Training organisations face fees hike

Training institutions are facing a massive increase in quality audit charges, which could in turn lead to student fee hikes.

The Board of the New Zealand Qualifications Authority (NZQA) today announced an increase in fees charged private and government training establishments, Wananga and Unitec New Zealand for quality audits.

Acting chief executive Karen Sewell said the Qualifications Authority signalled a review of these fees late last year.

"A full-scale review was undertaken to bring fees and charges in line with Qualifications Authority costs. The review is now complete and the Board has approved the changes," she said.

Under the new fee schedule, which comes into effect on January 1, 2006, each organisation will be charged $775 plus $10 per Equivalent Full Time Student (EFTS) for an annual audit.

The former cap on the number of 2250 EFTS will no longer apply; therefore all providers will be charged according to their total student number.

The minimum audit fee has been set at $2975 per audit, including 19 hours of auditor time and three hours of operational support.

Any excess time will be charged at a rate of $150 per hour.

Te Wananga o Aotearoa, which is currently fighting the Government over what it claims is the Crown's failure to honour its promise to pay millions of dollars due under a suspensory loan, potentially faces a 1200 per cent fee-hike.

Current student enrolments are about 46,000, representing about 22,349 EFTS.

The wananga is confident it will achieve its budget target of 28,000 EFTS for the year and may even exceed it.

With 28,000 students, its NZQA quality audit bill will be at least $280,775, up from about $23,000 under the old cap.

Caretaker Education Minister Trevor Mallard has refused to pay a $15 million suspensory loan as part of the wananga's treaty settlement, saying it has not met an 80 per cent Maori student ratio. Maori make up about half of this year's enrolments.

The institute has filed an urgent claim with the tribunal alleging the Government's "pursuit of racially divisive policies" breached the treaty.

- NZPA