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Briefing Session on Briefing Session on Application for Fee Revision Application for Fee Revision for the 2012/13 School Year for the 2012/13 School Year

by DSS Schoolsby DSS Schools

Submission of budget and financial informationSubmission of budget and financial information

MA SectionFinance Division, EDB23 March 2012

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Submission of Budget and Application for Fee Revision

Call letter issued on 9 March 2012. Deadline for return - 30 April 2012. Incomplete information in the school’s fee

revision application may lead to delay in processing by EDB.

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Schools Proposing Fee Revision

Complete declaration in Appendix 2 by school supervisor with school chop.

Provide details in

(1) Schedule 1 – Information Sheet on Parent Consultation

(2) Schedule 2a – Income & Expenditure Statement

(3) Schedule 2b – Breakdown of Other Operating Expenses

(4) Schedule 2c – No. of Classes, Enrolment, Fee Income and DSS Subsidy

(5) Schedule 2d – Provision for Fee Remission / Scholarship Schemes

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Schools Proposing Fee Revision (Cont.)

Submit documents as required in Appendices 3 & 4 (Parent/PTA consultation).

Complete Appendix 6 for schools with boarding facilities.

Excel file is provided to facilitate compilation.

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Income & Expenditure Statement – Schedule 2a Income and expenditure for boarding section and private

class should not be included. Additional information to be provided in 2012/13

- Year-on-year changes by individual expenditure items % change in total expenditure

– 2011/12 revised estimates vs. original budget.Schedule 2a

(p.2 of 2)

Name of School : _______________________________

2010/11 Year on year change Year on year changeS.Y. Increase / (Decrease) Increase / (Decrease)

Audited Original Revised 2011/12 Vs 2012/13 VsAccounts Budget Estimates 2010/11 2011/12

(A) (B) (C) [(C)-(A)]/(A) [(F)-(C)]/(C)EXPENDITURE $ $ $ $ $ $ % %

1. Staff salaries and gratuities

6. Other operating expenses(Details as per Schedule 2b)

(a) TOTAL EXPENDITURE

(b) % change in total expenditure [(C) - (B)]/(B)

Income and Expenditure Statement

(F) = (D) + (E)

Government Non- Total

Funds (Note 1)Government

2011/12 School Year

Funds(D) (E)

2012/13 School Year Budget

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Other Operating Expenses – Schedule 2b

Breakdown of total Other Operating Expenses as reported in Schedule 2a.

Further breakdown is required if miscellaneous expenses exceed 5 % of total Other Operating Expenses.

Schedule 2b

Name of School : _______________________________

2010/11 Year on year change Year on year changeS.Y. Government Non-Government Total Increase / (Decrease) Increase / (Decrease)

Audited Original Revised Funds (Note 2) Funds 2011/12 Vs 2012/13 VsAccounts Budget Estimates 2010/11 2011/12

(B) (C) (D) (E) (F) (G)=(E)+(F) [(D)-(B)]/(B) [(G)-(D)]/(D)$ $ $ $ $ $ % %

1. Advertising2. Approved repayment of interest on loan

20. Miscellaneous (please provide furtherbreakdown if the figures under columns (D), (E)or (F) exceed 5% of total Other OperatingExpenses)

Breakdown for of Other Operating Expenses(2010/11 - 2012/13)

2011/12 School Year

(A)

Item (Note 1)

2012/13 School Year Budget

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Provision for Fee Remission/Scholarship Schemes – Schedule 2d

Report ‘Required Provision’ and ‘Provision made by school’ for 2011/12 revised estimates and 2012/13 budget in page 1 (revised table).

Provide detailed computations in pages 2 & 3.

Schedule 2d(p.1 of 3)

Name of School : _______________________________

1. Provision for Fee Remission/Scholarship Schemes for the 2011/12 and 2012/13 School Years (Note 1)

2011/12 Revised Estimates$

2012/13 Budget$

(For school applying fee revision for the 2012/13 school year) (Note 1)

Provision for Fee Remission / Scholarship Schemes

Required Provision for Fee Remission /Scholarship Schemes as computed in Schedule2d p.2 (A)

Provision made by school in the income andexpenditure statement (per Schedule 2a p.1 of 4)(B)

Surplus / (Shortfall) [ (B) - (A) ]

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Provision for Fee Remission/Scholarship Schemes – Schedule 2d (Cont.)

Points to note:

- Schedule 2d has to be completed by schools proposing fee revisions

- Not required for schools without fee revision Computation basis

- Gross school fee

- Projected DSS unit Subsidy Rate for 2011/12 An example of computation is provided in Appendix 5.

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Budget Preparation

Financial projections made in the applications for fee revision should be well-justified and reasonable.

Due care should be exercised to ensure that every income / expenditure item is derived on a sound basis to avoid over-estimation of operating deficits / under-estimation of operating reserves that lead to unnecessary fee increase.

No accumulated deficit is allowed under government funds.

2010/11 audited figures should agree with the 2010/11 audited accounts.

2011/12 original budget should follow last year’s budget submitted for fee revision for 2011/12.

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Boarding Section

Separate Income & Expenditure Statement in Appendix 6 has to be completed, irrespective of proposing school fee revision or not.

Common expenditure for the whole school (e.g. staff expenses, repairs & maintenance)

- apportion on appropriate bases,

- disclose apportionment bases in the statement.

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Schools Without Fee Revision

Complete financial and enrolment information in Appendix 1* only (no need for supporting schedules, e.g. other operating expenses, provision for fee remission/scholarship schemes).

Provide less financial information in the budget.

*excluding boarding section and private classes.

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Submission in Appendix 1 Income & Expenditure Account for the School

– New item in 2012/13 - Accumulated surplus in equivalent months of expenditure

Estimated class, enrolment, school fee & DSS subsidy. Certification by school supervisor with school chop.

Total expenditure (A)

Surplus / (Deficit) for the year (B)

Surplus / (Deficit)brought forward from previous year(s) (C)

Accumulated Surplus / (Deficit)carried forward to next year (D)=(C)+(B)

Equivalent months of expenses(D) / [(A) /12]

2010/11 2011/12S.Y. S.Y.

Audited OriginalBudget Total

2011/12S.Y.

funds

2012/13 S.Y. budget Non-governmentGovernment

fundsRevised

Estimates

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Other Information

Students not eligible for DSS subsidy

- Non-local students (except those specified in EDBC 22/2009)

- Private class students 2010/11 audited accounts (called by EDB on 1 Dec

2011) should already be submitted (deadline: 29 Feb 2012) unless approval has been sought from EDB for submission at a later date. Late submission will lead to late processing of fee revision applications.

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Points for Particular Attention

Income & expenditure of private class(es) / boarding section, if any, should be excluded from the income & expenditure statements in Appendix 1, Schedules 2a & 2b.

For ex-aided / ex-caput DSS schools applying for fee revision, separate reporting for ex-aided / ex-caput classes and DSS classes is required in the following schedules:

(i) No. of Classes, Enrolment, Fee Income and DSS Subsidy – 2012/13 Budget (Schedule 2c – p.2)

(ii) Provision for fee remission/scholarship schemes (Schedule 2d).

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Points for Particular Attention (Cont.)

Separate reporting for boarding section is required in Appendix 6.

Separate reporting is required for schools operating both local and non-local curricula having different fees.

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For enquiries:

Thank You

School operations/parent consultation

Respective SSDO of the school

Finance-related matters Management Accounts Section

(Tel: 2892 6263)