Explanatory Memorandum(Circulated by authority of the Minister for Education the Honourable Julia Gillard MP)
Schedule 3-Adjustment of basic grant amounts
Item 1 - Paragraph 33-25(7)(b)
Omits "5%" in paragraph 33-25(7)(b) and substitutes "10%".
Subsection 33-25(6) of HESA provides that the basic grant amount for a year for Table A and Table B providers is increased by an adjustment if the provider's corrected basic amount for the preceding year was more than the provider's basic grant amount for the year.
Subsection 33-25(7) provides that the adjustment under subsection 33-25(6) is the lower of the following:
- an amount equal to the difference between the corrected basic amount and the basic grant amount (paragraph 33-25(7)(a)); and
- 5% of the basic grant amount (paragraph 33-25(7)(b)).
This amendment will increase the percentage of the basic grant amount contained in paragraph 33-25(7)(b) to 10%.
Item 2 - Application
Item 2 is an application provision which specifies that the amendment made by Schedule 3 applies to adjustments of basic grant amounts for 2011 and later years.