Capital Works Fund

The Capital Works Fund (CWF) supports small-scale priority projects that improve the learning environment, condition, or character of Victorian government schools. The CWF also includes projects that promote inclusion, especially for students with disabilities and additional needs.

The CWF is not intended for routine and preventative maintenance activities, or for major capital works. The Victorian School Building Authority (VSBA, a division of the Department of Education) administers the CWF.

Program principles

The 2026–27 CWF will be prioritising projects that clearly:

• address priority building conditions
• improve the learning environment, condition or character of the school
• cannot be fully funded from within existing school funds
• support schools that have a demonstrated commitment to facility maintenance
• support Victorian construction jobs as well as suppliers and other industry sectors.

In terms of student inclusion, the CWF will also consider proposals that:

• increase participation and improve learning outcomes for students with disabilities or additional needs
• create innovative environments based on inclusive best practice and universal design in facility planning and design for students with additional needs.

Funding is not intended to:

• replace routine, scheduled, and preventative maintenance (schools are expected to undertake this with Student Resource Package [SRP] funding)
• replace significant capital works projects that require state budget funding
• replace other key funding programs, such as:
  • emergency maintenance or issues relating to health and safety, which should be addressed through the Emergency Maintenance Program
  • modifications to make a facility compliant to the relevant disability legislation and standards, which can be made through the Accessible Buildings Program.

Schools that have not previously received funding under the CWF – or the earlier Minor Capital Works Fund (MCWF) and Inclusive Schools Fund (ISF) – may be prioritised for consideration.

Program timelines

The program opens on Monday 18 May 2026 and closes at midnight on Friday 12 June 2026 with all funded projects to be completed by the end of December 2028.

Funding streams

The CWF will provide infrastructure opportunities through three funding streams:

• We will prioritise condition-related projects (e.g. toilet and roof upgrades), as well as projects that promote inclusion.
• We will determine who manages the project – whether it be school-led or VSBA-led.
• If an application to Stream 1 is costed above $150,000, we will move it to Stream 2 for assessment.
• Schools must provide a clear project description with detailed specifications and designs/plans.
• We will arrange for all projects to be professionally costed.
• Schools can co-contribute an amount up to maximum project costs.
• Co-contributions for ‘announced projects’ must be approved by the VSBA.

NB: By exception, a project costed above $600,000 under Stream 2 or $350,000 under Stream 3 may be approved for funding in cases where the VSBA deems it a significant priority.

All funded projects to be completed by the end of December 2028.

Apply via SmartyGrants. Applications close midnight, Friday 12 June 2026.

Determining project scope costs and project viability

If you’re uncertain of which stream to apply under, please email capital.works@education.vic.gov.au.

For small condition-related projects, apply for Stream 2 if you’re sure your project is expected to cost more than $150,000 (ex GST).

For inclusion projects, all applications of up to $350,000 will be assessed under Stream 3.

Your project proposal must be within the maximum funding amount ($150,000 for Stream 1, $600,000 for Stream 2, and $350,000 for Stream 3).

You do not need to obtain a quote as part of your application.

The application and assessment process is designed to help the VSBA understand what your school is looking to achieve, and your project proposal will be professionally costed by a quantity surveyor.

It is the role of schools to clearly define the project scope. The online application template asks key questions to help you articulate your project scope and intent.

To further support schools in determining an achievable scope of works under the CWF 2026–27 Round, the VSBA may contact schools to clarify project scope and intent.

It is the role of the VSBA to assess all applications and determine project costs.

• The VSBA will engage professional quantity surveyors to assist in costing applications.
• Schools may receive a phone call during the assessment process to clarify scope. This call may be from the VSBA or a professional quantity surveyor assisting us cost projects.
• Where the VSBA receives professional advice indicating Stream 1 proposals are estimated to cost more than the maximum funding amount of $150,000 (ex GST), they will be moved to Stream 2 for consideration.
• Where the VSBA receives professional advice indicating that proposals under Stream 2 or Stream 3 are estimated to cost more than the maximum funding amounts ($600,000 for Stream 2 and $350,000 for Stream 3), your school will be given the opportunity (where possible) to:
  • meet any project-related costs more than the maximum available funding amount, or
  • allow the VSBA, in consultation with your school, to reduce the project scope to fit in with the maximum funding amount available.
• The announced funding covers all costs associated with the building project, including project management and professional fees as well as contingency items. The VSBA is responsible for making all required payments to consultants and builders.

Where unforeseen circumstances or latent conditions arise causing the project to incur additional costs beyond the available budget, unfortunately no additional funding is available. In these circumstances, the VSBA will work with schools to ensure the best outcome is achieved from the announced funding.

Eligible schools

The CWF is open to all Victorian government schools.

Funding for Victorian non-government school infrastructure projects is provided through the Building Fund for Non-Government Schools.

Eligible projects

Projects are eligible if:

• they pertain to a government school registered with the Victorian Registration and Qualifications Authority (VRQA)
• they are compliant with the Building Quality Standards Handbook
• the proposed use is consistent with the Education and Training Reform Act 2006
• they are ready to start and able to be completed by the end of December 2028.

Only one project per school can be funded, although schools with multiple campuses can apply for a separate project for each campus.

Project versus project bundling

Schools can only apply for one project (unless they have multiple campuses, in which case they can submit an application for each campus).

Projects are defined according to their scopes of work or project ‘theme’ (e.g. a student toilet upgrade).

Project bundling occurs when applications incorporate several project proposals – sometimes a ‘wish list’ of smaller works that a school may seek to have addressed through the CWF (For example, a playground upgrade together with a toilet refurbishment as well as interior painting).

Bundling also occurs when differing scopes of work entertain various locations across a school site or address multiple contributory works to a building upgrade (e.g. both interior and exterior works).

While an application can only support one project theme (and certain works may apply to several site locations – e.g. new carpeting throughout a school would be considered one project), bundling several projects into one application will render it ineligible.

This doesn’t mean that you can’t have individual elements as part of your project which are relevant to its theme. For example: a classroom upgrade might include the replacement of carpets and windows as well as painting. This would be considered the one project. However, larger works such as new kitchens and bathrooms would be considered separate projects.

If you have more than one project proposal, we recommend you choose the project of highest priority to your school.

If in doubt, contact the VSBA prior to making your application at capital.works@education.vic.gov.au.

Ineligible projects

Projects are ineligible if:

• more than one application per school is lodged (although schools with multiple campuses can apply for a separate project for each campus)
• the application bundles projects (for example, a playground upgrade and a new toilet facility)
• the proposal involves significant capital works subject to the state budget process
• the proposal involves land not administered by the Minister for Education (for example, council/private land)
• further approvals (other than a building permit) are required (e.g., Heritage Victoria permits, Flora and Fauna Guarantee Act, Cultural Heritage)
• they create space in addition to School Area Facilities Schedules (see Capacity and Area Allocation Policy for further information)
• they involve unforeseen, urgent infrastructure maintenance issues which pose a risk to safety, where schools do not have the financial capacity to rectify the issue (this should be addressed through the Emergency Maintenance Program)
• a school has been damaged in an incident or event and requires assistance to make the site safe (this should be addressed through the Make-safe program by calling 1300 133 468)
• they are to make reasonable adjustments to school facilities for eligible members of the school community with disability, and to purchase hearing equipment for students with hearing loss (this should be addressed through the Accessible Buildings Program)
• funding is intended to be used for a cost overrun on an existing project.

If you are in any doubt about any of the eligibility requirements, please contact the VSBA at capital.works@education.vic.gov.au.

Eligibility criteria

Your application must be able to demonstrate that:

• the applicant organisation is a government school registered with the Victorian Registration and Qualifications Authority(VRQA)
• the proposed works are not ineligible and do not relate to projects or works outlined in the “What will not be funded” section (below) of these guidelines.

If your application is unable to demonstrate compliance with ALL eligibility criteria, it may be ruled ineligible.

We will contact all schools on the outcome of their applications. Successful projects will be published on the Victorian School Building Authority website.

All funded projects are to be completed by the end of December 2028.

Submission of an application does not necessarily mean your school will receive funding.

What can be funded?

The CWF aims to support works that improve the learning environment, condition and/or character of schools, or promote inclusion.

Eligible project examples include:

• toilet upgrades for students or staff
• roof upgrades for learning or administration spaces
• issues identified by the Rolling Facilities Evaluation (RFE) and found in the Priority 3 to 5 categories (including asphalting, gutters and drains)
• relocatable building upgrades or replacement
• classroom upgrades, including flooring
• general landscaping
• playgrounds
• football/soccer goals
• flagpoles (consistent with the Department’s Flags Policy)
• oval upgrades – resurfacing and drainage
• covered walkways
• outdoor learning areas
• bike sheds
• fences – new or repaired (please read the Department’s Fences Policy before applying. For fences which border a neighbour’s property, applicants will be expected to show that they have consulted with neighbours)
• indoor or outdoor inclusive learning spaces
• inclusive playgrounds.

Projects that address student inclusion should incorporate the 7 Principles of Universal Design:

1. Equitable use
2. Flexibility in use
3. Simple and intuitive design
4. Perceptible information
5. Tolerance for error
6. Low physical effort
7. Size and space for approach and use.

What will not be funded?

The CWF will NOT support:

• applications bundling more than one project into a single application (if you are unclear whether your project would count as bundling, please contact Capital.Works@education.vic.gov.au)
• more than one project per school (although schools with multiple campuses can apply for a separate project for each campus)
• space in excess of School Area Facilities Schedules
• projects requiring further approvals other than a building permit (e.g. Heritage Victoria permits, Flora and Fauna Guarantee Act, Cultural Heritage)
• demolitions and new buildings considered significant capital works
• teacher housing
• lifts/elevators
• air-conditioning (except where consideration may be given to schools in NatHERS climate zones 20 and 27 – refer to Building Quality Standard Handbook Appendix B for relevant postcodes)
• information technology costs
• staffing costs
• loose furniture and equipment
• reimbursement for works already started or completed
• routine maintenance for buildings, grounds, for annual contracts and Essential Safety Measures
• emergency works such as damage due to vandalism or a severe weather event
• modifications eligible under the Accessible Buildings Program (ABP) including:
  • ramps and handrails (including temporary ramps)
  • toilet and shower modifications
  • modifications for vision or hearing impairments
  • change tables and hoists
  • limited external works to improve access for the applicant.
• works that can be funded through other programs
• major capital projects.

Lodging applications

Applications must be submitted by the school principal or by an approved authorised representative. The application ‘user name’ in SmartyGrants for each submission should be the generic school email address. (Individual email addresses can become problematic, especially where staff changeovers occur.)

Applications:

• are made online through SmartyGrants
• can be changed at any time during their preparation and completion until formally submitted (NB: please remember to occasionally click the “Save” button within the application form to prevent data loss)
• must have all sections completed for applications to be considered.

To ensure that you supply all relevant information, see the ‘Required Information’ section below in these guidelines before submitting your application.We also recommend that you discuss your application with your nearest Department’s regional office before submitting. Applications close at midnight on Friday 12 June 2026 for all three streams. Late applications will not be considered.

Assessment process

The Victorian School Building Authority (VSBA) will:

• assess all applications for eligibility as per the Eligibility Criteria
• assess all eligible applications for merit against the Assessment Criteria
• refer highly rated applications to other teams and business units for further review to:
  • assess potential risks and issues with proposed works
  • review the proposed works to ensure compliance with relevant legislation and standards
  • review how the proposed works align with the program intent.

As part of the assessment process, other areas of the Department will be consulted to further inform the suitability of projects against the criteria.

The VSBA will also engage independent quantity surveyors to undertake a desktop assessment of all eligible applications to determine prospective costings.

You MUST supply the following to address the assessment criteria as part of the application process and complete all sections in the application form. Schools can use the following as a checklist:

School contributions for VSBA-led projects

Where schools want to contribute to VSBA-led projects, approval may be given as part of this grant application process.

Schools are not to use equity funding or retain SRP maintenance funding for the purposes of a school-funded capital project.

Schools should be maintained to an appropriate condition before funding is used for new facilities.

Schools must contribute 100% of their funding prior to the award of a construction contract.

To ensure that all project transactions are captured, the VSBA makes payments directly to consultants and contractors on a school’s behalf, subject to the school having, first, reimbursed the VSBA.

For transparency, contributions will be reported in the Victorian Government’s Budget Paper 4.

Recommended projects

The VSBA will provide a list of recommended projects to the Minister for Education for approval. The Minister makes the final determination with respect to funding.

Projects will be recommended for funding primarily on their rating against the Assessment Criteria; however, the VSBA will consider other factors including:

• the distribution of approved projects across funding streams, local government areas and education regions
• the availability of funding, noting that the number and value of eligible, highly-rated projects may exceed the total available funding
• whether schools have received major capital upgrades or other grants funding recently.

The Minister reserves the right to allocate funding under this program to any application made by a government school to address the strategic priorities of the program.

All applicants will be contacted on the outcome of their applications. Successful projects are subject to a signed funding acceptance and will be published on the VSBA website.

Procurement compliance for school-delivered projects

When conducting any construction or capital works procurement, schools must comply with Victorian Government probity and tendering policies, consistent with the Project Development and Construction Management Act 1994 (PDCMA).

Specifically, schools must:

• follow the Procuring Low-value Construction works or Services policy: “schools must obtain and upload into the Asset Management Information System (AIMS) at least one supplier quote for contracts valued between $5,000 and $75,000 (including GST), with school council approval for the quote. However, the Victorian Schools Building Authority (VSBA) recommends seeking multiple quotes wherever possible. Schools must obtain and upload into the Asset Management Information System (AIMS) at least 3 supplier quotes for contracts valued between $75,001 and $150,000 (including GST) and school council approval for the agreed quote”.
• comply with the School-funded Capital Projects policy.

All funded projects are to be completed by the end of December 2028.

Delivery of approved projects

The VSBA is committed to supporting schools in the delivery of all capital projects. Based on total project cost, and with some exceptions, delivery will generally be managed as follows:

The VSBA will determine whether any project is school or VSBA delivered; however, schools will be consulted as to whether they have a preference to undertake the work themselves.

All projects above $200,000 will be delivered by VSBA.

The VSBA reserves the right to deliver any funded project.

Where unforeseen circumstances or latent conditions arise causing the project to incur additional costs beyond the available budget, no additional funding is available. In these circumstances, the VSBA will work with schools to ensure the best outcome is achieved from the announced funding.

VSBA-led projects

For all VSBA-led projects, we will assign a dedicated project officer to work with you and be your point of contact throughout the delivery process.

The announced funding covers all costs associated with the building project, including all project management and professional fees. The VSBA is responsible for making all required payments to consultants and builders.

School-led projects

Schools will deliver their projects independently and comply with all policies and regulations. Schools should refer to the Department’s Procuring Low-value Construction works or Services policy and School-funded Capital Projects policy for more information.

Where schools deliver projects independently, the school (and not the VSBA) bears the risk of any project cost overrun.

For approved school-led projects, funding will be released to schools in two milestone payments:

Successful schools may be contacted by the VSBA communications team to arrange an event to celebrate the receipt of funding or as part of a project milestone (such as project completion).

The following links are provided to assist with applications:

• Victorian School Building Authority website
• Procuring Low-value Construction works or Services policy
• School-funded Capital Projects policy
• Capital Building Projects Policy
• Relocatable Buildings Policy
• Accessible Buildings Program Policy
• Building Quality Standard Handbook (BQSH)

In relation to inclusive practice for students with special needs, the following resources are available:

Department of Education:

• Inclusive Education for students with disabilities
• Students with Disability Policy
• Disability Inclusion
• Autism Education Strategy
• Diverse Learners Hub

Sport and Recreation Victoria:

• Good Play Space Guide: “I can play too”

Australian Inclusion Resources:

• All Play Learn
• inclusion ED

If you have any queries about the program, project eligibility, or which stream you should be applying under, please contact the VSBA School Grants Unit for further information.

• Program enquiries: VSBA School Grants Unit – Capital.Works@education.vic.gov.au
• Application system enquiries (SmartyGrants): SmartyGrants Service Team – service@smartygrants.com.au or (03) 9320 6888

You are also advised to consult with your nearest Regional Office regarding your proposed project.

The Regional Provision and Planning Managers are:

Announced May 2026

24 schools have been funded in the 26–27 State Budget.

• Boronia K–12 College
• Briagolong Primary School
• Bundarra Primary School
• Cambridge Primary School
• Cardross Primary School
• Carwatha College P–12
• Diamond Creek East Primary School
• Drysdale Primary School
• Dunkeld Consolidated School
• Essendon Keilor College
• Fountain Gate Primary School
• Heathmont East Primary School
• Hesket Primary School
• Manor Lakes P–12 College
• Mansfield Primary School
• Melbourne High School
• Miners Rest Primary School
• Monbulk College
• Sherbourne Primary School
• Southern Cross Primary School
• Stratford Primary School
• Toolangi Primary School
• Wheelers Hill Secondary College
• Wonga Park Primary School

Announced December 2025

43 schools were successful in securing funding, sharing in over $13.859 million.

• Arthurs Creek Primary School
• Ballarat North Primary School
• Beaumaris Primary School
• Belmore School
• Beverford District Primary School
• Boneo Primary School
• Box Hill North Primary School
• Brighton Primary School
• Camberwell South Primary School
• Campbellfield Heights Primary School
• Ceres Primary School
• Chewton Primary School
• Donvale Primary School
• Drouin South Primary School
• Epping Primary School
• Fairhills High School
• Flemington Primary School
• Frankston East Primary School
• Glengarry Primary School
• Grey Street Primary School
• Hurstbridge Primary School
• Jamieson Primary School
• Katandra West Primary School
• Kew High School
• Lancaster Primary School
• Lang Lang Primary School
• Maiden Gully Primary School
• Maroona Primary School
• Moriac Primary School
• Newham Primary School
• Norwood Secondary College
• Orrvale Primary School
• Portland Primary School
• Rangeview Primary School
• Ringwood Heights Primary School
• Ripponlea Primary School
• Rosanna Primary School
• Seville Primary School
• Tambo Upper Primary School
• Victoria Road Primary School
• Wallaroo Primary School
• Weeroona College Bendigo
• Yarrabah School

Announced May 2025

21 schools that applied for the previous round have been funded in the 25–26 State Budget.

• Araluen Primary School
• Diamond Creek Primary School
• Eltham North Primary School
• Hamilton North Primary School
• Lakes Entrance Secondary College
• Lara Secondary College
• Laurimar Primary School
• Lyndale Secondary College
• Mackellar Primary School
• Malvern Primary School
• Montrose Primary School
• Moomba Park Primary School
• Mooroolbark East Primary School
• Mount Waverley Heights Primary School
• Ringwood North Primary School
• Rubicon Outdoor School
• St Georges Road Primary School
• Tallangatta Secondary College
• Thomas Mitchell Primary School
• Wattle View Primary School
• Yarra Glen Primary School

Announced December 2024

58 schools were successful in securing funding, sharing in over $24.765 million.

• Ararat West Primary School
• Ardeer Primary School
• Bairnsdale Primary School
• Bayswater Primary School
• Beaufort Primary School
• Bellarine Secondary College
• Beverley Hills Primary School
• Black Hill Primary School
• Brandon Park Primary School
• Bundalaguah Primary School
• Castlemaine Primary School
• Chalcot Lodge Primary School
• Coburg North Primary School
• Craigieburn South Primary School
• Diamond Creek East Primary School
• Drysdale Primary School
• Edgars Creek Primary School
• Fountain Gate Secondary College
• Keilor Heights Primary School
• Kerang Primary School
• Kilsyth Primary School
• Kingsbury Primary School
• Langwarrin Primary School
• Leongatha Secondary College
• Lindenow Primary School
• Little River Primary School
• Lowanna College
• Maribyrnong College
• Mirboo North Primary School
• Monmia Primary School
• Mount Beauty Secondary College
• Murrabit Group School
• Nangiloc Colignan & District Primary School
• Nathalia Primary School
• Penders Grove Primary School
• Peranbin Primary College
• Powlett River Primary School
• Red Cliffs Secondary College
• Rowville Primary School
• Seaford Primary School
• Shepparton East Primary School
• Sorrento Primary School
• South Oakleigh College
• Southmoor Primary School
• Syndal South Primary School
• Teesdale Primary School
• The Basin Primary School
• Thomastown East Primary School
• Upwey South Primary School
• Wangaratta West Primary School
• Warrnambool Primary School
• Waverley Meadows Primary School
• Western English Language School
• Williamstown North Primary School
• Williamstown Primary School
• Willow Grove Primary School
• Wunghnu Primary School
• Yarraman Oaks Primary School.