This audit examined whether the Department of Education & Training (DET), non‑government schools and their system administrators are effectively and efficiently managing and using state government grants.
There is limited assurance that grants to non-government schools are used for their intended purpose or are achieving intended outcomes. This is primarily due to weaknesses in funding agreements and DET’s ineffective grants management, including limited oversight of grant recipients and their use of grants, as well as inadequate monitoring and reporting.
It is encouraging that DET has recently developed interim memorandums of understanding, funding agreements and guidelines for the major state recurrent grant funding, which have strengthened reporting and accountability requirements. It is important that DET continues to work with the non-government school sector to further improve accountability and transparency for the use of state government grants as it develops arrangements for 2017 and beyond. DET must also improve its oversight, monitoring and reporting of grant recipients.