Funding and payments

Funding and payments

Last updated 8 April 2019
Last updated 8 April 2019

This page provides information about how Intensive Literacy and Numeracy (ILN) funding is set, funding allocation, funding rate, funding calculation, payment and funding recovery.

Funding

The Literacy and Numeracy funding mechanism is issued by the Minister responsible for tertiary education. 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. 

Funding is agreed through a tertiary education organisation’s (TEO’s) Investment Plan (Plan).

A TEO that receives ILN funding is required to:

Funding for ILN is set through the Government’s annual budget process. We determine the appropriate amount of ILN funding for a TEO.

Through each TEO’s Plan, we agree the mix of provision (MoP). This includes the:

  • programmes that the funding can be used for
  • allocation of funding towards each programme, and
  • volume of delivery expected from each programme.

Payment

ILN funding is paid in monthly instalments. The payment amounts are in equal instalments from January to June, and in equal instalments from July to December.

Funding allocation

Our approach to calculating your 2019 indicative allocation for ILN

The purpose of ILN funding

The Intensive Literacy and Numeracy (ILN) Fund supports the intensive provision of high quality, fees-free literacy and numeracy learning opportunities for learners with low-level literacy and numeracy skills.

We fund intensive literacy and numeracy provision to:

  • raise adults’ literacy and numeracy skills
  • increase opportunities for adults to engage in literacy and numeracy learning, particularly for those in low-skilled employment, and
  • improve the quality and relevance of provision, including the ability to identify learner need and learning gain.

How we calculated your 2019 indicative allocation for ILN

Your prior performance information was used to calculate your 2019 indicative allocation.

To determine the starting point for calculating your 2019 indicative allocation we compared your 2017 actual ILN delivery with your 2018 allocation

If your 2017 actual delivery was below 100%, we used the lesser of either your:

  • 2017 actual delivery, or
  • 2018 allocation.

If your 2017 actual delivery was 100% or above, we used your:

  • 2018 allocation.

If you delivered ILN for the first time in either 2017 or 2018, we used your:

  • 2018 allocation.

Note: Plan increases in the first half of 2018 (excluding one-off increases) were added to your 2017 actual delivery to determine your 2019 indicative allocation. Any Plan reductions in 2018 were excluded to avoid double reductions.

Your performance against hours delivered was considered when determining your 2019 allocation

The total hours of literacy, numeracy, or literacy and numeracy tuition you deliver per learner is expected to be between 80 and 300 hours. Therefore, we have applied the following measure:

  • if 40% or more of your enrolled learners received less than 80 hours of literacy, numeracy, or literacy and numeracy tuition, we applied a 5% reduction to your 2019 indicative allocation.

Negotiating your final 2019 funding allocation

To determine your final 2019 allocation and Plan approval, we considered the following information in our engagements with you:

  • your delivery volumes reported in both the August 2018 and December 2018 Single Data Return,
  • your Education Performance Indicator data, and
  • your Literacy and Numeracy Adult Assessment Tool (LNAAT) information.

Funding recoveries

How we will calculate any recoveries for 2018 ILN funding

We will recover funding if you under-deliver in 2018

We will recover funding if you deliver less than 100% of your allocated ILN funding. We will recover the difference between the value of actual delivery and 100% of allocated ILN funding.

Recoveries are based on:

  • your delivery volume data (total hours of delivery), as submitted through Workspace 2. 

Funding rate

ILN provision is funded at a fixed rate of $25 per hour of face-to-face literacy, numeracy, or literacy and numeracy, tuition, i.e. each hour of provision not attended by the learner is not to be reported and is not funded.

Note: Delivery to learners receiving less than 80, and more than 300, hours (if eligible) is also funded, not just delivery to learners receiving 80 to 300 hours. See Eligibility (Programme eligibility).