Higher Education Support Bill

1
Higher Education Support Bill
2003
2
3 Higher Education Bills

• Higher Education Support Bill 2003
• Higher Education Support (Transitional Provisions
  and Consequential Amendments) Bill 2003
• Higher Education Support Amendment (Abolition of
  Compulsory Upfront Union Fees) Bill 2003

3
HES Bill 2003 Chapter 2

• Grants to higher education providers (HEPs)
• Approval and revocation as a HEP
• Quality Accountability requirements
• Commonwealth Grant Scheme
• Other grants
• Scholarships
• Reduction and repayment of grants

4
HES Bill 2003 Chapters 3 4

• Assistance to students
• Student Learning Entitlements
• Three types of HELP loans
• Repayment of Loans
• Creation of two types of accumulated HELP debt
• Voluntary and compulsory repayments

5
HES Bill 2003 Chapters 5 6

• Administration
• Notices, fees, exempt students, census dates
• Communication with Cwealth about students
• Protection of personal information
• Review of decisions
• External Territories
• Provisions are not changed

6
T C Bill Transitional Provisions

• Grandfathering for current HECS and PELS students
• Conversion of HECS debts to HELP debts
• Notre Dame to receive general CGS places and
  Avondale to receive National Priority places
  until 2008
• Provision for phase out of marginally funded
  places

7
T C Bill Conseq. Amendments

• HEFA increases for 2004 indexation, regional
  loading and nursing
• Transitional financial assistance in HEFA
• Turns off parts of HEFA
• Amends ANU and AMC Acts
• Marcus Oldham settlement
• Amendments to other legislation

8
ACUUF Bill

• A new Fairness requirement in the Quality and
  Accountability Requirements
• HEPs not to require person to be member of
  association
• HEPs not to collect any amount that
• is to be paid as condition of enrolment in a
  course and
• does not relate directly to the course.

9
Higher Education Providers (HEPs)

• Listed providers are approved from the Acts
  commencement
• Listed Table A providers are the 36 public
  universities, ACU, AMC and Batchelor College
• Listed Table B providers are Bond, UNDA and MCD
• Other providers must apply and be approved by the
  Minister.

HES Bill, Subdivisions 16-A and 16-B
10
Requirements for HEP approval

• Australian body corporate
• university, self-accrediting provider or non
  self-accrediting provider
• fulfill TAS requirements, unless exempt
• in State/Terr. compliant with National Protocols
• willing able to meet Q A requirements

HES Bill, Subdivision 16C
11
Approval and revocation of HEPs

• Ministers decision to approve a body as a HEP is
  subject to ADJR only
• Minister may revoke a bodys approval as a HEP
• for breach of Q A requirements or conditions of
  grant
• revocation is subject to disallowance by the
  Parliament, as well as ADJR

HES Bill, Approval Subdivision 16-C HES Bill,
Revocation Subdivision 22-C
12
Q A Requirements (I)
Five broad sets of requirements

• 1. Financial viability
• must be, and be likely to remain, financially
  viable
• must submit annual financial statement

HES Bill, Subdivision 19-B
13
Q A Requirements (II)

• Quality
• agree to audit by quality auditing body
• comply with requirements of authorised
  accreditation authority listed on AQF
• comply with requirements imposed by Minister to
  implement recommendation of auditing body

HES Bill, Subdivision 19-C
14
Q A Requirements (III)

• Fairness to students and people enrolling
• open, fair transparent procedures based on
  merit for selecting students to benefit from
  grants/allocations
• HEPS to meet TAS requirements (except for Table
  A providers and exempt providers)

HES Bill, Subdivision 19-D
15
Q A Requirements (IV)

• Fairness requirements (cont)
• must have grievance procedures and a review
  procedure for decisions relating to student
  assistance
• must comply with Privacy Acts Information
  Privacy Principles in respect of personal
  information obtained for administration of
  student assistance

HES Bill, Subdivision 19-D
16
Q A Requirements (V)

• Compliance with the Act
• must provide statistical and other information
  required by the Minister
• must inform the Minister of events affecting
  capacity to meet conditions of grant and Q A
  requirements
• must allow access of Cwealth officers for audit
  and compliance activities related to Act

HES Bill, Subdivision 19-E
17
Q A Requirements (VI)

• Contributions and fees
• must charge student contribution amounts and
  tuition fees in accordance with Act
• must set student contribution amounts per place
  and tuition fees per place for each unit of study
• must give Minister a schedule of student
  contribution amounts and tuition fees

HES Bill, Subdivision 19-F
18
Repayments Reductions in Grant

• The Secretary may reduce or require repayment of
  grant if
• the HEP breaches a condition of grant and
• secretary is satisfied that action is appropriate
• Secretary must seek submission from HEP on why
  proposed action should not be taken
• There may be disallowable guidelines about
  repayments and reductions

HES Bill, Part 2-5
19
Commonwealth Grant Scheme -policy changes

• Regional loading extended to
• University of Wollongong
• places for external students
• National priority CGS places
• Over-enrolment limit up from 2 to 5
• Three year transition fund

20
CGS Grants

• Grants payable to a HEP, if
• HEP is a Table A provider or listed in CGS
  guidelines
• Minister allocates the HEP Commonwealth supported
  places and
• HEP has a CGS funding agreement.
• Non-Table A providers can only get national
  priority places.

HES Bill, Subdivision 30-A
21
CGS allocations

• The Minister
• allocates total number of places and specifies
  distribution across funding clusters
• may specify number of places with regional
  loading and medical student loading
• must specify the number of places for each
  national priority for non-Table A providers

HES Bill, Subdivision 30-B
22
CGS basic grant amount

• The sum of
• the Cwealth contribution amounts for each place
  in each funding cluster
• the amount of regional loading worked out under
  the CGS guidelines and
• the amount of medical place loading worked out
  under the CGS guidelines.

HES Bill, Subdivision 33-B
23
Adjustments to basic grant amount

• Calculated in accordance with the CGS guidelines.
• If CGS guidelines do not specify otherwise, the
  legislation specifies how the basic grant amount
  is to be reduced

HES Bill, Subdivision 33-C
24
Over/Under Enrolment Adjustment

• Basic grant amount is reduced by
• the highest student contribution amount per place
  determined by the provider for each excess
  place in the previous year (over 105 of
  allocation) and
• the amount of under expenditure on places
  provided in previous year (compared to the
  funding approved for places).

HES Bill, Subdivision 33-C
25
Increases to Cwealth place contributions

• Increases available only if the CGS guidelines
  impose requirements concerning governance and/or
  workplace relations
• Minister must be satisfied that provider met the
  requirements as at date specified in CGS
  guidelines in the preceding year
• Once off determination required each year to
  get increase in the following year

HES Bill, Subdivision 33-B
26
CGS funding agreements (I)

• May specify conditions such as
• minimum or maximum number of CGS places in
  undergraduate, postgraduate, medical enabling
  courses
• maximum number of CGS places to get regional
  loading and/or medical student loading
• maximum amount of regional loading payable

HES Bill, Subdivision 30-C
27
CGS funding agreements (II)

• May specify conditions such as
• courses in which CGS places may be provided
• restrictions on the type of courses in which CGS
  places may be provided
• adjustments for breaching conditions of grant

HES Bill, Subdivision 30-C
28
Special purpose advances

• Essentially the same arrangement as under HEFA
• Advances for purposes determined by Minister and
  under conditions set by Minister
• Advances recovered from CGS grant over subsequent
  three years

HES Bill, Subdivision 33-D
29
Marginally funded places

• Separate from CGS place allocations
• An institutions CGS funding agreement will
  specify the allowable number of marginally funded
  places
• Students in these places will be Cwealth
  supported but the places will not be counted in
  the adjustment for over-enrolment

Transitional and Consequential Bill Schedule 1,
Part 6, Item 21
30
The transition fund

• Grants of transition assistance will be made over
  three years (2005, 2006 2007) under HEFA
• Minister determines amount of assistance
• Grants not to exceed 21.5 million in 2005, 9.4
  million in 2006 and 7.4 million in 2007

Transitional and Consequential Bill Schedule 2,
Part 2, Item 8
31
Conditions of CGS grants

• Mainly rules concerning
• Commonwealth supported students
• enrolments
• student contribution amounts
• tuition fees (all covered later in presentation)
• Plus requirement to meet Q A requirements, and
  comply with CGS funding agreement and conditions
  in CGS guidelines

HES Bill, Division 36
32
The Other grants Part

• Provides the framework for all grants other than
  CGS and Scholarships
• Includes a table detailing the purposes for which
  grants may be made and eligibility to receive a
  grant for each of those purposes

HES Bill, Part 2-3
33
Other Grants eligibility

• Table A providers eligible for all grants
• Table B providers eligible for research grants
• Bodies corporate specified in Other Grants
  Guidelines may get grants for
• collaboration and reform in HE
• development of systemic infrastructure
• assuring quality, promoting research and
  scholarship and supporting open access to HE

HES Bill, Division 41
34
Programs under guidelines

• The Other Grants Guidelines may specify programs
  under which grants will be paid
• guidelines are disallowable instrument
• These guidelines may include matters such as
• extra conditions of eligibility and conditions of
  grant
• the method for determining grant amounts which
  may be a formula or Ministerial determination

HES Bill, Division 41
35
Assistance to students - policy changes

• Student Learning Entitlement (SLE)
• still basic 5 year entitlement
• additional SLE to give course length plus 1 yr
• Exemption scholarships to cover student
  contribution amounts and tuition fees
• Students may be charged for work experience in
  industry
• HEPs listed in CGS guidelines may get
  Commonwealth Learning Scholarships

36
Cwealth Supported Students

• Cannot advise a person that CS unless
• provider has a CGS place allocation
• unit contributes to a course of study
• person is enrolled in the unit before its census
  date and
• unit is covered by the persons learning
  entitlement, is part of an enabling course or is
  work experience in industry.

HES Bill, Subdivision 36-B
37
CS advice non-Table A providers

• Non-Table A provider cannot advise a person that
  CS unless
• person is enrolled within a National Priority
• provider received a CGS grant for that national
  priority
• if the national priority is a course of study,
  the unit is contributing to the requirements of
  that course

HES Bill, Subdivision 36-B
38
Tuition fees

• By definition, tuition fees are for full fee
  payers. CS students pay student contribution
  amounts (not tuition fees)
• HEPs must not set a tuition fee for a unit which
  is less than the student contribution amount for
  the unit
• CGS guidelines may set a higher minimum

HES Bill, Subdivision 36-E
39
Exemption scholarships

• Are awarded by HEPs to students for a course of
  study in accordance with any requirements in the
  relevant Guidelines
• Only applies from 2005. Options for 2004 still
  being considered

HES Bill, Division 169
40
Student Learning Entitlement (SLE)

• Australian citizens, New Zealand citizens and
  permanent visa holders are eligible for SLE
• A persons SLE consists of their ordinary
  learning entitlement and any additional learning
  entitlement that the person has

HES Bill, Division 73
41
Amounts of SLE

• Eligible people have 5 EFTSL of ordinary learning
  entitlement on 1 Jan 2005 or the earliest day
  they become eligible
• A person has additional learning entitlement if
  the person is enrolled in a course of study of a
  kind specified in the SLE guidelines

HES Bill, Division 73
42
Reducing SLE

• Students who are Cwealth supported in a unit of
  study have their SLE reduced by the EFTSL value
  of the unit at the end of census date, unless
• unit is part of an enabling course
• unit is work experience in industry
• Additional SLE only used on units in the course
  which attracted that additional SLE

HES Bill, Division 76
43
Re-crediting SLE

• HEPs must re-credit SLE for a unit, if
• person has not completed requirements of the
  unit
• person applies in writing within the application
  period for re-crediting of the SLE and
• provider is satisfied that special circumstances
  apply to the person.

HES Bill, Division 79
44
Consequences of re-crediting SLE

• If a persons Student Learning Entitlement is
  re-credited in relation to a unit
• a HEP must refund student contribution amounts
  paid by the student and return HECS-HELP
  assistance to the Commonwealth
• the students HECS-HELP debt for the unit is
  remitted

HES Bill, Subdivision 36-B
45
The HELP loans

• All HELP loans only for Australian citizens and
  holders of permanent humanitarian visa
• HECS-HELP similar to HECS but only for students
  who are Cweath supported in unit
• OS-HELP for students who have been CS
• FEE-HELP for students who pay tuition fees
• covers bridging courses and OLA units

HES Bill, Parts 3-2, 3-3 and 3-4
46
The FEE-HELP balance

• FEE-HELP balance is unused FEE-HELP up to the
  50,000 limit.
• HEPs must re-credit FEE-HELP balance, if
• person hasnt completed requirements of unit
• person applies in writing within application
  period for re-crediting of the balance and
• provider is satisfied that special circumstances
  apply to the person.
• The students FEE-HELP debt for the unit is
  remitted if balance is re-credited.

47
Repayment of loans

• Similar to current arrangements, but
• two types of debt created (HECS-HELP and
  FEE-HELP/OS-HELP)
• compulsory repayments reduce HECS-HELP debts to
  nil before reducing F-H/O-H debt
• voluntary repayments reduce debts as person wants
  but bonus only for HECS-HELP repayments

HES Bill, Chapter 4
48
HECS Grandfathering

• Students meeting conditions for HECS
  grandfathering
• are Commonwealth supported and use SLE
• are entitled to receive HECS-HELP assistance
• have a student contribution amount that cannot
  exceed what would otherwise have been the HECS
  amount
• Minister may make disallowable guidelines
  regarding the matter

Transitional and Consequential Bill, Schedule 1,
Part 1
49
PELS Grandfathering

• Students meeting conditions for PELS
  grandfathering
• are entitled to receive FEE-HELP assistance
• are taken to incur a HECS-HELP debt, not a
  FEE-HELP debt
• Minister may make disallowable guidelines
  regarding the matter

Transitional and Consequential Bill, Schedule 1,
Part 2
50
Census dates and EFTSL values

• HEPs must determine and publish for each unit of
  study
• the census date of the unit, which must not be
  less than 20 of the way through the unit
• the EFTSL value of the unit (in accordance with
  the relevant Guidelines)

HES Bill, Division 169
51
Reporting periods

• There will be two reporting periods for student
  data
• 1 January to 30 June
• 1 July to 31 December
• Data for a unit will be reported in the period in
  which its census date occurs
• Data will be input to HEIMs. DEST will provide
  relevant data to the ATO.

No specific mention in HES Bill
52
Communications about studentsthe student
identifier

• HEPs required to use an identifier for a person
  in communications between a HEP and the
  Commonwealth
• Only applies to persons who are CS or seeking
  assistance under the Act
• Identifier is protected only for purposes of
  Act (nothing to do with academic results)

HES Bill, Division 169, Section 169-30
53
Protection of personal informationthe criminal
offences

• The Act will make it a criminal offence for an
  officer of a HEP or the Commonwealth to disclose
  personal information outside the scope of
  employment (Similar to current HEFA provision)
• Unauthorised access to, or modification of,
  personal information in a HEPs computer also
  made a criminal offence
• Criminal code covers other matters

HES Bill, Division 179
54
Review of decisions

• Act specifies review procedures for those
  decisions which may be appealed to AAT
• Refusal to re-credit SLE and FEE-HELP balance
• Two decisions of Tax Commissioner
• Six external territories decisions
• HEPs must appoint review officers
• Secretary may delegate reconsideration of
  decisions to these review officers

HES Bill, Part 5-7 and Subdivision 19-D
55
Scholarships

• Two classes of scholarship
• Table A providers and providers listed in the CGS
  guidelines may receive grants to pay standard
  scholarships to students
• Table A and Table B providers may receive grants
  to pay postgraduate research scholarships to
  students

HES Bill, Part 2-4