Higher Education Legislation Amendment Act (No. 2) 2002

(78 of 2002)

An Act to amend the Higher Education Funding Act 1988 and the Australian Research Council Act 2001, and for other purposes

[Assented to 8 October 2002]

The Parliament of Australia enacts:

[Minister's second reading speech made in - House of Representatives on 20 February 2002 Senate on 22 August 2002]

1 Short title

This Act may be cited as the Higher Education Legislation Amendment Act (No. 2) 2002.

2 Commencement

This Act commences on the day on which it receives the Royal Assent.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1 Amendment of the Higher Education Funding Act 1988

Part 1 Variation of financial assistance

1 Paragraphs 17(m), (n) and (o)

Repeal the paragraphs, substitute:

(m) in the case of the year 2001 - $2,749,161,000; and

(n) in the case of the year 2002 - $2,803,444,000; and

(o) in the case of the year 2003 - $2,810,374,000; and

(p) in the case of the year 2004 - $2,825,095,000.

2 Paragraphs 20(3)(n) and (o)

Repeal the paragraphs, substitute:

(n) in the case of the year 2002 - $112,793,000; and

(o) in the case of the year 2003 - $118,690,000; and

(p) in the case of the year 2004 - $118,690,000.

3 Paragraph 22A(5)(k)

Omit “$235,000.”, substitute “$235,000; and”.

4 At the end of subsection 22A(5)

Add:

(l) for the year 2004 - $235,000.

5 Paragraphs 23C(2)(j) and (k)

Repeal the paragraphs, substitute:

(j) for the year 2002 - $1,065,435,000; and

(k) for the year 2003 - $1,094,171,000; and

(l) for the year 2004 - $1,113,429,000.

6 Paragraphs 24(3)(n) and (o)

Repeal the paragraphs, substitute:

(n) in the case of the year 2002 - $5,287,000; and

(o) in the case of the year 2003 - $5,287,000; and

(p) in the case of the year 2004 - $5,287,000.

7 Paragraphs 27A(6)(i) and (j)

Repeal the paragraphs, substitute:

(i) for the year 2002 - $41,209,000; and

(j) for the year 2003 - $41,209,000; and

(k) for the year 2004 - $41,209,000.

8 Paragraphs 27D(2)(e) and (f)

Repeal the paragraphs, substitute:

(e) in the case of the year 2002 - $5,285,000; and

(f) in the case of the year 2003 - $5,285,000; and

(g) in the case of the year 2004 - $5,285,000.

Part 2 Acquittal of financial assistance

9 At the end of paragraphs 18(1)(b), (c) and (d)

Add “and”.

10 Paragraph 18(1)(f)

Repeal the paragraph.

11 Subsection 18(4)

Omit “(other than paragraph (1)(f))”.

12 Subsection 21A(1)

Omit “conditions”, substitute “condition”.

13 Subsections 21A(4) and (5)

Repeal the subsections.

14 Subsection 23(5)

Repeal the subsection, substitute:

(5) Financial assistance is granted to an institution or another body under subsection (3) in relation to an approved proposal of the institution or body in respect of a year on the condition that:

(a) the sum of the amounts spent by the institution or other body in connection with the proposal in respect of that year, being amounts spent before the end of that year or spent after that year in respect of commitments entered into before the end of that year;

is not less than:

(b) the sum of the amounts of financial assistance paid to the institution or body under this section in relation to the proposal.

15 Subsection 23B(1)

Omit “conditions”, substitute “condition”.

16 Subsections 23B(5) and (6)

Repeal the subsections.

17 Subsection 24(4)

Repeal the subsection, substitute:

(4) Financial assistance is granted to an institution under subsection (2) in respect of a year on the condition that:

(a) the sum of the amounts spent by the institution in making contributions towards the appropriate costs, in respect of that year, of the teaching hospital or teaching hospitals of the institution;

is not less than:

(b) the sum of the amounts of financial assistance paid to the institution under subsection (2) in relation to the institution in respect of that year.

18 Subsection 25(3)

Repeal the subsection, substitute:

(3) Financial assistance is granted to an institution under subsection (1) in respect of a year on the condition that:

(a) the sum of the amounts spent by the institution for the purpose of the review and research referred to in subsection (1) in the institution in respect of that year;

is not less than:

(b) the sum of the amounts of financial assistance paid to the institution under subsection (1) in respect of that year.

19 Paragraph 27C(d)

Omit “project; and”, substitute “project.”.

20 Paragraph 27C(e)

Repeal the paragraph.

21 At the end of paragraph 108(a)

Add “and”.

22 Paragraph 108(c)

Omit “determined by the Minister.”, substitute “determined by the Minister; and”.

23 At the end of section 108

Add:

(d) the institution or body gives to the Minister, not later than 30 June next following that year, a financial statement in respect of that year, in an approved form, together with a report on the statement by a qualified auditor.

24 Application of amendments - acquittal of financial assistance

The amendments made by this Part apply in relation to financial assistance granted in respect of:

(a) the year that began on 1 January 2002; or

(b) a later year.

Part 3 Notices to fee-paying overseas students

25 After subsection 54(1)

Insert:

(1A) However, an institution is not required to give a student a notice under subsection (1) in relation to a course of study in respect of a semester if:

(a) the student is an overseas student in relation to the course of study in respect of the semester; and

(b) the student pays fees for the course of study in respect of the semester.

Part 4 Batchelor Institute of Indigenous Tertiary Education

26 Schedule 1 (table item 37)

Omit “Batchelor College”, substitute “Batchelor Institute of Indigenous Tertiary Education”.

Part 5 Tax file numbers of post-graduate students

27 Paragraph 98E(f)

Omit “and paragraphs 52(1)(a) and 53(1)(d)”, substitute “, paragraph 52(1A)(a) and subsection 53(1A)”.

Part 6 Application of tax legislation

28 Subsection 106U(2)

Repeal the subsection, substitute:

(2A) Part 4-25 in Schedule 1 to the Taxation Administration Act 1953 has effect as if:

(a) any HEC assessment debt of a person were income tax payable by the person in respect of the year of income in respect of which the assessment of that debt was made; and

(b) Chapters 4, 4A, 4B, 5, 5A and 5B of this Act were income tax laws.

(2B) Subsection (2A) does not have the effect of making a person liable to a penalty for any act or omission that happened before the commencement of this subsection.

29 Transitional - subsection 106U(2) of the Higher Education Funding Act 1988

Despite the repeal of subsection 106U(2) of the Higher Education Funding Act 1988 by this Part, that subsection continues to apply, in relation to the 1999-2000 year of income or an earlier year of income, as if that repeal had not happened.

30 Subsection 112(3)

Repeal the subsection.

31 After section 112

Insert:

112A Application of the Taxation Administration Act 1953

(1) Chapters 4, 4A, 4B, 5, 5A and 5B are taken to be, and are taken always to have been, taxation laws for the purposes of the Taxation Administration Act 1953.

(2) Subsection (1), in so far as it applies to Chapters 4A, 4B, 5, 5A and 5B, does not have the effect of making a person liable to a penalty for any act or omission that happened before the commencement of this section.

Schedule 2 Amendment of the Australian Research Council Act 2001

Part 1 Variation of financial assistance

1 Paragraph 48(c)

Omit “2003.”, substitute “2003;”.

2 At the end of section 48

Add:

(d) the year 2004;

(e) the year 2005.

3 Paragraphs 49(b) and (c)

Repeal the paragraphs, substitute:

(b) for the year 2002 - $272,423,000; and

(d) for the year 2004 - $386,151,000; and

(e) for the year 2005 - $442,380,000.

Part 2 Committees

4 Section 4

Insert:

designated committee means a committee established under section 30 wholly or partly to assist in carrying out the functions of the ARC or the Board under section 52.

5 Subsections 30(1) and (2)

Omit “, with the approval of the Minister,”.

6 At the end of section 30

Add:

(3) Subsections (1) and (2) have effect subject to subsection (4).

(4) The Board must not:

(a) establish a designated committee; or

(b) dissolve a designated committee;

unless the Board has obtained the approval of the Minister.

7 Subsection 32(1)

Omit “and (3)”, substitute “, (3) and (7)”.

8 Subsection 32(1)

Omit “with the approval of the Minister”.

9 Subsection 32(5)

Omit “subsection (6)”, substitute “subsections (6) and (7)”.

10 Subsection 32(5)

Omit “, with the approval of the Minister,”.

11 At the end of section 32

Add:

(7) The Board must not:

(a) appoint a person as a member of a designated committee; or

(b) designate a member of a designated committee as the Chair of the committee;

unless the Board has obtained the approval of the Minister.

12 Subsections 33(1) and (2)

Omit “with the approval of the Minister”.

13 Subsection 33(4)

Omit “, with the approval of the Minister,”.

14 At the end of section 33

Add:

(5) The Board must not:

(a) make a determination under subsection (1) or (2) in relation to a member of a designated committee; or

(b) terminate the appointment of a member of a designated committee;

unless the Board has obtained the approval of the Minister.