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New requirements for tertiary education funding

23 January 2002 Media Statement

New approvals required for tertiary education funding

By 2004, every organisation seeking government funding for tertiary education will need a charter, plus an approved profile setting out its operational plans, policies, activities and performance goals.

A 50 page report recommending how these requirements should be implemented has been released today by Associate Education (Tertiary Education) Minister Steve Maharey.

“The charter will state what the provider or industry training organisation is setting out to do and giving a broad description of their role in the tertiary education system. Most approved charters will have a life of up to ten years, with ITOs having a five-year charter.

“The annually updated profile will give more detail on the strategic direction, activities, policies, and performance measures for the next three years. We’ll require reporting every year on their performance and financial targets as set out in the profiles. The profiles will allow for a three-year funding cycle.

“The charter will require universities, polytechnics, and all other tertiary providers to state how they will contribute to New Zealand’s “identity and economic, social, and cultural development”, according to the report. They will also have to state their approach to “collaboration and co-operation with other tertiary providers and organisations”.

“We really want to see a connected and co-operative tertiary education sector – bringing together adult and community education, industry training, foundation education, and learning and research in tertiary education institutions and private training establishments to work towards the same strategic goals”, said Steve Maharey.

“That’s how the new report was produced: by a working party drawn from across the whole tertiary sector. The report is a model of what we want to see. Representatives from a diverse sector worked together to produce a high quality result”, Steve Maharey said.

Although the charters and profiles system will be fully implemented by 2004, institutions and providers will be encouraged to work towards the new system through such current policies as Centres of Research Excellence and the $35 million Strategic Change Fund available from 1st July, and collaboration with the new Tertiary Education Commission. During this time they will also be working with stakeholders to develop their new charters and profiles.

The new system of charters and profiles was a key element of the draft Tertiary Education Strategy, put out for consultation before Christmas. Regional workshops on the tertiary education draft strategy begin on Wednesday 23 January, in Christchurch.


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