Financial Management
School Office Administrators’ Conference
July 2014
Agenda
Financial advisers role
How can I help?
Useful links
Hot issues/topics
Future developments in schools annual reports
Contact details
Financial Adviser role
Advice & support
Training and presentations
Monitoring of annual accounts
Approval of board contributions to capital
projects
Liaison with auditors and accounting service
providers
How can I help?
Templates
• Banking staffing modelling spreadsheets
• Cash flow projection templates
• Budget and forecasting templates
Advice, guidance & feedback on budgets,
accounting treatments etc
Training & presentations to school
management and boards
Useful links
 http://www.fundingcalc.minedu.govt.nz
 http://www.minedu.govt.nz/NZEducation/EducationPolicies/Schools/
SchoolOperations/SchoolFinances/FinancialInformationForSchools
Handbook.aspx
 http://www.minedu.govt.nz/NZEducation/EducationPolicies/Schools/
PropertyToolBox.aspx
 http://www.minedu.govt.nz/NZEducation/EducationPolicies/Schools/
SchoolOperations/SchoolFinances/ModelSchoolFinancialPolicies.as
px
 http://www.minedu.govt.nz/~/media/MinEdu/Files/EducationSectors/
PrimarySecondary/SchoolOpsFinances/ModelSchFinancialPolicies/
KPScheduleofDelegations.doc
South Island EPA’s
Shirley Walls-Otago/Southland
• Shirley.walls@minedu.govt.nz
• Phone: 03 471 5221
Allanah Uren-Canty/Nelson/Marlborough
• Allanah.uren@minedu.govt.nz
• Phone: 03 378 7393
Trish Bennett-South Canty/Canty/West Coast
• Trish.bennett@minedu.govt.nz
• Phone: 03 378 7399
Hot Issues/Topics
Payments from parents of students - Circular
2013/06
• http://www.minedu.govt.nz/NZEducation/EducationPo
licies/Schools/PublicationsAndResources/Circulars/20
13/Circular201306.aspx
Ministry approval for board funded capital
projects
Trusts and associated parties
Hot Issues/Topics
Principal Concurrence - Circular 2013/27
• http://www.minedu.govt.nz/NZEducation/EducationPo
licies/Schools/PublicationsAndResources/Circulars/20
13/Circular201327.aspx
Cyclical maintenance
Asset replacement/capital plans and
depreciation
The Future of Annual Reporting
Decision has been made that NZ should adopt
International Financial Reporting Standards
(IFRS).
We are following the European Union and
Australia who made the same move.
New Zealand has had sector neutral financial
reporting standards for all entities (including the
private sector, public sector and not for profit).
The Future of Annual Reporting
Accounting standards will be different depending
on whether the entity is a public benefit entity
(PBE) or a for-profit entity.
PBEs are entities which have a social rather
than for profit objective.
Standards for for-profit entities will be based on
IFRS.
Standards for PBEs will be based on
International Public Sector Accounting
Standards (IPSAS).
The Tiers
Tier Criteria
Financial Reporting Requirements
1
Publicly Accountable
Large (expenses> $30million)
PBE Accounting Standards (PAS)
2
Not publicly accountable
Expenses between $2 & $30 million
PBE Accounting Standards Reduced
Disclosure Regime (PAS RDR)
3
Not publicly accountable
Expenses less than or equal to
$2million
PBE Simple Format Reporting Standard
- Accrual (PASR-A)
4
Not publicly accountable, not required PBE Simple Format Reporting Standard
to file financial statements & not large - Cash (PASR-C)
What will this mean for schools?
Effective for periods starting on or after 1 July
2014.
 This would mean the 2015 annual accounts
(and 2014 comparatives will be required).
Although schools could fall into tier 2 or 3 the
Ministry is considering recommending that all
schools will have consistent reporting
requirements. This could mean all schools would
be required to report using tier 2 requirements.
What could this mean for
schools?
2015 annual accounts will require a Statement
of Cash Flows including 2014 comparatives.
Changes in revenue recognition for non
exchange transactions e.g. donations.
Accounting for tagged/shared funds.
Possible changes to related party disclosures.
What will this mean for schools?
Contact Details
Fiona Hollingworth
Senior Financial Adviser
DDI: 03 378 7373
Fax: 03 378 7302
Mobile: 027 249 5043
Email: fiona.hollingworth@minedu.govt.nz
P O Box 2522
39 Princess Street
Christchurch 8140