The Unity College PPP Initiative Programme Proposal Presentation to Council 10 th January 2007

1. The Unity College PPP Initiative Programme Proposal Presentation to Council 10th January 2007

2. 1. The Background 2. Conceptual Framework 3. Programme Details 4. Next Steps

3. Unity Schools – Background • The Federal Ministry of Education is the proprietor of 102 Unity Colleges spread across the country • The Unity Colleges were set up to promote the laudable objectives of educating young Nigerians from all over the country in an atmosphere that would: • provide total education • Promote mutual understanding and tolerance amongst people from varying ethnic, religious and cultural backgrounds • entrench the values of patriotism and national unity • Promote the pursuit of excellence in achievement and moral virtues • The first set of 11 Unity Schools were established between 1966 and 1973, as an addition to Kings College and Queens College, which were already under Federal Government proprietorship

4. 1. The Background 2. Conceptual Framework 3. Programme Details 4. Next Steps

5. Conceptual Framework for PPP • The idea of Public-Private Partnership in the Education sector is not a new one. It has been used extensively and successfully in other countries, as a means of bringing together various stakeholders in the Education system to deliver innovative solutions to the problems of: • failing schools, • under-achievement, and • financial difficulty. • Charter Schools in the United States grew out of the dissatisfaction of parent and teacher groups with public schools and the willingness of the Federal and State authorities to allow innovation in education delivery, in the face of failing public schools. • The Academies programme of the UK Department of Education and Skills brings private Sponsors and Government together in a partnership to challenge the culture of under-attainment and to deliver real improvements in standards, especially of secondary education.

6. Conceptual Framework for PPP • These PPP arrangements provide a powerful combination of the following elements to deliver significant innovations in school management and sustainable improvements in teaching and learning, for public good: • A shared focus by all stakeholders on a clear and specific vision and mission • Public investment in education, provided under clear, specific and measurable indices • Private funding to support public investment and ensure sustainability of operation • Independent operation within a strong governance framework • Strict accountability for academic and financial performance to: • The schools’ internal governing body • The Government regulator • A collegial culture in which parents, alumni and the local community share involvement and are real partners in the delivery of education

7. UNITY SHOOLS TRUST EDUCATION TRUST FUND FEDERAL INSPECTION SERVICE SCHOOLS ALUMNI OTHER STAKE- HOLDER GROUPS PARENTS & TEACHERS SCHOOL MGT ORG PPP Model

8. Government’s Role • Government’s role will change from the management of education, to that of: • Enabler and facilitator of the system • Standard-setter through law, regulations and guidelines regarding policies, minimum standards, etc • Primary funding provider • Regulator and Inspector to ensure maintenance of minimum standards • Asset owner of land and physical infrastructure

9. Private Stakeholders’ Role • Operator and manager of schools • Mobiliser of non-government funding to augment resources provided by Federal Government • Employer of School management and staff • Responsible for achievement of standards and goals • Typical Private Stakeholder Groups will include: • Parent Teacher Associations • School Alumni Groups • School Management organisations • Educational NGOs and charities • Local community groups

10. Operating Standards • The Trust will codify a comprehensive operating system - General Guidelines - for the Unity Schools, using international best practices in standards and assessment • The General Guidelines will cover all aspects of the organisation and operation of the schools • The FIS will be strengthened to provide oversight according to international best practices • Local and International experts will be used to develop the capacity of FIS and assure the quality of its services: • Set-up consultancy services to be provided by experienced local experts in conjunction with international specialists • Retained management consultants for an initial term of three years for implementation, training and extensive capacity building • Implementation of an Independent Inspector accreditation system

11. General Guidelines • The General Guidelines will cover: • Core Ideology, vision, mission and goals • Educational experience systems: • Learning goals, standards, practices and procedures, including compliance with National Curriculum • Spiritual, moral, social and cultural development systems • Quality of teaching • Care and relationship systems: • Care, welfare, health and safety • Parental and Community relationships • Quality of boarding systems • Physical and infrastructural resource requirements and standards • Governance, leadership and management systems • School governance structure • Ethical, legal and regulatory compliance systems • Human resource management system • Financial management and reporting system • Assessment, inspection and reporting

12. Selection of Operators • Operators will be selected based on agreed criteria. These may include the following: • Quality of strategic transformation plan for achievement of goals • Extent of demonstrated capacity to maintain compliance with General Guidelines • Financial considerations – planned investment in infrastructure, innovativeness in the use of resources for transformation, etc. • Number of schools bid for

13. 1. The Background 2. Conceptual Framework 3. Programme Details 4. Next Steps

14. Contents • Educational Objectives • Operating Model • Governance structure • Contractual framework • Admissions • Curriculum • Assessment • Physical Infrastructure • Students • Teachers & other staff • Boarding • Financial Arrangements • Grants • Charging • Standards & Inspection • Termination

15. Educational Objectives The Educational objectives will remain the same: • To provide excellent all round instruction using the Nigerian National Curriculum for Secondary education • To achieve excellent performance in WAEC SSCE and NECO SSCE examinations • To promote mutual understanding and tolerance amongst people from varying ethnic, religious and cultural backgrounds • To entrench the values of patriotism and national unity and prepare students for service in nation building, in all areas of endeavour • To promote the pursuit of excellence in achievement and moral virtues • To produce internationally competitive secondary school products • To provide models for secondary education in Nigeria

16. Operating Model • A Unity Schools Trust is proposed as a replacement for the Unity Schools Directorate in the FME (“the Trust”) • This will be an autonomous entityset up and owned by the Education Trust Fund (ETF), dealing directly with the governing bodies of the Schools • There should be a line item in the Federal budget for the funding of Unity Schools, disbursed through the Education Trust Fund • Education Trust Fund will be responsible for disbursing funds received from the Treasury to Unity Schools according to the agreed funding formula • The Trust should not become an alternative bureaucracy, rather it should be a compact and efficient team within ETF • There should be limits on the size of the Trust and the amount of resources that can be utilised for running costs • Essentially, it should be an entity with the functions of: • Holding the unity school assets as contractual title holder • Executing operating and management contracts as Owner and exercising the rights of the Owner over the life of the contracts • Maintaining oversight of SMO governance and financial management

17. Operating Model - 2 • Unity Schools will be managed by Education Management Trusts registered under CAMA 1990 either as companies limited by guarantee or as charitable trusts. • These are referred to subsequently as School Management Organisations (SMOs) • The SMO will Manage theacademic and administrative affairs of the schools. • Each Unity School SMO will be overseen by a Board of Governors, selected according to the General Guidelines • School management, led by the Principal, will be accountable to the Unity Schools Trust • The Board of Governors will be the Employer of Staff

18. Education Trust Fund Federal Inspectorate Services (FME) Unity Schools Trust Unity School 1 SMO Ltd gte Unity School 2 SMO Ltd gte Unity School …X SMO Ltd gte Unity School 1 Governing Board Unity School 2 Governing Board Unity School …X Governing Board Governance Structure - Programme

19. School Governing Board Principal Governance & Regulatory Affairs Vice Principal Academic Vice Principal Administration Bursar/ Chief Financial Officer Head of Premises & Property Head of Care & Counselling Head of Boarding Administration Governance Structure- Schools

20. School Governing Board Membership

21. Contractual Framework • The Unity Schools Trust will be a legal entity having perpetual succession and will be vested with title to Unity Schools, property and undertaking. • The Unity Schools Trust will enter into Operating and Management agreements with each Unity School SMO. • The agreements will bind the Unity Schools Trust, the Governing Board and the SMO. • Management rights will be granted under renewable 10-year agreements subject to termination provisions • The form of agreements will be based on a comprehensive standard framework, which is in compliance with PPP Legislation, developed by the FME with the assistance of the Federal Ministry of Justice, on behalf of the Trust • Among other things, the agreement will establish the obligation of Government to provide funds according to a funding formula and the rights of SMOs to receive such funds

22. Admissions • Current admission criteria are as follows: • Merit 40% • National Quota 30% • Catchments Area 30% • We propose a change as follows: • Merit 40% • National Quota 40% • Catchments Area 20% • This is justified by the following: • Increased state creation has significantly reduced the size of the catchments area • former 19 states at the time of policy introduction are now 36 • Merit should be applied in selecting National Quota and Catchments area students • Given that unity schools would invariably become senior secondary schools under a disarticulated UBE system, admission into Unity Schools shall be through competitive exams for all such students possessing the Basic Education Certificate.

23. Curriculum • The approved National Curriculum for secondary education shall be in use at all times • There will be inclusion of the following in the learning environment: • Citizenship and leadership training • Sports • National culture and values • Religious instruction and daily collective worship • There will be an emphasis on excellent all round achievement in both academic and extra curricular activities

24. Assessment • Assessment will be in accordance with the provisions of the National curriculum and will in the minimum, provide for: • Continuous assessment • Periodic examinations • Regular external assessments will be conducted of standards of teaching and learning

25. Physical Infrastructure • There will be no sale of assets and title to land and all physical infrastructure will remain vested in the Unity Schools Trust • Responsibility for management of Physical infrastructure will be transferred toSMOs on an “as is where is” basis • SMOs will be responsible for upgrading infrastructure to meet with minimum standards within 24 months • SMOs will be required to insure and maintain assets, noting the interest of the Unity Schools Trust in the assets • Maintenance of infrastructure will be covered by the funding formula

26. Physical Infrastructure • Non-physical assets will be transferred to SMOs through the management agreements and specific transfer clauses • Physical assets will be covered by Rehabilitate, operate and transfer clauses in the Agreements: • SMOs will be required to commit to minimum standards of physical infrastructure of the Schools • Quality of infrastructure will be monitored through the independent inspection process • Upgrading and expansion programmes will be financed by • Capital expenditure grants from ETF based on capital expenditure justification submitted to ETF; or • SMOs own funds raised by capital injections or re-investment of operating surpluses, with provisions for capital recovery over the term of the Operating contract • Expansion grants according to the funding framework • The contracts will provide for reversionary interests in the assets to accrue to the Trust • Therefore, the contracts will not involve SALE OF ASSETS • Assets will revert to the Trust upon expiration or termination of the Operating Agreement

27. Students • Students will be admitted according to the approved admissions criteria • In the application of each of the admission criteria, students will be selected on the basis of ability • Admissions criteria and financial arrangements will ensure that no child is excluded on the basis of financial incapacity • Admissions criteria will also ensure that national spread in admissions is maintained and protected in line with the core purpose of the schools. • Special attention will be paid to gender and physical disability in order to ensure equitable access

28. Teachers and other Staff • The SMO will be given information on the number, qualifications, experience, remuneration and other details of current staff of each of the Unity Schools • The employment of the staff, including all rights and obligations, will be transferred from FME to the Governing Board of each School • The Governing Board of each School will be obliged to take over the staff on payroll as at the reference date of the transaction (Transferring Staff) • Transferring Staff will be entitled to receive at least the same amount of remuneration and benefits as existed under their prior contracts • Accrued Pension obligations of staff will be transferred to pension fund administrators of the employees’ choice according to the Pensions Law • Non-Transferring Staff will remain in the Public Service and may be redeployed or transferred based on need

29. Teachers and other Staff • Only qualified Teachers will be appointed to teach in Unity Schools • The SMO will provide for continuous training and development of teachers • The Governing Board will agree pay and conditions of service for teachers in line with the general guidelines set by the Unity Schools Trust • The SMO will pay the remuneration and pension benefits of teachers in line with their employment contracts and pension law • Similar provisions will apply to non-academic staff of the schools

30. Boarding • Boarding facilities shall be provided to a majority of students on the roll • The proportion of boarding students may be reduced in schools sited in urban areas, with the provision that not more than 20% of the total enrolment should be day-release students • Quality of boarding facilities will be in line with the minimum standards set in the General Guidelines issued by the Trust

31. Financial Arrangements • Government will cap recurrent spending by setting funding limits • Per capita funding levels will be fixed on an annual basis • Capital spending will be set at a % of acquired asset value and indexed to inflation over time • Any further public financial inputs will be performance based • In the medium to long term, we propose a transition from Federal funding to all students to a mixed funding arrangement: • Under this arrangement, we propose a subsidy cap that requires subsidy to be provided in respect of say, 70% of admissions and demands that means-capable students pay fees for the balance of 30% of spaces, based on the following arguments: • Government should not subsidise the education of children from means capable and affluent backgrounds • Rather, fees earned from providing world-class education to such children should be used to cross-subsidise the education of the children from low and medium income households

32. Financial Arrangements • Government will provide base funding to schools according to the following mechanism: • Enrolment grants • Current expenditure grants • Infrastructure maintenance grants • Boarding grants • Government will also provide performance related grants and stipends in the following circumstances: • Excellent operating standards as shown by FIS Inspection results • Teaching excellence as shown by FIS Inspection results • Learning achievement as shown by Performance Examination scores of students in external examinations • Excellence in extra-curricular activities e.g. sports, arts & culture, etc. • SMOs will be encouraged to augment these resources by raising funds from other sources and will be rewarded for achievement of results in raising additional non-government funds. • Such fund-raising will not give SMOs liberty to operate the Unity Schools on commercial terms or to increase school fees without approval of the Unity Schools Trust

33. Financial Arrangements

34. Illustrative Examples • The following show some ILLUSTRATIVE EXAMPLES of possible use of these concepts. • They are based on pro forma figures and are purely meant as a guide to discussion only

35. Grant Summary

36. Enrolment Grant Estimates - 1

37. Expenditure Grant Estimates - 2

38. Maintenance Grant Estimates - 3

39. Boarding Grant Estimates - 4

40. Performance Grant Estimates - 5

41. Standards & Inspection • The Unity Schools Trust will set minimum standards in the General Guidelines to be published • These standards may be varied from time to time by the Trust • The Standards will govern the operation of the Schools under the Management contracts

42. Termination • Management agreements may be terminated with cause by the Trust, on grounds of: • Consistent failure to achieve minimum standards • Violation of key terms of agreement • Financial malfeasance • Governance failure • Insolvency or bankruptcy of the School SMO • The SMO may terminate voluntarily by giving notice • SMOs terminating voluntarily will be obliged to maintain operation until a new SMO is found, but no longer than 2 years from date of notice • The Unity Schools Trust will be obliged to maintain funding to the terminating SMO for a transitional period until a new SMO and takes over the School. • The Agreements to be signed will make comprehensive provisions for termination and continuity of operation of the Unity Schools

43. 1. The Background 2. Conceptual Framework 3. Programme Details 4. Next Steps

44. Next Steps • Presentation to Council • Council Approval • Public Presentation and Implementation