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Statutes of Newfoundland 1998


CHAPTER 33

AN ACT TO AMEND THE PRIVATE TRAINING
INSTITUTIONS ACT

(Assented to December 15, 1998)

Analysis

1. S.2 Amdt.
Definitions

2. Ss.4 & 5 R&S
4. Corporation
established
5. Powers of
corporation
5.1 Duties of corporation
5.2 Insufficient funds -
liability limited

3. S.8 Amdt.
Certificate of registration

4. Ss.9 & 10 Rep.
9. Registration
10. Extension of time

5. S.17.1 Added
Train Out Fund

6. S.19 R&S
Regulations

7. Commencement

Be it enacted by the Lieutenant-Governor and House of Assembly in Legislative Session convened, as follows:


RSN1990 cP-25
as amended

1. (1) Paragraph 2(a) of the Private Training Institutions Act is repealed and the following substituted:

(a) "corporation" means the Private Training Corporation incorporated by this Act;

(2) Paragraph 2(c) of the Act is repealed and the following substituted:

(c) "minister" means the minister appointed under the Executive Council Act to administer this Act;

2. Sections 4 and 5 of the Act are repealed and the following substituted:

Corporation established

4. (1) There is incorporated a corporation to be known as the Private Training Corporation.

(2) The corporation is not a Crown corporation and is not an agent of the Crown.

(3) The board of directors of the corporation shall be appointed by the Lieutenant-Governor in Council and shall consist of no less than 5 and no more than 7 persons, and the membership of the board of directors may be prescribed by the Lieutenant-Governor in Council under paragraph 19(1)(v).

(4) The minister may designate one member of the board of directors as the chairperson and another as the vice-chairperson.

(5) A director shall not hold office for more than 3 consecutive years and is eligible for reappointment.

(6) A majority of the directors, one of whom shall be the chairperson or vice-chairperson constitutes a quorum.

(7) Where a vacancy occurs on the board of directors, the minister may appoint a person to fill the vacancy for the balance of the term of the director replaced.

(8) A vacancy on the board of directors does not impair the capacity of the board of directors to act.

(9) The accounts of the corporation shall be audited at least once a year by an auditor appointed by the corporation.

(10) The corporation has, subject to this Act, all the rights, powers and privileges of a natural person.

Powers of corporation

5. (1) The Private Training Corporation established under section 4 shall have the powers vested by law in a corporation.

(2) In addition to the powers referred to in subsection (1), the corporation may

(a) acquire assets and property both real and personal by purchase, lease, grant, hire, exchange or otherwise and dispose of that property;

(b) provide for the management of its property and effects and of its affairs and business;

(c) make by-laws concerning the meetings of the board and its transactions as approved by the minister;

(d) hold and administer those bank or trust accounts necessary for the administration of the Train Out Fund and the general operations of the corporation;

(e) invest the funds of the Train Out Fund in accordance with regulations made under paragraph 19(1)(z); and

(f) do all other matters and things including the employment of staff and other persons that may be necessary or desirable for exercising the powers conferred by this Act.

Duties of corporation

5.1 The corporation shall

(a) administer the Train Out Fund established under section 17.1 in the manner that may be prescribed by the regulations;

(b) where required, make recommendations to the minister with respect to

(i) the operation of this Act and the regulations,

(ii) the financial stability of a private training institution based upon annual audited financial statements of that institution as required by the minister, and

(iii) any other issues that the minister may require to be reviewed; and

(c) perform those other duties as required by the minister.

Insufficient funds - liability limited

5.2 (1) The liability of the corporation with respect to the Train Out Fund is limited to the pay out of funds on deposit and the corporation has no other financial obligations with respect to the Train Out Fund.

(2) If there is insufficient money in the Train Out Fund to provide compensation as required by the regulations, the compensation provided shall

(a) not exceed the amount of money in the fund; and

(b) be provided on a proportional basis.

3. Subsection 8(2) of the Act is repealed and the following substituted:

(2) The superintendent may refuse to renew or may suspend or revoke a registration where the applicant does not comply with subsection (1), where the registrant is in breach of a term or condition of the registration, or upon other grounds as prescribed by the regulations.

(3) Where, before the expiry of a certificate, a registrant has applied for renewal of the registration and paid the prescribed fee, his or her registration shall be considered to continue

(a) until the renewal is granted; or

(b) until an appeal as prescribed by the regulations is conducted and concluded.

4. Sections 9 and 10 of the Act are repealed.

5. The Act is amended by adding immediately after section 17 the following:

Train Out Fund

17.1 (1) There is established a fund which shall be known as the Train Out Fund.

(2) The Train Out Fund shall be credited with those funds as prescribed by the regulations.

(3) A private training institute shall contribute to the Train Out Fund those funds derived from a percentage of the student tuition in the manner and at a rate prescribed by the regulations.

(4) The Train Out Fund may be used for those purposes prescribed by the regulations.

6. Section 19 of the Act is repealed and the following substituted:

Regulations

19. (1) The Lieutenant-Governor in Council may make regulations

(a) prescribing vocations to which this Act and regulations apply;

(b) exempting a vocation or class of private training institutions from this Act or the regulations;

(c) governing applications for registration or renewal of registration and prescribing terms and conditions of registration, including the manner in which and the procedures by which appeals with respect to registration or renewal of registration may be made;

(d) requiring the payment of fees on application for registration or renewal of registration;

(e) requiring registered private training institutions to be bonded in the form and terms and with the collateral security that is prescribed and providing for the forfeiture of bonds and the disposition of the proceeds;

(f) requiring and governing the books, accounts and records relating to compliance with this Act that shall be kept by private training institutions;

(g) requiring private training institutions to make returns and provide information to the superintendent;

(h) stipulating that information required to be provided or contained in a form or return shall be verified by affidavit;

(i) prescribing the accommodation and equipment required by private training institutions and the means of instruction to be used;

(j) requiring the approval of the superintendent for courses of study, requirements for admission, qualifications of teachers and demonstrators’ methods of instruction and premises and equipment used in connection with a private training institution;

(k) prescribing the minimum number of hours of instruction in a vocation that shall constitute a course of instruction in that vocation;

(l) prescribing the maximum fees that shall be paid or received for a course of instruction in a vocation;

(m) prescribing the terms and conditions upon which money paid for or on account of instruction in a private training institution shall be either retained by the payee or be repayable to the payor;

(n) prohibiting the use of advertising relating to a private training institution that may tend to mislead and requiring the discontinuing of a specified advertisement or means of advertisement by the owner of a private training institution;

(o) regulating the selling or offering for sale of a course of instruction offered by a private training institution;

(p) prescribing the amount that may be charged for the material used by or the services supplied to a student of a private training institution;

(q) providing that a certificate or other document as to the competency of a student shall not be issued by a private training institution unless the student has submitted to the examination that may be prescribed by the regulations;

(r) prescribing the nature of examinations for certificates of competency, the manner, times and places of holding the examinations and the persons who shall sit as examiners;

(s) prescribing the grounds upon which a certificate of registration may be refused renewal, suspended or revoked under section 8;

(t) prescribing any provisions which may be required to be included in a contract between a student and a private training institution;

(u) notwithstanding the Student Assistance Act or regulations, prescribing the terms and conditions which a private training institution shall meet or fulfill to be designated as an institution which offers student assistance;

(v) prescribing the membership of the board of directors of the corporation;

(w) prescribing the funds which shall be credited to the Train Out Fund and the purposes for which those funds may be used;

(x) prescribing the rate of student tuition for the contribution required to be paid by private institutions under subsection 17.1(3) and the manner in which those contributions shall be paid;

(y) prescribing the manner in which any loans made by the minister to the Train Out Fund may be made and the manner in which those loans may be repaid;

(z) prescribing the manner in which the funds administered by the corporation from the Train Out Fund may be invested;

(aa) with respect to the administration of the Train Out Fund generally; and

(bb) governing the conduct, operation and management of private training institutions.

(2) Regulations made under subsection (1) may be made with retroactive effect.

Commencement

7. This Act shall come into force on January 1, 1999.

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