Chairperson, when the ANC government split the department of Education into two departments in 2009, namely the Department of Basic Education and the Department of Higher Education and Training, the main reason was to ensure an intensive focus on the schooling system and on the higher education sector. As a result of that educational dispensation, there is a need to realign legislation for it to be in line with the establishment of the new education departments. Hence we have the Higher Education Laws Amendment Bill before us.
The Higher Education Laws Amendment Bill seeks to amend two older pieces of legislation: the Higher Education Act, Act 101 of 1997, and the National Student Financial Aid Scheme Act, Act 56 of 1999. The Higher Education Act, Act 101 of 1997, is amended by clauses (1) and (2) to provide for the conduct of council members and staff engaging in business with the public higher education institutions concerned. This provision seeks to curb corruption and the abuse of public funds.
The National Student Financial Aid Scheme Act, Act 56 of 1999, is amended to empower the Minister to intervene by way of appointing an administrator in the case of poor performance or nonperformance or maladministration by the board and to provide for ministerial powers to remove the board, as well as the procedures for such removal. It further repeals the provision which bestows an obligation on the employer of a borrower or a student funded by the National Student Financial Aid Scheme to make deductions from his or her remuneration. The repeal is proposed because the obligation is considered to be infringing the rights of an employer.
The Bill seeks to empower the Minister of Higher Education and Training to intervene in the case of poor performance or nonperformance or maladministration by the board of the National Student Financial Aid Scheme. Accordingly, the introduction of section 4(a) provides the Minister with those powers of intervention.
The Bill also seeks to provide for the dissolution of such a board and the procedure to be followed in such dissolution. As a result, clause (5) introduces a new section to the Act. It also seeks to provide for the appointment of an administrator to temporarily take over the management, governance and administration of the board. Section 17(a) deals with the appointment of such an administrator. Clause (3) seeks to amend section 27, in which an independent assessor appointed by the Minister must finalise an investigation. In terms of the current Act, the investigation must be finalised and a report must be provided to the Minister within 30 days. However, practice has shown that this timeframe is too short and the Bill seeks to provide the assessor with a minimum of 90 days to complete this process.
After bringing the Higher Education Laws Amendment Bill before the Portfolio Committee on Higher Education and Training, the Department of Higher Education and Training accordingly tabled the Bill to the Select Committee on Education and Recreation on 19 October 2011. The Select Committee on Education and Recreation, having considered the Bill tabled in terms of section 231(2) of the Constitution, Act 108 of 1996, recommends that the House adopts the Bill.
Debate concluded.
Bill agreed to in accordance with section 75 of the Constitution.