Penny Allman-Payne

I move amendment (1) on sheet 3037.

(1) Schedule 1, page 8 (after line 15), at the end of Part 3, add:

14A Subsection 22A(5)

Omit "The total SRS amount", substitute "Subject to subsection (5A), the total SRS amount".

14B After subsection 22A(5)

Insert:

(5A) The _total SRS amount_for the State or Territory does not include an amount prescribed by regulations made for the purposes of this subsection.

(5B) Without limiting subsection (5A), regulations made for the purposes of that subsection must prescribe the amounts listed under the heading "2.1.3 Accounting exclusions and deductions" in version 8.8 of the document titled "My School Financial Reporting Key Principles and Methodology" published by the Australian Curriculum Assessment and Reporting Authority.

The purpose of this is to remove the four per cent accounting loophole that was instigated by a coalition government and which for some reason Labor seems intent on keeping. Then shadow minister Plibersek said before the last federal election to a roomful of teachers at a conference that the government was going to remove this loophole. This is the loophole that allows states to include depreciation of buildings, busing of students in their share of their contribution to public schools. Some of those things are used by private schools but they don't lose that money. The government says that everybody needs to do their fair share. Well, the government could remove this four per cent loophole and that would bring the states up. Then they could lift their contribution and maybe we would get to 100 per cent. As long as this four per cent loophole remains, no matter what the government says, every public school in this country—WA, NT, Tasmania—will really only be at 96 per cent of the schooling resource standard.

So I implore the government to stick to the commitment that you made before the election, remove this loophole and let's get us closer to a hundred per cent of the SRS. I commend this amendment to the Senate.

Anthony Chisholm

The government will not be supporting this amendment. Let me be clear about what the now government said before the election, when we were in opposition. The now Prime Minister said:

… Labor remains committed, working with state and territory governments, to getting every school to 100 per cent of its fair funding level.

That was at the Press Club on 25 January 2022. As shadow minister, the member for Sydney said on Insiders on 8 May 2022, 'We need the states and territories to increase their effort as we would increase our effort to get every school up to 100 per cent of its fair funding level.' That was what was said by us in opposition.

The focus of this bill is the missing five per cent of the school resourcing standard. The four per cent is used by states to fund a mix of things, including school transport and early childhood education costs. It's a matter for the states whether they wish to claim that four per cent or not.

Penny Allman-Payne

Minister, wasn't it confirmed at estimates by the department that that four per cent was never included in the original Gonski calculation?

Anthony Chisholm

The 2011 review of funding for schooling, the Gonski review, sets out that the SRS should include the full cost of delivering schooling services, regardless of whether these are delivered in an independent school or in a systemic school. A provision for general maintenance and minor acquisitions below an established capitalisation threshold has recommended excluding sector costs, such as regulation of schools, certifications of teachers, national school testing and development of curriculum.

Penny Allman-Payne

It's true, though, isn't it, that that money is being used by some states for their school teacher registration authorities? Is that correct?

Anthony Chisholm

Yes, that's my understanding, Senator Allman-Payne.

Karen Grogan

The question is that Greens amendment (1) on sheet 3037 be agreed to.

Summary

Date and time: 8:36 PM on 2024-11-26
Senator Pocock's vote: Abstained
Total number of "aye" votes: 12
Total number of "no" votes: 22
Total number of abstentions: 42
Related bill: Better and Fairer Schools (Funding and Reform) Bill 2024

Adapted from information made available by theyvoteforyou.org.au