, revocation of approval as a VET Provider, or other administrative actions taken by the Department. The specifics of such penalties would be detailed in the broader legislative framework of HESA and related regulations.