Joint Ventures and Amalgamation Projects

Joint Ventures and Amalgamation Projects

Last updated 23 May 2018
Last updated 23 May 2018

Joint Ventures and Amalgamation Projects (JVAP) funding assists organisations to work together with other organisations on new and innovative projects, including mergers.

The funding is part of the Industry Training Fund (ITF) and can be awarded to industry training organisations (ITOs) and/or other organisations. The JVAP fund is capped at $3.5 million per calendar year.

The purpose of JVAP funding is to:

  • support best practice in vocational education and training
  • support projects that enhance the efficiency and effectiveness of ITOs, and
  • facilitate structural change and joint ventures in the industry training sector.

Applying for funding

Funding for JVAP is allocated via an application process.

2018 

In March 2018, we invited organisations to submit an expression of interest for JVAP funding. We have now advised submitting organisations on whether they have been shortlisted or not.

Shortlisted organisations are invited to submit an application.

Please email your completed application, using the form below, to sectorhelpdesk@tec.govt.nz before 5pm, Friday 22 June 2018.

JVAP funding – application form (Word, 480 Kb)

Priorities for JVAP funding

We want to see good measurable outcomes from JVAP funded projects. We are especially interested to in supporting projects that focus on:

  • encouraging more employers to engage in training
  • school transitions
  • young people who are not in employment, education or training
  • parity for Māori and Pasifika learners, and/or
  • collaboration between ITOs and institutes of technology and polytechnics.

In addition to evaluating eligibility of proposed projects against the above priorities for funding, we will assess project applications against the following assessment criteria:

  • the project is likely to achieve the project outcomes
  • the project has collaborative arrangement(s) in place that are essential for the project to succeed
  • the milestones are appropriate and are linked to the project’s activities
  • the project will be co-funded appropriately to achieve the project outcomes
  • the strategic benefits of the project for industry, learners and the Government, including Tertiary Education Strategy priorities are addressed (including literacy and numeracy, and delivering skills for industry)
  • there is sufficient scale and complexity of the project, including the number and size of the organisations involved, and
  • the organisation(s) involved in the project are capable, and the organisations are not able to meet the costs of the project without JVAP funding.

Questions 

If you have any questions about the application process, contact the Sector Helpdesk.

To ensure all applicants receive the same information we will publish answers to questions here. Please also check this page regularly for release of any new information.

 

Information sharing

To help us promote the purpose of Joint Ventures and Amalgamation Projects (JVAP) funding we may ask organisations to share information about their JVAP funded project(s) with the industry training sector.

Eligibility

Organisation eligibility 

We will consider proposals for Joint Ventures and Amalgamation Projects (JVAP) funding involving:

  • two or more industry training organisations (ITOs), or
  • one or more ITOs and one or more tertiary education organisations (TEOs), or
  • groups and organisations that represent ITOs or industries.

Project eligibility

Organisations must meet a substantial proportion of their project’s costs and outline why JVAP funding is essential for their project’s success.

Joint ventures and other activities 

We will consider proposals for new and innovative projects that align with the purpose of the funding. Refer to ‘Applying for funding’ above for current priorities for funding.

Mergers 

We will consider proposals for a merger project that places the merged or new ITO in a stronger position to perform all of its expected roles.

Funding for mergers may be used to:

  • meet the direct costs of the merger (for example, legal fees)
  • employ a project manager to oversee the merger
  • manage the transition of data to the merged or new ITO, or
  • other projects, as agreed by us.

JVAP funding cannot be used for developing a merger proposal, business-as-usual costs, or the ongoing costs of any new arrangement.

Only one JVAP proposal per merger will be considered. The ITO seeking industry coverage must be one of the joint submitters.

Approval of JVAP funding for a merger does not necessarily imply that our Board or the Minister will support an extension of coverage relating to the merger.

Funding and payments

Funding 

The funding mechanism for industry training-related projects funded through the Industry Training Fund (ITF) is issued by the Minister responsible for tertiary education. Joint Ventures and Amalgamation Projects (JVAP) funding is a component of the ITF. The funding mechanism outlines the general form and essential components of the fund. It provides the mandate for us to allocate the funding and what the funding can be used for, and details how we administer the fund.

JVAP funding is agreed off-Plan by a funding confirmation letter.

An organisation that receives JVAP funding is required to:

  • comply with the requirements of the Education Act 1989, and
  • comply with any conditions specified in its funding confirmation letter.

Funding allocation 

There are no dollar limits on the amount of funding available for any one JVAP funded project.

When making funding decisions, we will consider the:

  • scale and complexity of the project, including the number and size of the organisations involved
  • estimated cost of the project, and the amount of funding sought
  • strategic benefits of the project for industry, learners and the Government, and
  • capacity of the organisations to meet costs of the project without JVAP funding.

For merger projects we will also consider:

  • the merging industry training organisation's (ITOs’) cash reserves
  • any debt forgiveness the ITOs have received from us, and
  • whether we have provided funding for associated ITO mergers.

Payments 

Payments are made in instalments, and are milestone-based, as specified in the funding confirmation letter. Funding is only paid after the funding confirmation letter has been signed and returned to us.

Funding recovery 

Funding must be used for the activities agreed on in the funding confirmation letter.

If the funded organisation(s) receive funding that was greater than it should have been, or that they were not entitled to receive, we will recover the extra funding.

This may include:

  • using less funding than the amount paid for the activities
  • using funding for activities not agreed in the funding confirmation letter, or
  • non-compliance with the conditions of funding.

Monitoring and reporting

Reporting 

Under section 159ZD(1) of the Education Act 1989, organisations receiving Joint Ventures and Amalgamation Projects (JVAP) funding must provide us with the following information:

  • milestone reports to trigger the JVAP payments detailed in the Schedule of the funding confirmation letter
  • a final written report that outlines the activities undertaken and results achieved, including full itemisation of how the JVAP funding was spent, and
  • any other reporting requested in the funding confirmation letter.

These reports must be provided to us when requested, and in the form we ask for.

Monitoring 

We monitor the performance of JVAP funded organisations through the information reported to us, as described above.