Schools Resourcing for 2008

Changes to Operational Funding for 2008

Summary

The Government is increasing school operational funding by $39 million per year from 2008.

From January 2008 most components of operational funding will be increased by 4.0%.

All state and state integrated schools will receive additional funding as a result of this initiative. This extra funding is ongoing.

This increase is over and above forecast inflation for 2008, currently forecast by Treasury at 2.2%.

Increases in Funding Components

Most operational funding components will increase by 4% in 2008. These include:

• Base funding
• Per-pupil funding
• Decile related funding

There will be an increase of 4.0% to the funding available for the following components. The extra money will not necessarily result in a 4.0% increase for every school, as each component is allocated differently:

• Heat, light and water (adjusted on a case-by-case basis on application for review), and
• Board of trustees elections.

There will be an increase of 4.0% to the funding available for the following components, which do not go to all schools:

• Targeted Funding for Isolation (TFI)
• Secondary Tertiary Alignment Resource (STAR)
• Administration and travel grants for resource teachers
• Administration grant for out of hours music and art classes
• NCEA Grant
• Some miscellaneous funding for residential schools

An increase of $39 million a year to operational funding will provide schools with greater flexibility to meet student's learning needs while the Ministry of Education undertakes longer term work programmes to further consider the pressures identified in the Review of Schools' Operational Funding. These work programmes include consideration of how ICT might be better resourced across the compulsory sector, and the shape and nature of the support staff workforce.

These pages set out the main changes to operational funding components, including new rates. Further details will be available in an update of the Funding, Staffing and Allowances Handbook, and school-specific changes will be shown on 2008 initial operational funding entitlement notices. The updated handbook will be sent to schools in September 2007.