Tertiary Education Commission
Te Amorangi Mātauranga Matua
National Office
44 The Terrace
PO Box 27048
Wellington, New Zealand
2
Contents
Hillary Outdoors Education Centres (Edumis 9619)
4
Part one: Summary of Audit Results
4
Overall recommendation
4
Audit Ratings
4
Key findings and recommendations
4
Part two: Key findings and recommendations
5
Part three: Other Audit Findings
12
Financial Viability Assessment
12
Minimum Prudential Financial Standards
12
Part four: Audit Process Overview
14
Purpose of the audit
14
Scope of the audit
14
Overview of Hillary Outdoors Education Centres
15
Audit process overview
15
Part five: TEO Corrective Actions
16
Corrective Actions
16
3
Part three: Other Audit Findings
Further findings of the audit are set out below.
Financial Viability Assessment
9619-Sir Edmund Hil ary Outdoors Education Trust
Minimum
Prudentia
l Financial
Risk assessment
Standards (Based on your financial statements for the years shown)
s9(2)(b)(ii)
The PTE’s financial year end is 31 March, so the 2020 financial statements and the 2021 forecast were due
on 31 August 2020. TEC agreed to their request for an extension to 20 November because of the extra
pressures the COVID-19 lockdowns had imposed on their auditors. We did not receive their financial
information until 5 January 2021.
s9(2)(b)(ii)
In our email of 6 January 2021 we stated
s9(2)(b)(ii)
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s9(2)(b)(ii)
The TEC funds Equity Funding, Fees-free Payments, and Student Achievement Component – Provision at
Level 3 and above funding.
Funding (excluding Fees-free Payments) was $132,765 in 2018 (21.4 EFTS delivered), $102,930 in 2019
(17.1 EFTS delivered) and $162,469 in 2020 (22.0 EFTS delivered). Funding in 2021 is $127,571 (for
20.5 EFTS).
The PTE delivered 107% in 2018, 100% in 2019 and 91% in 2020. As 2020 funding was covered by the fees
guarantee there is no recovery for under delivery for the 2020 Student Achievement Component –
Provision at Level 3 and above.
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Part four: Audit Process Overview
Purpose of the audit
The purpose of the audit was to provide assurance that your organisation is complying with the
Education and Training Act 2020 and conditions imposed on your funding. This audit is part of our ongoing
monitoring of tertiary education organisations (TEOs).
This audit used a sample-based approach and reviewed a limited scope of the applicable funding conditions
and other requirements. As such, despite our best efforts, some non-compliance may remain undetected
and the audit does not provide complete assurance of historical, current or future compliance.
Non-detection of non-compliance does not make that practice compliant, and wil not restrict the TEC from
taking action under the Education and Training Act 2020 or from recovering funding in the future if non-
compliance is later detected. Please refer to the audit guidelines for more information on the inherent
limitations of an audit.
Our audit focus wil be on assisting TEOs in achieving their objectives through wel -reasoned audits,
evaluations and analyses of the business viability and education outcomes for students.
Scope of the audit
TEC’s monitoring function is set out in section 409(1)(h) of the Education and Training Act 2020, which
provides that the TEC's functions are to "
monitor the performance of organisations that receive funding
from the Commission including by measuring performance against specified outcomes”.
The scope of the audit was aligned to the performance commitments in the Investment Plan and the
associated funding obligations between the TEC and your organisation. The scope was outlined in the audit
arrangements letter. TEC Audit Guidelines were also provided to help you understand how TEC undertakes
audits and what to expect during the audit.
The scope of the audit was outlined in the audit arrangements letter. This included the fol owing:
> Your current registration and accreditation status for funding eligibility
> Your organisation’s systems and processes for reporting student data through the Single Data Return,
including reporting enrolments, student achievement and withdrawals
> Compliance with your funding conditions for each fund:
- Fees-free Funding
- Student Achievement Component – Provision at Level 3 and above
- Hardship Funding for Learners
> Compliance with the Annual Maximum Fee Movement policy relating to fees and course costs
> The refund of any fees that have been overcharged (if applicable)
> Compliance with the Compulsory Student Services Fee (if applicable)
> Whether your organisation has offered any inducements or benefits to students
> Responsibility for any subcontracting arrangements
> Your programmes and qualifications
> Your organisation’s process for maintaining student records as required by clause 13(1) of Schedule 18
of the Education and Training Act 2020 (for on-plan funding under section 425), and 25(1) of Schedule
18 (for off-plan funding under section 428).
> Any other matters relating to funding provided by the TEC.
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Part five: TEO Corrective Actions
In addition to providing comments on the draft audit report, the TEO audited is requested to provide a list
below of any corrective actions to be undertaken on the audit.
Corrective Actions
Based on the recommendations in Part Two what corrective actions wil be undertaken?
Focus Issue
Corrective Action
Date to be
Area
completed
1
Seeking approval
The organisation will need to regularly review NZQA and
Completed
for subcontracting TEC’s policy on subcontracting, and make sure that
arrangements has approval is granted before the academic year commences.
not always been
Update the QMS to include a reminder about checking
timely.
subcontracting consents.
2
Records
Update the QMS to include relevant records management
Completed
management
information in the Education Policy document to show
information is in a compliance with clause 13(1) of Schedule 18 of the
separate
Education and Training Act 2020.
document.
2
Fees-free checks
Update the QMS to add a step to include a screen shot of
Completed
were not filed in
the Fees-free check in the student file.
the SMS.
2
Exemptions to
Revise the QMS to ensure that additional comments will be Completed
admission criteria added in student files when an exemption has been
have not always
granted.
been documented
or explained.
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