Funding and Payments

Funding and Payments

Last updated 18 December 2020
Last updated 18 December 2020

This page provides information about how Targeted Training and Apprenticeship Fund (TTAF) funding is allocated and paid.

Funding

The TTAF funding delegation (PDF, 458 Kb) is issued by the Minister responsible for tertiary education. The funding delegation outlines the general form and essential components of the fund. It provides the mandate for the TEC to allocate the funding and what the funding can be used for, and details how we administer the fund.

A tertiary education organisation (TEO) that receives TTAF funding is required to:

TEOs will receive 2021 funding agreements from the TEC, which enable us to provide you with a funding allocation and to make payments. Funding allocations and payment schedules will be available on Ngā Kete.

Payment

TEC is currently finalising the 2021 payment schedule. This will be outlined in your funding agreement and will be made available on this webpage. Funding allocations and payment schedules will also be available on Ngā Kete.

Funding allocation

TEC is currently finalising the 2021 funding allocation methodology. In general terms, your intial 2021 allocation will be based on historical delivery information and 2020 fees.  Your initial 2021 funding allocation will not include the recently announced target areas which take effect on 1 January 2021. However, we will work with you on funding amendments to include funding for the expanded target areas once the eligible programmes and qualifications in these new target areas are finalised.

In-year amendments

You will receive TTAF funding for all eligible learners enrolled in eligible qualifications or programmes. We will consider if in-year adjustments to your allocation are required after the submission of the August Single Data Return (SDR) and Industry Training Register (ITR).

You can also contact us to discuss your allocation if you believe it is substantially inconsistent with your anticipated delivery; for example due to increased enrolments in 2020. To request a review of your 2020 allocation amount, please complete the below form and return to customerservice@tec.govt.nz.

TTAF Allocation Review Request Form (Word, 379 Kb)

Final wash-ups will be calculated after the December SDR, and March ITR.

Funding wash-ups

TEOs will be paid for all eligible learners enrolled in TTAF eligible qualifications and programmes.

As this is a new fund in 2020, funding recoveries for under-delivery will apply.

Funding wash-ups for any additional funding and recoveries will be calculated in line with the recoveries methodology, which will be published before the end of December 2020.

Wash-ups will also be calculated to ensure that you are paid for all eligible learners enrolled in eligible programmes i.e. where your delivery is over your allocation.  

 

 

 

Application for approval to increase, reinstate or start charging fees (Industry Training Fees)

As a principle, the TEC will pay for fees that would have otherwise been charged to learners as at 1 July 2020. 

› This is because the introduction of the Targeted Training and Apprenticeships Fund is not intended to change fees structures already in place. TTAF is intended to cover fees that would normally be paid by, or on behalf of, learners. 

› However, as Transitional ITOs usually manage their own fee policies, which means deciding whether or not to charge fees and the amount, we recognise that we may need to pay for fees that weren’t being charged, or were being charged at a reduced rate, as at 1 July 2020.   

› The TTAF funding agreement (clause 37) references an application process for TEOs. This application process enables:

  • Transitional ITOs to apply to the TEC to have fees funded through TTAF  
  • TEC to assess and approve funding these fees through TTAF.

› To apply for the TEC to fund fees through TTAF, that weren’t being charged, or were being charged at a lower rate, as at 1 July 2020, please use this form: 

TTAF application for approval to charge fees 

› Completed forms must be sent to customerservice@tec.govt.nz, with the subject line: [Edumis#] – TTAF – Application to increase fees

› This form is not for Tertiary Education Institutions (TEIs) and Private Training Establishments (PTEs) to apply for any standard annual fee increases that are applied under the Annual Maximum Fee Movement settings. 

› This form is not for TEIs and PTEs that want to increase fees more than the Annual Maximum Fee Movement. 

› The same contract clause is replicated for TEIs and PTEs and we are working on establishing a process for this. 

Please note, the basis for your application must be one of the following: 

(a) Fees had been reduced or removed as a result of COVID-19 during 2020; or

(b) You have had, or anticipate, a significant recent reduction in revenue that required to begin charging fees, or increase existing fees, 

(c) You have had, or anticipate, a significant recent reduction in revenue, that required you to begin charging fees, and the decision to begin charging or increasing fees relates to a specific reduction in revenue that has occurred as a result of external persons or entities stopping or reducing payments as a result of the TEO receiving TTAF funding; or

(d) Another reason is provided for beginning to charge fees, or increasing fees, and TEC is satisfied that there are circumstances that justify such a change.