Bill
Education Services for Overseas Students Amendment (Streamlining Regulation) Bill 2015
passed, as at 2015-12-11. Education and Training portfolio.
- Sponsor
- Not recorded
- Portfolio
- Education and Training
Recorded stages
- introduced — 2015-09-17
- second reading — 2015-09-17
- second reading — 2015-10-15
- second reading — 2015-10-19
- second reading — 2015-10-19
- third reading — 2015-10-19
- introduced — 2015-11-09
- second reading — 2015-11-09
- second reading — 2015-11-30
- second reading — 2015-11-30
- committee — 2015-11-30
- third reading — 2015-11-30
- other — 2015-12-01
- passed — 2015-12-01
- royal assent — 2015-12-11
Divisions
- The majority voted in favour of [amendment (1)](http://www.openaustralia.org.au/senate/?id=2015-11-30.164.1), introduced by Labor Senator [Kim Carr](https://theyvoteforyou.org.au/people/senate/victoria/kim_carr). This means the amendment was successful, though it still needs to be agreed to by the members of the House of Representatives before it can be included in [the bill](http://parlinfo.aph.gov.au/parlInfo/search/display/display.w3p;query=Id:legislation/billhome/r5544) (read more about the [process of making amendments in Parliament](http://www.peo.gov.au/learning/fact-sheets/amendments.html)). ### What is the amendment? The amendment relates to item 3 of schedule 5, which says: > *Division 2 deals with tuition fees. In general, a registered provider must not receive more than 50% of the total tuition fees for a course before an overseas student begins the course.* The amendment proposed to add the following words: '*The provider must keep those fees in a separate account*' into item 3 or Schedule 5. Senator Carr [explains that this amendment](http://www.openaustralia.org.au/senate/?id=2015-11-30.164.1) has been introduced to reduce financial risk to the [Tuition Protection Service](https://tps.gov.au/Home/NotLoggedIn), which assists students who are struggling to get a refund where their education provider cannot deliver their course. ### What do these bills do? These bills amend the [Educational Services for Overseas Students regulatory framework](https://internationaleducation.gov.au/regulatory-information/pages/regulatoryinformation.aspx), which has three main objectives: * '*to provide tuition assurance, and refunds, for overseas students for courses for which they have paid and* * *to protect and enhance Australia’s reputation for quality education and training services and* * *to complement Australia’s migration laws by ensuring providers collect and report information relevant to the administration of the law relating to student visas.*' Read more in th — 2015-11-30, Senate: affirmative, ayes 33, noes 30
- The majority voted against leaving unchanged items (9), (13), (15) and (18) in schedule 5. In parliamentary jargon, the voted against those items '*standing as printed*'. ### What do these items do? These items relate to the deregulatory aspects of the bills' proposed policy change. For example, item 9 removes the requirement that education providers keep all tuition fees that they receive before an international student begins their studies in a designated account. This requirement was introduced to reduce financial risk to the [Tuition Protection Service](https://tps.gov.au/Home/NotLoggedIn), which assists students who are struggling to get a refund where their education provider cannot deliver their course. Read more in the [bills digest](http://www.aph.gov.au/Parliamentary_Business/Bills_Legislation/bd/bd1516a/16bd059). ### What do these bills do? These bills amend the [Educational Services for Overseas Students regulatory framework](https://internationaleducation.gov.au/regulatory-information/pages/regulatoryinformation.aspx), which has three main objectives: * '*to provide tuition assurance, and refunds, for overseas students for courses for which they have paid and* * *to protect and enhance Australia’s reputation for quality education and training services and* * *to complement Australia’s migration laws by ensuring providers collect and report information relevant to the administration of the law relating to student visas.*' — 2015-11-30, Senate: negative, ayes 30, noes 32
- The majority voted in favour of passing the bills through the Senate. In parliamentary jargon, they voted to [give the bills a third reading](http://www.peo.gov.au/learning/fact-sheets/making-a-law.html). Since several opposition amendments were agreed to in the Senate, the bills will now return to the House of Representatives for the Members of Parliament (MPs) there to decide whether they agree with them or not (read more about the [process of making amendments in Parliament](http://www.peo.gov.au/learning/fact-sheets/amendments.html)). If they agree, the bills will be passed by both houses and so can become law (see the [bills digest](http://www.aph.gov.au/Parliamentary_Business/Bills_Legislation/bd/bd1516a/16bd059)). ### What do these bills do? These bills amend the [Educational Services for Overseas Students regulatory framework](https://internationaleducation.gov.au/regulatory-information/pages/regulatoryinformation.aspx), which has three main objectives: * '*to provide tuition assurance, and refunds, for overseas students for courses for which they have paid and* * *to protect and enhance Australia’s reputation for quality education and training services and* * *to complement Australia’s migration laws by ensuring providers collect and report information relevant to the administration of the law relating to student visas.*' Read more about the bills in the [bills digest](http://www.aph.gov.au/Parliamentary_Business/Bills_Legislation/bd/bd1516a/16bd059). — 2015-11-30, Senate: affirmative, ayes 51, noes 9
Plain-language summary
Written by a model from the explanatory memorandum; not the record, as at 2015-09-17.
This bill would cut red tape and costs for education providers that teach overseas students.
It would remove rules on reporting student defaults, holding tuition fees in a designated account, and setting study periods, and would give the Tertiary Education Quality and Standards Agency and the Australian Skills Quality Authority direct powers.
The government estimates the changes would save around $75.9 million.
- Removes the five-day reporting requirement for all student defaults, except where a refund is paid after a visa refusal.
- Lets non-exempt private providers stop keeping prepaid tuition fees in a designated account.
- Allows students to pay more than half of tuition fees upfront for courses longer than 24 weeks, and extends the exemption for shorter courses to 25 weeks.
- Removes the definition of study period and the requirement for providers to have written agreements with students on study periods and fees.
- Gives TEQSA and ASQA direct powers as ESOS agencies instead of acting as delegates of the Secretary or Minister.
- Lets providers keep their registration active while renewal is being decided, or for limited purposes after expiry.
Education providers registered under the ESOS Act, their overseas students, and the Tertiary Education Quality and Standards Agency and the Australian Skills Quality Authority.
Sources
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billhome
frl act