Gillard's two-for-one school funding deal

Written By Unknown on Minggu, 14 April 2013 | 20.01

PM Julia Gillard has offered state and territory governments $2 for every extra $1 they invest in education.

PRIME Minister Julia Gillard has offered state and territory governments $2 for every extra $1 they invest in education, under her plan to boost schools funding.

Ms Gillard announced details of Labor's schools improvement plan, saying it was vital to Australia building a world leading education system.

At the heart of the deal is extra base funding of $14.5 billion over six years from 2014.

"It's a lot of money, but I believe it is a wise investment in our children's future and our nation's future," she told reporters in Canberra.

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This will require the federal government to index its funding contributions at 4.7 per cent a year.

It will be calling on the states and territories to index their contributions to at least three per cent.

Jacinta Collins, PM Gillard and Peter Garrett at today's press conference in Canberra. Picture: Strange Ray

"Today I make an offer for the extra money required to get us to the school resourcing standard," the prime minister said.

"For every one dollar they are prepared to put in to get there, I am prepared to put in two dollars," she said.

This equates to the commonwealth paying 65 per cent of the extra investment - or $9.4 billion.

THE GOVERNMENT 'BETTER SCHOOLS' FACEBOOK PAGE

Ms Gillard said that as part of the agreement, she'd be asking the premiers to promise not to make any further cuts to education.

"No more taking money out of schools, as we have seen around the country," she said.

Anthony Albanese Meet The Press Ep8 Seg1

As well, every school would have to have a transparent school improvement plan to ensure it was trying to reach national education benchmarks on numeracy and literacy.

Ms Gillard said it was vital a deal was struck between the state and federal governments, because failure would lead to $5.4 billion less in commonwealth funding for schools.

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"It means a future of underfunded schools," she said.

If an agreement wasn't reached, the states would be left to fight among themselves for the limited resources available.

That would be a recipe for educational disadvantage, Ms Gillard said.

Anthony Albanese Meet The Press, Ep08, Seg 2

Under the schools resource standard, base funding would be $9271 for each primary school child and $12,193 for a high school pupil.

This was calculated on what it would cost to raise 80 per cent of students above the national minimum standards for literacy and numeracy.

There would be extra loadings for disadvantaged or vulnerable students.

This would cover schools with pupils from low socio-economic backgrounds, indigenous students, those with limited English proficiency, disability, school sizes and school locations.

The loadings would pay for items such as equipment, specialist teachers, teacher aides and new programs to help students.

Ms Gillard said the new funding model was based on the needs of Australian school children.

Christopher Pyne Meet The Press, Ep08, Seg 3

THE GOVERNMENT 'BETTER SCHOOLS' WEBSITE

"For me, it was education and getting every child a great education that brought me into politics, as a moral cause," she said.

"We cannot have the strong economy that we want tomorrow unless we have the best of education in our schools today."

Labor wants Australia's education system to be ranked in the world's top five for reading, mathematics and science by 2025.

As well, funding for some other education programs, like the computers for schools initiative, would be rolled into the new schools funding agreement.

The prime minister said the states had until June 30 to decide whether they would get on board.

PM Julia Gillard and School Education Minister Peter Garrett join pro-Gonski parents and their children at Parliament House in Canberra ahead of today's schools funding boost. Picture: Strange Ray

She also defended the cuts Labor was making to the tertiary education sector and changes to the superannuation scheme to help pay for schools.

The government on Saturday announced about $2.8 billion worth of cuts to the university sector, but did not specify how much of those savings would go toward schools reforms.

Ms Gillard said Labor had increased funding to universities by more than 50 per cent since being elected in 2007.

The government was asking universities to make "modest" efficiency savings, she said.

This morning on Meet the Press, Leader of the House Anthony Albonese said further funding cuts would need to be found to fully fund the Gonski program.

"The Expenditure Review Committee is working very hard to make sure we can make the space for this reform."

PM Gillard and Schools Education Minister Peter Garrett at today's press conference in Canberra. Picture: Strange Ray

Ms Gillard said the $14.5 billion in extra investment for schools would lift total public funding to $49.5 billion a year on average to 2019.

Of that extra investment, NSW would get $5 billion, Victoria $4 billion and Queensland $3.8 billion.

Western Australia would get $300 million, South Australia $600 million, Tasmania $400 million, the Northern Territory $300 million and the ACT $100 million.

This would be on top of the extra funding secured for each state and each schools sector if the states and territories agreed to more stable indexation of current school spending.

The prime minister will meet state and territory leaders in Canberra on Friday for the Council of Australian governments to thrash out the issue.

The states will be asked to sign a new National Education Reform Agreement, which incorporates the National Plan for School Improvement to lift literacy and numerical standards.

Negotiations are also being held with the Catholic and Independent school sectors.

Government schools are expected to share $12 billion, Catholic schools $1.4 billion and independent schools $1 billion.

If there is agreement and Labor successfully amends education law, the changes will be effective from January 1 next year.

WHAT THE STATES WILL GET UNDER LABOR'S SCHOOLS FUNDING PLAN:

OVERALL:

  • Extra $14.5 billion for public, private schools over six years from 2014
  • Commonwealth to pay 65 per cent, or $9.4bn
  • States to cover the rest
  • Extra funding takes total public schools funding to $49.5bn a year
  • Schools funding to grow if better annual indexation rates agreed with states
  • Federal government funding to rise 4.7 per cent a year if states grow education budgets by three per cent

STATE-BY-STATE:

  • NSW, $5bn
  • VIC, $4bn
  • QLD, $3.8bn
  • WA, $300m
  • SA, $600m
  • TAS, $400m
  • NT, $300m
  • ACT, $100m

The NSW government says it needs more time to consider the federal government's offer of $2 for every extra $1 that states and territories invest in education.

NSW Education Minister Adrian Piccoli said the government would "examine the details'' of the proposal.

"The NSW Government has constructively supported Gonski because we see it as a win for students,'' Mr Piccoli said in a statement.

"We continue to work constructively with the Commonwealth to turn this review into an opportunity for all of our students.''

The federal government wants agreement from the states and territories at this Friday's Council of Australian Governments (COAG) leaders meeting.

Of the $14.5 billion in extra investment, NSW would get $5 billion, with the majority to go to public schools.

The Victorian government says it is being held to ransom over proposed education funding reforms.

Prime Minister Julia Gillard says a total of $14.5 billion would be pumped into the sector from next year, with the commonwealth providing the bulk or 65 per cent.

Victorian schools will receive $4 billion, Ms Gillard said.

However, Victorian Education Minister Martin Dixon said the federal government was demanding how the money be spent.

"The federal government are putting the states in a very difficult position,'' he told reporters in Melbourne on Sunday.

"Basically they're saying, 'here's a whole bunch of money, but you've got to do it our way'.

"They should be working with us, not holding us to ransom.''

Mr Dixon said he would seek more detail about the proposed changes from his federal counterpart this week.

Premier Colin Barnett says the prime minister's proposed education reforms, which will see Western Australian receive just $300 million from a national package of $14.5 billion, is a "terrible deal'' for the state.

Prime Minister Julia Gillard has offered state and territory governments $2 for every extra $1 they invest in education, under her plan to boost school funding.

Ms Gillard on Sunday announced details of Labor's schools improvement plan, with extra base funding of $14.5 billion over six years from 2014.

Under the plan, WA would get $300 million, compared to NSW which would receive $5 billion. Only the ACT would receive less money than WA with $100 million.

Liberal West Australian Premier Colin Barnett has long been a thorn in Ms Gillard's side and came out on the attack against the prime minister's plan.

"Under the Commonwealth's model, there would be 25 per cent less funding per student than WA already provides,'' he said.

Mr Barnett said the model presented a one-size-fits-all approach to education across the country that did not work.

"We have sought further information and clarification from the Commonwealth about the financial assumptions we have received, but to date, this has not been forthcoming,'' he said.

"Julia Gillard needs to explain why NSW stands to receive 16 times more funding than WA.''

The premier said it was "incredibly disappointing'' there had not been constructive discussion about the future of education.

"As I have said before, WA will not sign up to any model that results in a reduction in state government funding to state government schools,'' he said.

BY SECTOR:

  • Public schools, $12bn
  • Catholic schools, $1.4bn
  • Independent, $1bn

EDUCATION SYSTEM:

More than 9400 schools: 71 per cent public, 18 per cent Catholic, 11 per cent independent

More than 3.5 million students: 65 per cent in public schools, 20 per cent Catholic, 14 per cent independent

Under current funding system, federal government pays 15 per cent of public schools funding, 75 per cent of private schools funding.

(Source: federal government)

AAP el/klm/alb


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