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Budget Estimates 2012-13

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Budget Estimates 2012-13 ABCD Department of Education, Employment and Workplace Relations Feasibility study into a student accommodation facility in East Arnhem Land 3 May 2010 This report contains 102 pages 1 © 2010 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International, a Swiss cooperative. All rights reserved. The KPMG logo and name are trademarks of KPMG. Liability limited by a scheme approved under Professional Standards Legislation. ABCD Department of Education, Employment and Workplace Relations Feasibility study into a student accommodation facility in East Arnhem Land 3 May 2010 Inherent Limitations This report has been prepared as outlined in the Scope Section. The services provided in connection with this engagement comprise an advisory engagement, which is not subject to assurance or other standards issued by the Australian Auditing and Assurance Standards Board and, consequently no opinions or conclusions intended to convey assurance have been expressed. No warranty of completeness, accuracy or reliability is given in relation to the statements and representations made by, and the information and documentation provided by, the various stakeholders consulted as part of the process. KPMG have indicated within this report the sources of the information provided. We have not sought to independently verify those sources unless otherwise noted within the report. KPMG is under no obligation in any circumstance to update this report, in either oral or written form, for events occurring after the report has been issued in final form. The findings in this report have been formed on the above basis. Third Party Reliance This report is solely for the purpose set out in the Scope Section and for the Department of Education, Employment and Workplace Relations’ (DEEWR) information, and is not to be used for any other purpose or distributed to any other party without KPMG’s prior written consent. This report has been prepared at the request of DEEWR in accordance with the terms of KPMG’s contract. Other than our responsibility to DEEWR, neither KPMG nor any member or employee of KPMG undertakes responsibility arising in any way from reliance placed by a third party on this report. Any reliance placed is that party’s sole responsibility. i © 2010 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International, a Swiss cooperative. All rights reserved. _ The KPMG logo and name are trademarks of KPMG. Liability limited by a scheme approved under Professional Standards Legislation. ABCD Department of Education, Employment and Workplace Relations Feasibility study into a student accommodation facility in East Arnhem Land 3 May 2010 Contents List of acronyms iv Executive summary 1 The proposal 6 The methodology 8 The communities 10 Benefits 12 Constraints and dependencies 15 Identification of options 17 Assessment of options 27 Operating budget and financial viability 44 Risk assessment and management strategy 59 A Community profiles 63 B School profiles 71 C Descriptions of options 79 D Descriptions of the criteria and scoring rational 84 E Stakeholders consulted 91 F Terms of Reference 93 ii © 2010 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International, a Swiss cooperative. All rights reserved. _ The KPMG logo and name are trademarks of KPMG. Liability limited by a scheme approved under Professional Standards Legislation. ABCD Department of Education, Employment and Workplace Relations Feasibility study into a student accommodation facility in East Arnhem Land 3 May 2010 Acknowledgements The successful completion of the feasibility study has relied on the cooperation and input of many people who we wish to thank. Firstly, we acknowledge the elders, Traditional Owners, land custodians and other Yolngu who welcomed us into their communities and worked with us to develop the ideas contained within this report. We would also like to thank the various community based stakeholders, particularly Government Business Managers, Indigenous Engagement Officers and school principals, who assisted us to visit the communities and contributed to the planning and facilitation of various meetings and consultations. Stakeholders from various government agencies, the Indigenous Land Corporation, the Northern Land Council, the East Arnhem Shire, industry bodies and experts also generously contributed their time, knowledge and insight into the feasibility study. A full list of stakeholders consulted can be found at Appendix E. We also acknowledge the assistance provided by the Department of Education, Employment and Workplace Relations in completing the feasibility study. iii © 2010 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International, a Swiss cooperative. All rights reserved. _ The KPMG logo and name are trademarks of KPMG. Liability limited by a scheme approved under Professional Standards Legislation. ABCD Department of Education, Employment and Workplace Relations Feasibility study into a student accommodation facility in East Arnhem Land 3 May 2010 List of acronyms DEEWR Department of Education, Employment and Workplace Relations GBM Government Business Managers IEO Indigenous Engagement Officers ILC Indigenous Land Corporation NLC Northern Land Council NT DET Northern Territory Department of Education NTCET Northern Territory Certificate of Education and Training RSD Remote Service Delivery SHEP Secondary Homelands Education Project SIHIP Strategic Indigenous Housing and Infrastructure Program iv © 2010 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International, a Swiss cooperative. All rights reserved. _ The KPMG logo and name are trademarks of KPMG. Liability limited by a scheme approved under Professional Standards Legislation. Department of Education, Employment and Workplace Relations ABCD Feasibility study into a student accommodation facility in East Arnhem Land 3 May 2010 Executive summary Introduction KPMG was engaged by the Department of Education, Employment and Workplace Relations (DEEWR) to undertake a feasibility study into a student accommodation facility in East Arnhem Land. East Arnhem Land is located in the north east corner of the Northern Territory and encompasses the Gove peninsular, inland communities and island based communities. It is envisaged that the facility will be funded from an identified $28.9 million towards the construction and operation of three new boarding facilities in the Northern Territory for Indigenous secondary students. The Indigenous Land Corporation (ILC) may also contribute funding from a $15 million allocation to the three new facilities on a case by case basis. The communities identified as part of the East Arnhem region were Galiwinku, Gapuwiyak, Milingimbi, Ramingining, Yirrkala, regional homeland communities as well as Nhulunbuy. All five communities are identified Northern Territory Growth Towns.1 Gunyangara was also included in the study. The feasibility study aims to address the following themes: • the economic and educational viability and sustainability of establishing a student accommodation facility to service East Arnhem region communities; and • the capacity of the East Arnhem region to support a student accommodation facility. The feasibility study was informed by consultations with: community members in each community and major homeland group, usually represented by the school council (or equivalent) and other interested people; and other stakeholders such as Government Business Managers (GBMs), Indigenous Engagement Officers (IEOs), Shire Services Managers and school principals. In addition relevant regional and Territory level government agency representatives were consulted, as were representative bodies and industry experts. The consultations found that there is widespread support for the establishment of a student accommodation facility in the East Arnhem region. Location options analysis KPMG assessed seven main options for locating the facility in close proximity to each of the five communities, in addition to a homeland and non community location. The development of options was wholly driven by community input. KPMG used a multi-criteria analysis approach which assesses the likely performance of each option against key effectiveness criteria. The effectiveness criteria are weighted to reflect their relative importance in the decision-making process. The criteria and weightings are as follows: 1 Northern Territory Government, viewed March 2010. http://www.workingfuture.nt.gov.au/growth_towns.html 1 © 2010 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International, a Swiss cooperative. All rights reserved. _ The KPMG logo and name are trademarks of KPMG. Liability limited by a scheme approved under Professional Standards Legislation. Department of Education, Employment and Workplace Relations ABCD Feasibility study into a student accommodation facility in East Arnhem Land 3 May 2010 1 Education and employment outcomes (35 per cent) - To what extent will the location deliver enhanced education and employment outcomes? 2 Safety and well being (20 per cent) - To what extent does the location maintain and promote the safety and well being of the students?
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