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1998-1999-2000
THE PARLIAMENT OF THE COMMONWEALTH
OF AUSTRALIA
HOUSE OF
REPRESENTATIVES
SUPPLEMENTARY EXPLANATORY
MEMORANDUM
+
(Circulated by authority
of the Minister for Education, Training and Youth Affairs
the Hon Dr David
Kemp MP)
ISBN: 0642 453799
The Education Services for Overseas Students Bill 2000 (the Bill) strengthens the regulatory framework for the international education and training services industry.
The Bill provides for the establishment of a National Code of Practice for Registration Authorities and Providers of Education and Training to Overseas Students (the national code), an ESOS Assurance Fund (the Fund) to provide financial and tuition protection for overseas students and a Contributions Review Panel (the Panel) to determine the contributions criteria for registered providers and to hear and determine appeals.
These amendments will:
• Clarify the record keeping obligations of
registered providers under clause 21 of the Bill;
• Make the national
code a disallowable instrument;
• Give the Minister the discretion to
consult with industry representatives in addition to persons nominated by
relevant State Ministers before establishing or amending the national code;
• Clarify that the Bill does not affect students’ consumer protection rights under other legislation;
• Require the Panel to represent the interests of providers who are contributors to the Fund and members of a tuition assurance scheme;
• Require the Fund Manager to obtain the approval of the Panel before imposing a special levy under clause 72;
• Require auditors to provide the Panel as well as to the Minister with the report on the financial state of the Fund;
• Modify the form of a written notice to a provider under clause 93;
• Reduce the penalties for infringements of the notification requirements of clause 104 or the record keeping requirements of clause 105; and
• Provide for an independent review of the Education Services for Overseas Students Act after three years.
FINANCIAL IMPACT
Nil
EDUCATION SERVICES FOR OVERSEAS STUDENTS BILL
2000
NOTES ON AMENDMENTS
Amendment 1
Clarifies that a provider’s record
keeping obligations under clause 21 of the Bill in respect of the current
residential address of each student is to keep a record of the address supplied
by the student to the provider.
Amendment 2
Makes the
national code a disallowable instrument.
Amendment
3
Amends the heading to clause 36 to more appropriately reflect the
provisions in clause 36 as amended by Amendment 4.
Amendments 4
and 6
Give the Minister the discretion to consult with industry
representatives in addition to persons nominated by relevant State Ministers
before establishing or amending the national code.
Amendment
5
Deletes the second paragraph of the note to clause 40 to clarify
that the Bill does not affect students’ consumer protection rights under
other legislation.
Amendment 7
Amends clause 54 to
require the Panel to represent the interests of providers who are liable to pay
annual contributions to the Fund and for at least 4 of these Panel members to
also represent the interests of providers who are members of a tuition assurance
scheme.
Amendment 8
This amendment inserts new
subclauses 72(2) and 72(3).
Subclause 72(2) requires the Fund Manager to
obtain the approval of the Panel before requiring registered education providers
to pay a special levy.
Subclause 72(3) requires the Panel, in deciding
whether to give its approval, to consider relevant matters including the ability
of the Fund to meet current and future liabilities.
Amendment
9
Requires auditors to provide the Panel as well as the Minister with
the report on the financial state of the Fund required under clause
80.
Amendment 10
Modifies the form of a written notice
to a provider under clause 93. The amendment specifies the minimum amount of
time that must be given to a registered provider to make written submissions
before a decision can be made in relation to the possible suspension,
cancellation or imposition of sanctions.
In urgent cases involving the
possibility of the imposition of sanctions in relation to possible breaches of
the Act, the national code or a condition of registration, the provider must be
given at least 24 hours to make written submissions.
Amendments 11
and 12
Reduce the penalties for infringements of the notification
requirements of clause 104 or the record keeping requirements of clause
105.
Amendment 13
Provides for an independent review of
the Education Services for Overseas Students Act three years after it
receives Royal Assent.