Supplementary estimates of appropriations

Vote Tertiary Education - Supplementary Estimates 2013/14

APPROPRIATION MINISTER(S): Minister for Tertiary Education, Skills and Employment (M14)

APPROPRIATION ADMINISTRATOR: Ministry of Education

RESPONSIBLE MINISTER FOR MINISTRY OF EDUCATION : Minister of Education

Supplementary Estimates of Appropriations#

Details of Appropriations#

Annual and Permanent Appropriations

  2013/14
Titles and Scopes of Appropriations by Appropriation Type Estimates
Budget
$000
Supplementary
Estimates
Budget
$000
Total
Budget
$000

Departmental Output Expenses

     

Policy Advice (M14)

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 Tertiary Education related matters.
5,347 - 5,347

Strategic Leadership in the Tertiary System (M14)

This appropriation is limited to expenditure on policies and services focused on the Ministry's leadership role in the tertiary system. This includes enhancing coordination with sector and Government agencies and forums, undertaking research and analysis, monitoring the system, providing information on tertiary and international education services, representing the education sector internationally, supporting international students, and supporting Ministers to meet their obligations to Parliament.
8,301 1,389 9,690

Total Departmental Output Expenses

13,648 1,389 15,037

Non-Departmental Output Expenses

     

Centres of Research Excellence (M14)

This appropriation is limited to the purchase of cooperative and collaborative tertiary research in areas of research strength in the tertiary education sector through the contestable Centres of Research Excellence Fund.
31,690 1,064 32,754

Community Education (M14)

This appropriation is limited to funding for adult and community education and literacy, numeracy and English language provision.
61,219 1,484 62,703

International Education Programmes (M14)

This appropriation is limited to delivery of services in respect of international education, including promotion, information, research and professional development, both in New Zealand and overseas, for the purpose of managing and increasing the flow of international students and promoting international education linkages.
31,622 (240) 31,382

Managing the Government's Investment in the Tertiary Education Sector (M14)

This appropriation is limited to developing, implementing and managing an investment system that aligns planning, funding, monitoring and quality assurance of tertiary education in accordance with the provisions of the Education Act 1989 and other relevant legislation.
41,191 700 41,891

Ownership Monitoring of Tertiary Education Institutions (M14)

This appropriation is limited to monitoring and advisory services - including interventions - on the Government's ownership interest in tertiary education institutions.
2,567 - 2,567

Performance-Based Research Fund (M14)

This appropriation is limited to funding research and research-based teaching on the basis of measured research quality in tertiary education organisations.
268,750 - 268,750

Tertiary Education and Training Advice (M14)

This appropriation is limited to providing advice and support to Ministers on the tertiary sector and tertiary education and training issues.
3,837 - 3,837

Tertiary Education Grants and Other Funding (M14)

This appropriation is limited to providing contestable funding and miscellaneous funding to tertiary education organisations.
24,097 199 24,296

Tertiary Education: Student Achievement Component (M14)

This appropriation is limited to funding for teaching and learning services for enrolled students in approved courses at tertiary education organisations to achieve recognised tertiary qualifications.
2,040,201 11,217 2,051,418

Training for Designated Groups (M14)

This appropriation is limited to the purchasing and arranging of training linked to the New Zealand Qualifications Framework and the purchase of both on-job and off-job training places, including delivery of fully or partially funded training places and other industry-training related projects.
331,897 (17,039) 314,858

Total Non-Departmental Output Expenses

2,837,071 (2,615) 2,834,456

Benefits and Other Unrequited Expenses

     

Apprenticeships Re-boot (M14)

This appropriation is limited to payments to eligible apprentices towards their tools and other training related costs.
13,150 13,461 26,611

International Student Scholarship Scheme (M14)

This appropriation is limited to scholarships available to international students wishing to study in New Zealand. Details of the criteria and selection process for the scheme are available from Education New Zealand.
800 240 1,040

Study Abroad Awards (M14)

This appropriation is limited to awards granted to provide assistance to top scholars, researchers and teachers to undertake placements abroad and to participate in reciprocal education exchange arrangements with partner countries in selected areas of priority study, teaching and research. The criteria and selection process are available from Education New Zealand and AFS Intercultural Programmes New Zealand.
1,290 - 1,290

Tertiary Scholarships and Awards (M14)

This appropriation is limited to providing scholarships for tertiary students and other awards in the tertiary sector, and the provision of scholarships and bursaries to Maori and Pasifika students. It includes training assistance under Queen Elizabeth II Study Awards and recognition of outstanding tertiary education teachers. The guidelines, criteria and process for the various scholarships and awards are available from the Ministry of Education or the Tertiary Education Commission.
12,754 - 12,754

Total Benefits and Other Unrequited Expenses

27,994 13,701 41,695

Non-Departmental Other Expenses

     

Auckland University Starpath Project (M14)

This appropriation is limited to funding to support the Starpath initiatives at the University of Auckland.
1,000 192 1,192

Reimbursement of Fees to ComputerPower Students (M14)

This appropriation is limited to the reimbursement of fees for former ComputerPower students affected by the ComputerPower liquidation.
- 400 400

Tertiary Education Institutions Merger Support (M14)

This appropriation is limited to providing support toward the additional costs related to the merger of particular tertiary education institutions.
1,500 - 1,500

Total Non-Departmental Other Expenses

2,500 592 3,092

Non-Departmental Capital Expenditure

     

Literacy and Numeracy Assessment Tool (M14)

This appropriation is limited to development of the online assessment tool for adult literacy and numeracy.
250 - 250

Support for the University of Canterbury (M14)

This appropriation is limited to the rebuild of the Science and Engineering Facilities at the University of Canterbury.
- 110,000 110,000

Support for Trades Training (M14)

This appropriation is limited to expansion and redevelopment of trades training at Christchurch Polytechnic Institute of Technology.
- 18,900 18,900

Total Non-Departmental Capital Expenditure

250 128,900 129,150

Total Annual and Permanent Appropriations

2,881,463 141,967 3,023,430

Supporting Information#

Part 1 - Vote as a Whole#

1.2 - Trends in the Vote

Summary of Financial Activity

  2013/14
    Supplementary Estimates  
  Estimates
$000
Departmental
Transactions
$000
Non-Departmental
Transactions
$000
Total
Transactions
$000
Total
$000

Appropriations

         
Output Expenses 2,850,719 1,389 (2,615) (1,226) 2,849,493
Benefits and Other Unrequited Expenses 27,994 N/A 13,701 13,701 41,695
Borrowing Expenses - - - - -
Other Expenses 2,500 - 592 592 3,092
Capital Expenditure 250 - 128,900 128,900 129,150
Intelligence and Security Department Expenses and Capital Expenditure - - N/A - -
Multi-Category Expenses and Capital Expenditure (MCA)          
Output Expenses
- - - - -
Other Expenses
- - - - -
Capital Expenditure
- N/A - - -

Total Appropriations

2,881,463 1,389 140,578 141,967 3,023,430

Crown Revenue and Capital Receipts

         
Tax Revenue - N/A - - -
Non-Tax Revenue - N/A 6,068 6,068 6,068
Capital Receipts - N/A - - -

Total Crown Revenue and Capital Receipts

- N/A 6,068 6,068 6,068

Mapping the Layout of the 2013/14 Supplementary Estimates to the Layout of the 2013/14 Estimates

Supplementary Estimates Structure 2013/14 Estimates Structure 2013/14
Part # Part Name Part # Part Name
2.1 Departmental Output Expenses 2.1 Departmental Output Expenses
2.2 Departmental Other Expenses 5.1 Departmental Other Expenses
2.3 Departmental Capital Expenditure and Capital Injections 6.1 Departmental Capital Expenditure
3.1 Non-Departmental Output Expenses 2.2 Non-Departmental Output Expenses
3.2 Non-Departmental Benefits and Other Unrequited Expenses 3.2 Non-Departmental Benefits and Other Unrequited Expenses
3.3 Non-Departmental Borrowing Expenses 4.2 Non-Departmental Borrowing Expenses
3.4 Non-Departmental Other Expenses 5.2 Non-Departmental Other Expenses
3.5 Non-Departmental Capital Expenditure 6.2 Non-Departmental Capital Expenditure
4 Multi-Category Expenses and Capital Expenditure N/A Did not exist in the Estimates

Part 2 - Details of Departmental Appropriations#

2.1 - Departmental Output Expenses

Strategic Leadership in the Tertiary System (M14)

Scope of Appropriation

This appropriation is limited to expenditure on policies and services focused on the Ministry's leadership role in the tertiary system. This includes enhancing coordination with sector and Government agencies and forums, undertaking research and analysis, monitoring the system, providing information on tertiary and international education services, representing the education sector internationally, supporting international students, and supporting Ministers to meet their obligations to Parliament.

Reasons for Change in Appropriation

This appropriation increased by $1.389 million to $9.690 million owing to a combination of:

  • progressing the Tertiary Information Future State programme, particularly to improve current tertiary data collection processes ($1.280 million increase)
  • development of a creative industries vocational pathway and associated materials ($500,000 increase), and
  • transfer of administration of the Code of Practice for the Pastoral Care of International Students to the New Zealand Qualifications Authority under Vote Education, non-departmental output expense Quality Assurance ($391,000 decrease).

Part 3 - Details of Non-Departmental Appropriations#

3.1 - Non-Departmental Output Expenses

Centres of Research Excellence (M14)

Scope of Appropriation

This appropriation is limited to the purchase of cooperative and collaborative tertiary research in areas of research strength in the tertiary education sector through the contestable Centres of Research Excellence Fund.

Reasons for Change in Appropriation

This appropriation increased by $1.064 million to $32.754 million for 2013/14 owing to re-phasing of contractual payments to Centres of Research Excellence.

Community Education (M14)

Scope of Appropriation

This appropriation is limited to funding for adult and community education and literacy, numeracy and English language provision.

Reasons for Change in Appropriation

This appropriation increased by $1.484 million to $62.703 million for 2013/14 mainly owing to a combination of:

  • funding for beneficiaries to be referred to specialist English for Speakers of Other Languages providers or to address intensive literacy and numeracy needs ($4.351 million increase), and
  • transfer to non-departmental output expenses Training for Designated Groups ($2.500 million decrease) and Tertiary Education Grants and Other Funding ($199,000 decrease) because the implementation date for these funds under the new Community Education appropriation was 1 January 2014 instead of 1 July 2013 as assumed in the Budget.

International Education Programmes (M14)

Scope of Appropriation

This appropriation is limited to delivery of services in respect of international education, including promotion, information, research and professional development, both in New Zealand and overseas, for the purpose of managing and increasing the flow of international students and promoting international education linkages.

Reasons for Change in Appropriation

This appropriation decreased by $240,000 to $31.382 million for 2013/14 following a transfer to benefits or related expense International Student Scholarships Scheme mainly to fund the cost of extending entitlements for some students and increased average fees and stipend expenses.

Managing the Government's Investment in the Tertiary Education Sector (M14)

Scope of Appropriation

This appropriation is limited to developing, implementing and managing an investment system that aligns planning, funding, monitoring and quality assurance of tertiary education in accordance with the provisions of the Education Act 1989 and other relevant legislation.

Reasons for Change in Appropriation

This appropriation increased by $700,000 to $41.891 million for 2013/14 owing to an upgrade to the Literacy and Numeracy Assessment Tool for Adults ($400,000 increase) and an increase in the Skills Highway Programme, as expenditure was deferred from 2012/13 to allow consultation with employers to be completed and for the Tertiary Education Commission to more confidently respond to their future needs ($300,000 increase).

Tertiary Education Grants and Other Funding (M14)

Scope of Appropriation

This appropriation is limited to providing contestable funding and miscellaneous funding to tertiary education organisations.

Reasons for Change in Appropriation

This appropriation increased by $199,000 to $24.296 million for 2013/14 owing to transfer from non- departmental output expense Community Education because the implementation date for these funds under the new Community Education appropriation was 1 January 2014 instead of 1 July 2013 as assumed in the Budget.

Tertiary Education: Student Achievement Component (M14)

Scope of Appropriation

This appropriation is limited to funding for teaching and learning services for enrolled students in approved courses at tertiary education organisations to achieve recognised tertiary qualifications.

Reasons for Change in Appropriation

This appropriation increased by $11.217 million to $2,051.418 million in 2013/14 mainly owing to a combination of:

  • maintaining current levels of trades training and associated activities in response to the Christchurch earthquakes ($6.908 million increase)
  • additional free fees provision for 20 - to 24 - year - olds at Levels 1 and 2 of the New Zealand Qualifications Framework ($2.900 million increase)
  • provision for additional engineering places from 2014 - 2017 ($2.430 million increase)
  • additional student places for 2014 at Auckland University of Technology ($1.550 million increase), and
  • a transfer to benefits and other unrequited expenses Apprenticeships Re-boot ($2.979 million decrease) to extend the Re-boot programme to all eligible apprentices enrolled until 30 June 2014.

Training for Designated Groups (M14)

Scope of Appropriation

This appropriation is limited to the purchasing and arranging of training linked to the New Zealand Qualifications Framework and the purchase of both on-job and off-job training places, including delivery of fully or partially funded training places and other industry-training related projects.

Reasons for Change in Appropriation

This appropriation decreased by $17.039 million to $314.858 million in 2013/14. The decrease is owing to a combination of:

  • a transfer from non-departmental output expense Community Education because the implementation date for these funds under the new Community Education appropriation was 1 January 2014 instead of 1 July 2013 as assumed in the Budget ($2.500 million increase)
  • a transfer from 2012/13 for the Youth Guarantee programme recognising under delivery resulting from the change in the scheme from learner places to Equivalent full-time Students based funding and the need for providers to apply to the New Zealand Qualifications Authority for programme approval and accreditation ($1.200 million increase), and
  • transfers to benefits or other related expenses Apprenticeships Re-boot to extend the Re-boot programme to all eligible apprentices enrolled until 30 June 2014 ($20 million decrease) and for an increase in the proportion of apprentices who are in priority trades ($1.600 million decrease) partly offset by a carry forward from 2012/13 ($861,000 increase).

3.2 - Non-Departmental Benefits and Other Unrequited Expenses

Apprenticeships Re-boot (M14)

Scope of Appropriation

This appropriation is limited to payments to eligible apprentices towards their tools and other training related costs.

Reasons for Change in Appropriation

This appropriation increased by $13.461 million to $26.611 million for 2013/14 mainly owing to:

  • extending the initiative to include all eligible apprentices up to 30 June 2014 comprising an estimated additional 4,000 trainees ($11 million increase) partly funded by transfers from non-departmental output expense Training for Designated Groups ($2 million) and Tertiary Education: Student Achievement Component ($2.979 million), and
  • a further reallocation from non-departmental output expense Training for Designated Groups for an increase in the proportion of apprentices who are in priority trades ($1.600 million increase).

International Student Scholarship Scheme (M14)

Scope of Appropriation

This appropriation is limited to scholarships available to international students wishing to study in New Zealand. Details of the criteria and selection process for the scheme are available from Education New Zealand.

Reasons for Change in Appropriation

This appropriation increased by $240,000 to $1.040 million for 2013/14 for a combination of extending entitlements for students affected by the Christchurch earthquakes, increased average fees and stipend expenses during the year and costs in the previous year being slightly understated. This was funded by a transfer from non-departmental output expense International Education Programmes.

3.4 - Non-Departmental Other Expenses

Auckland University Starpath Project (M14)

Scope of Appropriation

This appropriation is limited to funding to support the Starpath initiatives at the University of Auckland.

Reasons for Change in Appropriation

This appropriation increased by $192,000 to $1.192 million for 2013/14. The increase is owing to the 2012/13 tranche for Stage 2 of the University of Auckland's Starpath for Excellence project not being completed in the previous financial year.

Reimbursement of Fees to ComputerPower Students (M14)

Scope of Appropriation

This appropriation is limited to the reimbursement of fees for former ComputerPower students affected by the ComputerPower liquidation.

Expenses

  2013/14
  Estimates
$000
Supplementary Estimates
$000
Total
$000
Total Appropriation - 400 400

How Performance will be Assessed and End of Year Reporting Requirements

  2013/14
Performance Measures Estimates
Standard
Supplementary
Estimates
Standard
Total
Standard
The number of former students to be refunded either through a loan repayment or a direct payment. - 107 107

End of Year Performance Reporting

Performance information for this appropriation will be reported by the New Zealand Qualifications Authority in its annual report.

Reasons for Change in Appropriation

This new appropriation in 2013/14 of $400,000 was established to enable reimbursement to 107 former ComputerPower students who did not receive refunds to which they were entitled following the liquidation of ComputerPower.

3.5 - Non-Departmental Capital Expenditure

Support for the University of Canterbury (M14)

Scope of Appropriation

This appropriation is limited to the rebuild of the Science and Engineering Facilities at the University of Canterbury.

Capital Expenditure

  2013/14
  Estimates
$000
Supplementary Estimates
$000
Total
$000
Total Appropriation - 110,000 110,000

Components of the Appropriation

  2013/14
  Estimates
$000
Supplementary Estimates
$000
Total
$000
Professional Fees and Costs - 10,000 10,000
Construction - 100,000 100,000

How Performance will be Assessed and End of Year Reporting Requirements

  2013/14
Performance Measures Estimates
Standard
Supplementary
Estimates
Standard
Total
Standard
Funding is allocated in accordance with the funding agreements and conditions. - ≥95% ≥95%
Achieving business case milestones in building science and engineering facilities. - 99.5% 99.5%

End of Year Performance Reporting

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

Reasons for Change in Appropriation

This new appropriation of $110 million was established during 2013/14 to contribute towards the rebuild of the Science and Engineering Facilities at the University of Canterbury after the 2010 and 2011 earthquakes.

Support for Trades Training (M14)

Scope of Appropriation

This appropriation is limited to expansion and redevelopment of trades training at Christchurch Polytechnic Institute of Technology.

Capital Expenditure

  2013/14
  Estimates
$000
Supplementary Estimates
$000
Total
$000
Total Appropriation - 18,900 18,900

How Performance will be Assessed and End of Year Reporting Requirements

  2013/14
Performance Measures Estimates
Standard
Supplementary
Estimates
Standard
Total
Standard
Achieving business case milestones in the expansion and redevelopment of trades training at Christchurch Polytechnic Institute of Technology - 99.5% 99.5%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Christchurch Polytechnic Institute of Technology in its annual report.

Reasons for Change in Appropriation

This new appropriation of $18.900 million was established during 2013/14 to provide a capital injection for the Christchurch Polytechnic Institute of Technology to enable expansion of the Sullivan Avenue campus and implementation of an enhanced and integrated delivery model (incorporating mobile and satellite capabilities).