Briefing for
Governance Review Sub-committee
(GRSC) Members
Education Bureau
30 October 2014
Composition and Functions of
Governance Review Sub-committee
Purpose of the Set Up
Assist the SMC/ IMC
Review key management and financial control systems and procedures
Find out if different checks and
balances are working as intended.
COMPOSITION
At least three members:
one school manager
one preferably with experience and qualification in accounting/ financial management
an independent member
COMPOSITION
Persons who should NOT be invited:
parents of students
paid staff of the school
Chairperson:
elected among members
selected by the SMC/ IMC
Role of Principal, Senior Teachers/
Heads of Functional Committees
Resource persons
Attend restricted sessions
Comment on advance copy of finalize
reports
Functions
Areas to be reviewed:
human resources management matters
financial management matters
school fee remission and scholarship schemes
Other management functions:
e.g. appointment of external auditors
Implementation Details
Number of meetings per school year -
determined by individual SMC/ IMC on a need basis
Review cycle - 3 years to complete all the
school-based policies and procedures under the three domains (Doc 1)
Focused areas to be reviewed each year - determined by the SMC/ IMC
Review report - submitted to the SMC/ IMC
annually
Implementation Details
First review cycle to be completed by the end of the 2016/17 s.y.
Subsequent review cycle: changes to be
deliberated and decided by the SMC/ IMC
Implementation Details
Confidentiality
Advance copy of the review report to the principal and senior teachers for
information and/ or comment:
give response to the GRSC direct; or
submit a written response to the SMC/
IMC
Flowchart of procedures of review
CHECKING - school-based policy are in place with proper deliberation and approval of the SMC/ IMC
EXAMINING - school-based policies: complied with requirements, properly implemented with sufficient control systems
RECOMMENDING - improvements on the school- based policy, its implementation and control system as necessary
PROVIDING – the principal and senior teachers/
head of functional committees an advance copy of the GRSC report for information and/ or
comments
Review Items for
Governance Review Sub-committee
Essential Tasks
1. Completed Self-evaluation Checklist
Review items marked with “No”- find out the reasons for non-compliance and make recommendations for
improvement
Verify items marked with “N.A.”
(Doc 2)
Essential Tasks
2. School-based Policies and Procedures under Review Each School Year
Random cross-checking one to two items of the self-evaluation checklist (Doc 3)
Review other school-based policies
and procedures with a more thorough
evaluation (Doc 4)
As and When Appropriate
3. Management Letters and Relevant Responses on Audit Inspections
Study EDB’s findings and examine the school’s proposed follow-up actions
Assess if the school has satisfactorily addressed the issues raised by EDB
Submit recommendations (including
improvement measures) to the SMC/ IMC
As and When Appropriate
4. Internal/ External Audit Reports
Review matters raised by the auditors and consider the proposed follow-up actions to be taken by the school
Put forward recommendations for
improvement
Key Domains to be Reviewed by
Governance Review Sub-committee
KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(1) Staff Recruitment
(2) Remuneration Policy
(3) Staff Performance Management (including Promotion and Demotion)
(4) Complaint Mechanism (Staff and Public) (5) Others, e.g. Granting of Leave
KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(1) Staff Recruitment
What are the key points to note when reviewing the item?
[Discuss in pairs or groups]
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KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(1) Staff Recruitment
Is the policy on staff recruitment approved by the SMC/ IMC documented?
Does the approved policy on staff recruitment cover all paid staff in the school?
Is there a mechanism for declaration of interest or for avoidance of conflict of interest by staff
involved in the recruitment exercise?
Are transparent, fair and open recruitment procedures put in place (e.g. advertising job
vacancies in newspapers or via other channels)?
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KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(1) Staff Recruitment
Are records in different processes of the recruitment exercise (e.g. selection result) properly kept?
Is a recruitment panel formed to conduct the selection (e.g. interviews, skill tests, etc.) according to the
school-based recruitment policy?
Is an objective assessment method devised?
Is a standard form used to record assessment by individual panel members?
Is the approval from the majority of managers of the SMC/ IMC obtained for appointment of a teacher for a term of not less than six months?
KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(2) Staff Remuneration Packages
What are the key points to note when reviewing the item?
[Discuss in pairs or groups]
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KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(2) Staff Remuneration Packages
Is the policy on staff remuneration approved by the SMC/ IMC documented?
Does the policy on staff remuneration approved by the SMC/ IMC cover all paid staff in the school?
Are the criteria for determining the remuneration package of an appointee clearly set out?
Does the SMC/ IMC clearly set out who/ which school personnel to be the approving authority for
determining the remuneration package of an
appointee and any subsequent salary adjustment?
KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(3) Performance Management
Is the policy on staff remuneration approved by the SMC/ IMC documented?
Does the policy on staff remuneration approved by the SMC/ IMC cover all paid staff in the school?
Are the criteria for determining the remuneration package of an appointee clearly set out?
Does the SMC/ IMC clearly set out who/ which school personnel to be the approving authority for
determining the remuneration package of an
appointee and any subsequent salary adjustment?
KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(3) Performance Management
Including policies on promotion and demotion
Is the policy (including the formulation of objective criteria) on staff promotion approved by the SMC/
IMC documented, and made known to the staff concerned?
Are records in different processes of the promotion exercise properly kept?
KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(4) Handling of Staff Complaints
Are there procedures for complaint handling formulated taking into account of the EDB’s
guidelines on handling of complaints by schools?
Are the procedures for handling complaints
endorsed by the SMC/ IMC, properly documented and made known to stakeholders? e.g. staff
administration manual
KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
(5) Leave
Is the policy on paid and no-pay leave approved by the SMC/ IMC documented?
Are leave and attendance records kept properly?
KEY DOMAINS TO BE REVIEWED
Domain A: Human Resources Management
For Good School Governance
To review if policies are:
approved by SMC/IMC
transparent and open
proper internal control and reporting mechanism
to ensure prudent use of funds
with proper records kept
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management
1. Government Fund
Source:
Recurrent per capita government subsidy based on the average unit cost of an aided school
place Use:
Only approved expenditure items (List of
Approved Items of Expenditure at Annex 2 to
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management
2. Non-government Fund
Source:
School Fees and Other Collections, Trading Operations, Hire of Accommodation, Fund-
raising Activities, Donations, Sponsorships, etc.
Use:
For educational and school needs in the best interest of the students
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management
3. Delineation of Reserves
Operating Reserve
(including govt and non-govt funds)
Fee Remission
/ Scholar- ship Reserve
Long Service Payment
Reserve
Donations with Specific Purposes
Reserve for Construction,
Maintenance and
Upgrading of Above- standard Facilities
Operating Reserve Designated Reserves
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management (1) Fees and Collection Policy
(2) Budgeting and Accounting Practices (3) Tendering and Procurement Policy (4) Trading Operations
(5) Investment Policy
(6) Acceptance of Advantages and Donations (7) Fund Raising Activity
(8) Others
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management
(1) Fee and Collection Policy
Approved list attached to EDBC No.
1/2011
Discussed and endorsed by SMC/IMC
Promulgation
Financial assistance to needy students
Records
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management
(2) Accounting Practices
Separate income and expenditure accounts for Government and non- Government funds
Bank Accounts
Fixed assets register
Record management
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management
(3) Tendering and Procurement Policy
Procedures with reference to EDB’s guidelines
School-based policy approved by SMC/IMC
Conflict of Interest
Fair and competitive
Promulgation
Control Checks (e.g. segregation of duties)
Administrative and financial records
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management
(4) Trading Operations (5) Investment Policy
(6) Acceptance of Advantages and Donations
(7) Fund Raising Activity
KEY DOMAINS TO BE REVIEWED
Domain B: Financial/ Resources Management Concerns:
EDB guidelines/rules and regulations
Procedure propriety
Prior approvals from SMC/ IMC
Control checks
Declaration of interest
Transparency
Records
KEY DOMAINS TO BE REVIEWED
Domain C: Fee Remission and Scholarship Scheme Policy
To set aside at least 10% of school’s total school fee income
School fee = 2/3 to 2 1/3 of DSS unit subsidy rate:
to set aside 50 cents for every additional dollar charged over and above 2/3 of the DSS unit
subsidy rate
Eligibility criteria should be no less favourable than Government financial assistance schemes
KEY DOMAINS TO BE REVIEWED
Domain C: Fee Remission and Scholarship Scheme
Keys Points to Note
Criteria for award of fee remission/scholarship
Application procedures, approving and appeal mechanism
Publicity of fee remission/scholarship
Review Report
Put forward recommendations for follow- up action
Advance copy to the principal and senior teachers/ heads of functional committees for information/ comments.
Focused review report to SMC/ IMC
Released to stakeholders for information
Annual Review Report
Comprehensive Review Report
Within a 3-year cycle
To submit to SMC/ IMC
Resources/ References for
Governance Review Sub-committee
1. Circulars
Home > About EDB
Important circulars
EDBC No. 7/2012 on “Improvement Measures to
Strengthen the Governance and Internal Control of Direct Subsidy Scheme (DSS) Schools”
EDBC No. 10/2012 on “Fee Remission/Scholarship Schemes in Direct Subsidy Scheme (DSS) Schools”
EDBC No. 16 /2012 on “Delineation of Reserves and Reserve Ceiling for the Operating Reserve of Direct Subsidy Scheme (DSS) Schools”
EDBC No. 17/2012 on “Use of Government and Non- government Funds in Direct Subsidy Scheme (DSS) Schools”
2. Reference Documents on Management and Administration of Direct Subsidy
Scheme Schools
to facilitate school personnel of DSS schools in operating their schools smoothly and
effectively
a quick reference on the actions required in school administration and operation
developed by EDB and the Hong Kong DSS Schools Council
EDB circulars/ circular memorandums/ circular letters and good practices related to school
management, personnel management,
financial management and daily operation are
incorporated
Home > Education System and Policy > Primary and Secondary School Education > Applicable to Primary and Secondary School > Direct Subsidy
Scheme > Information for schools
3. Reference Items on the Administration and Management of DSS Schools
Appendix 2 to
“Review of School- based Policies and Procedures by the GRSC” available on EDB webpage
A list of items for schools’ reference and internal
Home > Education System and Policy > Primary and Secondary School Education > Applicable to Primary and Secondary School > Direct Subsidy Scheme
4. Explanatory Notes
Home > Education System and Policy > Primary and Secondary School Education > Applicable to Primary and Secondary School > Direct Subsidy
Scheme > Information for schools
P/S Section 2 - Criteria and Conditions for Admission of Aided Primary Schools to DSS
S/S Section 2 - Criteria and Conditions for Admission of Aided Secondary Schools to DSS
5. Other Information on EBD Webpage on DSS
Home > Education System and Policy > Primary and Secondary School Education > Applicable to Primary and Secondary School > Direct Subsidy Scheme
Information for Schools
Briefings
Report of the Working Group on Direct Subsidy Scheme
Reference Materials for the Implementation of the Improvement Measures Put Forward by the Working Group on Direct Subsidy Scheme
6. Other Information on EBD Webpage
Home > Home > School Administration and Management > Regulations
School Administration Guide
Codes of Aid
Checklist on Common Administrative Issues in Aided Schools
