Higher Education Support Amendment (VET FEE-HELP Reform) Act 2015 (Cth)

Higher Education Support Amendment (VET FEE‑HELP Reform) Act 2015 No. 168, 2015 Compilation No. 1 Compilation date: 11 December 2016 Includes amendments up to: Act No. 168, 2015 Registered: 20 December 2016 About this compilation This compilation This is a compilation of the Higher Education Support Amendment (VET FEE-HELP Reform) Act 2015 that shows the text of the law as amended and in force on 11 December 2016 (the compilation date). The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law. Uncommenced amendments The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Legislation Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the series page on the Legislation Register for the compiled law. Application, saving and transitional provisions for provisions and amendments If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes. Editorial changes For more information about any editorial changes made in this compilation, see the endnotes. Modifications If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the series page on the Legislation Register for the compiled law. Self‑repealing provisions If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes. Contents 1 Short title 2 Commencement 3 Schedules Schedule 1—VET FEE‑HELP Reform amendments Part 1—Main amendments Higher Education Support Act 2003 Part 2—Civil penalties and enforcement Higher Education Support Act 2003 Endnotes Endnote 1—About the endnotes Endnote 2—Abbreviation key Endnote 3—Legislation history Endnote 4—Amendment history An Act to amend the law relating to higher education, and for related purposes 1 Short title This Act may be cited as the Higher Education Support Amendment (VET FEE‑HELP Reform) Act 2015. 2 Commencement (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms. Commencement information Column 1 Column 2 Column 3 Provisions Commencement Date/Details 1. Sections 1 to 3 and anything in this Act not elsewhere covered by this table The day this Act receives the Royal Assent. 11 December 2015 2. Schedule 1 Immediately before 1 January 2016. 31 December 2015 3. Schedule 2 Immediately after the start of a single day to be fixed by Proclamation. Repealed on 11 December 2016 However, if the commencement of the provisions is not fixed by a Proclamation registered on the Federal Register of Legislative Instruments established under the Legislative Instruments Act 2003, within the period of 12 months beginning on the day this Act receives the Royal Assent, the provisions are repealed on the day after the end of that period. Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act. (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act. 3 Schedules Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms. Schedule 1—VET FEE‑HELP Reform amendments Part 1—Main amendments Higher Education Support Act 2003 1 Subsection 137‑18(4) Omit "clause 46, 47 or 51", substitute "clause 46, 46A, 47 or 51". 1A At the end of section 137‑18 Add: (5) A person's *VET FEE‑HELP debt in relation to a *VET unit of study is taken to be remitted to the extent that the person's *FEE‑HELP balance is re‑credited under clause 46B of Schedule 1A in relation to the unit. 2 Paragraph 6(1)(aa) of Schedule 1A After "body corporate", insert "that is not the trustee of a trust". 3 Paragraph 6(1)(c) of Schedule 1A Repeal the paragraph, substitute: (c) the body is a *registered training organisation, as listed on the *National Register, that has been a registered training organisation since at least 1 January 2011; and (ca) the body has been offering: (i) at least one *qualifying VET course continuously since at least 1 January 2011; or (ii) one or more series of qualifying VET courses since at least 1 January 2011, with each course in a series superseding the other without interruption; and 4 Paragraph 6(1)(g) of Schedule 1A Omit "*VET Guidelines", substitute "VET Guidelines". 4A After paragraph 6(1A)(d) of Schedule 1A Insert: (da) the body has been offering: (i) at least one *qualifying VET course continuously since at least 1 January 2011; or (ii) one or more series of qualifying VET courses since at least 1 January 2011, with each course in a series superseding the other without interruption; and 4B After subclause 6(2) of Schedule 1A Insert: (2A) For the purposes of (but without limiting) paragraph (1)(g) or (1A)(i), the requirements set out in the *VET Guidelines can include requirements relating to a body's capacity to satisfactorily and sustainably provide *VET courses of study. Note: These requirements could, for example, relate to the stability of the body's ownership and management, its experience, its business relationships with particular kinds of educational institutions and its record in providing quality student outcomes. 5 At the end of clause 9 of Schedule 1A Add: (3) If: (a) a body applies to the Minister for approval as a *VET provider; and (b) the Minister decides, under clause 6, not to approve the body as a VET provider; the body cannot make a subsequent application for approval as a VET provider during the 6‑month period starting on the date of the notice given to the applicant under paragraph 11(1)(b) about the decision. 6 Paragraph 15(2)(b) of Schedule 1A Repeal the paragraph, substitute: (b) must be provided with a report, on the statement, by: (i) the Auditor‑General of a State, of the Australian Capital Territory or of the Northern Territory; or (ii) a registered company auditor (within the meaning of section 9 of the Corporations Act 2001), who is independent of the *VET provider; or (iii) a person approved by the Minister under paragraph (d) of the definition of qualified auditor in subclause 1(1) of Schedule 1, who is independent of the VET provider; and 7 After clause 23A of Schedule 1A Insert: 23B Entry procedure for students (1) A *VET provider must make and publish a *student entry procedure in accordance with the *VET Guidelines. (2) A *VET provider must comply with its *student entry procedure. (3) A student entry procedure is a written procedure that specifies, in accordance with the *VET Guidelines: (a) when a student is academically suited to undertake a *VET course of study; and (b) how to assess whether a student is so suited; and (c) how to report to the *Secretary about the results of such assessments; and (d) how long the *VET provider must retain those results. Note: The VET Guidelines could, for example, require a student entry procedure to: (a) set out the literacy, numeracy and general academic skills needed by a student to undertake a VET course of study; and (b) provide for assessments of those skills to be conducted online. (4) For the purposes of subclause (3), the *VET Guidelines may empower: (a) a person or body: (i) to decide whether to approve a particular tool for use when assessing whether a student is academically suited to undertake a *VET course of study; and (ii) to charge a fee for making such a decision; and (b) a person or body to charge a fee for the use of a tool for such an assessment. A fee so charged must not be such as to amount to taxation. 23C Receiving requests for Commonwealth assistance (1) A *VET provider must not treat a student as being entitled to *VET FEE‑HELP assistance for a *VET unit of study if: (a) the student gives an *appropriate officer of the VET provider: (i) a *request for Commonwealth assistance relating to the unit or a *VET course of study of which the unit forms a part; or (ii) a form that would be such a request if it were signed by a *responsible parent of the student; and (b) the student is not entitled to that assistance for that unit or course. Note: To be a request for Commonwealth assistance, a responsible parent must sign the form if the student is under 18 years old and subclause 88(3A) applies (see paragraph 88(3)(aa)). (2) Before a *VET provider enrols a student in a *VET unit of study less than 2 business days before the *census date for the unit, the VET provider must advise the student that the student will not be able to receive *VET FEE‑HELP assistance for the unit. (3) Before a *VET provider enrols a student in a *VET unit of study, the VET provider must advise the student that any *request for Commonwealth assistance by the student in relation to the unit must be given: (a) at least 2 business days after the student enrols in: (i) if the *VET course of study of which the unit forms a part is undertaken with the provider—the course; or (ii) otherwise—the unit; and (b) on or before the *census date for the unit; if the student has not already given an *appropriate officer of the VET provider such a request relating to the course. (4) A *VET provider must not encourage a student to give a *request for Commonwealth assistance relating to a *VET unit of study so that the request is given less than 2 business days after the student enrols in the unit. 7A Subclause 26(1) of Schedule 1A Repeal the subclause, substitute: (1) The Minister may require a *VET provider to be audited: (a) about compliance with any or all of the following requirements: (i) the *VET financial viability requirements; (ii) the *VET fairness requirements; (iii) the *VET compliance requirements; (iv) the *VET fee requirements; (v) other requirements for VET quality and accountability set out in the *VET Guidelines; or (b) about any or all of the following matters relating to *VET courses of study provided by the VET provider: (i) the approaches used to recruit or enrol students (or potential students) of those courses who receive (or who could receive) *VET FEE‑HELP assistance for *VET units of study forming part of those courses; (ii) the veracity of enrolments in those courses of students who receive VET FEE‑HELP assistance for VET units of study forming part of those courses; (iii) the level of teaching resources, or the quality of those resources, for any of those courses; (iv) the level of engagement in any of those courses of students who receive VET FEE‑HELP assistance for VET units of study forming part of those courses; (v) the completion rates for any of those courses of students who receive VET FEE‑HELP assistance for VET units of study forming part of those courses. 8 Subclause 27(2) of Schedule 1A Omit "*VET tuition fees", substitute "VET tuition fees". 8A Before subclause 36(1) of Schedule 1A Insert: Suspension pending revocation 8B At the end of clause 36 of Schedule 1A Add: Suspension for poor performance (5) The *Secretary may, in writing, suspend a body's approval as a *VET provider if: (a) an audit of the body has been conducted about any or all of the matters in paragraph 26(1)(b); and (b) the audit identified one or more concerns; and (c) those concerns have yet to be resolved as described in paragraph (6)(b). (6) The suspension: (a) starts on the day of the decision under subclause (5); and (b) ends on the day (if any) that the *Secretary notifies the body, in writing, that the Secretary reasonably believes that those concerns have been satisfactorily resolved by the body in accordance with a plan agreed between the body and the Commonwealth. (7) Before making a decision under subclause (5), the *Secretary must give the body a notice in writing: (a) stating that the Secretary is considering making the decision; and (b) stating the reasons why the Secretary is considering making the decision; and (c) inviting the body to respond to the Secretary, in writing, within 14 days; and (d) informing the body that, if no response is received within the 14 day period, the Secretary may proceed to make the decision. (8) In deciding whether to make the decision under subclause (5), the *Secretary must consider any response received from the body within the 14 day period. (9) The *Secretary must give written notice of a decision under subclause (5) to the body. The notice must be given within 14 days after the day the decision was made. 8C Before subclause 37(1) of Schedule 1A Insert: Suspension pending revocation 8D Subclause 37(1) of Schedule 1A Omit "clause 36 is of no effect for the purposes of", substitute "subclause 36(1) is of no effect for purposes of or relating to". 8E At the end of clause 37 of Schedule 1A Add: Suspension for poor performance—no impact on existing students (6) A suspension of a body's approval as a *VET provider under subclause 36(5) is of no effect for purposes of or relating to assistance payable to the body's students under Part 2 to the extent that the assistance relates to students of the body who have not completed the *VET courses of study in which they were enrolled with the body before the day the suspension starts (see paragraph 36(6)(a)). Note: One consequence of this subclause is that clauses 45E and 46B (which apply if the body's VET FEE‑HELP account is in deficit at the end of a calendar year) will continue to apply to the body during the suspension. 8F Subclause 39(1) of Schedule 1A Omit "may revoke", substitute "must revoke". 8G After subclause 39(2) of Schedule 1A Insert: (2A) The revocation is subject to the condition that, after the revocation: (a) clauses 45E and 46B continue to apply to the body as if the body were still approved as a *VET provider; and (b) other provisions of this Act, or the *VET Guidelines, that: (i) relate (directly or indirectly) to entitlements to *VET FEE‑HELP assistance arising before the revocation; and (ii) are specified in the notice of revocation under subclause (3) of this clause; continue to apply to the body as if the body were still approved as a VET provider. 9 After paragraph 43(1)(e) of Schedule 1A Insert: (ea) the student meets the entry procedure requirements under clause 45B; and 10 Subparagraph 43(1)(f)(i) of Schedule 1A Repeal the subparagraph, substitute: (i) enrols in the unit at least 2 business days before the census date for the unit; and 10A After paragraph 43(1)(f) of Schedule 1A Insert: (fa) in a case where the student is not already entitled to VET FEE‑HELP assistance for another VET unit of study forming part of the course—the body with whom the student is enrolled is approved as a *VET provider: (i) for the day of the enrolment; or (ii) if that day falls within a period when the body's approval as a VET provider is suspended under subclause 36(5)—for a later day because that suspension has ended; and 10B Before paragraph 43(1)(g) of Schedule 1A Insert: (fb) if the VET provider was approved as a VET provider after 2015, the course is: (i) one of the *qualifying VET courses that enabled paragraph 6(1)(ca) or (1A)(da) to be satisfied for the purposes of that approval; or (ii) a qualifying VET course that superseded such a course directly or indirectly without interruption; and 11 Paragraph 43(1)(h) of Schedule 1A Repeal the paragraph, substitute: (h) the student meets the request for Commonwealth assistance requirements under clause 45C; and 11A Subclause 43(1) of Schedule 1A (note) Repeal the note, substitute: Note 1: For the purposes of paragraph (e), clause 45A affects whether a person undertakes a VET unit of study as part of a VET course of study. Note 2: For the purposes of paragraph (fa), a body's approval as a VET provider ceases while the approval is suspended (see clause 29). If this approval is suspended when the student first enrols in units forming part of the course, the student can only become entitled to VET FEE‑HELP assistance when that suspension ends. 12 At the end of Subdivision 7‑A of Schedule 1A Add: 45B Entry procedure requirements The entry procedure requirements for *VET FEE‑HELP assistance for a *VET unit of study are that the student, in accordance with the *VET provider's *student entry procedure, has been assessed as academically suited to undertake the *VET course of study of which the unit forms a part. 45C Request for Commonwealth assistance requirements (1) The request for Commonwealth assistance requirements for *VET FEE‑HELP assistance for a *VET unit of study are that: (a) the student completes, signs and gives an *appropriate officer of the *VET provider a *request for Commonwealth assistance that: (i) if the *VET course of study of which the unit forms a part is undertaken with the provider—relates to the course, and is so given at least 2 business days after the student enrols in the course; or (ii) otherwise—relates to the unit, and is so given at least 2 business days after the student enrols in the unit; and (b) the request is so given on or before the *census date for the unit; and (ba) if the student enrols in the course after the day the Higher Education Support Amendment (VET FEE‑HELP Reform) Act 2015 receives the Royal Assent—the student being entitled to the VET FEE‑HELP assistance for the unit: (i) would not cause the VET provider's *VET FEE‑HELP account to be in deficit at the end of that census date (see subclause 45D(7)); and (ii) would not cause or contribute to that account being in deficit at the end of 2016 or a later calendar year; and (c) the request is not withdrawn before the end of that census date. If VET provider incorrectly treats student as being entitled (2) However, for the purposes of this Act (other than clause 39DH), if: (a) either or both of the following things happen: (i) the student fails to comply with paragraph (1)(a) of this clause by not giving the request at least 2 business days after the enrolment referred to in that paragraph; (ii) paragraph (1)(ba) of this clause is not complied with; and (b) the *VET provider treats the student as being entitled to *VET FEE‑HELP assistance for the unit; those paragraphs of this clause are taken to have been complied with. Note 1: The VET provider should not treat the student as being entitled to VET FEE‑HELP assistance: (a) if the student requests the assistance during the 2 business day cooling‑off period after the enrolment; or (b) if being entitled would cause or contribute to the provider's VET FEE‑HELP account being in deficit. Note 2: However, if the provider does treat the student as being entitled, the provider will contravene subclause 39DH(1) (a civil penalty provision), and the student may still be able to receive the assistance. 45D Notional VET FEE‑HELP accounts (1) There is a notional VET FEE‑HELP account for each *VET provider. Note 1: The VET provider will need to monitor the balance of its account, as it will have to repay an amount to the Commonwealth if the account is in deficit at the end of 2016 or a later year. Note 2: This account applies in relation to all students entitled to VET FEE‑HELP assistance for VET units of study with census dates on or after 1 January 2016 (whether or not the student received VET FEE‑HELP assistance for earlier units before that day). See subclause (7). Credits to the VET provider's VET FEE‑HELP account (2) A credit arises in the *VET provider's *VET FEE‑HELP account as follows: (a) if the VET provider is already a VET provider on 1 January 2015, a credit arises on the first day of each later calendar year that is equal to the amount worked out under subclause (3); (b) if the VET provider becomes a VET provider during 2015, a credit arises on the first day of each later calendar year that is equal to the amount worked out under subclause (4); (c) if the VET provider becomes a VET provider on a day after 2015, a credit arises on that day that is equal to the amount worked out under subclause (5); (d) if the VET provider pays on a particular day any part of any amount that becomes due under subclause 45E(2), a credit arises on that day that is equal to the amount of that payment; (e) if another body ceases to be a VET provider, a credit may arise: (i) in accordance with a determination under subclause (6) at the time of the cessation; and (ii) that is equal to the amount worked out under that determination; (f) if the *Secretary, on application by the VET provider, is satisfied on a particular day that: (i) the VET provider is offering a VET course of study that confers skills in an identified area of national importance; and (ii) the course is relevant for employment in a licensed occupation; and (iii) one or more students are unable to readily access training places in courses of this kind with any other VET provider; and (iv) insufficient credits have arisen in the VET provider's VET FEE‑HELP account for an appropriate number of students to undertake the course with the VET provider; and (v) granting an extra credit of a particular amount is appropriate (which need not be the amount specified in the application); the Secretary may grant a credit, which arises on that day, that is equal to the amount considered appropriate under subparagraph (v). (3) For the purposes of paragraph (2)(a), the amount to be credited is the amount equal to: where: VET provider's adjusted 2015 total loan amount means the sum of the amounts of *VET FEE‑HELP assistance paid for students undertaking, with the *VET provider, *VET units of study that had *census dates during the period starting on 1 January 2015 and ending on 31 August 2015. (4) For the purposes of paragraph (2)(b), the amount to be credited is the amount equal to the sum of: (a) the *VET provider's fee revenue for the period: (i) starting on 1 January 2015; and (ii) ending on the day before the VET provider was approved as a VET provider; for *domestic students undertaking *qualifying VET courses in that period; and (b) the sum of the amounts of *VET FEE‑HELP assistance paid for students undertaking, with the VET provider, *VET units of study that had *census dates during 2015. (5) For the purposes of paragraph (2)(c), the amount to be credited is the amount equal to the *VET provider's fee revenue for the 2015 calendar year for *domestic students undertaking in that year the *qualifying VET courses that enabled paragraph 6(1)(ca) or (1A)(da) to be satisfied for the purposes of the VET provider's approval as a VET provider. (6) The Minister may, by legislative instrument, determine: (a) whether credits arise in the *VET FEE‑HELP accounts of specified *VET providers when another body ceases to be a VET provider; and (b) the amounts of such credits. Debits to the VET FEE‑HELP account (7) A debit arises in the *VET provider's *VET FEE‑HELP account if a student is entitled to *VET FEE‑HELP assistance for a *VET unit of study: (a) that is to be undertaken with the VET provider; and (b) that has a *census date on or after 1 January 2016. The debit arises at the end of that census date, and is equal to the amount of that assistance. 45E Effect of VET FEE‑HELP account being in deficit at the end of a calendar year (1) If: (a) a *VET provider's *VET FEE‑HELP account is in deficit at the end of a calendar year; and (b) the *Secretary gives the VET provider a written notice about the deficit; the VET provider must pay to the Commonwealth an amount equal to the amount of the deficit (the excess loan amount). (2) The excess loan amount is due on the seventh day (the due day) after the day the notice is given. Late payments of the excess loan amount attract the general interest charge (3) If some or all of the excess loan amount remains unpaid after the due day, the *VET provider must pay to the Commonwealth an amount (the general interest charge) relating to the unpaid amount for each day in the period that: (a) starts at the beginning of the day after the due day; and (b) ends at the end of the last day on which, at the end of the day, any of the following remains unpaid: (i) the excess loan amount; (ii) general interest charge on any of the excess loan amount. (4) The general interest charge for a particular day is worked out by multiplying the *general interest charge rate for that day by the sum of so much of the following amounts as remains unpaid: (a) the general interest charge from previous days; (b) the excess loan amount. (5) The general interest charge for a day is due and payable to the Commonwealth at the end of that day. (6) The *Secretary may give written notice to the *VET provider of the amount of the general interest charge for a particular day or days. A notice given under this subclause is prima facie evidence of the matters stated in the notice. (7) The *Secretary may remit all or a part of the general interest charge payable by the *VET provider if the Secretary is satisfied: (a) that: (i) the circumstances that contributed to the delay in payment were not due to, or caused directly or indirectly by, an act or omission of the VET provider; and (ii) the VET provider has taken reasonable action to mitigate, or mitigate the effects of, those circumstances; or (b) that it is otherwise appropriate to do so. (8) An amount payable under this clause may be recovered by the Commonwealth from the *VET provider as a debt due to the Commonwealth. 13 Subclause 46(1) of Schedule 1A Omit "clause 51", substitute "clause 46A or 51". 14 After clause 46 of Schedule 1A Insert: 46A Re‑crediting a person's FEE‑HELP balance—unacceptable conduct by provider or provider's agent Decision to re‑credit due to unacceptable conduct (1) The *Secretary must re‑credit a person's *FEE‑HELP balance with an amount equal to the amounts of *VET FEE‑HELP assistance that the person received for a *VET unit of study if the Secretary is satisfied that: (a) the person has been enrolled in the unit with a *VET provider; and (b) the person has not completed the requirements for the unit during the period the person undertook, or was to undertake, the unit; and (c) circumstances exist, of a kind specified in the *VET Guidelines for the purposes of this paragraph, involving unacceptable conduct by the VET provider (or an agent of the VET provider) relating to the person's *request for Commonwealth assistance relating to: (i) the unit; or (ii) the *VET course of study of which the unit forms a part; and (d) the person has applied in writing to the Secretary for re‑crediting of the FEE‑HELP balance under this subclause; and (e) the application is in the form approved by the Secretary, and is accompanied by such information as the Secretary requests; and (f) either: (i) the application was made during the first 3 years after the period during which the person undertook, or was to undertake, the unit; or (ii) it would not be, or was not, possible for the application to be made during those 3 years. Note: A VET FEE‑HELP debt relating to a VET unit of study will be remitted if the FEE‑HELP balance in relation to the unit is re‑credited: see section 137‑18. (2) If: (a) the person received the *VET FEE‑HELP assistance as a result of giving an *appropriate officer of the *VET provider a form; and (b) the form would have been a *request for Commonwealth assistance relating to the unit if it had been signed by a *responsible parent of the person; paragraph (1)(c) applies as if the form were the person's request for Commonwealth assistance relating to the unit. Note: To be a request for Commonwealth assistance, a responsible parent must sign the form if the student is under 18 years old and subclause 88(3A) applies (see paragraph 88(3)(aa)). Inviting submissions before making a decision (3) Before making a decision under subclause (1), the *Secretary must give the applicant and the *VET provider a notice in writing: (a) stating that the Secretary is considering making the decision; and (b) describing the decision and stating the reasons why the Secretary is considering making it; and (c) inviting the applicant and the VET provider to each make written submissions to the Secretary within 28 days on either or both of the following matters: (i) why that decision should not be made; (ii) if that decision would re‑credit the applicant's *FEE‑HELP balance with a particular amount—why that amount should be changed; and (d) informing the applicant and the VET provider that, if no submissions are received within the 28 day period, the Secretary may proceed to make the decision. (4) In deciding whether to make the decision under subclause (1), the *Secretary must consider any submissions received from the applicant, and from the *VET provider, within the 28 day period. Notice of a decision (5) The *Secretary must give written notice of a decision under subclause (1) to the applicant and the *VET provider. The notice must be given within 28 days after the day the decision was made. 14A Before clause 47 of Schedule 1A Insert: 46B Re‑crediting a person's FEE‑HELP balance—VET FEE‑HELP account in deficit at the end of a calendar year Main case (1) A *VET provider must, on the *Secretary's behalf, re‑credit a student's *FEE‑HELP balance with an amount if: (a) the student receives *VET FEE‑HELP assistance in a calendar year for a *VET unit of study undertaken with the VET provider; and (b) under subclause 45E(1), the Secretary notifies the VET provider that the VET provider's *VET FEE‑HELP account was in deficit at the end of the calendar year; and (c) the VET provider reasonably believes that some or all of that assistance caused or contributed to the deficit. (2) The amount to be re‑credited is equal to so much of that assistance as the *VET provider reasonably believes caused or contributed to the defici