Education (Tertiary Reforms) Amendment Act 2007

21 New heading and sections 159ZC to 159ZH substituted
  • Sections 159ZA to 159ZF and the heading above section 159ZA are repealed and the following heading and sections substituted:

    Funding under this Part other than via plans

    159ZC Funding other than via plans
    • (1) If a funding mechanism provides for funding for an organisation other than via plans, the Commission may, under this section, fund that organisation in accordance with that funding mechanism.

      (2) Nothing in subsection (1) limits the Commission's powers to fund organisations in other ways under a delegated authority or another enactment.

    159ZD Conditions on funding received under section 159ZC
    • (1) It is a condition of receiving funding under section 159ZC that the recipient will supply to the Commission or Ministry, from time to time as required by the Commission or Ministry, and in a form specified by the Commission or Ministry, any financial, statistical, or other information that the Commission or Ministry requires the organisation to supply.

      (2) The Commission may impose conditions on funding received by an organisation under section 159ZC, but only if the Minister has provided that, under the funding mechanism under which that funding is provided,—

      • (a) any or specified conditions may be imposed; or

      • (b) specified conditions must be imposed.

      (3) The Commission may at any time (including during a funding period) amend any condition imposed under subsection (2).

      (4) An amendment to a condition takes effect when the organisation has been given reasonable notice of it.

    159ZE Accountability for funding received under section 159ZC
    • (1) An organisation (other than an institution) that receives funding under section 159ZC must ensure that—

      • (a) it keeps records, in a form consistent with that required by the Commission, for the period to which the funding relates, that fully and fairly show—

        • (i) the transactions, assets, liabilities, and funds of the organisation that are or were affected by the funding; and

        • (ii) whether any conditions on which the grant was made have been complied with; and

      • (b) the records are available for inspection by the Commission at all reasonable times.

      (2) As soon as practicable after the end of any year in which an organisation (other than an institution) receives funding under section 159ZC, the organisation must provide the Commission with—

      • (a) a financial report of the organisation for that year, including a statement of financial performance, a statement of financial position, a statement of movements in equity, a statement of cash flows, and a statement of service performance that compares the performance of the organisation with the outcomes agreed with the Commission as measured by any performance indicators agreed with the Commission; and

      • (b) any financial reports, or statistical or other information, required by the Commission; and

      • (c) any information necessary to demonstrate compliance with any condition attached to the funding.

      (3) A report required under subsection (2)(a) must be prepared in accordance with generally accepted accounting practice and must be audited by an independent chartered accountant.

      (4) The Commission may exempt any organisation, group of organisations, or type of organisation from complying with 1 or more of the requirements set out in subsections (2) and (3).

      (5) In exercising the powers conferred on it by subsection (4), the Commission must have regard to—

      • (a) the amount of funding sought by the organisation; and

      • (b) the amount of funding received by the organisation; and

      • (c) the type and size of the organisation; and

      • (d) any other matters that the Commission considers relevant.

      (6) Section 203 sets out the accountability requirements for institutions.

    159ZF Commission may suspend or revoke funding given under section 159ZC
    • (1) The Commission may suspend or revoke payment, or any or all further payments, of any funding given to an organisation under section 159ZC if the Commission is satisfied on reasonable grounds that the organisation—

      • (a) has not complied, or is not complying, with a condition on which the funding was given; or

      • (b) is not providing, or has not provided, adequate and timely information required by the Commission or Ministry under section 159ZD.

      (2) Before deciding whether to suspend or revoke payment under subsection (1), the Commission must—

      • (a) notify the organisation of the specific matters of concern; and

      • (b) give the organisation a reasonable opportunity to be heard.

      (3) The Commission must give its reasons to an organisation if it decides to suspend or revoke the organisation's funding.

      (4) The Commission must specify the following matters if it decides to suspend funding under subsection (1):

      • (a) the date on which the suspension will end and, as a consequence, the funding will be revoked; and

      • (b) what action the organisation must take in order to have the suspension lifted and avoid funding being revoked.

    159ZG Extending suspension of funding
    • (1) The date on which a suspension ends under section 159ZF(4)(a) may be extended by the Commission.

      (2) The Commission must advise an organisation of the following matters if it decides to extend the date on which a suspension will end:

      • (a) the date on which the extended suspension will end and, as a consequence, funding will be revoked; and

      • (b) what action the organisation must take in order to have the extended suspension lifted and avoid funding being revoked.

      (3) An extension of a suspension must be for a period that the Commission considers reasonable having considered—

      • (a) the specific matters referred to in section 159ZF(2)(a); and

      • (b) the action referred to in section 159ZF(4)(b).

    159ZH Review of decision made by delegate to suspend or revoke funding under section 159ZC
    • (1) Subsection (2) applies to an organisation in relation to which a person has exercised any of the following powers under a delegation from the Commission under section 73 of the Crown Entities Act 2004:

      • (a) suspending the organisation's funding under section 159ZF; or

      • (b) revoking the organisation's funding under section 159ZF; or

      • (c) extending the suspension of the organisation's funding under section 159ZG.

      (2) An organisation to which this subsection applies may ask the Commission to review the decision of the delegate.