Asset management for TEIs

Te whakahaere rawa mō ngā TEI

Last updated 3 November 2016
Last updated 11/03/2016

Tertiary education institutions (TEIs) are expected to manage assets to ensure the efficient use of national resources. 

They are required to comply with statutory processes relating to the disposal of assets, or interests in assets, and the leasing of land or buildings.

Capital Asset Management

The Government sets out its expectations for Capital Asset Management (CAM) in Cabinet Office Circulars.  We monitor the performance of TEIs against those expectations.  

Further information: Capital Asset Management for TEIs

Disposal of assets

Section 192(4) of the Education Act 1989 (the Act) requires that TEIs get a written consent from the Secretary for Education to sell or otherwise dispose of assets or interests in assets, and to grant leases of land and buildings they own.

Under Section 192(5) of the Act the Minister may determine a value threshold below which a TEI may dispose of, mortgage, or otherwise charge an asset without the consent of the Secretary for Education. The Minister issued a determination for the disposal of assets.

Section 192(5) also states that the granting of a lease for a total term of 15 years or less doesn’t need the consent of the Secretary for Education.

Exemption doesn’t apply to disposals of land and buildings

The Minister’s determination for the disposal of assets doesn’t apply to disposals (including demolitions) of land and buildings. All disposals of land and buildings (including interests in land, such as easements) owned by TEIs require the Secretary for Education’s consent.

TEIs can’t sell Crown-owned land and buildings. For information on options available to TEIs for the Crown-owned land and building assets they manage see Crown-asset transfer and disposal.

Consents for disposals of assets

For information on how to apply for consent to sell, or grant a long-term lease for, land or buildings owned by a TEI see Sale or long-term lease of land and buildings.

For information on how to apply for consent to demolish a TEI or Crown-owned building see Demolitions of buildings.

For information on consents, including thresholds determined by the Minister, for the sale of plant and equipment and other assets (such as financial assets, computers and art or library collections) see Sale of plant and equipment and financial assets.