A failed Northland charter school received $5.2 million over a little more than two years and there is no guarantee taxpayers will get back remaining assets worth nearly $1 million.
Education Minister Hekia Parata has terminated the agreement with Nga Parirau Matauranga Charitable Trust, which operates Te Pumanawa o te Wairua charter school at Whangaruru. In December, Ms Parata proposed terminating the agreement because of the kura's poor student achievement and inadequate curriculum leadership, and gave the trust until January 15 to provide her with a response to the proposal. On Tuesday, she informed the trust of her final decision to close the school.
The school, which opened at the beginning of 2014, has received a total of $5,234,149.21 (excluding GST) in establishment and annual payments. Katrina Casey, head of sector enablement and support for the Ministry of Education, said part of the sum includes funding that had been paid in advance for the first quarter of 2016 and will be recovered. She did not say how much that was.
However, the school has land and buildings with a book value of $1,160,000, and an estimated sale value of $750,000, and there is no guarantee the Crown will get that back. "Now that a formal decision has been made we will enter into formal negotiations with the trust around all elements of the closure. We won't be able to make any comment on those negotiations until after they are complete and the school is closed," Ms Casey said.
The decision to terminate the agreement was made following a specialist audit conducted in October which showed while the current board had made progress in addressing the problems which led to the issuing of a performance notice in February, there were still unsolved issues.