Gaurav Tyagi, Founder, Career Xpert

The guidelines are put forwarded by the Nation Medical Courses in order to reform the norms for the fixation of fees of MS, MD, and MBBS courses on 25th May, 2021. This draft was put forward in the public domain in order to seek feedback from various people and stakeholders. This is also in public domain for comments and suggestions.

This announcement was made by NMC NMC Secretary, Dr. RK Vats which clearly states that an apex medical regulator is required to frame guidelines for fees determination under Section 10(1) (i) of the NMC Act.

The guidelines clearly mention and deny capitation fees saying that the principle of education which is not-for-profit”, is strictly adhered to. One of the other features of fee fixation guidelines is for the newly established colleges, the fee can be determined on an ad-hoc basis, based on the fee structure of the most recently established medical colleges in the State, whose audited balance sheets are available. Also, in the guidelines, it mentions that during the pandemic situation the fee can be fixed for a block of three years or on a year-to-year basis and once decided should remain the same for a student for the entire duration of their study in the college. It also specified that in computing the cost for providing medical education, Hospital expenses are not to be included.

The guidelines also tell out:

  • The accounting of depreciation and interest cost of loan taken by the medical colleges.
  • Salaries of the teaching staff and other non-teaching staff should be taken into account for the purpose of determination of fees for medical education.
  • The operating cost should primarily form the basis for the determination of fees for medical education.
  • The total sanctioned strength of the number of students is to be taken into account for the purpose of determination of cost per student, separately for MBBS and PG courses.
  • With regards to hostel rent, it should be left for the State Fee Regulatory Authority to decide whether the hostel rent should not exceed the municipal rental value or fair rental value in that area.
  • Development fee at the rate of 6% to 15% of the operating cost can be added for meeting the development expenditure for growth and expansion of the medical college. Such surplus should not be allowed to be used for any other purpose and a separate account for the purpose may be maintained.
  • Hostel, mess, transport, library, and examination fees, etc., could be arrived at broadly based on the actual expenses incurred for providing these services and the number of students availing these facilities. Expenses that are common and not directly identifiable should be apportioned on an equitable basis to different activities for arriving at the cost of providing different facilities.
  • In States where more than 50% of seats in the private medical colleges are already being regulated (i.e. under the relevant State Act by way of government quota and other quotas with concessional fees), such a higher percentage of government quota seats should be maintained.
  • The same set of guidelines applicable to the private medical Colleges under the purview of the State Fee Regulatory Authorities should be applicable to the deemed to be Universities also and an enabling amendment to the relevant State Fee Regulation Act, as deemed necessary, should be considered.

Another feature that draft talks about isthe security deposit incurred by the medical colleges noting that the amount of the deposit money should not be exorbitant. It further adds that FRA could also fix ceiling rates for all such deposits by a college.

Broad draft guidelines for the determination of fees for MBBS and Post Graduate (PG) Courses and other charges in respect of private medical colleges and deemed to be Universities were recommended by the EG.

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