Financing System of Higher Vocational Schools

[Abstract] allows the rapid development of Vocational institutions growing demand for capital, but relatively simple sources of financing vocational colleges, national policy has some limitations. In combination with the current actual situation in China, building a financing system of vocational colleges set to promote vocational colleges to strengthen financial management, improve capital efficiency.

[Keywords:] vocational colleges; financing channels; system

First, the status of financing for vocational colleges

Vocational Colleges Vocational funding mechanism is to raise Education funds for the construction of the financing systems and their interconnections, the role and specific ways to promote their operation. Foreign countries in the expansion of Higher Education financing has many years of exploration and practice and achieved considerable success. Most of the developed countries into diversified sources of funding Higher Education developments, the Education is mainly funded by government Investment, tuition and fees, grants and contract funds, donated income, sales and service income, other income, such as several two parts. which comes from government spending, tuition and fees, sales and service income of the three channels, the majority of the total funding.

China is a developing country, rich labor resources, senior professional and technical personnel is intense, Higher Education is facing a good opportunity for development. But the development needs of the corresponding financial support, and funding sources of higher vocational colleges and relatively simple, only basic daily maintenance of school expenses, equipment and facilities for teaching a serious shortage of construction funds, which has restricted the bottleneck in the development of vocational Education in China. So, how to break the traditional mode of financing, expand financing channels and to provide system security is a problem of this paper .


Second, funding Vocational System

(A) sources of financing the expansion of vocational colleges
In recent years, the development of vocational Education was the demand for capital growth trend, the traditional financial allocation, tuition fees can not meet the development needs of vocational Education. Therefore, higher vocational colleges should learn from the advanced experience of expanding sources of funding.

1. Bank loans. College financial grants and tuition fees can only meet the expenses of the daily teaching activities, it is difficult for a substantial savings of funds into infrastructure. Universities due to its strong government support, with a more stable financial appropriations and student fees income, development of the industry is relatively stable, compared with the corporate business risks faced by relatively small, so Investment in education increased the importance of the financial sector, financial sector has become the new hot spot for Investment and economic growth. In this situation, the university generally large-scale loans from the banks.

2. Fund raising to support education. Community funds mainly refers to a number of powerful enterprises to advance funds for the college building. For example, the new campus of the current university student housing schools and most of the construction of a joint venture enterprise. Schools and businesses signed on funding input and return the agreement. University after the completion of the new campus, the school will be the return of funds to enterprises mainly through student fees and accommodation, in addition to the replacement of old and new campus land assets income, operating income of supporting services, and logistics sector income and other social services.

3. Scientific Research, industrial operation of the company to provide funding for the vocational college. Vocational colleges can use their own technology, R & D strengths, job training advantage, and strengthen the close cooperation with the enterprises, scientific Research achievements into productive forces. Through the market needs to create professional advantage with run enterprises, strengthen enterprise operations management, development for the college to provide more funding.

4. To fight for social donations of vocational colleges. At present, China's vocational education institutions to accept donations of funds not ideal. According to the China Statistical Yearbook shows funding for education, donation of revenue in 2003, the proportion of university funding is only 1.5%, a very limited number of social contributions, the larger the gap compared with developed countries. abroad to encourage donations to schools, tax relief to the tax, the establishment of specialized financing institutions, and strengthen the standardization of the donor operation, donor funds to ensure that education reasonable use, and scholarships and buildings dubbed the name of donors to increase donors and other measures of social reputation and status, these experiences are worth learning from.

5. Issue Education Lottery. Countries could draw welfare lottery and sports lottery issuance of the experience of successful trial issue of education lottery funds raised will be used to increase state education funds. But also can set the education and education lottery awards linked to such as access to educational opportunities or learning fund. Issue Education Lottery is the reputation of colleges and universities to raise funds using their own way, this approach is rare in our country. Released education lottery to raise money can be used for college cash flow to repay some debt or college projects.

6. Pilot joint-stock schools. Can learn from the operation of the modern joint-stock company approach to stock in the form of higher learning institution. Stock shareholders including State universities, enterprises, institutions and individuals. Shareholding colleges and universities can invest in increasing social and personal passion for education. Meanwhile, the educational outcomes and economic self-interest can also be linked to effective monitoring of school achievement, improve teaching quality.

(B) the system of vocational colleges guarantee funding sources
By drawing on the experience of various countries, the current actual situation in our country to build a vocational college funding system security system. Mainly consists of two parts: First, the external security mechanism; the second is the internal operation mechanism.

1. External Security System
(1) The allocation of education funding system. University funding mechanisms need to be addressed first is the system security issues. Government funding for universities is the main source of college funding one of the channels. At present the funding of universities to implement a "comprehensive fixed + special grants "are distributed. one of the few college financial transfer from the district or county level. This education property rights and the separation of powers and government Investment in education fragmented, sectoral allocation of funds division of the university system is essentially a type of resource constraints system, which integrated the biggest problem is not fixed in the scientific and to a large extent on the funds allocated to schools in the use of funds with the school effectiveness and school-linked by social needs, it is difficult role of the government financial allocation through the role of regulating supply and demand of education in improving the efficiency of capital use is more difficult to make a difference. Therefore, the current one hand, colleges and universities to reform government financial allocation system, follow the "giving priority to efficiency with due consideration to fairness" principle, to establish a "college education on demand, middle schools by the government, "the demand constraints funding system; while also gradually set up and implementation of educational funding system, funding the government on the vocational colleges, scientific Research funding and student grants the contract step by step together.

(2) educational grants duty-free system. Social donation is another source of funding for Higher Education channels in the U.S. and Japan, some developed countries, community college fees in the account for donations for a large proportion. The United States to accept the donation and the number of schools Endowment Fund Investment income, there is considerable scope. The income of donor funding in the proportion of college negligible, except with the low level of economic development and people's ideas about, but also has much to our donation system is imperfect. For instance, China <<Public Welfare Donations Law "> in, the State encourages the natural legal persons, legal persons or other organizations to donate to public welfare, but the tax system in the donor, only for rural compulsory education, public places and red youth activities Cross donations will be allowed to deduct personal income tax in full, but donations of Higher Education is not a requirement. Therefore, the Government should expeditiously enact enterprises, individuals or social groups donate funds tax-free education system, expanding the donor community for vocational schools sources of funding.

(3) The charging system of higher education. Tuition cost-sharing as the main source of higher education, fees should be determined based on the cost of higher education and the reality of students and their families ability to pay. However, the standard fees as a basis for determining the existence of the operation certain difficulties. because the fees associated with the parties, including government, schools, families of students there is a certain contradiction in the interests of the government pay more attention to the educational development and educational equity and financial capacity to pay, the school is more concerned about the cost of education , students and families concerned about their ability to pay tuition fees. In order to improve the fee system of higher education should also take the following measures: adopt differential tuition policy, different types of schools, different majors, different quality of education in the same category of schools, Tuition should be different. At the same time supporting the development of student financial assistance system, and create a favorable policy environment for student financial assistance.

(4) social credit system. Of college financing is based on the financial markets in the modern capital of the height of the credit activities, vocational colleges to establish the appropriate trust evaluation mechanism, to ensure that the process of university funds the integrity of business transactions, to avoid interpersonal the negative impact of network of relationships, and create a good social credit environment Vocational Vocational funding has important practical significance.

2. The internal operation mechanism
(1) Funding risk early warning and preventive measures. In recent years, China has made significant breakthroughs in the reform of higher education, the dominant position of corporate universities has been largely established. It gives the university more and more independent and self-management rights, college education funding in , use of funds for education, etc., have a certain autonomy. Now, with college enrollment and the rapid expansion of the scale of infrastructure, lack of funds has become a major bottleneck restricting the development of universities. Since the expansion of university funding sources, some College began operating liabilities, colleges and universities has also become emerging debtor. universities basic construction through debt financing, in a relatively short time scale of university education has been expanded, disciplines, teaching staff, Research capacity, improve teaching quality; Higher debt financing stimulating economic growth, and achieved remarkable social benefits. But at the same time, liabilities and operations is a "double-edged sword." According to Academy of Social Sciences published <<2006: China Social Situation Analysis and Forecast>> shows that before 2005, China's public universities bank loans amounted to 1 500 billion yuan to 2000 yuan. Jiu San Society Central Committee Vice Chairman Shao Hong that "college debt is actually much more than that amount." Shao Hong said , except for bank loans, many debt through the construction side Loaning and some units of Investment, a conservative estimate college debt 4 000 million. University of huge debts to banks to increase the financial risk, it may eventually become the new bad debt of state-owned banks , which imply a huge financial risk, high debt rate universities colleges and universities buried deep long-term development implications. Therefore, a careful study, prevent and defuse financial risks universities, the establishment of appropriate risk management and prevention mechanisms, can promote the university healthy, stable and sustainable development. reposted elsewhere in the Research Papers Download http://www.hi138.com (2) Performance Evaluation, Teaching and funding targets. through the establishment of university funding financial evaluation system, Colleges and Universities comprehensive performance of the financing, the evaluation system. As the economic benefits of university assessment and examination of material production sector enterprises and other economic benefits compared to a larger difference between the cost of the concept and business use of funds compared to the main part of the university are expendable, with non-compensatory, so the results form the output of universities is more complex, manifested in the talent, achievements and effectiveness of multi-objective forms, and strong financial indicators with comprehensive features. college funding financial Performance Evaluation is based on AHP thinking, dynamic management requirements as the starting point, performance and risk assessment as the core, from a financial point of comprehensive, systematic evaluation of college ultimate performance and efficiency, to highlight the limited evaluation objectives, promote the healthy development of a comprehensive vocational colleges.

(3) in the enterprise financial management system. Kind of corporate behavior is the use of economics and management tools provided, to analyze the behavior of university management, university-based management planning structure and organizational culture methods. In the market reforms and globalization impact of the wave, the university's business functions and technical innovation have become increasingly prominent, college is no longer a purely non-profit organization. From the morphological point of Higher Learning and the enterprise has common type of organization. Li Yining has pointed out that "any education units, regardless of his or provide public goods private goods, income and expenditure must be calculated, should carry out economic accounting, ways to increase revenue expenditure. operating properly, can not bring profit educational institutions are not. "university organizations and similar businesses , decided by the modern enterprise system in use in university management. vocational college fund-raising activities should be flexible introduction of modern enterprise management philosophy and mode of operation to facilitate smooth functioning of university fund-raising efforts, and create more social benefits and economic benefits.

Vocational Colleges in the financing system requires both the government and relevant departments of external security system, but also rely on schools, for their internal operation to establish a mechanism to raise funds to vocational colleges and produce certain social benefits. ●

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