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. 9 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 after the Federal election on 21 August 2010 and before the outcome of the Federal election is known, 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 Navitas College of Public Safety Pty Ltd as a VET Provider under Clause 6 of Schedule 1A of HESA and as a consequence decides the application of Navitas College of Public Safety Pty Ltd for the purposes of paragraph 11(1)(a) of Schedule 1A of HESA. The instrument also gives Navitas College of Public Safety Pty Ltd 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 Navitas College of Public Safety Pty Ltd 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 Navitas College of Public Safety 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 (HESA) was enacted to facilitate the VET FEE-HELP Assistance Scheme, providing income contingent loans for vocational education and training (VET) tuition fees. The legislation aims to enable eligible students to access financial assistance for their studies, thereby encouraging participation in VET courses such as diplomas and advanced diplomas. Schedule 1A of HESA specifically addresses the approval of VET providers, which allows them to offer VET FEE-HELP assistance to their students. The Explanatory Statement F2010L02441, issued under the authority of the Minister for Education, details the approval of Navitas College of Public Safety Pty Ltd as a VET provider under clauses 6 and 11 of Schedule 1A of HESA. The Minister’s delegate approved this application, considering it an ordinary matter of government administration that would enable students to access financial aid without binding an incoming government, as the approval is a disallowable instrument. This legislative instrument takes effect the day after its registration on the Federal Register of Legislative Instruments.
Scope and Application
The legislation F2010L02441 pertains to the approval and notice of approval for entities as Vocational Education and Training (VET) Providers under clauses 6 and 11 of Schedule 1A of the Higher Education Support Act 2003 (HESA). The approval process is overseen by the Minister for Education, who has delegated these powers to an Australian Public Service employee within the Department. This specific instrument, issued during a caretaker period following a federal election, approves Navitas College of Public Safety Pty Ltd as a VET Provider, thereby allowing the institution’s students to access VET FEE-HELP assistance for their tuition fees. The notice of approval is a legislative instrument and takes effect the day after its registration on the Federal Register of Legislative Instruments. The legislation applies to bodies corporate that are also Registered Training Organisations (RTOs) seeking to become approved as VET Providers to offer VET FEE-HELP assistance to eligible students. The geographic reach of the Act is national, as it is a Commonwealth legislation. There are no stated exclusions, exemptions, or thresholds in this particular legislative instrument; however, the application can be further extended or restricted through subordinate instruments made under the authority of the Act.
Key Provisions
The key provisions of this legislation concern the approval of VET providers and the notification of such approval under the Higher Education Support Act 2003 (HESA). Clause 6 of Schedule 1A of HESA provides for the approval of bodies as VET providers by the Minister, while clause 11 requires the Minister to decide on applications for approval and notify applicants in writing of their approval status (11(1)(a) and (b)). The approval of Navitas College of Public Safety Pty Ltd as a VET provider, detailed in the explanatory statement, follows this legislative framework.
The obligations imposed on entities such as Navitas College of Public Safety Pty Ltd, once approved as VET providers, include the responsibility to offer VET FEE-HELP assistance to eligible students. This means they must adhere to the terms and conditions set forth in the VET FEE-HELP scheme, ensuring that they support students in paying for their approved VET courses. Furthermore, they must maintain compliance with any additional requirements stipulated by the Minister or the Department of Education, which may include reporting obligations and quality assurance measures.
The legislation also outlines the consequences for non-compliance or breaches of the approved terms. Although specific offences and penalties are not detailed in the explanatory statement, breaches of the VET FEE-HELP scheme could lead to serious repercussions. This might include the revocation of the provider's approval, fines, and potential legal action under HESA or other relevant legislation. The severity of penalties would depend on the nature and extent of the breach, with more severe infractions potentially leading to higher financial penalties or even criminal charges.
In summary, the legislation serves to approve Navitas College of Public Safety Pty Ltd as a VET provider, ensuring they can offer VET FEE-HELP assistance to eligible students. It imposes obligations on the approved provider to adhere to the scheme's terms and maintain compliance with any additional regulatory requirements. Non-compliance could result in significant penalties, including the revocation of approval and potential legal action.