Budgeting aspects Technology today The budgeting framework A
Budgeting aspects
Technology today
The budgeting framework • “A checklist for public schools’ budget processes” • The governing body must draft the budget; • The budget must then be submitted to a parent meeting; • After the parents’ approval has been obtained, the governing body too must approve the budget.
Where does technology fit into the budget? • Expenditure!!! Distinguish between ‘needs’ and ‘wants’. What is essential to improve the quality of education at this stage?
1 When budgeting for technology, the following five key aspects should be considered Purchases 2 Hidden Costs 3 Insurance and security 4 Depreciation and write-off 5 Training and software updates
Budget manager for technology purchases and management Collect information Consolidate comments Work through information Obtain feedback on amendments Make a submission to the principal
Purchases ü Compile a list of all potential purchases contained in the technology plan; ü All purchases must occur within the framework of the school’s finance policy; ü FEDSAS sample of finance as well as purchasing and preferential procurement policies.
Hidden costs • The number on the price tag is not always the final price. . . • Read the fine print
Insurance and security • Technology is movable assets. • “(5) All assets acquired by a public school on or after the commencement of this Act are the property of the school. ” • The school alone bears the entire risk for the loss or damage of that property.
ü Obtain insurance quotations; ü The equipment must be recorded in the school’s asset register; ü Take the necessary precautions to safeguard these assets; ü Insurance companies may also require certain storage or security conditions.
Depreciation and write-off • Straight-line and accelerated depreciation; • Approach the school’s auditor or accountant to calculate the depreciation on the equipment to be purchased. ; • This sum is required to determine when the equipment will have to be replaced.
• A third approach is to write off the asset value upon making the purchase; • Depreciation write-down has nothing to do with asset write-off; • All write-offs must be motivated in writing; • Recommendations must be made on how written-off items should be dealt with; • The items destined for write-off will be indicated in red in the asset register, and the original lists will be filed.
Training and software updates Which individuals will be using the particular technology or equipment, and will they need to be trained? Is the training available in the area where the school is located? Who will present the training, where will it occur, and what will it cost?
Old versus new
Governing body member liability • May governing body members be held liable for any loss or damage that a person or institution may suffer when concluding a contract or purchasing equipment? • Sections 15 and 16(2); • Contracts entered into on the school’s behalf must always be concluded in the school’s name.
• Members of the governing body must have written authorisation to conclude a contract on the school’s behalf; • This must be formally resolved and minuted at a governing body meeting; • Contracts with material financial implications must only be entered into if they can be budgeted for.
• Section 16(2); • The governing body and all its members must act in the school’s best interest at all times; • The same type of legal relationship between the governing body and the school than that existing between a board of directors and a company; • A governing body and/or its individual members may be held personally liable for loss or damage that the school may suffer as a result of recklessness or gross negligence.
• Section 36(2) and (4); • The governing body must obtain the MEC’s permission prior to purchasing any technology on hire-purchase terms; • The governing body must also obtain permission to convert or alter classrooms for the purpose of technology.
“The quality of an education system cannot exceed the quality of its teachers”. Thus, the biggest investment is not technology, but good educators.
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