In 1926, the same year that the Conservatorium of Music was recognised as a faculty, Bernard.T. Heinze, a distinguished graduate, returned as professor. The only full-time member of staff, among his more notable achievements apart from developing Australia's most influential school
of music, was the merging of the bankrupt Melbourne Symphony Orchestra with that of the Conservatorium and, with the support of Herbert Brookes and Sidney Myer, who provided 10,000 Myer shares, establishing the tradition of free orchestral concerts for the citizens of Melbourne.
Heinze also won effective musical control over the infant Australian Broadcasting Commission.
The faculty also administered the Australian Music Examinations Board, the national organisation overseeing the private tuition of students, the best of whom provided part-time teachers for what was still essentially a school of performance, rather than research, scholarship
or composition. This remained the case until 1958, when the new professor, Dr George F. Loughlin, successfully bargained for a number of additional full-time teaching appointments and introduced post-graduate studies and strengthened the teaching of theory and academic studies.
The uneasy mix of academic and practical studies was resolved in 1972 with the phasing out of the Diploma of Music. This role was taken up by the Victorian College of the Arts (begun in 1973) to be associated with the new Arts Centre in St Kilda Road which opened in 1974. In the same year the first Bachelor of Music Education was awarded. In 1975 the Faculty appointed a second professor (Peter J. Dennison) and opened an electronic music studio to form the basic of new teaching and composition programs. It was equipped as a memorial to Percy Grainger by his wife Ella.