EXPLANATORY STATEMENT
Social Security (Rotary Foundation Ambassadorial Scholarship) Determination 2000
Section 24A of the Social Security Act 1991 (the Act) allows the Minister to determine that a scholarship, or a class of scholarships, are to be approved scholarships if awarded outside Australia and not intended to be used wholly or partly to assist recipients with living expenses. The Minister’s determination, although it is not a disallowable instrument, is required under subsection 24A(2) of the Act to be tabled in each House of the Parliament within 15 sitting days of that House after the determination is made.
The Social Security (Rotary Foundation Ambassadorial Scholarship) Determination 2000 provides that any Ambassadorial Scholarship that does not contain any component for living expenses, and awarded by the Rotary Foundation is an approved scholarship.
The Rotary Foundation currently award three types of Ambassadorial Scholarship, namely, Academic-Year Ambassadorial Scholarships, Multi-Year Ambassadorial Scholarships and Cultural Ambassadorial Scholarships.
Academic-Year Ambassadorial Scholarships provide funding for one academic year of study in another country. This award is intended to help cover round-trip transportation, tuition, fees, and some educational supplies up to US$25,000 or its equivalent. Academic-Year Scholarships are the most common type of scholarship offered; nearly 1,000 were awarded for study in 2000-01. As well some room and board expenses may be covered. A scholarship with provision for room and board expenses, would not be an approved scholarship.
Multi-Year Ambassadorial Scholarships are for either two or three years of degree‑oriented study in another country. A flat grant of US$12,000 or its equivalent is provided per year to be applied toward the costs of a degree program. These scholarships are offered mainly by Rotary districts in Japan and Korea; 150 were awarded for study in 2000-01.
Cultural Ambassadorial Scholarships are for either three or six months of intensive language study and cultural immersion in another country and provide funds to cover round-trip transportation, language training expenses, and homestay living arrangements, up to US$12,000 and US$19,000 respectively. Applications are considered for candidates interested in studying Arabic, English, French, German, Hebrew, Italian, Japanese, Korean, Mandarin Chinese, Polish, Portuguese, Russian, Spanish, Swahili, and Swedish.
In 1998-99, a total of 65 countries sponsored scholars to study in another nation. Australian Rotarians sponsored 19 scholars in 1998-99 and hosted 59 scholars during this time.
The Social Security (Rotary Foundation Ambassadorial Scholarship) Determination 2000 commenced on the date it was signed.
Overview
The Social Security (Rotary Foundation Ambassadorial Scholarship) Determination 2000 was enacted to address a specific gap in the Social Security Act 1991, particularly concerning the recognition of certain scholarships awarded by the Rotary Foundation. This determination allows the Minister for Social Security to approve Rotary Foundation scholarships as approved scholarships under section 24A of the Act, provided they do not contain any component for living expenses and are awarded outside Australia. The policy objective of this determination is to facilitate the recognition of educational scholarships that do not cover living costs, thereby ensuring that recipients of such scholarships are still eligible for social security benefits while pursuing their studies abroad. This determination was tabled in each House of the Parliament within the required timeframe, reflecting the legislative process and the need for parliamentary oversight. The Rotary Foundation offers three types of Ambassadorial Scholarships: Academic-Year, Multi-Year, and Cultural, each with specific funding provisions and eligibility criteria, all of which are intended to support educational pursuits without covering living expenses.
Scope and Application
The Social Security (Rotary Foundation Ambassadorial Scholarship) Determination 2000 applies to specific scholarships awarded by the Rotary Foundation that do not include any component for living expenses and are granted for educational purposes outside Australia. This determination, made under Section 24A of the Social Security Act 1991, identifies these scholarships as approved under the Act. It encompasses three types of Rotary Foundation Ambassadorial Scholarships: Academic-Year, Multi-Year, and Cultural, provided they do not cover living expenses. The application of this determination extends to individuals who are recipients of these specified scholarships, ensuring that they are recognised under Australian social security legislation. Geographically, the scope of this determination is not limited to Australia; it applies to scholarships awarded for study in other countries. However, it specifically excludes scholarships that include provisions for living expenses, which would not qualify as approved scholarships under the Act. The determination is not a disallowable instrument but must be tabled in each House of the Parliament within 15 sitting days of its making. The scope and application of this legislation can be further extended or refined through subordinate instruments, although no such instruments are mentioned in the text.
Key Provisions
The Social Security (Rotary Foundation Ambassadorial Scholarship) Determination 2000, pursuant to section 24A of the Social Security Act 1991, specifies the criteria under which Rotary Foundation Ambassadorial Scholarships are considered approved scholarships. Specifically, section 2 of the Determination states that any Ambassadorial Scholarship awarded by the Rotary Foundation, which does not include a component for living expenses, qualifies as an approved scholarship. This includes three types of scholarships: Academic-Year Ambassadorial Scholarships, Multi-Year Ambassadorial Scholarships, and Cultural Ambassadorial Scholarships. Each type of scholarship has distinct provisions; for instance, Academic-Year Scholarships fund one academic year of study abroad, covering transportation, tuition, fees, and educational supplies up to a certain limit, but excluding living expenses. Similarly, Multi-Year Scholarships provide a flat grant for degree-oriented study abroad, while Cultural Scholarships are for intensive language study and cultural immersion, with a specified funding limit.
The obligations imposed by this Determination on the parties involved are primarily concerned with the administration and reporting of these scholarships. The Rotary Foundation must ensure that the scholarships awarded align with the criteria set out in the Determination, specifically by not including provisions for living expenses. Additionally, the Minister for Social Security, who made the determination, must table it in each House of the Parliament within 15 sitting days of the House after the determination is made, as stipulated in subsection 24A(2) of the Act. The Determination also mandates that any changes to the criteria for approved scholarships must follow the same parliamentary tabling process.
Breaches of the conditions set forth in the Social Security (Rotary Foundation Ambassadorial Scholarship) Determination 2000 can lead to various consequences. While the Determination does not explicitly outline specific offences or penalties, the underlying Social Security Act 1991 provides a framework for enforcement. For instance, providing a scholarship with living expense components contrary to the Determination could be considered non-compliance, potentially leading to the scholarship no longer being recognised as an approved scholarship. This could affect the eligibility of recipients for social security benefits under the Act. In severe cases, misrepresentation or intentional non-compliance might attract penalties under other provisions of the Act, including fines or other sanctions as prescribed by the relevant authorities.