Unit 1 Sources of School Funds

Introduction
For any school to operate effectively it must have funds. In Guyana, education in schools is funded by the government but, to a certain extent, schools are heavily dependent on funds obtained from other sources. In this unit we set out to identify the wide range of sources of funds available to school leaders.

Individual study time: 3 hours

Learning outcomes

By the end of this unit you should be able to:

identify different possible sources of school finance
understand and apply the appropriate knowledge and skills to mobilise funds for your school
understand the relationship between effective financial management and curriculum development.

Sources of funds
Sources of school funds are usually classified into four major categories namely: Government through the Guyana Ministry of Education, Town and Regional Democratic Councils (RDCs), parents and community groups including Non-Governmental Organisations (NGOs).

Central government
The vast majority of funding for government schools in Guyana is received through the Ministry of Education from the state. It is in the form of grants. We will not go into detail here about how these grants are paid because this is information which changes regularly according to current circumstances. However, needless to say it is incumbent on the Headteacher to maximise any monies he /she receives by spending it wisely, not wasting it on ill-thought-out projects and ensuring that it is properly accounted for and all financial regulations are followed. You should refer, at this point, to current M.O.E. policy on the funding of schools.

Funds will always be administered to schools according to their size and the educational provision within. The cost of educating a secondary student, who is studying CSEC in a variety of subjects which require specialist teachers and equipment, will be greater than the more general education provided in a nursery or primary school. You would be advised to re-read the sections on timetable in Module 4 if you are not convinced of this. Therefore, the number of students on role and their age at a given point will usually be the determining factor in the amounts of grant provided. Some Headteachers have been known to falsify these records by leaving children on role who should have been removed or are out of the age range. This, needless to say, is dishonest and sanctions will apply to Heads who attempt this.

In order to claim grants due to your school, you will be asked, well in advance, to provide data for the Regional Education Department. It is important that this data is always kept up-to-date e.g. numbers on role, ages of pupils, state of the buildings, necessary repairs and maintenance, building projects required etc. This is an administrative task which helps the Headteacher to carry out the leadership role in fulfilling the vision of the school. Timely response to such requests from the REDO or M.O.E. is essential. There are a number of different types of grants. They generally fall into the following categories:-

Grants provided “per capita” (number of pupils on role and age range) which are normally given automatically once the data has been submitted. These are used for the general running of the school – its core purpose – learning resources, materials etc.
Grants for the upkeep and maintenance of the school. These are provided as and when required and will be determined by a partnership between the school and the Regional Officer responsible for buildings. They are generally related to your School Improvement Plan.
Grants for special projects. These could be given at any time and could be for a wide range of activities from new furniture to ICT equipment or literacy provision to replacing latrines.

With all of the grants, it is important to be “ahead of the game”. Timescales are often short and you may be asked to provide information with little time to spare. You will know your school and what it needs. This is why it is important to have a fully thought-out School Improvement Plan (SIP) which not only deals with buildings and premises but also educational provision and continuous improvement. All of these have a cost to them and you will need to be prepared for when funds become available.

Consider at present the different financial contributions made to your school by the government through the Ministry of Education and the Town Council or RDC.

Comments
Government assists schools financially in several different ways. These include:

paying grants to schools for curriculum materials and resources etc.
paying teachers' and other staff salaries
assisting schools to establish money generating projects by providing technical assistance including materials and equipment
financing the construction and rehabilitation of school plant.

The government also makes indirect contributions to each school through, for example:

training teachers - in service and pre-service through organisations such as NCERD, University of Guyana and CPCE,
preparing syllabuses and materials through NCERD and organisations such as BEAMS
providing inspectors and Senior Education Officers (SEOs) through the Monitoring, Evaluation, Reporting and Development Unit (MERD)
the Ministry of Education which provides direction and leadership centrally for the education system
Regional Departments of Education which provide support, guidance, leadership and direction at the regional level.

Regional Departments of Education

Consider how your Regional Department of Education helps with school finances? Identify different ways in which it provides financial assistance to your school.

Comments
In Guyana, each Regional Department of Education is given the responsibility for locating and opening schools and for providing physical structures, classroom facilities and office equipment to schools. This would also include repairs and maintenance to existing buildings and facilities. It is done through and in conjunction with the RDC / Town Council. Funds are generated from central government as well as locally raised revenues and they often face difficulties in ensuring that all local taxes are paid in full and on time, often because taxpayers may not regard local government with the same respect as central government.

Parents

Activity 1.1
Explain why parents contribute to the financing of your school and list as many ways as you can in which they do so.

Comments
Contributions by parents may become necessary in order to supplement the funds provided by central government in order to meet a good standard of educational provision. Of course, many schools in Guyana are privately owned and run. These schools charge fees and would not survive without full parental contributions. But even in schools where there are good buildings, qualified teachers and a wide variety of resources, parents may still wish to contribute money for even more resources, such as transport and computers, and pay for educational visits, because they want their children to enter adult life having obtained the best possible education. In rather crude terms they want them to be at the front of the queue for good jobs.

Your list of ways parents contribute probably included:

paying official tuition fees in private schools
paying PTA contributions
paying a specific contribution for a building or improvement project
parents may also give their time and skills to a range of activities from building work to coaching at sports
paying teachers for official sanctioned additional lessons and coaching, special duties, general welfare
paying for improved resources, such as textbooks, exercise books and writing materials, desks and chairs, library and sports contributions
providing school uniforms and sports kit
paying for the children's welfare, such as transport money, school meals etc.

Activity 1.2
1) Are parents in your school generally willing or unwilling to help financially?
2) Is it always the same group of parents which is supportive? Do some parents withhold help and, if so, why?
3) What do you do in your school to encourage more parents to help?

Comments
In Guyana, the raising of school funds from parents is the responsibility of the Parent Teacher Association and the Head should encourage parents to be involved in this but should not directly raise funds him / herself. We should not assume that all parents are able to make the same contribu­tions, whether financial, in kind or in time, to the school. Income levels in both urban and rural areas are likely to vary considerably, as will the size of each family. A sensitive approach is required by a school head, first to differ­entiate between families, and second to make provisions for children and parents who are facing difficulties with payments. On the one hand you will need to set ambitious targets to raise funds for your school and on the other you will need to accept that not everyone will be able to contribute to the same extent.

In encouraging parents to contribute you will need to target your efforts on those who have the means but may not have the will. To cater for the poorer families you may need to set up a special support fund to assist in providing equal access to extra curricular activities for those children whose parents cannot afford to support them in this area.

Find out the Ministry of Education’s rules on raising funds for the school.

Comments
There are restrictions in Guyana on the funds a school may raise. It is the responsibility of the Parent Teachers’ Association (PTA) to raise funds for the school. This is not an activity that the Headteacher should be involved in as his /her role is to identify the need for resources rather than raising the funds to meet those needs. Discussions, however, will take place between the Headteacher and the PTA to highlight the areas where funding can be best used. There are, of course, strict regulations about how monies raised shall be accounted for to ensure that fund‑raisers and fund‑holders are held accountable.

A school may engage in several money generating programmes to raise funds to help it run more effectively. Such programmes may include:

farming
workshops, such as craft work or carpentry
creative activities, such as concerts.

There is always a danger of trying to undertake too many money generating activities at the same time. You should distinguish between:

regular contributions requested from all parents
voluntary collections for special, targeted fund raising activities.

Community groups

Consider community groups in your area and think of the different ways in which they contribute financially to your school.

Comments
Community groups are often among the key sources of funds to schools. They are mobilised to carry out given tasks by leaders in the community, such as local politicians or village captains. There are many schools in Guyana that have been built by community groups. Your findings might include:

mobilising community groups in development projects
community leaders playing the leading role in mobilising the masses to participate more effectively in school projects
fund raising for individual schools in an area
involving community groups and former students in self‑help projects for the purpose of generating funds
levying education taxes on members of the community.

Within communities there may be individuals who also decide to help one or more schools on a significant scale. Sometimes business people wish to be seen as philanthropists and may contribute in the same way as community groups. Such contributions should be welcomed, but because of the idiosyncrasies of individuals a system of accountability needs to be enforced particularly where business people operate schools for profit.

In recent years, Guyana has seen a large number of NGOs which have been willing to invest time, money and resources into schools either directly or through training or sustainable activities through the regions or Ministry of Education.

Other sources of funds

School facilities

Consider the situation in your school and identify different ways in which the facilities might be used to generate funds.

Comments
Through proper management, school plant may generate substantial funds. Ways of doing this may include:

hiring school facilities to the community, for example, halls, ICT facilities, vehicles, playgrounds
engaging in money generating projects such as livestock farming, running a canteen and operating workshops.

Pupils

Consider if there are different ways your pupils might be involved in generating school funds.

Comments
Pupils may be good sources of school funds if they can see the benefit both for themselves and their school. Developing this resource depends on the good management of the school head and staff. Such fundraising is done through the PTA. The following ways of involving your pupils may be considered:

generating funds through such activities as agricultural activities in rural areas, making crafts and cake sales
fund raising activities, for example, music, dance, drama, games and sports, exhibitions, charity walks and jumble sales.

It would only be right to add here that Past Pupils and Alumni Associations are often a great source of extra financial help. They frequently have very positive feelings towards their “alma mater” and are philanthropic as well. Many schools have been provided with excellent ICT facilities, for example, especially from those former students who now live abroad.

Private Schools
Schools may be founded by religious or charitable bodies, which are NGOs or simply run as a private, usually profit-making exercise. There are many such schools still in Guyana. Most of them are recognised by the Ministry of Education. Each has specific objectives in opening and operating the school which often involves the spiritual and moral well‑being of the children. These foundation bodies give financial support to their schools in various forms, such as land and buildings, equipment and personnel. A trust fund may be established, where money is invested and the interest generated provides operating funds for the school.

Such schools operate by charging parents for their children’s education. This is usually paid on a termly basis. There is a wide range of fees which are charged dependant on the educational provision given. These fees are used to fund the school. If you become Headteacher of a private school, you will have to familiarise yourself with the financial requirements of the laws of Guyana relating to the operation of a business and how it applies to a school with charitable status, if it falls into that category. This is beyond the remit of this Programme.

Fund raising

Activity 1.3
1) Make a list of the methods you use, through the PTA, to raise funds in your school.
2) What additional ways might you introduce?

Comments
You may have included some of the following

Sponsored walks: Where individuals are sponsored to walk certain distances to raise funds for particular school programmes.

Trusts from charitable organisations: Where materials and funds set aside by individuals or organisations are donated to run a school programme.

Through fund raising representation: By this method an influential and knowledgeable person is selected to visit people or organisations that have been selected by the fund raising committee to seek financial assistance. The representative must be well conversant with the purpose to which the funds will be used.

Fund raising agents: A group of people interested in raising funds for the school, allocate themselves areas of operation. Then each person approaches individuals for financial assistance. The group must have a co‑ordinator to oversee collections and any other activities involved.

Minor fund raising: Fund raising in the form of a fête, festival or entertain­ment organised for the purpose of raising funds.

Raffles: The school acquires a few valuable articles, ideally through donations. These articles are then given to the winners of a lottery. If many tickets are sold through this method then quite large sums may be raised.

Quiz nights: An entry fee is charged and persons form themselves into teams, usually of around 6 to 8. A series of questions are asked by a quiz-master on a variety of topics. The winning team wins a prize. This is often combined with a raffle and a meal is provided which is included in the cost of the entrance ticket.

Summary
In this unit we have considered the following major sources of school funds: government, parents and community groups. A Headteacher cannot afford to sit back and wait for the funds to appear. He / she must be proactive in gaining the maximum government grants and galvanising the efforts of others to support the school which is an important part of the community. Although fund raising may appear to be a diversion from the main purpose of schooling, it can be applied in an educa­tive way if the pupils are involved in each aspect of an event and topics for language, mathematics and other areas of the curriculum can easily be identified. Fund raising in Guyanese schools is usually done through the PTA to allow the Headteacher to concentrate on the core purpose of the school – teaching and learning.

Given that many schools are seriously short of funds, it is the responsibility of the Head to identify the need and the purpose of fundraising and to stimulate others into doing it. However, under no circumstances should it be allowed to detract from the learning time of the children. Raising funds is extra to the curriculum and not a substitute for it. School heads, as leaders, should encourage those around them to explore all the possible and feasible sources of funds for the benefit of their schools.