Clarification on third party arrangements for VET in schools

19 August 2019

Following the release of the General Direction and fact sheet on third party arrangements, we have been asked to clarify the impact where a school engages an RTO to deliver a course to VET in schools students, and the school provides some support in the delivery.

1) Where a school is also an NVR Act RTO then the school is the principal that enters into a third party agreement with an external RTO and that agreement specifies the services and facilities that the school will provide and the activities that the third party will be responsible for.

Where the school RTO does not have the qualification on scope, then the third party RTO will be responsible for enrolment, the outcomes of the training and assessment, and the issuing of the qualification to the student. The third party RTO must have the qualification on its scope of registration at all times.

The school RTO is not required to have the qualification on scope to enter into a third party agreement with an external RTO that has the qualification on scope.

2) Where the school is not an NVR Act RTO, then the school procures the service from the external RTO and the RTO as principal enters into a third party agreement with the school to cover the provision by the school of facilities, staff etc. to the extent that is part of the arrangement.

The RTO will be responsible for enrolment, training and assessment, and the issuing of the qualification to the student. The RTO must have the qualification on its scope of registration at all times.

We acknowledge that this in some cases differs from current practice where the school has acted as if the school was a separate entity from the school RTO which in some cases is not the case.

SOURCEAAP:https://www.asqa.gov.au/news-publications/news/clarification-third-party-arrangements-vet-schools

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