Sharing of school facilities procedures

Direction and guidance on assessing applications from the community, not-for-profit entities and commercial organisations to use school facilities.

Audience

Principals, their delegates, department staff and community members involved in using school facilities when the school or department does not require them.


Version Date Description of changes Approved by
V03.0.0 15/03/2024 Updated under the 2023 Policy and procedure review program, including conversion into the new template, reformatting the document, removing duplicated information and updating contact details. Executive Director, Asset Activations


About the policy

Principals:

  • may allow shared use of school facilities when
    • it does not interfere with school operations
    • the use is in the school community’s best interest
    • it does not result in a financial burden on the school or the department.
  • must be familiar with all relevant provisions, as described in these procedures, before entering into any agreement
  • work collaboratively with the local community to address identified needs when using school facilities
  • plan, promote and manage shared use of school facilities for the mutual benefit of the school and the community, in line with these procedures
  • adopt a risk management approach, which should include a risk management assessment before approving applications
  • consult with the school community, where necessary, when considering an application for community use
  • sign community use agreements consistent with their delegation
  • cannot sign leases, licenses, owner consents or property agreements
  • inform School Infrastructure NSW about any shared use arrangements that involve facility upgrades, outside school hours care, preschool, long day care and family day care services, commercial ventures (such as canteens, uniform shops and markets) or uses that last longer than 12 months
  • should not use licence fees to raise revenue for the school; however, the fees should cover costs associated with using the school’s facilities.

Directors, educational leadership:

  • support the effective implementation of these procedures and the Sharing of school facilities policy
  • work with the school and community to solve problems about shared school facilities and help to resolve disputes when the principal can't.

School Infrastructure NSW:

  • manages commercial agreements, leases, licences (such as canteens, uniform shops, out of school hours care, preschools, long day care and family day care services and markets), project deeds and mobile telecommunications facilities, in consultation with school principals and directors, educational leadership
  • must be contacted about property matters, via email to property@det.nsw.edu.au, such as
    • requests for owner consent
    • acquisition notices
    • purchase requests
    • lease/licence breach notices
    • council property notices
    • restriction on use of land, covenants, easements, rights of way and any other changes to title.

Community users:

  • must not access schools without the appropriate signed agreement (excluding visitors of authorised users)
  • consult with the principal about marketing their services at a school site.

Parents and citizens associations:

  • must enter into an appropriate agreement or arrangement with the principal to use school facilities.

What needs to be done

The Department of Education encourages community members to use school facilities for appropriate purposes when the school or the department does not require them.

These procedures involve 3 main components:

  • determining the type of activity
  • using the appropriate agreement type
  • ensuring compliance with mandatory requirements for using school facilities.

These components are interconnected, so principals must be familiar with all relevant provisions before entering into any agreement for using school facilities.

Principals are not authorised to sign leases, licenses, owner consents, or property or title agreements.

How to use these procedures:

The community use, licence and lease agreements are outlined in more detail in section 2. Help with obtaining a community use, licence or lease agreement.

Tables 1 and 2 below summarise shared use activities, the necessary agreements, and the parties responsible for their implementation.

Shared use of school facilities and key responsibilities

Examples of the shared use of school facilities

Table 1 outlines common activity types, users and the type of agreement required. To use school facilities, external parties must follow the rules outlined in 3. Comply with the mandatory requirements for using school facilities.

Table 1 Shared use of school facilities – examples

Use User type Written agreement required

General community use

(one-off event or regular booking for up to 12 months)

Examples:

  • community group meetings (Aboriginal Education Consultative Group, Scouts, professional teacher associations
  • sporting activities (basketball, swimming, football, athletics)
  • fitness activities (aerobics, Zumba, martial arts classes)
  • art classes (drama, dance classes)
  • hobby group meetings (cooking, book club)
  • religious group meetings
  • private coaching (band or subject tutoring)
  • parents and citizens fundraising events (car-boot sales, fetes)
  • function hire for social events.

Individual

Community group

Not-for-profit organisation

Very small, commercial operator (no more than 2 people employed by the hirer)

Community use agreement

Parents and citizens (P&C) association meetings and advertising events

P&C association

With principal approval, no formal agreement or fees are required

Advertising on the school perimeter

Not-for-profit organisation

Commercial operator

Advertising agreement

School canteens

School

P&C association

Commercial operator

Licence, if operated by the P&C association or a commercial operator

Community languages schools

Community group

Community languages school

Community use agreement

Voting centre or polling station for federal, state or local government electoral events

State or federal electoral commission

Electoral commission agreement

Joint use of a school asset with shared construction and maintenance

Local government

Other government organisation

Private organisation

Joint use project agreement

Markets

P&C association

Not-for-profit operator

Commercial operator

Licence

Installation of mobile telecommunications facilities

Commercial operator

Lease

Other commercial activities and/or use for a period of greater than 12 months

Commercial operator

Not-for-profit operator

Local government

Lease or licence

Outside school hours care, preschool, long day care and occasional care

P&C association

Not-for-profit operator

Commercial operator

Licence

Share Our Space

(community access to a school’s outdoor areas)

Community member

Not required

Share Our Space

(activity provision)

External provider

Community use agreement

School uniform shops

School

P&C association

Commercial operator

Licence, if operated by the P&C association or a commercial operator

Externally funded service providers

School

External provider

External provider engagement agreement

Outline of key responsibilities

Table 2 outlines the agreement types and key responsibilities.

Table 2 Agreement types and key responsibilities
Type of agreement Principal State office
Advertising agreement
  • approves advertising on the school perimeter where the proposed value is up to $10,000 (excluding GST)
  • ensures that an advertiser has the necessary approvals from the local council, or other authorities, to display the advertising material
  • approves P&C advertising on the school perimeter that relates to school community activities.

School Infrastructure Procurement Solutions directorate:

  • approves statewide agreements
  • approves agreements that exceed $10,000 (excluding GST) in value

provides advice on what represents fair exchange of value in an advertising agreement.

Canteens
  • determines if a service is needed
  • provides information to School Infrastructure Asset Activations to begin the process of establishing a service
  • participates in the provider selection process.

School Infrastructure Asset Activations:

  • manages the tender process to select a provider (if required)
  • prepares and executes the appropriate licence
  • can be contacted via canteens.licencing@det.nsw.edu.au.

EDConnect:

  • enters billing requirements into SAP.

Community Use Agreement

  • prepares, approves and manages community use agreements
  • enters billing requirements into SAP for invoice/ revenue collection.

School Infrastructure Asset Activations:

  • provides support and advice on commencing, preparing and managing community use agreements, including hire fees
  • can be contacted via cua@det.nsw.edu.au.

EDConnect:

  • provides support and advice on billing for community use agreements.

Licence or lease (other than early childhood, canteens or uniforms)

  • contacts School Infrastructure Asset Activations to request they prepare a lease or licence
  • manages the operation of the lease or licence that has been prepared and approved.

School Infrastructure Asset Activations:

  • consults with the provider around the commencement of the lease or licence
  • establishes the operational plan (if required)
  • consults with the principal on local or operational issues
  • can be contacted via asset.activations@det.nsw.edu.au.

School Infrastructure Property:

  • prepares and approves leases and licences
  • determines the licence fees
  • manages licence variations
  • suspends or terminates leases and licences following the principal’s advice
  • can be contacted via property@det.nsw.edu.au.

Early Childhood Services – preschool, long day care, family daycare, mobile services and alternative care

  • provides information to Early Childhood Outcomes directorate to begin the process of establishing a service
  • participates in the provider selection process.

Early Childhood Outcomes:

  • determines if a service is needed
  • manages the tender process to select a provider (if required).

School Infrastructure Asset Activations:

Joint use agreement

  • refers proposals for joint use agreements to the Director, Educational Leadership who will consult with the Asset Activations directorate
  • manages the facility’s day-to-day operations within the parameters of the project deed/licence.

School Infrastructure Asset Activations:

  • manages the expression of interest process to select the joint use provider
  • consults with the principal and joint use provider to establish the agreement
  • manages the licence operation
  • can be contacted via asset.activations@det.nsw.edu.au.

School Infrastructure Property:

EDConnect:

  • enters billing requirements into SAP.

Mobile telecommunications facilities

  • responds to proposals to locate mobile telecommunications facilities on or near school grounds in consultation with the school community.

School Infrastructure Asset Management directorate:

  • supports principals in responding to proposals to install mobile telecommunications facilities on or near school grounds.

School Infrastructure Property:

  • determines whether leases or licences should be renewed in consultation with principals, noting the difficulty in removing facilities once installed.

EDConnect:

  • allocate lease fees to school accounts as they are received.

Share Our Space

  • promotes this service to their school community via the school’s web site, newsletter and social media
  • works with the local Asset Management team to identify a suitable site for signage and access
  • reviews the property in preparation of school resuming.

School Infrastructure Asset Activations is responsible for program delivery, including:

  • responding to enquiries
  • establishing free activities during school holiday periods
  • preparing community use agreement for external activity providers
  • funds cleaning of external grounds of participating schools while the service operates
  • funds additional security to schools where required
  • can be contacted via sinsw.shareourspace@det.nsw.edu.au.
Uniforms
  • provides information to School Infrastructure Asset Activations to begin the process of establishing a service provider
  • particiaptes in the provider selection process.

School Infrastructure Asset Activations:

  • manages the tender process to select a provider (if required)
  • determines the licence fees
  • prepares and executes the appropriate licence
  • manages licence variations
  • can be contacted via uniforms.licencing@det.nsw.edu.au

EDConnect:

  • enters billing requirements into SAP.
External provider engagement agreement
  • determines if it is appropriate for the service to be provided at the school.

can be contacted via
externalproviderfeedback@det.nsw.edu.au

1. Decide on the activity and agreement

1.1 General community use of facilities

The general community can use or hire school facilities for 12 months or less if they are a non-profit organisation, P&C, or very small commercial enterprise. The hire could be for a single or multiple uses within 12 months. An example includes an individual or a group renting a school hall or classroom for dance or karate classes.

A community use agreement is required for these activities. Steps for signing a community use agreement are shown in section 2.1 Community use agreements.

For general community use advice, email cua@det.nsw.edu.au.

1.2 Parents and citizens association activities

The department values the relationship between schools and their parents and citizens (P&C) associations, and supports P&C use of school facilities.

A P&C association is a separate entity to the school.

No formal agreement is required for:

  • meetings
  • advertising school community events.

The role of the principal in these situations is to:

  • support the P&C association to hold meetings on school premises. These meetings are held free of charge and without a formal agreement.
  • ensure that the P&C complies with any obligations under the Child Protection Legislation and is aware of any obligations under the Child Safe Standards.

When children or young people are present, the principal and P&C association must sign the Community use of school facilities child protection declaration (PDF 278 KB). For further information, refer to section 3.3 Child protection.

The Federation of P&C Associations of NSW provides advice regarding the use of school facilities by P&C associations.

A formal agreement may be required for other school P&C organised activities. The nature of the proposed activity will determine the type of agreement required. A single agreement between the school P&C association and the school for an unspecified range of activities and duration is insufficient.

Please refer to Table 1 Examples of the shared use of school facilities.

1.3 Advertising on the school perimeter

Schools may permit an external party to place advertising on an outward facing part of the school perimeter for a fee paid to the school. Schools must have an advertising agreement for any outward facing advertising.

Advertising is not permitted:

  • on school digital signboards
  • inside the perimeter fence, including classrooms
  • to target students.

School community activities, including P&C school fundraising activities, do not require advertising agreements. However, schools should ensure that all signage placed on a school perimeter complies with any relevant department policy, council or legal regulations.

This process is used for external parties advertising a product or service on an outward-facing part of the school perimeter.

For proposed advertising value up to $10,000 (excluding GST), the principal:

For proposed advertising value greater than $10,000 (excluding GST), School Infrastructure NSW prepares and approves advertising agreements.

External parties advertising on school grounds:

  • ensure compliance with department requirements
  • obtain and maintain council permissions for advertising signage compliance.

1.4 Canteens

Selecting the correct agreement for operating a canteen at school depends on the situations outlined below:

  • the school (no licence is required)
  • a private operator or not-for-profit organisation (licence is required)
  • the school P&C association (licence is required).

If a private operator is to run the canteen, a tender is required before establishing a new service or at the end of the licence period.

The principal must:

School Infrastructure NSW:

  • is responsible for preparing and approving leases and licences
  • will request a fixed fee security deposit from the provider based on the number of children at the school
  • can assist with operating a canteen and advise on any issues that may arise with the conduct of the canteen, such as breaches of agreement, tender process, or licence issues.

Providers tendering to operate a canteen can propose fees as part of their tender. The license fee may be amended to suit local circumstances. The Deputy Secretary, School Infrastructure must endorse any changes.

For more details about licence and lease agreements, please refer to section 2.2 Licence or lease agreements.

1.5 Community languages schools

Community languages school operators may ask a principal to use the school facilities.

If a school can provide access to facilities, then the principal will need to contact the NSW Community Languages Schools Program unit to determine if the NSW Community Languages Schools Program funds the community languages school.

Those community languages schools funded by the unit can use school facilities and classrooms to run their school free of charge during school terms for up to 3 years.

Other non-teaching and learning activities, such as presentation nights and cultural activities, will need a separate agreement with appropriate fees applied.

For further information, community language school operators can visit the Community languages schools website.

Where free use is approved, the principal:

The principal and the community languages school operators must both sign the agreement.

The principal must determine whether a separate agreement and additional fees may be applied in the following situations:

  • non-teaching or learning activities run by a community languages school, such as presentation nights and cultural activities (these will require a separate agreement)
  • access to additional space for storage or using additional equipment, which is not included in the free use of facilities.

For more details about community use agreements, please refer to section 2.1 Community use agreements.

1.6 Electoral events

NSW public schools may be used for federal, state or local government electoral events. A state or federal electoral commission or a private electoral services provider may contact the school to secure a venue for an election.

Electoral authorities have an overriding entitlement to use school facilities for electoral events, as detailed in Table 5 in section 3.12 Priority of users.

The department has negotiated memoranda of understanding with the NSW Electoral Commission and the Australian Electoral Commission to use schools as polling places. This includes:

  • an agreed schedule of fees schools will charge to defray the costs of using school facilities as polling places, including hire, telephone usage, lighting, heating, cooling, toilets, water, tea and coffee facilities, access to security alarms, tables and chairs, cleaning and trade waste removal and car parking
  • disposing of excess rubbish after election day.

Schools should confirm these arrangements with their electoral commission officers.

In preparation for polling, an electoral commission officer:

  • may inspect the proposed polling venues
  • will provide schools with an agreement for using their premises
  • confirm the details of specific local arrangements.

Hire rates and the terms and conditions are available from the Use of school facilities for electoral events (staff only).

Where a private electoral services provider wishes to use school facilities, school staff should contact the local Asset Management Regional Office for advice.

1.7 Joint use agreement

A joint use agreement is when the department and other parties agree to invest significantly in constructing, upgrading or maintaining facilities. Usually, the asset is shared between the school and the other parties over the asset's lifetime. A joint use agreement may also be agreed when an external party proposed to jointly construct or modify a school facility in exchange for shared use.

The department encourages mutually beneficial shared use arrangements between schools, government agencies, local government and private organisations, provided they do not interfere with the daily operation of schools and their safety or alter the intended purpose of the school’s structure or layout. These projects must place the school’s needs above those of the proposed user.

For example, a council and the department jointly invest in a new synthetic oval and change rooms on school grounds. The oval is leased to the council with exclusive after-hours access but is used by the school at other times.

A principal who has received a proposal for a joint use agreement must consult with the director, educational leadership and refer the proposal to School Infrastructure Asset Activations directorate.

School Infrastructure may also initiate joint use agreements in consultation with the principal. A third party can also nominate a joint use agreement on a school site.

School Infrastructure NSW and the other parties negotiate and sign a joint use agreement, which outlines the responsibilities of all parties in relation to (but not limited to):

  • management structures
  • financial arrangements
  • legal matters (including legislative obligations)
  • design and construction considerations.

School Infrastructure NSW must:

  • evaluate the proposal and run any applicable processes such as expression of interest and/or tender
  • develop a heads of agreement that outlines the negotiated terms and conditions for joint use projects on existing and proposed facilities. This is completed before any construction or joint use begins
  • complete a project deed that progresses the heads of agreement to a formal legal agreement. This is required for new school facilities
  • draft a separate licence for joint use
  • prepare and execute the project deed as well as the subsequent licence
  • manage the licence operation.

Contact School Infrastructure NSW via asset.activations@det.nsw.edu.au.

The Minister’s delegate within School Infrastructure NSW can sign joint use agreements such as project deeds, heads of agreement, leases and licences.

Principals:

  • must consult on all joint use agreements and project deeds with their director, educational leadership, who will liaise with the School Infrastructure Asset Activations directorate
  • are responsible for managing the facilities according to the joint use agreement and for advising School Infrastructure NSW of any issues relating to implementing the agreement.

After consulting with principals and School Infrastructure Asset Activations, all parties will enter into a formal joint-use project agreement based on the heads of agreement, such as a lease or license.

1.8 Markets

There are a few situations when markets can be operated on school grounds.

Market operators must go through a tender process that School Infrastructure NSW conducts when selecting a market operator. Schools wishing to undertake a tender should reach out to asset.activations@det.nsw.edu.au to receive advice on next steps.

For more details about licence and lease agreements, please refer to section 2.2 Licence or lease agreements.

The parents and citizens (P&C) association will require a community use agreement via the Online management system (staff only) when they hold an ad hoc fundraising market. They are not required to tender.

For more details about community use agreements, refer to section 2.1 Community use agreements.

When a tender is required, School Infrastructure NSW must:

  • conduct the tender process to select the market operator
  • prepare and approve the licence agreement between the department and the market operator. The licence fee will be determined from the tender results.

Licence terms are typically 3 to 5 years. Operators may be invited to tender for the next licence term.

The licensed market operator must obtain and maintain all necessary council and regulatory approvals before commencing the markets.

Vendors wishing to trade at the markets should negotiate directly with the market operator.

1.9 Mobile telecommunications facilities

Mobile telecommunications carriers may seek to install mobile telecommunication facilities on or near a school site.

The department does not have the authority to decide on the location, installation or upgrade of a mobile telecommunication facility.

School rights under the industry code

Mobile telecommunication authorities assess several factors when selecting sites for mobile towers and other facilities. Telecommunications carriers must comply with the Industry Code for Mobile Phone Base Station Deployment, which has several sections relevant to installing new, or upgrading existing, facilities on or near school sites.

When selecting a site for a telecommunications facility, carriers must consider if the location is a 'community sensitive location', which includes schools and childcare centres. If possible, carriers should avoid such areas.

Carriers must include an assessment of the following service objectives:

  • the area the planned service must cover
  • power levels needed to provide quality service
  • the amount of usage the planned service must handle.

In some cases, these assessments will determine that a location on or near school grounds and childcare centres is the only feasible location to provide quality telecommunication services to the community.

If the carrier notifies a school, the principal must:

  • consult the director, educational leadership before responding to any enquiries
  • refer the matter to their local Asset Management Regional Office immediately to address any licence or lease issues with the carrier.

Affected or interested parties

Carriers must identify and inform ‘affected or interested parties’ of proposed works and ensure the proposal meets their needs and expectations where reasonable (section 6 of the industry code).

Affected or interested parties include:

  • a school that is on or near the proposed site
  • the school’s parents and citizens (P&C) association
  • nearby preschools, childcare centres and schools
  • resident groups
  • residents in adjacent council areas but living near a site impacted by the proposal.

The carrier must engage with affected or interested parties regarding the proposed facility's site or upgrade and provide them with a specific timeframe to submit their comments.

Submitting mobile communications facility development applications – P&C associations, childcare centres and/or schools can submit responses directly to carriers or local councils. These responses may represent the community.

Actions for school principals

During the consultation period, the principal may:

  • respond directly to the carrier
  • submit a response to the local council through the development application process
  • support the P&C association or local school community to respond directly to the carrier or to the council as part of the development application process.

Principals should contact their local asset services officer for further information or sample materials if they wish to engage directly with the carrier or the local council.

1.10 Commercial activities or when usage exceeds 12 months

School facilities may also be used for commercial activities or where the facilities are required for 12 months or more. Usage may include hiring ovals to sporting organisations, arranging for a local government to manage general community use of a school facility, providing access to a school’s catering or accommodation facilities or enabling an allied health provider to provide services at a school site.

The principal will decide if the proposed use is suitable for further consideration, and if so, refer the request to School Infrastructure Asset Activations via asset.activations@det.nsw.edu.au.

School Infrastructure is responsible for preparing and approving leases and licences. Unless specific approval to the contrary is obtained, lease and licence fees for other commercial activities are paid to the department.

For more details about licence and lease agreements, please refer to section 2.2 Licence or lease agreements.

1.11 Outside school hours care

School facilities may be used for outside school hours care (OSHC). This includes before school, after school and vacation care, as well as childcare centres, long day care centres, occasional care and preschools.

To establish these services, the principal must:

  • contact and provide required information to School Infrastructure Asset Activations email oshc.licencing@det.nsw.edu.au
  • speak with the parents and citizens (P&C) association to confirm whether they are interested in establishing an OSHC service
  • participate in the procurement process.

School Infrastructure Asset Activations:

  • advise and assist the principal in discussions between the school community and prospective service providers
  • establish a service and participate in the procurement process
  • have a licence agreement with the provider.

The provider will meet any costs incurred in establishing the service, including legal, valuation, and regulatory approval.

For more details about licence and lease agreements, please refer to section 2.2 Licence or lease agreements.

To become a provider of early childhood education services, the provider must:

The licence agreement gives the provider the right to occupy the site on which the service will be provided. Service approval gives the provider permission to operate the service on the school site.

School Infrastructure will determine the license fee for each provider category based on standard formulae.

Licence fees are not to be used to raise revenue for the school; however, they should cover costs associated with using the school’s facilities.

The licence fee may be amended to suit local circumstances. The Deputy Secretary, School Infrastructure must endorse any changes.

The department recognises the following 3 categories of early childhood education and care providers. Table 3 summarises the tender requirements for these categories.

Category A providers include services run by the school parents and citizens (P&C) association (identified through their Australian Business Number [ABN]). This also includes local government providers.

Category A providers are the preferred providers of outside school hours care (OSHC) services and are not required to tender as a new service provider.

If the school and community are satisfied with the existing service provider at the end of a license term and wish to continue with the current arrangements, a Category A provider can enter into a new license agreement without conducting a tender.

Category B providers include not-for-profit organisations.

Category B providers are required to tender for appointment as a new service provider and for any new licence at the end of an existing agreement.

Category C providers include for-profit organisations.

Category C providers must tender for appointment as a new service provider and for any new licence at the end of an existing agreement.

Table 3 Summary of tender requirements

Provider category Tender required for appointment as a new service provider (new service licence) Tender required for granting a new licence to the existing service provider
Category A – school parents and citizens association; local government providers No No
Category B – not-for-profit operators Yes Yes
Category C – for-profit organisations Yes Yes

The principal must consult with the School Infrastructure Asset Activations for advice when establishing an OSHC service or when an existing OSHC agreement is due to end.

A licence must be negotiated and signed. A service approval must be obtained before a service can operate on a school site.

Do not use a community use agreement under any circumstances.

1.12 Share Our Space

All schools are Share Our Space schools and are considered for participation in each holiday period unless an exemption has been granted by School Infrastructure NSW.

Participating schools open their outdoor areas to the public to provide opportunities for leisure activities that are appropriate for the available space. Share Our Space is intended to co-exist with other arrangements already in place. Therefore, facility use under the program must exclude areas that are already leased or licensed to other parties under existing agreements.

A community use or other legal agreement is not required when participating schools open their outdoor areas to the public for leisure activities that suit the available space.

Share Our Space is a department initiative and is supported by stakeholders across the department through a working group. More information is available from the Share Our Space website.

Participating schools may also be considered to host additional funded holiday programs. Providers of additional activities under the program (such as those conducted by the Office of Sport) require a community use agreement or other legal agreement to hold an activity.

Please refer to Table 1 Examples of the shared use of school facilities.

For further information about these activities, email sinsw.shareourspace@det.nsw.edu.au.

For more details about community use agreements, please refer to section 2.1 Community use agreements.

1.13 Uniform shops and logo licence agreements

Table 4 outlines the requirements for operating uniform shops.

Table 4 Requirements for operating uniform shops

Type of operator Tender requirement Agreement type
The school Not required Not required, but must contact uniforms.licencing@det.nsw.edu.au for advice
The parents and citizens (P&C) association Must select a uniform supplier via tender Licence is not required, but must select a uniform supplier via tender
A private operator Must provide a tender response before establishing a new service or when the existing licence is due for renewal Licence agreement between the department and the operator is required

Principals:

  • must seek assistance from School Infrastructure Asset Activations licencing team
  • should email School Infrastructure uniforms.licencing@det.nsw.edu.au for advice and assistance when selecting a uniform supplier, establishing a school run uniform shop, appointing a uniform shop operator or preparing a uniform shop licence.

School Infrastructure NSW prepares and signs the licence and determines the licence fee to be charged.

For more details about licence and lease agreements, please refer to section 2.2 Licence or lease agreements.

1.14 Interim provider appointment

The department will consider appointing interim providers for the canteen, outside school hours care (OSHC), preschools, long day care, family day care services, uniform services and markets.

Interim service providers are selected when either of the following occurs:

  • an existing provider has withdrawn, and a new provider is required urgently to ensure continuity of care
  • a new service needs to be established and there is not enough time to run a procurement process due to extenuating circumstances
  • a new service is being established to determine the viability of the proposed service.

When selecting an interim service provider, the preference is for local, not-for-profit, or community-based service.

1.15 Externally funded service providers

Externally funded providers may request access to school sites to provide health, disability and wellbeing services to students. These services are initiated and financed between the student’s parents or carers and the provider.

The principal will determine if it is appropriate for the service to be provided at the school.

When services occur during school hours, use the External provider engagement agreement. More information about this agreement is on the Externally funded service providers webpage.

Please note:

  • The external provider engagement agreement is not applicable for services provided before or after school hours on school premises. Depending on the user, the services may require a community use agreement, licence or lease (refer to Table 1 Shared use of school facilities examples).
  • When the school funds health services from providers that are prequalified under the department’s Specialist Allied Health Behaviour Support Provider Scheme, they are not required to complete the externally funded service providers agreement.

For further information, please email: ExternalProviderFeedback@det.nsw.edu.au.

2. Get more information about community use, licence or lease agreements

2.1 Community use agreements

Use community use agreements when not-for-profit organisations, parents and citizens (P&C) associations or very small commercial enterprises hire school facilities for 12 months or less. A ‘very small’ commercial enterprise typically has up to 2 employees and a single location for the delivery of services.

The following steps outline the community use agreement process. There must be a new community use agreement each time the arrangement is renewed.

Principals or delegates:

After the agreement is prepared, the principal and community user must:

  • complete and sign the community use agreement form
  • uphold the standard terms within the agreement.

Do not use community agreements for:

  • school canteens
  • state, federal or local government electoral events
  • proposed joint use of facilities with a financial contribution towards the constructing or upgrading of school facilities from an external party
  • if the hirer intends to 'sub-hire' (note that sub-hire under community use agreements is prohibited)
  • markets
  • mobile telecommunications facilities
  • outside school hours care, preschool or long day care
  • Share Our Space programs by individual users
  • uniform shops.

2.2 Licence or lease

School Infrastructure NSW must prepare a licence or lease when the duration exceeds 12 months or the use is of a commercial nature.

Activities of a commercial nature are run by for-profit organisations that have:

  • substantial turnover
  • multiple locations for delivery of services
  • more than 2 employees.

The principal must determine if the proposed use is appropriate and refer the request to School Infrastructure Asset Activations.

School Infrastructure, in consultation with School Performance, may enter into a licence agreement with local government to manage the general community use of a school facility outside of school hours.

A licence does not generally provide exclusive use of the school facilities. For example, an outside school hours care service that operates from the school hall only at agreed times.

Only the Minister’s delegate within School Infrastructure NSW can sign leases and licences.

Examples include:

  • early childhood education services (outside school hours care, preschool, long day care)
  • canteens
  • uniform shops and use of school logos on uniforms
  • markets
  • when the user will have exclusive use of the school facilities
  • other uses such as:
    • hiring ovals to sporting organisations
    • providing access to a school’s catering
    • providing accommodation facilities
    • allied health providers providing services at a school site outside school hours.

3. Comply with the mandatory requirements for using school facilities

Schools, external parties and/or community users using school facilities must comply with the mandatory requirements outlined in this section.

3.1 Appropriate use of facilities

Principals ensure that school facilities are not used for activities that interfere with student learning or contradict the values of public education or the school’s purpose and goals.

If community users plan to use the school facilities for purposes outside of those permitted in the council’s local environment plan, they must:

  • check and obtain development approval
  • provide the principal with a copy of the council’s determination before they can commence.

A licence or lease, project deed or advertising agreement should include conditions requiring the community user to obtain development approval.

3.2 Smoking and alcohol consumption on school premises

The department reserves the right to prohibit alcohol consumption on department-owned land as a condition of leases and licences at its sole discretion.

The department’s Drugs in schools policy outlines the rules for the use of tobacco, e-cigarettes and alcohol.

Principals must enforce the following:

  • strict prohibition of smoking cigarettes, e-cigarettes and vaping on school premises at all times
  • alcohol must not be consumed or brought to school premises during school hours
  • outside of school hours, principals may approve the consumption of alcohol if all of these apply:
    • the school’s parents and citizens association executive are consulted and agree
    • the community users serving alcohol have the appropriate liquor licence from Liquor and Gaming NSW
    • all children present are accompanied and supervised by a parent or carer
    • those consuming alcohol agree to act in a socially responsible manner that would set a good example to children.

Principals must clearly state in the additional/special conditions section of the community use agreement whether permission is granted for alcohol consumption on school grounds and any limitations.

3.3 Child protection

Child protection compliance is mandatory for community users in all agreements, leases and licences where children and young people are involved or will be present.

When children and young people are not involved and are not present, this section does not apply.

Principals must inform community users that they are responsible for fulfilling their obligations under child protection legislation.

Community users must ensure they are aware of and comply with all requirements of child protection legislation, including:

The community user must give the principal a signed Community use of school facilities child protection declaration (PDF 278 KB) before signing any agreement, lease or licence to use school facilities. This is necessary to ensure compliance with all legislative requirements related to protecting children and young people from abuse and neglect.

3.4 Cleaning

The department will pay for cleaning where the facility is cleaned as part of the school’s scheduled cleaning program. If additional cleaning is required after a user has used a school facility, the principal will arrange for it and the user will pay for it. Fees charged should consider any cleaning requirements.

3.5 Commercial operation

A commercial activity requires a lease or licence agreement.

Principals must refer the proposed commercial activity to School Infrastructure Asset Activations for advice.

Refer to section 3.9 Fees and income for more information about when to contact School Infrastructure NSW.

3.6 Contract management

If there are challenges to upholding the conditions of the contract, principals must follow the steps outlined below.

Disputes between the school and the community user should be resolved at the school level where possible.

If the matter cannot be resolved locally, the school or the community user should refer the issue to the Director, Educational Leadership. Where necessary, use an interpreter service to facilitate effective communication.

Disputes on the billing should be referred to EDConnect, Accounts Receivable.

The Complaints handling policy must be used to manage complaints.

Schools must keep records of concerns raised by the school, the community or the community user, what action was taken, and the resolution. Schools must also record the action that was taken and the resolution.

In exceptional circumstances and if a notice relating to a property matter is received (or required to be issued), the director, educational leadership may refer the matter to School Infrastructure NSW.

Where an application to use school facilities is declined, the principal must keep a record of the reasons for declining the application.

Any agreement, lease or licence may be suspended or terminated as outlined by the terms in the relevant document to ensure that the school’s, department or public requirements are met.

Situations in which a suspension or termination of an agreement may be considered can include the following:

  • in the event of an emergency or designated disaster, where school facilities are unavailable due to the risk posed by the emergency, or the school facilities are operating as an evacuation centre during an emergency or declared disaster
  • a school is to be used for a federal, state or local government electoral event
  • an unforeseen essential school need that requires exclusive use of the facilities
  • the school is closed and the land is scheduled for disposal
  • the facilities become unsafe or the proposed activity poses a threat to safety
  • the user activities are detrimental to the school and its students
  • public health orders prohibit or restrict use
  • the community user significantly breaches or repeatedly breaches the agreed conditions
  • a children’s services provider is losing regulatory approval.

Terminating or suspending community use agreements

The principal may suspend or terminate a community use agreement, an advertising agreement or an external provider engagement agreement.

When terminating or suspending a community use agreement, the principal must provide the community user with written advice that includes the reason for the suspension or termination.

The department can terminate a community use agreement by giving 2 weeks’ written notice if the termination isn’t related to a breach of use.

The community user may terminate a community use agreement by giving 2 weeks’ written notice.

Terminating or suspending a licence or lease

Only the Minister’s delegate within School Infrastructure NSW:

  • may issue notices and terminate leases and licences
  • determines what information will be included.

The principal:

  • must keep detailed records that support the termination or suspension. The department needs evidence to issue breach notices or action termination requests
  • must send the requested termination or suspension to School Infrastructure NSW.

If a community user has not defaulted at the time of suspension or termination, the department will refund any fees paid during the suspension or beyond the termination period.

3.7 Damage to property

Users will pay for any damage to property and equipment that occurs while they are using it, unless stipulated otherwise in the agreement, lease or licence terms.

Community users must immediately report any damage or accident occurring during the use of school facilities to the principal.

In the event of property damage, the community user can claim from their insurer. If uninsured, the community user may be left with costs to pay. The department’s insurer (Treasury Managed Fund) would respond on behalf of the school/department but then seek to recover costs from the community user or their insurer. Refer to section 3.11 Insurance.

3.8 Development applications

Some activities may require council development approval before commencing.

The community user is responsible for determining whether development consent is required. If required, they must obtain development consent.

The Minister’s delegate within School Infrastructure NSW, must provide owner’s consent to lodge a development application.

However, the Asset Management directors may sign development applications for demountable buildings, signage and Asset Management minor program works.

3.9 Fees and income

The principal or delegate should follow the guidelines in this section when fees can or cannot be applied.

As a minimum, users must cover costs associated with using the school’s facilities, unless otherwise noted in this document.

For advertising agreements, principals must contact School Infrastructure Asset Management Regional Office for advice on the market rate to be charged.

Schools must manage income by following procedures in the Finance in Schools Handbook (staff only). They must report revenue from the use of school facilities in their annual financial statements and may determine how to use the revenue.

Principals:

  • may determine the fee users pay. Refer to the hire charges section on the General community use of school facilities web page as a guide
  • may consider discounting or not charging fees for the school’s parents and citizens (P&C) association for activities other than meetings, annual general meetings, fund-raising and community events
  • may consider discounting or not charging fees for not-for-profit providers
  • must ask School Infrastructure Asset Activations for advice on fees that meet any of the following criteria:
    • the proposed activity is a commercial operation
    • the principal determines that the scheduled fee is considered insufficient and chooses to seek a market rate
    • the scheduled fee charged does not cover the additional cost of the agreement
    • the agreement would prevent another proposed lease or licence to operate at market value
    • the hirer will gain a significant commercial advantage from the agreement.

Principals may charge additional fees to recover the costs of equipment used by the community user, considering cost of maintenance, cleaning and replacement.

Free community use is granted to the Aboriginal Education Consultative Group, professional teachers’ associations and the Adult Migrant English Service.

Community languages schools funded by the Community Languages Schools Program are also entitled to free use of school facilities during school terms and are eligible to sign a Community Use Agreement for up to 3 years. Refer to section 1.5 Community language schools for more information.

School Infrastructure sets standard fees for canteen services and outside school hours care (OSHC) licences, including early childhood education and care service operations and uniform services.

Treasury Direction 469.01 requires the department to obtain market value on government assets leasing. If School Infrastructure NSW has not set standard fees, it will determine the appropriate market fee for the lease or licence, including joint use agreements.

The user may be required to pay for any legal fees incurred to prepare leases and licences.

Principals should ask a community user to pay a refundable security deposit for community use agreements. This is an upfront payment that the school may keep if the user does not comply with the terms of the agreement. It may also cover the cost of lost or damaged property.

As a guide, the security deposit should represent 5% of the community use agreement's value. The security deposit should be more than 5% if the principal has waived the fee.

A bank guarantee may be required when signing a lease or license. The lease or licence will specify the methods to satisfy this.

3.10 Information security

Community users must not gain access to the department’s information assets in electronic, paper, audio or video form. These include department employees' and students' records and work products.

For further information, refer to the Information security policy.

3.11 Insurance

There are specific insurance requirements depending on the type of agreement and below sets out some of these requirements.

Principals requiring clarification about insurance matters should contact EDConnect.

School Infrastructure NSW will determine the insurance requirements for leases and licences and include these in the individual agreements.

Principals requiring clarification should contact School Infrastructure Asset Activations.

The community user must obtain and maintain a broad form liability insurance policy (also known as public liability insurance) during the term of the agreement. The policy must:

  • be appropriate to the community user’s activities for at least $20 million for any one occurrence in respect of any liability for personal injury and property damage arising out of, or in connection with, or caused by the community user’s occupation and use of the premises and equipment
  • be issued by a body corporate authorised to carry on insurance business under the Insurance Act 1973 (Cth)
  • note the interest of the State of New South Wales.

The principal may allow the hire of school facilities without the community user having public liability insurance if the proposed use is non-commercial and the principal is satisfied the use is low risk. If there is a claim due to the department’s breach of its duty of care, the claim will be against the department’s insurance policy.

The department’s insurance arrangements do not cover the activity or the participants in that activity if there is no fault of the department. Participation in the activity offered by the community user is essentially at the participant’s own risk.

The community user must obtain and maintain workers' compensation insurance with a licensed insurer under the Workers' Compensation Act 1987 (NSW) during the term of the agreement for any of their employees who are employed in connection with the use of the premises and equipment.

Where access is to be provided under a community use agreement, the community user must provide the principal with a copy of, or a certificate of currency for these insurance policies. Should the community user’s insurance policy expire during the term of the agreement, the principal should request a copy of the renewed insurance policies or certificate of currency.

Separate insurance requirements apply to externally funded providers delivering health, disability and wellbeing services to students on school sites during school hours. These requirements are set out in section 1.15 Externally funded service providers.

3.12 Priority of users

School educational programs have priority use of school facilities and equipment.

Agreements, leases and licences already in place have priority over new applications, except when facilities are required in response to community disasters or when required by electoral authorities.

Principals need to consider user priorities when assessing competing applications. If needed, the principal determines the priority between users in the same category. The principal may consult with the director, educational leadership and the school community.

The activity and user examples listed in Table 5 do not indicate the order of priority by which the applications should be assessed.

Table 5 Priority of users

Priority User type Activity/user examples
1 Community disasters Emergency or designated disasters and evacuation centres (subject to the direction of Health, Safety and Staff Wellbeing and the Director, Educational Leadership)
1 Electoral authorities Federal, state and local government electoral events
2 NSW Education Standards Authority Higher School Certificate examinations
3 Parent body activities Parents and citizens (P&C) association meetings
3 Children’s service providers Outside school hours care
4 Government organisations including departmental and associated groups

NSW Aboriginal Education Consultative Group (AECG)

Aboriginal Learning and Engagement Centres and Aboriginal homework centres

Adult Migrant Education Program classes

Community languages schools registered with the Community Languages Schools Program

Department programs such as Share our Space

Council programs under joint use agreement

TAFE NSW

Professional teachers’ associations, other government schools

Secondary College of Languages

5 Not-for-profit educational services

School P&C associations and other incorporated school-based, parent-operated services

Not-for-profit community colleges

6 Other not-for-profit users

Office of Sport – sporting programs

Local councils

Community theatre groups, dance groups, rotary club meetings

7 Other for-profit users Commercial karate classes, markets

3.13 Probity

When sharing school facilities, it is important that staff managing agreements, leases and licenses act in an ethical manner. This includes, but is not limited to:

3.14 Prohibited organisations

For national security reasons, the Australian Government lists organisations that must not be given access to school grounds or its students. For further information, go to the Australian National Security website.

3.15 Risk assessment

Before allowing school facility usage, the principal must conduct a risk assessment to ensure facilities and equipment are safe and in good condition.

The principal may seek advice and support from their local work health and safety representative.

As part of the assessment, the principal should consider the following community user information:

  • the proposed use
  • known specific risks and proposed mitigations
  • whether the facilities are fit for purpose
  • the roles and responsibilities of the organisers and any volunteers
  • supervision of any children on the grounds (including play equipment areas and toilets)
  • car parks and traffic control as required for surrounding streets
  • emergency medical plans
  • safe working statements or risk management plans, if appropriate
  • age of participants.

The principal is not required to perform a risk assessment when the facilities are used for outside-school hours care services or other early childhood education services.

The Early Childhood Education directorate regulates these services and will conduct the risk assessment as part of the regulatory approval process.

3.16 Safety and security

The principal or delegate must inform community users of the school's contact officers and the role of the School Security Unit, so they know who to contact during emergencies or major incidents.

Principals:

  • are the school site controller under the Work Health and Safety Act 2011
  • use the Work health safety matrix (PDF 62 KB) to determine the work health and safety requirements for different types of shared use
  • inform the community of the relevant work health and safety requirements relevant to the site and their activities. This includes sharing information with user groups to help them and other site visitors to remain safe while on school premises
  • ensure that users know they must report any accidents or incidents to the work health and safety incident and injury hotline on 1800 811 523
  • maintain a register of community users who have been provided with keys or security access codes
  • work with community users to understand and address safety and security issues, including:
    • making suitable entry and departure arrangements
    • ensuring all doors and windows are secured and locked and all lights are turned off when the community user has finished using the facility
    • having a suitable process for collecting and returning keys
    • ensuring the alarm system is disarmed before entry and armed when the community user has finished for situations when the facilities are used without school staff present
    • ensuring users understand their responsibility to supervise community members who are using the facility
    • outlining expected behaviour standards of facility users
    • having access to clear emergency procedures.

Record-keeping requirements

The principal must retain all signed advertising and community use agreements. The school must keep all information the community user provides and records of incidents, disputes or complaints.

For community use agreements that include the payment of a licence fee, a copy of the CUA should be provided to edconnect.accountsreceivable@det.nsw.edu.au.

School Infrastructure NSW must retain signed leases or licences and provide a copy to the principal for their reference. A copy should also be provided to EDConnect Accounts Receivable.

Mandatory tools and templates

Supporting tools, resources and related information

Policy contact

The Executive Director, Asset Activations, monitors the implementation of this policy, regularly reviews its contents to ensure relevance and accuracy, and updates it as needed.

Reference number PD-2009-0400-01-V03.0.0

Implementation date

31/07/2015

Last updated

15/03/2024

Publicly available

Yes

Policy cluster/s

Facilities and assets

Category:

  • Facilities, assets and equipment

Topics:

  • Facilities and assets

Business Unit:

  • School Infrastructure NSW
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