Subdiv 1Governing councils and affiliated committees

Subdivision 1—Governing councils and affiliated committees 34—Governing councils of schools (1) The Minister must, by notice in the Gazette, establish a governing council for each school established under this Act. (2) Subject to this Act, the same body may be the governing council for 2 or more schools. (3) A governing council— (b) has, subject to this Act and its constitution, all the powers of a natural person that are capable of being exercised by a body corporate; and (4) Except where the governing council adopts a constitution approved by the Minister under Subdivision 2, the governing council of a school is to operate under the model constitution for governing councils of the relevant kind. (5) Subject to this Act and its constitution, the governing council of a school may determine its own procedures. (6) The regulations may make further provision in relation to governing councils of schools for the purposes of this Act. 35—Composition of governing councils of schools (1) Subject to this Act, the governing council of a school consists of— (a) the principal of the school (ex officio); and (b) such number of other persons as the Minister may from time to time determine, being persons elected or appointed in accordance with the governing council's constitution, or appointed by the Minister under this Act. (2) Subject to this Act, a majority of the persons appointed under subsection (1)(b) must, unless the school is wholly or principally for adult students, be persons who are responsible for students enrolled in, or children who are to attend, the school. (3) The governing council of a school must, in accordance with the governing council's constitution, appoint or elect one of its members to be the presiding member of the governing council, being a person who— (a) except in the case of a school that is wholly or principally for adult students, is responsible for a student enrolled in, or a child who is to attend, the school; and (b) is not a member of the staff of the school or a person employed in an administrative unit for which the Minister is responsible, (however, the governing council may, with the approval of the Chief Executive and until such time as a person who is not a person referred to in paragraph (b) is willing to be the presiding member, disregard the requirement under paragraph (b) if there is no other member willing to be the presiding member). (4) If an election of members of the governing council of a school fails because no person nominates, or an insufficient number of persons nominate, for the election, or no votes are cast in the election, then— (a) the Minister must conduct at least one supplementary election in accordance with the governing council's constitution; and (b) if that election or those elections also fail, the Minister may appoint such persons to the governing council as the Minister thinks fit (and subsection (2) will be taken not to apply in relation to the governing council in such a case). (5) To avoid doubt, subsection (4) applies despite the provisions of the governing council's constitution to the contrary. (6) If a school includes, or is to include, a school‑based preschool, the governing council will be taken to include any persons appointed under section 17(2). 36—Affiliated committees (1) The Minister may authorise the establishment of committees to be affiliated with a governing council (an affiliated committee). Note— An example of an affiliated committee would be a parents and friends committee. (2) Except where an affiliated committee adopts a constitution approved by the Minister under Subdivision 2, an affiliated committee is to operate under the model constitution for affiliated committees of the relevant kind. (3) The regulations may make further provision in relation to affiliated committees for the purposes of this Act. 37—Conflict of interest (1) A member of the governing council of a school who has a direct or indirect pecuniary interest in a contract or proposed contract with the governing council— (a) must, as soon as the member becomes aware of the interest, disclose the nature of the interest to the governing council; and (b) must not take part in discussions or decisions of the governing council with respect to that contract; and Maximum penalty: $20 000. (2) A member of an affiliated committee who has a direct or indirect pecuniary interest in a contract or proposed contract with the affiliated committee, or the governing council with which the committee is affiliated— (a) must, as soon as the member becomes aware of the interest, disclose the nature of the interest to the affiliated committee and governing council; and (b) must not take part in discussions or decisions of the affiliated committee with respect to that contract; and Maximum penalty: $20 000. (3) If a member of the governing council of a school or an affiliated committee discloses an interest in a contract or proposed contract in accordance with this section— (a) the contract is not liable to be avoided by the governing council or affiliated committee on any ground arising from the fiduciary relationship between the member and the governing council or affiliated committee (as the case requires); and (b) the member is not liable to account for profits derived from the contract. (4) This section does not apply in relation to a contract in which a member of the governing council of a school or an affiliated committee has an interest while the member remains unaware that they have an interest in the contract, but in any proceedings against the member the burden will lie on the member to prove that they were not, at the material time, aware of the interest. 38—Accounts may be audited The Chief Executive or the Auditor-General may, at any time, inspect or audit accounts kept by the governing council of a school or an affiliated committee.