Education (Tertiary Education and Other Matters) Amendment Act 2018

The Education (Tertiary Education and Other Matters) Amendment Act 2018 (the Act) came into effect on 30 March 2018.

Public policy objectives of the Act

The public policy objectives of the Act are to:

  • increase provider accountability and strengthen monitoring and compliance
  • support fair treatment of tertiary education providers
  • broaden student protection arrangements.

Education (Tertiary Education and Other Matters) Amendment Act 2018 — NZ Legislation website (external link)

Increasing provider accountability and strengthening monitoring and compliance

The Act strengthens the monitoring and compliance of tertiary education organisations (TEOs) by amending the Education Act 1989 to:

  • enable the Minister to amend funding determinations, if it's reasonable to do so and after consultation with the affected TEOs
  • allow the Tertiary Education Commission (TEC) to set conditions on TEOs’ funding that are reasonably necessary for effectively monitoring the performance of the system and the tertiary sector
  • allow the TEC to recover the costs of investigating a breach of a condition on funding approval, but only when a TEO has breached a condition
  • align record-keeping and inspection requirements for tertiary education institutions (TEIs) with those of private training establishments (PTEs)
  • introduce a new offence for making false representations on a student’s record of achievement
  • increase the penalty from $10,000 to $50,000 for offences related to falsification of student records.

Supporting fair treatment of tertiary education providers

The Act supports a better and fairer tertiary sector by amending the Education Act 1989 to:

  • allow the Minister to identify a new subset of PTEs, called a Community Tertiary Education Provider, to distinguish between for-profit and not-for-profit providers
  • allow wānanga to apply for Ministerial consent to describe themselves using a protected term, such as university or polytechnic.

Broadening student protection arrangements

The Act broadens student protection arrangements by amending the Education Act 1989 to:

  • clarify that international student enrolment in schools is governed by the enrolment contract, to allow schools to more effectively manage international student misconduct outside of school
  • extend the Export Education Levy reimbursement provisions to cover international students in private schools if the school is no longer able to offer the student’s course of study
  • align refund entitlements for domestic students withdrawing from a short programme at a PTE with those of international students in similar short programmes.

Miscellaneous amendments

Miscellaneous amendments made to the Education Act 1989 include:

  • technical amendments relating to funding and reporting, such as clarifying that the TEC can withdraw a TEO’s funding, in whole or in part, on request by the TEO
  • minor changes to TEI governance arrangements, such as changing the timeframes that TEI councils have to fill casual vacancies
  • allowing TEIs to establish and operate common funds for the investment of trust assets under explicit statutory authority
  • requiring TEIs to provide information on compulsory student services fee on their websites.

Regulatory Impact Statements

The following Regulatory Impact Statements relate to the Education (Tertiary Education and Other Matters) Amendment Act 2018.

Increasing funding flexibility and strengthening monitoring and compliance [PDF, 317 KB]

Allowing tertiary education institutions to apply for ministerial consent to use protected terms [PDF, 469 KB]

Removing legislative barriers for schools to apply stand-down, suspension, exclusion and expulsion to international students [PDF, 98 KB]

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