DIVISION OF REVENUE BILLVOTE 14: BASIC EDUCATION

Presentation to Standing Committee on Appropriations

26 February 2010

Presentation Information

2

1.Restructuring of Education and Distribution of Budget

2.Funding of Education Sector: Equitable Share

3.Basic Education Conditional Grants

Part 1Restructuring of Education and Distribution of Budget

3

• The Department of Basic Education (DoBE) was established through the split of the Department of Education due to the Government restructuring process during 2009

• The DoBE received functions from the Department of Education

• These functions include:Adult Basic Literacy and Numeracy through the Kha Ri Gude campaignSchool Education

Part 1Restructuring of Education and Distribution of Budget

(2)

4

• The budget for the Department consist of funds based on the split of the Department of Education

• The splitting of funds from the Department of Education was done on an agreed framework in line with the allocation of functions as well as the distribution of the staff complement(See next slide on extract from Distribution Framework)

• The Department may experience budget constraints during the 2010/11 financial year onwards since no additional funds were allocated for the establishment of the DoBE

Budget Distribution Framework: Education

• Budget was split according to agreed framework between three DGs• Compensation of employees were distributed according to agreed ratios

for each directorate• Earmarked Funds were allocated based on function• Commitments such as audit fees, rental machines, computer services, bank

charges, etc. were determined for both departments and allocated to the respective directorates

• Funds for operational costs and projects were dealt with as follows:– MTEF amounts for all components were split in agreed ratios between the two

Departments– Operational costs of Directorates/components were allocated based on specific

requirements– Available balance was reserved for projects

5

Part 1Restructuring of Education and Distribution of Budget

(3)

6

The aim of the Department is to develop, maintain and support a South African school education system for the 21st century.

Programmes in the 2010 ENE:• Administration (R252.8 million)• Curriculum Policy, Support and Monitoring (R1 354.3 million)• Teacher and Education Human Resources Development and

Management (R513.7 million)• Planning, Quality Assessment and Monitoring and Evaluation

(R148.7 million)• Social Responsibility (R3 896.7 million)

Details per programme follow in the next slides

Programme 1: Administration

Overall management and administration of the Department

Minister, Deputy Minister, Management, Corporate Services, National and Provincial Coordination and Administration as well as Office Accommodation

7

Programme 2: Curriculum Policy, Support and MonitoringDevelop curriculum and assessment policies for basic education and monitor

their implementation

• Curriculum Implementation and Monitoring• National Curriculum Institute• Curriculum and Quality Enhancement Programmes• Kha Ri Gude Literacy Project• Key objectives and measures include:

Reduce the number of illiterate adults in South Africa by 1.5 million by 2011 through the Kha Ri Gude mass literacy campaign.Improve the quality of mathematics, science and technology education by providing support to and monitoring the performance and participation of 500 Dinaledi schools in these subjects in 2010/11 toincrease the pass rates.Increasing the number of 5-year-old learners enrolled in Grade R to 900 000 learners by January 2011.

Programme 3: Teachers and Education Human Resources Development and Management

Promote quality teaching and institutional performance through effective supply, development

and utilisation of human resources

• Education Human Resources Management• Institutional Development• Teacher Education• Key objectives and measures include:

Improving the quality of teaching.Improved teacher education.Improve the teacher provisioning model.Improve school management

8

Programme 4: Planning, Quality Assessment and Monitoring and Evaluation

Promote quality and effective service delivery in the basic education system through research, monitoring and evaluation, planning and assessment

• Information Monitoring and Evaluation• Financial and Physical Planning and Analysis• Educational Measurements, Assessment and Public Examination• Key objectives and measures include:

Improving infrastructure planning and monitoring.Reduce the number of underperforming schools by 10 % in all

provinces in 2010/11.Improve the management of learner information through the

implementation of LURITS in schools.Improve literacy and numeracy through tests in Grade 3, 6 and 9.

9

Programme 5: Social Responsibility

Develop policies and programmes to increase the participation of learners in schools and improve the quality of learning in schools

• Social Inclusion in Education• Equity in Education• Health in Education• Key objectives and measures include:

Improvement of gender equity in schools.Improve the quality of education and promote access in 450

farm and rural schools.Contribute to the reduction of teenage pregnancies.Improve learning capacity through the National School Nutrition Programme.Reduce health barriers to learning by rolling out health

screening.

10

Part 2Funding of Education Sector: Equitable Share

11

• The key aspect in the Division of Revenue Bill for Education is the funding of the Basic Education Sector in Provincial Education Departments

• At this stage, Provincial Education Departments receive a total of R128.3 billion, R138.9 billion and R145.6 billion over the 2010 MTEF cycle (excluding conditional grants)

• These allocations represents on average 49% of total provincial budgets

• Compensation of employees remains the biggest portion of the budgets of Provincial Education Departments at an average of 79.9% over the 2010 MTEF period

• Detail of the allocations per province is reflected in the next 3 slides

Preliminary budgets of Provincial Education Departmentsfor the 2010 MTEF

Province 2010/11 2011/12 2012/13

EC 20,587,104 22,286,147 23,379,150 FS 7,919,318 8,498,863 8,905,661 GP 20,690,746 22,789,136 23,578,204 KZN 27,259,258 29,651,173 31,263,843 LP 17,741,127 18,883,860 19,707,201 MP 10,974,544 11,789,298 12,329,472 NC 3,320,604 3,614,930 3,780,626 NW 8,638,863 9,384,490 9,909,565

WC 11,135,149 12,021,382 12,708,581

Total 128,266,713 138,919,279 145,562,303

12

– These are preliminary figures from the draft 2010 MTEF budget statements which exclude conditional grants

Preliminary 2010 MTEF PEDs’ budgetsper economic classification

Province 2010/11 2011/12 2012/13

Current payments 118,695,638 128,384,013 134,145,655

Compensation of employees 103,134,866 110,796,353 115,987,133

Goods and services 15,560,772 17,587,660 18,158,522

Transfers and subsidies 2,335,613 1,840,520 1,883,477

Payments for capital assets 7,235,462 8,694,746 9,533,171

Total 128,266,713 138,919,279 145,562,303

13

• Bulk of funding allocated to compensation of employees• Possible decrease in transfers and subsidies over 2010 MTEF

Percentage of preliminary PEDs’ budgets against overall provincial budgets

Province 2010/11 2011/12 2012/13 EC 51% 52% 52%FS 50% 50% 50%GP 46% 47% 46%KZN 48% 48% 48%LP 53% 53% 54%MP 51% 52% 51%NC 47% 48% 47%NW 50% 50% 50%WC 46% 46% 46%Total 49% 49% 49%

14

• Average % allocation to PED’s against provincial budgets remains constant at 49% over 2010 MTEF

• Normal education share is 51%, therefore EC, LP & MP enjoy a favourable % allocation BUT there are concerns about GP, KZN, NC and WC

Part 3Conditional Grants

15

• The Department will be responsible for four conditional grants over the MTEF period as follows:

National School Nutrition Programme2010/11 R3 663.326 million2011/12 R4 578.752 million2012/13 R4 928.090 millionIn addition, provision is made for national coordination, monitoring and strategic leadership as follows:

(2010/11: R13.399 million; 2011/12: R8.234 million; 2012/13: R9.098 million)

HIV/Aids Life Skills2010/11 R188.045 million2011/12 R199.328 million2012/13 R209.294 millionNo provision in grant for national coordination, monitoring and strategic leadership of the programme – this will need to be funded from the Department’s baseline allocation

Part 3Conditional Grants

16

Technical Schools Recapitalisation2010/11 R80 million2011/12 R200 million2012/13 R210 millionIn addition, provision is made for national coordination, monitoring and strategic leadership as follows: (2010/11: R1 million; 2011/12: R2.5 million; 2012/13: R2.625 million)

Dinaledi Schools2011/12 R70 million2012/13 R100 millionThis grant is only from the 2011/12 financial year and details around the framework and activities will be finalised during the 2010/11 financial year

NSNP2010/11 GRANT FRAMEWORK

Strategic goal To enhance learning capacity and to improve access to education

Grant purpose To provide nutritious meals to targeted learners

Outcome statements

Enhanced learning capacity and improved access to education

Outputs Nutritious meals served to learners

17

Province 2010 /11 2011 /12 2012 /13

R'000 R'000 R'000Eastern Cape 702 936 845 166 909 644

Free State 195 194 244 699 263 367

Gauteng 388 884 509 798 548 690

KwaZulu-Natal 855 285 1 070 013 1 151 644

Limpopo 659 233 829 669 892 964

Mpumalanga 354 341 440 923 474 560

Northern Cape 84 536 105 116 113 135

North West 249 599 305 935 329 301

Western Cape 173 318 227 433 244 784

Total 3 663 326 4 578 752 4 928 090

NSNP2010 MTEF ALLOCATION PER PROVINCE

18

NSNP2010/11 GRANT FRAMEWORK CONDITIONS

Develop business plans Distribute budget allocation in terms of the following weightings: - School Feeding: minimum of 95 per cent - Administration and other activities: maximum of 5 per centMinimum feeding requirements:Provide meals to all Q1-3 primary and Q1-2 secondary school learners on all school daysCost per meal per learner in primary schools at R2.30 and in secondary schools at R3.25Honorarium at R600 per month, in line with a food handler to learner ratio of 1:200Comply with recommended menus

(Fresh fruit/ vegetables served daily and varied per week; a variety of protein food should be served per week. Tinned fish, preferably processed with bones, should be served at least once a week. Soya should not be served more than twice a week)

19

HIV/AIDS Life Skills2010 GRANT FRAMEWORK

Strategicgoal

To provide access to an appropriate and effective integrated system of prevention, care and support for learners, educators and support staff infected and affected by HIV and AIDS

Grantpurpose

To develop, implement and manage Life Skills education in line with the HIV/Aids & STIs National Strategic Plan 2007-2011 (NEW)

Outcome statements

• Life Skills integration in the school curriculum at primary and secondary schools; •Care and support provided to learners, educators and support staff infected and affected with HIV and AIDS;•Reduction in risky behaviour among the school-going youth; •Reduction in teenage pregnancy as well as drug and substance use (NEW); and • Schools implement learner retention programmes (NEW)

20

HIV/Aids Life Skills2010 GRANT FRAMEWORK (cont)

Outputs •1 500 master trainers trained in the integration of Life Skills and HIV and AIDS programmes; •30 000 educators trained to integrate the Life Skills programme in line with Departmental policies;•Educators trained in Expressive Art Therapy;•SMTs trained on integrated planning and management of school implementation plans;•Peer education, care and support programmes for learners, educators and other school support staff implemented in additional 5 000 schools; and•Age-appropriate National Curriculum Statement compliant Learning and Teaching Support Material for Grades R-7 adapted for the deaf and blind and distributed to special schools.

21

HIV/Aids Life SkillsKEY OUTCOME INDICATORS

• Quality curricular prevention and school-based life skills (peer education) programme provided in primary and secondary schools

• Quality Sexual and Reproductive Health and HIV prevention programmes implemented in primary and secondary schools

• Reduction in risky behaviour• Reduction in teenage pregnancy rate• Reduction in drug and substance abuse• School implementation plans used to manage risky behaviour

in schools

22

HIV/Aids Life Skills2010/11 GRANT FRAMEWORK CONDITIONS

Develop business plans Distribute budget allocation in terms of the following weightings: - Advocacy and Communication: 3 percent-Training and development: 35 percent-Peer education: 20 percent-Care and support (Not EAP or clinical): 25 percent -Learning and Teaching Support Material: 10 per cent-Management, support, monitoring and evaluation: 7 percent

Note: Provinces may adapt according to local conditions

23

Technical Schools Recapitalisation2010/11 Grant Purpose and Activities

The purpose of the recapitalisation of technical schools is to improve conditions of technical schools and modernise them to meet the teaching requirements of learners in the technical and vocational fields and increase the number of suitably qualified and technically skilled graduates from these schools.

Provinces will utilise the funds for the following activities:Building or re-designing workshops at technical schools to support the technical subject offerings.Refurbishing workshops in technical schools to comply with safety laws and to meet minimum industry standards.Buying and installing new machinery and equipment consistent with the technical subjects that are offered in technical schools.Training and up-skilling teachers at technical schools to acquire new trends, practical skills, and developments in technical subjects.

24

Technical Schools Recapitalisation2010/11 Grant Allocation Principles

• The funds have been allocated to each province, according to the results of the audit, which reported on the conditions of schools to be recapitalised.

• The Department determined the baseline values associated to each need, in accordance with the purpose of the project.

• Baseline values were identified in the following expenditure items: Acquisition of land and buildings (R500 000) per new workshop;

Equipment and machinery (R2,6 million) maximum allocation per school;

Renovations to property (R250 000) per technical subject/workshop; and

Training of teachers (R10 500) per teacher.

25

Proposed Allocations 2010/11 – 2012/13(Audit Results Only)

PROVINCE AUDIT RESULTS CRITERIA - CONSOLIDATED ALLOCATIONS

2010/11R’000

2011/12R’000

2012/13R’000

TOTALR’000

% Allocation

E Cape 14,922 37,306 39,171 91,400 18.65Free State 5,660 14,150 14,858 34,669 7.08Gauteng 12,127 30,318 31,834 74,281 15.16KZN 15,314 38,285 40,200 93,800 19.14Limpopo 10,869 27,172 28,531 66,573 13.59MP 7,120 17,800 18,690 43,611 8.90N Cape 2,956 7,390 7,759 18,106 3.70North West 6,695 16,737 17,574 41,007 8.37W Cape 3,334 8,336 8,753 20,424 4.17DoBE 1,000 2,500 2,625 6,125 1.25TOTAL 80,000 200,000 210,000 490,000 100

26

Consolidated Allocations 2010/11 – 2012/13(Equitable Share)

27

PROVINCE 2010/11 R'000

2011/12 R'000

2012/13 R'000

TOTAL ALLOCATION

R'000EASTERN CAPE 9,548 23,872 25,066 58,486FREE STATE 7,477 18,693 19,627 45,797GAUTENG 17,944 44,861 47,104 109,909KWAZULU-NATAL 15,274 38,185 40,094 93,553LIMPOPO 8,478 21,197 22,256 51,931MPUMALANGA 5,868 14,671 15,405 35,944NORTHERN CAPE 3,422 8,556 8,984 20,962NORTH WEST 8,697 21,742 22,829 53,268WESTERN CAPE 3,287 8,219 8,630 20,136DEPT OF BASIC EDUCATION: PROJECT MANAGEMENT 0 0 0 0TOTAL 80,000 200,000 210,000 490,000% ALLOCATION PER ANNUM 16% 41% 43% 100%

Technical Schools RecapitalisationManagement and Monitoring

• According to the grant framework, the Provincial Departments of Education are required to draft business plans and submit to the Department for evaluation and approval.

• The Department and the project steering committee will manage and monitor the project on a regular basis.

• Provincial Departments of Education are required to monitor the implementation process against the operational/business plans.

• The monitoring and evaluation of the grant will be undertaken in compliance with the relevant policy provisions such as the Division of Revenue Act, Public Finance Management Act and the National Education Policy Act, as amended.

28