Commonwealth of Australia Explanatory Memoranda

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STATES GRANTS (PRIMARY AND SECONDARY EDUCATION ASSISTANCE) BILL 2000

1998-1999-2000

THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA

HOUSE OF REPRESENTATIVES

STATES GRANTS (PRIMARY AND SECONDARY EDUCATION ASSISTANCE) BILL 2000

EXPLANATORY MEMORANDUM

(Circulated by authority of the Minister for Education, Training and Youth Affairs, the Hon Dr David Kemp MP)




ISBN: 0642 439184

States Grants (Primary and Secondary Education Assistance) Bill 2000

EXPLANATORY MEMORANDUM

OUTLINE


The purpose of the Bill is to implement the Government’s commitment to maintain stability in Commonwealth funding for primary and secondary education in Australia for the 2001 to 2004 quadrennium.

The Bill implements a number of decisions made in the 1999-2000 Budget:

− Introduction of the new socioeconomic status (SES)-based funding arrangements for non-government schools;
− Additional funding and consequent changes to funding arrangements for the Short Term Emergency Assistance program now renamed the School Transitional Emergency Assistance program;
− Introduction of a revised structure for Commonwealth programs for targeted assistance for schools; and
− Improved accountability arrangements for Commonwealth schools programs.

The Bill includes provision for the new socioeconomic status or SES based funding arrangements. Under the new arrangements general recurrent funding will be distributed according to need and schools serving the neediest communities will receive the greatest financial support.

The Bill allows for the increased funding to schools to be phased in over the quadrennium. Schools that are funded under the SES model will have their increased funding phased in at a rate of 25% of the increase each year, so that by 2004 schools will be fully funded at their new level.

The Bill guarantees financial security for all non-government schools. No non-government school will be financially disadvantaged by the move to the new SES funding system. Schools that would otherwise have their funding reduced under the new arrangements will have their year 2000 per capita entitlements maintained, with the year 2000 dollar rates adjusted annually in line with the latest Average Government School Recurrent Cost (AGSRC) figures.

Approved Catholic school systems will be funded on a basis that essentially preserves in real terms the per capita equivalent of their current funding categories in the year 2000.

In addition, the Bill provides additional funding for schools experiencing severe financial hardship or facing problems of viability during the transition to the new SES arrangements and establishment grants will be available to assist new non-government schools with costs incurred in their formative years and enable them to be competitive with existing schools.

The Bill also provides recurrent funding for distance education students receiving that education from non-government schools.

The Bill gives legislative effect to a new accountability framework aimed at strengthening the link between the funding provided under Commonwealth schools programs and improved outcomes for all Australian students. Grantees will be required to commit to achieving performance measures or performance targets against the National Goals for Schooling and to report progress.


The Bill provides for the introduction of a revised structure for some Commonwealth Programs of targeted assistance for schools which is the outcome of the review foreshadowed in the 1999-2000 Budget. The revised structure combines the literacy and numeracy – grants to schools program and the special education school support fixed grants and per capita grants into the Strategic assistance for improving student outcomes program.

The Bill changes arrangements and simplifies distribution of funding for the special education per capita program that has been subsumed within the Strategic assistance for improving student outcomes program.


The Bill provides for an average special education per capita funding amount per student for every eligible non-government student. The Bill also provides for additional funding through the Strategic assistance for improving student outcomes programme to ensure that funding for independent schools disadvantaged by the introduction of the average per capita rate will be maintained in terms of the per capita rate for the quadrennium.

The Bill also combines the priority and community languages programs into the Languages other than English program and simplifies distribution arrangements for this funding.


The Bill provides for government school General Recurrent Grants to be funded at a specified proportion of the dollar value of the AGSRC figure used for funding non-government schools to avoid possible inconsistent supplementation arrangements between the two sectors.

The Bill streamlines the legislative requirements for the Capital Grants Program. This change reflects the outcomes of a recent evaluation of the Capital Grants Program and will be accompanied by broader reporting by States on the state of their school infrastructure and improvements year on year. The change does not limit the ability of the Commonwealth to require approval on a project basis.

The Bill has a similar structure to the States Grants (Primary and Secondary Education Assistance) Act 1996.

As before, the legislative base for the schools programs will be under-pinned by agreements with the States and Territories as well as non-government school authorities. Administrative details will be in the publication “Commonwealth Programs for Schools – Administrative Guidelines – 2001 to 2004”.

FINANCIAL IMPACT


The Bill provides for an appropriation of some $16.7 billion in final 1999 prices for recurrent funding and $1.2 billion in final 1999 prices for capital funding. In total, the Bill appropriates an estimated $18 billion in final 1999 prices for the entire quadrennium. In accordance with the Government’s policy, these amounts will be adjusted for price movements. A Government amendment will be introduced to update all funding amounts in this Bill to 2000 final prices once the necessary data becomes available.

The Schedules to the Bill set out grants for the 2001 to 2004 quadrennium.

NOTES ON CLAUSES

PART 1 – PRELIMINARY

Clause 1 – Short title


This clause identifies the legislation as the States Grants (Primary and Secondary Education Assistance) Act 2000

Clause 2 – Commencement


This clause provides that the Bill will commence on 1 January 2001

Clause 3 – Simplified outline of Act


This clause provides a simplified outline of this Act.

Clause 4 – Definitions


This clause contains definitions of the terms and expressions used in the clauses of the Bill.

There are a number of new terms and expressions defined in this clause which are used as a result of the inclusion in the Bill of the new socioeconomic status (SES) funding provisions which are to apply under the General Recurrent Grants (GRG) Program. Reference is made to those definitions in the context of where the terms or expressions are used.

Clause 5 – Funding level


Subclause 5(1) provides that a funding level under the Bill has the meaning given by this clause. Under the Bill there are 3 different types of funding levels, all of which are expressed as a percentage of Average Government School Recurrent Costs (AGSRC). All schools (except those which are members of an approved Catholic school system) will have either an SES funding level or a year 2000 funding level. Approved Catholic school systems will have a system funding level. These funding levels replace the 12 funding category levels calculated according to the Education Resources Index (ERI) under the former Act (which is defined is subclause 4(1) to mean the States Grants (Primary and Secondary Education Assistance) Act 1996). They also replace funding provided for schools (called funding guarantees) which had their per student recurrent funding guaranteed at the dollar amount applicable to their funding level at the time they were placed in a lower funding level.

AGSRC for primary education and secondary education are defined in subclause 4(1) to mean the AGSRC primary and secondary amounts set out in Schedule 1 for the program year or, where those amounts are changed by a regulation made under subclause 102(1), the new amounts.


An SES funding level for a school is defined in subclause 4(1) to mean the percentage of AGSRC in column 2 of the tables in Parts 1 and 2 in Schedule 4 that applies to the school. The table in Part 1 deals with SES per student funding for primary education and the table in Part 2 deals with SES per student funding for secondary education. These funding levels are set out opposite the SES scores in column 1 of those tables. An SES score is defined in subclause 4(1) to have the meaning given by clause 7.

In total there will be 46 SES funding levels – an SES score of 85 or less is the highest SES funding level fixed at 70% of AGSRC, while an SES score of 130 or more is the lowest SES funding level fixed at 13.7% of AGSRC. Each SES score from 86 to 129 is a separate SES funding level so that funding is payable on a continuum. Special schools will not receive an SES score and instead will be placed in the highest funding level of 70% of AGSRC.

Until the precise AGSRC amounts for 2000 are known, it will not be possible to work out the precise amounts which are to be shown in Parts 1 and 2 of Schedule 4. The primary and secondary per student amounts shown in those Parts are the current per student amounts based on the 1999 AGSRC.

A year 2000 funding level is defined in subclause 4(1) to have the meaning given by clause 8. It applies to schools which are funding maintained under the new funding arrangements.


A system funding level for an approved Catholic school system is defined in this clause to mean the percentage of AGSRC specified in clause 127 for the system. Under the Bill the current 8 Catholic school systems will each have a system funding level. All Catholic systems (except in the ACT) will have a system funding level of 56.2% of AGSRC. The ACT Catholic system will have a system funding level of 51.2% of AGSRC. An approved Catholic school system is defined in subclause 4(1) to mean a system included in the list of approved school systems kept under clause 34 whose approved authority is a Catholic education authority.

Whether a school is placed in an SES funding level or is funding maintained and placed in a year 2000 funding level, is determined under the transitional provisions set out in clauses 125 to 129.

Clause 6 – Levels of education


This clause enables the Minister to determine what is primary or secondary education in a State, allowing the Minister to take account of different arrangements for primary or secondary years across States. The Minister is required to Gazette the determination.

Clause 7 – SES Score


Subclause 4(1) defines an SES score to have the meaning given by this clause. This clause defines an SES score to be a number determined by the Minister for a school in accordance with guidelines approved by the Minister. The relevant SES scores are set out in column 1 of the tables in Part 1 and Part 2 of Schedule 4. They range from 85 or less to 130 or more and are expressed as a whole number. Under the SES funding arrangements, all non-government schools other than Catholic systemic schools and special schools will receive an SES score. The guidelines, which will set out how an SES score is to be calculated, are treated as a disallowable instrument.

Clause 8 – Year 2000 funding level

This clause defines a year 2000 funding level for a school or an approved school system to mean the percentage of AGSRC in column 1 of the tables in Parts 3 and 4 in Schedule 4 that the school’s or approved school system’s year 2000 primary amount and year 2000 secondary amount represent of the AGSRC in Schedule 1 as at 1 January 2001. These funding levels are to apply to schools which are funding maintained under the new funding arrangements. The table in Part 3 deals with per student recurrent funding for primary education and the table in Part 4 deals with per student recurrent funding for secondary education. The percentage is to be rounded to the nearest decimal point (with rounding up or down).
The year 2000 primary amount and the year 2000 secondary amount are defined in subclause 4(1). These amounts are the Part 1 and Part 2 per student recurrent amounts that applied to the primary and secondary levels of education at a school or system under subsection 47(2) of the former Act immediately before the Bill commences on 1 January 2001.

The funding levels which correspond to the proportion of the AGSRC that the 12 funding category levels for the primary and secondary levels of education under the former Act represented, are set out in the following table. The table also shows the funding levels corresponding to the guaranteed per capita amounts which applied to schools whose funding was guaranteed by virtue of subsections 47(2), 101(3) or 101(4) of the former Act, as the case may be. The year and number beside the letter “G” refers to the year and the funding level applicable to the school at the time it became funding guaranteed.

Until the precise amounts for the year 2000 primary amount, the year 2000 secondary amount and the AGSRC amounts as at 1 January 2001 are known, it will not be possible to work out the precise year 2000 funding levels for the current 12 ERI funding categories or for the funding guarantee cases, which are to be shown in column 1 of Parts 3 and 4 of Schedule 4. The funding levels currently shown in those tables are based on the current primary and secondary per student amounts and the 1999 AGSRC.

In total there are 12 funding levels for both primary and secondary corresponding to the 12 ERI funding categories, with an additional 5 levels in primary and 6 levels in secondary for the funding guaranteed schools (the primary amount for one level is no longer guaranteed, hence the funding level for the “1993 4G” in primary is the same as that for the category 3 funding level).

ERI funding category or Funding guaranteed amount
Percentage of AGSRC
Primary funding level
Percentage of AGSRC
Secondary funding level
1
11.9
13.9
2
15.8
18.5
3
19.8
21.4
4
24.0
28.1
5
29.0
31.4
6
32.0
34.7
7
35.1
38.0
8
38.7
42.0
9
43.4
47.2
10
47.0
51.0
11
50.9
55.1
12
55.0
59.7
1993 2G
12.1
14.2
1993 3G
15.1
16.4
1993 4G
19.8
21.5
1993 5G
21.3
23.1
1993 7G
26.0
28.2
1996 10G
37.6
40.8

Clause 9 – Approved authority


This clause enables the Minister to determine that a body is to be the approved authority of a non-government body such as an approved school system or a non-systemic school, for the purposes of a particular provision of the Bill.

Clause 10 – Nominated authority


This clause allows non-government schools to combine to participate in a program under the auspices of a body established for the purpose (a nominated authority).

PART 2 – GENERAL PROVISIONS RELATING TO GRANTS

Division 1 – Simplified outline of Part

Clause 11 – Simplified outline


This clause provides a simplified outline of the general provisions relating to grants. The Minister is not to authorise a payment to a State for a government school or to a State for a non-government school unless an agreement is in place between the Commonwealth and the State or the relevant non-government authority.

Division 2 – Grants for government schools

Clause 12 – Agreement on conditions of financial assistance


This clause prescribes that the Minister must not authorise payment to a State in the absence of an agreement with that State. An agreement must include a requirement that the State makes a commitment to the National Goals for Schooling prepared by the Ministerial Council on Education, Employment, Training and Youth Affairs and a commitment to achieve the performance measures, including the performance targets set out in regulations as in force from time to time. An agreement must also include a requirement that the State spends financial assistance in accordance with the purposes for which it is given; that the State provide reports in respect of that expenditure at times nominated by the Minister; and the specific conditions set out under clauses 14, 15, 16 and 17. The agreement may also include other conditions the Minister thinks appropriate.

Clause 13 – General conditions of financial assistance


This clause prescribes that grants under the Bill are to be subject to the conditions set out in an agreement under clause 12.

Clause 14 – Specific conditions: financial accountability


This clause prescribes that States will give the Secretary of the Department reports on expenditure, in respect of a program year, on or before 30 June of the following year, unless another date is prescribed by the Minister. The clause also requires States to repay unspent amounts to the Commonwealth if the Minister so determines.

Clause 15 – Specific conditions: educational accountability


This clause prescribes that, by the date determined by the Minister, a State will take part in preparing reports on the outcomes of schooling including the provision of reports as required by the Minister addressing the requirements for performance information that are set out in the regulations as in force from time to time. States may also be required to provide reports in relation to financial assistance and to take part in evaluations of the outcomes of programs funded under the Bill. In addition, if the Minister considers that the State has not achieved the performance measures, including the performance targets set out in the regulations and the Minister has directed the State to take the action specified in the direction, the State must provide to the Minister a report on the action taken in response to the direction.

Clause 16 – Specific condition: non-fulfilment of conditions


This clause prescribes that, where a State has not fulfilled a condition in clause 12(1)(c) or clauses 14 or 15, the Minister may determine that the State will repay amounts determined by the Minister to the Commonwealth. Where the State does not make such a repayment then the Commonwealth Minister may reduce other amounts payable to the State for government schools under the Bill or delay making payments until the State fulfils outstanding conditions.

Clause 17 – Specific condition: overpayment of financial assistance


This clause provides that where a payment exceeds that which is properly payable under the Bill then, if the Minister so determines, the State will repay the excess to the Commonwealth. If the State does not make such a repayment then the Minister may reduce other amounts payable to the State for government schools under the Bill.

Division 3 – Grants for non-government bodies

Subdivision A – Requirements for relevant authorities etc.


Clause 18 – Minister not to authorise payment to a State for a non-government body in certain circumstances

This clause prescribes that the Minister must not authorise payments to a State for a non-government body in the absence of an agreement between the Commonwealth and the relevant authority. The agreement is to conform with clause 19 of the Bill.

This clause also empowers the Minister to refuse to authorise payments to a non-government school, or for a level of education in a non-government school, for any period when the school or level is not recognised by the State Minister. Similarly, where a non-government school is being wound-up, is in receivership or is under the control of a manager, the Minister may delay or refuse to authorise payments.

The Minister may delay or refuse to authorise payments where the relevant authority is not a body corporate or it appears that the authority’s liabilities are greater than its assets or the authority is unlikely to be able to pay its debts.

Clause 19 – Provisions that must be included in agreements


This clause provides that an agreement made under clause 18 must contain a requirement that the relevant authority make a commitment to the National Goals on Schooling prepared by the Ministerial Council on Education, Employment, Training and Youth Affairs and a commitment to achieve the performance measures, including the performance targets set out in regulations as in force from time to time. An agreement must also include the specific requirements set out under clauses 21, 22, 23, 24 and 25; and any provision required by clauses 41(2)(d), 43(4)(b) and 44(4)(e).

Clause 20 – Provisions that may be included in agreements
This clause prescribes that an agreement may include any other provisions that the Minister thinks appropriate in relation to the relevant authority.

Clause 21 – General requirements

This clause prescribes that an agreement must require that amounts received by the relevant authority for non-government bodies be spent for the purposes set out in an agreement, which may include administrative expenses incurred by the authority. It must also include a provision which allows a person authorised by the Minister to be given free access to, and be permitted to make copies of, accounts and records relating to information the authority is required to give the Minister under the agreement.

Clause 22 – Specific requirement: financial accountability

This clause prescribes that an agreement must contain a requirement that the authority is to give to the Secretary of the Department, after the end of the program year, a certificate by a qualified accountant that the amounts received were spent (or committed to be spent) for the purposes set out in the agreement.

Clause 23 – Specific requirement: educational accountability

This clause prescribes that an agreement must contain a requirement that, by the date determined by the Minister, the relevant authority will take part in preparing reports on the outcomes of schooling including the provision of reports as required by the Minister addressing the requirements for performance information that are set out in the regulations as in force from time to time. The relevant authority must also provide reports in relation to financial assistance provided to the authority and take part in evaluations of the outcomes of programs funded under the Bill. In addition, if the Minister considers that the authority has not achieved the performance measures, including the performance targets set out in the regulations and the Minister has directed the authority to take the action specified in the direction, the authority must provide to the Minister a report on the action taken in response to the direction.

Clause 24 – Specific requirement: provision dealing with failure to comply within time limit
This clause prescribes that an agreement must contain a requirement where an authority does not fulfil a requirement set in the agreement, the Minister may determine that the authority will repay amounts determined by the Minister to the Commonwealth. Where the authority does not make such a repayment then the Commonwealth Minister may reduce other amounts payable to the State for the non-government body under the Bill or delay making payments until the authority fulfils outstanding conditions.

Clause 25 – Specific requirement: failure to comply with other requirements

This clause prescribes that an agreement must contain a requirement, that, where a payment exceeds that which is properly payable under the Bill, if the Minister so determines, the relevant authority of the non-government body will repay the excess to the Commonwealth. If the authority does not make such a repayment, the Minister may reduce other amounts payable to the State for the non-government body under the Bill.

Subdivision B – Conditions of grants to States for non-government bodies

Clause 26 – General conditions of grant to a State of financial assistance

This clause provides that a State should, without delay, pass on to a non-government authority, amounts paid to the State under the Bill for that authority and that the State should advise the authority that the funds are being provided by the Commonwealth.

Clause 27 – Specific condition: non-fulfilment of conditions

This clause prescribes that, if a State does not fulfil a condition under clause 26 in relation to a grant, within the period prescribed or a later period determined by the Minister, then the State will repay the relevant amount. Failing this, the Minister may delay the making of further payments for government schools in the State until the State fulfils the relevant condition.

Division 4 – Miscellaneous

Clause 28 – Powers of Minister if amounts of grants become repayable

This clause applies where an amount paid to a State becomes repayable and that amount remains unpaid. In these circumstances the Minister may reduce payments that would otherwise be due to the State under the Bill and may redistribute an amount equal to the reduction to the States for any purpose under any provision of the Bill.

Clause 29 – Amount payable by a State to the Commonwealth is a debt

This clause prescribes that an amount payable by a State to the Commonwealth under this Bill is a debt due by the State to the Commonwealth.

Clause 30 – Powers of Minister if amounts payable by relevant authorities

This clause applies where an amount is to be repaid by the relevant authority and the amount remains unpaid. In these circumstances the Minister may reduce payments that would otherwise be payable to the State for the authority and may redistribute an amount equal to the reduction to the States for any purpose under any provision of the Bill.

Clause 31 – Determinations requiring repayments

This clause prescribes that the Minister should take into account all relevant matters before making a determination under clauses 16(1)(a), 17(a), 24(a), 25(a) or 27(1)(a),.

PART 3 – LISTS OF NON-GOVERNMENT SCHOOLS AND APPROVED SCHOOL SYSTEMS

Division 1 – Funding of non-government schools

Clause 32– Funding of non-government schools


This clause provides that a non-government school is not eligible for financial assistance unless it appears on the list of non-government schools for the level of education and location for which financial assistance is sought.

Division 2 – List of non-government schools

Clause 33 – List of non-government schools


This clause requires that the Minister must keep a list of non-government schools for which financial assistance is provided under the Bill. There are definitions in subclause 4(1) of school, non-government school and systemic and non-systemic schools.

The details required to be kept in the list are specified and generally are the same as those required under the former Act. The new additions relate to a school’s SES score being included, whether or not the school is approved for distance education, and the name of the approved authority of the school. The clause also requires the Minister to have the list of schools published in the Gazette, including the funding level of all schools except Catholic systemic schools. Clause 122 keeps the list kept under the former Act that is in force immediately before 1 January 2001 in force under the Bill excluding funding levels.

Division 3 – List of approved school systems


Clause 34 – List of approved school systems

This clause requires that the Minister must keep a list of approved school systems. An approved school system is defined in subclause 4(1) to mean a system included in the list kept under this clause. An approved Catholic school system is also defined in subclause 4(1) and means a system included in the list kept under this clause whose approved authority is a Catholic education authority.

The list is to contain the name of each approved school system and the funding level of each approved Catholic school system. The clause also requires the Minister to have the list of approved school systems published in the Gazette, including the names of each systemic school and the funding level of each approved Catholic school system. Clause 123 keeps the list kept under the former Act that is in force immediately before 1 January 2001, in force under the Bill excluding funding levels.

PART 4 – VARYING LISTS


Division 1 – Simplified outline of Part

Clause 35 – Simplified outline


This clause provides a simplified outline of Part 4.

Division 2 – Varying lists of non-government schools and approved school systems

Clause 36 – Varying list of non-government schools


This clause empowers the Minister to vary the list of non-government schools, by determination, having regard to various factors. These include if the whole school ceases to be recognised by a State or ceases to be recognised for a level of education or for distance education or becomes profit making. The Minister may also correct errors in the list. Where changes are made to the list, the Minister must advise the approved authority of the school or system (clause 50).

Clause 37 – Varying list of approved schools systems

This clause empowers the Minister to vary the list of approved school systems, by determination, having regard to various factors, including to correct errors in the list. There is no power to include a new system in the list. Where changes are made to the list, the Minister must advise the approved authority of the system (clause 50).

Division 3 – Change of funding level


Clause 38 - Change of funding level of non-government school due to incorrect SES score

This clause allows the approved authority of a school to apply for a review of the school’s funding level where it considers the school’s SES score has not been determined correctly or the score is no longer accurate because of a significant change in the school’s circumstances (for example, where a significant new intake of students has changed the school’s SES score since the previous SES score was calculated).

The clause requires that there must be a written application for a review of a school’s funding level containing particulars about the school and the grounds of review.

The clause empowers the Minister to determine a different SES funding level if the school has an SES funding level. If the school is funding maintained and has a year 2000 funding level, the Minister is empowered to determine an SES funding level for the school.

Division 4 – Change of approved authority

Clause 39 – Application of Division


This Division applies to a proposal to change the approved authority of a non-systemic school or an approved school system. It does not apply to changes resulting from schools seeking to join or leave systems or changes resulting from new school proposals – see Divisions 5 and 6.

Clause 40 – How to obtain Ministerial approval of proposal


This clause prescribes that the approved authority of a non-systemic school or an approved school system may apply in writing, giving details of the school or system and the new body that is to assume responsibility for the school or system, and indicating if the new body is prepared to fulfil the obligations, if any, of the existing approved authority under the Bill or the former Act.

Clause 41 – Decision by the Minister


This clause empowers the Minister to approve or refuse a proposal. The Minister, however, must not approve a proposal unless the new body is recognised by the State if this is required; is an incorporated body if the school is non-systemic; has made an agreement with the Commonwealth; and, is prepared to fulfil the obligations, if any, of the existing approved authority. The school or schools for which the body is responsible must be non-profit making.

Clause 42 – Varying list of non-government schools


The clause states that the Minister, if he or she approves a proposal, must also determine the approved authority and vary the list of non-government schools.

Division 5 – Change in systemic status


Clause 43 – Proposal for a non-systemic school to become a member of an approved school system

This clause prescribes that the approved authority of a non-systemic school may apply in writing, giving details of the school and the school system, providing evidence that the approved authority of the system agrees to the school joining and indicating if that approved authority is prepared to fulfil the obligations, if any, of the existing approved authority under the Bill or the former Act.

The Minister is empowered to approve or refuse a proposal. The Minister, however, must not approve a proposal unless the approved authority of the system has made an agreement with the Commonwealth and is prepared to fulfil the obligations, if any, of the existing approved authority. If the Minister approves a proposal, he or she must also vary the list of non-government schools.

Clause 44 – Proposal for a school to cease to be a member of an approved school system

This clause prescribes that either the approved authority of the system or the body that is to become principally responsible for the school may apply in writing, giving details of the school and the new body that is to assume responsibility for the school and indicating if the new body is prepared to fulfil the obligations, if any, of the existing approved authority under the Bill or the former Act.

The Minister is empowered to approve or refuse a proposal. The Minister, however, must not approve a proposal unless there is evidence that the approved authority of the system agrees to the school leaving or the Minister has given notice to that authority, the new body is an incorporated body and is not profit-making, and has made an agreement with the Commonwealth and is prepared to fulfil the obligations, if any, of the existing approved authority. If the Minister approves a proposal, he or she must also determine the approved authority and vary the list of non-government schools.

Division 6 – Changes to schools or education provided

Clause 45 – Application to vary the list of non-government schools


Subclauses (1) and (2) prescribe that the approved authority of a school may apply in writing to have the list of non-government schools varied to take account of a location proposal. A location proposal is defined to mean a proposal to provide a new level of education at an existing or new location, or to provide the same level of education at a new location, or to provide distance education at the same level of education at an existing location.

Subclauses (3) and (4) prescribe that the approved authority of a system or the body that is to become principally responsible for the school may apply in writing to have the list of non-government schools varied to take account of a new school proposal. A new school proposal is defined as a proposal for an amalgamation of a systemic or non-systemic school with any other school, or the separation of a systemic or non-systemic school into two or more schools, or a proposal for the inclusion in the list of a new school or an existing school which is not receiving Commonwealth funding.

Subclauses (5) and (6) prescribe that the application is to be in writing and set out details of the proposal and the earliest program years in respect of which the application is made. If the application is for an earlier year than the year of application, it must set out the circumstances the applicant considers are exceptional justifying backdating the variation of the list.

Clause 46 – Decision by Minister on application


The clause provides that the Minister may approve or refuse a proposal. Where the Minister approves the application, he or she must determine the body that will be the approved authority of the school where the school is non-systemic.

Clause 47 – Prerequisites for variation of list


This clause prescribes the requirements that must be met before the Minister may vary the list in respect of a location proposal or a new school proposal:
(a) the school which is the subject of the location proposal or new school proposal must have begun to provide the education the subject of the proposal;
(b) the school must have State recognition for the level of education and/or location the subject of the location proposal or for the new school proposal;
(c) if the location proposal relates to distance education, the school must have State recognition for the provision of distance education;
(d) if a new school is proposed, it must not be conducted for profit;
(e) if a new non-systemic school is being proposed, the approved authority must be a body corporate; and
(f) all of the previous requirements must be satisfied before the schools census day in the year in which the proposal is to take effect. The schools census day is defined in subclause 4(1).

Clause 48 – Application relating to previous program year


The clause prescribes that the Minister may only vary the list retrospectively for a location proposal or a new school proposal if he or she is satisfied that there are exceptional circumstances justifying such a variation.

Division 7 – Miscellaneous

Clause 49 – Variation to include funding level in certain circumstances


This clause requires the Minister to determine an SES funding level having regard to the school’s SES score and include that funding level in the list of non-government schools in respect of approvals the Minister has given to proposals:

(a) for the amalgamation of a non-systemic school or a systemic school (except a Catholic systemic school) with another school that is not a Catholic systemic school;
(b) for the separation of a non-systemic school or a systemic school (except a Catholic systemic school) into two or more schools;
(c) for a new school (except a school which is to become a Catholic systemic school);
(d) for a school (except a school which is to become a Catholic systemic school) that exists but is not receiving Commonwealth funding; or
(e) for a school that is no longer included in an approved Catholic school system.

Because an approved Catholic school system has a system funding level, individual Catholic systemic schools will not have a funding level.

Clause 50 – Minister to give notice to authority of determination


This clause requires the Minister to give notice of a decision under this Part to the relevant approved authority.

Clause 51 – Determination may be given retrospective effect


This clause empowers the Minister to give a determination a retrospective effect but not to a date earlier than 1 January 2001.

Clause 52 – Overseas students disregarded


This clause provides that overseas students are to be disregarded for the purposes of Part 4. An overseas student is defined in this clause as a person who has a visa, or is included in a visa, in force under the Migration Act 1958 that permits the person to travel to Australia for the purpose of undertaking a course.

The clause also permits a regulation to be made extending the definition to a person or a class of persons prescribed in the regulation.

The Minister is empowered under this clause to exclude a person or a person included in a class of persons from the operation of the definition. Clause 124 keeps a determination made under the former Act as to the exclusions from the definition that is in force immediately before 1 January 2001, in force under the Bill.

PART 5 – GRANTS FOR EDUCATION AT GOVERNMENT SCHOOLS

Division 1 – Grants for general recurrent expenditure

Clause 53 – Grants for general recurrent expenditure


This clause empowers the Minister to make recurrent grants to the States which, in total, are no greater than the sum of the amounts calculated by multiplying the number of primary and the number of secondary government school students on the schools census day for the State for the program year by the respective per student amounts (referred to as the primary education amount and the secondary education amount) in Schedule 2 for the program year.

The amounts in Schedule 2 are expressed as a percentage of AGSRC. AGSRC for primary education and secondary education are defined in subclause 4(1) to mean the AGSRC primary and secondary amounts set out in Schedule 1 for the program year or, where those amounts are changed by a regulation made under subclause 102(1), the new amounts.


The schools census day for a State for a program year is defined in subclause 4(1).

Under clause 117 overseas students (whose meaning is defined in subclause 52(2)) are not eligible to attract financial assistance under this Part.

Clause 54 – Authorising payments of capital grants


This clause enables the Minister to authorise payments to the States for capital expenditure in connection with government schools and/or government rural school hostels which, in total, do not exceed the amounts in column 2 of Schedule 3 for the respective program years.

PART 6 – GRANTS FOR NON-GOVERNMENT SCHOOLS

Division 1 – Simplified outline of Part

Clause 55 – Simplified outline


This clause provides a simplified outline of the payment of grants for non-government schools.

Division 2 – Grants for general recurrent expenditure


This Division deals with the payment of general recurrent grants for non-government schools. The calculation of the amount of the grant relates to:

(a) whether a non-systemic school or a systemic school in an approved school system (except an approved Catholic school system) has an SES funding level or is funding maintained and has a year 2000 funding level, or whether an approved Catholic school system is involved;
(b) the number of primary or secondary students (including the full-time equivalent of part-time students), and the number of primary or secondary distance education students (including the full-time equivalent of part-time students) at the school or approved Catholic school system on the schools census day for the State for the program year; and
(c) the per student recurrent amount applicable to the funding level of the school or approved Catholic school system for the program year for the primary and secondary levels of education, and the per student recurrent amount applicable to primary and secondary distance education students.

Subclause 4(2) provides that a student will not be taken to be receiving primary or secondary education at a non-government school at the location set out in the list of non-government schools unless the basis of the student’s attendance is daily. The Minister is empowered because of special circumstances to determine that the student is so attending on a daily basis.

Subclause 4(3) provides that a student will not be taken to be receiving primary or secondary distance education at a non-government school in a State if the student does not reside in the State, or the school is not approved under State law to provide distance education, or the student is home educated.

Under clause 117 overseas students (whose meaning is defined in subclause 52(2)) are not eligible to attract financial assistance under this Part.

Subdivision A – Schools with SES funding levels

Clause 56 – Simplified outline


This clause gives a simplified outline of grants to schools with SES funding levels.

Clause 57 - Authorising payments for non-systemic schools

This clause provides for general recurrent grants for non-systemic schools which have an SES funding level. The Minister is empowered to make recurrent grants to a State for a non-systemic school for a program year.

Where a school had primary or secondary students only as at the 2000 schools census day and was receiving general recurrent grants under the former Act immediately before 1 January 2001 for those students, paragraph (1)(a) and subclause (2) provide that the total of the grants for the school must not be greater than the sum of the amounts worked out by adding up the following:

(a) an amount for the school’s primary students calculated under clause 59;
(b) an amount for the school’s secondary students calculated under clause 60;
(c) an amount for the school’s primary distance education students calculated under clause 62; and
(d) an amount for the school’s secondary distance education students calculated under clause 63.

Where a school was a combined school having primary and secondary students as at the 2000 schools census day and was receiving general recurrent grants under the former Act immediately before 1 January 2001 for those students, paragraph (1)(b) and subclause (3) provide that that the total of the grants for the school must not be greater than the sum of the amounts worked out by adding up the following:

(a) an amount for the school’s primary and secondary students calculated under clause 61;
(b) an amount for the school’s primary distance education students calculated under clause 62; and
(c) an amount for the school’s secondary distance education students calculated under clause 63.

Clause 58 - Authorising payments for approved school systems (except approved Catholic school systems)

This clause provides for general recurrent grants for systemic schools (other than a Catholic systemic school) which have an SES funding level. The Minister is empowered to make recurrent grants to a State for an approved school system for each systemic school for a program year. In subclause 4(1) an approved school system is defined to mean a school system included in the list kept under clause 34, and a program year is defined as the calendar years 2001-2004.

Where a systemic school had primary or secondary students only as at the 2000 schools census day and the system was receiving general recurrent grants under the former Act immediately before 1 January 2001 for those students, paragraph (2)(a) and subclause (3) provide that the total of the grants for each such school must not be greater than the sum of the amounts worked out by adding up the following:

(a) an amount for the school’s primary students calculated under clause 59;
(b) an amount for the school’s secondary students calculated under clause 60;
(c) an amount for the school’s primary distance education students calculated under clause 62; and
(d) an amount for the school’s secondary distance education students calculated under clause 63.

Where a systemic school was a combined school having primary and secondary students as at the 2000 schools census day and the system was receiving general recurrent grants under the former Act immediately before 1 January 2001 for those students, paragraph (2)(b) and subclause (4) provide that the total of the grants for each such school must not be greater than the sum of the amounts worked out by adding up the following:

(a) an amount for the school’s primary and secondary students calculated under clause 61;
(b) an amount for the school’s primary distance education students calculated under clause 62; and
(c) an amount for the school’s secondary distance education students calculated under clause 63.

Clause 59 - Primary student amount


This clause sets out in a method statement for the purposes of clauses 57 and 58, how the grant is calculated for the primary students of a school with an SES funding level and approved for the primary level of education.

Where a school with an SES funding level is covered by one of the circumstances specified in subclause (5), the grant is calculated by multiplying the number of primary students at the school by the primary per student amount applicable to the school for the program year. The primary per student amount is called the adjusted SES primary amount as it can change over the program years. It is defined in subclause (7) as the amount set out in the table in Part 1 of Schedule 4 for the program year applicable to the school’s SES funding level or, in the case of a special school, the highest SES funding level of 70% of AGSRC. The number of primary students is defined in subclause 4(1).

The specified circumstances referred to in subclause (5) are:

(a) new school proposals approved under the Bill. This, includes schools whose SES funding level is later changed under the funding review provisions in clause 38. Such schools can only have an SES funding level;
(b) a school begins a level of primary education and no level of primary education was included in the list for the school immediately before the variation;
(c) schools whose year 2000 funding level is later changed to a lower SES funding level under the funding review provisions in clause 38;
(d) new school proposals for non-systemic schools approved under the former Act where the application was made after 11 May 1999 and the list of non-government schools was varied in 1999 or 2000. Such schools received an SES score and will not receive a year 2000 funding level (see clause 129). This category also includes those schools whose SES funding level is later changed under the funding review provisions in clause 38; and
(e) schools that ceased to be members of approved Catholic school systems on or after 1 January 2001. Such schools do not have a school funding level while members of an approved Catholic school system and will receive an SES funding level under paragraph 49(2)(e).

Other schools with an SES funding level to whom subclause (5) does not apply will have their increased funding phased in at a rate of 25% of the increase each year, so that by 2004 the schools will be funded at their new SES funding level. The phasing in formula is the same for 2001–2004 but with the program year percentages increasing each year. The program year percentage is defined in subclause 4(1) as 25% for the 2001 program year, 50% for the 2002 program year, 75% for the 2003 program year and 100% for the 2004 program year. The general rule is set out in the method statement in subclause (1). Subclause (4) sets out a formula to deal with the case where a negative number results so that the school receives the adjusted year 2000 primary amount for the program year.

The method statement refers to a number of terms. The year 2000 primary amount is defined in subclause 4(1) as the primary per student recurrent amount that applied to the school under subsection 47(2) of the former Act immediately before 1 January 2001. The adjusted year 2000 primary amount is defined in subclause 4(1) to mean the amount set out in the table in Part 3 of Schedule 4 for the program year applicable to the school’s year 2000 funding level or, in the case of a special school, the highest year 2000 funding level which is the amount set out opposite the year 2000 funding level for the former ERI category 12 funding level. The method of working out the proportional change in the AGSRC is set out in subclause (2) and (3).

An example follows of the operation of the phasing in formula set out in the method statement for 2001. The amounts in square brackets after each step illustrate how a school’s entitlement for its primary students would be calculated for a school that had a category 8 funding level in 2000 and an SES score of 100. It is assumed that the school’s SES primary amount for 2001 is $2,394, the year 2000 primary amount for category 8 is $1,809. It is also assumed that the 2001 AGSRC is $4,720 and it is assumed that the school has 95 full-time primary students as at the 2001 schools census day. The schools census day for a State for a program year is defined in subclause 4(1).

Method statement

Step 1. Subtract the school’s year 2000 primary amount from the school’s SES primary amount.
[For 2001: $2,394 - $1,809 = $585]

Step 2. If the result of step 1 is a positive amount, work out the amount equal to the program year percentage of the
result.
[For 2001: 25% of $585 = $146.25]
Note: If the result of step 1 is a negative amount, or zero, go to subsection (4).
Step 3. Add up:
(a) the proportional change in AGSRC for primary education worked out under subsection (2); and
(b) 1.
[For 2001: $4,720 - $4,674 = 0.0098 + 1 = 1.0098]
$4,674

Step 4. Multiply the result of step 2 by the result of step 3 and round the product to the next highest dollar if it is not already a whole number of dollars.
[For 2001: $146.25 x 1.0098 = $148 (rounded)]

Step 5. Add the result of step 4 to the school’s adjusted year 2000 primary amount for the program year.
[For 2001: $1,809 + $148 = $1,957]

Step 6. Multiply the result of step 5 by the number of primary students for the school for the program year.
[For 2001: $1,957 x 95 = $185,915]


Until the precise amounts for the year 2000 primary amount, the year 2000 secondary amount and the AGSRC amounts as at 1 January 2001 are known, it will not be possible to work out the precise SES amounts and the year 2000 funding levels and amounts for the current 12 ERI funding categories or for the funding guarantee cases, which are to be shown in Parts 1 and 2 (columns 3 to 6) and in Parts 3 and 4 (columns 1 to 5) of Schedule 4. The funding amounts shown in those Parts 1 and 2 are the current per student amounts based on the 1999 AGSRC, and the funding levels and amounts shown in Parts 3 and 4 are based on the current primary and secondary per student amounts and the 1999 AGSRC.

Subclause 4(2) provides that a primary student not attending a school at its approved location on a daily basis is excluded unless the Minister has determined that the student should be treated (because of special circumstances) as so attending the school. The definition of the number of primary students in subclause 4(1) also excludes primary distance education students.

Clause 60 - Secondary student amount

This clause sets out in a method statement for the purposes of clauses 57 and 58, how the grant is calculated for the secondary students of a school with an SES funding level and approved for the secondary level of education.

Where a school with an SES funding level is covered by one of the circumstances specified in subclause (5), the grant is calculated by multiplying the number of secondary students at the school by the secondary per student amount applicable to the school for the program year. The secondary per student amount is called the adjusted SES secondary amount. It is defined in subclause (7) as the amount set out in the table in Part 2 of Schedule 4 for the program year applicable to the school’s SES funding level or, in the case of a special school, the highest SES funding level of 70% of AGSRC. The number of secondary students is defined in subclause 4(1). The specified circumstances are the same as those listed in subclause 59(5).

Other schools with an SES funding level to whom subclause (5) does not apply will have their increased funding phased in at a rate of 25% of the increase each year, so that by 2004 the schools will be funded at their new SES funding level. The phasing in formula is the same for 2001–2004 but with the program year percentages increasing each year. The program year percentage is defined in subclause 4(1) as 25% for the 2001 program year, 50% for the 2002 program year, 75% for the 2003 program year and 100% for the 2004 program year. The general rule is set out in the method statement in subclause (1). Subclause (4) sets out a formula to deal with the case where a negative number results so that the school receives the adjusted year 2000 secondary amount for the program year.

The method statement refers to a number of terms. The year 2000 secondary amount is defined in subclause 4(1) as the secondary per student recurrent amount that applied to the school under subsection 47(2) of the former Act immediately before 1 January 2001. The adjusted year 2000 secondary amount is defined in subclause 4(1) to mean the amount set out in the table in Part 4 of Schedule 4 for the program year applicable to the school’s year 2000 funding level or, in the case of a special school, the highest year 2000 funding level which is the amount set out opposite the year 2000 funding level for the former ERI category 12 funding level. The method of working out the proportional change in the AGSRC is set out in subclause (2).

Subclause 4(2) provides that a secondary student not attending a school at its approved location on a daily basis is excluded unless the Minister has determined that the student should be treated (because of special circumstances) as so attending the school. The definition of the number of secondary students in subclause 4(1) also excludes secondary distance education students.


Clause 61 – Combined primary and secondary student amounts

This clause sets out in a method statement for the purposes of clauses 57 and 58, how the grant is calculated for both primary and secondary students of a school with an SES funding level and approved for both primary and secondary levels of education.

Combined schools with an SES funding level will have their total increased SES funding amount phased in at a rate of 25% of the total increase each year, so that by 2004 the schools will be funded at their new SES funding level. The phasing in formula is the same for 2001–2004 but with the program year percentages increasing each year. The program year percentage is defined in subclause 4(1) as 25% for the 2001 program year, 50% for the 2002 program year, 75% for the 2003 program year and 100% for the 2004 program year.

Where a combined school with an SES funding level is covered by one of the circumstances specified in subclause (3), the grant is calculated by multiplying the number of primary and secondary students at the school by the respective primary and secondary per student amount applicable to the school for the program year. The adjusted primary and secondary per student amounts are defined in subclause 4(1). The number of primary and secondary students are also defined in subclause 4(1). The specified circumstances are:
(a) schools whose year 2000 funding level is later changed to a lower SES funding level under the funding review provisions in clause 38;
(b) new school proposals for non-systemic schools approved under the former Act where the application was made after 11 May 1999 and the list of non-government schools was varied in 1999 or 2000. Such schools received an SES score and will not receive a year 2000 funding level (see clause 129). This category also includes those schools whose SES funding level is later changed under the funding review provisions in clause 38; and

Other schools with an SES funding level to whom subclause (2) does not apply will have their increased funding phased in at a rate of 25% of the increase each year, so that by 2004 the schools will be funded at their new SES funding level. The phasing in formula is the same for 2001–2004 but with the program year percentages increasing each year. The program year percentage is defined in subclause 4(1) as 25% for the 2001 program year, 50% for the 2002 program year, 75% for the 2003 program year and 100% for the 2004 program year. The general rule is set out in the method statement in subclause (1).

Clause 62 - Primary distance education student amount

This clause sets out for the purposes of clauses 57 and 58, how the grant is calculated for the primary distance education students of a school with an SES funding level and approved for the primary level of education and distance education.

The grant is calculated by multiplying the number of primary distance education students at the school by the primary distance education per student amount for the program year. The amount is called the adjusted primary distance education amount. The number of primary distance education students is defined in subclause 4(1). The adjusted primary distance education amount is defined in subclause (2) as the amount set out in the table in Part 1 of Schedule 4 for the program year applicable to the SES funding level of 13.7% of AGSRC, which is the lowest SES funding level.

Subclause 4(3) provides that a student will not be taken to be receiving primary distance education at a school in a State if the student does not reside in the State, or the school is not approved under State law to provide distance education, or the student is home educated.

Clause 63 - Secondary distance education student amount

This clause sets out for the purposes of clauses 57 and 58, how the grant is calculated for the secondary distance education students of a school with an SES funding level and approved for the secondary level of education and distance education.

The grant is calculated by multiplying the number of secondary distance education students at the school by the secondary distance education per student amount for the program year. The amount is called the adjusted secondary distance education amount. The number of secondary distance education students is defined in subclause 4(1). The adjusted secondary distance education amount is defined in subclause (2) as the amount set out in the table in Part 2 of Schedule 4 for the program year applicable to the SES funding level of 13.7% of AGSRC, which is the lowest SES funding level.

Subclause 4(3) provides that a student will not be taken to be receiving secondary distance education at a school in a State if the student does not reside in the State, or the school is not approved under State law to provide distance education, or the student is home educated.

Subdivision B - Schools with year 2000 funding levels


Clause 64 –Simplified outline

This clause gives a simplified outline of grants to schools with year 2000 funding levels.

Clause 65 - Authorising payments for non-systemic schools

This clause provides for general recurrent grants for non-systemic schools which are funding maintained and have a year 2000 funding level. The Minister is empowered to make recurrent grants to a State for a non-systemic school for a program year. The total of the grants for the school must not be greater than the sum of the amounts worked out by adding up the following:

(a) an amount for the school’s primary students calculated under clause 67;
(b) an amount for the school’s secondary students calculated under clause 68;
(c) an amount for the school’s primary distance education students calculated under clause 69; and
(d) an amount for the school’s secondary distance education students calculated under clause 70.

Clause 66 - Authorising payments for schools in approved school systems (except approved Catholic school systems)

This clause provides for general recurrent grants for systemic schools (other than a Catholic systemic school) which are funding maintained and have a year 2000 funding level. The Minister is empowered to make recurrent grants to a State for an approved school system for each systemic school for a program year. In subclause 4(1) an approved school system is defined to mean a school system included in the list kept under clause 34, and a program year is defined as the calendar years 2001-2004.

The total of the grants for each school must not be greater than the sum of the amounts worked out by adding up the following:

(a) an amount for the school’s primary students calculated under clause 67;
(b) an amount for the school’s secondary students calculated under clause 68;
(c) an amount for the school’s primary distance education students calculated under clause 69; and
(d) an amount for the school’s secondary distance education students calculated under clause 70.

Clause 67 - Primary student amount

This clause sets out for the purposes of clauses 65 and 66, how the grant is calculated for the primary students of a school with a year 2000 funding level and approved for the primary level of education.

The grant is calculated by multiplying the number of primary students at the school by the primary per student amount applicable to the school’s year 2000 funding level for the program year. The primary per student amount is called the adjusted year 2000 primary amount. It is defined in subclause 4(1) as the amount set out in the table in Part 3 of Schedule 4 for the program year applicable to the school’s year 2000 funding level or, in the case of a special school, the highest year 2000 funding level which is the amount set out opposite the year 2000 funding level for the former ERI category 12 funding level. The number of primary students is defined in subclause 4(1).

Subclause 4(2) provides that a primary student not attending a school at its approved location on a daily basis is excluded unless the Minister has determined that the student should be treated (because of special circumstances) as so attending the school. The definition of the number of primary students in subclause 4(1) also excludes primary distance education students.


Clause 68 - Secondary student amount

This clause sets out for the purposes of clauses 65 and 66, how the grant is calculated for the secondary students of a school with a year 2000 funding level and approved for the secondary level of education.

The grant is calculated by multiplying the number of secondary students at the school by the secondary per student amount applicable to the school’s year 2000 funding level for the program year. The secondary per student amount is called the adjusted year 2000 secondary amount. It is defined in subclause 4(1) as the amount set out in the table in Part 4 of Schedule 4 for the program year applicable to the school’s year 2000 funding level or, in the case of a special school, the highest year 2000 funding level which is the amount set out opposite the year 2000 funding level for the former ERI category 12 funding level. The number of secondary students is defined in subclause 4(1).

Subclause 4(2) provides that a secondary student not attending a school at its approved location on a daily basis is excluded unless the Minister has determined that the student should be treated (because of special circumstances) as so attending the school. The definition of the number of secondary students in subclause 4(1) also excludes secondary distance education students.


Clause 69 - Primary distance education student amount

This clause sets out for the purposes of clauses 65 and 66, how the grant is calculated for the primary distance education students of a school with a year 2000 funding level and approved for the primary level of education and distance education.

The grant is calculated by multiplying the number of primary distance education students at the school by the primary distance education per student amount for the program year. The amount is called the adjusted primary distance education amount. It is defined in subclause 4(1) to have the meaning given in subclause 62 which is the amount set out in the table in Part 1 of Schedule 4 for the program year applicable to the SES funding level of 13.7% of AGSRC, the lowest SES funding level. The number of primary distance education students is defined in subclause 4(1).

Subclause 4(3) provides that a student will not be taken to be receiving primary distance education at a school in a State if the student does not reside in the State, or the school is not approved under State law to provide distance education, or the student is home educated.

Clause 70 - Secondary distance education student amount

This clause sets out for the purposes of clauses 65 and 66, how the grant is calculated for the secondary distance education students of a school with a year 2000 funding level and approved for the secondary level of education and distance education.

The grant is calculated by multiplying the number of secondary distance education students at the school by the secondary distance education per student amount for the program year. The amount is called the adjusted secondary distance education amount. It is defined in subclause 4(1) to have the meaning given in subclause 63(2) which is the amount set out in the table in Part 2 of Schedule 4 for the program year applicable to the SES funding level of 13.7% of AGSRC, the lowest SES funding level. The number of secondary distance education students is defined in subclause 4(1).

Subclause 4(3) provides that a student will not be taken to be receiving secondary distance education at a school in a State if the student does not reside in the State, or the school is not approved under State law to provide distance education, or the student is home educated.

Subdivision C – Approved Catholic school systems

Clause 71 – Simplified Outline


This clause gives a simplified outline of grants to approved Catholic school systems.

Clause 72 - Authorising payments for approved Catholic school systems

This clause provides for general recurrent grants for approved Catholic school systems in each State. A State is defined in subclause 4(1) to include the Australian Capital Territory and the Northern Territory.
Those systems will have a system funding level which is defined in clause 5 to mean the percentage of AGSRC specified in clause 127 for the system. Under that latter clause all Catholic systems (except in the ACT) will have a system funding level of 56.2% of AGSRC. The ACT Catholic system will have a system funding level of 51.2% of AGSRC. An approved Catholic school system is defined in subclause 4(1) to mean a system included in the list of approved school systems kept under clause 34 whose approved authority is a Catholic education authority.

Under this clause the Minister is empowered to make general recurrent grants to a State for an approved Catholic school system for a program year. In subclause 4(1) a program year is defined as the calendar years 2001-2004. The total of the grants for each system must not be greater than the sum of the amounts worked out by adding up the following:

(a) an amount for the system’s primary students calculated under subclause (3);
(b) an amount for the system’s secondary students calculated under subclause (4);
(c) an amount for the system’s primary distance education students calculated under subclause (5); and
(d) an amount for the system’s secondary distance education students calculated under subclause (6).

Under subclause (3) the grant is calculated by multiplying the number of primary students at the system by the primary per student amount applicable to the system’s funding level for the program year. The primary per student amount called the primary system amount is defined in this subclause as the amount set out in the table in Part 1 of Schedule 4 for the program year applicable to the system’s funding level. The number of primary students is also defined in this subclause.

Under subclause (4) the grant is calculated by multiplying the number of secondary students at the system by the secondary per student amount applicable to the system’s funding level for the program year. The secondary per student amount called the secondary system amount is defined in this subclause as the amount set out in the table in Part 2 of Schedule 4 for the program year applicable to the system’s funding level. The number of secondary students is also defined in this subclause.

Under subclause (5) the grant is calculated by multiplying the number of primary distance education students for the system by the primary distance education per student amount for the program year. The amount is called the system’s adjusted primary distance education amount. It is defined in this subclause to mean the amount set out in the table in Part 1 of Schedule 4 for the program year applicable to the SES funding level of 13.7% of AGSRC which is the lowest SES funding level. The number of primary distance education students is also defined in this subclause.

Under subclause (6) the grant is calculated by multiplying the number of secondary distance education students for the system by the secondary distance education per student amount for the program year. The amount is called the system’s adjusted secondary distance education amount. It is defined in this subclause to mean the amount set out in the table in Part 2 of Schedule 4 for the program year applicable to the SES funding level of 13.7% of AGSRC which is the lowest SES funding level. The number of secondary distance education students is also defined in this subclause.

Subclause 4(2) provides that a primary or secondary student not attending a school at its approved location on a daily basis is excluded unless the Minister has determined that the student should be treated (because of special circumstances) as so attending the school. The definitions of the number of primary students and the number of secondary students in subclauses (3) and (4) exclude primary and secondary distance education students.

Subclause 4(3) provides that a student will not be taken to be receiving primary or secondary distance education at a school in a State if the student does not reside in the State, or the school is not approved under State law to provide distance education, or the student is home educated.

Division 3 – Capital grants

Clause 73 – Authorisation of payment of capital grants


This clause enables the Minister to authorise payments to the States for capital expenditure to individual non-government schools or hostels or groups of schools or hostels or block grant authorities. Payments to the States must be within the total amounts set out in Schedule 5 for the program year.

Division 4 – Grants of transitional emergency assistance

Clause 74 – Grants of transitional emergency assistance


This clause empowers the Minister to determine a grant of transitional emergency assistance to a State for a non-government school for one or more program years if the Minister is satisfied that because of an unexpected circumstance a school is in severe financial difficulty and has a special need of that assistance. The total amount of assistance for a program year cannot exceed the amount set out in the table in Schedule 6 for the program year.

While schools experiencing short-term financial difficulties will continue to be assisted, schools whose difficulties are not short-term are also to be assisted if they face severe financial difficulties during the transitional period to the new SES funding arrangements.

Division 5 – Grants to provide establishment assistance

Clause 75 – Grants to provide establishment assistance


This clause empowers the Minister to determine an establishment grant for a State for one or more program years for certain new non-government schools. The new schools to which this clause applies are:
(a) a new school which commences in 2001 or later which is covered by an application for a new school proposal made under paragraph (c) of the definition of new school proposal in subclause 45(4); and
(b) a new school which commenced in 1999 or 2000 which was covered by an application made after 11 May 1999 for a new school proposal under paragraph (c) of the definition of new school proposal in section 36 of the former Act, where the list of non-government schools was varied in 1999 or 2000.

The total amount of assistance for a program year cannot exceed the amount set out in the table in Schedule 7 for the program year.

PART 7 – GRANTS TO PROVIDE STRATEGIC ASSISTANCE TO IMPROVE STUDENT OUTCOMES

Clause 76 – Object of Part


This clause states that the object of the Part is to help schools and school communities to improve the learning outcomes of students who are educationally disadvantaged (including because they are a student with a disability, Indigenous, of a low socio-economic background, of a language background other than English or geographically isolated).

Clause 77 – Grants for strategic assistance for government schools etc. and non-government schools

Under this clause the Minister is empowered to authorise payments to the States for government schools (including schools providing special education) or government centres or non-government schools (including schools providing special education), to improve the learning outcomes of students who are educationally disadvantaged. The amounts authorised must not exceed the total amount provided in column 2 of the table in Part 1 of Schedule 8 for the program year.

Clause 78 – Grants for strategic assistance for government schools

Under this clause the Minister is empowered to authorise payments to the States for government schools (including schools providing special education) to improve the learning outcomes of students who are educationally disadvantaged. Amounts paid to a State under this clause are worked out using the following formula:

Strategic Assistance Amount x number of students with disabilities

The Strategic Assistance Amount is provided in column 2 of the table in Part 2 of Schedule 8 for the program year.

Clause 79 – Grants for strategic assistance for non-government schools


Under this clause the Minister is empowered to authorise payments to the States for non-government schools (including schools providing special education) to improve the learning outcomes of students who are educationally disadvantaged. Amounts paid to a State under this clause are worked out using the following formula:

Strategic Assistance Amount x number of students with disabilities

The Strategic Assistance Amount is provided in column 3 of the table in Part 2 of Schedule 8 for the program year.

PART 8 – GRANTS FOR EDUCATION IN COUNTRY AREAS

Clause 80 – Object of Part


This clause states that the object of the Part is to help schools and school communities to improve the educational outcomes and opportunities of students who are educationally disadvantaged because of their geographical isolation.

Clause 81 – Grants for government schools in country areas


This clause empowers the Minister to authorise payments to States for government schools for recurrent and/or capital expenditure approved by the Minister for a program year connected with the education of students in government schools in country areas of the State.

Clause 82 – Grants for non-government schools in country areas


This clause empowers the Minister to authorise payments to States for non-government schools for recurrent and/or capital expenditure approved by the Minister for a program year connected with the education of students in non-government schools in country areas of the State.

Clause 83 – Ceiling for grants under this Part


This clause prescribes that amounts authorised under this Part must not exceed the amount set out in column 3 of the table in Part 1 of Schedule 8 for the program year.

PART 9 – GRANTS TO FOSTER LITERACY AND NUMERACY

Clause 84 – Object of Part


The clause states that the object of this Part is to help with the acquisition of appropriate literacy or numeracy skills by students who are likely to be at risk of being ill-equipped, when leaving school, to receive further education and training or to engage in sustainable employment.

Clause 85 – Grants for national projects to foster literacy or numeracy


This clause empowers the Minister to approve national projects to be carried out in Australia which have as their object the development of literacy or numeracy skills. Such a project may be conducted by a State or non-government body and may include expenditure on disseminating information about the project. The amounts authorised must not exceed the amount set out in column 4 of the table in Part 1 of Schedule 8 for the program year.

PART 10 – GRANTS FOR SPECIAL EDUCATION AT NON-GOVERNMENT CENTRES

Clause 86 – Object of Part


This clause states that the object of the Part is to provide financial assistance to the States to help non-government centres provide education, therapeutic and other essential services and capital facilities to improve the participation level by young people with disabilities in education and the learning outcomes of those young people.

Clause 87 – Grants for special education at non-government centres


This clause empowers the Minister to authorise payments to the States for non-government centres for expenditure connected with special education provided at or in connection with non-government centres in the State.

Clause 88 – Ceiling for grants under this Part


This clause prescribes that the amounts authorised under this Part must not exceed the amount set out in column 5 of the table in Part 1 of Schedule 8 for the program year.

PART 11 – GRANTS TO FOSTER THE LEARNING OF LANGUAGES OTHER THAN ENGLISH

Clause 89 – Object of the Part


This clause states that the object of the Part is to help schools and school communities to improve the learning outcomes of students who are learning languages other than English.

Clause 90 – Grants for government schools etc.

This clause empowers the Minister to authorise payments to the States for expenditure connected with government schools, government educational institutions or any other body in the State (other than the relevant authority of a non-government school) to improve the learning outcomes of students learning languages other than English.

Clause 91 – Grants for non-government schools

This clause empowers the Minister to authorise payments to the States for expenditure connected with non-government schools to improve the learning outcomes of students learning languages other than English.

Clause 92 – Ceiling of grants under this Part


This clause prescribes that the amounts authorised under this Part must not exceed the amount set out in column 6 of the table in Part 1 of Schedule 8 for the program year.

PART 12 – GRANTS TO FOSTER THE LEARNING OF ASIAN LANGUAGES AND STUDIES OF ASIA

Clause 93 – Object of Part


This clause states that the object of the Part is to foster the learning of Asian languages and studies of Asia.

Clause 94 – Grants to foster the learning of Asian languages and studies of Asia in government schools

This clause empowers the Minister to authorise payments to the States for expenditure in connection with government schools with the objective of learning of Asian languages or studies of Asia.

Clause 95 – Grants to foster the learning of Asian languages and studies of Asia in non-government schools

This clause empowers the Minister to authorise payments to the States for expenditure in connection with non-government schools with the objective of learning of Asian languages or studies of Asia.

Clause 96 – Grants for national projects to foster the learning of Asian languages and studies of Asia in non-government schools

This clause empowers the Minister to approve projects, and to authorise payments, in respect of national projects which foster the learning of Asian languages and to foster Asian studies. Such a project may be conducted by a State or non-government body and may include expenditure on disseminating information about the project.

Clause 97 – Ceiling for grants under this Part


This clause prescribes that the amounts authorised under this Part must not exceed the amount set out in column 7 of the table in Part 1 of Schedule 8 for the program year.

PART 13– GRANTS FOR TEACHING ENGLISH TO NEW ARRIVALS

Clause 98 – Object of Part


This clause states that the object of the Part is to help with the provision of intensive teaching of the English language to certain students who recently arrived in Australia.

Clause 99 – Grants for teaching English as a second language in government schools


This clause empowers the Minister to authorise payments in respect of English as a second language instruction for certain newly arrived students in government schools. Amounts paid to a State under this clause are worked out using the following formula:

ESL New Arrivals amount x number of eligible new arrivals in government schools

The ESL New Arrivals amount is provided in column 2 of the table in Part 3 of Schedule 8 for the program year.

Clause 100 – Grants for teaching English as a second language in non-government schools

This clause empowers the Minister to authorise payments in respect of English as a second language instruction for certain newly arrived students in non-government schools. Amounts paid to a State under this clause are worked out using the following formula:

ESL New Arrivals amount x number of eligible new arrivals in non-government schools

The ESL New Arrivals amount is provided in column 3 of the table in Part 3 of Schedule 8 for the program year.

PART 14 – GRANTS FOR NATIONAL PROJECTS

Clause 101 – Minister may approve grants for national projects


This clause empowers the Minister to approve grants for national projects connected with strategic assistance, schools in country areas, special education at non-government centres and languages other than English in government and non-government schools. Expenditure on national projects, which is limited to a maximum of 10% of the amount available for the program year under each of the clauses listed in subclause 101(1), is taken to be an amount paid to a State for the particular purpose set out in the related clause.

PART 15 – MISCELLANEOUS

Division 1 – Average Government School Recurrent Costs

Clause 102 – Changes to Average Government School Recurrent Costs


AGSRC for primary education and secondary education are defined in subclause 4(1) to mean the AGSRC primary and secondary amounts set out in Schedule 1 for the program year or, where those amounts are changed by a regulation made under subclause 102(1), the new amounts.

This clause provides for the making of regulations to replace the primary or secondary amount of AGSRC in Schedule 1 for a program year. The clause requires that before a regulation is made the Minister must consider changes in the figure known as Average Government School Costs published from time to time by the Ministerial Council on Education, Employment, Training and Youth Affairs or a prescribed body that has a corresponding function.

Clause 103 – Changes to amounts for primary education


This clause provides for the primary amounts set out in Schedules 2 and 4 to be changed where the primary amount of AGSRC in Schedule 1 is replaced for a program year by regulation.

Column 2 of Schedule 2 expresses the recurrent funding entitlement for government schools as a percentage of AGSRC and this percentage is fixed for 2001-2004. When a regulation is made under subclause 102(1) replacing the primary AGSRC amount set out in Schedule 1, this clause automatically changes the primary amount for the program year in Schedule 2 to the amount that the percentage of AGSRC for primary represents of the new AGSRC amount for that program year.

This clause also automatically changes the primary per student amounts in the tables in Parts 1 and 3 of Schedule 4 having regard to the percentages of AGSRC set out in columns 2 and 1 respectively of those Parts and the new AGSRC primary amount for the program year.

If the per student amount is an amount of dollars and cents, the amount is rounded to the next dollar.

Clause 104 – Changes to amounts for secondary education


This clause provides for the secondary amounts set out in Schedules 2 and 4 to be automatically changed where the secondary amount of AGSRC in Schedule 1 is replaced for a program year by regulation. The clause has a similar operation to that set out in clause 103.

If the per student amount is an amount of dollars and cents, the amount is rounded to the next dollar.

Division 2 – Cost supplementation

Clause 105 – Recurrent grants


This clause provides for the making of regulations which adjust amounts of financial assistance in Schedules 6, 7 and 8 to the Bill for price movements.

Subclause 105(1) prescribes that, where a number in respect of recurrent grants is stated in the regulations, then the amounts shown in the relevant schedules are taken to be adjusted by multiplying the recurrent number for the program year by the recurrent amount.

Subclause 105(2) provides that, after calculating supplementation of amounts at Schedules 6 and 7 and in Part 1 of Schedule 8, amounts are to be rounded to the nearest $1,000 ($500 to be rounded upwards).

Subclause 105(3) provides that, after calculating supplementation of amounts in Part 2 and 3 of Schedule 8, amounts are to be rounded to the next highest dollar.

Subclause 105(4) prescribes, that for the adjustment of recurrent grants, the Minister must consider changes in the relevant figures known as Average Government School Costs, which is a series published by the Ministerial Council on Education, Employment, Training and Youth Affairs or a prescribed body that has a corresponding function.

Clause 106 – Capital grants for government schools and non-government schools


This clause provides for the making of regulations which adjust amounts of financial assistance in Schedules 3 and 5 to the Bill for price movements.

Subclause 106(1) prescribes that, where a number in respect of capital grants is stated in the regulations, then the amounts shown in Schedules 3 and 5 are taken to be adjusted by multiplying the capital number for the program year by the capital amount.

Subclause 106(2) provides that after calculating supplementation, amounts are to be rounded to the nearest $1,000 ($500 to be rounded upwards).

Subclause 106(3) prescribes that for the adjustment of capital grants, the Minister must consider changes in an index of building prices, and an index of wage costs published by the Australian Statistician.

Division 3 – Timing of payments etc.

Clause 107 – Minister may fix amounts and times of payment of financial assistance


This clause enables the Minister to provide financial assistance to a State in such instalments and at such times during the program year as the Minister determines. Such a determination may have general application to payment or be specific to a State or States, a particular provision in the Bill or a particular program year or years.

Clause 108 – Advances


This clause enables the Minister to make an advance to a State on account of an amount that is expected to become payable under this Act to the State. The conditions that would apply to the payment apply to the advance.

Clause 109 – Determination authorising the making of payments may authorise Minister to determine amounts of payments

This clause empowers the Minister to determine the amount of a payment when the Minister authorises the making of a payment.

Division 4 – False or misleading statements


Clause 110 – Payment reductions for false or misleading statements

Subclause 110(1) enables the Minister to reduce amounts payable to a State or non-government body where a false or misleading statement has been made in relation to a grant of financial assistance, and, in reliance on that statement, there has been an overpayment. Subclause 110(2) also enables the Minister to reduce payments where a false or misleading statement has resulted in a school or system obtaining an inappropriate funding level. Subclause 110(3) enables the Minister to make a determination under the clause retrospective in effect.

Division 5 – Appropriation and authority to borrow


Clause 111 – Appropriation
Clause 112 – Authority to borrow

These clauses are financial machinery provisions relating to the source and appropriation of funds under the Bill.

Division 6 – Administrative matters


Clause 113 – Determinations, approvals etc. by Minister

This clause sets out the conditions under which the Minister is to make determinations or grant approvals for the purposes of the Bill.

Clause 114 – Revocation or variation of determinations or approvals by Minister

This clause prescribes how the Minister is to revoke or vary a determination or approval and prescribes what the effect of a revocation or variation may be on previous determinations and approvals. The clause also specifies when a determination under the clause may become effective.

Clause 115 – Delegation

This clause enables the Minister to delegate powers and functions under the Bill and agreements made pursuant to the Bill to the Secretary of the Department or an SES employee in the Department.

Clause 116 – Report by Minister

This clause requires the Minister to prepare an annual report on the application of financial assistance provided under the Bill and to table the report in Parliament.

Division 7 – Overseas students


Clause 117 – Overseas students

This clause provides that overseas students are not eligible to attract financial assistance under the Bill. Overseas students are defined in subclause 4(1) to have the meaning given by subclause 52(2).

Division 8 – Regulations


Clause 118 – Regulations

This clause enables the Governor-General to make regulations. Regulations made for the purposes of clauses 12, 15, 19 or 23 of this Bill take effect after they are no longer liable to be disallowed.

PART 16 – TRANSITIONAL PROVISIONS


Clause 119 - Application of this Part


This clause provides for this Part to have effect despite any other provision of the Bill. However, this does not prevent a determination, approval, declaration, list or other instrument taking effect because of this Part.

Clause 120 - Approved authority


This clause keeps determinations made under the former Act as to approved authorities that are in force immediately before 1 January 2001, in force under the Bill.

Clause 121 – Levels of education

This clause provides that the determination about levels of education in force under the former Act immediately before 1 January 2001, is taken to be a determination in force under clause 6 of the Bill.
Clause 122 - Previous list of non-government schools

This clause provides that the list of non-government schools kept under the former Act and in force immediately before 1 January 2001 (except for the funding levels of the schools on the list) is taken to be the list under subclause 33(1) of the Bill.

Clause 123 - Previous list of approved school systems

This clause provides that the list of approved school systems kept under the former Act and in force immediately before 1 January 2001 (except for the funding levels of the systems on the list) is taken to be the list under subclause 33(1) of the Bill.

Clause 124 – Overseas students

This clause provides that the determination about overseas students in force under the former Act immediately before 1 January 2001 is taken to be a determination in force under subclause 52(2) of the Bill.

Clause 125 - Funding levels for existing non-systemic schools

Non-systemic schools are to have either an SES funding level or be funding maintained and have a year 2000 funding level. These funding levels are defined in subclause 4(1) and clause 8. The exceptions to this are special schools (which are dealt with in clause 128) and certain new schools (which are dealt with in clause 129). Special schools will get maximum SES funding and will not receive an SES score, while new non-systemic schools that applied for funding after 11 May 1999 received an SES score and are not to receive a year 2000 funding level.

As no school is to be disadvantaged by the move to the SES funding system, a school that would otherwise have its funding reduced under an SES funding level will have its year 2000 per student entitlement maintained and be placed in a year 2000 funding level. Where a school’s SES funding is more beneficial, it will be placed in the SES funding level applicable to its SES score.

Until the precise AGSRC amounts for 2000 are known, it will not be possible to work out the precise SES per student amounts which are to be shown in Parts 1 and 2 of Schedule 4. The primary and secondary per student amounts shown in those Parts are the current per student amounts based on the 1999 AGSRC.

Until the precise amounts for the year 2000 primary amount, the year 2000 secondary amount and the AGSRC amounts as at 1 January 2001 are known, it will not be possible to work out the precise year 2000 funding levels for the current 12 ERI funding categories or for the funding guarantee cases, which are to be shown in column 1 of tables at Part 3 and 4 of Schedule 4. The funding levels currently shown in those tables are based on the current primary and secondary per student amounts and the 1999 AGSRC.

Whether a non-systemic school is placed in an SES funding level or is funding maintained and placed in a year 2000 funding level, is to be determined under this clause. Apart from the exceptions, this clause applies to schools for whom an SES score will be determined. Such schools will receive an SES funding level if the school’s SES primary and secondary per student amounts as at 1 January 2001 are both more than the school’s year 2000 primary and secondary per student amounts immediately before that day. The schools will also receive an SES funding level if the school’s total SES entitlement based on its 2000 census enrolments is more than the school’s total year 2000 funding entitlement based on those same enrolments. In all other cases the schools are to receive a year 2000 funding level. This is a one-off decision to set a non-systemic school’s funding level for the quadrennium as set out in clause 130.

The meaning of the expressions SES primary amount, SES secondary amount, year 2000 primary amount and year 2000 secondary amount are set out in subclause 4(1). The SES amounts are the per student recurrent amounts set out in the tables in Parts 1 and 2 of Schedule 4 applicable to the school’s SES funding level as at the commencement of the 2001 program year. The year 2000 amounts are the per student recurrent amounts applicable to the school under the former Act immediately before the commencement of the 2001 program year. In some cases these are the per student recurrent funding amounts which were guaranteed.

Clause 126 – Funding levels for existing systemic schools


Systemic schools (other than Catholic systemic schools) will have either an SES funding level or be funding maintained and have a year 2000 funding level. These funding levels are defined in subclause 4(1) and clause 8. The exception to this is special schools (which are dealt with in clause 128). Special schools will receive maximum SES funding and do not have an SES score.

As no school is to be disadvantaged by the move to the SES funding system, a school that would otherwise have its funding reduced under an SES funding level will have its year 2000 per student recurrent entitlements maintained and be placed in a year 2000 funding level. Where a school’s SES funding is more beneficial, it will be placed in the SES funding level applicable to its SES score.

Until the precise AGSRC amounts for 2000 are known, it will not be possible to work out the precise SES per student amounts which are to be shown in Parts 1 and 2 of Schedule 4. The primary and secondary per student amounts shown in those Parts are the current per student amounts based on the 1999 AGSRC.

Until the precise amounts for the year 2000 primary amount, the year 2000 secondary amount and the AGSRC amounts as at 1 January 2001 are known, it will not be possible to work out the precise year 2000 funding levels for the current 12 ERI funding categories or for the funding guarantee cases, which are to be shown in column 1 of the tables in Parts 3 and 4 of Schedule 4. The funding levels currently shown in those tables are based on the current primary and secondary per student amounts and the 1999 AGSRC.


Whether a systemic school is placed in an SES funding level or is funding maintained and placed in a year 2000 funding level, is to be determined under this clause. Systemic schools to whom this clause applies will receive an SES funding level if the school’s SES primary and secondary per student amounts as at 1 January 2001 are both more than the system’s year 2000 primary and secondary per student amounts immediately before that day. These schools will also receive an SES funding level if the school’s total SES entitlement based on the school’s 2000 census enrolments is more than the system’s total year 2000 funding entitlement for the school based on those same enrolments. In all other cases the school is to receive a year 2000 funding level. This is a one-off decision to set a systemic school’s funding level for the quadrennium as set out in clause 130.

The meaning of the expressions SES primary amount, SES secondary amount, year 2000 primary amount and year 2000 secondary amount are set out in subclause 4(1). The SES amounts are the per student recurrent amounts set out in the tables in Parts 1 and 2 of Schedule 4 applicable to the school’s SES funding level as at the commencement of the 2001 program year. The year 2000 amounts are the per student recurrent amounts applicable to the system under the former Act immediately before the commencement of the 2001 program year. In some cases these are the per student recurrent funding amounts which were guaranteed.

Clause 127 – Funding levels for approved Catholic school systems


This clause provides that all approved Catholic school systems (except in the ACT) will have a system funding level of 56.2% of AGSRC. The ACT Catholic system will have a system funding level of 51.2% of AGSRC. An approved Catholic school system is defined in subclause 4(1) to mean a system included in the list of approved school systems kept under clause 34 whose approved authority is a Catholic education authority.

Clause 128 - Funding levels for existing special schools (except schools in approved Catholic systems)


This clause provides that non-systemic special schools and systemic special schools within approved school systems (other than approved Catholic school systems) will be placed in the highest SES school funding level - 70% of AGSRC – without an SES score being assessed for them. They will receive general recurrent grants in the same way as other SES funded schools. Subclause 4(1) contains a definition of a special school. Catholic systemic special schools will take the system funding level.

Clause 129 – Funding levels for certain new schools


This clause provides that schools covered by an application for a new school proposal made after 11 May 1999 (the date of the Ministerial Statement entitled Choice and Equity: Funding Arrangements for Non-government Schools 2001-2004), where the list of non-government schools was varied in 1999 or 2000, will receive an SES funding level. Such schools received an SES score as part of the approval process. New Catholic systemic schools will take the system funding level.

Clause 130 – Once only operation


This clause prescribes that clauses 125, 126, 127, 128 and 129 require the Minister to vary a list kept under this Bill only once in relation to each school or approved school system and to operate in relation to the SES score first determined by the Minister for the school under those clauses.

SCHEDULES


Following on from clause 130, Schedules 1 to 8 appropriate funds for the programs legislated in the Bill. All Schedules are in 1999 final prices and will updated by Government amendment later in the year to 2000 final prices once the necessary cost supplementation data for 2000 is available.

Schedule 1 – Average Government School Recurrent Costs (AGSRC)


This Schedule sets out the per capita AGSRC amounts for primary and secondary schools for the years 2001 to 2004.

Schedule 2 – General recurrent grants for government schools


This Schedule sets out the per capita grants for government primary and secondary schools for the years 2001 to 2004. It also includes the funding entitlement percentage of AGSRC.

Schedule 3 – Capital grants for government schools


This Schedule sets out the capital grants for government schools for the years 2001 to 2004. Amounts for the years 2005 to 2007 will be appropriated in later Acts.

Schedule 4 – General recurrent grants for non-government schools


Parts 1 and 2 of this Schedule sets out the SES funding levels for primary and secondary education for the years 2001 to 2004. Parts 3 and 4 of this Schedule sets out the year 2000 funding for primary and secondary education for the years 2001 to 2004.

Schedule 5 – Capital grants for non-government schools


This Schedule sets out the capital grants for non-government schools for the years 2001 to 2004. Amounts for the years 2005 to 2007 will be appropriated in later Acts.

Schedule 6 – Grants of transitional emergency assistance for non-government schools


This Schedule sets out the total amount available for non-government schools in need of transitional emergency assistance for the years 2001 to 2004.

Schedule 7 – Grants for establishment assistance


This Schedule sets out the total amount available for new non-government schools for establishment assistance for the years 2001 to 2004.

Schedule 8 – Grants for targeted assistance


This Schedule is split into three parts. Part 1 sets out grants for strategic assistance, grants for education in country areas, grants to foster literacy and numeracy, grants for special education at non-government centres, grants to foster the learning of languages other than English and grants to foster the learning of Asian languages and studies of Asia for the years 2001 to 2004. Part 2 sets out the per capita grant amount for strategic assistance for government and non-government schools for the years 2001 to 2004. Part 3 sets out the per capita grant amount for ESL new arrivals for the years 2001 to 2004.



 


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