House of Representatives

Explanatory Memorandum

Circulated By Authority of the Minister for Education the Honourable Julia Gillard MP

Schedule 1 - Amendments

Higher Education Support Act 2003

Item 1 - Paragraph 16-25(c )

Omits "fulfilled the *tuition assurance requirements on the date of making an application under section 16-40" and substitutes "fulfils the *tuition assurance requirements."

The current requirement contained in paragraph 16-25(c) provides that the Minister may approve a body corporate as a higher education provider if the body either fulfilled the tuition assurance requirement on the date of making an application under section 16-40 or is exempted from having to satisfy this requirement. In its current form, the legislation allows a body corporate to satisfy the requirement in paragraph 16-25(c) where the body corporate satisfies the tuition assurance requirements at the time of their application but not at the time the Minister makes a decision. This amendment will ensure that the body corporate has until the time immediately prior to the time the Minister makes a decision, to fulfil the tuition assurance requirements.

Item 2 - Paragraph 6(d) of Schedule 1A

Omits "fulfilled the *tuition assurance requirements on the date of making an application under section clause 9" and substitutes "fulfils the *tuition assurance requirements."

Paragraph 6(d) provides that a Minister may approve a body corporate as a VET provider where the body corporate either fulfilled the VET tuition assurance requirements on the date of making an application under clause 9 or is exempted from those requirements under clause 8. In its current form, the legislation allows a body corporate to satisfy paragraph 6(d) where the body corporate meets the VET tuition assurance requirements at the time of application but not at the time the Minister makes the decision. This amendment will ensure that the body corporate has until the time immediately prior to the time the Minister makes a decision, to fulfil the tuition assurance requirements.

Item 3 - Subsection 11(2) of Schedule 1A

Repeals and substitutes subclause 2 and inserts subclause (2A) into Schedule 1A.

Before the Minister can approve a body corporate as a VET provider, the Minister must be satisfied, in accordance with paragraph 6(f), that the body is willing and able to meet the VET quality and accountability requirements.

New subsection 11(2) provides, for the purposes of paragraph 6(f), two circumstances in which the Minister may be satisfied that a body corporate is willing and able to meet the VET quality and accountability requirements.

Firstly, this amendment maintains the provision currently in the legislation which provides the Minister may be satisfied that a body corporate is willing and able to meet the VET quality and accountability requirements where the body gives the Minister such written undertakings as the Minister requires.

Secondly, the Minister may be satisfied that a body corporate is willing and able to meet:

•

the VET quality and accountability requirements; or

•

one or more of the requirements referred to in paragraphs 13(1)(a) to (f) of Schedule 1A;

if a body approved under the VET Provider Guidelines so recommends in accordance with the VET Provider Guidelines.

This amendment will allow the Minister to accept recommendations from a body approved under the VET Provider Guidelines in relation to the VET quality and accountability requirements.

New subclause 11(2A) provides that subclause 11(2) does not limit the circumstances in which the Minister may be satisfied, for the purposes of paragraph 6(f) that a body corporate is willing and able to meet the VET quality and accountability requirements.