ESF Levy 2011

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In a newsletter today.

On that basis ESF's Board of Governors has approved the introduction of a one-off Refundable Capital Levy to be paid by the parents of every student who enters an ESF school in Year One or Seven. The levy will be HK$25,000 per child and it will be fully refunded when the child finishes school. The levy will be introduced from August 2011.The parents of children currently in Years One to Five will pay the levy when they enter Year Seven. Children currently in Years Six to Thirteen will not have to pay the levy.

I assume this means that if your child is currently in not in ESF, but wll be entering in Y1 from 2011, you will need to budget for an extra $25K.

Also, I assume this means that when your child transitions from Y6 to Y7 (goes to secondary school), you will need to budget for an extra $25K.

Full text

Each year the English Schools Foundation spends a considerable sum on the repair and maintenance of its school buildings ? often as much as HK$75m in the summer holidays alone. The money is spent on a variety of projects: from simply maintaining the fabric of buildings by re-painting or re-plastering; through increasing or enhancing the provision of laboratories, classrooms, play areas and toilets; to less visible work on electrical or plumbing systems.

But there are times when repair and maintenance is not enough and wholesale changes are needed to the fabric of a school. You may have heard that there are pressing needs to undertake fundamental building projects at Kowloon Junior School, King George V School and Island School. The relatively poor physical condition of some of the accommodation at these schools contrasts markedly with ESF?s newer buildings, including those of the Private Independent Schools.

However all of our schools have a finite lifespan. Timely repair and maintenance will help to ensure that this is maximised, but of all our school buildings will eventually need to be renewed. Like other organisations which rely on an extensive range of buildings, ESF should be making provision for the renewal of its infrastructure as a routine part of its financial and facilities planning.

In the past this provision has been done in a rather haphazard manner, and this has resulted in the present situation, where we have three major projects competing for priority at once. In the future, we need to plan more systematically over a long-term period for a rolling programme of substantial renovation or total replacement of all our school buildings. In each ten-year period a number of our schools will approach the end of their useful lives and will need to be re-built in whole or in part.

Click here for a table showing the age of each of our schools.

Click here to see a table showing how the building replacement programme might look over the next fifty years.

It is for this reason that we need to build up surpluses each year to contribute to a fund to meet the capital requirements of our schools so that, over time, we have sufficient resources to replace them. But surpluses will only meet part of our costs ? we have to look at additional sources of funding. Capital grants from the Government will be critical, as will borrowings using our property portfolio as security. We are also launching an alumni programme and will seek to raise funds from private and corporate donors.

We have recently approached the Government to ask for assistance with the capital costs of Kowloon Junior School. We are optimistic that they will be supportive. (Similar applications will be made for KGV and Island School in the future). We believe that if we are to secure a long-term commitment from the Government for the funding of ESF?s infrastructure we need to demonstrate clearly that our own stake-holders share a sense of responsibility for safe-guarding the future of our schools. We, therefore, have decided to introduce a system whereby parents across ESF make a specific contribution to the capital costs of school renewal.

On that basis ESF's Board of Governors has approved the introduction of a one-off Refundable Capital Levy to be paid by the parents of every student who enters an ESF school in Year One or Seven. The levy will be HK$25,000 per child and it will be fully refunded when the child finishes school. The levy will be introduced from August 2011.The parents of children currently in Years One to Five will pay the levy when they enter Year Seven. Children currently in Years Six to Thirteen will not have to pay the levy.

After seven years the parents of all children studying with us will have paid the levy, thereby providing to ESF extra funds to contribute to major works. The parents of children who join ESF at other points during the Primary or Secondary years will also pay the levy. The Board of Governors of ESF is taking a long-term view of ESF's contribution to the education system of Hong Kong, and is committed to enabling future generations to continue to enjoy the excellence of an ESF education at a cost that remains fully competitive. You and your children are beneficiaries of investments made in the past, partly financed by the contributions of your predecessors. The Board is confident that all current parents will accede to the Board's objective and will accept the need to contribute to its achievement.

A presentation describing these proposals in more detail and a full series of questions and answers on the levy have now been posted on our website. In addition, the Chief Executive, Chief Financial Officer and Head of Facilities Development will be taking questions on the Refundable Capital Levy at public meetings to be held in the following schools during December:

Kowloon Junior School (Perth Street) 1 December
Beacon Hill School 7 December
Quarry Bay School 14 December


All presentations will begin at 6.30pm. Further briefings in January will be announced shortly.

Yours sincerely,

Heather Du Quesnay
Chief Executive
English Schools Foundation
 
You will be asked to pay once per child.
SO if you pay entering year1, you do not pay again entering year 7.
 
The part of this that concerns me a little is:

QUOTE: "The levy will be HK$25,000 per child and it will be fully refunded when the child finishes school. "

Does this mean there is no refund if you have to pull your child out of the ESF system (ie if you have to move country or the like)?
I'd like to know what they define "finishes school" as.

I don't mind having to find the 25k in our personal budget to make this work (we don't get any schooling allowance in my husbands package) and help better the schools in the ESF system, but I'd like to think that if our personal circumstances change and we have to leave the country we would be able to get at least some of it back. Particularly when you think about the fact that all the ESF schools have some kind of waiting list which means as one child/family moves on another can take their place which will not leave the school system out of pocket...
 
On the bright side, it might open up some of these school slots.
25k, HKD, really isn't that bad but I have the same worry as kiwiinoz. I sort of assume you get the money when you leave, regardless of when but it does not say that.
Given all the letters to the editor in the SCMP, the matter might not be settled yet.
Luckily we have the luxury of waiting 6 months to see what happens.
 
ESF are holding briefings around Hong Kong to discuss the Levy.


7th December, Beacon Hill School, 6.30 pm
8th December, Sha Tin Junior School, 6.45pm
14th December, Quarry Bay School, 6.30pm
 
ESF Levy

In a newsletter today.



I assume this means that if your child is currently in not in ESF, but wll be entering in Y1 from 2011, you will need to budget for an extra $25K.

Also, I assume this means that when your child transitions from Y6 to Y7 (goes to secondary school), you will need to budget for an extra $25K.

Full text

There are a couple of things that people should consider with a bit of detachment.

1. If the ESF considers itself a firm, although educational, and if they need a loan, why not doing like any other firm and get a loan from a bank? Getting a 'zero interest' loan for up to 13 years from your own customer doesn't sound like anything any other firm would be allowed to do, unless they are committed to lose their customer, and in this case the ESF plays her role of oligopoly....

2. They claim that there are buildings older than 30 years....wow. Sorry, but if a building is built to tumble down after 30 years, well, the builder are definitely not that good. I understand that many things have changed, but major works on a building of such an age sounds like an heresy. Get the administrators who hired the builders 30 years ago and make them pay. And anyway, I much prefer KGV to DC....talking about new trends.
 

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