ACN 119 459 853 - CECV - Home

ACN 119 459 853

2018Annual Report

CECV ANNUAL REPORT 2018 / PAGE 2

0. HOME 1. Company Members & Directors 2. Chair’s Report 3. Committee Reports 4. School Achievement 5. Awards 6. Financial Statements 7. Appendices 8. Abbreviations

CECV ANNUAL REPORT 201800

First published November 2019

Catholic Education Commission of Victoria LtdJames Goold House228 Victoria ParadeEast Melbourne VIC 3002

www.cecv.catholic.edu.au

Correspondence to:The Company SecretaryCatholic Education Commission of Victoria LtdPO Box 3EAST MELBOURNE VIC 8002

Email: [email protected]

ACN 119 459 853 ABN 92 119 459 853

ISSN 1447–4018

© Catholic Education Commission of Victoria Ltd 2019

Licensed under NEALS The NEALS License permits Australian schools and educational bodies to copy print and digital materials for educational use in schools free of charge.

Schools featured in photosCatholic College Sale, SaleDamascus College, Mount ClearOur Lady Help of Christians School, WendoureeSiena Catholic Primary School, LucasSimonds Catholic College, Melbourne WestSt Brigid’s School, OfficerSt Joseph’s School, NagambieSt Joseph’s School, WarrrnamboolSt Mary of the Angels College, NathaliaSt Monica’s College, EppingSt Monica’s School, Kangaroo FlatSt Patrick’s School, MentoneSt Peter’s College, CranbourneSt Peter’s School, Sunshine South WestWhitefriars College Inc., Donvale



CONTENTS00Letter of Transmittal ............................................................................................................4

1. Company Members and Directors ..............................................................................5

2. Chair’s Report ...............................................................................................................7

3. Committee Reports ......................................................................................................9 Audit and Risk Committee ...............................................................................................9 Grants Allocation Committee (Primary) ...........................................................................10 Grants Allocation Committee (Secondary) ......................................................................11 Grants Allocation Committee (Targeted Programs) .........................................................12 Employment Relations Committee .................................................................................13 Review Body Committee ...............................................................................................15 Integrated Catholic Online Network Working Group .......................................................16 Enhancing Catholic School Identity Steering Committee ................................................16 Child Safety Working Party .............................................................................................17 Emergency Management Working Party ........................................................................19 Salary and Conditions Board .........................................................................................20

5. School Achievement ...................................................................................................21 Achievement Data ..........................................................................................................21

6. Awards .........................................................................................................................23

7. Financial Statements ..................................................................................................28

8. Appendices ..................................................................................................................49

9. Abbreviations ..............................................................................................................51


My fellow directors and I are grateful for your leadership and ongoing commitment to Catholic education, as we ensure that our schools continue to authentically express the mission of the Church.

Together with schools, parishes, religious congregations, diocesan Catholic education personnel and many other stakeholders, we recommit ourselves to working collaboratively with you for the improvement of the Victorian community.

Yours in faith

Most Rev. Terence Curtin STD DD VG EV Chairman 6 November 2019


LETTER OF TRANSMITTAL00Most Rev. PA Comensoli DD, Archbishop of MelbourneMost Rev. PB Bird CSsR MA DD, Bishop of BallaratMost Rev. PM O’Regan DD, Bishop of SaleMost Rev. S Mackinlay DD, Bishop of Sandhurst

Archbishop Peter, Bishops Bird, O’Regan and Mackinlay

On behalf of my fellow directors, I am pleased to present the Annual Report of the Catholic Education Commission of Victoria Ltd (CECV) for 2018.

The report provides details of the work of the CECV for the year. The financial statements are presented, together with reports and information about the performance and achievements of Catholic schools in Victoria in 2018.

Despite significant economic and social pressures, enrolments have continued to grow, with nearly 210,000 students now enrolled in 495 Catholic schools across the state. We have opened new schools and invested in improving our existing schools so that we are equipped to continue offering diverse learning opportunities.

The campaign for a fairer and equitable funding model was brought to a successful conclusion. The leadership and advocacy of the CECV ensured that the funding arrangements recognised the important role of faith-based schools to the education system in Victoria.



COMPANY MEMBERS & DIRECTORS01

MEMBERS

Most Rev. PA Comensoli DDArchbishop of the Archdiocese of Melbourne

Most Rev. PB Bird CSsR MA DDBishop of the Diocese of Ballarat

Most Rev. LR Tomlinson DDBishop of the Diocese of Sandhurst

Most Rev. PM O’Regan DDBishop of the Diocese of Sale


02


COMPANY MEMBERS & DIRECTORS

DIRECTORS

Mr Francis Moore(Deputy Chair)Executive Director Administration, Archdiocese of Melbourne

Ms Audrey BrownDirector of Catholic Education in the Diocese of Ballarat

Mr Paul DesmondDirector of Catholic Education in the Diocese of Sandhurst

Dr Helga Neidhart RSCSenior Lecturer, School of Educational Leadership, Australian Catholic University

Mr Jim Miles(Company Secretary)Director, Enterprise Services in the Archdiocese of Melbourne (appointed Acting Executive Director December 2018)

Mr Stephen Elder OAMExecutive Director of Catholic Education in the Archdiocese of Melbourne (resigned December 2018)

Ms Maria KirkwoodDirector of Catholic Education in the Diocese of Sale

Very Rev. Peter Slater PPVicar General in the Diocese of Sale

Most Rev. Terence Curtin STD DD VG EV(Chair)Auxiliary Bishop of the Archdiocese of Melbourne


02 CHAIR’S REPORT

In the 2018 Year of Youth, Pope Francis reminded young people of their strength and called on them to ‘make use of this strength and this energy to improve the world’.Throughout the year there were many examples of our youth rising to Pope Francis’ call, several of which this report highlights.

This validates the work the Catholic Education Commission of Victoria Ltd (CECV) has done to equip young people with the knowledge and capability to make a difference in the world.

Leading the sectorThroughout the course of 2018, much work was done by the CECV to ensure the high standards of education expected from Catholic schools in Victoria were maintained and improved.

NAPLAN results continue to show strength in the building blocks of learning, such as writing and numeracy. Research has also found that the benefits remain throughout the school journey, with Catholic students

having on average a six-point advantage in all levels of achievement in their VCE results, when compared with those from government schools.

These results demonstrate why enrolments in Catholic education continue to grow.

Between 2017 and 2018, the total enrolment in Victorian Catholic schools increased at both primary and secondary levels, representing almost a quarter of Victoria’s total school enrolments. In response to this growth, we opened five new schools in 2018, from Torquay to Cowes on Phillip Island, and improved buildings, learning spaces and other infrastructure in our existing schools. This investment guarantees that Catholic schools will continue to meet ever-evolving curriculum needs and the demands of the twenty-first century education system.

Federal fundingThe CECV once again led the national response to an unfair funding model that threatened the essential right of parents to choose a faith and values-based education for their children. In September 2018, that campaign was concluded successfully

when the Morrison government and Education Minister Dan Tehan adopted a new approach that is fair and efficient, and recognises the important role of faith-based schools in the education system.

The campaign against the Turnbull government’s flawed 2017 legislation resulted in an additional $4.6 billion in funding over the next 10 years nationwide. This funding will flow through to Victorian schools and also establish a new fund to guarantee the viability of previously threatened Catholic primary schools.

Under these arrangements, the Australian Government will replace the existing model based on school Socio-economic Status (SES) scores, which was biased against Catholic and low-fee non-government schools, with a new measure based on parental income tax data. This is in line with the recommendations of the review of SES scores.

Schools long-disadvantaged by the flaws of the previous methodology will now benefit through increased funding.



State electionOur advocacy for Catholic schooling also brought additional success ahead of the November 2018 Victorian state election.

In an unprecedented move, both the Labor government and Liberal and National opposition pledged $400 million in funding to upgrade and build new Catholic and independent schools. The leading role of the Catholic sector is recognised under the arrangements, with as much as 80 per cent of that funding set to be allocated to our schools.

As the largest capital funding commitment the two major parties have made to our sector, it is a huge vote of confidence in the quality and strength of our schools and their contribution to the community.

The CECV’s success at the state and federal level would not have been achieved without the incredible support of school leaders, the families of almost 210,000 Catholic school students, and education offices and dioceses across Australia.

Board changesIn 2018 we welcomed Peter A Comensoli as the new Archbishop of Melbourne, replacing former Archbishop Denis Hart. We thank Archbishop Emeritus Hart for his guidance and his contribution to the mission of Catholic education in Victoria.

I would also like to note the appointment of Jim Miles as Acting Executive Director of Catholic Education Melbourne upon the departure of Stephen Elder. Mr Elder was a dedicated leader and loyal servant of Catholic education and I thank him for his contribution.

This had led to a change in company administration with Ms Anna Rados replacing Mr Miles as Company Secretary to the CECV.

The CECV is proud of what it has achieved during 2018 and looks forward to continuing its work towards the promotion, support and delivery of Catholic education through 2019 and beyond.

The Church is its people and so I would like to take this opportunity to thank every principal, teacher, non-teaching staff member and volunteer who worked in Catholic education throughout the year. Your tireless effort and dedication, alongside parents, friends, parishes, priests and the staff in our Catholic education offices, ensure that the students in our care are educated academically, holistically and spiritually.

I believe that with this continued high level of commitment, Catholic education is well-placed to grow and develop into the future.

Yours in faith

Most Rev. Terence Curtin STD DD VG EVChair6 November 2019


CHAIR’S REPORT02



AUDIT AND RISK COMMITTEE

MembershipMr Francis Moore, CECV Director (Chair)Mr Stephen Elder OAM, CECV Executive Director (resigned December 2018)Mr David Bristow, External representativeMr John Hurren, External representative

AttendeesMr David Wilkes, Director and Chief Finance Officer, Business Advisory Services, CEMMs Helen Zeeuwe, Manager, Finance – School Accounting & Compliance, CEM

Role and activitiesThe Audit and Risk Committee (ARC) assists the Board in monitoring the decisions and actions of the Catholic Education Commission of Victoria Ltd (CECV) through its oversight of the integrity of the financial statements and the effectiveness of the systems of internal control and risk management. In performing this role, the ARC focuses on: the appointment, remuneration, performance, and independence of external and internal auditors; the integrity of the audit processes as a whole; the effectiveness of the systems of internal control and risk management; compliance with legal and

statutory requirements; and compliance by management with Board delegations. The ARC met four times during 2018.

The ARC’s major work was directed towards:

● ensuring the integrity of financial statements and government grant acquittalsThe ARC evaluated the appropriateness of accounting policies and practices, compliance with Accounting Standards and the results of the external audit. It reviewed the annual financial statements and recommended their adoption to the Board. In addition to the statutory financial reports, the ARC and management also reviewed the acquittal of federal and state government recurrent and targeted program grants for the Victorian Catholic education system in accordance with legislative requirements and funding agreements. These also align with the Australian Curriculum, Assessment and Reporting Authority (ACARA) My School finance data reporting requirements that are derived from the Department of Education’s Financial Questionnaire.

● managing the relationship with the external auditorThe ARC continued its independent, professional relationship with Deloitte Touche Tohmatsu (Deloitte) through the external audit cycle – from planning the audit to receipt of the financial accounts and management letter.

● managing the relationship with the internal auditorThe ARC continued an independent, professional relationship with KPMG through the internal audit process.

● ensuring the effectiveness of the systems of internal control and risk managementThe ARC is responsible for reviewing internal controls and risk management systems. To this end, the ARC:

– received the unqualified external audit service plan from Deloitte in relation to the CECV audit for the period ended 31 December 2018

– reviewed school audit reports for those with qualified audit opinions

– monitored the CECV’s risk reporting protocols to ensure risk identification, measurement and mitigation activities

are accurately and appropriately reported via the CECV risk register

– reviewed the CECV risk management framework

– reviewed the insurance policies held for the CECV

– received reports from KPMG for the following internal audit projects:

a. contract management and accounts payable

b. Grants Allocation Committee (Primary)

c. follow-up reports on previous internal audits

– received and reviewed updates to ensure compliance with the Australian Charities and Not-for-profits Commission (ACNC)

– reviewed the terms of reference and annual work plan for the ARC that were presented and endorsed by the CECV Board

– complied with legal and statutory requirements to ensure the CECV met its obligations under the various legislative requirements, and federal and state government funding arrangements.

COMMITTEE REPORTS03


03 COMMITTEE REPORTS


agreements in the future. The introduction of personal income tax (PIT) methodology to replace SES scores was viewed as the future best measure from 2019 onwards. The National School Resourcing Board (NSRB) established in 2017 continued to provide greater independent oversight of Australian government funding and SES.

The CECV funding guide Allocating government grants to Catholic schools in Victoria was reviewed in 2018 to meet regulatory requirements and provide information on the processes and formulae used by the CECV to allocate government grants. The guide is available on the CECV website www.cecv.catholic.edu.au under ‘Publications’ and provides summary, descriptive and high-level information. It covers capital grants as well as recurrent grants, and also highlights the extensive accountabilities and transparency reporting requirements.

Data on individual school allocations are available on the ACARA My School website.

The CECV receives recurrent grants from the federal and state governments. The GAC(P) recommends principles of allocation based on a primary school’s assessed needs after deducting notional fees and other recurrent income, referred to as capacity to contribute.

The GAC(P) met four times during 2018 and managed a budget of $1,335m in funding to a total of 394 primary schools (including two primaries with secondary school classes). This provided $108.1m of additional support for students with disabilities, $62.3m for low Socio-economic Status (SES) schools, $29.0m of Health Care Card support and $12.3m to schools in the form of interest factor support.

Ongoing analysis of SES scores was conducted in relation to the capacity to contribute funding requirements of the Australian Government. Clear anomalies were detected with regard to calculation of capacity to contribute and this issue continued to be discussed with the National Catholic Education Commission (NCEC) and the Australian Government, with a view to a fairer measure being implemented, particularly in relation to government funding

GRANTS ALLOCATION COMMITTEE (PRIMARY)

MembershipMr Stephen Elder OAM, CECV Executive Director (Chair) (resigned December 2018)Ms Audrey Brown, CECV DirectorMr Paul Desmond, CECV DirectorMs Maria Kirkwood, CECV DirectorMr David Wilkes, Director and Chief Finance Officer, Business Advisory Services, CEMMs Julie Duynhoven, Assistant Director, Finance and Administration, CEO BallaratMr Paul Velten, Deputy Director, Business Services, CEO Sale (resigned July 2018)Ms Kirrilly Bridger, Manager, School Finance and Resources, CEO Sale (appointed July 2018)Mr Ben Higgins, Assistant to the Director, Finance & Resources, CEO SandhurstMs Helen Zeeuwe, Manager, Finance – School Accounting & Compliance, CEM

Role and activitiesThe Grants Allocation Committee (Primary) (GAC(P)) is the approved CECV authority for the distribution of recurrent grants to all Catholic primary schools in Victoria.

http://www.cecv.catholic.edu.au/getmedia/71d7f374-228e-44ab-839c-d0f69cd8e4ca/Allocating-govt-grants.aspx?ext=.pdf



http://www.cecv.catholic.edu.au




• Establishment grants, also known as assistance to new schools allocations, which provide additional systemic funding to new schools (and campuses required due to enrolment growth) in their first five years.

The GAC(S) met six times during 2018 and managed a budget of $1,087,399,650 (after deductions including a capacity to contribute factor of $384,108,738). This provided $13,379,813 to schools for approved interest factor support and $30,552,500 for the HCC factor. The Grants Allocation Committee (Targeted Programs) received $82,629,705 for students with disabilities and other targeted areas funding.

services and targeted area deductions. Certain allocations (Health Care Card and interest factor) are added back to the total to determine state and federal grants for each school.

Other forms of funding allocated by the GAC(S) are:

• A school’s interest factor, which is calculated according to the interest factor policy of the GAC(S) as updated in February 2018. For approved loans, the interest factor from 2016 was dependent upon when the loan commenced drawing down. If the loan commenced drawing down before 1 January 2016, a rate of 5% is applied. If the loan commenced drawing down after this date, then a rate of 1.5% above the average RBA cash rate for the prior year (3.0% for 2018) is applied.

• The Health Care Card (HCC) factor, which is based on eligible HCC holders and enables schools to offer enrolment to a wider range of students from all socioeconomic backgrounds. The HCC factor represented a payment of $2,500 per student in 2018.

Dr Michelle Cotter, Principal, Avila College, Mount WaverleyMr Peter Riordan, Principal, Simonds Catholic College, Melbourne WestMr Darren Tan, Secondary School Business Adviser, CEM (non-voting service member)

Role and activitiesThe Grants Allocation Committee (Secondary) (GAC(S)) is the approved CECV authority for the distribution of recurrent grants to systemically funded secondary schools.

The CECV receives recurrent grants from the federal and state governments, which the GAC(S) then redistributes to member schools according to a needs-based funding formula. The formula for 2018 was approved for use by the GAC(S) during 2015, after work was completed by the Schools Funding Review team.

This formula uses the Schooling Resource Standard (SRS) per student as its base, to which is added needs-based loadings as specified by the Australian Education Act 2013 (Cth).

A school’s capacity to contribute is taken into account as well as co-responsibility, shared

GRANTS ALLOCATION COMMITTEE (SECONDARY)

MembershipMs Maria Kirkwood, CECV Director (Chair)Ms Julie Duynhoven, Assistant Director, Finance and Administration, CEO BallaratMr Ben Higgins, Assistant to the Director, Finance & Resources, CEO SandhurstMr Paul Velten, Deputy Director, Business Services, CEO Sale (resigned July 2018)Mr Michael Maye, Manager, Planning and Building, CEO Sale (appointed July 2018)Mr David Wilkes, Director and Chief Finance Officer, Business Advisory Services, CEMBr Michael Green, National Director, Marist Schools Australia (resigned February 2018)Ms Julie Ryan, Regional Director, Marist Schools Australia (appointed March 2018)Mr Eugene Lynch, Executive Officer, Mercy Education LtdMr John Finn, Principal, St Bede’s College, MentoneMrs Mary Fitz-Gerald, Principal, Mater Christi College, BelgraveMr John Freeman, Principal, Lavalla Catholic College, TraralgonDr Andrew Watson, Principal, Thomas Carr College, Tarneit




• reviewing recommendations and submissions by the relevant area managers or working groups of a targeted program requesting additional funding from GAC(P) and/or GAC(S) for their approval

• reviewing the actual financial results for the targeted programs administered by GAC(TP) against the budgeted figures on a quarterly basis

• ensuring that Catholic schools in Victoria are adequately resourced to meet the educational objectives of the federal and state governments

• ensuring that Catholic schools in Victoria have relevant program and policy advice required for local implementation.

The GAC(TP) meets at least five times per year, including a designated meeting to discuss the budgets for the following year and reports to the CECV Board.

ResponsibilitiesThe GAC(TP) is responsible for:

• determining the distribution model for targeted programs and whether the program is statewide or based on a diocesan share calculation

• ensuring with GAC(P) and GAC(S) that the CECV meets its financial and educational accountability for each targeted program to the Australian and Victorian governments, and for allocations approved by GAC(P) and GAC(S) to be administered by GAC(TP)

• ensuring the equitable distribution of targeted recurrent funding to Catholic schools in Victoria

• assigning an area manager to each of the CECV targeted areas to manage the operations of the specific targeted program, including the development of program implementation advice for schools

AttendeesMr Simon Lindsay, Manager, Improved Learning Outcomes, CEMMr Dennis Torpy, Manager, Student Wellbeing, CEMMr Daniel Nguyen, Acting Manager, Finance, CEM

Roles and activitiesThe Grants Allocation Committee (Targeted Programs) (GAC(TP)) is the approved authority for the receipt and distribution of targeted area funding from the federal and state governments to Victorian Catholic primary and secondary schools. The GAC(TP) is responsible for determining the distribution model for each targeted program (including central costs) and whether the program is statewide or diocesan-based.

The GAC(TP) provides advice on the administration of targeted programs policy and associated grants in accordance with Australian government legislation. The GAC(TP) processes are audited against the Australian Education Act 2013 (Cth), and/or Victorian government legislation and Funding and Service Agreements (FSAs) entered into by the CECV and the Victorian Government Department of Education and Training (DET).

GRANTS ALLOCATION COMMITTEE (TARGETED PROGRAMS)

MembershipMs Audrey Brown, CECV Director (Chair)Ms Judy Connell, Manager, Learning Diversity, CEM (Executive Officer)Mr David Wilkes, Director and Chief Finance Officer, Business Advisory Services, CEMDr Paul Sharkey, Director, Catholic Leadership & Governance, CEMMr Leigh Mitchell, Assistant Director, Educational Services, CEO BallaratMs Julie Duynhoven, Assistant Director, Finance and Administration, CEO BallaratMs Catherine Dillon, Deputy Director, Learning & Teaching, CEO SandhurstMr Ben Higgins, Assistant to the Director, Finance & Resources, CEO SandhurstMr Paul Velten, Deputy Director, Business Services, CEO Sale (resigned July 2018)Ms Kirrilly Bridger, Manager, School Finance and Resources, CEO Sale (appointed July 2018)Mr Martin Keogh, Manager, Learning and Teaching, CEO SaleMs Shirley Gauci, Catholic Religious Victoria Education Committee representativeMs Mishele Allen, Executive Assistant, Learning Services, CEM (Minutes Secretary)




• monitoring the nature and quality of services offered by the ER Unit

• providing a forum and giving direction to those directly negotiating with the Independent Education Union Victoria Tasmania (IEU) on behalf of employers

• assisting with advising employers in Catholic education about matters relating to the employment of staff

• overseeing changes that may need to be negotiated and built into the current industrial instrument as a result of changes in legislation and regulations.

The ERC held eight meetings during 2018, with three being held on the papers.

The ER Unit, under the direction of the ERC, continued to provide industrial relations and occupational health and safety (OHS) services to Catholic schools across Victoria under a Service Level Agreement (SLA) with the CECV.

Enterprise bargaining and the ER UnitDuring 2018, the ER Unit recommenced negotiations with the IEU for a new enterprise agreement in accordance with the terms of the 2017 Memorandum of Understanding (MoU). The ER Unit successfully negotiated a replacement to the Victorian Catholic

Mr Peter Kerwan, Manager, HR & ICON, CEO Ballarat (Ballarat employer representative until February 2018)Mr Kevin Lawlor, Assistant to the Director, Legal, Industrial & Human Resources, CEO Sandhurst (CEO Sandhurst representative)Mr David Leslie, Principal, Mary MacKillop Catholic Regional College, Leongatha (Principals Association of Victorian Catholic Secondary Schools (PAVCSS) representative)Mr Jim Miles, Director, Enterprise Services, CEM (CEM representative)Ms Debra Punton, Deputy Director, Catholic Identity, Leadership, Learning and Teaching, CEO Sale (CEO Sale representative)Members of the CECV Employee Relations (ER) Unit attended as required.

Role and activitiesThe Employment Relations Committee (ERC) is accountable to the CECV Board for setting the overall policy context and framework for industrial relations within the Victorian Catholic school system. It makes recommendations relating to the pay and conditions of employees in the Victorian Catholic education system to the CECV Board.

The ERC acts to represent the interests of employers in Catholic education by:

EMPLOYMENT RELATIONS COMMITTEE

MembershipMs Maria Kirkwood, CECV Director (Chair)Mr Angelo Yoannidis, Manager, Employee Relations, CEM (Executive Officer from April 2018 – June 2018)Ms Kate Roberts, Acting Manager, Employee Relations, CEM (Executive Officer from July 2018 – October 2018)Ms Alicia Tuohey, Group Manager, People and Culture, CEM (Executive Officer from October 2018)Ms Nancy Bicchieri, General Corporate Legal Counsel, CEM (non-voting member)Ms Audrey Brown, CECV DirectorRev. Marcello Colasante, Parish Priest, Ballarat North and Wendouree (Ballarat employer representative)Rev. Andrew Fewings, Parish Priest, St Therese’s, Kennington (Sandhurst employer representative)Mr Christopher Houlihan, Chief Executive Officer, Mercy Education Ltd (Catholic Religious Victoria Education Committee representative)Mr John Jordan, Executive Manager, Industrial Relations and Human Resources, CEO Sale (CEO Sale representative)

StructureThe GAC(TP) comprises two accountability working parties:

● Vocational Education and Training (VET)/Victorian Certificate of Applied Learning (VCAL)

● Student Learning and Teaching

and seven working groups:

● Students with Disabilities (SWD)/Student Support Services

● Student Wellbeing● Positive Behaviour Support● Languages● New Arrivals/English as a Second

Language (ESL) Refugees● Aboriginal and Torres Strait Islander● Literacy/Numeracy.




• provided updated information on the CECV website, including agreement implementation updates, circulars, guidelines and templates

• produced a number of resources to assist schools in the implementation of the Reportable Conduct Scheme, which were communicated to stakeholders.

ConsultancyThroughout 2018, the ER Unit continued to provide a consultancy service to employers, principals and Catholic education offices. The ER Unit dealt with requests for advice that ranged from queries about salary assessments and leave entitlements to complex matters involving performance management and termination of employment.

Advocacy and legal representationIn 2018, the ER Unit provided assistance to schools through advocacy and legal representation in matters before the Fair Work Commission and supported schools to reach agreed negotiated outcomes during and following a number of complex litigious matters.

Other initiativesIn 2018, the ER Unit also:

• coordinated a project to independently review and analyse the workload of primary principals, deputy principals and teachers in partnership with Nous Group

• delivered a range of inservice training for principals and school staff on employee relations and the Reportable Conduct Scheme

• conducting safety assessments at 110 schools

• assisting schools in preparation for the Victorian Registration and Qualifications Authority (VRQA) minimum standards reviews

• facilitating 11 training sessions throughout Victoria on topics including OHS for school leaders, return to work coordination, compliance, manual handling and ergonomics

• developing procedure templates for use in schools on issues such as chemical management, consultation and communication, managing challenging behaviours and risk management

• revising existing CECV website resources and incorporating additional advisory material in key areas of risk

• organising and leading a symposium for school leaders on psychological wellbeing, confronting violence and aggression, based on the increasing prevalence of this issue in our schools, attended by over 100 school leaders from across Victoria

• managing complex issues and challenging behaviours through in-depth involvement at the school level.

Education Multi Enterprise Agreement 2013. The ERC approved the in-principle agreement reached between the ER Unit and the IEU, and the ER Unit finalised the Victorian Catholic Education Multi-Enterprise Agreement 2018 (VCEMEA 2018).

Voting was conducted at schools and Catholic education offices with an overwhelming number of employees voting to approve the proposed terms of the VCEMEA 2018. The parties agreed that the VCEMEA 2018 would be enforced from the commencement of the 2019 school year (29 January 2019) (irrespective of obtaining Fair Work Commission approval) in order to provide schools with certainty in preparing for the beginning of the 2019 school year.

OHS and WorkCoverThe OHS Reference Group is a consultative forum established by the ERC to discuss statewide OHS and WorkCover issues in Catholic schools in order to facilitate communication of and solutions to those issues. The ER Unit coordinated four meetings of the OHS Reference Group in 2018.

OHS activities undertaken by the ER Unit in 2018 included:




compliance. This included updating and aligning the CECV Guidelines to the minimum standards and the CECV Record of review for 2018 to ensure consistency across the dioceses

• facilitating a school reviewer training day on compliance with the minimum standards, which involved staff and school reviewers from all dioceses

• maintaining a schedule of periodic school reviews to ensure that all Victorian Catholic schools are reviewed for compliance against the minimum standards

• continuing promotion of the importance of compliance with the minimum standards through regular communication, updates and development of resources

• submitting applications to the VRQA for the registration of new schools and amendments to the registration of existing schools

• providing compliance reports to the VRQA in accordance with the MoU.

Role and activitiesThe CECV Review Body Committee (RBC) was established to ensure that the CECV continues to fulfil its responsibilities as a review body according to the requirements of the VRQA. These requirements are set out in an MoU between the VRQA and the CECV. The relationship with the VRQA is cooperative and positive. Meetings are held during the year as needed to discuss particular topics or compliance-related matters. The RBC strives to support Catholic schools to ensure they meet their regulatory compliance requirements, while being mindful of minimising the administrative burden.

The RBC met four times during 2018 and its main achievements included:

• participating in the 2018 review conducted by the VRQA of the Guidelines to the minimum standards. The VRQA consulted extensively with the CECV as a key stakeholder to seek feedback on the content and format of the Guidelines as part of the review

• developing greater consistency across all dioceses in the systems and processes used to monitor and validate school

Mr Brian Hanley, Principal, St Monica’s College, Epping (PAVCSS representative)Mr Bernard Dobson, Executive Officer (Catholic Religious Victoria Education Committee representative)Ms Anna Rados, Manager, Analysis, Policy & Research, CEM (Executive Officer)Parish priest – position vacant. The CECV has appointed a replacement parish priest who will commence in 2019.

AttendeesMr Daniel Brennan, Administration Officer, Secretariat Support, CEM (Minutes Secretary)Ms Sue Maughan, Senior Governance, Risk & Compliance Analyst, CEMMs Kris Marrocco, School Compliance Officer, CEM

REVIEW BODY COMMITTEE

MembershipMr Paul Desmond, CECV Director (Chair)Ms Trish Miller, Assistant to the Director, Planning, Resources & Governance, CEO SandhurstMr Chris Lennon, Acting Manager, Leadership & School Development, CEM (delegate)Mr Bill Slatter, Secondary Educational Consultant, CEO BallaratMs Debra Punton, Deputy Director, Catholic Identity, Leadership, Learning and Teaching, CEO SaleMr Damian Casamento, Principal, St Paul’s School, Sunshine West (Victorian Association of Catholic Primary School Principals Inc (VACPSP) representative)




ENHANCING CATHOLIC SCHOOL IDENTITY STEERING COMMITTEE

MembershipRev. Mgr Tom M Doyle PE (Chair)Ms Audrey Brown, CECV DirectorMs Maria Kirkwood, CECV DirectorDr Paul Sharkey, Director, Catholic Leadership & Governance, CEMMr Tony Byrne, Consultant, Catholic Leadership & Governance, CEMMr Leon Colla, Principal, St Mary of the Cross, Point Cook (Primary principal representative)Ms Karen Jebb, Principal, Genazzano FCJ College, Kew (Secondary principal representative)Rev. Brendan Reed, Parish priest representativeMr John Meneely, Deputy Director, CEO BallaratSr Dr Geraldine Larkins RSJ, Deputy Director, Catholic Mission and Identity, CEO SandhurstMr Paul Fumei, Education Officer, Religious Education, CEMMs Leeanne Hounsell, Administrative Assistant, Catholic Leadership, CEM (Minutes Secretary)

mitigation strategies, ICON implementation strategies, and timeline and stakeholder communications.

Significant work in 2018 included:

• endorsing and monitoring the progressive rollout of ICON eAdmin to an additional 20 schools, bringing the total number of schools on ICON eAdmin to 41 across the four Victorian dioceses. This included migrating the first Victorian Catholic secondary school to ICON eAdmin

• ensuring learnings from schools implementing ICON informed the continuous improvement approach to the implementation of future schools

• establishing an ICON Diocesan eLearn Committee to oversee the ICON eLearn strategy

• endorsing an ePlan pilot to be conducted in three schools

• validating ICON eLearn Modules (Attendance, Assessment and Reporting, Community Portal and Pastoral Care) in pilot schools

• endorsing a governance structure to oversee the staged rollout of ICON eAdmin in 2019.

Mr Paul Williams, Congregational leaders representative

AttendeesMr Philip Roe, Chief Information Officer and ICON Tech Program Director, CEMMr Ian Johnston, ICON eAdmin School Services Manager, CEMMrs Kaye Byrne, Business Stakeholder/Liaison Manager, CEM

Role and activitiesThe CECV, as advised by the Integrated Catholic Online Network (ICON) Working Group, is the authority responsible for delivery of the ICON project. The ICON initiative involves a collaboration between Victorian Catholic schools and the four Victorian Catholic education offices in the Archdiocese of Melbourne and the dioceses of Ballarat, Sale and Sandhurst. ICON aims to support the systemic improvement of all Victorian Catholic schools in both administrative and school performance domains.

The ICON Working Group met five times in 2018 to consider detailed ICON strategies and services. This included execution of ICON contracts, oversight of the ICON project budget, project risk

INTEGRATED CATHOLIC ONLINE NETWORK WORKING GROUP

MembershipMr Stephen Elder OAM, CECV Executive Director (Chair) (resigned December 2018)Ms Audrey Brown, CECV DirectorMr Paul Desmond, CECV DirectorMs Maria Kirkwood, CECV DirectorMr Jim Miles, Director, Enterprise Services, CEMMr Simon Mitchell-Wong, Director and Chief Digital Officer, CEMMr David Wilkes, Director and Chief Finance Officer, Business Advisory Services, CEMMr Tom Lindeman, Principal, St Louis de Montfort’s School, Aspendale (VACPSP representative)Mr Darren Atkinson, Principal, Aquinas College, Ringwood (PAVCSS representative)Mr David Bristow, External representative




CHILD SAFETY WORKING PARTY

MembershipMr Dennis Torpy, Manager, Student Wellbeing, CEM (Chair)Dr Lina Di Paolo, Team Leader, Student Wellbeing, CEMMs Elina Raso, Senior Project Lead, Child Safety, Student Wellbeing, CEMMr Lee Schlooz, Primary Educational Consultant, CEO BallaratMs Susan Renn, Student Wellbeing & Youth Services Officer, CEO BallaratMr Oronzo Farina, Leadership Consultant: Secondary and Child Protection Officer, CEO SaleMs Lauren Bourke, Psychologist, Policy and Technology Support, CEO SaleMr Kevin Lawlor, Assistant to the Director, Legal, Industrial & Human Resources, CEO SandhurstMs Frances Browne, Senior Education Officer, Pastoral Wellbeing, CEO SandhurstDr Katherine Levi, Director, Professional Standards Unit, Archdiocese of Melbourne

Role and activitiesMinisterial Order No. 870, with effect from 1 August 2016, sets out the specific actions

to always work collaboratively with Australian Catholic University and the University of Divinity through Catholic Theological College and Yarra Theological Union. These high-level interactions and collaborations give new shape to the type of offerings being made to prospective students by Catholic tertiary providers. Universities are now more inclined to ask: ‘What are our students asking for in regard to theology and Religious Education?’, rather than: ‘Who do we have in the faculty and what can we teach them?’

• exploration of alternatives to credentialled study, with the conceptualisation of master classes for micro-credits

• participation by 144 Catholic primary and secondary schools across Victoria in the 2018 survey round. These schools received the revised ECSI Standard Report (inclusive of ‘data over time’)

• completion of the Workbook and Guide to Reading and Interpreting the Enhancing Catholic School Identity (ECSI) Standard Report of Your School. These resources are made available to all schools at the same time as they receive their Standard Report.

interpretation, school effectiveness and Catholic identity enhancement initiatives.

The ECSI Steering Committee’s main activities during 2018 involved:

• professional learning and formation to help schools make the essential shift from data into action

• support of schools as they work to enhance their Catholic identity, with preparation for the June/July 2019 visit by Prof Dr Didier Pollefeyt and Drs Jan Bouwens given considerable attention during committee meetings

• interactions with Australian Catholic tertiary institutions, with the intention

Role and activitiesThe Enhancing Catholic School Identity (ECSI) Steering Committee has continued to manage the agreement with the Catholic University of Leuven (KU Leuven), Belgium.

A new service agreement between KU Leuven and the CECV for the period 1 August 2019 through to 31 July 2023 is under review for anticipated sign-off early in 2019.

On behalf of the CECV, the ECSI Steering Committee oversees and monitors the implementation of the ECSI survey and report process, and works collaboratively with diocesan Catholic education office representatives as they work on survey report




schools highlight and share their child safety journeys and engage in National Child Protection Week (2–8 September 2018).

• Support for the establishment of an NCEC Child Safety Working Group, to focus on child safety education within the wellbeing context of Catholic schools nationally.

• Responses to national developments flowing from the Royal Commission recommendations, including the draft National Principles for Child Safe Organisations and the draft National Catholic Safeguarding Standards.

facilitator guides and material for school-based professional learning.

• Production of new guides and templates to assist schools in developing accessible child-friendly versions of their child safety policies.

• Development and release of two editions of Safeguarding News, including feature articles and responses to frequently asked questions, produced in partnership with a leading provider of risk and compliance services for non-government schools.

• Monitoring of the child safety compliance process within the 2018 school review cycle, tailoring responses to meet emerging areas of challenge.

• In partnership with the CECV RBC, refinement and streamlining of a Compliance Assessment Tool in preparation for the 2019 review cycle.

• Extension of the Graduate Certificate in Education (Safeguarding Children and Young People) to staff in all dioceses, resulting in a combined 2018 intake from Melbourne and Sale.

• Development and release of a ‘Reference Pack’ with resources and activities to help

Key activities included:

• Development and release of three ‘Principle of Inclusion’ guides, which draw on research and best practice together with Catholic sector values, commitments and advice to provide child safety considerations for three diverse groups of students.

• Update and relaunch of the cross-sectoral PROTECT resource: Identifying and Responding to All Forms of Abuse in Victorian Schools. The August 2018 version includes new reporting obligations for governing authorities, principals and school staff in relation to:

– the Reportable Conduct Scheme

– organisational duty of care

– the Charter of Human Rights and Responsibilities

– identification of neglect and family violence.

• Regular updates to the ‘Child Safety’ section of the CEVN website https://cevn.cecv.catholic.edu.au to support schools with deeper implementation of the Standards and links to emerging research,

schools must take to meet the Victorian Child Safe Standards (the Standards) as part of their registration requirements.

The Catholic sector places the highest priority on the effective implementation of the Standards, with the CECV Board taking the lead in ensuring an integrated, collaborative and unified response across diocesan offices and Catholic schools.

Building on an extensive first-wave implementation by schools in 2016 and 2017, the CECV Child Safety Working Party focused its 2018 strategic efforts on ensuring continuous improvement, supporting schools to drive cultural change and take action for the safety and wellbeing of children and young people.

In line with its ‘Terms of Reference’, the Working Party developed and made available significant support to schools including policy updates, new resources and guidelines, website materials, courses and pilot projects. It also continued to work directly with the other education sectors and the VRQA to ensure cross-sectoral collaboration and integration of Catholic sector perspectives in projects and resources.

https://cevn.cecv.catholic.edu.au

https://cevn.cecv.catholic.edu.au




• working with the DET’s EMD to identify schools to be placed on the Bushfire At-Risk Register

• representing the sector on the DET’s Bushfire Risk Profile and Preparedness Project Control Board, which focuses on mitigating the threat of bushfires to schools greatest at risk

• preparing information circulars on bushfire season, bushfire preparedness, bomb and attack threats and hoaxes, severe weather, extreme flood warning alerts, overseas travel advice and warnings, responding to cold/flu season and emergency management workshops

• conducting training sessions at the Catholic Leadership Centre for 27 school leaders and business managers on emergency management planning

• managing the Student Activity Locator (SAL) and sharing information with emergency agencies about activities in areas threatened by bushfires or floods

• responding to the Victorian Building Authority undertaking audits of Catholic schools in Victoria which, per its records, may have been constructed using a combustible composite cladding.

Victoria (EMV) in statewide planning and implementation of emergency management.

While each school has overall responsibility and control of emergency response and recovery activity, the CECV EMWP provides support, guidance and resources to schools on planning, response and recovery in emergencies through the respective diocesan Catholic education offices.

Significant works in 2018 included:

• receiving and issuing 193 warnings and alert notices to schools of which a low number required some ongoing support to minimise the threat or disruption

• overseeing and effecting the delivery of 1,303 incident warnings and alerts authorised by the DET to Catholic schools

• overseeing and effecting the delivery of EMV warnings and alerts to Catholic schools

• counselling and assisting schools in developing and drafting their Emergency Management Plans (EMPs)

• upgrading and continuing to review the ‘Emergency Management’ section of the CECV website

Mr John Mills, Regional General Manager, Northern Region, CEMMs Marianne O’Rourke, School Leadership Consultant: Primary, CEO SaleMr Peter Kerwan, Manager, HR and ICON, CEO BallaratMr Kevin Lawlor, Assistant to the Director, Legal, Industrial & Human Resources, CEO SandhurstMr Rob Papworth, Property Manager/Planning Officer, CEO SandhurstMs Nanette Sweeney, Administrative Assistant, Planning & Infrastructure, CEM (Minutes Secretary)

Role and activitiesMembers of the Emergency Management Working Party (EMWP) provide policy advice, guidance and regular reports to the CECV Board on emergencies in schools and associated matters.

The EMWP met five times during 2018, giving all members an opportunity to share information and knowledge in regard to specific incidents and issues across the four dioceses. Throughout 2018, the EMWP continued to build strong relationships with the DET’s Emergency Management Division (EMD) and Emergency Management

EMERGENCY MANAGEMENT WORKING PARTY

MembershipMrs Megan Ioannou, Director, Planning & Infrastructure, CEM (Chair)Mr Harry Allard, Emergency Management Officer, Infrastructure & Capital Funding, CEMMr Fergus Chisholm, Manager, Infrastructure & Capital Funding, CEMMr Rob Aron, Regional General Manager, Western Region, CEMMs Marwin Austerberry, Regional General Manager, Eastern Region, CEMMs Debra Egan, Regional General Manager, Southern Region, CEM




• Professional enrichment leave for secondary principals: The S&CB reviewed some of the results of the survey of secondary principals in relation to obtaining information on the use, benefits and components of professional enrichment leave undertaken in collaboration with LPUC. The S&CB noted the results but sought to prioritise the above activities.

The key outcomes were in the following areas:

• Review of salaries and allowances of secondary principals: Following the completion of bargaining in Catholic schools for a new enterprise agreement, the S&CB took steps to commence necessary review and consultation to evaluate the type of recommendation the S&CB may seek to make to the CECV in the following year.

• Review of the terms and conditions of employment of secondary principals: The S&CB revisited the outcomes reached in 2017 for review of the terms and conditions of employment by considering submissions from the committee of Lay Principals Under Contract (LPUC) of the PAVCSS.

• Provision of motor vehicles to secondary principals: The S&CB updated the motor vehicle calculator in line with benchmark costings and taxation requirements.

• submit recommendations to the CECV Board, which will consider recommendations in light of the capacity of schools to pay, the salaries of other staff in Victorian Catholic schools, and the salaries of comparable employees in Victorian government schools and interstate Catholic schools.

The S&CB met on one occasion in 2018 as the CECV undertook a process, in accordance with the S&CB Constitution, to seek new appointments for positions where the maximum term for the previous officeholder had expired. In July 2018, Mr Tony Tuohey and Mrs Mary Fitz-Gerald formally accepted a nomination to the positions of member – employer body and member – employee body respectively. At the same time, Mr Paul Hoy also accepted his nomination to continue in the position of Chair.

Agenda items for the meeting in late 2018 included revisiting the main projects undertaken in 2017, setting priorities for 2019 and communicating these to stakeholders.

SALARY AND CONDITIONS BOARD

MembershipMr Paul Hoy AM KSG, External representative (Chair)Mr Tony Tuohey, Canonical Administrator, St Mary’s College for the Deaf, Wantirna South; Kolbe Catholic College, Greenvale Lakes (Employer representative)Mrs Mary Fitz-Gerald, Principal, Mater Christi College, Belgrave (Employee representative)Mrs Sonia Hutchison, Employee Relations Adviser, Employee Relations, CEM (Minutes Secretary)

ROLE AND ACTIVITIESThe role of the Salary and Conditions Board (S&CB) is to:

• review the salary and conditions of secondary principals from time to time

• make recommendations on the salaries and conditions of secondary principals in Catholic schools

• provide a rationale to the CECV Board for any recommendations



ACHIEVEMENT DATA

National Assessment Program – Literacy and Numeracy (NAPLAN) results 2018The National Assessment Program – Literacy and Numeracy (NAPLAN) is an Australia-wide testing program of literacy and numeracy for students in Years 3, 5, 7 and 9.

NAPLAN provides data for calculating the proportions of students achieving results at or above the national minimum standard in each of five domains (grammar and punctuation, numeracy, reading, spelling and writing). In 2018, the performance of students in Victorian Catholic schools included:

● Year 3 students – for each domain, 95.6% achieved results at or above the national benchmark, including 97.7% in numeracy.




Victorian Certificate of Education (VCE) results 2018VCE satisfactory completion rates: In 2018, 88 Victorian Catholic schools (93.6%) had satisfactory completion rates of at least 98%.

VCE median study scores: In 2018, 72 Victorian Catholic schools (76.6%) had a median study score within the state average range of 28–32. Nine schools (9.6%) had a median study score greater than 32.

VCE study scores of 40 or above: A study score of 40 or above represents exceptional performance (among the top 8% in the state). In 2018, 7.1% of students in Victorian Catholic schools achieved study scores of 40 or above.

Vocational Education and Training (VET) and Victorian Certificate of Applied Learning (VCAL) 2018Participation: There continues to be evidence of high student participation in Vocational Education and Training (VET) and the Victorian Certificate of Applied Learning (VCAL).

Figure 2 shows that over the period 2014–2018, the average number of VET programs offered in Victorian Catholic schools fell slightly

from 23.8 to 20.8. Over the same period, the average number of VET enrolments per school rose from 110.9 to 132.1.

Figure 3 shows that over the period 2014–2018, the number of Catholic schools offering the VCAL increased from 83 to 84. Over the same period, the average number of VCAL enrolments per school rose from 31.8 to 41.7.

Achievement: The average satisfactory completion rate of VET units for Catholic schools has increased from 91.0% to 94.0% between 2014 and 2018, as shown in Figure 4.

Of the Catholic school students eligible to complete the VCAL in 2018, 90.1% satisfactorily completed the certificate.

SCHOOL ACHIEVEMENT04

2014

7.5

2015 2016 2017 2018

7.57.6

7.4

7.1

2014

23.8

2015 2016 2017 2018

21.520.9

20.4 20.8

2014

83

2015 2016 2017 2018

85

79

81

84

Figure 1: Percentage of Catholic students achieving VCE study scores of 40 and over

Figure 2: Average number of VET programs offered per Victorian Catholic school

Figure 3: Number of Victorian Catholic schools offering the VCAL


04 SCHOOL ACHIEVEMENT


The incidence of Catholic school leavers enrolling in a TAFE/VET course (10.3%) was less than the state figure and was the lowest figure in the last five years. The take-up of apprenticeships or traineeships (8.9%) increased from 2016.

The Catholic figures were lower than those for all schools in the labour market destination categories, specifically in terms of employed (8.9% compared to 11.0%) and looking for work (1.6% compared to 3.0%).

Figure 5 shows that 14 Catholic schools (17.1% of those offering the VCAL) had all of their eligible students complete the certificate, with 81 schools (98.8%) having at least three-quarters of their eligible students completing the VCAL.

Participation in VCE Religious EducationSecondary students in Catholic schools across Victoria had high representation in the study of VCE Religious Education (RE) units in 2018. Among all Victorian school students enrolled in each of the four VCE units of Religion and Society, Catholic school students accounted for 77.4%–92.2% of enrolments. In VCE Texts and Traditions, the proportion ranged from 57.1%–93.6%.

For each of these units, the satisfactory completion rate of Victorian Catholic school students was between 97.9% and 100%.

Student destinations post-Year 12, 2017As indicated in Table 1, over half (60.5%) of the 2017 Year 12 Catholic school leavers who completed the On Track survey entered university. This clearly exceeded the percentage across the state of all Year 12 leavers (55.8%).

Table 1: Destinations of students leaving Victorian schools after Year 12 (percentages)

Destination Percentage from Catholic schools Percentage from all Victorian schools

2013 2014 2015 2016 2017 2013 2014 2015 2016 2017

Bachelor degree 58.8 59.2 56.7 61.3 60.5 54.9 53.6 50.2 54.2 55.8

TAFE/VET 14.5 13.8 12.5 11.5 10.3 15.8 16.2 15.2 12.7 11.7

Apprenticeship/traineeship

7.6 7.9 8.9 7.6 8.9 6.9 7.4 9.0 8.1 7.9

Employed 7.5 7.6 8.2 8.2 8.9 9 9.5 10.6 11.0 11.0

Looking for work 2.1 2.1 1.8 1.3 1.6 3.5 3.6 3.8 3.3 3.0

Deferred 9.3 9.1 11.5 10.0 9.7 9.5 9.1 10.6 10.3 10.0

Other 0.3 0.3 0.3 0.3 0.2 0.4 0.5 0.6 0.5 0.4

2014

91.0

2015 2016 2017 2018

90.7

92.1 92.0

94.0

<761

76.0 to 89.9VCAL completions within with school %

90.0 to 99.9 100

19

48

14

Figure 4: Average completion rates of VET units for Victorian Catholic schools

Figure 5: Number of Victorian Catholic schools grouped according to percentage of 2018 VCAL completions among eligible students


STUDENT AWARDS

Pierre de Coubertin Award In 2018, Eliza Lepair of Damascus College, Mount Clear, and Liam Herbert of Emmanuel College, Warrnambool, received the Pierre de Coubertin Award in recognition of their outstanding sportsmanship and overall dedication to pursuing excellence.

Youth Achiever of the Year Harry Price of Emmanuel College, Warrnambool, was recognised as an overall winner in the 2018 Warrnambool City Council Youth Achiever Awards for his leadership qualities, acting and public speaking skills, and strong VCE results.

ADF Long Tan Youth Leadership and Teamwork AwardThe ADF Long Tan Youth Leadership and Teamwork Award recognises students who have demonstrated leadership and teamwork within their school and broader community. In 2018, two students from Damascus College,

Mount Clear, were winners: Bridget Prunty and Jude Skewes Clinton.

Student Citizenship AwardHannah Farhall of Damascus College, Mount Clear, received a Student Citizenship Award from the Order of Australia Association in 2018. The award is given to one student from Year 9 or 10 in each Ballarat secondary school who, throughout the year, has displayed exceptional qualities of citizenship in various practical ways.

Marine Corps Holiday ClassicYear 9 student Harry Sharp wore his St Patrick’s College, Ballarat, athletics singlet when he competed in and won the Marine Corps Holiday Classic mile in New York.

Woodchopping at the Sydney Royal Easter ShowFrazer and Jack Carnes of St Patrick’s College, Ballarat, recorded excellent results in woodchopping at the 2018 Sydney Royal Easter Show. Frazer, Year 7, won the Junior Development event and was presented with the Junior Encouragement award. His brother Jack, Year 10, recorded a second, a third and two fourth placings for his events. Both boys were selected to represent the Victorian under-21 team.

Ballarat regional athleticsSt Patrick’s College, Ballarat, Year 12 student Andrew Amor rewrote the ‘lap of the lake’ recordbook in 2018 at the Ballarat Regional Athletic Centre. At 17, he became the youngest winner of the Steve Moneghetti title as fastest male across all age groups in the run.

VCE Season of ExcellenceLily O’Neil of Loreto College, Ballarat, was selected to perform in the Top Class Dance concert as part of the VCE Season of Excellence 2018. The Season is an annual festival showcasing outstanding Victorian senior secondary student work.

Premier’s Spirit of Anzac PrizeThis annual competition provides students with a study tour of sites where Australians have served in war, or which have military and historical significance.

Laura Stedman of Loreto College, Ballarat, was awarded for creating an embroidery inspired by the Great War, and received a study tour of Singapore. Declan Hovenden of Marist College Bendigo, Maiden Gully, was a successful entrant in the essay writing section, and was awarded a study trip to Canberra.


AWARDS05

Father James Wall BursaryThis award is presented to Year 10 students from Catholic schools who have demonstrated leadership potential in a range of areas. Sponsored by the Catholic Development Fund, the bursary assists with school fees and other expenses accrued as part of Year 11 and 12 studies. The 2018 recipients were:

• Himash Wijesekera, Mazenod College, Mulgrave

• Jordan Whitty, Parade College, Bundoora• Madeleine Crothers, St Ignatius College

Geelong, Drysdale• Mikayla Van Der Velden, St Peter’s

College, Cranbourne• Nathan Fox, St Joseph’s College,

Newtown.


05 AWARDS


Indigenous Literacy Student AmbassadorGrade 6 student Sapphire Khodr from St Catherine’s School, Moorabbin, was named an Indigenous Literacy Student Ambassador – one of only 10 in Australia – after raising almost $1,500 to support Indigenous literacy projects.

VCE Leadership AwardsJasmine Burke of FCJ College, Benalla, and Joseph Yugumbari of St Kevin’s College, Toorak, were finalists in the 2018 VCE Leadership Awards, which recognise the active participation and contribution of outstanding VCE students in their schools and in the community.

Jasmine was also honoured in the Australia Day Awards as the Benalla Rural City Young Citizen of the Year, having organised many events that engaged the whole community, as well as raising money for and awareness about a range of important organisations and issues.

Study Awards were also presented to numerous Catholic school students receiving study scores of 46 or above in individual VCE studies. Zane Hyde of St Peter’s College, Cranbourne, was recognised for achieving a perfect score of 50 in Biology.

Plain English Speaking AwardSamuel Roach of St Kevin’s College, Toorak, was chosen as the Victorian winner of the 2018 Plain English Speaking Award and went on to compete in the national final on 12 August in Darwin.

Homelessness Week competitionStudents Delvana and Julie from Catholic Regional College, St Albans, created winning designs in a statewide t-shirt competition to support Homelessness Week. The winning t-shirts were exhibited at the Kathleen Syme Library and Community Centre in Carlton.

Junior Lord MayorGrade 6 student Chloe Amalfi from Genazzano FCJ College, Kew, was titled Melbourne’s Junior Lord Mayor in 2018, following in the footsteps of a long line of students from Melbourne Catholic schools to take on the role.

Liam Gray from Loyola College, Watsonia, was presented with the School-based Apprentice/Trainee Award in recognition of balancing the commitments of school, TAFE and the workplace. He undertook the senior VCAL certificate while working as a school-based apprentice diesel mechanic and studying a Certificate III in Heavy Commercial Vehicle Mechanical Technology.

Premier’s VCE AwardsThe Premier’s awards recognise students who have demonstrated outstanding achievement in the VCE. The Top All-Round VCE High Achiever Award is presented to students who have achieved study scores of 46 or higher in at least five VCE studies. In 2018, the Melbourne Catholic school recipients were:

• Albert Shen, St Kevin’s College, Toorak• Annie Yu, Loreto Mandeville Hall, Toorak• Bronte Robinson, Loreto Mandeville Hall,

Toorak• Callum Holmes, Parade College,

Bundoora• Emma Barham, Genazzano FCJ College,

Kew.

Simpson PrizeSara Hinton of Ave Maria College, Aberfeldie, was the Victorian winner of the Simpson Prize for 2018. A national competition for Year 9 and 10 students, the Simpson Prize encourages participants to explore the significance of the Anzac experience and what it has meant for Australia.

VCAL Achievement AwardsGabrielle Sims, Kate Napper and Molly O’Neill from Sacred Heart College, Newtown, were presented with the Senior Team Achievement Award for creating ‘Little Boxes of Hope’, which brought comfort and support to young people experiencing mental illness in the Geelong region.


05 AWARDS


gold in the 11-year-old girls Long Jump, setting a School Sport Australia record. Tori also won silver medals in the 11-year-old girls 100 metre and 10–12-year-old girls 4 x 100 metre relay.

Trainee of the Year awardJesse Trower was recognised for his outstanding achievements while completing his traineeship at St Mary of the Angels College, Nathalia. The former student was awarded Trainee of the Year from The Apprenticeship Factory for the Goulburn Valley region.

Victorian Schools Cycling championBlake Agnoletto from Catherine McAuley College, Bendigo, competed at the Cycling Victoria Schools Cycling State Championship in 2018 and won the 17-year-old boys Criterium Road Race to be crowned state champion. He was also runner-up in the Mountain Bike State Final 17-year-old boys racing category.

College, Beaconsfield, along with Declan Bagot and Shaye Symes from Marist-Sion College, Warragul, completed the gruelling 100 km hike along the Kokoda Track. Izaiah was supported by the Harold Bould Memorial Award, while Declan and Shaye were recipients of the George Collins Kokoda Award.

Australia Day AwardsThe following Nagle College, Bairnsdale, students received Australia Day Awards in 2018:

• Aislin Jones: East Gippsland Young Citizen of the Year

• Madeleine Hack: Bairnsdale Young Citizen of the Year

• Joshua Seignior: Country Women’s Association Young Achiever of the Year.

National champion and Australian record-holderGrade 5 student Tori English from St Monica’s School, Wodonga West, became a state and national track and field champion. She won

Catholic Bishop of Sale Religious Education AwardThis award recognises the efforts of students achieving study scores of 40+ in VCE Religious Studies. In 2018, the recipients were:

• Brooke O’Brien, St Francis Xavier College, Beaconsfield

• Kylie Driessen, Marist-Sion College, Warragul

• Lauren Clark, St Francis Xavier College, Beaconsfield

• Shaelyn Connel-Rohd, Marist-Sion College, Warragul.

Kwong Lee Dow Young ScholarsYear 10 student Alison Hibbert from St Francis Xavier College, Beaconsfield, was accepted into the prestigious Kwong Lee Dow Young Scholars Program. Run by the University of Melbourne, this academic enrichment program is designed to support high-achieving students in Years 11 and 12, and offers participants the opportunity to mix with like-minded peers and future leaders.

Harold Bould Memorial Award & George Collins Kokoda AwardDuring the July school holidays, Year 11 student Izaiah Roch from St Francis Xavier

Premier’s Design AwardsMegan Grimshaw of Genazzano FCJ College, Kew, was awarded the inaugural VCE Product Design Student Award in the 2018 Victorian Premier’s Design Awards for her garment ‘Reinventing Plastic Waste’.

Legacy public speaking competitionMilagros Vargas of Avila College, Mount Waverley, participated in the Legacy Junior Public Speaking Award program where she was runner-up in the Victorian State Final, later progressing to the National Final held in Sydney.

Australian-International Model Solar ChallengeStudents Natalia, Paris and Ross from St Monica’s College, Epping, won the Australian-International Model Solar Challenge in 2018 with their solar-powered boat. The event was held at the University of New South Wales in Sydney.


05 AWARDS


2018, the recipient of the Elizabeth Hunt Scholarship was Bethany Allen from Marist-Sion College, Warragul.

Spirit of Catholic Education AwardsThe Spirit of Catholic Education Awards recognise individuals in Catholic schools who have achieved excellence in inspiring faith and learning within their school community. In 2018, Kierin Murphy from Marist-Sion College, Warragul, was the recipient of the Inspiring Faith, Inspiring Learning Award.

VEX Robotics Competition (VRC) Teachers of the YearMaree Timms and Brett Webber from Galen Catholic College, Wangaratta, were awarded VRC Teachers of the Year in 2018. Both educators were recognised for their dedication and passion for robotics, and for promoting and growing VEX education nationally.

• Louis Battista, St Brendan’s School, Lakes Entrance – 36 years

• Concetta Paola, Mary MacKillop School, Narre Warren North – 36 years.

Daniel Ahern BursaryThe pioneering spirit of Daniel Ahern, a teacher from the 1800s, is recognised through this bursary, which provides financial support to non-teaching staff who wish to pursue a career as a teacher. In 2018, the recipients were Lachlan McDougall of Lavalla Catholic College, Traralgon, and Alyssa O’Hara of St Agatha’s School, Cranbourne.

Elizabeth Hunt ScholarshipCreated in memory of Elizabeth Hunt, a teacher from 1905 until 1934, the annual scholarship provides financial support to one or more students undertaking a teaching degree at Australian Catholic University. In

John Laing awardsMark Murphy, Principal of Marcellin College, Bulleen, was one of the recipients of Principals Australia Institute’s annual John Laing Professional Development Awards, which recognise principals in every state and territory who demonstrate outstanding leadership in providing professional learning in schools.

Recognition for leadershipJessica Hall, Teaching and Learning Leader at Ave Maria College, Aberfeldie, was recognised in The Educator’s annual Hot List as an outstanding leader and influencer in education – one of only 53 individuals across Australia to make the cut in 2018.

Catholic Education Service AwardsThe Catholic Education Service Awards acknowledge and pay tribute to staff within the Diocese of Sale who have dedicated themselves to the Catholic education sector in Australia for 25 years or more. In 2018, the recipients were:

• Lizabeth Privitera, Mary MacKillop School, Narre Warren North – 27 years

• Helen Renehan, St Brendan’s School, Lakes Entrance – 32 years

AFL AcademyAaron Gundry, Flynn Perez and Sam Conforti from Catherine McAuley College, Bendigo, were selected for the Vic Country 2018–19 AFL Academy Squad. The AFL Academy program enables players to engage in high-performance camps to further develop their skills and experience.

TEACHER AWARDS

Microsoft Innovative EducatorIan Fernee, Head of Computing at St Patrick’s College, Ballarat, is part of the Microsoft Innovative Educator (MIE) Expert program. In 2018, he was sponsored to attend the E2 Education Exchange global conference in Singapore.

Educate Plus awardsPaul Nolan, Director of Community Development at St Patrick’s College, Ballarat, was awarded at the 2018 Educate Plus International Conference in Auckland, NZ, for producing the Most Outstanding Marketing and Communications Video: ‘What makes a great man?’


05 AWARDS


VRC Australian national championsAt the 2018 Australian VRC Nationals in Melbourne, the VEX Robotics crew from Galen Catholic College, Wangaratta, received the following awards: VEX IQ Excellence Award, VEX IQ Robot Skills Champion Award, VEX IQ Teamwork Finalist, VRC Amaze Award, VRC Create Award and VRC Promote Award. For the second year in a row, the students performed exceptionally well and qualified to enter the VEX World Championships.

Short film competitionSt Martin de Porres School, Avondale Heights, won the Grade 5 & 6 division at the Cultural Diversity Week 2018 Primary School Short Film Competition. The students’ film, I am Victoria, was screened at Federation Square as part of the celebrations during Victoria’s Multicultural Festival.

State basketball championsThe intermediate basketball team from Catherine McAuley College, Bendigo, became the School Sport Victoria State Champions in 2018. The girls triumphed with 34 points to 29 in a thrilling game against Lavalla Catholic College, Traralgon.

National a cappella championsIn the School Division Championship Final of the 2018 AUSACA A Cappella Awards, ‘Stacella’ from Star of the Sea College, Brighton, won first prize in the Vocal Ensemble section, while ‘Synergy’ from Aquinas College, Ringwood, won the Vocal Band section, as well as a special award for Best Contemporary Song.

Outdoor learning awardsIn 2018, St James the Apostle School, Hoppers Crossing North, won the South Western Metropolitan Regional Award at the Victorian Schools Garden Awards (VSGA), while St Mary’s School, Castlemaine, became one of just 38 schools in the state to achieve the highest rating of ‘5 Stars’ from Sustainability Victoria’s ResourceSmart Schools program.

SCHOOL AWARDS

Medal-winning teamsIn 2018, the St Patrick’s College, Ballarat, Symphonic Wind Ensemble claimed a silver medal and Senior Stage Band received gold at the NSW School Band Festival in Sydney, while the senior debating team of Oscar Grigg, Ryan Mulheron and Xavier O’Shea won a silver medal in the Debaters Association of Victoria A-grade finals in Melbourne.

National rowing championsThe St Patrick’s College, Ballarat, Firsts Crew won the National Schoolboys Coxed Four title at the National Rowing Championships in 2018. Hamish Crawley, Connor Shugg, James Crilly, Regan Champley, Jackson Long (cox) and Brendan Scott (coach) made up the winning team – the school’s third to claim a national title.

Apple Distinguished SchoolSt Lawrence School, Derrimut, was recognised as an ‘Apple Distinguished School’ for 2018–2020 based on its innovative approach to learning, teaching, leadership and documented results of academic accomplishment.


FINANCIAL REPORT FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2018The directors of the Catholic Education Commission of Victoria Limited (‘CECV Ltd’ or ‘the company’) submit herewith the annual financial report of the company for the financial year ended 31 December 2018. In order to comply with the reporting requirements of the Australian Charities and Not-for-profits Commission Act 2012 (Cth), the directors report as follows:

The names and particulars of the directors of the company during or since the end of the financial yearMost Rev. Terence Curtin STD DD VG EV (Chair)Auxiliary Bishop, Archdiocese of Melbourne

Mr Francis Moore (Deputy Chair)LLB, BComm

Executive Director Administration, Archdiocese of MelbourneDeputy Chair of Archdiocese of Melbourne Catholic Development FundDirector of Catholic Capital Grants (Victoria) LimitedDirector of Catholic Network Australia LimitedTrustee of Roman Catholic Trusts Corporation for the Diocese of MelbourneChair of the CECV Audit and Risk Committee

Mr Stephen Elder OAM (Resigned 20 December 2018)BEd, DipT

Executive Director of Catholic Education, Archdiocese of MelbourneBoard member of Archdiocese of Melbourne Catholic Development FundDirector and Member of Catholic Network Australia LimitedDirector and Company Secretary of Catholic Capital Grants (Victoria) LimitedChair of the Catholic Network Australia Education Standing CommitteeSenator of Australian Catholic University Senate

Member of Australian Catholic University Victorian ChapterBoard member of the Church Resources Board of ManagementMember of Mercy Health FoundationDirector of Australian Institute for Teaching and School Leadership LimitedMember of School Policy and Funding Advisory CouncilMember of Truth, Justice and Healing CouncilMember of National Catholic Education CommissionMember of the Archdiocese of Melbourne Planning, Building and Finance CommitteeMember of CEO InstituteMember of the Victorian Registration and Qualifications Authority BoardChair of the CECV ICON Working GroupChair of the CECV Grants Allocation Committee (Primary)

Ms Maria KirkwoodBEd, GradDipArts, CertT

Director of Catholic Education in the Diocese of SaleDirector of Catholic Capital Grants (Victoria) LimitedMember of the CECV ICON Working GroupMember of the CECV Grants Allocation Committee (Primary)Chair of the CECV Grants Allocation Committee (Secondary)Chair of the CECV Employment Relations CommitteeMember of the CECV Enhancing Catholic School Identity Steering Committee

Dr Helga Neidhart RSC

TPTC, BA, MEd, PhD, BTheol, FACE, FACEL

Senior Lecturer, School of Educational Leadership, Australian Catholic University


06 FINANCIAL STATEMENTS




Ms Anna Rados (Company Secretary) (Appointed 21 February 2019)BA

Company Secretary of the Catholic Education Commission of Victoria LimitedActing Assistant Director of Enterprise Services, Catholic Education MelbourneManager of Analysis, Policy and Research, Catholic Education MelbourneMember of the CECV Review Body Committee

The directors have been in office since the start of the financial year to the date of this report, unless otherwise indicated.

PRINCIPAL ACTIVITIESThe objectives of the company are:

In accordance with the beliefs, traditions and practices of the Roman Catholic Church, and Church laws:

a) to, for and on behalf of Catholic schools, act as the recipient of grants provided to or in respect of Catholic schools

b) to allocate, distribute, expend or appropriate grants to Catholic schools, always in accordance with conditions (if any) imposed by a government agency

c) to, in cooperation with the Director of Catholic Education in each diocese, facilitate and support the compliance with all relevant conditions and requirements in respect of grants imposed by a government agency

d) to act for each bishop in specified matters concerning the Catholic schools in his diocese, or in such other matters as the bishops may in cooperation require.

The company has the powers set out in the Australian Charities and Not-for-profits Commission Act 2012 and the Constitution, but only to do all things that are necessary, convenient or incidental to carry out the objects set out above.

Ms Audrey BrownBA, DipEd, MEd, GradCertRE, GradDipArts(Theol)

Director of Catholic Education in the Diocese of BallaratDirector of Catholic Capital Grants (Victoria) LimitedMember of the CECV ICON Working GroupMember of the CECV Grants Allocation Committee (Primary)Chair of the CECV Grants Allocation Committee (Targeted Programs)Member of the CECV Enhancing Catholic School Identity Steering CommitteeMember of the CECV Employment Relations CommitteeMember of the NCEC Faith Formation and Religious Education Standing CommitteeDeputy Chair of the Victorian Institute of Teaching Council

Very Rev. Peter Slater PP VGBA, MA

Parish Priest of Warragul and Drouin

Mr Paul DesmondBEd, GradDipRE, GradDip Student Guidance & Welfare

Director of Catholic Education in the Diocese of SandhurstDirector of Catholic Capital Grants (Victoria) LimitedMember of the CECV ICON Working GroupMember of the CECV Grants Allocation Committee (Primary)Chair of the CECV Review Body CommitteeMember of the Victorian Institute of Teaching Council

Mr Jim Miles (Appointed Acting Executive Director December 2018)BA, BComm, GradDipEconomics, MComm

Acting Executive Director of Catholic Education, Archdiocese of MelbourneDirector of Enterprise Services, Catholic Education MelbourneMember of the CECV ICON Working Group




of our nation’s education landscape. The Coalition Government’s Choice and Affordability Fund is expected to provide the CECV with $180.9m from 2020 to 2029.

Catholic education will continue to advocate for funding arrangements that ensure parental choice in education and the continued affordability and accessibility of a quality education founded on the Catholic faith and its values.

Victorian government funding arrangements have now been signed until 2021 through a Funding Agreement between the company and the Victorian Government. State legislation links funding to the company under the Funding Agreement to the funding level of government schools. This provides certainty on state funding to the company until the end of 2021.

ENVIRONMENTAL REGULATIONSThe company’s operations are not regulated by any significant environmental regulation under the laws of the Commonwealth or of any state or territory. However, the directors believe that the company has adequate systems in place for management of its environmental requirements and it is not aware of any breach of these environmental requirements.

DIVIDENDSThe company does not pay dividends.

INDEMNIFICATION OF OFFICERS AND AUDITORSDuring or since the end of the financial year, the company has not indemnified or made a relevant agreement to indemnify an officer or auditor of the company or of any related body corporate against a liability incurred as such an officer or auditor. In addition, the company has not paid, or agreed to pay, a premium in respect of a contract insuring against a liability incurred by an officer or auditor.

CECV Ltd has directors and officers liability insurance contracts for directors and officers of the company. The insurance provides cover against claims made by reason of any wrongful act committed or alleged to have been committed by a director or officer of the company.

REVIEW OF OPERATIONSThe company’s net deficit for the year ended 31 December 2018 is $3,085,204 (2017: deficit $1,821,347).

The operating deficit for the 2018 financial year of $3.1 million includes reward payments of $2.72 million (2017: $2.72 million) received from the State Government via the Commonwealth Government Smarter Schools National Partnership during July 2018. This result should be observed in the context of Note 2(m) Retained earnings and Note 5 Reserves.

CHANGES IN STATE OF AFFAIRSThere were no significant changes in the state of affairs of the company.

FUTURE DEVELOPMENTSAlthough the Gonski 2.0 proposals and subsequent amendments announced by the Federal Government during September 2018 are now law and the CECV itself will remain viable, there is still some uncertainty about what the changes will mean for individual schools. SES scores are the most important variable in non-government school funding in which personal income tax data is currently being planned to be implemented by the federal DET as from 2020.

The Coalition Government has legislated a new 10-year funding model. The Government will pay 80% of its ‘Schooling Resource Standard’ to Catholic schools by 2023. Funding for the CECV system as a result of the new measure of capacity to contribute and Catholic systemic schools being placed on the same transition line as other non-government schools is expected to increase by $1b between 2020 and 2029.

The CECV is committed to a school funding model that supports choice and access for all Australians through the widespread provision of diverse non-government schools that have a range of fee levels and operating models. The diversity of educational opportunities across non-government schools, religious and non-religious, in systems and outside of systems, and their provision of choice to all families across the socioeconomic spectrum, is a strength




PROCEEDINGS ON BEHALF OF THE COMPANYDuring the year, no persons brought, or intervened in, any proceedings on behalf of the company.

AUDITOR’S INDEPENDENCE DECLARATIONThe lead auditor’s independence declaration for the financial year ended 31 December 2018 has been received and can be found on page 32 of the annual report.

Signed in accordance with a resolution of directors.

On behalf of the directors

___________________________ ___________________________

Mr Francis Moore Mr Jim MilesDirector of Catholic Education Director of Catholic Education Commission of Victoria Limited Commission of Victoria Limited

DIRECTORS’ MEETINGSThe following table sets out the number of directors’ meetings (including meetings of committees of directors) held during the financial year and the number of meetings attended by each director (while they were a director or committee member). During the financial year, nine Board meetings and four meetings of the Audit and Risk Committee were held.

Board of Directors Audit and Risk Committee

Directors Eligible to attend

Attended Eligible to attend

Attended

Most Rev. Terry Curtin 9 8 – –

Ms Audrey Brown 9 8 – –

Mr Stephen Elder 9 8 4 2

Mr Francis Moore1 9 5 4 4

Dr Helga Neidhart RSC 9 4 – –

Ms Maria Kirkwood 9 8 – –

Very Rev. Peter Slater 9 8 – –

Mr Jim Miles4 – – – –

Mr Paul Desmond3 9 9 – –

Mr David Bristow2 – – 4 3

Mr John Hurren2 – – 4 4

1Mr Moore is the Chair of the Audit and Risk Committee.2Mr Bristow and Mr Hurren are external representatives.3Mr Desmond is the Chair of the CECV Review Body Committee.4Mr Miles was appointed Acting Executive Director in December 2018, after the final meeting held for the year.




The directors declare that:

a) in the directors’ opinion, there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and payable

b) in the directors’ opinion, the attached financial statements and notes thereto are in accordance with the requirements of the Australian Charities and Not-for-profits Commission Act 2012, including compliance with accounting standards and giving a true and fair view of the financial position and performance of the company.

Signed in accordance with a resolution of the directors made pursuant to subsection 60.15 of the Australian Charities and Not-for-profits Commission Regulation 2013.

On behalf of the directors

___________________________

Mr Francis Moore Director of Catholic Education Commission of Victoria Limited

MELBOURNE, 4 June 2019

AUDITOR’S INDEPENDENCE DECLARATION




Statement of financial position as at 31 December 2018

Note Financial year ended 31 December 2018

$

Financial year ended 31 December 2017

$

Current assetsCash and cash equivalents 6(a) 839,922 910,108 Receivables and other assets 7(a) 355,187 540,774 Prepayments 7(b) 1,222,780 621,580 Total current assets 2,417,889 2,072,462

Non-current assetsIntangible assets 8 33,287,568 37,022,941 Total non-current assets 33,287,568 37,022,941 Total assets 35,705,457 39,095,403

Current liabilitiesCreditors and accrued expenses 9 9,244,061 9,548,803 Total current liabilities 9,244,061 9,548,803

Total liabilities 9,244,061 9,548,803

Net assets 26,461,396 29,546,600

EquityICON Reserves 5 25,903,896 26,389,104 IT Projects capital reserve 557,500 557,500 Accumulated funds - 2,599,996

Total equity 26,461,396 29,546,600

Notes to the audited financial statements are included on pages 35 to 47.

Statement of profit or loss and other comprehensive income for the financial year ended 31 December 2018

Note Financial year ended 31 December 2018 $

Financial year ended 31 December 2017 $

Continuing operationsIncome 3 2,549,625,772 2,432,858,217

Recurrent grant distributions (2,517,771,774) (2,404,628,856)Targeted programs/areas distributions (23,216,594) (19,897,175)CECV operations (7,972,775) (8,083,588)Amortisation (ICON) (3,749,833) (2,069,945)Total expenses 4 (2,552,710,976) (2,434,679,564)

Deficit for the year (3,085,204) (1,821,347)Other comprehensive income - - Total comprehensive loss for the year (3,085,204) (1,821,347)





Statement of cash flows for the financial year ended 31 December 2018


$


$

Cash flows from operating activitiesReceipt of government grants 2,669,122,925 2,548,596,374 Receipt of school levies 115,423,894 108,535,468 Interest received 4,054,558 3,530,089 Other operating receipts 3,671,934 3,886,867 Distribution of government grants (2,543,708,368) (2,424,526,031)Payments to suppliers (248,620,669) (236,731,416)Net cash (used in)/provided by operating activities 6(b) (55,726) 3,291,351

Cash flows from investing activitiesCapital expenditure on Intangibles (WIP) 8 (14,460) (3,285,395)Net cash used in investing activities (14,460) (3,285,395)

Net (decrease)/increase in cash and cash equivalents (70,186) 5,956 Cash and cash equivalents at the beginning of the financial year 910,108 904,152

Cash and cash equivalents at the end of the financial year 6(a) 839,922 910,108


Statement of changes in equity for the financial year ended 31 December 2018


$


$

Accumulated fundsBalance at the beginning of the year 2,599,996 2,441,594 Total comprehensive (loss)/income for the year

(3,085,204) (1,821,347)

Transfer from/(to) ICON reserve 485,208 1,979,749 Balance at the end of the year - 2,599,996

ICON ReserveBalance at the beginning of the year 26,389,104 28,368,853 Transfer from Accumulated funds (485,208) (1,979,749)Balance at the end of the year 5 25,903,896 26,389,104

IT Capital projects ReserveBalance at the beginning of the year 557,500 557,500 Transfer from Accumulated funds - - Balance at the end of the year 557,500 557,500

Total Reserve at the end of the year 26,461,396 26,946,604

Total 26,461,396 29,546,600





1. GENERAL INFORMATIONThe Catholic Education Commission of Victoria Limited (‘CECV Ltd’ or ‘the company’) is a company limited by guarantee and is registered with the ACNC as a charity. The members of the company are the Archbishop of Melbourne and the bishops of the dioceses of Ballarat, Sandhurst and Sale. The directors of the company are as below:

Most Rev. Terence Curtin STD DD VG EVMr Francis MooreMr Stephen Elder OAM (resigned 20 December 2018)Ms Maria KirkwoodDr Helga Neidhart RSCMs Audrey BrownVery Rev. Peter Slater PP VGMr Paul DesmondMr Jim Miles, Company Secretary

There is currently no key management personnel remunerated directly by the CECV, as the company has a Service Level Agreement with Catholic Education Melbourne to provide administration and back office services.

The company’s registered office and its principal place of business is as follows:

James Goold House228 Victoria ParadeEAST MELBOURNE VIC 3002

Postal address:PO Box 3EAST MELBOURNE 8002

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2018

Note Contents1. General information2. Significant accounting policies3. Income4. Expenses5. ICON reserves6. Notes to the cash flow statement7. Receivables and other assets8. Intangible assets9. Creditors and accrued expenses10. Distributions payable11. Commitments and contingencies12. Financial instruments13. Related party disclosures14. Economic dependency15. Subsequent events




financial asset and of allocating interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset or, where appropriate, a shorter period.

d) Financial liabilitiesCreditors and accrued expenses (including distributions payable) are classified as ‘other financial liabilities’ and are measured initially at fair value, net of transaction costs. They are subsequently measured at amortised cost using the effective interest method, with interest expense recognised on an effective yield basis.

The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of the financial liability or, where appropriate, a shorter period.

e) Income taxesThe company is exempt from paying income taxes. The company is not subjected to capital gains tax or payroll tax, but is liable for other taxes in accordance with Australian and state government legislation.

f) IncomeIncome is measured at the fair value of the consideration received or receivable.

Cost recoveries received from Catholic Education Melbourne are recognised as income as the transfers are received.

Income from school levies is recognised as the amounts become receivable.

Grants receivable from the state or Australian government, or other government body, are recognised as income when the company gains control of the underlying assets. Non-reciprocal grants are recognised as income when the grant is received or receivable.

2. SIGNIFICANT ACCOUNTING POLICIES

Statement of complianceThe financial report is a general purpose financial report which has been prepared in accordance with reporting requirements of the Australian Charities and Not-for-profits Commission Act 2012, Accounting Standards and Interpretations, and complies with other requirements of the law. Accounting Standards include Australian Equivalents to International Financial Reporting Standards (AIFRS) as relevant for not-for-profits. For the purposes of preparing the financial statements, the company is a not-for-profit entity.

Basis of preparationThe financial report has been prepared on the basis of historical cost. Cost is based on the fair values of the consideration given in exchange for assets. All amounts are presented in Australian dollars, unless otherwise noted.

The following significant accounting policies have been adopted in the preparation and presentation of the financial report:

a) Cash and cash equivalentsCash comprises cash on hand and demand deposits. Cash equivalents are short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

b) Employee benefitsThere are no employees directly engaged by the Catholic Education Commission of Victoria Limited. All relevant services are provided via a Service Level Agreement (SLA) with Catholic Education Melbourne.

c) Financial assetsReceivables are recorded at amortised cost using the effective interest method, less impairment. The effective interest method is a method of calculating the amortised cost of a




i) Intangible assetsIntangible assets with finite lives that are acquired separately are carried at cost less accumulated amortisation and accumulated impairment losses. Amortisation is recognised on a straight-line basis over their estimated useful lives. The estimated useful life and amortisation method are reviewed at the end of each reporting period, with the effect of any changes in estimate being accounted for on a prospective basis.

At the end of each reporting period, the company reviews the carrying amounts of its intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Intangible assets not yet available for use are tested for impairment at least annually, and whenever there is an indication that the asset may be impaired.

Recoverable amount is the higher of fair value less costs of disposal and value in use. In respect of not-for-profit entities, where the future economic benefits of an asset are not primarily dependent on the asset’s ability to generate net cash inflows and value in use cannot be determined. Recoverable amount is therefore determined by the fair value less costs of disposal, which is determined by the current depreciated replacement cost being the price that would be received for the asset based on the cost to a market participant buyer to acquire or construct a substitute asset of comparable utility, adjusted for obsolescence.

If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in surplus or deficit.

When an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in surplus or deficit.

Interest income is accrued on a time basis, by reference to the principal outstanding and at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset’s net carrying amount.

g) Goods and services tax (GST)Revenues, expenses, assets and liabilities are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Taxation Office (ATO). In these circumstances, the GST is recognised as part of the cost of acquisition of the asset or part of an item of expense.

Receivables and payables in the balance sheet are shown inclusive of GST.

Cash flows are included in the cash flow statement on a gross basis. The GST component of cash flows arising from investing and financing activities which is recoverable from, or payable to, the ATO is classified as operating cash flows.

h) ProvisionsProvisions are recognised when the company has a present obligation (legal or constructive) as a result of a past event, it is probable that the company will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at reporting date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows.

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, the receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.




The Catholic Education Commission of Victoria Limited has elected to classify all investments as financial assets at amortised cost using the effective interest method, less impairment.

The adoption of AASB 9 did not result in any change in the carrying value of investments, as these had previously been recognised at amortised cost.

l) New and revised Australian Accounting Standards in issue but not yet effectiveAt the date of authorisation of the financial statements, the Catholic Education Commission of Victoria Limited has not applied the following new and revised Australian Accounting Standards, Interpretations and amendments that have been issued but are not yet effective:

Standard/Interpretation Effective for annual reporting periods

beginning on or after

Expected to be initially applied in the financial year ending

AASB 1058 Income of Not-for-Profit Entities 1 January 2019 31 December 2019

AASB 15 Revenue from Contracts with Customers 1 January 2019 31 December 2019

AASB 2016-8 Amendments to Australian Accounting Standards – Australian Implementation Guidance for Not-for-Profit Entities

1 January 2019 31 December 2019

AASB 2018-8 Amendments to Australian Accounting Standards – Right-of-Use Assets of Not-for-Profit Entities


AASB 16 Leases 1 January 2019 31 December 2019

AASB 2018-1 Amendments to Australian Accounting Standards – Annual Improvements 2015–2017 Cycle


j) Critical accounting estimates and judgmentsIn the application of the company’s accounting policies, management is required to make judgments, estimates and assumptions about carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstance, the results of which form the basis of making the judgments. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

k) Adoption of new and revised Accounting StandardsAmendments to Accounting Standards that are mandatorily effective for the current reporting periodIn the current year, the Catholic Education Commission of Victoria Limited has adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (the AASB) that are relevant to their operations and effective for an accounting period that begins on or after 1 January 2018.

New and revised Standards and amendments thereof and Interpretations effective for the current year that are relevant to the Catholic Education Commission of Victoria Limited include:

AASB 9 Financial Instruments and related amending StandardsAASB 9 includes requirements for the classification and measurement of financial assets. These requirements improve and simplify the approach for the classification and measurement of financial assets compared with the requirements of AASB 139 Financial Instruments: Recognition and Measurement. AASB 9 also contains new requirements for impairment, which have no material impact on the entity.




AASB 1058 shifts the focus from the current reciprocal/non-reciprocal basis of accounting for revenue to a basis of assessment that considers the enforceability of a contract and the specificity of performance obligations.

The core principle of the new income recognition requirements is that where there is an ‘enforceable’ contract with a customer with ‘sufficiently specific’ performance obligations, income would be recognised when (or as) the performance obligations are satisfied under AASB 15. Should the transaction fall outside the scope of AASB 15, then income would be recognised immediately under AASB 1058.

m) Retained earnings policyOn 24 April 2007, it was agreed the company would distribute its excess accumulated funds to diocesan Catholic education offices. The methodology was that annual distributions to diocesan Catholic education offices from excess accumulated funds be based on the amount that exceeds the minimum level of accumulated funds (retained earnings) being 0.1 percent (%) of its total income. The variation to this policy for 2013 was due to the receipt of reward payments from the Australian and state governments which had been largely committed to the Integrated Catholic Online Network (ICON) as set out in Note 5 to the accounts. The ICON reserve is $25.9m as at 31 December 2018. The reserve has been created as a transfer from accumulated funds (between equity accounts, as these reward funds received have already been recognised as income through the statement of comprehensive income). This is as per CECV Board approval to ensure that these funds are clearly identified and committed for this purpose. For the year ended 31 December 2018, no funds (2017: $300,000) were distributed to diocesan Catholic education offices under this policy from current year receipts.

n) Net current asset deficiencyThe company had a deficiency in net current assets of $6,826,172 (2017: deficit $7,476,341). The company continues to undertake the ICON project which is funded by the levies charged to the schools. The deficiency will be addressed through the retention of funds from future ICON levies. The directors are satisfied that the CECV is able to meet its liabilities through the normal cyclical nature of grant funding received.

AASB 16 LeasesAASB 16 was issued in June 2016 and will supersede AASB 117 Leases and its associated interpretative guidance.

The Standard provides a comprehensive model for the identification of lease arrangements and their treatment in the financial statements of both lessees and lessors. The identification of leases, distinguishing between leases and service contracts, are determined on the basis of whether there is an identified asset controlled by the customer.

Significant changes to lessee accounting are introduced, with the distinction between operating and finance leases removed and assets and liabilities recognised in respect of all leases (subject to limited exceptions for short-term leases and leases of low-value assets). The Standard maintains substantially the lessor accounting approach under the predecessor AASB 117.

Management is in the process of completing its detailed assessment on the impact of the initial adoption of AASB 16 on the financial statements of the Catholic Education Commission of Victoria Limited.

NFP entities have a choice of applying the new Standard retrospectively or to use a modified transition approach (with no restatement of comparatives). The Catholic Education Commission of Victoria Limited anticipates adopting the modified transitional approach, where transactional adjustments are to be recognised in retained earnings at the date of implementation of the Standard without adjustment to comparatives.

AASB 1058 Income of Not-for-Profit EntitiesAASB 15 was issued in December 2014 to replace AASB 118 Revenue. AASB 1058, which contains new income recognition requirements for not-for-profit entities, AASB 2016-8 NFP-specific guidance in AASB 15 and AASB 2016-7 deferral of AASB 15, was issued in December 2016 and replaces AASB 1004 Contributions.




4. EXPENSES(a) Expenses by nature

Year ended 31 December 2018

$


$Distribution to schools: Catholic Education Melbourne 1,678,099,385 1,622,020,072 Catholic Education Office Ballarat 240,261,646 225,867,525 Catholic Education Office Sandhurst 242,013,782 226,675,093 Catholic Education Office Sale 235,103,872 218,391,150

2,395,478,685 2,292,953,840 Distribution to diocesan education offices:Catholic Education Melbourne 37,860,538 32,287,624 Catholic Education Office Ballarat 9,159,224 7,431,817 Catholic Education Office Sandhurst 9,257,476 7,600,142 Catholic Education Office Sale 11,022,344 9,134,875

67,299,582 56,454,458 Expenses incurred by CECV in relation to schools:Amounts charged by CEM under the SLA 14,600,237 13,229,429 Computer costs 21,328,593 21,793,587 Copyright expenses 5,341,754 5,184,791 Distribution to non-school organisations 1,456,441 2,084,532 Long service leave contribution to Catholic Education 20,745,636 19,505,326 Consultancy fees 12,206,802 11,419,545 Write-off of intangible asset - 725,830 Other 2,530,638 1,174,693

78,210,101 75,117,733 Amortisation (ICON) 3,749,833 2,069,945 CECV operations expensesAuditors’ remuneration* 68,300 66,600 Amounts charged by CEM under the SLA 4,673,415 4,458,724 Computer costs 97,399 283,583 Consultancy fees 199,195 121,224 Other 2,934,466 3,153,457

7,972,775 8,083,588

Total expenses 2,552,710,976 2,434,679,564

* the auditor of the CECV is Deloitte Touche Tohmatsu

3. INCOME


$


$

Grant income – Australian Government Recurrent 1,926,427,732 1,835,651,649 Grant income – Australian Government Targeted 9,855,534 7,509,339

1,936,283,266 1,843,160,988

Grant income – State Government Recurrent 476,911,214 461,398,064 Grant income – State Government Targeted 13,280,906 12,346,743

490,192,120 473,744,807

Total Government Grant Income 2,426,475,386 2,316,905,795

School levies 115,423,894 108,535,468 Interest income from bank deposits 4,054,558 3,530,089 Other income and cost recoveries 3,671,934 3,886,865

2,549,625,772 2,432,858,217




5. ICON RESERVESThe purpose of the Integrated Catholic Online Network (ICON) is set out in the executive mandate of the project which is a commitment of $150m over eight years from various funding sources. The ICON initiative is a collaborative program of the Catholic Education Commission of Victoria Limited (CECV) involving Victorian Catholic schools and the four Victorian Catholic education offices in the Archdiocese of Melbourne and the dioceses of Ballarat, Sale and Sandhurst. ICON aims to support systemic improvement of all Victorian Catholic schools.

ICON will provide enterprise technologies, processes and services for all schools’ learning, collaboration, administration, planning and reporting, and portal services that will evolve and grow over time. ICON will be a single, flexible, centrally managed platform, provided as a service to all schools and Catholic education offices, to simplify and raise the bar with significant improvement of technology and related services.

It will support collaboration and the connectedness of all Catholic education staff, parents and students, and provide a common platform on which best practice can be shared. ICON will be built as a consistent collection of evolving products to meet the current and emerging software needs of schools, using best-of-breed providers.

ICON will also be built as a platform on which additional systems can be connected. Driven by school practitioners and experts, ICON will be extended to provide further learning opportunities using emerging technologies and more sophisticated school administration tools.

ICON is at its core, a transformation-enabling program. ICON will support school leaders, teachers and staff to transform business processes and implement new operating paradigms to enhance student learning and make school administrative processes more efficient.

ICON will provide an integrated platform comprising five functional areas: Portals, ePlan, eLearn, eAdmin, and Technology: Integration and Identity. Effective systems (incorporating

Direct distributions to schools from grant income in 2018 was $2,395,478,685 (2017: $2,292,953,840), which equates to 98.7% of government grant income being distributed (2017: 99.0%). Furthermore, direct services and contributions that are expended by the CECV on behalf of schools in 2018 totalled $14,118,923 (2017: $14,909,248) or an additional 0.6% of government grant income (2017: 0.6%). Overall in 2018, 99.3% (2017: 99.6%) of government grant income was directly distributed to schools, or expended on their behalf by the CECV.

(b) Distributions to schools disclosed by government grant sourcesYear ended

31 December 2018 $


$

Australian Government 1,956,275,991 1,869,302,531 State Government 439,202,694 423,651,309

2,395,478,685 2,292,953,840

Recurrent grants 2,385,951,889 2,283,222,438 Targeted programs 9,526,796 9,731,402

2,395,478,685 2,292,953,840

(c) Distributions to diocesan education offices by sourceYear ended

31 December 2018 $


$Australian Government 61,364,801 50,519,568 State Government 5,934,781 5,634,890 Other [refer to Note 2(m)] - 300,000

67,299,582 56,454,458 Recurrent grants 61,364,801 50,519,568 Targeted programs 5,934,781 5,634,890 Other [refer to Note 2(m)] - 300,000

67,299,582 56,454,458




b) Reconciliation of the surplus for the year to net cash flows from operating activities


$


$

Deficit for the year (3,085,204) (1,821,347)Amortisation 3,749,833 2,069,945 Write-off of intangible asset - 725,830

Changes in assets and liabilitiesDecrease in receivables and other assets 185,587 693,772 Increase in prepayments (601,200) (114,326)(Decrease)/increase in creditors and accrued expenses (304,742) 1,737,477

Net cash from operations (55,726) 3,291,351

c) Non-cash investing and financing activitiesCECV Ltd has not organised for any financing facilities to be available to the company.

7. RECEIVABLES AND OTHER ASSETS

(a) Receivables


$


$

Receivables 22,726 137,395 GST receivable 332,461 403,379

355,187 540,774

Receivables are normally settled on 30-day terms.

new processes) and training (supporting new skills) will be used for each functional area, ensuring Victorian Catholic schools can provide more comprehensive and sophisticated services to support teaching and learning and to make school administration more streamlined.

The ICON reserve is $25.9m as at 31 December 2018. The reserve has been created as a transfer from accumulated funds (between equity accounts, as these reward funds received have already been recognised as income through the statement of comprehensive income). This is as per CECV Board approval to ensure that these funds are clearly identified and committed for this purpose.

6. NOTES TO THE CASH FLOW STATEMENT

a) Reconciliation of cash and cash equivalentsFor the purposes of the cash flow statement, cash and cash equivalents includes cash on hand and in banks, and investments in money market instruments. Cash and cash equivalents at the end of the financial year ended 31 December 2018 as shown in the cash flow statement is reconciled to the related items in the balance sheet as follows:


$


$

Cash and cash equivalents 839,922 910,108




Cost Plant & Equipment

– ICON Computers

WIP ICON System

ICON System

Total

$ $ $ $

Balance as at 1 January 2017 - 36,494,217 39,104 36,533,321 Additions - 29,470 841,456 870,926 Transfers - 2,414,469 34,842,138 37,256,607 Amortisation - (34,842,138) (2,069,945) (36,912,083)Disposal/write-off - (725,830) - (725,830)Balance as at 31 December 2017 - 3,370,188 33,652,753 37,022,941

Balance as at 1 January 2018 - 3,370,188 33,652,753 37,022,941 Additions 14,460 - - 14,460 Transfers - (2,814,748) 2,814,748 - Amortisation (3,213) - (3,746,620) (3,749,833)Disposal/write-off - - - - Balance as at 31 December 2018 11,247 555,440 32,720,881 33,287,568

The following useful lives are used in the calculation of amortisation:

ICON system: 10 yearsICON computers: 3 years.

8.1 Significant intangible assetsThe company holds capital expenditure in relation to the Integrated Catholic Online Network (ICON) project. Amortisation of intangible assets commences when the assets have been fully commissioned for use.

(b) Prepayments


$


$

Prepayments 1,222,780 621,580

8. INTANGIBLE ASSETS

Software and intangible assetsThe CECV Board approved and adopted a ‘Software and Intangibles’ accounting policy which applies from 1 September 2012 to software held by the Catholic Education Commission of Victoria Limited (CECV). When accounting for software, the CECV is required to follow the relevant Australian Equivalents to International Financial Reporting Standards (AIFRS). Consequently, the policy is to be read in conjunction with the following:

• AASB 138 Intangible Assets• AASB 136 Impairment of Assets.

The accounting policies are to be read in conjunction with the applicable AIFRS. The policies provide additional specific accounting principles and guidance over and above those contained in the AIFRS, both of which are to be applied by the CECV which prepares general purpose financial reports.

AASB 138 paragraph 8 defines an intangible asset as ‘an identifiable non-monetary asset without physical substance’. An intangible asset for the CECV will mainly comprise of computer software. The software may be developed in-house by the CECV or purchased ‘off-the-shelf’.

Most of the CECV’s proposed software development is large application software, which should be classified as an intangible asset rather than property, plant and equipment as application software is generally not integral to the operation of a computer.




Expense Commitments

TechOne Contract

Synergetic Contract

Infosys Contract

Total

$ $ $ $

Less than 12 months 1,085,588 3,776,193 3,656,100 8,517,881

Between 1-5 years 896,288 4,350,000 831,999 6,078,287

More than 5 years - - - -

1,981,876 8,126,193 4,488,099 14,596,168

12. FINANCIAL INSTRUMENTS

a) Capital and financial risk management objectives, processes and policiesAs a company limited by guarantee, CECV Ltd does not have any true ‘capital’ to manage. The company does not have any borrowings. Its principal activity is the receipt of grant monies which are allocated and distributed to schools and the diocesan education offices. Capital growth is not an objective of the company as it is a not-for-profit entity and grant monies do not remain in the control of the company for any extended period of time. Security of the funds received is important to CECV Ltd, as these monies have to be paid out. Accordingly, grant monies are generally held by CECV Ltd in the form of cash and cash equivalents with the company’s banker. Grant monies received by CECV Ltd are disclosed separately in the income statement.

As the majority of its financial instruments are in the form of cash and cash equivalents, the company is exposed mainly to interest rate risk as monies are held in a bank account returning a variable rate of interest. Other than its cash and cash equivalents, no financial assets or financial liabilities are interest-bearing. During the current reporting period, the weighted average interest rate earned on cash and cash equivalents was 2.14% per annum (2017: 2.15%). Because monies are not held for any significant period of time, and as CECV Ltd does not have as one of its objectives capital growth, the company does not actively manage its interest rate risk exposure and, accordingly, funds are subject to fluctuations

9. CREDITORS AND ACCRUED EXPENSES


$


$

Trade creditors 1,149,123 1,477,569 Amounts owed to other related parties: Catholic Education Melbourne 5,202,674 4,599,949 Accrued expenses 2,892,264 3,471,285

9,244,061 9,548,803

Amounts are payable to various trade creditors of the company. All transactions with these suppliers have been conducted at arm’s length, and are subject to the usual credit and repayment terms. Trade creditors are normally settled on 30-day terms.

Accrued expenses and other non-trade payables are subject to the usual credit and repayment terms. All transactions were conducted at arm’s length and have usual terms of 30 days.

For terms and conditions relating to amounts owed to other related parties, refer to Note 13.

10. DISTRIBUTIONS PAYABLEThere were no undistributed grant funds at reporting date (2017: Nil).

11. COMMITMENTS AND CONTINGENCIESThere were no lease commitments or other known legal claims or guarantees in place at reporting date.

In 2018, there were three contracted commitments in relation to the ICON project:

• TechOne contract was entered into on 30 September 2013• Synergetic contract was entered into on 23 September 2013• Infosys contract was entered into on 28 April 2014.





$


$

Loans and receivables at amortised cost 355,187 540,774 Financial liabilities at amortised cost 9,244,061 9,548,803

c) Fair values of financial assets and financial liabilitiesOther than cash and cash equivalents, CECV Ltd’s financial assets and financial liabilities consist of receivables, creditors and accrued expenses. The directors consider that the carrying amounts of these financial assets and financial liabilities, which are recorded at amortised cost in the financial statements, approximate their fair values.

d) Interest rate sensitivityThe directors do not believe that any sensitivity analysis is representative of the interest rate risk inherent in the cash and cash equivalents balance, as the company’s cash balances can fluctuate significantly during the year. In addition, interest income (2018: $4,054,558 (2017: $3,530,089)) is earned during the reporting period, as monies received are not retained by the company for any significant period of time.

13. RELATED PARTY DISCLOSURES

a) Key management personnelThere is currently no key management personnel remunerated directly by the CECV, as the company has a Service Level Agreement with Catholic Education Melbourne to provide administration and back office services.

b) Other related party transactionsTransactions and balances with key management personnel CECV LtdA number of the directors hold positions in a diocese and schools that result in them having control and significant influence over the financial and operating policies of these

in the variable interest rate. A substantial part of grant monies is received in three tranches during the calendar year and accordingly the balance in the bank account will fluctuate as grants are received and distributed. Further details about the company’s sensitivity to interest rates are described below.

CECV Ltd does not have a significant credit risk exposure. The company deals only with creditworthy entities and its receivables at reporting date are with related entities. Receivables are due to the company from parties related to CECV Ltd by virtue of their relationship with the Catholic Church.

CECV Ltd does not have any significant exposure to liquidity risk as its principal activity is the receipt and redistribution of grant monies. It is not committed to distribute funds that it has not received. The company is entitled to utilise a percentage of recurrent grant monies received for its operating expenses.

There has been no change to the company’s exposure to market risks and other risks, or the manner in which it manages and measures the risks.

b) Significant accounting policies and categories of financial instrumentsDetails of the significant accounting policies and methods adopted, including the criteria for recognition, the basis of measurement and the basis on which income and expenses are recognised in respect of each class of financial asset and financial liability are disclosed in Note 2 to the financial statements.

CECV Ltd classifies its financial assets and financial liabilities (other than provisions) into two categories: loans and receivables at amortised cost and financial liabilities at amortised cost. The totals of these categories are disclosed below:




Transactions and balances with other related partiesCECV Ltd contributes monies to the Catholic Education Long Service Leave Scheme on behalf of participating employers. During the financial year, the company contributed a total of $20,745,636 (2017: $19,505,326) into the Scheme on behalf of primary schools.

The amount owed to the Scheme as at reporting date is Nil (2017: Nil).

Grant distributions made to Ballarat, Sandhurst and Sale Catholic Education offices are disclosed in Note 4 of the financial report.

Financial year ended 31 December 2018The company also has the following related party transactions as payments:

Name of related party Outstanding amount $

Transactions $

Australian Catholic Bishops Conference (ACBC)1 - 815,680 Catholic Church Insurance2 - 613,953 Fraynework Multimedia3 - 52,535 National Catholic Education Commission (NCEC)4 - 56,291 Roman Catholic Trusts’ Corporation (RCTC)5 - 16,550

1The transactions relate to the levy collected by the CECV that is passed through the ACBC to the NCEC.2The transactions relate to SchoolCare ($592,318), Directors and Officers Liability ($9,687), Professional Indemnity ($3,570), Public Liability ($1,640), Statutory Liability ($2,811), Fidelity Guarantee ($3,927).3The transactions relate to costs incurred for Video Animation productions.4The majority of these transactions with the NCEC relate to legal fees.5The majority of these transactions with the RCTC (Archdiocese of Melbourne) relate to the School Portion NATSICC Levy.

entities. These schools receive allocations of grant monies from CECV Ltd that are no more favourable than those received by other systemic Victorian Catholic schools.

Transactions with (apart from the amounts disclosed under Note 13(a)), and amounts receivable from or payable to, key management personnel (including their related parties) are on terms and conditions no more favourable than those it is reasonable to expect the company would have accepted if dealing at arm’s length with an unrelated person.

Transactions and balances with Catholic Education MelbourneCatholic Education Melbourne charges CECV Ltd one annual management fee through a Service Level Agreement, to be paid in two instalments each year, for all services performed on its behalf.

The annual fee will be negotiated each year and approved as part of the CECV Ltd and Catholic Education Melbourne budget processes. The Service Level Agreement (SLA) is reviewed annually by a Board-appointed non-Catholic Education Melbourne Executive Director and then reported to the CECV Audit and Risk Committee which then reviews and advises the CECV for its approval.

The total amount of monies paid to Catholic Education Melbourne during the current year was $20,381,190 (2017: $18,695,559). Included in this amount is $19,273,652 for amounts charged by CEM under the SLA and $1,107,538 relating to hardware rental charges. Related party transactions also include levies collected and expenses paid on behalf of CECV Ltd by Catholic Education Melbourne.

The amount owed by CECV Ltd to Catholic Education Melbourne as at reporting date is $5,202,674 (2017: payable $4,599,949).

Grant distributions made to Catholic Education Melbourne in 2018 and disclosed in Note 4 of the financial report total $40,580,538 (2017: $32,287,624).




14. ECONOMIC DEPENDENCYThe company depends on Australian and Victorian state government funding in the form of recurrent grants for its continuing operation. Grants are only committed to schools when the funding has been approved by the Australian and Victorian state governments.

15. SUBSEQUENT EVENTSThere has not been any matter or circumstance occurring subsequent to the end of the financial year that has significantly affected, or may significantly affect, the operations of the company, the results of those operations or the state of affairs of the company in future financial years.

The company expects to maintain the present status and level of operations.

Transactions with and amounts receivable from or payable to related parties listed above (including their related parties) are within a normal employee, customer or supplier relationship on terms and conditions no more favourable than those it is reasonable to expect the company would have accepted if dealing at arm’s length with an unrelated person.

Financial year ended 31 December 2017The company also has the following related party transactions as payments:

Name of related party Outstanding amount

$

Transactions $

Australian Catholic Bishops Conference (ACBC)1 - 777,172

Catholic Church Insurance2 - 627,880

Fraynework Multimedia3 - 30,030

National Catholic Education Commission (NCEC)4 - 35,496

Roman Catholic Trusts’ Corporation (RCTC)5 - 33,4501The transactions relate to the levy collected by the CECV that is passed through the ACBC to the NCEC.2The transactions relate to SchoolCare ($580,869), Directors and Officers Liability ($9,234), Professional Indemnity ($3,400), Public Liability ($1,640), Statutory Liability ($2,811), Fidelity Guarantee ($3,927) and OHS reviews ($26,000).3The transactions relate to costs incurred for Video Animation productions.4The majority of these transactions with the NCEC relate to legal fees.5The majority of these transactions with the RCTC (Archdiocese of Melbourne) relate to the School Portion NATSICC Levy.

Transactions with and amounts receivable from or payable to related parties listed above (including their related parties) are within a normal employee, customer or supplier relationship on terms and conditions no more favourable than those it is reasonable to expect the company would have accepted if dealing at arm’s length with an unrelated person.




INDEPENDENT AUDITOR’S REPORT


APPENDIX: SCHOOL AND STUDENT STATISTICS

EnrolmentsIn 2018 there were 394 primary, 95 secondary and five special schools providing Catholic education to students across Victoria. A breakdown of enrolments is shown in Table 2. A breakdown of full-time equivalent (FTE) enrolment percentages by diocese is shown in Figure 6.

Table 2: Enrolments (FTE) in Victorian Catholic schools (DET February Census 2018)Total

Regular schoolsPrimary classes 112,327.8 Secondary classes 96,102.6 Total regular 208,430.4 Special schoolsPrimary classes 20.0Secondary classes 547.0Total special 567.0All schoolsPrimary classes 112,347.8 Secondary classes 96,649.6 Total all schools 208,997.4

Source: Catholic Information Service (November 2019)

Figure 6: FTE enrolment percentage breakdown by diocese for Victorian Catholic schools (DET February Census 2018)

A breakdown of the composition of Year 7 is shown in Figure 7. Catholic primary schools accounted for 67% of Year 7 enrolments in Catholic schools.

Figure 7: Year 7 enrolment breakdown by student sector origin (DET February Census 2018)


07 APPENDICES

Archdiocese of Melbourne73.26%

Diocese of Ballarat8.77%

Diocese of Sandhurst8.96%

Diocese of Sale9.00%

Non-Catholic schools33%

Catholic schools67%


07 APPENDICES


Staff in Catholic schoolsCatholic schools in Victoria were supported by 15,471.8 FTE teachers and 6,087.0 non-teaching staff, as depicted in Table 3.

Table 3: FTE staff in Victorian Catholic schools (August 2018)

Female Male Total Change from 2017

Teaching staffRegular schoolsPrimary 6,132.5 1,218.1 7,350.6 132.0Secondary 4,871.7 3,164.8 8,036.5 86.7Total regular 11,004.2 4,382.9 15,387.1 218.7Special schools 59.3 25.4 84.7 0.2Total special 59.3 25.4 84.7 0.2Total all schools 11,063.5 4,408.3 15,471.8 218.9Non-teaching staffRegular schoolsPrimary 2,124.9 167.8 2,292.7 131.4Secondary 2,554.4 1,164.8 3,719.2 91.6Total regular 4,679.3 1,332.6 6,011.9 223Special schools 49.6 25.5 75.1 5.3Total special 49.6 25.5 75.1 5.3Total all schools 4,728.9 1,358.1 6,087.0 228.3

Source: DET August Census 2018

Sector share of enrolments in VictoriaAcross all sectors in Victoria, Catholic schools accounted for 21.1% of primary and 23.8% of secondary enrolments, as represented in Figures 8 and 9.

Figure 8: Sector share of FTE enrolments in Victorian Primary schools (DET February Census 2018)

Figure 9: Sector share of FTE enrolments in Victorian Secondary schools (DET February Census 2018)

Independent schools11%

Catholic schools21%

Government schools68%

Independent schools20%

Catholic schools23%

Government schools57%


AASB Australian Accounting Standards Board

ACARA Australian Curriculum, Assessment and Reporting Authority

ACBC Australian Catholic Bishops Conference

ACNC Australian Charities and Not-for-profits Commission

AIFRS Australian Equivalents to International Financial Reporting Standards

ARC Audit and Risk Committee

ATO Australian Taxation Office

CECV Catholic Education Commission of Victoria Ltd

CEM Catholic Education Melbourne

CEO Catholic Education Office

CEVN Catholic Education Victoria Network

DET Department of Education and Training

ECSI Enhancing Catholic School Identity

EMD Emergency Management Division (of the DET)

EMPs Emergency Management Plans

EMV Emergency Management Victoria

EMWP Emergency Management Working Party

ER Employee Relations

ERC Employment Relations Committee

ESL English as a Second Language

FSAs Funding and Service Agreements

FTE Full-time equivalent

GAC(P) Grants Allocation Committee (Primary)

GAC(S) Grants Allocation Committee (Secondary)

GAC(TP) Grants Allocation Committee (Targeted Programs)

GST Goods and services tax

HCC Health Care Card

ICON Integrated Catholic Online Network

IEU Independent Education Union Victoria Tasmania

KU Leuven Katholieke Universiteit (Catholic University) of Leuven

LPUC Lay Principals Under Contract

MoU Memorandum of Understanding

NAPLAN National Assessment Program – Literacy and Numeracy

NATSICC National Aboriginal and Torres Strait Islander Catholic Council

NCEC National Catholic Education Commission

NFP Not-for-profit

NSRB National School Resourcing Board

OHS Occupational health and safety

PAVCSS Principals Association of Victorian Catholic Secondary Schools

PIT Personal income tax

ABBREVIATIONS08



RBC Review Body Committee

RCTC Roman Catholic Trusts Corporation

RE Religious Education

S&CB Salary and Conditions Board

SAL Student Activity Locator

SES Socio-economic Status

SLA Service Level Agreement

SRS Schooling Resource Standard

SWD Students with Disabilities

VACPSP V ictorian Association of Catholic Primary School Principals Inc

VCAL Victorian Certificate of Applied Learning

VCE V ictorian Certificate of Education

VCEMEA Victorian Catholic Education Multi-Enterprise Agreement

VET Vocational Education and Training

VRQA Victorian Registration and Qualifications Authority


ABBREVIATIONS08

ACN 119 459 853www.cecv.catholic.edu.au

ACN 119 459 853 - CECV - Home

Documents

Transcript of ACN 119 459 853 - CECV - Home