The funding mechanism for Refugee English requires the TEC to impose a number of conditions on funding received by a tertiary education organisation (TEO). The TEC imposes those conditions under section 159YC(2)(a) of the Education Act 1989 (the Act).
The TEC may also impose other conditions on funding that it considers are necessary to ensure that the specified outcomes in an Investment Plan that relate to the tertiary education programmes and activities in relation to which funding is being given are being achieved or will be achieved. The TEC imposes those conditions under section 159YC(2)(b) of the Act.
A TEO that receives Refugee English funding must comply with the conditions specified in its funding approval letter, and in the Act. Those conditions are also set out below.
The TEC also expects TEOs to comply with funding information provided as guidance.
If the TEC is satisfied on reasonable grounds that a TEO has not complied or is not complying with the conditions on funding the TEC may revoke or suspend the funding under section 159YG of the Act.
TEO records (other than TEIs)
A tertiary education organisation (TEO) (other than a tertiary education institution (TEI)) that receives funding is required under section 159YD of the Education Act 1989 (the Act) to keep records in the form specified by the TEC, for the period to which the funding relates, that fully and fairly show:
- transactions, assets, liabilities, and funds that are or were affected by the funding; and
- whether any conditions on which the funding approval was given have been complied with; and
- the TEO must ensure that the records are available for inspection by the TEC at all reasonable times.
In relation to record-keeping under section 159YD of the Act, to demonstrate that a TEO is using funding in relation to students who are eligible for funding, if a learner is enrolled in more than 0.03 EFTS, the TEO keeps enrolment records for each learner attending the programme funded by the TEC that specify:
a) the programme or programmes of study or training (including qualification(s) and course(s)) in which the learner has been admitted or re-admitted
b) the learner's identity details including name, date of birth, citizenship, domestic or international student status, residency (if relevant)
c) if the learner is enrolled in a programme of study or training leading to a qualification with an EFTS value of greater than 0.03 EFTS, that the TEO has verified the student's identity
d) that the TEO has verified that the learner is a valid domestic enrolment and/or has the appropriate student visa
e) the student's national student number (NSN)
f) the student’s previous academic achievement (if relevant)
g) the receipt verifying that the learner has paid or has arranged to pay his or her fees (if applicable)
h) changes (if any) made to an enrolment
i) whether the learner has withdrawn from part of his or her programme of study or training, the date of the withdrawal, and whether the withdrawal was within the withdrawal period
j) whether a learner has been expelled from part of his or her programme of study or training by the TEO due to a breach of the TEO's Code of Conduct
k) whether a learner is on a discretionary leave of absence greater than leave normally granted under the TEO's standard minimum attendance requirements
l) that the learner is attending the programme of study in which he or she is enrolled, or is actively involved in the programme or course
m) the period for which the learner is enrolled.
TEO financial information (other than TEIs)
Section 159YD of the Education Act requires certain TEOs to provide the TEC with financial information as soon as practicable after the end of the financial year.
However, the TEC has exempted private training establishments (PTEs) from the requirement unless a particular PTE is advised by the TEC that it is required to comply. Section 159YD of the Education Act does not relate to TEIs.
The specific requirements are:
- the TEO’s financial report for that year, including:
- a statement of financial performance
- a statement of financial position
- a statement of movements in equity
- a statement of cash flows
- a statement of service performance that compares its performance with the outcomes agreed with the TEC as measured by the performance indicators
- any other financial reports, or statistical or other information that the TEC requires; and
- any information necessary to demonstrate compliance with any condition attached to funding.
The financial report must be prepared in accordance with generally accepted accounting practice and must be audited by an independent chartered accountant.
Tertiary education institutions (TEIs)
Record keeping obligations
Under section 225 of the Education Act, a TEI must ensure that it keeps records that show—
(a) the progress of each student at the TEI (including the results achieved by the student) in his or her programme of study or training; and
(b) particulars of any allowances, grants, or other payments received by each student at the TEI in respect of his or her programme of study or training out of public money appropriated by Parliament.
Retention of records
A TEI must also comply with record-keeping obligations as required by the Public Records Act 2005. For more information about a TEI’s record keeping and record retention requirements, see the Archives New Zealand website.
To comply with these requirements, TEIs should keep student records, including confirmation of eligibility to study, enrolment records, and details of fees and charges made to the learner in accordance with a signed agreement with the Chief Archivist (as applicable).
TEIs must also ensure they are aware of, and comply with, the requirements of other government agencies, for example, the Ministry of Education
or Inland Revenue
If you receive Refugee English funding you must comply with the conditions set out in your Plan funding approval letter. The conditions are also set out below:
NOTE: For your reference, you can view the archived Refugee English conditions
(PDF, 260 Kb) that applied to 2015 funding only.
REF001: TEO to supply information to the TEC
As specified in section 159YC(1) of the Education Act 1989, it is a condition of a tertiary education organisation receiving funding that the TEO will supply to the TEC, from time to time as required by the TEC, and in the form specified by the TEC, any financial, statistical, or other information that a TEO is required by the TEC to supply.
TEO to submit reports
A TEO must submit in relation to the TEO’s use of funding from the ILN – Refugee English Fund:
a) a progress report for the period 1 January to 31 May no later than 10 working days after 31 May;
b) a progress report for the period 1 January to 30 September no later than 5 working days after 30 September; and
c) a final report for the period 1 January to 31 December no later than 31 January of the following year.
Each progress report must:
a) be submitted in accordance with the template developed by the TEC;
b) relate to the specific outcomes in the TEO’s Investment Plan; and
c) include the following information:
(i) the number of learners enrolled in each programme of study or training;
(ii) learner enrolment information, including the National Student Number (NSN), and qualification enrolment details (including the start and finish dates, qualification name, and learner fee for the enrolment) of each learner enrolled in each programme of study or training during the period covered by the progress report.
Each final report must include the following information:
a) the number of learners that are or were enrolled in each eligible programme of study or training; and
b) the number of learner places delivered; and
c) the NSN and details of any learners not already reported in the progress reports; and
d) a summary of the learner demographics; and
e) the regions in which the TEO delivered the provision; and
f) a declaration that confirms that:
(i) the TEO has monitored each learner's progress; and
(ii) the TEO has met its performance commitments.
TEO to supply financial viability information to the TEC
The TEO must supply to the TEC information relating to the financial viability of the TEO if the TEC requests that information.
TEO to supply information to the TEC in certain situations
The TEO must notify the TEC immediately if:
a) any record that the TEO is required to keep under the Education Act has been lost or damaged; or
b) the TEO is no longer able to comply with a condition of funding.
PTE to supply information to the TEC in certain situations
This condition applies to a private training establishment (PTE).
The PTE must notify the TEC immediately if:
a) its New Zealand Qualifications Authority (NZQA) registration or accreditation is cancelled; or
b) an Insolvency Event (see below) occurs in relation to it; or
c) it has a Change of Control (see below); or
d) it transfers (or agrees to transfer) all or a material part of its assets to a third party; or
e) there is any change to the persons who make up its governing body; or
f) it merges with or acquires any other entity or business;
g) it has changed its name; or
h) the location or locations at which it delivers a course or courses has changed.
Definition of Insolvency Event
"Insolvency Event" means, in relation to a PTE, the occurrence of any of the following events:
a) that PTE ceases or threatens to cease to carry on all or any material part of its business or operations;
b) an application is made (which is not withdrawn, stayed or dismissed within 10 Business Days of being made) to a court for an order, or an order is made, or an effective resolution is passed to place the PTE in liquidation or voluntary administration previously approved in writing by the TEC;
c) that PTE proposes to enter into, any general assignment, arrangement, compromise or composition with or for the benefit of any of its creditors with a view to avoiding insolvency except as previously approved in writing by the TEC;
d) an encumbrancer takes possession, or a trustee, receiver, receiver and manager, administrator, liquidator, provisional liquidator, inspector under any companies or securities legislation, or similar official, is appointed in respect of that PTE or the whole or any material part of its assets, or the board of directors request that a creditor or any other person appoint a receiver to that PTE);
e) a distress, attachment or other execution is levied or enforced upon, or commenced against, any assets of that PTE and is not discharged or stayed within 10 Business Days, except, in each case, when the TEC is satisfied that that PTE is contesting the same in good faith by appropriate proceedings;
f) that PTE is declared or becomes insolvent, is unable to pay its debts when they fall due, or is presumed unable to pay its debts in accordance with any applicable legislation;
g) that PTE suspends or stops or threatens to suspend or stop payments generally or a moratorium is agreed or declared in respect of or affecting all or any material part of its indebtedness;
h) that PTE seeks or obtains protection from its creditors under any statute or any other law;
i) that PTE is declared to be a corporation at risk under the Corporations (Investigation and Management) Act 1989;
j) a statutory or judicial manager is appointed over all or any of the assets of that person;
k) any recommendation is made by the Financial Markets Authority to the Minister of the Crown who is responsible for administration of the Corporations (Investigation and Management) Act 1989 that that PTE or any associated person of that PTE be placed in statutory management under that Act;
l) all directors of that PTE resign, or signal their intention to resign; or
m) anything analogous or having a substantially similar effect to any of the events specified in paragraphs (a) to (m) above happens under the laws of any applicable jurisdiction in respect of that PTE;
Definition of Change of Control
"Change of Control" means, in relation to a person (the "first person"), when a person acquires Control of the first person or when a person who controls the first person ceases to do so.
"Control" means, in relation to a person (the "first person"), the ability of another person (the "second person") to ensure that the activities and business of the first person are conducted in accordance with the wishes of the second person, whether through ownership of voting shares, contract or otherwise. Without limitation, the direct or indirect beneficial ownership of more than 50% of the voting rights in a body corporate is deemed to constitute Control.
REF002: TEO to continue to meet specified criteria
The TEO must, for the length of the funding period continue to be:
a) one of the following:
(i) a university; or
(ii) an institute of technology and polytechnic (ITP); or
(iii) a wānanga; or
(iv) a PTE; and
b) experienced in educating refugees.
REF003: TEO to continue to meet quality assurance requirements
The TEO must continue to be quality assured by the applicable quality assurance body, being:
a) the New Zealand Qualifications Authority, if the TEO is an ITP, wānanga, or PTE; or
b) the New Zealand Vice-Chancellors’ Committee, if the TEO is a university.
REF004: TEO to ensure that learners are eligible
The TEO must ensure that each learner in a programme of study or training funded by the ILN – Refugee English Fund is, and continues to be:
a) a New Zealand citizen or resident; and
b) a refugee, protected person, or person sponsored by a refugee or protected person.
REF005: TEO to ensure programmes meet criteria
The TEO must ensure that each programme of study or training funded from the ILN – Refugee English Fund:
a) leads to the award of an ESOL certificate or diploma at level 3 or above on the New Zealand Qualifications Framework (NZQF); and
b) is part of a programme that:
(i) has been quality assured by the applicable quality assurance body; and
(ii) if offered by a PTE, has 40 or more credits.
REF006: TEO not to charge fees
The TEO must not charge a fee to a learner who is participating in an eligible programme of study or training for which the TEO receives funding from the ILN – Refugee English Fund.
REF007: TEO not to receive other Crown funding
The TEO must:
a) not (without the TEC’s prior written consent) seek or obtain funding from any Crown source (including a Crown entity or a company wholly owned by the Crown) other than the TEC to fund a programme of study or training that receives funding from the ILN – Refugee English Fund; and
b) notify the TEC immediately if it becomes aware of any circumstances that might result in a breach of sub-paragraph (a) of this condition.
REF008: TEO to use funding responsibly
The TEO must use the funding:
a) lawfully, responsibly, and for the purposes for which it is provided; and
b) in a manner consistent with the appropriate use of public funds.
REF009: TEO to repay over-funding
If the TEO receives funding from the ILN – Refugee English Fund that is greater than it should have been, or that the TEO was not entitled to receive, the TEO must treat the amount of the over-funding as a debt due to the Crown that:
a) is repayable on demand; and
b) may be set-off against all or any funding, or any sum of money payable by the TEC to the TEO.
Funding greater than it should have been
For the purposes of this condition, the TEO will have received funding that was greater than it should have been if the TEO does not deliver all of the places specified in its Investment Plan. This means that if a TEO does not deliver the agreed number of places in its Plan, then the TEC will recover all funding associated with those undelivered places.
REF010: TEO not to subcontract
The TEO must not sub-contract the delivery of a programme of study or training for which the TEO receives funding from the ILN – Refugee English Fund.
REF011: TEO only to enrol learner for certain period
The TEO must only allow a learner to re-enrol in a programme of study or training that receives funding from the ILN – Refugee English Fund, within a period of up to three years from his or her first enrolment.
REF012: TEO to repay funding following revocation of funding approval
If the TEC, in accordance with section 159YG of the Education Act 1989, suspends or revokes some or all of a TEO’s funding paid from the ILN – Refugee English Fund before that funding has been used or contractually committed towards the purposes for which it was provided, the TEO must treat the unexpended or uncommitted portion of the funding as a debt due to the Crown that:
a) is repayable on demand; and
b) may be set-off against all or any funding, or any sum of money payable by the TEC to the TEO.
REF013: TEO not to claim funding for recognised prior learning
The TEO must not claim funding for recognised prior learning credited to a learner.
To ensure that the TEO is able to comply with this condition, the TEO must:
a) ask each learner to specify prior learning he or she has undertaken; and
b) before admitting each learner into an ILN – Refugee English funded programme of study or training, review that information as it relates to each student; and
c) retain documents that confirm that the learner has demonstrated the required knowledge or skill.
For the avoidance of doubt, recognised prior learning does not include repeated learning or training that the applicable quality assurance body requires learners to repeat periodically.
REF014: TEO to make information available to TEC and its appointed representative for the purpose of monitoring
By accepting funding from the TEC the TEO is deemed to have acknowledged that one of the TEC’s statutory functions is to monitor the performance of organisations receiving funding from the TEC, and that it is a statutory condition that the TEO must maintain certain records and supply certain information to the TEC. Accordingly, by accepting funding from the TEC the TEO is deemed to have acknowledged that the TEC needs access to certain information to enable it to undertake its monitoring activities and, as such, the TEO authorises the TEC (and any representative acting on behalf of the TEC) to have reasonable access to information needed by the TEC to undertake its review and monitoring function. This includes the TEO authorising the TEC and the TEC’s appointed representatives to have reasonable access to the TEO’s premises and any premises where the TEO’s records are kept for the purpose of enabling monitoring and review activities to be undertaken at those premises.