Changes to Level 1 and 2 SAC Funding

5 July 2012

Further Supplementary Plan Guidance Released; Application process for Level 1 and 2; Competitive Funding Round.

The Government has announced policy changes to the way Level 1 and 2 Student Achievement Component Funding (SAC) is allocated.

New Objectives for Level 1 and 2 Provision

Level 1 and 2 Supplementary Guidance for 2013 Plans relates to recent Government decisions aimed at improving the performance of entry level tertiary education through targeting high quality provision towards those students who need it most.

From 2013 providers are expected to target level 1 and 2 foundation provision towards foundation learners and to transition away from delivering to students who already hold qualifications at level 2 or above.

Providers will be given latitude to enrol up to 30% of higher qualified students in foundation courses in 2013 and reducing to 20% in 2014, with the intention of reducing to 10% over time. These restrictions will not apply to students studying towards Te Reo, or ESOL qualifications.

All level 1 and 2 provision must have embedded literacy and numeracy and use the Literacy and Numeracy Adults Assessment Tool to track learner progress.

Learners must be enrolled in full qualifications (at least 40 credits).

Further information regarding SAC funding for level 1 and 2 courses is provided in the Supplementary Plan Guidance.

New Funding Approach for Level 1 and 2

Level 1 and 2 Supplementary Guidance also provides further information on the way the newly ring-fenced level 1 and 2 SAC Fund will be allocated.

A proportion of the new level 1 and 2 SAC Fund will be subject to a competitive process, open to all providers, and for the first time, Private Training Establishments will also be able to apply.

In the initial phase (in 2012 for 2013 Plans) approximately one third of the available level 1 and 2 SAC Fund (around $40 million) will be subject to a competitive process.

The remainder of the SAC level 1 and 2 fund will be allocated through the usual investment process.  The educational outcomes and expectations of providers for this proportion of the level 1 and 2 fund will be the same as for the competitive proportion.

Full implementation of the competitive process will be phased in over time, giving providers time to transition to the new environment.

SAC level 1 and 2 funding will be managed on-Plan.

Applications open for 2013 and 2014 SAC Levels 1 and 2 competitive process

Information regarding the application process for 2013 and 2014 SAC Levels 1 and 2 competitive process can be found on the TEC website.  Applications close on Friday 24 August 2012.

Information Presentations

In the week commencing 16 July, there will be presentations on the new funding approach in Auckland, Christchurch and Wellington.

 

  • Last changed: 16 July 2012