1. This condition applies to funding for New Zealand Apprenticeships only in relation to funding under the Industry Training Fund.
2. The TEC will allocate additional funding up to the limits specified in paragraph 3 of this condition if:
a) the eligible organisation has met, and continues to meet throughout the funding period, the minimum thresholds for organisational and educational performance for determining under which circumstances an eligible organisation qualifies for additional funding, as described below; and
b) the value of provision measured in dollars that is specified in the eligible organisation’s funding approval is less than the value of provision measured in dollars actually delivered by the eligible organisation.
3. Subject to paragraph 4, the limits for additional funding are the greater of:
a) 2% of the eligible organisation’s approved funding allocation; or
b) an additional 10 standard training measures (STMs),
whichever is the greater.
Minimum thresholds for organisational performance
1. Eligible organisations must have an NZQA External Evaluation and Review (EER) rating of “Highly Confident” (Category 1) or “Confident” (Category 2). If an eligible organisation was established in 2015 or will established during the funding period as the result of a merger of two or more TEOs and if the merged organisations each had an EER rating of Category 1 or 2, the TEC will accept those ratings as meeting the minimum threshold.
2. If, at the date of this letter, an eligible organisation does not have an EER rating, the TEC will not make any decisions as to the whether the eligible organisation has met the minimum thresholds until the EER rating, if any, is known.
3. If, at the date of this letter or at any time during the funding period, an eligible organisation is disputing its EER rating, the TEC will not make any decisions as to the whether the eligible organisation has met the minimum thresholds until the dispute is resolved.
4. If an eligible organisation becomes the subject of a TEC investigation during the funding period, the TEC will not make any decisions as to the whether the eligible organisation has met the minimum thresholds for organisational performance until the outcome of the investigation is known.
Minimum threshold for educational performance
The minimum threshold for educational performance is an average credit achievement rate of 70% or higher. [Measures the number of credits that were achieved by New Zealand Apprentices (NZAs) in a given year, as a proportion of the credits NZAs were expected to achieve in that year.]