Members from the Conservatorium Mid North Coast (CMNC) are meeting with representatives from the Department of Education on February 9 to discuss funding.
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CMNC chairperson Brian Corrigan said the department has failed to provide payment to the CMNC for the second half of 2016.
The amount owed to the CMNC exceeds $160,000.
The funding is for services provided by CMNC to the Mid North Coast community between July and December 2016 under the Regional Conservatorium Grants Program.
The CMNC is a non profit organisation dedicated to music education for the students and residents of the Mid North Coast.
It is part of a network of 18 regional Conservatoriums supported by the NSW Department of Education.
Mr Corrigan said a funding agreement with the department stipulated payment would be made in November 2016.
In a letter the department advised the CMNC that representatives were looking forward to reaching a positive resolution as a result of the February meeting.
Representatives from the CMNC said music education services to students and the wider community of the Mid North Coast will continue to be provided until financial and volunteer resources are exhausted.