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Annual Report 2019 Contents ANNUAL REPORT 2019 CONTENTS LETTER TO MINISTER FOR TRAINING AND SKILLS FEDERATION UNIVERSITY AUSTRALIA AND MINISTER FOR HIGHER EDUCATION 1 ACKNOWLEDGES THE TRADITIONAL CUSTODIANS OF THE LAND WHERE ITS VICE-CHANCELLOR AND PRESIDENT’S REPORT 2 CAMPUSES AND CENTRES ARE LOCATED. Our Purpose 4 BALLARAT About the University 4 Wadawurrung OUR STRATEGIC PLAN 5 BERWICK A snapshot for 2018–2022 5 Boonwurrung and Wurundjeri Our Strategic Objectives 5 Our Priorities 5 BRISBANE Our Purpose 5 Turrbal and Jagera GIPPSLAND 2019 IN REVIEW 6 Gunai Kurnai Rankings 6 Awards 8 NANYA STATION Our Schools 9 Mutthi Mutthi and Barkindji Our Campuses 15 WIMMERA Research 16 Wotjobaluk, Jaadwa, Jadawadjali, Partnerships 18 Wergaia, Jupagulk Technology Parks 19 International 20 Community 20 Equality 21 Diversity 21 ALUMNI, DONORS AND SPONSORS 22 OUR SERVICES 24 Fields of Study – Schools and Programs Portfolio 24 OUR COUNCIL 25 Council and Committee Structure 28 OUR WORKFORCE 34 Workforce Data 34 OUR ENVIRONMENT 37 ORGANISATIONAL AND REGULATORY INFORMATION 40 Compliance 43 FINANCIAL INFORMATION 46 Financial Summary 47 Five Year Financial Summary 48 Disclosures and Legal Compliance 49 Auditor-General’s Independence Declaration 50 Independent Auditor’s Report 51 Statement of Income 53 Statement of Comprehensive Income 53 Statement of Financial Position 54 Statement of Changes in Equity 55 Statement of Cash Flows 56 Notes to the Financial Statements 57 Notes to and forming part of the Financial Statements 58 APPENDICES 117 DISCLOSURE INDEX 118 Letter to The Hon. Gayle Tierney MP, Minister for Training and Skills and Minister for Higher Education On behalf of the Council of Federation University Australia, I am pleased to present the 2019 Annual Report. The financial report was approved by the university Council on 16 April, 2020 and has been prepared in accordance with the provisions of the Financial Management Act 1994. Federation University has had a successful year in 2019, embedding a new structure and new partnerships to ensure the university’s long-term stability and growth. We have seen growth in student numbers across our Victorian and Brisbane campuses, Mr Terry Moran AC as well as our Australian partner providers. It was particularly exciting to see the return of international students to our Gippsland campus, where they have been warmly welcomed by the university community. We have worked closely with the Victorian and Commonwealth Governments throughout 2019, responding to and implementing policy reforms and programs. In particular, the Victorian Government’s Free TAFE for Priority Courses initiative has had a significant impact on demand for programs at Federation TAFE, while the Regional Skills Training Fund has provided grants for specialist equipment for new and existing TAFE facilities. Federally, we were pleased to see a focus on the future of regional education with the release of the National Regional, Rural and Remote Education Strategy. The strategy clearly acknowledges the challenges faced by regional education and recommends real action to address issues with access, equity and aspiration outside of our cities. We have seen the quality of our research recognised as well above world standard by Excellence in Research for Australia (ERA), with this success to be built on in 2020 via our new Research and Innovation Strategic Plan 2019-2023, launched at the end of the year. In fact our rankings have improved significantly across all measures, reflecting the response of students and employers alike to the new direction for the university, including industry-focused program delivery. Thank you to all the members of Council throughout my first full year holding the position of Chancellor. As the university enters its 150th anniversary year, I feel a strong foundation has been built for future success. Mr Terry Moran AC Chancellor FEDERATION UNIVERSITY AUSTRALIA | 2019 ANNUAL REPORT 1 VICE-CHANCELLOR AND PRESIDENT’S REPORT In 2019, Federation University experienced unprecedented success reflected in our outstanding results across a range of indicators, and the expansion of program offerings across all our campuses and international partnerships. Over the past three years we have taken a transformational approach and are seeing the benefits of this as we enter 2020. This success in the delivery of the university’s strategic plan and a program of significant reform was confirmed by the Victorian Auditor-General’s Office report, Results of 2018 Audits: Universities Report, which was released in 2019. It confirmed the significant improvement in our financial sustainability and performance revealed in our 2018 Annual Report, showing that Federation University had “…taken steps to streamline their operations by reducing unnecessary expenditure and increasing the efficiency of their employee base… [and] also increased its student numbers through the provision of additional course offerings, and the acquisition of Monash University’s Berwick operations.” I’m delighted to have seen this momentum for transformation and growth continue across the organisation in 2019, exceeding our revenue targets to reach $410 million in Professor Helen Bartlett revenue in 2019, achieving a net operating result of $36.8 million, confirmed in this Annual Report. It is a credit to the university community and the strength of our leadership that these outstanding results and significant reform across the university’s operation have been delivered in partnership with our staff. This was evidenced not only by the rapid pace of organisational change but also by the successful negotiation of new enterprise agreements for both university and TAFE staff. 2019 in review As you will see in this Annual Report, we have made significant investment in our research, programs, partnerships and facilities in 2019. Building on our outstanding ERA results, we have finalised a new research strategy focused on creating more substantial research partnerships with industry, government and education stakeholders at a local, national and international level. We have identified three research priority areas: health and wellbeing, society and the environment, and virtual, digital and computational environments. New Research Centres that align with our research expertise and the needs of industry and community will be announced in 2020. We achieved outstanding Good University Guide 2020 results, and have been rated first in Victoria for teaching quality, full-time graduate employment, starting salary, student support, skills development, overall student experience, first in family and social equity. A new academic portfolio structure has been embedded across the university. It is operating successfully and will continue to be strengthened in 2020. Following an extensive program review to transform the university’s academic offerings, we are introducing 10 new and 13 rebadged Diploma, Bachelor and Master programs that align with market demand, and skills and training needs across our campus network. International student enrolments have been boosted to 2,093 across all our campuses, a significant increase compared to 2018. TAFE student contact hours have been increased by 20 per cent in 2019 due to free TAFE. 2 FEDERATION UNIVERSITY AUSTRALIA | 2019 ANNUAL REPORT We have introduced a ‘Tenancy Plus’ model with new Tech Park partners, built around research collaboration and opportunities for Federation students. For example, global cyber security company, CT4, entered into a partnership with the university in 2019 that includes a dedicated TAFE training program leading to placements and employment. We are building partnerships with TAFEs in our campus regions to provide pathways into higher education. In October, we signed an MoU with TAFE Gippsland and are engaging in discussions with Chisholm Institute in the south east of Melbourne. A new master plan has been completed for the Ballarat CBD and Mt Helen campuses, and planning is underway for the Gippsland Campus. At Mt Helen, construction of the $15-million Health and Sports Precinct is complete and planning is underway for upgrades to flexible learning and teaching spaces. The revitalisation of historic buildings at our SMB campus in central Ballarat for teaching spaces will also commence in 2020. Our commitment to diversity, inclusion and access In 2019, one of the proudest moments for the university was receiving formal recognition of our commitment to progressing equal opportunities for women in science, technology, engineering and maths (STEM). The awarding of the Athena SWAN (Scientific Women’s Academic Network) Institutional Bronze accreditation, presented by Science in Australia Gender Equity (SAGE), reflects our commitment to removing the barriers that prevent women from achieving their potential in traditionally male dominated STEM fields. This is not only a commitment to recruit more women in STEM, but also taking action to ensure we retain all of our talented female academics, and to help them advance and promote their work. We have also launched a new ‘Stretch’ Reconciliation Action Plan (RAP), continuing the work of our ‘Reflect’ and ‘Innovate’ RAPs, which looked at scoping and implementing reconciliation actions. Our Stretch RAP challenges the university to embed and measure our achievements in the day-to-day operations of the university, including: • the creation of learning spaces for Indigenous students • to reach a new target of two per cent Indigenous employment by 2021 • to ensure students receive Aboriginal and Torres Strait Islander perspectives
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