Supplementary estimates of appropriations

Vote Education - Supplementary Estimates 2016/17

APPROPRIATION MINISTER(S): Minister of Education (M26)

APPROPRIATION ADMINISTRATOR: Ministry of Education

RESPONSIBLE MINISTER FOR MINISTRY OF EDUCATION: Minister of Education

Details of Appropriations and Capital Injections#

Annual and Permanent Appropriations#

  2016/17
Titles and Scopes of Appropriations by Appropriation Type Estimates
Budget
$000
Supplementary
Estimates
Budget
$000
Total
Budget
$000

Departmental Output Expenses

     

Place-Based Initiative - Te Tai Tokerau, Northland (M26)

This appropriation is limited to the delivery of services to help achieve the outcomes of the Te Tai Tokerau, Northland Place-Based Initiative and the operational support of that initiative.
- 1,687 1,687

Policy Advice (M26)

This appropriation is limited to the provision of advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on education-related matters.
16,442 - 16,442

School Property Portfolio Management (M26)

Expenditure on goods and services focused on providing the land, buildings and other facilities that make up the property portfolio of the State school sector. This includes purchasing and constructing new property, upgrading existing property to maintain the quality of the portfolio, disposing of surplus property, and managing teacher and caretaker housing.
1,653,462 10,605 1,664,067

Services to Other Agencies RDA (M26)

This appropriation is limited to the provision of services by the Ministry of Education to government departments and other agencies where those services are not within the scope of another department output expense appropriation in Vote Education.
845 2,407 3,252

Stewardship of the Education System (M26)

This appropriation is limited to services (other than policy advice) provided by the Ministry of Education in its role as steward of the education system (other than tertiary education). It includes services to support Ministers in discharging their portfolio responsibilities (other than policy decision-making).
33,414 3,883 37,297

Support and Resources for Education Providers (M26)

This appropriation is limited to expenditure on policies, regulations and services focused on the governance, management and operation of education providers.
94,450 1,962 96,412

Support and Resources for Parents and the Community (M26)

This appropriation is limited to expenditure on policies and programmes focused on parents' and the community's knowledge of and participation in the education system.
11,740 1,067 12,807

Total Departmental Output Expenses

1,810,353 21,611 1,831,964

Departmental Capital Expenditure

     

Ministry of Education - Capital Expenditure PLA (M26)

This appropriation is limited to the purchase or development of assets by and for the use of the Ministry of Education, as authorised by section 24(1) of the Public Finance Act 1989.
859,933 134,880 994,813

Total Departmental Capital Expenditure

859,933 134,880 994,813

Non-Departmental Output Expenses

     

Contribution to the Education Council of Aotearoa New Zealand (M26)

This appropriation is limited to a contribution towards the Education Council of Aotearoa New Zealand carrying out its leadership and other statutory functions for the teaching profession and education.
2,370 11,216 13,586

Education Research Initiatives (M26)

Purchase of research about teaching and learning in our educational institutions and independent research on education issues, policies and practices.
3,008 - 3,008

Provision of Information and Advisory Services (M26)

This appropriation is limited to the provision of information and advisory services related to education policies and programmes that are the responsibility of Careers New Zealand or the New Zealand Qualifications Authority, support by those two agencies to Ministers to discharge their portfolio responsibilities (other than policy decision-making), and services and support provided by other education sector bodies to raise student achievement and improve governance and capacity of providers.
24,544 (209) 24,335

Qualifications Support Structures (M26)

This appropriation is limited to the NewZealand Qualifications Authority overseeing the setting of standards and New Zealand qualifications. It also includes standard-setting and qualifications development responsibility, recognition and review of qualifications, records management processes to support the New Zealand Qualifications Framework, and participation in the promotion of the NewZealand qualifications system to key education and immigration partner countries.
6,049 - 6,049

Quality Assurance (M26)

This appropriation is limited to the provision by the New Zealand Qualifications Authority of quality assurance services to support the New Zealand qualifications system that include ongoing development and management of quality assurance processes, monitoring and managing providers at risk and the ongoing refinement and maintenance of the quality assurance framework.
4,774 430 5,204

School Managed Network Funding (M26)

This appropriation is limited to supporting schools' purchase of a core package of managed network services from the provider of the managed network service.
31,150 - 31,150

School Transport (M26)

Purchase of services to transport eligible students to and from State and integrated schools. Also included are payments to schools that manage their own transport services and payments to parents/caregivers to compensate for the costs of taking children to school where other transport services are unsuitable or unavailable.
189,895 (3,000) 186,895

Secondary School Assessments (M26)

This appropriation is limited to the NewZealand Qualifications Authority overseeing assessment for national secondary school qualifications, including the National Certificate of Educational Achievement and Scholarship examinations, and the moderation of internal and external school assessments.
26,810 - 26,810

Secondary-Tertiary Interface (M26)

This appropriation is limited to delivery of programmes of learning at the secondary-tertiary interface, including programmes offered in partnership by schools and tertiary education organisations.
74,512 - 74,512

Supporting Parenting (M26)

This appropriation is limited to purchasing delivery of specific programmes and providing advice and support that enhances the role of parents/caregivers in the development of their children and promotes the value of quality education experiences.
9,329 - 9,329

Total Non-Departmental Output Expenses

372,441 8,437 380,878

Benefits or Related Expenses

     

Boarding Allowances (M26)

This appropriation is limited to an annual allowance to subsidise boarding fees, travel costs and additional tutoring, counselling and related costs for students who face significant challenges accessing appropriate education that will assist them to achieve NCEA level 2 or equivalent.
11,319 - 11,319

Home Schooling Allowances (M26)

Provides an allowance payable to parents/caregivers of children in full-time correspondence programmes for primary and secondary education and to parents/caregivers of children receiving their primary and secondary education at home (where a certificate of exemption from enrolment has been approved under section 21 of the Education Act 1989).
5,128 - 5,128

National Study Awards (M26)

Provision for the costs of study awards, sabbaticals and fellowships for teachers, including replacement of the teacher while on study leave. Awards include those linked to teachers' collective agreements and approved prestigious awards.
18,634 363 18,997

Puawaitanga Scholarships (M26)

This appropriation is limited to providing an annual scholarship for high-potential priority secondary students, who demonstrate leadership potential, to attend one of the selected Maori boarding schools.
1,152 - 1,152

Scholarships for Students to Attend Private Schools (M26)

Assistance to students from low-income families to attend private secondary schools.
4,126 - 4,126

Teacher Trainee Scholarships (M26)

Scholarships and allowances for students undertaking teacher training education, and loan support payments to teachers.
1,442 - 1,442

United World Scholarships (M26)

Scholarships for attendance at United World Colleges.
50 - 50

Total Benefits or Related Expenses

41,851 363 42,214

Non-Departmental Other Expenses

     

Early Childhood Education (M26)

Subsidising early childhood education services for children under six years of age from licensed and chartered early childhood education services (including centres and chartered home-based care networks) and from licence-exempt and certificated centres. Also included are several targeted funds.
1,791,387 22,870 1,814,257

Integrated Schools Property (M26)

Provision for modernisation of existing property at integrated schools as part of a funding regime negotiated with the proprietors of integrated schools. Funding to assist in the expansion of the network is also included.
68,243 (350) 67,893

Interest Subsidy for Schools (M26)

Provides a subsidy on interest payments for borrowing by private and State integrated schools for approved property-related projects. Administration costs are also included.
120 - 120

Primary Education (M26)

Delivering the curriculum for Years 0 to 8 (new entrant to Form 2) to pupils of State, integrated, private schools and The Correspondence School. Provides roll-based operations funding to schools, teacher and management salaries, support costs and supplementary funding programmes.
3,022,716 22,973 3,045,689

Remission of Fees (M26)

Payment to the New Zealand Qualifications Authority for student examination fees remitted in cases of hardship.
1,288 - 1,288

Schooling Improvement (M26)

School support and schooling improvement projects to improve the capability of schools and school clusters and their responsiveness to the needs of their communities. These include iwi-strengthening education projects.
5,253 - 5,253

Secondary Education (M26)

Delivering the curriculum for Years 9 to 13 (Forms 3 to 7) to pupils of State, integrated, private schools and The Correspondence School. Provides roll-based operations funding to schools, teacher and management salaries, support costs and supplementary funding programmes.
2,126,781 36,788 2,163,569

Support for Early Childhood Education Providers (M26)

This appropriation is limited to assisting early childhood education services and other bodies corporate in the provision of child places for early childhood education. Priority will be given to providers in communities that have low levels of participation in early childhood education, to increase the number of child places and therefore availability of early childhood education. The criteria and selection process for each type of assistance are published by the Ministry of Education.
11,226 - 11,226

UNESCO (M26)

Annual membership contribution to United Nations Educational, Scientific and Cultural Organisation's international administration, and a programme of activities of the National Commission, including participation in regional and international activities.
2,083 - 2,083

Total Non-Departmental Other Expenses

7,029,097 82,281 7,111,378

Non-Departmental Capital Expenditure

     

School Support Project (M26)

Capital costs of implementing approved school support and schooling improvement projects (other than costs related to school property assets).
832 - 832

Schools Furniture and Equipment (M26)

Provides funds to schools for new furniture and equipment when capital works (including remodelling/upgrading of existing property and new school property) are approved.
36,728 4,821 41,549

Total Non-Departmental Capital Expenditure

37,560 4,821 42,381

Multi-Category Expenses and Capital Expenditure

     

Improved Quality Teaching and Learning MCA (M26)

The overarching purpose of this appropriation is to improve the quality of teaching and learning for children and young people aged 0-18 years.
218,227 6,101 224,328
Departmental Output Expenses
     
Support and Resources for Teachers
This category is limited to expenditure on policies and services focused on supporting the work and enhancing the capability of teachers.
67,265 5,498 72,763
Non-Departmental Output Expenses
     
Curriculum Support
This category is limited to the purchase of supplementary educational programmes for schools and communities to ensure wider access to these opportunities
56,833 331 57,164
Professional Development and Support
This category is limited to the delivery of professional development and advisory support to early childhood education services and schools to support effective teaching and enhance self-management.
94,129 272 94,401

Outcomes for Target Student Groups MCA (M26)

The overarching purpose of this appropriation is to improve outcomes for targeted student groups.
671,136 12,667 683,803
Departmental Output Expenses
     
Interventions for Target Student Groups
This category is limited to expenditure on policies and services focused on targeted student groups or individuals' participation in education.
258,138 (765) 257,373
Non-Departmental Output Expenses
     
Service Academies
This category is limited to providing military-focused programmes for disengaged or disengaging senior students in secondary schools.
3,640 - 3,640
Students Attendance and Engagement
This category is limited to providing services to support increased attendance for non-attending students.
9,551 - 9,551
Non-Departmental Other Expenses
     
Special Needs Support
This category is limited to providing additional resources to enable students with special education needs to participate in education.
399,807 13,432 413,239

Total Multi-Category Expenses and Capital Expenditure

889,363 18,768 908,131

Total Annual and Permanent Appropriations

11,040,598 271,161 11,311,759

Multi-Year Appropriations#

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Non-Departmental Output Expenses

   

Teacher-Led Innovation fund (M26)

This appropriation is limited to supporting teacher-led innovation and classroom-based research of innovative teaching practices.

Commences: 01 July 2015

Expires: 30 June 2020
Original Appropriation 10,000
Adjustments to 2015/16 8,000
Adjustments for 2016/17 (85)
Adjusted Appropriation 17,915
Actual to 2015/16 Year End 1,915
Estimated Actual for 2016/17 2,890
Estimated Actual for 2017/18 4,000
Estimated Appropriation Remaining 9,110

Total Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts#

  2016/17
  Estimates
Budget
$000
Supplementary
Estimates
Budget
$000
Total
Budget
$000
Total Annual and Permanent Appropriations 11,040,598 271,161 11,311,759
Total MYA Non-Departmental Output Expenses Forecasts 4,000 (1,110) 2,890

Total Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts

11,044,598 270,051 11,314,649

Capital Injection Authorisations#

  2016/17
  Estimates Budget
$000
Supplementary
Estimates Budget
$000
Total Budget
$000
Ministry of Education - Capital Injection (M26) 475,848 (23,412) 452,436

Supporting Information#

Part 1 - Vote as a Whole#

1.2 - Trends in the Vote

Summary of Financial Activity

  2016/17
    Supplementary Estimates  
  Estimates
$000
Departmental
Transactions
$000
Non-Departmental
Transactions
$000
Total
Transactions
$000
Total
$000

Appropriations

         
Output Expenses 2,186,794 21,611 7,327 28,938 2,215,732
Benefits or Related Expenses 41,851 N/A 363 363 42,214
Borrowing Expenses - - - - -
Other Expenses 7,029,097 - 82,281 82,281 7,111,378
Capital Expenditure 897,493 134,880 4,821 139,701 1,037,194
Intelligence and Security Department Expenses and Capital Expenditure - - N/A - -
Multi-Category Expenses and Capital Expenditure (MCA)          
Output Expenses 489,556 4,733 603 5,336 494,892
Other Expenses 399,807 - 13,432 13,432 413,239
Capital Expenditure - N/A - - -

Total Appropriations

11,044,598 161,224 108,827 270,051 11,314,649

Crown Revenue and Capital Receipts

         
Tax Revenue - N/A - - -
Non-Tax Revenue 7,885 N/A 430 430 8,315
Capital Receipts - N/A - - -

Total Crown Revenue and Capital Receipts

7,885 N/A 430 430 8,315

Part 2 - Details of Departmental Appropriations#

2.1 - Departmental Output Expenses#

Place-Based Initiative - Te Tai Tokerau, Northland (M26)

Scope of Appropriation

This appropriation is limited to the delivery of services to help achieve the outcomes of the Te Tai Tokerau, Northland Place-Based Initiative and the operational support of that initiative.

Expenses and Revenue

  2016/17
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation - 1,687 1,687
Revenue from the Crown - 1,687 1,687
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve better long-term outcomes for children and young people and their whanau/families through a social investment approach co-designed with three high-needs communities in Northland.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17
Performance Measures Estimates
Standard
Supplementary
Estimates
Standard
Total
Standard

570 children and their whanau and families in Otangarei, Kaikohe and Kaitaia/Te Hiku have an integrated service plan.

New measure Achieved Achieved

Research and analytical capability is being used to identify at-risk children, young people, whanau and communities together with service coverage and gaps.

New measure Achieved Achieved

Information sharing framework established.

New measure Achieved Achieved

Number of assessments and plans that demonstrate joined up service offerings without duplication.

New measure 570 570

Co-designed Community Action Plans for Otangarei, Kaikohe and Kaitaia/Te Hiku in place.

New measure Achieved Achieved

Duplication and fragmentation of services is reduced.

New measure Achieved Achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Education in its annual report.

Reasons for Change in Appropriation

This new appropriation of $1.687 million was created during 2016/17.

Policy Advice (M26)#

Scope of Appropriation#

This appropriation is limited to the provision of advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on education-related matters.

How Performance will be Assessed and End of Year Reporting Requirements#

  2016/17
Performance Measures Estimates
Standard
Supplementary
Estimates
Standard
Total
Standard

The total cost per hour per person of producing policy outputs (see Note 1).

$120 - $135 At most $155 At most $155

Note 1 - (Note 3 in 2016/17 Estimates) - This measure provides the total cost of an hour of professional staff time devoted to both policy advice and other policy outputs. Total cost includes the cost of labour, overheads, support staff, direct costs and outsourced work to support production.

School Property Portfolio Management (M26)#

Scope of Appropriation#

Expenditure on goods and services focused on providing the land, buildings and other facilities that make up the property portfolio of the State school sector. This includes purchasing and constructing new property, upgrading existing property to maintain the quality of the portfolio, disposing of surplus property, and managing teacher and caretaker housing.

Expenses and Revenue#

  2016/17
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 1,653,462 10,605 1,664,067
Revenue from the Crown 1,650,276 (5,251) 1,645,025
Revenue from Others 3,186 23,539 26,725

Reasons for Change in Appropriation#

This appropriation increased by $10.605 million to $1,664.067 million for 2016/17 due to a combination of:

  • increased capital charge ($152.640 million increase) and depreciation ($45 million increase) related to the revaluation of the school property portfolio at 30 June 2016
  • provision for additional costs associated with weather-tightness issues in schools ($9.056 million increase), offset by funding from successful legal claims
  • increased provision for rationalising under-utilised assets ($5 million increase) and demolition and disposal of surplus assets ($1.800 million increase)
  • increased provision for schools to enter into rental arrangements where building construction solutions are not available or are uneconomic ($2.104 million increase) under the Cash for Buildings funding programme
  • review and analysis of organisational options for delivering strategy for and managing the Ministry's education infrastructure services ($2 million increase)
  • transfers from 2015/16 for continuation of a value for money programme ($1.357 million increase) and the finance transformation programme ($500,000 increase)
  • adjustment between capital and operating costs for the Hobsonville Point Public Private Partnership, to be consistent with subsequent Public Private Partnerships ($1.006 million increase)
  • decrease in the capital charge rate from 8% to 7% for the period 1 July 2016 to 31 December 2016 and from 7% to 6% for the period 1 January 2017 to 30 June 2017 ($209.724 million decrease), and
  • decrease in capital charge arising from the transfer of insurance proceeds relating to school furniture and equipment ($134,000 decrease).

Services to Other Agencies RDA (M26)#

Scope of Appropriation#

This appropriation is limited to the provision of services by the Ministry of Education to government departments and other agencies where those services are not within the scope of another department output expense appropriation in Vote Education.

Reasons for Change in Appropriation#

This appropriation increased by $2.407 million to $3.252 million due to the provision of additional support services to government departments and other government or education agencies on a cost recovery basis.

Stewardship of the Education System (M26)#

Scope of Appropriation#

This appropriation is limited to services (other than policy advice) provided by the Ministry of Education in its role as steward of the education system (other than tertiary education). It includes services to support Ministers in discharging their portfolio responsibilities (other than policy decision-making).

Expenses and Revenue#

  2016/17
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 33,414 3,883 37,297
Revenue from the Crown 33,404 3,883 37,287
Revenue from Others 10 - 10

Reasons for Change in Appropriation#

This appropriation increased by $3.883 million to $37.297 million due to:

  • development of a system-wide information management programme ($2.606 million increase), and
  • transfers from 2015/16 for continuation of finance transformation programme ($1 million increase) and value for money programme ($277,000 increase).

Support and Resources for Education Providers (M26)#

Scope of Appropriation#

This appropriation is limited to expenditure on policies, regulations and services focused on the governance, management and operation of education providers.

Expenses and Revenue#

  2016/17
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 94,450 1,962 96,412
Revenue from the Crown 93,310 1,962 95,272
Revenue from Others 1,140 - 1,140

Reasons for Change in Appropriation#

This appropriation increased by $1.962 million to $96.412 million due to a combination of:

  • transfer from non-departmental other expense Primary Education for the cost of the initial investigation into non-compliance with the Holidays Act 2003 ($2 million increase)
  • transfer from non-departmental output expense School Transport to meet additional analysis and maintenance costs in reviewing school bus routes and implementation of a new management system ($1 million increase)
  • transfer from 2015/16 for continuation of a value for money programme ($62,000 increase), and
  • transfer to 2017/18 after delays with the development and implementation of a new Education Resourcing System following an extended scoping and procurement phase ($1.100 million decrease).

Support and Resources for Parents and the Community (M26)#

Scope of Appropriation#

This appropriation is limited to expenditure on policies and programmes focused on parents' and the community's knowledge of and participation in the education system.

Expenses and Revenue#

  2016/17
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 11,740 1,067 12,807
Revenue from the Crown 11,730 1,067 12,797
Revenue from Others 10 - 10

Reasons for Change in Appropriation#

This appropriation increased by $1.067 million to $12.807 million due to a combination of transfers from 2015/16 for continuation of the Pasifika PowerUp Plus programme ($600,000 increase), and value for money programme ($467,000 increase).

2.3 - Departmental Capital Expenditure and Capital Injections#

Ministry of Education - Capital Expenditure PLA (M26)#

Scope of Appropriation

This appropriation is limited to the purchase or development of assets by and for the use of the Ministry of Education, as authorised by section 24(1) of the Public Finance Act 1989.

Capital Expenditure

  2016/17
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Forests/Agricultural - - -
Land 15,000 28,120 43,120
Property, Plant and Equipment 823,816 92,138 915,954
Intangibles 21,117 14,622 35,739
Other - - -

Total Appropriation

859,933 134,880 994,813

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17
Performance Measures Estimates
Standard
Supplementary
Estimates
Standard
Total
Standard

Percentage of State schools with a property condition of 'Fair' or better, as an indicator of the condition of the school property portfolio (see Note 1).

80% Discontinued measure -

Percentage of State school buildings with a property condition of '3' or better, as an indicator of the condition of the school property portfolio (see Note 2).

Replacement measure 85% 85%

Note 1 - School property condition is rated on a scale of 'Very Poor', 'Poor', 'Fair', 'Good' and 'Very Good' based on the expected 10-year cost of maintenance relative to estimated replacement value.

Note 2 - The condition of school buildings is rated on a scale of 1 to 5 (1 being the highest condition rating). The scale is based on a ratio of the expected 10-year cost of maintenance relative to estimated replacement value, defined as follows: 1 is a ratio of less than 5%; 2 is 5-10%; 3 is 10-20%; 4 is 20-30%; and 5 is over 30%. This measure represents over 95% of total replacement value and about 70% of the number of buildings in the entire State school portfolio, excluding about 10,000 minor buildings such as sheds and covered walkways.

Reasons for Change in Appropriation

This appropriation increased by $134.880 million to $994.813 million due to a combination of:

  • rephasing of expenditure profiles across all major programmes (Public Private Partnership development, new schools, roll growth, Christchurch Schools Rebuild and school redevelopments) to reflect updated construction timings and payment schedules, offset by the impact of Ministry operational constraints and construction market conditions ($83.740 million increase)
  • escalating land costs and a move to earlier land acquisition to improve preparation and planning for new school construction, especially to support the Auckland Education Growth Plan ($28.120 million increase), and
  • enhanced Information Communication Technology (ICT) following additional investment under an Education System Digital Strategy for the sector to improve a fragmented system environment and applications, and fitting out of new Christchurch office accommodation partly offset by lower investment in the vehicle fleet as the Ministry moves to leasing ($23.020 million increase).

Capital Injections and Movements in Departmental Net Assets

Ministry of Education

Details of Net Asset Schedule 2016/17
Main Estimates Projections
$000
2016/17
Supplementary Estimates Projections
$000
Explanation of Projected Movements in 2016/17
Opening Balance 12,708,940 14,833,902 Supplementary Estimates opening balance reflects the audited results as at 30 June 2016.
Capital Injections 475,848 452,436 The decrease in injections is due to delays in the construction of new schools ($31.403 million), rephasing of the Christchurch Rebuild Programme ($21 million), delays with the Education Resourcing System programme ($6.100 million), partly offset by a transfer from 2015/16 for roll-growth classrooms ($30.321 million), development of an Education Workforce Shared Platform ($2.450 million), and contributions towards the fit out of the King Edward Barracks accommodation ($2.320 million).
Capital Withdrawals (96,543) (103,474) The increase in withdrawal is due to return of funds intended for the acquisition of schools furniture and equipment ($3.821 million), the Cash for Buildings funding programme ($2.104 million), and adjustment between capital and operating costs for the Hobsonville Point Public Private Partnership, to be consistent with subsequent Public Private Partnerships ($1.006 million).
Surplus to be Retained (Deficit Incurred) - 7,683 The surplus is for retention of third party contributions to the development of particular school building assets.
Other Movements - -  

Closing Balance

13,088,245 15,190,547  

Part 3 - Details of Non-Departmental Appropriations#

3.1 - Non-Departmental Output Expenses#

Contribution to the Education Council of Aotearoa New Zealand (M26)

Scope of Appropriation

This appropriation is limited to a contribution towards the Education Council of Aotearoa New Zealand carrying out its leadership and other statutory functions for the teaching profession and education.

Reasons for Change in Appropriation

This appropriation increased by $11.216 million to $13.586 million for 2016/17 due to a combination of:

  • provision for Education Council practicing certificate fees as part of the settlement of various Teachers', and Principals' Collective Agreements ($5.574 million increase)
  • additional financial support to the Education Council to deliver its new functions under the Education Amendment Act 2015 ($4.934 million increase), and
  • for implementation of secure online core business functions ($708,000 increase).

Provision of Information and Advisory Services (M26)#

Scope of Appropriation#

This appropriation is limited to the provision of information and advisory services related to education policies and programmes that are the responsibility of Careers New Zealand or the New Zealand Qualifications Authority, support by those two agencies to Ministers to discharge their portfolio responsibilities (other than policy decision-making), and services and support provided by other education sector bodies to raise student achievement and improve governance and capacity of providers.

Reasons for Change in Appropriation#

This appropriation decreased by $209,000 to $24.335 million due to a decrease in the capital charge rate related to the New Zealand Qualifications Authority from 8% to 7% for the period 1 July 2016 to December 2016 and from 7% to 6% for the period 1 January 2017 to 30 June 2017.

Quality Assurance (M26)#

Scope of Appropriation#

This appropriation is limited to the provision by the New Zealand Qualifications Authority of quality assurance services to support the New Zealand qualifications system that include ongoing development and management of quality assurance processes, monitoring and managing providers at risk and the ongoing refinement and maintenance of the quality assurance framework.

Reasons for Change in Appropriation#

This appropriation increased by $430,000 to $5.204 million due to additional funding for the administration of pastoral care of international students funded from the export education levy.

School Transport (M26)#

Scope of Appropriation#

Purchase of services to transport eligible students to and from State and integrated schools. Also included are payments to schools that manage their own transport services and payments to parents/caregivers to compensate for the costs of taking children to school where other transport services are unsuitable or unavailable.

Reasons for Change in Appropriation#

This appropriation decreased by $3 million to $186.895 million due to savings through the implementation of a new management system, of which $1 million has been transferred to departmental output expense Support and Resources for Education Providers to offset increased Ministry of Education analysis and maintenance costs.

Teacher-Led Innovation fund (M26)#

Scope of Appropriation and Expenses#

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Teacher-Led Innovation fund (M26)

This appropriation is limited to supporting teacher-led innovation and classroom-based research of innovative teaching practices.

Commences: 01 July 2015

Expires: 30 June 2020
Original Appropriation 10,000
Adjustments to 2015/16 8,000
Adjustments for 2016/17 (85)
Adjusted Appropriation 17,915
Actual to 2015/16 Year End 1,915
Estimated Actual for 2016/17 2,890
Estimated Actual for 2017/18 4,000
Estimated Appropriation Remaining 9,110

Reasons for Change in Appropriation#

This appropriation decreased by $85,000 to $17.915 million due to under expenditure in 2015/16.

National Study Awards (M26)#

Scope of Appropriation

Provision for the costs of study awards, sabbaticals and fellowships for teachers, including replacement of the teacher while on study leave. Awards include those linked to teachers' collective agreements and approved prestigious awards.

Reasons for Change in Appropriation

This appropriation increased by $363,000 to $18.997 million due to settlement of the Primary Teachers', Primary Principals', Area School Principals', Area School Teachers' and the Secondary Principals' Collective Agreements ($363,000 increase).

3.4 - Non-Departmental Other Expenses#

Early Childhood Education (M26)#

Scope of Appropriation

Subsidising early childhood education services for children under six years of age from licensed and chartered early childhood education services (including centres and chartered home-based care networks) and from licence-exempt and certificated centres. Also included are several targeted funds.

Reasons for Change in Appropriation

This appropriation increased by $22.870 million to $1,814.257 million due to a combination of:

  • impact of stronger-than-anticipated growth in demand for Education and Care services (higher rates) and anticipated reduction in growth of home-based services which have lower rates than centre-based services, driven by increased migration and higher birth rate ($18.720 million increase), and
  • settlement of the Primary Teachers', Primary Principals', Area School Principals', Area School Teachers' and Secondary Principals' Collective Agreements ($4.150 million increase).

Integrated Schools Property (M26)#

Scope of Appropriation#

Provision for modernisation of existing property at integrated schools as part of a funding regime negotiated with the proprietors of integrated schools. Funding to assist in the expansion of the network is also included.

Reasons for Change in Appropriation#

This appropriation decreased by $350,000 to $67.893 million due to a transfer to non-departmental capital expenditure Schools Furniture and Equipment to increase the number of schools in the Wireless School Network Upgrade Project.

Primary Education (M26)#

Scope of Appropriation#

Delivering the curriculum for Years 0 to 8 (new entrant to Form 2) to pupils of State, integrated, private schools and The Correspondence School. Provides roll-based operations funding to schools, teacher and management salaries, support costs and supplementary funding programmes.

Reasons for Change in Appropriation#

This appropriation increased by $22.973 million to $3,045.689 million due to a combination of:

  • settlement of the Primary Teachers', Primary Principals', Area School Principals', Area School Teachers' and Secondary Principals' Collective Agreements ($52.521 million increase)
  • impact of higher-than-expected national roll projections on teacher salaries and school operations grants ($4.547 million increase)
  • support for teachers in areas affected by the 2016 earthquake to maintain a stable workforce and minimise disruption to education delivery or student engagement ($340,000 increase)
  • transfer from non-departmental other expense Secondary Education to fund an increased quota of primary-aged refugees from Syria ($62,000 increase)
  • lower-than-expected costs for Communities of Learning component of Investing in Educational Success due to the timeframes for developing shared achievement challenges and making appointments to new roles taking longer than originally expected ($31.816 million decrease)
  • transfer to departmental output expense Support and Resources for Education Providers to meet the cost of the initial investigation into non-compliance with the Holidays Act 2003 ($2 million decrease), and
  • transfer to non-departmental output expense Improved Quality Teaching and Learning MCA: Curriculum Support for the Reading Together research-based programme ($681,000 decrease).

Secondary Education (M26)#

Scope of Appropriation#

Delivering the curriculum for Years 9 to 13 (Forms 3 to 7) to pupils of State, integrated, private schools and The Correspondence School. Provides roll-based operations funding to schools, teacher and management salaries, support costs and supplementary funding programmes.

Reasons for Change in Appropriation#

This appropriation increased by $36.788 million to $2,163.569 million due to a combination of:

  • impact of higher-than-expected national roll projections on teacher salaries and school operations grants ($49.145 million increase)
  • settlement of the Primary Teachers', Primary Principals', Area School Principals', Area School Teachers' and Secondary Principals' Collective Agreements (6.002 million increase)
  • support for teachers in areas affected by the 2016 earthquake to maintain a stable workforce and minimise disruption to education delivery or student engagement ($170,000 increase)
  • lower-than-expected costs for Communities of Learning component of Investing in Educational Success due to the timeframes for developing shared achievement challenges and making appointments to new roles taking longer than originally expected ($18.467 million decrease), and
  • transfer to non-departmental other expense Primary Education to fund an increased quota of primary-aged refugees from Syria ($62,000 decrease).

3.5 - Non-Departmental Capital Expenditure#

Schools Furniture and Equipment (M26)#

Scope of Appropriation

Provides funds to schools for new furniture and equipment when capital works (including remodelling/upgrading of existing property and new school property) are approved.

Reasons for Change in Appropriation

This appropriation increased by $4.821 million to $41.549 million due to a combination of:

  • allocation of part of the earthquake insurance proceeds towards the cost of furniture and equipment associated with the Christchurch Schools Rebuild programme ($3.821 million increase)
  • transfers from non-departmental output expense Improved Quality Teaching and Learning MCA: Curriculum Support and from non-departmental other expense Integrated Schools Property to increase the number of schools in the wireless option of the School Network Upgrade Project ($700,000 increase), and
  • transfer from 2015/16 arising from delays in the Roll-Growth programme with the supply of modular transportable classrooms ($300,000 increase).

Part 4 - Details of Multi-Category Expenses and Capital Expenditure#

Multi-Category Expenses and Capital Expenditure#

Improved Quality Teaching and Learning (M26)

Overarching Purpose Statement

The overarching purpose of this appropriation is to improve the quality of teaching and learning for children and young people aged 0-18 years.

Scope of Appropriation

Departmental Output Expenses
Support and Resources for Teachers
This category is limited to expenditure on policies and services focused on supporting the work and enhancing the capability of teachers.
Non-Departmental Output Expenses
Curriculum Support
This category is limited to the purchase of supplementary educational programmes for schools and communities to ensure wider access to these opportunities
Professional Development and Support
This category is limited to the delivery of professional development and advisory support to early childhood education services and schools to support effective teaching and enhance self-management.

Expenses, Revenue and Capital Expenditure

  2016/17
  Estimates
$000
Supplementary Estimates
$000
Total
$000

Total Appropriation

218,227 6,101 224,328

Departmental Output Expenses

     
Support and Resources for Teachers 67,265 5,498 72,763

Non-Departmental Output Expenses

     
Curriculum Support 56,833 331 57,164
Professional Development and Support 94,129 272 94,401

Funding for Departmental Output Expenses

     

Revenue from the Crown

67,255 5,498 72,753
Support and Resources for Teachers 67,255 5,498 72,753

Revenue from Others

10 - 10
Support and Resources for Teachers 10 - 10

Reasons for Change in Appropriation

This appropriation increased by $6.101 million to $224.328 million due to a combination of:

  • additional implementation activity for Investing in Educational Success through targeted change management support and building the Ministry's short-term capacity to better support Communities of Learning ($1.613 million increase)
  • transfers from 2015/16 for the Progress and Consistency Tool ($1.500 million increase), continuation of finance transformation programme ($1.250 million increase), and Raising the Maori Medium Education Achievement programme ($272,000 increase)
  • a one-off allocation to strengthen digital technologies in the National Curriculum ($1 million increase)
  • transfer from non-departmental other expense Primary Education for the Reading Together research-based programme ($681,000 increase)
  • support for teachers in areas affected by the 2016 earthquake to maintain a stable workforce and minimise disruption to education delivery or student engagement ($135,000 increase), and
  • transfer to non-departmental capital expenditure Schools Furniture and Equipment to increase the number of schools in the wireless option of the School Network Upgrade Project ($350,000 decrease).

Outcomes for Target Student Groups (M26)#

Overarching Purpose Statement#

The overarching purpose of this appropriation is to improve outcomes for targeted student groups.

Scope of Appropriation#

Departmental Output Expenses

Interventions for Target Student Groups
This category is limited to expenditure on policies and services focused on targeted student groups or individuals' participation in education.

Non-Departmental Output Expenses

Service Academies
This category is limited to providing military-focused programmes for disengaged or disengaging senior students in secondary schools.
Students Attendance and Engagement
This category is limited to providing services to support increased attendance for non-attending students.

Non-Departmental Other Expenses

Special Needs Support
This category is limited to providing additional resources to enable students with special education needs to participate in education.

Expenses, Revenue and Capital Expenditure#

  2016/17
  Estimates
$000
Supplementary Estimates
$000
Total
$000

Total Appropriation

671,136 12,667 683,803

Departmental Output Expenses

     
Interventions for Target Student Groups 258,138 (765) 257,373

Non-Departmental Output Expenses

     
Service Academies 3,640 - 3,640
Students Attendance and Engagement 9,551 - 9,551

Non-Departmental Other Expenses

     
Special Needs Support 399,807 13,432 413,239

Funding for Departmental Output Expenses

     

Revenue from the Crown

256,438 (765) 255,673
Interventions for Target Student Groups 256,438 (765) 255,673

Revenue from Others

1,700 - 1,700
Interventions for Target Student Groups 1,700 - 1,700

Reasons for Change in Appropriation#

This appropriation increased by $12.667 million to $683.803 million due to a combination of:

  • impact of higher-than-expected national roll projections on teacher salaries and school operations grants ($7.293 million increase)
  • settlement of the Primary Teachers', Primary Principals', Area School Principals', Area School Teachers', Special Education Field Staff and Secondary Principals' Collective Agreements ($4.127 million increase)
  • transfers from 2015/16 for continuation of the finance transformation programme ($750,000 increase), the Education System Identity and Access Management system ($600,000 increase), the development of a New Zealand Sign Language Proficiency Instrument ($146,000 increase), and for continuation of a value for money programme ($41,000 increase), and
  • transfer to 2017/18 to better reflect how the Year 9 Plus programme of work will be delivered and evaluated by the Ministry ($290,000 decrease).