Govt plans to amend fee regulation act to spike exorbitant hikes, fudging, by schools

Maharashtra plans to amend its fee regulation law, easing complaint processes and introducing area-wise fee structures to address rising school fees.

MUMBAI: With complaints pouring in about the exorbitant fee hikes by private schools, the state government has decided to amend the Maharashtra Education Institutions (Regulation of Fee) Act, 2011. It is expected to do away with the provision that necessitates complaints by a minimum of 25% of parents for action to be taken, and will also introduce an area-wise fee structure based on the operating cost of the schools. The amendments are expected to be on the lines of a fee regulation act existing in neighbouring Gujarat.

Govt plans to amend fee regulation act to spike exorbitant hikes, fudging, by schools

Maharashtra’s existing fee regulation act has a provision for a fee hike of up to 15% every two years which is in accordance with the infrastructure upgrade by school managements. Individual complaints about fee hikes have been reaching the government but they do not make it to the divisional fee regulatory committee under retired district-level judges.

“Since bringing 25% of parents together to sign a petition is a difficult task, the complaints do not reach the committees,” said an official from the school education department. “Besides, parents are wary of raising a voice against school managements for fear of the negative repercussions on the prospects of their children.” The government is now considering doing away with the condition to enable even individual parents to register complaints against fee hikes.

The school education department, which has constituted a committee of education and legal experts, has studied the provisions of the Gujarat Self-Financed Schools (Regulation of Fees) Act, 2017. “The Gujarat Act has fee slabs varying from area to area depending on the operation cost, demand-supply and cost of living,” said the official. “It also has a robust mechanism for grievance redressal at the local level. The committee has recommended the adoption of the provisions in Gujarat, which will suit Maharashtra on account of the glaring per capita income gap between rural and urban areas.”

The officer said that the amended law would have a robust system of assessment of the cost of infrastructure cited by school managements while fixing or raising fees. “A fee hike will be allowed only after it has been vetted through this mechanism,” he said. “Currently, school managements propose the fee and the hikes by inflating the cost of the infrastructure upgradation and the facilities given to the students.” The officer said that though hike proposals were approved by the executive Parent-Teacher Associations, most of the times the representatives of these associations were the ones favouring school managements.

School education minister Dadaji Bhuse, when asked, confirmed that amendments to the act were planned. He added that the department would take strict action on complaints by parents regarding fee hikes.

The existing law is also applicable to government schools, apart from aided, partially aided, non-aided and self-financed schools, although the alleged violations are by the self-financed schools. There are more than 16,000 self-financed schools, largely in cities like Mumbai as well as the Mumbai Metropolitan Region, whose numbers are rising every year. The Gujarat law regulates only self-financed schools but the Maharashtra government is likely to continue with its provision of covering all schools, including government schools.

According to officials, government schools will also be allowed to hike their fees in proportion to the facilities given and upgradation of infrastructure. The amended law will also cover coaching classes, which are proposed to be regulated by a law expected to be enacted in the forthcoming monsoon session.

A senior minister from the Mahayuti government alleged that the provisions of the law enacted in 2011 by the Congress-led government were never parent-friendly in order to safeguard the interest of education barons who were part of the government.

Welcoming the government’s proposal, Advocate Anubha Sahay, president of the India Wide Parents Association, said that parents had been demanding this for a long time. “We fully support these amendments,” she said.

Sahay also stressed the need for greater financial transparency in schools. “The government must make it mandatory for schools to submit their audit reports every year,” she added. Speaking about issues with the earlier District Fee Regulation Committee (DFRC), she said that many judges had refused to participate due to inadequate facilities and lack of compensation. “The government needs to seriously address these concerns,” she said.

Citing legal precedent, Sahay pointed out that Gujarat’s education regulation act had received approval from both the Gujarat high court and the Supreme Court. “If our government follows that model, it will be a step in the right direction,” she said.

Meanwhile, a representative of a city-based school management association said, “We have not yet received any official draft, so we cannot comment formally. We are already submitting our audit reports to the Charity Commissioner every year, and we are open to sharing them with the education department too.”

However, the representative cautioned against provisions that could allow the misuse of regulations. “If the government allows complaints based on a single person’s grievance, there must be a clear definition of what constitutes a ‘single person’ in this context,” they said. “Without such clarity, schools could face trouble from individuals trying to exploit the system.”

(With inputs by Niraj Pandit)