Identifying persons with management or control of a service from 1 July 2023

Person with management control

Identifying persons with management or control of a service from 1 July 2023

08 May 2023

The expanded definition of a person with management or control (PMC), approved by education ministers nationally following the 2019 NQF Review, improves oversight of approved providers by regulatory authorities and more closely aligns the Education and Care Services National Law with the Family Assistance Law on matters relating to 'fitness and propriety' of service providers.

Persons with management or control 

Persons with management or control of a service, or PMCs, are the persons within or outside the approved provider who are responsible for managing delivery of the provider’s service(s) or who have significant influence over the activities or delivery of the service.

Each PMC must be and remain a fit and proper person to be involved with children’s education and care.

A PMC has:

  • significant influence over the planning, direction or control of activities or delivery of a service
  • the same legal responsibility for the safety, health and wellbeing of children at their services as an approved provider.

Who falls within the updated definition of a PMC?

Within large providers, roles such as state or territory manager may fall within the category of a person with management or control of a service. 

Operational management roles or nominated supervisor roles will only meet the PMC definition if they also participate in executive or financial decision making or have authority or responsibility for, or significant influence over, the planning, direction or control of the activities or the delivery of the education and care service. For example, if they are a partner in a partnership or an executive committee member of the approved provider entity.

Approved providers should assess whether persons notified to the Australian Government as PMC for Child Care Subsidy (CCS) under the Commonwealth Family Assistance Law meet the expanded National Law definition, and notify the Education Standards Board (Board) where these individuals are PMCs under the National Law SA. 

Approved provider notification requirements at 1 July 2023

Approved providers must ensure that their PMC information is kept current and accurate. Services must notify any changes resulting from the updated definition as soon as possible after 1 July 2023. Notification is not required for persons who were already notified before 1 July 2023. 

Services have 14 days from the appointment or removal of a person with management control (or 14 days from becoming aware of it) to notify the Board.

If an existing PMC is no longer fit and proper for any reason, the Board must be notified within seven days.

How to notify changes about a person with management or control

A notification must be submitted using the PA08 Notification of change to information about approved provider form through NQAITS, whenever someone who meets the definition of PMC joins or leaves the provider.

Each person with management control must submit the relevant supporting documentation outlined in the PA02 Declaration of fitness and proprietary form.

The Education Standards Board will assess a person’s fitness and propriety, including their knowledge of the National Quality Framework, using a risk-based approach. In addition to the documentation submitted, relevant information may be obtained by interview, written assessment, or both.

New definition of person with management or control: summary

Persons with management or control

Before 1 July 2023

After 1 July 2023

If the provider is an eligible association, each member of the executive committee who has responsibility for managing the delivery of the service

 Yes

 Yes

If the provider is a body corporate, an officer of the body corporate within the meaning of the Corporations Act 2001

 Yes

 Yes

If the provider is a partnership, each partner who has responsibility for the day-to-day management of delivery of the service

 Yes

 Yes

In any other case, a person who has the responsibility, alone or with others, for managing delivery of the service (National Law)

 Yes

 Yes

A person outside the provider entity, for example, a person employed by a third party management company or a volunteer with significant influence over the planning, direction or control of the activities or delivery of the service

 No

 Yes

A person without a formal or contractual role who, by their actions, has significant influence over the planning, direction or control of the activities or delivery of the service

 No

 Yes

A nominated supervisor, person in day-to-day charge of a service or a person who holds other operational roles who does not participate in executive or financial decision-making or have authority or responsibility for, or significant influence over, the planning, direction or control of activities or delivery of the service

 No

 No

This table is a guide to support voluntary compliance with the National Law and Regulations. Regulated parties are responsible to understand and comply with their obligations under the law. 

Resources

Identifying persons with management or control of a service from 1 July 2023 – existing providers

Identifying persons with management or control of a service from 1 July 2023 – prospective providers

section 173 National Law and r 174 National Regulations

Guide to the NQF: Section 1.1 Application for provider approval

Your responsibilities as a person with management or control (NSW Department of Education)