University Funding
Nelson refuses to budge on Higher Ed IR requirements
18 November 2003
Below is a press release from Brendan Nelson's office in relation to the Higher Education reforms.
Following discussions with Vice-Chancellors, I have agreed to a series of changes to the higher education reform legislation to significantly reduce the level of 'red tape' and simplify the administration of the reform programmes.
The Government will move amendments to the legislation underpinning the Government's reform package, Our Universities: Backing Australia's Future. The legislation is due to be debated in the Senate next week.
Vice-Chancellors were concerned that some provisions in the legislation would unnecessarily impact on university administrations.
The university leadership put a strong case to me on this issue and I think the proposed changes will be of significant benefit to institutions.
The changes will lessen the impact on universities of administering the new programmes under the Government's reforms, providing greater simplicity and flexibility. The proposed changes are attached.
As I have said previously, I am prepared to hear reasonable arguments for change.
I particularly applaud the AVCC for the constructive way in which it has engaged with this process.
It is critically important that the $1.5 billion in new funds and additional places begin to flow to universities. It is vital that the legislation is passed this year.
Amendments to the Higher Eduction Support Bill 2003
Proposed amendment
Relevant overview sections of the legislation will be amended to identify different types of higher education providers, particularly universities
Any decision to approve a new higher education provider will be made disallowable by the Parliament
Greater clarity in the legislation will be provided by linking the relevant assessment provision to the requirement relating to an institution's financial viability
The time in which an institution is required to provide a financial statement after the end of the financial year will be extended from 4 to 6 months
The quality requirements will be made clearer by linking them to relevant assessment provisions in the legislation
A change to the legislation will provide that institutions listed in Table A will be exempt from this provision and subject to quality assessment arrangements as agreed with the institution
The legislation will specify that quality auditing arrangements will be subject to agreement between the institution and the quality auditing body and that a quality auditing body must engage fairly with the institution
Institutions listed in Table A will continue to be required to have grievance procedures in place but will be exempted from detailed requirements spelt out in the legislation
The section of the legislation dealing with guidelines for review procedures will be explicitly linked to the requirement to have a review procedure for decisions made under the Act which affect students
The legislation will specify that institutions only need notify the Minister of any event that may affect their meeting conditions of grant if that event will have a 'significant' effect
Guidelines in relation to the setting of fees for international students will be made disallowable by the Parliament
Any revocation of a higher education provider can only take effect after the period of disallowance has expired
When determining allocation of places, the legislation will specify that the Minister will consider the views of institutions
The legislation will specify that funding agreements be made public, and that the Minister enters into funding agreements with institutions
The legislation will specify that the Minister should have regard for matters that providers would like to have specified in their funding agreements
The legislation will be amended to provide institutions with the flexibility to under-enrol to a value of up to 1% of their funding before their funding is adjusted
The legislation will be amended so that penalties for over-enrolment will be set at the average student contribution of the institution
The legislation will specify the Minister's discretion to pay up to 1% in additional funding for shifts in the cost of places provided under the Commonwealth Grant Scheme
Clarify that the requirement for 50% of student places in relevant courses to be Commonwealth supported applies only in respect of domestic places
Unnecessary requirements in the legislation in relation to the management of scholarships will be removed
The legislation will indicate that the Minister is to determine a reduction or repayment of grant
The legislation will explicitly indicate that the guidelines may specify the circumstances in which a student accrues Learning Entitlement to encourage lifelong learning
The legislation will be amended so that maximum student contributions cannot be varied by guidelines
Unnecessary provisions in relation to FEE-HELP assistance will be removed
OS-HELP requirements will no longer require that a provider must have an arrangement with the overseas institution
Unnecessary requirements in relation to the management of OS-HELP will be removed
Where possible, duplication in the legislation relating to the provision of information to the Minister by institutions will be removed
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