SAC3+026: TEO to repay over-funding


If the TEC considers on reasonable grounds that a TEO has received funding that was greater than it should have been, or that the TEO was not entitled to receive, then the TEO must treat the amount of over-funding as a debt due to the Crown that:

a)    is repayable on demand by the TEC; and

b)    may be off-set against all or any funding, or any sum payable by the TEC to the TEO.

For the purposes of this condition, a TEO will have received funding that was “greater than it should have been” if the total dollar value of the SAC-funded provision that was delivered by the TEO within the funding year is less than 99% of the total value of the provision paid to the TEO from SAC.

In that situation, the percentage of funding that is repayable is equal to the difference between the bottom of the tolerance band (99%) and the percentage value of the provision that was delivered.

  • Last changed: 8 March 2016
  • Last verified: 8 March 2016