Funding and payments

Funding and payments

Last updated 2 June 2021
Last updated 2 June 2021

How Trades Academies funding is set and payments are made. Also includes funding recoveries information.

Funding

Trades Academies funding is based on a per-place rate. The amount of funding paid to both the tertiary education organisation (TEO) and the school is proportional to the amount of time the student spends at the TEO and school respectively. For example, if the student spends one day at a TEO and four days at a school, 20% of the funding goes to the TEO and 80% goes to the school.

2022 Funding rates                                                                                                                

Pastoral care and coordination

$1270 per place (TEO only)

General teaching and learning

$9800 per place (shared proportionally between TEOs and schools)

Trade top-up

$3610 per place (shared proportionally between TEOs and schools)

TOTAL

$14,680 per place  

For students with high transport needs, TEOs can apply in writing to the Ministry of Education (MoE) for transport cost assistance. Email trades.academy@education.govt.nz.

Funding wash-ups

2020 Secondary Tertiary Interface (Trades Academies) Recovery Methodology

We will write off and not be recovering any under-delivery of 2020 Trades Academies funding approved prior to 1 April 2020 from Tertiary Education Organisations (TEOs).

Exception:

Additional Funding approved since 1 April 2020 will be recovered if there is under-delivery.

Recoveries and write offs are based on:

  • manual data reported by TEOs collected by the Ministry of Education (MoE) where there is a direct NSN match to the delivery data (at the provider, NSN level), submitted through the 2020 December SDR for Trades Academy funding, and
  • the Secondary-Tertiary Programme (STP) name in MoE’s data as the identity code to separate the Recovery for providers who are lead providers for more than one Trades Academy, and
  • Trades Academies funding and delivery is calculated separately for each TEO led Trades Academy and for each of the components in Table 1 (below).

How we will calculate any Recovery of Additional Funding

We will recover under-delivered Additional Funding approved since 1 April 2020, at the fund level.

  • We will calculate the difference between the dollar value of delivery and 100% of each component of 2020 funding.
  • The Recovery will not exceed the value of Additional Funding approved.

How we will calculate any Recovery, for write off purposes

  • We will write off the dollar value of any Recovery that exceeds the value of Additional Funding approved since 1 April 2020.

Note: The applicable rate will be applied to the number of EFTS delivered.

Component calculation detail

Table 1 - Funding rates

Component $ Amount
Pastoral care and coordination $1,250 Per learner
General teaching and learning $9,500 Pro-rata
Trades Top-up $3,500 Pro-rata

Pastoral care and coordination actual delivery

Pastoral care and coordination funding are paid to the TEO led Trades Academy once per learner and where delivery has occurred to that learner. We will recover if delivery was less than the allocation in this component.

General teaching and learning actual delivery

To calculate the actual delivery for General teaching and learning, we use the rate specified in table 1, multiplied by the Tertiary Component Full Time Equivalent (FTE) for each NSN, in the manual data collated by MoE. If the delivery exceeds the allocation, no additional funding will be provided. We will recover if delivery was less than the allocation for this component.

Trades Top-Up actual delivery

To calculate the actual delivery for Trades Top-Up, we use the rate specified in table 1, multiplied by the Tertiary FTE for each NSN who has been marked as “Trades” delivery in the manual data collated by MoE. If the delivery exceeds the allocation, no additional funding will be provided. We will calculate if delivery was less than the allocation in this component.

Payments

TEOs

If the tertiary education organisation (TEO) is the lead provider, the funding is paid by us – in monthly instalments from the date we agree on the contract.

TEOs cannot claim any Student Achievement Component or Youth Guarantee funding for learners enrolled in secondary-tertiary programme (STPs). Instead, TEOs are funded on a pro rata basis for general teaching and learning, and any trades learning they provide.

Schools

If the school is the lead provider the funding is paid by the Ministry of Education (MoE).

Learners enrolled in a Trades Academy will not be counted on a school’s regular roll for resourcing purposes. Instead, schools are funded on a pro rata basis for general teaching and learning, and any trades learning they provide.

Schools will continue to calculate the actual Full Time Equivalents (FTEs) as per the roll return guidelines.