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CIT To Be Incorporated Hutt Valley Polytechnic

Central Institute Of Technology To Be Incorporated Into Hutt Valley Polytechnic

Associate Education (Tertiary Education) Minister Steve Maharey confirmed today that the proposed incorporation of the Central Institute of Technology (CIT) into Hutt Valley Polytechnic (HVP) will go ahead from 1 July 2001.

"The Government is committed to the delivery of quality tertiary education and training for the Hutt Valley and the wider Wellington region. This incorporation, backed by additional Government investment, secures the provision of tertiary education and training and will grow a facility that will be an asset to the whole tertiary education sector."

"The Government has been concerned to limit the disruption to staff, students, and the wider community, and specifically to minimise any job loss while ensuring the on-going viability of tertiary institutions in the region. It is of real concern that, once again, it has been left to this Labour-Alliance Government to address a problem that was many years in the making, and which previous Governments have been negligent in failing to address."

“At the same time as approving CIT’s incorporation into HVP, I have endorsed a change of name for HVP. The new name, Wellington Institute of Technology, reflects the strong focus of the polytechnic on the provision of a much wider range of courses and programmes to Hutt Valley and Wellington City. It also signifies to the community that the best features of both CIT and HVP will be available for the benefit of students and staff through the Wellington Institute of Technology."

The Central Institute of Technology has been experiencing significant financial difficulties over a sustained period. In 2000 a process to review the options for the future of the Institution was initiated. Public submissions were sought and consultation meetings held. The Government then considered the options available and took into account the views of a range of stakeholders.

"The incorporation of CIT into HVP will provide many educational and strategic benefits through a larger, more financially sound polytechnic with the capacity to provide a more diversified portfolio of learning pathways," said Steve Maharey.

“Students, their parents and the wider community can now be assured that, through this process, more opportunities to participate in polytechnic education across a broad range of fields will be provided. Existing students can be confident that there will be a smooth transition of courses and that programmes of education and training will not be disrupted."

“The Wellington Institute of Technology will build on the excellent existing links with industry and a broad range of courses and qualifications, from entry level to degrees, will bring many benefits. By pooling the experience and research activities of CIT and HVP an enhanced research facility will be provided for the benefit of industry and other end-users. This will be capable of providing considerable economic benefits for the region, and the nation as a whole."

The Wellington Institute of Technology is currently developing a new charter
and will ensure the governing Council's membership will reflect its expanded
role.

As CIT is technically insolvent, all options for its future have a significant cost, but the government’s investment in incorporating CIT into the Wellington Institute of Technology will secure significant educational benefits. The ongoing cost to the government of continuing to meet CIT’s cash shortfall was an important consideration, particularly as a worsening financial situation was forecast.

“In making this decision the government has sought to ensure that the financial viability of the Wellington Institute of Technology is not at risk and that it is well placed to maintain its position as a progressive educational institution”, said Steve Maharey.

The government will meet the costs of disestablishing CIT and will make available up to $15 million to the Wellington Institute of Technology ($6 million for the costs of incorporating CIT with $9 million via loan financing).

“I am also very pleased to note that Whitireia Community Polytechnic and the Wellington Institute of Technology have committed to working collaboratively to meet the future education and training needs of the Wellington region. This is a further example of co-operation in the tertiary education sector.

Ends

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