Operational grant components

Base funding

Base funding is provided to meet the fixed costs associated with the operation of a school and to compensate smaller school boards for any inequities caused by diseconomies of scale. Rates vary by school type as well as roll and, depending on the roll band a school is in, boards may receive base funding of a fixed amount, or a fixed amount reduced by a rate per pupil.

Calculation method

The method for calculating base funding follows. Refer to Appendix 1. Under the school’s type, find the school’s roll range. If the base funding for that roll range is a fixed figure, that is the school’s base funding. If the base funding has a range of figures, refer to the table below.

Per-pupil funding

This component is calculated using the number of students on a school's roll. Per-pupil rates are universal. Four levels of per-pupil funding are set to recognise the cost of curriculum delivery at each level.

Relief teacher funding

Boards are funded to assist with the payment of salaries and allowances for relief teachers. Additional Relief Teacher Funding (ARTF) is also paid where certain conditions are met (see section 3-1 Additional Relief Teacher Funding Scheme).

Relief teacher funding is calculated by multiplying the relevant relief teacher funding rate, determined by school type and entitlement staffing management component, by the number of teaching positions eligible for relief teacher funding.

Rates are recalculated and adjusted following the settlement of teachers' Collective Agreements (CA) or following a change to base salary rates during the term of the CA.

There is no set amount that a board should spend on relief teachers. Each board's expenditure will vary from year to year, and is managed by the board. At the beginning of the year, when boards are completing their annual budget, it is recommended that an amount be set aside for relief teacher expenses.

In making this decision, boards are advised to consider Collective Agreement obligations as well as their previous relief teacher funding requirements. Boards should also take into account any known demands on this budget such as higher duties allowance, professional development, special leave, ongoing illnesses or impending hospitalisation and/or surgery.

Surpluses and deficits arising from under- and over-expenditure on the employment of relief teachers, for whatever reason (including payment of salary on the incorrect salary step), are a board responsibility to manage from year to year as part of the overall financial management of the school.

Teaching positions eligible for relief teacher funding

Primary, intermediate, and special school boards are funded for the greater of the assured or roll-based staffing plus attached units and special education staffing (Ongoing Resourcing Scheme (ORS), including ORS management staffing).

Secondary, and composite schools are funded for the greater of their Guaranteed Minimum Formula Staffing (GMFS) or roll-based staffing, plus attached units and the special education staffing (ORS resourcing, including ORS management staffing).

No other staffing positions, including resource teachers, supernumerary teachers, or discretionary teachers, are included in the relief teacher funding calculation.

Funding is adjusted automatically for the whole year as a school’s staffing entitlement and special education staffing changes.

Special Education Grant (SEG)

The Special Education Grant (SEG) is provided to assist boards to support students with moderate special education needs, such as learning and behaviour difficulties, in accordance with the National Administration Guidelines 1(iii) and (iv).

The grant is made up of a base amount plus per-student funding.

Property maintenance

The maintenance grant provides for property maintenance expected to occur within a 10-year cycle. The grant includes a component for minor capital works (not provided for integrated schools) to enable boards to undertake small capital improvements. The grant is based on each school's land and building areas.

The estimated property maintenance component is shown on the initial entitlement notice. This is an interim amount. The final amount for the year is advised at the end of June each year, once any changes to property are known.

Land and building area information is also used by the Ministry to determine 10-year and 5-year capital budgets and for comparison of school property guide entitlements.

Please refer any enquiries about property to your Ministry of Education local office.

Heat, Light and Water

The Ministry of Education has capped Heat, Light and Water (HLW) funding as an interim measure while a new method for allocating this funding is developed. The new method will be introduced in 2012.

There is provision for reconsideration of a boards HLW funding allocation in exceptional circumstances – such as the addition of new classrooms. If you wish to apply for a review of your HLW funding allocation, contact Resourcing.

Boards should note that an increase in usage or power prices is not considered exceptional or sufficient reason for review.

Schools that are not connected to a town water supply, or are not connected to a district sewage disposal scheme, may have funding for servicing (non-personnel only), repairs, maintenance and consumables (for example, filters for their stand-alone facilities), included in their HLW funding allocation.

Local authority charges for sewage disposal are not covered by this funding.

For more detail on what is intended to be covered by Heat, Light and Water funding for schools, see Appendix 2. Further enquiries should be directed to:

Resourcing Division
Phone: 04 463 8383
Email resourcing@minedu.govt.nz

Māori language programme funding

Boards receive funding for students enrolled in Māori Language Programmes (MLP) that meet all the criteria for one of four immersion levels. This funding is labelled "MLP" followed by the level of immersion.

Māori Language Programmes have three degrees of involvement. Within these programmes there are six levels which may be reported in board’s roll returns.

These levels are outlined in the tables below. Only students enrolled in levels 1 - 4 (including 4b) generate Māori Language Programme funding. See Appendix 1 for MLP funding rates.

Boards are initially funded for the number of students predicted by the school in each Māori Language Programme level. Funding is recalculated once actual numbers of students taught at each level have become available. Language verifiers visit a sample of schools receiving Māori Language Programme funding each year to ensure programmes are funded at the correct level.

For further information on roll return requirements refer to Chapter 5 (Roll Returns, Record Keeping and Resourcing Audits).

Careers information grant (schools with years 9-13+ only)

This funding is provided to boards with year 9–13 + students to assist with costs associated with providing careers information and guidance.

This grant is calculated in accordance with the school’s decile, which determines the relevant per pupil rate, and the total number of students enrolled in years 9–13+ .

ICT funding

This funding is provided to schools to assist with the purchase of ICT hardware and software.

It is calculated using a base and per-pupil rate.

STAR (schools with years 11-13+ only)

Secondary Tertiary Alignment Resource (STAR) funding is provided to schools with students in years 11-13+ to enable them to provide or access senior secondary programmes in non-conventional subjects.

For details of the funding formula and requirements see Appendix 3.

For enquiries about STAR funding, please contact the Senior Advisor, Curriculum, Teaching and Learning - Design, in the Ministry’s National Office.

Targeted Funding for Educational Achievement (TFEA)

Targeted Funding for Educational Achievement (TFEA) is a resource provided to assist boards of decile 1–9 schools to lower barriers to learning faced by students from low socio-economic communities. It is calculated and funded on a per pupil, decile related basis.

Caretakers, cleaners, canteen workers and groundstaff

This component is provided to assist boards to meet the costs resulting from the 2008 increase to the minimum pay rate for caretakers, cleaners, canteen workers and groundstaff.

It is calculated on a per pupil basis.

Vandalism

This grant is provided to all schools with the exception of integrated schools. The grant is provided to assist boards to take positive steps to reduce vandalism. Each board is funded in the mid range of its risk category. See Appendix 1 for the ranges.

Please refer any enquiries about vandalism funding to your Ministry of Education local office or the Property Management Handbook.

Class funding (special schools only)

A grant is provided for each class in most special schools. This is recalculated annually using the number of full-time-equivalent teachers generated by the Ongoing Resourcing Scheme (ORS).

Special education equipment/assistive equipment

Specialised equipment for students with special education needs can play a key role in removing barriers to educational achievement.

Students with special learning needs are eligible to be considered for equipment funding if they are supported through any of the special education initiatives. Equipment funding may be used to provide a wide range of specialised equipment and assistive technology relating to the student's disability or learning needs while they are at school.

For enquiries or the assistive equipment guidelines and application forms, contact the Group Special Education Technology Coordinator at your local office.

Secondary school arts coordinators

This funding is provided to boards of schools with year 9–13+ students to assist with the provision of administrative support for arts teachers in the coordination of gallery visits, itinerant performances, theatre shows, arts workshops, competitions and cultural and artistic events for their students.

Kiwisport

This funding is provided to all schools. It is provided to boards to assist with:

• increasing the numbers of school-age children participating in organised sport – during school, after school and by strengthening links with sports clubs
• increasing the availability and accessibility of sport communities for all school-aged children
• supporting children in developing skills that will enable them to participate effectively in sport at both primary and secondary level.

Targeted Funding for Isolation (TFI)

Boards of schools in isolated areas receive additional operational funding to recognise the extra costs of accessing goods and services due to their relative isolation.

For individual school index ratings and further information refer to the Ministry’s website www.minedu.govt.nz/isolation

An isolation index is calculated for each school using the following formula:

0.8 x the school’s distance in kilometres from the nearest population centre of 5,000 or more
plus
the school’s distance in kilometres from the nearest population centre of 20,000 or more
plus
0.4 x the school’s distance in kilometres from the nearest population centre of 100,000 or more
the total divided by 100 produces the index.

Targeted Funding for Isolation (TFI) funding formula

Mainland schools with an isolation index of 1.65 or higher receive targeted funding for isolation. This is calculated using the formula:

Base + (isolation index x roll x per pupil rate)

Schools on designated islands are given a notional isolation index, based on their relative isolation compared with mainland schools.

New classrooms

This grant is provided to all schools with the exception of integrated schools. A setting-up grant is paid for each new classroom generated by roll increases or increased staffing entitlements. The grant is provided to assist boards in equipping new classrooms with teaching and learning materials.

Boards do not need to apply for this grant, which is additional to that paid for furniture and equipment. The grant is paid to integrated schools only if the classroom is funded through the capital assistance programme.

Out-of-hours music and art (primary schools only)

The out-of-hours music and art scheme provides additional professional tuition not normally available within the staffing of primary schools to assist children in years 1-8 to further their education in art and music.

The allocation of hours is administered by Ministry local offices. The boards of the host schools are the employers of staff employed under this scheme. Tutors and coordinators are generally employed on a part-time basis, and boards managing the resource are provided with hours and supplementary funding. Staff members are paid through the school's pay centre and cannot be employed by the music centre or any other ad hoc service.

The allocations available to Ministry local offices for out-of-hours classes continue at the same level as in previous years. Some redistribution of hours by local offices may occur as demand for service changes.

An annual administration entitlement is calculated for each school on the basis of its allocated hours, and delivered as quarterly payments through the operational grant.

Normal and country model schools

Additional per pupil funding is provided to cover costs associated with the operation of normal and country model schools.

Year 7 and 8 pupils attending technology classes in other schools

Funding for the capital cost of equipping and replacing equipment in technology centres, the cost of disposables and consumables provided by the centre, and the cost of repairing and maintaining equipment has been included in the per-pupil funding for schools with pupils in years 7 and 8.

The board of a school with pupils attending technology classes at another school needs to negotiate a fee for each pupil with the board of the host school. There are no set rates.

The fee must be the same for all students attending the technology classes, whether from the host school or the contributing schools. The fee may not be used to cover the costs of property or utilities (property maintenance, minor capital works, vandalism and Heat, Light, and Water). The host school is already funded for these costs. Cost recovery for material and supplies used by students is not part of the per capita fee paid by schools.

Information about changing your current technology provider is located in Chapter 2.