Konoha Academy History (all dates are approximate based on the data book)
According the the Official Fanbook, the Nidaime, Tobirama Senju, founded a shinobi training camp at the base of the Hokage cliff approximately 50-60 years before the start of the series.
The first term created 36 graduates, it begun as an educational venture to produce fresh shinobi, but soon merged with military and domestic facilities, becoming the academy around 40-50 years ago.
The Sandaime, Hiruzen Sarutobi, during his time as Hokage he carried out two expansions of the academy (first was 30-40 years ago, and the second 20-30 years ago) which refined the education and training systems, and upheld stricter standards on students.
To be accepted into the academy, there are three core requirements to be met:
1. You must love the village and hope to help preserve peace and prosperity.
2. You must have a mind that will not yield, able to endure hard training and work.
3. Be healthy in mind and body.
Instructors at the academy are chosen through selection exams, this practice started around 40 to 50 years before the series. They follow a motto coined when the academy was founded, ‘Development as shinobi with respect to individuality’, to promote an open minded environment for students to strengthen their bodies and minds.
Below is an image showing the delegation of shinobi to aid the academy system:
