Sunderland City Council : Schools Forum Schools Forum Induction Karen Atkins Principal Finance Officer – Schools & Learning June 2015

Sunderland City Council : Schools Forum

Schools Forum InductionKaren AtkinsPrincipal Finance Officer – Schools & Learning

June 2015

June 2015


Agenda

• Schools Forum

• Accounting and Reporting

• Work Plan and Frequency of Meetings

• School Funding System

June 2015


Schools Forum Structure• School Members and academies members must comprise of at

least 2/3rds of the total School Forum Membership• School Members include Secondary Schools, Special Schools,

Nursery Schools, PRU’s and Primary Schools. Primary schools, secondary schools and academies must be proportionately represented based on total number of pupils registered at them

• Non School Members include: 16-19 providers Early Years Private, Voluntary and Independent (PVI)

providers, and Representation from teacher associations Roman Catholic and Church of England Diocese

June 2015


Schools Forum StructureOther attendees who are permitted to contribute to a Schools Forum meeting:•Observer appointed by Secretary of State (EFA)•Director of People Services•Executive Member for Children's Services •Executive Member with responsibility for Resources•Chief Finance Officer•Officers providing financial and technical advice•Presenters (restricted to the paper they are presenting)

June 2015


Schools Forum PowersThe overarching areas on which Schools Forums make decisions on local authority proposals are: •De-delegation from mainstream schools budgets for prescribed services to be provided centrally. •To create a fund for significant pupil growth in order to support the local authority’s duty for place planning and agree the criteria for schools and academies to access this fund. •To create a fund for falling rolls for good or outstanding schools if the schools’ surplus capacity is likely to be needed within the next three years to meet rising pupil numbers and agree the criteria for schools and academies to access this fund.

June 2015


Schools Forum Powers & Responsibilities• Continued funding at existing levels for prescribed historic

centrally retained commitments where the effect of delegating this funding would be destabilising.

• Funding for the local authority in order to meet prescribed statutory duties placed upon it.

• Agree funding for central early years expenditure, which may include funding for checking eligibility of pupils for an early years place, the early years pupil premium and/or free school meals.

• Authorising a reduction in the school budget in order to fund a deficit arising in central expenditure that is to be carried forward from a previous funding period

June 2015


Schools Forum Powers & Responsibilities

Consider & Work Through Table 2 of Guidance

June 2015


Annual Consultation with Schools ForumRegulations state that the local authority must consult the Schools Forum annually in connection with various schools budget functions, namely;

• amendments to the school funding formula, for which the voting is restricted by the exclusion of non-schools members except for PVI representatives

• arrangements for the education of pupils with special educational needs (commissioned places & top-up funding)

• arrangements for the use of pupil referral units and the education of children otherwise than at school

• arrangements for early years provision

• administrative arrangements for the allocation of central government grants paid to schools via the local authority

June 2015


Annual Consultation with Schools ForumLocal authorities will need to discuss with the Schools Forum any proposals that they intend to put to the Secretary of State to:• Vary the Minimum Funding Guarantee• Use Exceptional Factors in the Formula• Vary pupil numbers used to calculate budget shares• Allow additional categories of or spending on central budget• Amend the sparsity factor is applicable• Vary the lump sum for amalgamating schools if applicable• Vary the protection for special schools and special academies

June 2015


School Forum MembersEach Schools Forum Member:

• will need the skills and competencies to manage Forum business (as detailed in Table 2)

• have the ability to take a strategic view across the whole education estate whilst acting as representative of the group that has elected them.

• should be easily contactable and pro-active in raising the profile of issues and communicate decisions, and the reasons behind them, effectively

June 2015


Effective School ForumsBelow are the key characteristics of an effective Schools Forum:

• Partnership: shared understanding of the priorities, issues and concern of schools, academies and LA.

• Effective Support by LA in an efficient and professional manner

• Open, honest and objective advice from LA

• Responsiveness to requests from school forum members by LA

• Strategic view of the whole of the educational community

• Challenge and scrutiny of proposals

June 2015


Accounting & Reporting RequirementsThe following are the reporting requirements set out in the grant conditions for the Dedicated Schools Grant (DSG):

• Chief Finance Officer (CFO) required to submit a return to indicate that the DSG is being spent on the Schools Budget.

• An Authority’s Statement of Accounts will need to include a note confirming the deployment of DSG in support of the Schools Budget. Any underspends / overspends must be shown by area to demonstrate compliance with CEL Accounts & Audit Regulations 2006.

• Any underspend / overspends require approval of Schools Forum

• Confirmation by CFO of the published outturn via Section 251 return

June 2015


Work Plan & Frequency of MeetingsThe proposed work plan is included in your Induction Pack:•Frequency of meetings – currently 2 per term to allow for all business of the forum to be considered •Agenda items follow funding and budget cycle•All meeting take place currently on Thursday mornings with an early 8:30 start•Agenda items not included in the work plan for the wider schools and academies agenda can be submitted to the Clerk for inclusion in the next meeting. Agenda items should be submitted in advance to ensure there is time to prepare for the item before the meeting

June 2015


Indicative Timetable 2015 - 20161st Oct School Census Day

15th Oct School Forum agrees formula to be submitted to EFA

31st Oct LAs submit pro-forma to EFA

27th Nov School Census Data Base Closed

10th Dec School Forum Meeting

11th Dec Pupil data and factors published (LA’s can estimate their 2016-17 DSG school block allocation)

18th Dec DfE confirms DSG schools block allocation for 2016-17 (prior to Academy recoupment)

June 2015


Indicative Timetable 2015 - 201614th Jan School Forum agrees formula to be submitted to EFA

19th Jan LAs submit final pro-forma to EFA

21st Jan School Funding Briefing Sessions

29th Feb Deadline for LA to confirm budgets for their maintained schools

31 Mar Deadline for EFA to confirm academies budgetsEFA Confirm High Need Block Allocation for 2014-15

June 2016 Early Years Block Updated for January 2016 Early Years pupil numbers

April 2017 Early Years Block Updated for January 2017 Early Years pupil numbers (7/12 adj – Sept 14 – Mar 15)

June 2015


Key Issues – 2016/17• We will not know what the key issues are for education until the

Chancellor’s Budget Announcements on 22nd June 2015 and in his speech in early December 2015

• Manifesto pledges with regard to education were: Protect school funding per pupil? Create at least a further 500 free schools in England by 2020 Zero tolerance for failure – immediate support to turn around

failing or coasting schools 30 hours free childcare for working parents of 3&4-year-olds

• Early years – how will the additional 15 hours be funded, is the rate funded to providers currently correct and is the extension to 30 hours affordable for the providers


Schools Funding System2015/16

June 2015

June 2015


Schools Funding System

• Dedicated School Grant (DSG)

• Schools Block & Pupil Premium (SBFF & PPG)

• High Needs Block (HNB)

• Early Years Block

• Pupil Premium & Early Years Pupil Premium

June 2015


Dedicated Schools Grant (DSG)

DSG Settlement December 2015/16 Pupil Nos GUF Per

Pupil£

Funding£m

Schools Block Baseline 34,764 4,528.48 157.428Schools Block – Addition for Free School 2.160Total Schools Block 159.588High Needs Block 23.269Early Years Block (Includes EYPP Excludes 2YO) 13.133Total DSG 2015/16 195.990

June 2015


Schools Block Funding Formula (SBFF)• Formula factors determined by Schools and Early Years

Finance (England) Regulations 2014

• Funding rates for factors determined by individual local authorities within some prescribed limits, however will be determined nationally at some point Green Factors are Pupil-Led and apply in Sunderland Lilac Factors do not apply in Sunderland Blue factors are not pupil-led but do apply in

Sunderland

June 2015


SBFF – Formula Factors

June 2015


SBFF – Formula Factors

Basic EntitlementMinimum amount per pupil £2k primary and £3k secondary

DeprivationBased on pupils entitled to a FSM and those pupils with an IDACI score of more than 0.20 allocated in 6 funding bands

Prior AttainmentBased on low level of attainment on Early Years Foundation Stage Profile for primary and KS2 results for secondary pupils

MobilityApplies only when the number of mobile pupils exceed 10% of NOR

June 2015


SBFF Formula Factors

Looked After Children (LAC)

Applies to any child on roll who has been in care for at least one day during a specified period

EALBased on number of pupils on roll with English as an additional language (EAL) for a maximum of three years

Lump SumMaximum lump sum allowed is £175k and can be a single rate or two separate rates for primary and secondary schools and academies

Business RatesBased on estimated actual costs adjusted retrospectively each year

PFI FactorSpecific lump sum contribution towards Private Finance Initiative costs

June 2015


SBFF – Overall Distribution 2015/16Formula must distribute 80% of funding based on pupil – led factors

June 2015


SBFF – Factor Distribution 2015/16 (£m)

June 2015


Schools Block Funding Formula (SBFF)• Minimum Funding Guarantee

Set by Government each year, currently -1.5% Calculated after formula applied No school or academy can lose more than 1.5% per

pupil year on year Calculation excludes lump sums or business rates LA calculates initial MFG for all schools and academies EFA reapplies the MFG criteria when calculating

General Annual Grant for academies

June 2015


SBFF – Calculation of MFG

Step 1 - Calculate 2014/15 Baseline

2014/15 School Budget Share less: Lump Sum 2014/15 Rates 2014/15

= Equals MFG School Budget Share Divide by 2014/15 pupils numbers

= Equals MFG funding per pupil

June 2015


SBFF - Calculation of MFG

Step 2 - Calculate 2015/16 Funding Per Pupil

2015/16 Schools Budget Share less:Lump Sum 2015/16Rates 2015/16

= MFG School Budget ShareDivide by 2015/16 pupil numbersEquals MFG funding per pupil

June 2015


SBFF - Calculation of MFG

Step 3 – Calculate Value of MFG Adjustment (% & £)Compare funding per pupil 2015/16 & 2014/15 and calculate the % change per pupilDeduct 1.5% from the percentage change as this is borne by the school

= MFG Adjustment Value (%)MFG Funding = (MFG Adjustment Value x 2014/15 funding per pupil) x 2015/16 pupil numbers

June 2015


High Needs Funding System

June 2015


High Needs BlockProvides funding for:•Commissioning high need (HN) and alternative provision (AP) places in maintained specialist and mainstream resource provisions •Top-up (element 3) payments to mainstream and special schools and academies, FE colleges and other specialist providers for children and young people from birth to 25 who have an education, health and care plan (EHCP)•Central provision for pupils with special educational needs and support for inclusion (e.g. sensory services)•Subject to recoupment by Education Funding Agency for HN & AP places in mainstream, special and alternative academies and free schools

June 2015


Early Years BlockProvides funding to support the 2, 3 & 4 year old entitlement to 15 hours free early years education:•Funding for eligible 2 year olds is based on a rate per pupil per hour of £4.84•Universal 3 & 4 year old funding is based on a local formula which allocates funding based on participation•Funding to support commissioned places for vulnerable children from birth to 2 years old•The Early Years Block within the DSG is subject to in year adjustment for pupil numbers and therefore the formula needs to be responsive to changes in participation

June 2015


Early Years Single Funding FormulaBase Rates

5 separate rates of which 1-4 apply based on staff qualifications and a single childminder rate

DeprivationBased on IDACI scores using individual child level postcodes

FlexibilityAdditional funding for children accessing their 15 hours on a flexible basis

Lump SumsAllocated to nursery schools only to recognise unavoidable differential in costs of provision

SufficiencyFunding provided only where there is only one provider required to meet local need (rural setting)

SENAdditional funds to support SEN based on Early Years Action Plus

June 2015


Early Years Single Funding Formula

June 2015


Pupil PremiumProvides additional funding for disadvantaged pupils in mainstream schools and academies:•Primary pupils eligible for a FSM in the last 6 years are funded at an additional £1,320 •Secondary FSM6 pupils are funded at £935•All service pupils attract £300•Looked After Children, children who have been adopted or subject to special guardianship arrangements may attract up to £1,400 which is allocated separately based on individual pupil’s education plans •Funding allocated termly in addition and separate to the DSG

June 2015


Early Years Pupil Premium (April 2015)Provides additional funding for disadvantaged pupils in early years settings:•Funding allocated for 3 & 4 year old children only•Based on specific criteria (similar to FSM) and LAC children•All pupils attract £0.53 per child per hour for a maximum of 570 hours •Funding allocated as part of DSG and distributed as an extension to early years funding system

June 2015


Education Services Grant• Allocated to local authorities and academies on a simple per-

pupil basis according to the number of pupils for whom they are responsible

• Local Authority receives £15 per pupil for statutory functions relating to all pupils

• Local Authority receives £87 per pupil for additional responsibilities relating to Maintained Schools

• Academies receive £87 per pupil and additional transitional protection dependent on the current amount of ESG per pupil received

• Local Authority ESG funding is reduced as schools become academies

Documents

Sunderland City Council : Schools Forum Schools Forum Induction Karen Atkins Principal Finance Officer – Schools & Learning June 2015