Schools for Profit: Not in NSW!
Legislation passed by the NSW Government on Tuesday 26 September 2006 left open a massive loophole that will allow private for-profit schools to milk the public purse.
The legislation fails to stop private schools making a profit while still receiving their share of $730 million in state government grants. It allows unrestricted payments to members of the school's governing body without affecting its public funding.
All a profit-seeking corporation needs to do is put themselves or a shelf company on the school's governing body and pay themselves a huge fee. Public money will inevitably end up as corporate profits.
The NSW Government rejected Greens amendments that would have closed this gaping loophole.
For more information:
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"Education is the government's business", opinion piece by John Kaye published in the Newcastle Herald, 3 October 2006
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