EXPLANATORY STATEMENT
Issued by the authority of the Minister for Employment and Education Services
STATUTORY RULES NO. 404 of 1989
STUDENT ASSISTANCE REGULATIONS (AMENDMENT)
1. The Student Assistance Act 1973 (the Principal Act) and the Student Assistance Regulations (the Principal Regulations) provide the legislative authority for the AUSTUDY scheme and for Post-graduate Awards. Section 36 of the Principal Act contains the regulation-making power.
2. The present Statutory Rules are consequential on amendments to the Act made by the Student Assistance Amendment Act (No. 2) 1989 (the amending Act). They reflect the following changes made by the amending Act:
• the introduction of a new concept, “current special educational assistance scheme”;
• the obligation of beneficiaries under the Principal Act to notify the Department of changes to their situation has been inserted in the Principal Act (the obligation was formerly imposed by the Principal Regulations).
3. The present Statutory Rules are made pursuant to section 4 of the Acts Interpretation Act, which enables amendments to be made to regulations in anticipation of an Act that has not yet come into operation.
4. Under section 4(2) of the Acts Interpretation Act, the present Statutory Rules commence on the later of the commencement date for the amending Act and the gazettal date for these Statutory Rules. The present Statutory Rules therefore commence on the same day as the amending Act, 2 January 1990 (see section 2(1) of the amending Act).
5. Details of the provisions of the present Statutory Rules are attached.
Details of amendments
Introductory words
6. The introductory words specify that the present Statutory Rules are made pursuant to section 4 of the Acts Interpretation Act.
Regulation 1: Principal Regulations
7. Regulation 1 provides that the Student Assistance Regulations are referred to as the Principal Regulations.
Regulation 2: Meaning of “prescribed educational scheme”
8. Regulation 2 amends regulation 6, which defines “prescribed educational scheme” for the purposes of section 31A(1)(d) of the Principal Act. Under section 31A(1)(d), an overpayment incurred under a prescribed educational scheme can be recovered by offsetting against an entitlement under the Principal Act (ie under AUSTUDY or a Post-graduate Award).
9. Paragraph 2(a) replaces the reference to section 31A(1)(d) of the Principal Act with a reference to section 30B(2)(a(iii). This is consequential on the amending Act, which repeals section 31A (see section 9(1) of the amending Act) and inserts a new section 30B in its stead (see section 8 of the amending Act).
10. Paragraph 2(b) omits paragraphs (a), (b) and (c) of regulation 6. Paragraphs (a), (b) and (c) referred respectively to the Aboriginal Study Assistance Scheme (also known as ABSTUDY), the Aboriginal Secondary Assistance Scheme and the Assistance for Isolated Children Scheme. These schemes are now listed as “current special educational assistance schemes” (see the definition inserted into section 5(1) of the Principal Act by section 5(b) of the amending Act).
Regulation 3: Interpretation
11. Regulation 3 amends the definition of “pension benefit” in regulation 29 of the Principal Regulations. (Regulation 29 defines expressions used in Part III of the Regulations;
Part III deals with the AUSTUDY scheme.)
12. “Pension benefit” identifies a number of Social Security benefits and pensions and similar allowances. Subparagraph (f) of the definition refers to Commonwealth vocational allowances, excluding a range of specifically educational schemes.
13. The amendment to regulation 29 inserts a reference to the new concept of “current special educational assistance scheme” (a definition of this expression was inserted into the Principal Act by section 5(b) of the amending Act).
14. The amendment to regulation 29 also replaces “student assistance” with references to AUSTUDY and to Post-graduate Awards. This is purely a drafting measure (see the definition of “student assistance” in section 5(1) of the Principal Act).
Regulation 4: Independent status
15. Under regulation 30(1)(f) of the Principal Regulations, a student can qualify as an independent if he or she has been in the workforce for three out of the previous four years. Regulation 30(2)(e)(v) provides that the qualifying period can include periods while receiving Commonwealth vocational allowances, other than a range of specifically educational schemes.
16. Regulation 4 amends regulation 30(2)(e)(v) of the Principal Regulations by inserting a reference to the new concept of “current special educational assistance scheme” into the schemes excluded from the operation of that regulation. (A definition of this expression was inserted into the Principal Act by section 5(b) of the amending Act.)
Regulation 5: Notice to be given of matters affecting Assistance
17. Regulation 5 amends regulation 85 of the Principal Regulations. Regulation 85 previously imposed an obligation on AUSTUDY recipients to advise the Department of significant changes in their situation; the obligation is now imposed by section 31FA of the Principal Act (inserted by section 11 of the amending Act).
18. Paragraph 5(a) amends the introductory words of subregulation 85(1) so that it now defines a “prescribed event” for the purposes of section 31FA of the Principal Act (inserted by section 11 of the amending Act).
19. Paragraph 5(b) is consequential on the amendment made by paragraph 5(a).
20. Paragraph 5(c) omits regulation 85(1)(aa), which required a student to notify the Department if he or she enrolled in a course which was not approved for paying AUSTUDY benefits. This has been found to be superfluous as the requirement is already covered by regulation 85(1)(a).
21. Paragraphs 5(d) to (g) reflect a change in the income test abolishing the special application of the AUSTUDY income test to any income that a student might receive as educational assistance.
22. Paragraph 5(h) amends regulation 85(1)(p), which deals with the situation where the “sibling concession” in regulation 42(8) of the Principal Regulations ceases to apply to a student. The amendment simplifies regulation 85(1)(p) to refer only to regulation 42(8), rather than to all the conditions that would lead to regulation 42(8) ceasing to apply.
23. Paragraph 5(i) is a purely drafting change, consequential on the amendment made by paragraph 5(a).
24. Paragraph 5(j) omits the reference to the penalty for failing to advise the Department of a change in circumstances. The penalty is now contained in section 31G of the Principal Act (as amended by section 12 of the amending Act).
25. Paragraph 5(k) amends regulations 85(1A) and (1B) so that their function is now to define a “prescribed event” for the purposes of section 31FA of the Principal Act (inserted by section 11 of the amending Act).
Regulation 6: Notice to be given of certain matters relating to holders of Awards
26. Regulation 6 amends regulation 86 of the Principal Regulations. Regulation 86 previously imposed an obligation on holders of Post-graduate Awards to advise the Department of significant changes in their situation; the obligation is now imposed by section 31FA of the Principal Act (inserted by section 11 of the amending Act).
27. Paragraph 6(a) amends the introductory words of regulation 86(1) so that the regulation now functions to define a “prescribed event” for the purposes of section 31FA of the Principal Act (inserted by section 11 of the amending Act).
28. Paragraph 6(i) is a purely drafting change, consequential on the amendment made by paragraph 6(a).
29. Paragraph 6 (j) omits the reference to the penalty for failing to advise the Department of a change in circumstances. The penalty is now contained in section 31G of the Principal Act (as amended by section 12 of the amending Act).
Regulation 7: Manner of notifying prescribed events
30. Regulation 7 inserts a new provision, regulation 86AA, which defines the manner of notifying a prescribed event for the purposes of section 31FA of the Act. Section 31FA (inserted by section 11 of the amending Act) requires beneficiaries under the Principal Act to notify the Department of a “prescribed event” in accordance with the regulations.