Senate debates

Wednesday, 30 November 2016

Bills

VET Student Loans Bill 2016, VET Student Loans (Consequential Amendments and Transitional Provisions) Bill 2016, VET Student Loans (Charges) Bill 2016; In Committee

6:57 pm

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Minister for Education and Training) Share this | Hansard source

by leave—I move government amendments (1) to (25) on sheet GX140 together:

(1) Clause 6, page 4 (before line 3), before the definition of approved course provider, insert:

approved course: see section 13.

(2) Clause 6, page 4 (after line 3), after the definition of approved course provider, insert:

approved external dispute resolution scheme: see section 42B.

approved external dispute resolution scheme operator: see paragraph 42B(c).

(3) Clause 6, page 6 (after line 12), after the definition of officer of an approved course provider, insert:

officer of an approved external dispute resolution scheme operator means:

(a) an officer or employee of an approved external dispute resolution scheme operator; or

(b) a person who performs services for or on behalf of an approved external dispute resolution scheme operator.

(4) Clause 6, page 6 (after line 14), after the definition of officer of a Tertiary Admission Centre, insert:

officer of a tuition assurance scheme operator means:

(a) an officer or employee of a tuition assurance scheme operator; or

(b) a person who performs services for or on behalf of a tuition assurance scheme operator.

(5) Clause 6, page 8 (line 8), at the end of the definition of VET officer, add:

; (e) an officer of an approved external dispute resolution scheme operator.

(6) Clause 15, page 12 (line 26), omit "accredited", substitute "registered".

(7) Clause 17, page 14 (line 22), omit "request the student to".

(8) Clause 17, page 14 (line 23), before "provide", insert "request the student to".

(9) Clause 17, page 14 (line 25), omit "may".

(10) Clause 25, page 21 (line 19), at the end of subclause (2), add:

; and (h) be a member of an approved external dispute resolution scheme.

(11) Clause 25, page 21 (lines 20 to 22), omit all the words from and including "the" to the end of subclause (3), substitute:

either or both of the following:

(a) the requirement in paragraph (2) (g) to be a party to an approved tuition assurance arrangement;

(b) the requirement in paragraph (2) (h) to be a member of an approved external dispute resolution scheme.

(12) Clause 28, page 23 (line 7), omit "request the applicant to".

(13) Clause 28, page 23 (line 8), before "provide", insert "request the applicant to".

(14) Clause 28, page 23 (line 10), omit "may".

(15) Page 31 (after line 21), after Division 4, insert:

Division 4A—External dispute resolution

42A Minister may specify external dispute resolution scheme

(1) The Minister may, by legislative instrument, specify a scheme that provides for investigation and resolution of disputes relating to the following:

(a) VET student loans;

(b) compliance by approved course providers with this Act;

(c) VET FEE-HELP assistance (within the meaning of the Higher Education Support Act 2003);

(d) compliance by VET providers (within the meaning of the Higher Education Support Act 2003) with the Higher Education Support Act 2003.

(2) The Minister must specify the operator of the scheme in the legislative instrument.

Note: The rules may provide for matters that the Minister may or must have regard to in deciding to specify a scheme: see subsection 116(3).

42B Meaning of approved external dispute resolution scheme

A scheme is an approved external dispute resolution scheme if the scheme:

(a) provides for investigation and resolution of disputes as mentioned in section 42A; and

(b) is specified in a legislative instrument made under section 42A; and

(c) is operated by the person (the approved external dispute resolution scheme operator) specified in the legislative instrument.

42C Approved course provider must comply

An approved course provider must comply with the requirements of the approved external dispute resolution scheme of which the provider is a member.

Note: The rules may set out additional processes and procedures in relation to external dispute resolution: see section 48.

(16) Clause 46, page 34 (line 11), at the end of the clause, add:

; (e) the operator of the approved external dispute resolution scheme of which the provider is a member.

(17) Clause 49, page 36 (line 6), omit "a course provided by the provider", substitute "an approved course".

(18) Clause 49, page 36 (lines 7 to 12), omit paragraphs (1) (a) and (b), substitute:

(a) enrol students, or accept applications for enrolment, in the course;

(19) Clause 63, page 46 (line 10), after "course", insert ", or enrol the student in a course".

(20) Clause 63, page 46 (lines 15 and 16), omit subclause (2), substitute:

(2) Subsection (1) does not apply in circumstances specified in the rules.

(21) Clause 92, page 66 (line 14), at the end of subclause (1), add:

; (d) an officer of an approved external dispute resolution scheme operator.

(22) Clause 93, page 67 (line 4), at the end of subclause (2), add:

; (e) an approved external dispute resolution scheme operator.

(23) Page 73 (after line 12), after clause 103, insert:

103A Secretary must publish information relating to operation of the VET student loans program

The Secretary must publish the following information within 42 days after the end of the period of 6 months beginning on 1 January and 1 July in each year (the reporting period):

(a) the number of approved course providers who operated during the reporting period;

(b) for each of those providers:

  (i) the name of the provider; and

  (ii) the value of VET student loans approved by the Secretary for approved courses offered by the provider during the reporting period; and

  (iii) the number of students who undertook approved courses offered by the provider during the reporting period and whose tuition fees for the courses were paid (whether in whole or in part) using VET student loans; and

  (iv) the number of such students who completed approved courses during the reporting period; and

  (v) the amount of tuition fees charged to such students by the provider during the reporting period;

(c) any other information in relation to VET student loans prescribed under the rules.

(24) Clause 114, page 77 (lines 17 to 19), omit subclause (1), substitute:

(1) The Secretary may, in writing, delegate any or all of his or her powers under this Act to:

(a) an APS employee; or

(b) an officer of an approved external dispute resolution scheme operator.

Note: For this Act, see section 6.

(25) Page 77 (after line 25), after clause 115, insert:

115A Alternative constitutional basis

Without limiting its effect apart from this section, this Act also has the effect it would have if each reference to an approved course provider were expressly confined to a corporation to which paragraph 51(xx) of the Constitution applies.

I indicate that a supplementary explanatory memorandum has been circulated for these amendments. Very briefly, these amendments deal with some matters that were raised by the opposition during debate in the House of Representatives and were discussed, at the government's request, by the Senate inquiry. In particular, they recommend methodology for the establishment of an ombudsman for the VET student loans program. They provide much tighter restrictions to ban broker type activities in the new market, they provide restrictions around third-party contact lists and their usage, and they adopt a range of data reporting and transparency measures. I commend the amendments to the Senate.

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