ATTACHMENT A
COMMONWEALTH OF AUSTRALIA
Higher Education Support Act 2003
Commonwealth Scholarships Guidelines
I, JULIE BISHOP, Minister for Education, Science and Training, make these Guidelines under section 238‑10 of the Higher Education Support Act 2003.
Dated 11th June 2007.
JULIE BISHOP
Minister for Education, Science and Training
COMMONWEALTH OF AUSTRALIA
Higher Education Support Act 2003
Commonwealth Scholarships Guidelines
(i) CITATION
These Guidelines may be cited as Amendment No. 3 to the Commonwealth Scholarships Guidelines.
(ii) AUTHORITY
These Guidelines are made under subsection 238-10(1) of the Higher Education Support Act 2003 (the Act).
(iii) DATE OF EFFECT
These Guidelines commence on 1 January 2007.
(iv) AMENDMENT
These Guidelines amend the Commonwealth Scholarship Guidelines which were registered on 20 September 2005 and which commenced on 1 January 2006 (see F2005L02715) and their subsequent amendments, No. 1 (F2006L03667) which commenced from 18 November 2006 and No. 2 (F2006L05735) which commenced retrospectively from 1 January 2006.
DETAIL OF AMENDMENTS
Item 1
The references to the Department of Immigration and Multicultural Affairs (DIMA) and International Postgraduate Research Scholarships (IPRS) have been amended throughout the document. DIMA is now the Department of Immigration and Citizenship (DIAC) and IPRS is now consistently referred to as Endeavour IPRS scholarships.
Item 2
Repeal sub-paragraph 4.2.2 and substitute with:
4.2.2 Application of Unspent 2006 Endeavour IPRS Grants
(1) For the purposes of this paragraph 4.2.2 and of paragraph 4.20.3(1):
The amount of a provider's Endeavour IPRS grant for 2006 is taken to be:
The total amount paid to the provider by the Department during 2006 for the provider's 2006 Endeavour IPRS scholarships
plus
The total amount (if any) paid, or to be paid, to the provider by the Department during 2007 and 2008 under subparagraph 4,5.4(a), below.
Any provider who, in 2006, awards Endeavour IPRS scholarships having a total value that is greater than the amount of its Endeavour IPRS grant for 2006 is referred to as a “2006 Overspender”. The amount by which the total value of the 2006 Overspenders' scholarships awarded in 2006 exceeds the total amount of Endeavour IPRS grants for 2006 is referred to as the “2006 Total Overspend”.
Any provider who, in 2006, awards Endeavour IPRS scholarships having a total value that is less than the amount of its Endeavour IPRS grant for 2006 is referred to as a “2006 Underspender”. The amount by which the total value of the 2006 Underspenders' scholarships awarded in 2006 is less than the total amount of Endeavour IPRS grants for 2006 is referred to as the “2006 Total Underspend”.
(2) Each 2006 Underspender must pay back to the Department the amount that it does not spend from its Endeavour IPRS grant for 2006. (In total, these repayments are the 2006 Total Underspend.)
(3) Each 2006 Overspender will receive (for expenditure on 2006 Endeavour IPRS scholarships in accordance with these Guidelines) an amount from the 2006 Total Underspend that is proportionate to the 2006 Overspender’s proportion of the 2006 Total Overspend.
(4) If the 2006 Total Underspend is greater than the 2006 Total Overspend, then paragraph 4.2.2(3) shall be replaced with the following paragraph:
Each 2006 Overspender will receive (for expenditure on 2006 Endeavour IPRS scholarships in accordance with these Guidelines) a share of an amount equal to the 2006 Total Overspend. For any particular Overspender, the share shall be proportionate to the 2006 Overspender’s proportion of the 2006 Total Overspend (and be equal to the amount by which the total value of the Overspender's Endeavour IPRS scholarships awarded in 2006 was greater than the amount of its Endeavour IPRS grant for 2006).
Item 3
Repeal paragraph 4.5 and substitute with:
4.5 GRANTS
4.5.1 Total Grant Amounts and Indexation
The total amount available for Endeavour IPRS in 2007 will be $18.828 million. This amount will be indexed for subsequent years using the method of indexation set out in Part 5-6 of the Act. The total amount available for awarding new Endeavour IPRS scholarships in any particular year from 2007 to 2010, inclusive, is subject to paragraphs 4.5.2 and 4.5.3, below.
4.5.2 Revised approach to providers' 2004 and 2005 Over-commitments
In a letter to all Endeavour IPRS providers, dated 18 December 2006, the Department's Group Manager (Australian Education International) outlined a revised approach to covering over-committed EIPRS funds in 2004 and 2005. That letter contained the following extract:
Within this legislative constraint, the best option for addressing the 2004 and 2005 over-commitment of EIPRS funds in a way that will ensure equity across providers appears to be to take the funds necessary to cover the 2004 and 2005 over-commitments off the top of the total grant amount for one or more years from 2007 onwards, rather than from individual under-spending providers. Please see Attachment B for details of the revised approach.
and Attachment B of the letter contained the following paragraph:
New grant funds will be reduced by $569,372 in 2007, $888,902 in 2008 (together, to reimburse those providers that underspent in 2004 and whose 2006 allocations were subsequently reduced [1], and which is to be expended by those providers in respect of their 2006 scholarships) and $1,534,013 in both 2009 and 2010 (together, covering the nett over-commitment in 2005 and which is to be expended in respect of the over-committing providers’ 2005 scholarships). The decrease in new grant allocations will be offset to some extent by the annual indexation of grant funds.
4.5.3 Reduced total amounts available for new Endeavour IPRS, 2007 and later years
Accordingly, the total amount available for awarding new Endeavour IPRS in any particular year from 2007 to 2010, inclusive, is calculated as follows:
The amount specified in, or calculated under, paragraph 4.5.1 for the year less:
$569,372 for the year 2007; (the "2007 Reduction")
$888,902 for the year 2008; (the "2008 Reduction") and
$1,534,013 for both the years 2009 and 2010 (the "2009 Reduction" and the "2010 Reduction"), respectively).
4.5.4 Application of the 2007 - 2010 Reductions
(a) 2007 and 2008
In the years 2007 and 2008, respectively, each 2004 Underspender will receive a share of the 2007 Reduction and the 2008 Reduction. For any particular 2004 Underspender, the share shall be proportionate to the Underspender’s proportion of the 2004 Total Underspend, and must be expended in respect of the Underspender's 2006 Endeavour IPRS scholarships. In total, the 2007 and 2008 shares will reverse the reduction in each Underspender's 2006 Endeavour IPRS grant that was made under sub-subparagraph 4.2.1(5)(b), above (without affecting the payments to 2004 Overspenders under subparagraph 4.2.1(5), above).
(b) 2009 and 2010
In 2005, some providers (the “2005 Overspenders”) awarded Endeavour IPRS scholarships having a total value that was greater than the amount of their respective IPRS grant allocations from the Commonwealth. The amount by which the total value of those scholarships exceeded the total amount of the 2005 Overspenders’ allocations is referred to in this paragraph 4.5.4 as the “2005 Total Overspend”.
In the years 2009 and 2010, respectively, each 2005 Overspender will receive a share of the 2009 Reduction and the 2010 Reduction. For any particular 2005 Overspender, the share shall be proportionate to the Overspender’s proportion of the 2005 Total Overspend, and must be expended in respect of the Overspender's 2005 Endeavour IPRS scholarships. In total, the 2009 and 2010 shares will be equal to the amount by which the total value of each 2005 Overspender's Endeavour IPRS scholarships awarded in 2005 was greater than the amount of its Endeavour IPRS grant for 2005.
4.5.5 How Grant Amounts are to be Determined
(1) The formula used to allocate the notional number of Endeavour IPRS scholarships to providers gives a 50% weighting to HDR completions, a 40% weighting for research income and a 10% weighting for research publications, each taken over the two most recent years for which data are available.
(2) Where the formula results in less than one but more than zero Endeavour IPRS scholarships for a provider, a default of one Endeavour IPRS scholarship will be allocated to the provider.
(3) The amount of Endeavour IPRS grant paid to an eligible scholarship provider under subsection 46-15(2) of the Act for the year 2007 or any later year (the “new year”) will be determined in accordance with subparagraph 4.5.5(4).
(4) The amount of Endeavour IPRS grant to be paid to a provider for Endeavour IPRS scholarships to be awarded in any new year is equal to:
(A + B + C + D) x E / F
where:
A = number of notional Endeavour IPRS scholarships allocated to the provider for the new year multiplied by 0.925
B = number of notional Endeavour IPRS scholarships allocated to the provider for the year prior to the new year multiplied by 0.925
C = number of notional Endeavour IPRS scholarships allocated to the provider for the year two years prior to that year multiplied by 0.775
D = number of notional Endeavour IPRS scholarships allocated to the provider for the year three years prior to that year multiplied by 0.65
E = the total amount available for Endeavour IPRS scholarships to be awarded in the new year, as specified in, or calculated under, paragraphs 4.5.1 and 4.5.3
F = sum of (A+B+C+D) for all providers
Item 4
Repeal sub-paragraph 4.15.10 and replace with:
4.15.10 Offer Process
(1) In any particular new year (as defined in subparagraph 4.5.5(3)), subject to subparagraph 4.15.10(2) and paragraph 4.20.2, a provider may offer as many Endeavour IPRS scholarships as it can support through its Endeavour IPRS grant (as calculated under subparagraphs 4.5.5(3) and 4.5.5(4), taking into account:
(a) any roll over of grant amounts made in accordance with subparagraphs 4.20.3(2) to 4.20.3(5); and
(b) liabilities arising from extensions and suspensions of Endeavour IPRS scholarships approved by the provider, and accepting students transferring from another provider as specified in paragraph 4.25.10.
(2) A provider may only offer an Endeavour IPRS as a result of:
(a) an application lodged as part of a competitive application process; or
(b) the provider agreeing to continue an Endeavour IPRS scholarship for a student who is already in receipt of an Endeavour IPRS scholarship and:
(i) is transferring from another provider under paragraph 4.25.10 of these Guidelines; or
(ii) is converting their degree under paragraph 4.25.15 of these Guidelines; or
(iii) has completed a Research Masters degree and is immediately proceeding to a Research Doctorate degree in a related field.
(3) A provider must offer a scholarship to a student in writing and advise the student in writing of the benefits to which they are entitled and the conditions of the scholarship. Where a provider does not include the cost of any other compulsory fees in the cost of the course of study, the letter of offer must state that the prospective student will be responsible for the payment of these compulsory fees, unless the provider chooses to cover those fees for the student.
Item 5
Repeal sub-paragraphs 4.20.1, 4.20.2 and 4.20.3 and replace with:
4.20.1 Value of Scholarship
(1) The maximum value of an individual Endeavour IPRS scholarship that may be awarded in a year is equal to:
(a) the estimated annual course cost, as determined by the provider in accordance with Chapter 8 of the Higher Education Provider Guidelines (Fees in respect of overseas students), for the HDR being undertaken by the student; plus
(b) the cost of a standard Overseas Student Health Cover (OSHC) policy approved by the Commonwealth Government Department of Health and Ageing and which covers the student and their spouse and dependants (if any) for the period of the Endeavour IPRS scholarship.
4.20.2 Maximum Grant Amount
(1) For any new year (as defined in subparagraph 4.5.5(3), above), providers may award any number of Endeavour IPRS scholarships, each within the maximum amount stipulated in paragraph 4.20.1(1), above. However, the amount calculated under subparagraph 4.5.5(4), above, (the "Maximum Grant Amount") is the maximum amount of an Endeavour IPRS grant to be paid to a provider for the provider's Endeavour IPRS scholarships awarded in that year.
(2) The Department emphasises that it will not make any funds available to pay a provider for any amount by which the total value of Endeavour IPRS scholarships that the provider awards in any particular year exceeds the provider's Maximum Grant Amount for that year.
4.20.3 Acquitting and rolling-over Endeavour IPRS Grants
Acquittal of Endeavour IPRS Grants made in 2006 and later years
(1) Each provider must, by 1 March in the year 2007 and each later year, provide DEST with a certificate of acquittal in the form specified by DEST, setting out the provider's confirmation of the amount of its Endeavour IPRS grant for the preceding year and of the total value of Endeavour IPRS scholarships that the provider awarded in that year. The amount of each provider's 2006 Endeavour IPRS grant is to be taken as the amount specified under subparagraph 4.2.2(1), above.
Rollover of Unspent Endeavour IPRS Grants made in 2007 and later years
(2) Requests for rollovers in respect of any unspent Endeavour IPRS grants made in 2007 and any later year may be made in accordance with subparagraph 4.20.3(3). Rollovers in respect of any unspent Endeavour IPRS grants made in 2006 are not available.
(3) A provider may, at its discretion, by 1 March in the year 2008 and any later year (a "Rollover Year"), provide DEST with a written request for rollover (under section 46-35 of the Act, as an Endeavour IPRS grant in respect of the Rollover Year) of some or all of any part of the provider's Endeavour IPRS grant for the immediately preceding year (the "Preceding Year's Grant") that the provider failed to spend in that year (the "Unspent Amount"). Rollover requests must be provided in conjunction with the relevant certificate of acquittal provided under subparagraph 4.20.3(1), above.
If a provider does not comply with this subparagraph 4.20.3(2) in respect of any Unspent Amount, then the provider must return the Unspent Amount to DEST.
(4) A provider must not spend any of the Unspent Amount until it has received written notification from DEST that the Secretary (or the Secretary's delegate) has:
(a) determined, under paragraph 46-35(1)(b) of the Act, that section 46-35 of the Act is to apply to the provider in respect of the Preceding Year's Grant;
(b) specified, under subsection 46-35(1) of the Act, so much of the Unspent Amount (the "Rolled-over Amount") that is taken to be granted to the provider under Part 2-4 of the Act in respect of the Rollover Year; and
(c) determined, under paragraph 46-35(2)(b) of the Act, such other conditions (if any) on which the Rolled-over Amount is taken to be granted to the provider.
(5) Any amount of a provider's Endeavour IPRS grant for a year that is:
(a) not accounted for to DEST's satisfaction by a financial report provided in accordance with subparagraph 4.20.3(1) (and any other information that the provider provides DEST in respect of the report); or
(b) not a Rolled-over Amount (as defined in sub-subparagraph 4.20.3(4)(b));
must be returned to DEST.
[1] The 2004 Underspenders, as defined in subparagraph 4.2.1(2).
