Budget development and management procedure
Audience
Department-wide
Purpose
This procedure explains how the Department of Education (the department) establishes and maintains its annual operating and capital budgets.
Overview
The department’s funding is largely sourced from the state and commonwealth governments. The department reports annually on its budget to Parliament through the state budget process managed by Queensland Treasury. The State Budget Papers are published annually on state budget day and include the department’s estimated operating and capital position, activities undertaken and departmental priorities for the coming budget year. These budgets are reviewed through a series of parliamentary estimates hearings attended by both government and non-government members. During the financial year the government also publishes a Budget Update which provides an update on Queensland's economic and fiscal position since the Budget, ensuring accountability and transparency for planned and actual government spending.
The department’s internal timelines align with the state budget process to ensure timely and accurate budget information is communicated to government. The department’s Executive Leadership Team (ELT) are responsible for allocating and monitoring the budget internally to align with the Strategic Plan, Long-Term Financial Management Framework and government priorities. Throughout the year budget changes will occur in consultation with Queensland Treasury on behalf of the government.
Schools receive departmental funding to operate, maximise student outcomes and realise their individual improvement agendas. Principals are responsible for ensuring all funding is used in full to deliver the highest quality educational experiences possible for all students enrolled at their schools.
Responsibilities
Systems Implementation, Policy and Performance (SIPP) Committee:
- oversees the department's strategic direction for early years and state schooling, including monitoring performance and implementation
- oversee the department’s resources, inputs, activities and outcomes to drive improvement in early years and state schooling performance
- makes recommendations to the ELT on strategic budget and resource allocation priorities and initiatives.
Executive Leadership Team (ELT):
- develop, review, monitor and approve budgets (taking into consideration SIPP Committee recommendations) to ensure divisional allocations are in line with government priorities
- develop and implement strategies to allocate available resources
- consider and endorse workforce priorities
- consider initiatives recommended for funding to ensure efficient and effective allocation of resources
- make decisions around measures to be applied to the budget as required.
Executive Leadership Team members and their divisions/regions:
- ensure the allocated budget is used for the purpose specified in the approved budget
- profile/cash flow the annual budget according to how and when the budget is to be spent
- ensure public funds are spent in accordance with relevant legislation and policy
- advise the Chief Finance Officer of any change to budget priorities or savings which could be reallocated.
Assistant Director-General Finance and Chief Finance Officer (CFO):
- is an ELT member and provides advice to the team in the capacity of CFO.
School principals:
- develop, review, monitor and approve current and future operating budgets to ensure efficient and effective allocation of resources to achieve departmental and government priorities
- ensure public funds are spent in accordance with relevant legislation and policy.
Process
1. Approve the budget
- The department’s budget is:
- reviewed and refined by the SIPP Committee in the lead up to the upcoming financial year
- approved by ELT
- finalised with Queensland Treasury as part of the state budget process
- confirmed and published on state budget day in June
- approved and allocated to the divisions/regions.
- Principals review and approve school budgets (within fiscal limits).
2. Monitor and adjust the budget
- As part of ELT’s monthly reporting process, expenditure is reviewed against approved budgets with divisions identifying budget pressures and forecasting the end of year position.
- The SIPP Committee meets throughout the year to review budget adjustments and make recommendations to ELT to ensure emerging challenges are appropriately managed.
- ELT meet throughout the year to approve budget changes and ensure the budget position is sustainable.
- Principals review and adjust school budgets periodically to meet emerging priorities.
Definitions
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Term
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Definition
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Executive Leadership Team (ELT)
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The department’s ELT supports the Director-General to set the strategic direction, identify priorities, make financial budgetary decisions and monitor the performance of the department to deliver efficient and effective outcomes for Queensland.
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Long-Term Financial Management Framework Plan
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TheLong-Term Financial Management Framework describes the department’s framework for delivering cost effective services, maximising value and planning for future resource allocation.
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Mid-Year Fiscal and Economic Review
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The mid-year fiscal and economic review provides an update of the State’s economic and fiscal position since the release of the state budget. It allows the government to review the progress of outcomes for the state.
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Parents and Citizens’ Association
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A Parents and Citizens’ Association (Association) may be formed for a state school to promote the interests of, and facilitate the development and further improvement of, the school.
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Parliamentary estimates hearings
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Comprised of government and non-government members parliamentary estimates hearings inform the general parliamentary debate on budgets. These hearings ensure accountability and transparency of the overall budget process.
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State Budget Papers
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The State Budget Papers provide published budgeted financial and non-financial information for the Budget year.
- Departmental budgets are published in Budget Paper 5 – Service Delivery Statements.
- Departmental capital expenditure is outlined in Budget Paper 3 – Capital Statement.
Departmental expense, capital and revenue measures reflecting decisions since the previous budget are outlined in Budget Paper 4 – Budget Measures.
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State budget day
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The day Parliament passes legislation to allocate state funding to government departments. State budget day is a key date during the state budget process.
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State budget process
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The state budget process facilitates the provision of state funding to government departments.
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Strategic Plan
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The Strategic Plan outlines the department’s vision for Queensland children and students, workplaces and communities and its people.
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System Implementation, Policy and Performance (SIPP) Committee
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The SIPP Committee oversees the strategic direction of the department including monitoring performance and implementation and making recommendations to ELT on strategic budget and resource allocation priorities and initiatives.
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Legislation
Delegations/Authorisations
- The ELT is responsible for approving and allocating the department’s annual corporate operating and capital budget. Changes to the approved annual budget throughout the year require ELT approval, with the exception of low risk adjustments which are delegated to the relevant Deputy Director-General and Assistant Director-General Finance and Chief Finance Officer.
- ELT members are responsible for the budgets allocated to them.
- School principals are responsible for approving and allocating school budgets.
- ELT may at any point approve changes to a division’s budget allocation.
Other resources
Superseded versions
Previous seven years shown. Minor version updates not included.
1.0 Budget development and management