I refer Senator Lohden to my previous comments regarding retaking the Course in the event of failure. Exams wouldn't just be on paper, obviously they'd test a variety of skills as are tested in the Imperial Military Commissioning Exams... These include written and practical elements.
Planetary Militaries are already Auxilliaries to the Imperial Military as of the passing of the Capital Ships Act. This act simply assures they are equipped with suitable training to allow efficient cooperation with the Regular Military.
I see no reason to compromise on this legislation and so allow standards to slip.