Vote Education APPROPRIATION MINISTER(S): Minister of Education (M26) APPROPRIATION ADMINISTRATOR: Ministry of Education RESPONSIBLE MINISTER FOR MINISTRY OF EDUCATION : Minister of Education THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 201
Details of Appropriations and Capital Injections Annual and Permanent Appropriations Titles and Scopes of Appropriations by Appropriation Type Departmental Output Expenses Budget Budget Budget Interventions for Target Student Groups (M26) Expenditure on policies and services focused on targeted student groups' or individuals' participation in education. This includes providing services to individuals with special education and developmental needs, providing additional funding for the support of students with special education needs, providing alternative education options, working with individuals and relevant stakeholders to resolve participation issues, and administering scholarships and awards for individuals. 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. 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. Services to Other Agencies RDA (M26) This appropriation is limited to the provision of services by the Ministry of Education to the government departments and other agencies where those services are not within the scope of another department output expense appropriation in Vote Education. 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). 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. 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. Support and Resources for Teachers (M26) Expenditure on policies and services focused on supporting the work and enhancing the capability of teachers. This includes providing curriculum and achievement standards, teaching resources, professional development, and administering scholarships and awards for teachers and principals. 283,286 (42,908) 240,378 11,501 5,323 16,824 1,537,786 86,842 1,624,628-1,217 1,217 25,672 9,165 34,837 102,519 (4,984) 97,535 13,127 (991) 12,136 70,215 (5,392) 64,823 Departmental Output Expenses 2,044,106 48,272 2,092,378 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. 941,627 (179,770) 761,857 Departmental Capital Expenditure 941,627 (179,770) 761,857 202 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
Titles and Scopes of Appropriations by Appropriation Type Non-Departmental Output Expenses Budget Budget Budget 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. Curriculum Support (M26) Purchase of supplementary educational programmes for schools and communities to ensure wider access to these opportunities. Education Research Initiatives (M26) Purchase of research about teaching and learning in our educational institutions and independent research on education issues, policies and practices. Professional Development and Support (M26) Delivery of professional development and advisory support to staff, managers and parents in early childhood education services and in schools, to support effective teaching and enhance selfmanagement. 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 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. Qualifications Support Structures (M26) This appropriation is limited to the New Zealand 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 New Zealand qualifications system to key education and immigration partner countries. 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. 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. 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. Secondary School Assessments (M26) This appropriation is limited to the New Zealand 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. 2,178 2,460 4,638 64,400 (500) 63,900 3,008-3,008 100,392-100,392 23,766 766 24,532 6,049 80 6,129 4,774-4,774 31,750 (3,000) 28,750 186,172 (1,200) 184,972 26,480-26,480 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 203
Titles and Scopes of Appropriations by Appropriation Type Non-Departmental Output Expenses - cont d Budget Budget Budget 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. Service Academies (M26) This appropriation is limited to providing military-focused programmes for disengaged or disengaging senior students in secondary schools. 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. 65,952 3,663 69,615 3,640-3,640 4,861-4,861 Non-Departmental Output Expenses 523,422 2,269 525,691 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. 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). 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. 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 Māori boarding schools. Scholarships for Students to Attend Private Schools (M26) Assistance to students from low-income families to attend private secondary schools. Teacher Trainee Scholarships (M26) Scholarships and allowances for students undertaking teacher training education, and loan support payments to teachers. United World Scholarships (M26) Scholarships for attendance at United World Colleges. 11,319-11,319 5,128-5,128 18,364 84 18,448 1,152-1,152 4,126-4,126 1,000 147 1,147 50-50 Benefits or Related Expenses 41,139 231 41,370 204 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
Titles and Scopes of Appropriations by Appropriation Type Non-Departmental Other Expenses Budget Budget Budget 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. Impairment of Debts and Assets and Debt Write-Offs (M26) This appropriation is limited to bad debt write-offs for Crown debt and to impairment of Crown debt or other assets arising from objective evidence of one or more loss events that occurred after the initial recognition of the Crown debt or asset, and the loss event (or events) has had a reliably measurable impact on the estimated future cash flows of the debt or other asset. 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. 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. 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. Remission of Fees (M26) Payment to the New Zealand Qualifications Authority for student examination fees remitted in cases of hardship. School Transport Bus Controllers (M26) Payments to teachers who, as bus controllers, assist in the provision of school transport assistance. 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 iwistrengthening education projects. 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. Special Needs Support (M26) Providing additional resources to enable students with special education needs to participate in education. This includes supplementary resources for special education needs, residential services, English for Speakers of Other Languages and alternative education programmes. 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. 1,663,427 59,581 1,723,008-11,500 11,500 65,538 (3,938) 61,600 119-119 3,001,251 (21,908) 2,979,343 1,288-1,288 530-530 5,715 (462) 5,253 2,092,106 55,334 2,147,440 351,779 45,497 397,276 13,026-13,026 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 205
Titles and Scopes of Appropriations by Appropriation Type Non-Departmental Other Expenses - cont d Budget Budget Budget 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 Non-Departmental Other Expenses 7,196,862 145,604 7,342,466 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). 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. 500-500 21,864 4,147 26,011 Non-Departmental Capital Expenditure 22,364 4,147 26,511 Annual and Permanent Appropriations 10,769,520 20,753 10,790,273 Multi-Year Appropriations Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use 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 2014/15 - Adjustments for 8,000 Adjusted Appropriation 18,000 Actual to 2014/15 Year End - Estimated Actual for 2,000 Estimated Actual for 2016/17 4,000 Estimated Appropriation Remaining 12,000 Annual, Permanent and Multi-Year Appropriations Budget Budget Budget Annual and Permanent Appropriations 10,769,520 20,753 10,790,273 MYA Non-Departmental Output Expenses Forecasts 2,000-2,000 Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts 10,771,520 20,753 10,792,273 206 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
Capital Injection Authorisations Budget Budget Budget Ministry of Education - Capital Injection (M26) 424,058 (147,187) 276,871 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 207
Supporting Information Part 1 - Vote as a Whole 1.2 - Trends in the Vote Summary of Financial Activity Appropriations Departmental Transactions Non- Departmental Transactions Transactions Output Expenses 2,569,528 48,272 2,269 50,541 2,620,069 Benefits or Related Expenses 41,139 N/A 231 231 41,370 Borrowing Expenses - - - - - Other Expenses 7,196,862-145,604 145,604 7,342,466 Capital Expenditure 963,991 (179,770) 4,147 (175,623) 788,368 Intelligence and Security Department Expenses and Capital Expenditure Multi-Category Expenses and Capital Expenditure (MCA) - - N/A - - Output Expenses - - - - - Other Expenses - - - - - Capital Expenditure - N/A - - - Appropriations 10,771,520 (131,498) 152,251 20,753 10,792,273 Crown Revenue and Capital Receipts Tax Revenue - N/A - - - Non-Tax Revenue 7,885 N/A - - 7,885 Capital Receipts - N/A - - - Crown Revenue and Capital Receipts 7,885 N/A - - 7,885 208 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
Part 2 - Details of Departmental Appropriations 2.1 - Departmental Output Expenses Interventions for Target Student Groups (M26) Expenditure on policies and services focused on targeted student groups' or individuals' participation in education. This includes providing services to individuals with special education and developmental needs, providing additional funding for the support of students with special education needs, providing alternative education options, working with individuals and relevant stakeholders to resolve participation issues, and administering scholarships and awards for individuals. Expenses and Revenue Appropriation 283,286 (42,908) 240,378 Revenue from the Crown 281,586 (43,908) 237,678 Revenue from Others 1,700 1,000 2,700 How Performance will be Assessed and End of Year Reporting Requirements Performance Measures Reduce truancy rates for frequent truants in Years 9 and 10. Less than 1.1% Discontinued measure - The national average attendance rate. Replacement measure 88% 88% The median numbers of school days before excluded learners are returned to schooling. Less than 40 days 40 days or less 40 days or less Special Education Needs Interventions Percentage of eligible children receiving Ministry provided service within 90 days of referral for Communication, Behaviour, Early Intervention and Ongoing Resourcing Scheme services. Average number of days eligible children wait to receive a Ministry provided special education core service after referral. Increase in number of schools participating in the School-Wide Framework. 80% Discontinued measure - Replacement measure 75 calendar days 75 calendar days More than 75 75 or more 75 or more THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 209
This appropriation decreased by $42.908 million to $240.378 million for due to a combination of: reclassification of funding for the Ongoing Resourcing Scheme delivered by third-party specialist providers (Fundholder schools) to non-departmental other expense appropriation Special Needs Support ($42.916 million decrease) reallocation of budget across years for implementation of an Education Sector Identity and Access Management solution ($1.850 million net decrease) reprioritisation of funding to departmental output expense Stewardship of the Education System to complete work on Network Management of School Property ($1 million decrease) allocation of baseline contributions across agencies for the Budget 2015 Whole-of-Government Initiatives ($248,000 decrease) transfer to 2016/17 to trial an intensive wrap-around service for Year 9 students in the Gisborne region ($200,000 decrease) reallocation of Crown-funded resources between departmental output expense appropriations over Vote Education and Vote Tertiary Education to reflect changes in drivers used to allocate costs ($2.495 million increase) provision for settlement of historic abuse claims from former pupils who attended residential special schools operated by the Department of Education prior to 1989 ($279,000 increase) provision for potential costs and debt write-offs arising from a review of the balance sheet ($250,000 increase) provision for services for an increased quota of refugees from Syria ($153,000 increase) reallocation of budget across years for legal costs relating to an IHC New Zealand Incorporated action ($92,000 net increase), and transfer from 2014/15 for continuation of value for money programme ($37,000 increase). 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. Expenses and Revenue Appropriation 11,501 5,323 16,824 Revenue from the Crown 11,501 5,323 16,824 Revenue from Others - - - 210 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
This appropriation increased by $5.323 million to $16.824 million for due to: reallocation of Crown-funded resources between departmental output expense appropriations over Vote Education and Vote Tertiary Education to reflect changes in drivers used to allocate costs ($4.920 million increase), and transfer of funds from 2014/15 for continuation of the value for money programme ($403,000 increase). 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. Expenses and Revenue Appropriation 1,537,786 86,842 1,624,628 Revenue from the Crown 1,530,857 57,801 1,588,658 Revenue from Others 6,929 43,571 50,500 This appropriation increased by $86.842 million to $1,624.628 million for due to a combination of: increased capital charge ($41.700 million increase) and depreciation ($30 million increase) related to the revaluation of the school property portfolio at 30 June 2015 increased provision for losses on disposal and demolition of school property ($10.500 million increase), rationalisation of school property ($8 million increase), maintenance of teacher and caretaker housing following a review of the housing portfolio by Land Information New Zealand ($4 million increase), and increased rental expenses on school property ($2 million increase) additional legal costs associated with weather-tightness issues in schools funded from revenues from legal claims ($4.291 million increase) transfer of funds from 2014/15 for implementation of the new strategic asset management system ($1.300 million increase) and for continuation of a value for money programme ($1.041 million increase) increased provision for schools to enter into rental arrangements where building construction solutions are not available or are uneconomic ($1 million increase) THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 211
savings in capital charge expense resulting from delays to the capital expenditure programme and the consequential delays in capital injections ($14.852 million decrease) allocation of baseline contributions across agencies for the Budget 2015 Whole-of-Government Initiatives ($1.346 million decrease), and other smaller adjustments mainly relating to public private partnerships and provision for potential costs and debt write-offs arising from a review of the balance sheet ($792,000 net decrease). Services to Other Agencies RDA (M26) This appropriation is limited to the provision of services by the Ministry of Education to the government departments and other agencies where those services are not within the scope of another department output expense appropriation in Vote Education. Expenses and Revenue Appropriation - 1,217 1,217 Revenue from Others - 1,217 1,217 What is Intended to be Achieved with this Appropriation This appropriation is intended to provide support services to government departments and other government or education agencies, on a cost recovery basis, including office accommodation and related services and information technology management and development services. How Performance will be Assessed and End of Year Reporting Requirements Performance Measures The minimum percentage of service standards which are agreed as 'Achieved' with the recipient of those services (see Note 1). New measure 95% 95% Note 1 -The reported percentage is the lowest level of achievement across all service level agreements. End of Year Performance Reporting Performance information for this appropriation will be reported by the Ministry of Education in its annual report. This new appropriation of $1.217 million was created during for the provision of support services to government departments and other government or education agencies on a cost recovery basis. 212 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
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). Expenses and Revenue Appropriation 25,672 9,165 34,837 Revenue from the Crown 25,662 9,165 34,827 Revenue from Others 10-10 This appropriation increased by $9.165 million to $34.837 million for due to a combination of: reallocation of Crown-funded resources between departmental output expense appropriations over Vote Education and Vote Tertiary Education to reflect changes in drivers used to allocate costs ($7.925 million increase) reprioritisation of funding from departmental output expense Interventions for Target Student Groups to complete work on Network Management of School Property ($1 million increase) transfer from 2014/15 for school network reviews that have increased in size and complexity ($262,000 increase), and allocation of baseline contributions across agencies for the Budget 2015 Whole-of-Government Initiatives ($22,000 decrease). 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. Expenses and Revenue Appropriation 102,519 (4,984) 97,535 Revenue from the Crown 101,379 (5,234) 96,145 Revenue from Others 1,140 250 1,390 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 213
This appropriation decreased by $4.984 million to $97.535 million for due to a combination of: reallocation of Crown-funded resources between departmental output expense appropriations over Vote Education and Vote Tertiary Education to reflect changes in drivers used to allocate costs ($5.530 million decrease) transfer to 2016/17 for development of the new education resourcing system for funding and staffing ($1.400 million decrease) allocation of baseline contributions across agencies for the Budget 2015 Whole-of-Government Initiatives ($90,000 decrease) transfers from 2014/15 for continuation of the value for money programme ($786,000 increase) and deployment of new National Student Index system ($300,000 increase) additional analysis and maintenance costs related to managing school transport services funded from further efficiencies achieved under non-departmental output expense School Transport ($700,000 increase), and provision for potential costs and debt write-offs arising from a review of the balance sheet ($250,000 increase). 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. Expenses and Revenue Appropriation 13,127 (991) 12,136 Revenue from the Crown 13,117 (991) 12,126 Revenue from Others 10-10 This appropriation decreased by $991,000 to $12.136 million for due to a combination of: reallocation of Crown-funded resources between departmental output expense appropriations over Vote Education and Vote Tertiary Education to reflect changes in drivers used to allocate costs ($1.426 million decrease) allocation of baseline contributions across agencies for the Budget 2015 Whole-of-Government Initiatives ($11,000 decrease) transfer from 2014/15 for continuation of the value for money programme ($396,000 increase), and 214 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
transfer from Vote Social Development for administration of the Home Interactive Programme for Parents and Youngsters ($50,000 increase). Support and Resources for Teachers (M26) Expenditure on policies and services focused on supporting the work and enhancing the capability of teachers. This includes providing curriculum and achievement standards, teaching resources, professional development, and administering scholarships and awards for teachers and principals. Expenses and Revenue Appropriation 70,215 (5,392) 64,823 Revenue from the Crown 70,205 (5,642) 64,563 Revenue from Others 10 250 260 This appropriation decreased by $5.392 million to $64.823 million for due to a combination of: reallocation of Crown-funded resources between departmental output expense appropriations over Vote Education and Vote Tertiary Education to reflect changes in drivers used to allocate costs ($7.623 million decrease) allocation of baseline contributions across agencies for the Budget 2015 Whole-of-Government Initiatives ($61,000 decrease) transfers from 2014/15 to hold Education Festivals for national and international stakeholder engagement ($950,000 increase), continuation of the value for money programme ($592,000 increase) and alignment of achievement standards to Te Marautanga o Aotearoa (the Māori-medium curriculum) ($500,000 increase), and provision for potential costs and debt write-offs arising from a review of the balance sheet ($250,000 increase). THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 215
2.3 - Departmental Capital Expenditure and Capital Injections 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. Capital Expenditure Forests/Agricultural - - - Land 46,500 (28,500) 18,000 Property, Plant and Equipment 881,650 (152,008) 729,642 Intangibles 13,477 738 14,215 Other - - - Appropriation 941,627 (179,770) 761,857 How Performance will be Assessed and End of Year Reporting Requirements Performance Measures Major redevelopment and modernisation projects delivered on or ahead of scheduled completion dates. Expansion of capacity projects delivered on or ahead of scheduled completion dates. 90% (10%) 80% 90% (90%) - This appropriation decreased by $179.770 million to $761.857 million for due to: re-scheduling of project delivery within the overall Christchurch Schools Rebuild programme budget, driven by delays in site acquisitions, more extensive consultation processes and two schools transferred to be built via Public Private Partnerships ($86 million decrease) re-phasing of expenditure from to 2016/17 for the roll growth programme caused by delays in construction and initial constraints in the supply of modular transportable buildings ($60 million decrease) deferral of three significant land acquisitions in Auckland, Queenstown and Wanaka to align with project timelines ($28 million decrease) 216 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
other project delays reflecting constrained delivery capacity and increased project complexity, particularly to meet roll-growth demands or redevelop schools on constrained sites in Auckland ($24 million decrease) budget savings on new school construction ($15 million decrease) other planned school construction projects now to be built via Public Private Partnerships ($12 million decrease), and other changes mainly related to Information Communication Technology (ICT) and office accommodation ($45.230 million increase). Capital Injections and Movements in Departmental Net Assets Ministry of Education Details of Net Asset Schedule Main Projections Projections Explanation of Projected Movements in Opening Balance 11,993,672 12,466,384 opening balance reflects the audited results as at 30 June 2015. Capital Injections 424,058 276,871 The decrease in injections is due to rephasing of the Christchurch Rebuild Programme ($98.630 million), delays in the construction of new schools and roll-growth classrooms ($16.578 million) and in the implementation of ultra-fast broadband in schools ($31.979 million). Capital Withdrawals - (48,845) Return of funds intended for construction or redevelopment of school sector property which will now be either leased or acquired through new Public Private Partnerships. Surplus to be Retained (Deficit Incurred) - 14,530 The surplus is from gains on sale from the disposal of surplus school properties ($12.500 million) and third party contribution to the development of particular school building assets ($2.030 million). Other Movements - - Closing Balance 12,417,730 12,708,940 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 217
Part 3 - Details of Non-Departmental Appropriations 3.1 - 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. This appropriation increased by $2.460 million to $4.638 million for due to: provision for Education Council practicing certificate fees as part of the settlement of the Secondary Teachers' Collective Agreement 2015-2018 ($1.460 million increase), and additional financial support to assist Education Council of Aotearoa New Zealand with the transition from the former New Zealand Teachers Council and to assume additional functions - funded by transfers from non-departmental output expense Curriculum Support and non-departmental other expense Primary Education ($1 million increase). Curriculum Support (M26) Purchase of supplementary educational programmes for schools and communities to ensure wider access to these opportunities. This appropriation decreased by $500,000 to $63.900 million for due to reprioritisation of efficiency savings to non-departmental output expense Contribution to the Education Council of Aotearoa New Zealand to assist the agency with transition from the former New Zealand Teachers Council and to assume additional functions. Professional Development and Support (M26) Delivery of professional development and advisory support to staff, managers and parents in early childhood education services and in schools, to support effective teaching and enhance selfmanagement. 218 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
How Performance will be Assessed and End of Year Reporting Requirements Performance Measures Number of services delivered through the Strengthening Early Learning Opportunities (SELO) programme. Number of services participating in the Strengthening Early Learning Opportunities (SELO) programme. Services participating in the SELO programme will be from identified target areas. Percentage of services located in target communities and participating in SELO. 1,200-1,500 Discontinued measure - Replacement measure 1,200-1,500 1,200-1,500 90% Discontinued measure - Replacement measure 90% 90% 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 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. How Performance will be Assessed and End of Year Reporting Requirements Performance Measures Reports provided to the Ministry by Te Kohanga Reo National Trust will be on time and reflect progress against the goals/services outlined in the memorandum of agreement. 100% (100%) - This appropriation increased by $766,000 to $24.532 million for due to a combination of: transfer from non-departmental other expense Schooling Improvements to increase funding for Te Rūnanga Nui and Ngā Kura a Iwi contracts to provide governance support to boards of trustees of kura ($462,000 increase) provision to support sponsors approved through a third round of Partnership Schools applications ($250,000 increase) provision for one-to-one career mentoring services to support priority group migrants ($209,000 increase), and transfer of funding for the Ongoing Resourcing Scheme to non-departmental other expense appropriation Special Needs Support ($155,000 decrease). THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 219
Qualifications Support Structures (M26) This appropriation is limited to the New Zealand 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 New Zealand qualifications system to key education and immigration partner countries. This appropriation increased by $80,000 to $6.129 million for due to a transfer from nondepartmental output expense Training for Designated Groups (in Vote Tertiary Education) for unpaid National Certificate of Education Achievement fees of Youth Guarantee fees-free students. 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. This appropriation decreased by $3 million to $28.750 million for due to: a transfer to the Improved Quality Teaching and Learning MCA in 2016/17 for extension of the Computers in Homes programme ($2.500 million decrease), and reprioritisation of funds to various appropriations in 2016/17 for an extension of the Wireless Schools Network Upgrade Project ($500,000 decrease). 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. This appropriation decreased by $1.200 million to $184.972 million in due to savings through the implementation of a new management system of which $700,000 has been transferred to departmental output expense Support and Resources for Education Providers to offset increased analysis and maintenance costs. 220 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
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. This appropriation increased by $3.663 million to $69.615 million for due to additional Trades Academy places offset by a reduction in Youth Guarantee fees-free places under non-departmental output expense Training for Designated Groups in Vote Tertiary Education. Service Academies (M26) This appropriation is limited to providing military-focused programmes for disengaged or disengaging senior students in secondary schools. How Performance will be Assessed and End of Year Reporting Requirements Performance Measures Service Academies will have attendance rates of at least 80% by the completion of the annual programme. Percentage of students enrolled in Service Academies at the start of the year retained by the Service Academy for that year. Percentage of students who complete the service academy programme who achieve Level 2 National Certificate of Educational Achievement. Percentage of retained students achieving both Literacy and Numeracy Level 1. 100% Discontinued measure - Replacement measure 80% 80% 80% Discontinued measure - Replacement measure 80% 80% 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. THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 221
How Performance will be Assessed and End of Year Reporting Requirements Performance Measures Number of children and Whānau in the Engaging Priority Families programme through contracts. Number of children engaged in the Engaging Priority Families programme. Number of children retained/participating in the Early Childhood Education (ECE) Participation Programme through contracts. Number of children enrolled in Early Childhood Education (ECE) as a result of the Engaging Priority Families programme. 1,200-1,500 Discontinued measure - Replacement measure 1,200-1,500 1,200-1,500 960-1,200 Discontinued measure - Replacement measure 960-1,200 960-1,200 Teacher-Led Innovation fund (M26) and Expenses Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use 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 2014/15 - Adjustments for 8,000 Adjusted Appropriation 18,000 Actual to 2014/15 Year End - Estimated Actual for 2,000 Estimated Actual for 2016/17 4,000 Estimated Appropriation Remaining 12,000 How Performance will be Assessed and End of Year Reporting Requirements Performance Measures Number of research projects contracted. 180 Discontinued measure - Percentage of completed research projects which resulted in the spread of new teaching practices since initiation of the fund. Replacement measure 95% 95% This multi-year appropriation has been increased by $8 million to a total of $18 million and extended for a further two years to finish at 30 June 2020 to provide more opportunities for teachers to lead practical, student-focused inquiry based on research to raise student achievement. 222 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
3.2 - Non- Departmental Benefits or Related Expenses 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. This appropriation increased by $84,000 to $18.448 million for due to settlement of the Secondary Teachers' Collective Agreement 2015-2018. Teacher Trainee Scholarships (M26) Scholarships and allowances for students undertaking teacher training education, and loan support payments to teachers. This appropriation increased by $147,000 to $1.147 million for due to reprioritisation of funds from Vote Tertiary Education to extend the Teach First NZ Pilot. 3.4 - 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. This appropriation increased by $59.581 million to $1,723.008 million for due to: impact of higher than expected demand for Home-based and Education and Care Services driven by increased migration, higher birth rate and continuing success of Early Childhood Education participation programmes ($59.568 million increase), and settlement of the Secondary Teachers' Collective Agreement 2015-2018 ($13,000 increase). THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 223
Impairment of Debts and Assets and Debt Write-Offs (M26) This appropriation is limited to bad debt write-offs for Crown debt and to impairment of Crown debt or other assets arising from objective evidence of one or more loss events that occurred after the initial recognition of the Crown debt or asset, and the loss event (or events) has had a reliably measurable impact on the estimated future cash flows of the debt or other asset. What is Intended to be Achieved with this Appropriation This appropriation is intended to achieve the write-off of Crown debt and recognising an impairment loss to reflect the recoverable value of Crown debt and other assets as at the end of a financial year. How Performance will be Assessed and End of Year Reporting Requirements An exemption was granted under section 15D(2)(b)(ii) of the Public Finance Act, as additional performance information is unlikely to be informative because this appropriation is solely for impairment of Crown debts and other assets as required or the write-off of irrecoverable debts. This appropriation of $11.500 million was created during to provide for: the write down of the site of the former Central Institute of Technology at Heretaunga to realisable value ($5.500 million), and potential costs arising from a review of the non-departmental balance sheet ($6 million). 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. This appropriation decreased by $3.938 million to $61.600 million for due to: a transfer to 2016/17 for changes in timelines and milestones associated with integrated school developments ($2.438 million decrease), and reprioritisation of funds towards an extension of the Wireless Schools Network Upgrade Project across various appropriations in 2016/17 ($1.500 million decrease). 224 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7
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. This appropriation decreased by $21.908 million to $2,979.343 million for due to a combination of: reallocation of budget across years and between appropriations for the Investing in Educational Success initiative ($22.496 million decrease) lower than expected national roll projections on teacher salaries and school operations grants ($1.846 million decrease) reprioritisation of efficiency savings to non-departmental output expense Contribution to the Education Council of Aotearoa New Zealand to assist with the transition from the former professional body New Zealand Teachers Council and assume additional functions ($500,000 decrease) settlement of the Secondary Teachers' Collective Agreement 2015-2018 ($2.336 million increase) transfer from 2014/15 for school network reviews that have increased in size and complexity ($400,000 increase) funding for the third round of Partnership Schools/Kura Hourua ($158,000 increase), and services for an increased quota of refugees from Syria ($40,000 increase). 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. This appropriation decreased by $462,000 to $5.253 million for due to a transfer to nondepartmental output expense Provision of Information and Advisory Services to increase funding for Te Rūnanga Nui and Ngā Kura a Iwi contracts to provide governance support to boards of trustees of kura. THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7 225
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. How Performance will be Assessed and End of Year Reporting Requirements Performance Measures Percentage of Māori and Pasifika students leaving school with National Certificate of Educational Achievement Level 2 or above will increase in comparison to the current percentage. Māori >57.4% Discontinued measure - Pasifika. >72% Discontinued measure - The percentage of all 18-year-olds with National Certificate of Educational Achievement Level 2 or above will increase in comparison to the current percentage. >81.4% Discontinued measure - The percentage of 18-year-olds with NCEA Level 2 or equivalent will increase in comparison to the current percentage: All Replacement measure >81.4% >81.4% Māori Replacement measure >67.9% >67.9% Pasifika. Replacement measure >73.5% >73.5% Percentage of school leavers from Partnership Schools/Kura Hourua with National Certificate Educational Achievement Level 2 (see Note 1). Partnership Schools/Kura Hourua teaching senior secondary students achieve the NCEA Level 2 attainment performance standards specified in their contracts (see Note 2). 67% - 78% Discontinued measure - Replacement measure 100% 100% Note 1 - Each Partnership School/Kura Hourua teaching senior secondary students has its own NCEA attainment performance standard specified in their contracts. Note 2 - Each Partnership School/Kura Hourua teaching senior secondary students has its own NCEA attainment performance standard specified in their contracts ranging from 67% to 78%, and attaining 85% or greater achievement by 2017. This appropriation increased by $55.334 million to $2,147.440 million for due to a combination of: higher than expected national roll projections increasing forecast teacher salaries and school operations grants ($46.653 million increase) settlement of the Secondary Teachers' Collective Agreement 2015-2018 ($19.620 million increase) 226 THE SUPPLEMENTARY ESTIMATES OF APPROPRIATIONS AND SUPPORTING INFORMATION B.7