Regional Education Agreement Costing Tools Presentation
Presented by Bram Lerat, Khrystyna Orobets, and Ronda Ziakris for the Assembly of First Nations, this presentation discusses tools available for First Nations education costing studies, including inclusive education and transportation cost models. The session covers key elements of cost studies and provides insights on using the models effectively. MNP and AFN introductions, background information, and the availability of Excel cost models for negotiation purposes are also highlighted.
Download Presentation
Please find below an Image/Link to download the presentation.
The content on the website is provided AS IS for your information and personal use only. It may not be sold, licensed, or shared on other websites without obtaining consent from the author. Download presentation by click this link. If you encounter any issues during the download, it is possible that the publisher has removed the file from their server.
E N D
Presentation Transcript
Regional Education Agreement Costing Tools Presented by: Bram Lerat, Khrystyna Orobets & Ronda Ziakris Presented by: Bram Lerat, Khrystyna Orobets & Ronda Ziakris Prepared for the Assembly of First Nations Prepared for the Assembly of First Nations February 27, 2024
Agenda MNP & AFN Introductions 1 1 Background 2 2 Tools Available for First Nations 3 3 Key Elements of Cost Studies 4 4 Inclusive Education Cost Study 5 5 Transportation Cost Study 6 6 Using the Models 7 7 2 Wherever business takes you MNP.ca
MNP & AFN Introductions Bram Lerat Khrystyna Orobets Senior Manager, Indigenous Services, MNP Ronda Ziakris Manager, Indigenous Services, MNP Special Advisor, Language & Learning, AFN 3 Wherever business takes you MNP.ca
Background AFN Resolution 2019-34, First Nations Education Infrastructure Review AFN retained MNP to conduct a Transportation Assessment Country-wide First Nations Education Transportation Needs Assessment Transportation Cost Model Tools Available for First Nations AFN Resolution 2017-65 and need for review of HCSEP review and costing AFN retained MNP to conduct an Inclusive Education Analysis Inclusive Education Analysis Inclusive Education Cost Model 4 Wherever business takes you MNP.ca
Tools Available to First Nations Excel cost models Excel cost models and reports are and reports are available for First available for First Nations to use as Nations to use as part of their REA part of their REA negotiations negotiations. 5 Wherever business takes you MNP.ca
Key Elements of Cost Studies 2 1 3 4 Engagement with First Nations Secondary Research Analysis and Cost Drivers Results Reporting and Cost Modelling 6 Wherever business takes you MNP.ca
Overview of Data Collection Activities Survey Overview First Nation Interview Overview Manitoba Manitoba Alberta Alberta New Brunswick New Brunswick Ontario Ontario Atlantic Region Atlantic Region Yukon Yukon Saskatchewan Saskatchewan Total Total 1 1 4 4 1 1 1 1 1 1 1 1 1 1 10 10 Interviews were also conducted with: School Boards Provincial School Providers Subject Matter Experts 8 Wherever business takes you MNP.ca
Inclusive Education Cost Structure 9 Wherever business takes you MNP.ca
Cost Drivers Location (province) Remoteness (proximity to urban centre) Incidence of students with special needs Number of schools/communities Student enrolment 10 Wherever business takes you MNP.ca
Cost Comparison First Nation First Nation Small Fly Small Fly- -in First Nation in Ontario Nation in Ontario in First Large Remote First Large Remote First Nation Education Nation Education Authority in Alberta Authority in Alberta Mid Mid- -sized First Nation sized First Nation close to a major urban close to a major urban centre in Alberta centre in Alberta INPUTS Cost Adjustment Factor Based on Remoteness Number of Students in Kindergarten to Grade 6 Number of Students in Grade 7 to Grade 12 Number of Students with Mild/Moderate Special Needs Number of Students with Severe/Profound Special Needs Number of Schools RESULTS Model Generated Costs Per Student Current Funding Per Student 126.1% 130 40.3% 640 598 248 7.6% 231 192 85 26 31 8 62 21 2 5 3 $22,148 $22,148 $4,675 $4,675 $10,911 $10,911 $2,938 $2,938 $9,206 $9,206 $3,445 $3,445 11 Wherever business takes you MNP.ca
Conclusions Costs range from $9,206 centre to $22,148 $9,206 per FTE for a First Nation close to a major urban $22,148 per FTE for a small fly-in community. Current funding is approximately 2.5 2.5- -5 times 5 times lower than the model- generated costs. 12 Wherever business takes you MNP.ca
Considerations Additional proposal-based funding Ongoing updates Incorporating students awaiting assessment Capital infrastructure Funding for First Nations without schools 13 Wherever business takes you MNP.ca
Overview of Data Collection Activities Community Engagement Overview Interview Overview BC BC Alberta Alberta Saskatchewan Saskatchewan Manitoba Manitoba Ontario Ontario Quebec Quebec Nova Scotia Nova Scotia Total Total 4 4 4 4 5 5 3 3 5 5 1 1 2 2 24 24 Interviews were also conducted with: 7 provinces 18 School Boards 3 geographical zones Provincial School Providers First Nations and First Nation Education Organization Participants 1-6 school range Subject Matter Experts 47-1,842 enrolment range 3 fly-in communities Wherever business takes you MNP.ca
Transportation Cost Structure Direct Operating Costs Direct Operating Costs Indirect Operating Costs Indirect Operating Costs Capital Costs Capital Costs 1. 1. Bus replacement Bus replacement School bus purchase costs Costs of bus equipment/ peripherals (GPS, camera, winter tires etc.) 2. 2. Other capital costs Other capital costs Bus garage, bus shop 1. 1. 2. 2. Maintenance Maintenance Inspections Other routine and emergency maintenance 3. 3. F Fuel uel 4. 4. Insurance and registration Insurance and registration 5. 5. Bus driver training Bus driver training Bus driver wages Bus driver wages 1. 1. Administration Administration Salaries of admin. staff Software (route planning) 16 Wherever business takes you MNP.ca
Cost Elements Lack of economies of scale Remoteness Higher student needs Increased scope of transportation services Poor road conditions 17 Wherever business takes you MNP.ca
Summary of Cost Drivers Specific to First Nations The following table summarizes the negative impact of each cost driver on transportation cost elements: The following table summarizes the negative impact of each cost driver on transportation cost elements: Lack of Lack of Economies of Economies of Scale Scale Increased Scope of Increased Scope of Transportation Transportation Services Services Poor Road Poor Road Conditions Conditions Higher Student Higher Student Needs Needs Cost Element Cost Element Remoteness Remoteness Bus Driver Wages Bus Driver Wages Bus Replacement Bus Replacement Maintenance Maintenance Fuel Fuel Insurance & Licensing Insurance & Licensing Administration Administration Bus Driver Training Bus Driver Training * ** *** *In addition to employing bus drivers, First Nations require Bus Monitors to supervise students. **Students with disabilities require wheelchair-accessible buses. ***Total costs include travel expenses for bus drivers and/or training instructors and, therefore, are impacted by geography. 18 Wherever business takes you MNP.ca
Cost Comparison (2021/22) Comparison of Costs Generated by the Model with Costs Incurred by a Provincial School Jurisdiction and a Bus Operator in Alberta. Costs per School Bus, Alberta Costs per School Bus, Alberta Third-Party Bus Operator with 285 routes across Alberta Remote First Nation School Jurisdiction with 15 routes (generated by the model) Cost Category Cost Category Northern Provincial School Jurisdiction with 45 routes Bus Driver Wages Bus Driver Wages Bus Replacement Costs Bus Replacement Costs Maintenance Costs Maintenance Costs Fuel Fuel Administration Administration Licensing/Insurance Licensing/Insurance Training* Training* SUBTOTAL SUBTOTAL Bus Monitor Wages Bus Monitor Wages TOTAL TOTAL $44,470 $16,632 $7,737 $6,009 $8,207 $1,606 $1,170 $85,831 $24,153 $109,984 $109,984 $25,000 $21,500 $6,800 $6,500 $ 4,700 $ 3,000 $ 1,340 $ 1,440 $45,280 N/A $45,280 $45,280 $7,500 - $11,500 $5,500 $7,000 $3,000 $2,150 Not provided $50,150 - $54,150 N/A $50,150 $50,150 - - $54,150 $54,150 *This estimate includes training and other costs not captured in other cost categories (e.g. marketing of transportation services, IT-related expenses etc.). 19 Wherever business takes you MNP.ca
Updates MNP will be updating the costs in the coming months to reflect the current economic conditions. 20 Wherever business takes you MNP.ca
Cost Model Maintenance Maintenance Bus Driver Wages Bus Driver Wages Bus Replacement Bus Replacement (incl. peripherals & modifications) Administration Administration Salaries Salaries NEW NEW Fuel Fuel Cost Adjustment Cost Adjustment Factor Based on Factor Based on Remoteness Remoteness Fuel Escalator Fuel Escalator Insurance and Licensing Insurance and Licensing Bus Driver Bus Driver Training Training Bus Monitor Bus Monitor Wages Wages Extracurricular Extracurricular Activities Activities * Fuel escalator is to be added on top of the calculations to address fluctuations in fuel prices. For example, in Alberta s * Fuel escalator is to be added on top of the calculations to address fluctuations in fuel prices. For example, in Alberta s public public- -school boards, the escalator kicks in when average diesel prices are in excess of $1.25 per litre. school boards, the escalator kicks in when average diesel prices are in excess of $1.25 per litre. 21 Wherever business takes you MNP.ca
Conclusions Transportation costs on a per-bus basis are much higher than the benchmark transportation costs incurred by the provincial counterparts. Current funding is $40,00 $95,00 $95,00 - - $115,000 $40,00 - - $60,000 $115,000 in the model-generated cost. $60,000 in the provincial system compared to 22 Wherever business takes you MNP.ca
Considerations Bulk purchasing programs Bus driver training Route planning Extracurricular transportation School transportation infrastructure On-reserve students transported by provincial school jurisdictions 23 Wherever business takes you MNP.ca
Using the Models to Develop Budget Asks The presented models can be applied to any First Nation across Canada and used as a tool for First The presented models can be applied to any First Nation across Canada and used as a tool for First Nations and First Nations Education Organizations to negotiate enhancements to transportation Nations and First Nations Education Organizations to negotiate enhancements to transportation and special education funding through Regional Education Agreements and technical table and special education funding through Regional Education Agreements and technical table discussions. discussions. Funding provided through formula Costs generated by Model Budget Ask 25 Wherever business takes you MNP.ca
