In order to receive government funding, each school enters an individual Funding Agreement with government. The Funding Agreement covers the conditions under which recurrent funding is provided for the period 2005-2008.

7. Funding and operating agreement

Government funding is contingent upon the school satisfying meeting specified accountability requirements.  For comprehensive information relating to government funding, compliance and accountability refer to AISV’s ‘2007 Briefing for Members – Australian and State Government Funding for Non-Government Schools’ and the Educational Accountability – Requirements Under the Schools Assistance Act 2004.

It is important for the Board to understand the implications of the funding agreements and related legislation.  School rules, regulations and guidelines must be consistent with these accountabilities.

Board Members need to be aware of the school’s obligations when these agreements are finalised with governments.  Government funding represents a significant component of overall School revenue.  Understanding and meeting funding agreement criteria are therefore important risk management issues for Board Members.

For further information on Government funding arrangements, please refer to the following documents:

Comments on Australian Government Funding Agreements

Risk Management: Australian Government Funding Agreements

Governance Guidelines

Across the Board

Purpose

Governance

Applying principles of good governance to schools

Legal status of schools

Primary legislation governing schools

Ancillary legislation

Funding and operating agreement

Structure of the school and delegation of powers

The key roles of the school board and its members

Legal obligations and potential liability of board members

Conflicts of interest

Charter for the school board

Constitution of the board and selection of board members

Orientation and ongoing education for board members

Retention of board members

Succession planning

The key roles of the chair

Legal obligations of the chair

The key roles of the principal

Relationship management

Performance management

Compliance and risk management

Board meetings

Establishing committees on the board

Whistle blowers

Additional resources

Appendix 1 – selection process

Appendix 2 – board skills matrix

Appendix 3 – performance management