Key features of charter schools| kura hourua

Sponsors

Charter schools are state-funded but are operated by a sponsor.  

A sponsor is the body approved by the authorisation board to operate a charter school. It must be a body corporate, corporation sole, limited partnership, institution, or a related entity that wishes to open and operate a charter school.  

For converting schools, the application process could be initiated by either a school board or school community together with a prospective sponsor. A prospective sponsor would need to apply to open a new charter school.  

Under the previous model, partnership schools were largely community-driven, often operated by Māori organisations, Pacific peoples’ organisations, and education trusts. Overseas, there have been businesses and private schools who sponsor and manage partnership/charter schools. 

Sponsors may operate multiple schools, as they do in England under the academies model. They must have a contract for each school.

Authorisation Board

Charter school contracts 

The sponsor will enter into a contract with the Crown that sets out its targets and outlines the character of its charter school. For example, the charter school may reflect the character of a cultural, religious, sporting, extension, or military community.  

If passed, the legislation will set out the key settings for all charter schools, while a sponsor’s contract with the Crown will specify terms for each school. The contract will cover a broad range of matters relevant to the particular school. 

A sponsor is expected to have a fixed-term contract of 10 years to operate a charter school, with parties being able to extend the contract with 2 rights of renewal for 10 years each.  

If a sponsor fails to meet its targets, its contract can be terminated or other interventions may be used.  

Education and Training Amendment Bill – New Zealand Legislation(external link)

Reporting and performance management framework 

Sponsors will be required under legislation and contracts to provide information that shows how they are meeting the performance measures and targets specified in their contract. This will include an annual self-audit and financial statements.

Transparency

Sponsors will be required under legislation and contracts to provide information that shows that they are meeting performance outcomes specified in their contracts.  

Specific targets and measures and reporting obligations will be agreed in contracts.   

Sponsors must meet their performance targets, or they may face interventions, including:

  • requiring ERO to conduct a review of a charter school
  • requiring the sponsor to provide specific information or carry out a specific action
  • terminating a contract and replacing the sponsor or
  • termination of the contract.  

Charter schools will be responsible for communicating their values, ethos, curriculum, teaching methods, assessment, opening hours, transport arrangements and any other matters to parents. This will ensure that parents can make informed decisions about the charter school.   

The Government will ensure that students are in a safe environment, that the tuition standards are at least equivalent to other state schools (which is the same requirement as for private schools), and that student achievement and attendance outcomes are measured, reported to the Government and their achievement targets are met.  

Sponsors will be legally required to provide information that shows how they are meeting key performance outcomes. 

Capability

The Authorisation Board will approve applications for new and converting schools. Applications will be considered by the Board with advice from the Charter School Agency, taking into account priorities and funding availability. The Board must also seek the view of the Secretary for Education and ERO.  

The Authorisation Board must do a fit and proper person test on the proposed sponsor and its governing members.   

Legislation will include the mandatory factors the Board must take into account, such as the focus of the proposed school, the capability of the sponsor, the level of support from the community, standard of tuition to be provided, financial and network implications for the Crown. For converting schools, there are additional criteria such as the performance of the school and the level of support from the school community, school staff, and students. 

The Authorisation Board can set conditions on the approval of a sponsor. All students currently enrolled in the state school who wish to attend the charter school must be allowed to do so, and if a state school is a designated character school, a kura kaupapa Māori, or a state integrated school, the character of the school must be maintained.  

Schools will need to provide a curriculum to tuition standards at a level at least equivalent to state schools of the same year levels. They will need to meet the achievement and performance requirements in the contract.   

The flexibility that charter schools will have around curriculum will be similar to what private schools have.   

All unregistered teachers will also be required to hold a Limited Authority to Teach (LAT).

Enrolment and fees 

Enrolment in a charter school is free except for international students. However, property maintenance fees may be charged:  

  • where charter schools are located in sponsor-owned premises or  
  • a converted school was a state-integrated school that had an integration agreement prior to their conversion that allowed them to charge attendance dues.  

Charter schools must accept all eligible applications to enrol unless they are oversubscribed. Schools with special character may refuse enrolment applications if the parents do not accept the character of the school.

Property 

Sponsors are responsible for ensuring that premises and equipment are suitable, safe and appropriate for education purposes. They have discretion to determine the property standards, leasing arrangements, and equipment that is right for their school, so long as it complies with relevant laws. 

If a state school converts to a charter school, the Ministry will retain ownership of existing land and buildings. More information on the property funding arrangements for charter schools, as well as the property arrangements for converted state schools, will be provided when decisions have been finalised. 

Sponsors who own the premises of their charter school can charge parents and caregivers property maintenance fees, if specified in their contract.

Funding model 

Charter school funding will be broadly equivalent to state school funding. 

Funding will mostly be on a per-student basis and provided as cash to increase flexibility. This means, for example, that charter schools will get cash instead of staffing entitlements, enabling sponsors to source the specific skills they need. 

Staff 

The sponsor employs all staff and negotiates salary levels and employment conditions.   

For converting schools, staff will be transferred on terms and conditions which are no less favourable than their current employment agreement (whether individual or collective). Following conversion, charter schools may vary these terms by agreement with employees.  

Sponsors may employ staff who are not teachers with a practising certificate. But they must hold a Limited Authority to Teach (LAT). LAT holders employed at charter schools will have added flexibility as they can be employed on a permanent basis and will be subject to Teaching Council's disciplinary processes but not competency processes.  

Contracts will specify the number or percentage of teaching positions that need to be filled by individuals with a practising certificate. The remaining positions can be filled by holders of Limited Authority to Teach (LATs). 

Complaints

Complaints about a charter school can be made to an independent reviewer (arranged by the charter school) or an Ombudsman. 

Last reviewed: Has this been useful? Give us your feedback