VET FEE-HELP Information Sessions
April 2011
To be covered…
What is VET FEE-HELP and how does it work?
Key concepts of VET FEE-HELP
Who is eligible to offer VET FEE-HELP?
What does an applicant need to demonstrate?
Legislative requirements post approval
VET FEE-HELP resources
What is VET FEE-HELP?
An income contingent loan scheme for the VET sector that is an extension of FEE-HELP, part of the Higher Education Loan Program.
• Assists eligible students to pay for all or part of their tuition fees at approved VET providers when studying one or more of the following VET accredited courses of study:
diploma*; advanced diploma*; graduate certificate; graduate diploma
* With an approved credit transfer arrangement to a Bachelor Degree with a Higher Education Provider (HEP) in non reform State/Territory.
HOW VET FEE-HELP WORKS How VET FEE-HELP works
Commonwealth pays tuition fees to the VET provider (on a monthly basis)
Student incurs liability after a “census date” set by the VET provider
Students repay their loan through the tax system when income is above the minimum income threshold
(currently $44,911)
VET FEE-HELP Resources (1)
•Higher Education Support Act 2003 (HESA) – Schedule 1A
•Ministerial Determinations under the Act
•VET Provider Guidelines
•VET Administration Guidelines
•VET FEE-HELP Guidelines
•VET Provider Handbook
•VET FEE-HELP Financial Viability Documents
VET FEE-HELP Resources (2)
•Website:
•www.deewr.gov.au/vetfeehelp
•E-mail – general enquiries:
•E-mail – technical enquiries:
WHO IS ELIGIBLE TO BECOME A VET PROVIDER?
What is an approved VET provider(2)
An “approved VET provider” is a body corporate that has been approved by the Minister to offer VET FEE-HELP assistance to its students.
Only approved VET providers can offer VET FEE-HELP to eligible students.
What are the criteria for approval? (2.4) To be approved by the Department as an approved VET provider, an RTO must first meet and continue to meet ALL of the following requirements of the Act:
Must be a Body Corporate whose principal purpose is education;
Be listed on the National Training Information Service (NTIS)
Be financially viable and likely to remain financially viable;
Offer VET diploma and advanced diploma courses with credit transfer arrangements and/or VET graduate certificate and graduate diploma courses (for non-reform States/Territories ONLY);
Meet VET tuition assurance requirements
Other quality and accountability requirements
Body Corporate whose principal purpose is education
Body Corporate
An artificial legal entity having a seperate legal personality RTOs are advised to seek legal advice regarding their Body Corporate
status
The principal purpose does not have to be the sole purpose of the body applying, the definition of Principal
o is first or highest in rank, importance, value etc.
Registered on NTIS
This identifies and confirms your status as a Registered Training Organisation; and
Lists all the courses that your organisation is registered to offer in accordance with your Scope of Registration.
Be financially viable and likely to remain financially viable (1)
An RTO must provide ALL of the following:
Four years worth of financial statements (where applicable), the most recent of which must be independently audited.
VET FEE-HELP Financial Ratio Analysis Excel Workbook;
and
All other financial information required by the Minister
Be financially viable and likely to remain financially viable (2) The types of things DEEWR will take into account would include:
Organisational type, history and related entities
Student profile (domestic and international)
Financial ratios
Business plans including cashflow projections
Be financially viable and likely to remain financially viable (3)
If the financial risk associated with an applicant is assessed as “low to negligible” they will usually be considered to meet the requirements at clause 14 of HESA
If assessed as presenting a higher level of risk, applicants will be required to provide risk mitigation strategies such as deeds of guarantee, a capital injection or bank overdraft facility
VET CREDIT TRANSFER REQUIREMENTS (4)
• Applies to diplomas and advanced diplomas only (in non reform State/Territory)
• Approved CTA
Bachelor degree
HEP
• Approval provided by DEEWR (Group Manager)
• If RTO only offers diplomas &/or advanced diplomas:
Must have an approved CTA for at least one course to be approved as a VET provider
VET Tuition Assurance Requirements (TAR) (2.5)
•
Must be met by ALL VET providers for all eligible courses
•
There are two components to the TAR
VET course assurance requirements for successfully completed units of study
VET tuition fee repayment requirements
Complying with TAR (2.5)
• Providers can comply with TAR by:
Membership of an approved VET tuition assurance scheme (VTAS) (2.5.2)
Covers both TAR components
Australian Council for Private Education and Training (ACPET) or TAFE Directors Australia (TDA)
OR
• Alternative arrangements which meet:
• VET course assurance requirements (2.5.6)
• VET course assurance requirements (2.5.6)
Complying with TAR (2.5)
•
VET tuition fee repayment requirements
(2.5.20)Legally-binding guarantee by a separate legal entity (“VET Repayment Guarantor”) which has the financial and administrative resources to fulfil such a guarantee
Ceasing to provide a Course (2.5.3)
•
TAR is activated when provider ceases to provide a VET course of study:
Course does not start either as scheduled or at a later date agreed by both students and provider and no suitable alternative course has been arranged
Course commenced and ceased (for any reason) before enrolled students have completed course
Suspension/revocation of provider (and no determination made to allow assisted students to complete course)
VET provider is under external administration
No longer registered on NTIS
Secretary makes a declaration
Statement of VET Tuition Assurance Requirements (2.5.12)
• Providers must publish a statement which:
explains the TAR
how these requirements have been met for each course
inform students on enrolment about the statement(s) and where it can be obtained
• The statement must explain:
provider has met the TAR
the nature of the TAR
student has a choice of options for TAR and what each option means
• An example can be found on the VET FEE-HELP website.
Administrative procedures and capacity to meet reporting requirements
Infrastructure/processes etc are in place to be able to:
– Allocate CHESSNs – Issue CANs
– Provide payment estimate information – Reporting of student data
COURSES AND STUDENTS
VET FEE-HELP Liability (5.2)
•
VET FEE-HELP eligibility and liability occurs on a unit of study basis, not on a course basis
•
Students DO NOT incur a VET FEE-HELP liability until after the census date
VET unit of study (1.8)
• Units (subject, modules, structured training) undertaken as part of a VET course of study (diploma, advanced diploma, graduate certificate and graduate diploma)
• Provider sets and charges a VET tuition fee for each unit of study.
• Provider determines number of units per course
• A course must consist of at least one unit of study
No upper limit to number of units per course
Unit of Competency (1.9)
• Consists of a competency or a number of small elements of competency
• Has NO relevance for VET FEE-HELP assistance
• Provider can determine what:
• Competencies = unit of study or
• Unit of study = any part or number of competencies
• Administrative and risk considerations
• ie the more units of study/census dates – the greater the administartive requirements
Census dates (1.12)
• Set by provider for each unit of study
• 20% rule
Set no earlier than 20% of the way through a unit of study (including any examination periods, breaks etc)
Only one census date per unit
• Date after which:
Student incurs a VET FEE-HELP debt
Commonwealth is liable to pay eligible student‟s tuition fees for that unit
• All eligible students who withdraw on or before the census date receive a full refund of their tuition fees from their VET provider
VET Course of Study (1.6)
•
Diploma*
•
Advanced diploma*
•
Vocational Graduate certificate
•
Vocational Graduate diploma
* with an approved credit transfer arrangement (CTA) in non reform State/Territory.
VET CREDIT TRANSFER REQUIREMENTS (4)
• Applies to diplomas and advanced diplomas only - in non reform State/Territory
• Approved CTA
Bachelor degree (ONLY Bachelor Degree)
HEP (not just Universities)
• Approval provided by DEEWR
• If RTO only offers diplomas &/or advanced diplomas:
Must have an approved CTA for at least one course to be approved as a VET provider
CREDIT LEVELS (4.3)
•
Following credit levels are applicable:
50% credit for advanced diploma – 3 year Bachelor degree (18 months)
37.5% credit for advanced diploma – 4 year Bachelor degree (18 months)
33% credit for diploma – 3 year Bachelor degree (12 months)
25% credit for diploma – 4 year Bachelor degree (12 months)
ASSESSMENT AGAINST CREDIT LEVELS (4.4)
• Approved if ≥ credit levels (and meet other requirements)
• If < credit levels
• Assessed against sector best practice arrangements for those courses/qualifications
Specialist course requirements
•
Specialist courses (4.4.2)
Detail reasons why
Cannot be considered on a specialist course it the credit level benchmark has already been established
•
Minimum level of six months credit (4.4.1)
VET CTA (4.5)
• For each diploma/advanced diploma - in non reform State/Territory
Written document (template available on VFH website)
Endorsed by RTO/VET provider and HEP
Lists the HEP and Bachelor degree
Guaranteed amount of credit
Expiry date (if any)
What is an eligible student? (5.7)
• Full fee-paying (in non reform State/Territory)
• Provider does not receive any government subsidies for the course
• Meet citizenship or residency requirements
Australian citizen or
Permanent humanitarian visa holder who is resident in Australia for duration of unit
• FEE-HELP balance > 0
• Meet Tax File Number (TFN) requirements
• Enrolled in eligible course/unit by the end of the census date
• Completed, signed and given to an appropriate officer a Request for VET FEE-HELP assistance form by the end of the census date
Determining Student Eligibility (5.6)
Responsibility of provider
Provider should collect sufficient information
If student turns out not to be eligible, then provider repays VET FEE-HELP debt back to the Commonwealth
Student Payments
VET Tuition Fees (3.5.1)
• Providers must determine a tuition fee(s) for each unit of study.
• Can have more than one tuition fee per unit as appropriate, except CANNOT have a different tuition fee based on:
Manner of payment (eg. - up-front versus VET FEE-HELP assistance)
Timing of payment (eg - prepaying, paying for course compared to units)
Student‟s capacity to undertake the course i.e F/T or P/T
• Fee for course CANNOT > sum of the units tuition fees
VET Tuition Fees
•
Only tuition fees payable through VET FEE-HELP
•
Should cover all essential requirements of the course
•
May charge other incidental fees, in certain circumstances. The policy intent is:
Students generally must be able to complete the requirements of their course without the imposition of other fees
VET Tuition Fees (3.5.3)
•
VET tuition fees do not include
Student unions or guilds
Amenities or services not of an academic nature
Residential accommodation
Special admissions tests
Fees that are incidental to study
Incidental Fees (3.5.3)
•
A fee is incidental if it is for:
A good or service not essential to the course
An alternative form of access to an essential good or service
Essential good or service that student could acquire from another supplier and is for:
food, transport and accommodation for a field trip that is part of a course
an item that becomes the physical property of the student and not consumed during course (e.g lab coat)
Fine or penalty imposed principally is a disincentive
Example Computer access:
•
If essential for course then should be included in the tuition fee (students not charged any additional fee)
•
If not an essential requirement for course, can be charged for
•
If access during normal course time is free, may charge for access in different
circumstances (eg. weekends)
Recognition of Prior Learning (RPL) (3.5.3)
•
Cannot charge an incidental fee for RPL
•
Can provide unit(s) for RPL
Provider could then set a tuition fee for this unit(s)
Students could seek VET FEE-HELP assistance for this unit(s) (as it is a tuition fee)
FEE-HELP Limit (5.10)
•
2011
$86,422 (VET students)
$108,029 for students in courses leading to registration as a medical practitioner, dentist or veterinarian
•
Indexed annually
FEE-HELP Balance (5.10)
•
Is the amount of the FEE-HELP limit a student hasn‟t used
•
Includes both VET FEE-HELP assistance AND FEE-HELP assistance
•
Repayments do not reset the maximum that can be borrowed by a student
•
Provider‟s responsibility to ensure student has sufficient FEE-HELP balance
VET FEE-HELP Loan Fee (5.18)
•
20% loan fee applies to VET FEE-HELP debts, except in the case of subsidised students in a Reform State/Territory
•
The loan fee is included in the VET FEE- HELP debt
•
20% loan fee not included in a person‟s FEE-HELP balance
Special Circumstances (12.2.3)
After the census date:• Students may apply to have their FEE-HELP balance re- credited and their debt removed in special
circumstances if:
Not successfully completed unit
Circumstances beyond student‟s control
Do not make full impact until on or after census date
Impractical to complete unit requirements
• If provider satisfied then re-credit FEE-HELP balance
• Provider may, under their procedures, refund any up- front payments
MORNING TEA
Publishing Requirements
Publishing Requirements (6)
• A number of arrangements and procedures must be published and made publicly available
• Methods may include
As part of printed handbooks
On the provider‟s website
Any other method determined by the provider which will bring the information to the attention of students and prospective students
Publishing Requirements
• What must be published and made publicly available:
Procedures for making decisions about selection and treatment of students
Procedures relating to equal benefits and opportunities
Student grievance procedures (academic and non-academic)
Student review procedures
Statement of VET tuition assurance
Personal information procedures
Approved credit transfer arrangements
Schedule of VET tuition fees
Schedule of VET tuition fees (6.1)
• A provider MUST publish on the their own website a Schedule of VET tuition fees which will include:
VET tuition fees for each unit
Census dates
• For each unit of study it provides or proposes to provide by:
1 April for units with a census date in the same year between 1 July and 31 December and
1 October for units with a census date in the following year between 1 January and 30 June (providers can chose to submit for the whole year in Oct submission)
• An example of a Schedule of VET tuition fees can be found on the VET FEE-HELP website
Access to VET Unit of Study Information
•
Provider must ensure that students and persons seeking to enrol have easy access to VET Unit of Study information on request and at no charge
Providing the Schedule to the Minister (6.5)
• MUST give a schedule of VET tuition fees to DEEWR (as the Minister‟s delegate)
• Provided in the following ways:
Posting on the provider‟s public website; and
Uploading the schedule or a URL link to the schedule on the provider‟s website via the VET FEE-HELP IT System (VITS)
• If a provider submits a link(s) to its website, it MUST maintain a printable copy of the published tuition fees for historical purposes
Variations can be made to a VET providers published Schedule of VET tuition fees (further information available on VFH website)
Restricted Access Arrangements (1.14)
• An agreement between a provider and an employer or industry body for provision of:
Course(s) or
Places in course(s)
• No requirement to make publicly available unit of study information
Protects commercial-in-confidence information
• Still required to provide information to the Minister (via VITS)
Within 5 business days after commencement of units
DATA REPORTING
Provider System Requirements (7.2)
• Minimum requirements (7.2.1)
Pentium personal computer (minimum 1Gb RAM)
Windows XP operating system with Service Pack 2
Microsoft Internet Explorer version 6.00 or later
500mb hard disk space
Unique email account capable of receiving external emails
A printer
For more information contact [email protected]
Data Reporting Elements (7.3.2)
•
Data elements, File structure and scope documents can be downloaded at
www.heimshelp.deewr.gov.auData Reporting Requirements (7)
• Data files to be loaded in HEPCAT:
1. Student Load Liability – unit of study, EFTSL, tuition fees 2. Student Enrolment – student demographics
3. Commonwealth Assisted Students – student details for ATO (TFN, etc) for students accessing VET FEE-HELP loans
4. Revisions – revisions of any of the above files
5. VET Course Completions – only to be submitted for students who have completed a qualification
6. VET Unit of Study Completions – Unit of Study information (progress) 7. Electronic Commonwealth Assistance – provided to ATO for students
who complete an electronic „Request for VET FEE-HELP Assistance Form‟
www.heimshelp.deewr.gov.au
Data Reporting Dates (7.3.2)
• Providers need to submit student data files five times per year
31 May (for units with census dates occurring in Jan-Mar)
31 August (for units with census dates occurring in April-June)
31 October for units with census dates occurring in July-August
31 March (for units with census dates occurring in Sept-Dec of previous year)
30 April (regarding unit and course completions in Jan-Dec of previous year)
EFTSL (1.13.1)
• Equivalent full-time student load
• Work out annual standard full-time study load (ie 1.0 = 12 months/1 year)
• Calculate the unit‟s proportion of the annual standard full-time study load
• Providers must determine EFTSL values for each unit as part of the data reporting requirements
• Further information provided at approved VET provider training
Other Administration
Requirements
CHESSN (10.6)
• Commonwealth Higher Education Student Support Number
• Unique student identifier for Commonwealth assistance
• Student must be allocated a CHESSN if seeking VET FEE-HELP assistance
• Allocated by DEEWR
• Additional information provided at approved VET provider training
Commonwealth Assistance Notice (5.20)
• CANs issued by provider to all students who request VET FEE-HELP assistance after each census date
• Within 28 days of earliest census date indicated in the CAN
• Must contain certain information (see VET Provider Handbook for more detailed information)
• Additional information provided at approved VET provider training
VET Provider Payments (8)
•
Advance payments may be made by the Secretary (or delegate)
•
Based on estimate of VET FEE-HELP assistance for the calendar year
•
Paid monthly
•
The level of payment may be varied at any time
•
Providers must notify DEEWR if it becomes evident that the level of payment is significantly incorrect
Compliance with HESA
VET FEE-HELP Primary Sources
•Higher Education Support Act 2003 (HESA) – Schedule 1 A
•VET Provider Guidelines
•VET Administration Guidelines
•VET FEE-HELP Guidelines
•Ministerial determinations
•Draft VET Provider Handbook
•VET FEE-HELP Information booklet
What/when will DEEWR monitor? (3.4)
Providers must continue to meet all requirements in HESA, including:
•Publishing requirements (ongoing)
•Schedule of VET Tuition Fees
•Census date
•Notification of events (ongoing)
•Financial viability requirements (as required)
•Data reporting (quarterly)
•Fairness requirements (ongoing)
•Tuition Assurance
•Student grievances and review requirements
•Credit transfer arrangements with HEPs (ongoing)
•NTIS registration (ongoing)
•Additional information provided at approved VET provider
Monitoring processes
Education;
Self Assessment Checklists;
VET provider assistance;
Targeted monitoring;
Feedback; and
Desktop monitoring.
VET FEE-HELP IT SYSTEMS
VITS (10)
• A web based system for VET FEE-HELP that encompasses
Application process
CHESSN allocation
VET Credit Transfer Arrangements
Submission of estimates
Schedule of VET Tuition Fees
• Available 24 hours per day, 7 days per week
• One log-on per applicant
• Only contact information can be changed after application is submitted
HEIMS (10)
The data management system developed for Higher Education and Vocational Education and Training data.
HEPCAT (10)
The tool that prepares and validates data submissions and then submits that
data to HEIMS
Other VET Quality and
Accountability Requirements
Applying to become a VET provider
Policies and Procedures MUST meet the requirements of the Act and the VET Provider Guidelines
Applicants may need to re-write their policies and procedures to meet these requirements
DEEWR currently developing an application pack which will include optional templates
VET Fairness Requirements (3.3)
• A provider must:
treat fairly all of its students and all persons seeking to enrol with the provider
have procedures covering fair treatment (including selection procedures)
• A provider must have open, fair and transparent procedures that are based on merit for making decisions about students undertaking, and person applying for, courses (3.3.2)
based on provider‟s reasonable view
can take into account students enrolled under a restricted access arrangement
Student Grievance Procedures (3.3.3)
•
Provider must have student grievance procedures for dealing with complaints about:
academic matters
non-academic matters
Student Grievance Procedures (2) (3.3.3)
• Arrangements for handling complaints must:
be easily accessible
be provided at no cost and which encourage timely resolution of complaints
include provision for independent internal investigation for unresolved complaints
include provision for external review
of any internal investigation
a mechanism for considering any recommendations
Student Grievance Procedures (3) (3.3.3)
be complete, unambiguous and signed off by provider‟s governing body
do not discriminate or victimise
be communicated to staff and staff trained in their application
specify reasonable timelines for responses
allow third party representation
if requested, provide reasons and a full explanation in writing of decision and actions taken; and
keep confidential accurate records of all grievances for
Student Review Procedures (3.3.4)
•
A provider must have student review procedures for reviewing decisions not to recredit/remit their VET FEE-HELP balance/VET FEE-HELP debt (reviewable VET decisions)
must allow student to submit original request
Student Review Procedures (3.3.4)
•
Minimum requirements are: (13.1.1)
inform students how to submit a valid request
provide details of the letters (including required content)
acknowledge receipt of a request, in writing, and if not informed of a decision within 45 days the reviewer taken to have confirmed the original decision
advise of right to appeal to Administrative Appeals Tribunal (AAT) if not satisfied with outcome
provide contact details, address of nearest AAT registry and appropriate costs of lodging an appeal
Review Officers (3.3.5)
•
Provider must appoint a Review Officer(s) to undertake review of decisions (reviewable VET decisions)
•
Review Officer
must not be same officer who made original decision
must be in a senior position to the original decision-maker
Personal Information Procedures (3.3.6)
•
Provider must:
comply with Commonwealth Information Privacy Principles of the Privacy Act 1988
have personal information procedures which allows students to apply for and secure information that a provider holds about them
Refund Policy (3.5.3)
•
Provider‟s refund policies must comply with:
VET fairness requirements
VET fee requirements
VET tuition fee liability occurs at end of census date
may charge a fine or penalty, but only as a disincentive and only if set an earlier administrative/withdrawal date
HOW TO APPLY
Applying to become a VET provider
Applicants MUST meet all the requirements of Schedule 1A of the Higher Education Support Act 2003 (HESA), relevant Ministerial Determinations and the VET Provider Guidelines
Once applicants are ready to apply they must lodge their applications through VITS –
https://[email protected]
VITS
• Only one user per VET provider account – future releases of VITS will expand user profiles
• Applications should be submitted as soon as all the information has been provided. The Department reserves the right to remove un-submitted applications where no activity has occurred over the last 60 days.
• Where the Department removes an application because no activity has occurred (and you still wish to apply) you must add a new application.
• If your application is removed, your login account will remain active
• https://vetfeehelp.deewr.gov.au
Information Required for VET Provider Application
• Senior Officers‟ declaration
• General and legal status information
• Certified copy of constitution or memorandum or Articles of Association that provides information that the principal purpose is to provide education.
• Strategic plan
• Financial statements, Financial Ratio Analysis Workbook and other financial information required by the Minister
• Statutory Declaration
• Procedures
fair treatment/equal benefits and opportunities
student grievance (academic and non-academic)
student review
personal information
Information Required for VET Provider Application (2)
• Refund policy
• Review officers arrangements
• Publications
• Tuition Assurance Requirements
• Statement of VET tuition assurance
• VET credit transfer arrangements
• Incidental fees
• Course tuition fees actual/expected
VET FEE-HELP contacts
VET FEE-HELP Contact Details
• Website: www.deewr.gov.au/vetfeehelp
•
Email: [email protected]
•
Telephone: 13 38 73
•
