Agenda item

Jenny presented the 2015/16 Schools’ Budget paper and explained the purpose of the report was to present the 2015/16 Dedicated Schools Grant Settlement for Leicestershire and proposed 2015/16 Schools’ Budget.  The Local Authority was seeking approval for a number of recommendations outlined in the report.

 

Jenny highlighted the following:

 

·       Paragraph 14, item 2 – Jenny referred to the new school funding regulations which fund new schools on estimated pupil numbers and this would be something that Schools’ Forum would need to consider.  Jenny said that it was anticipated that significant housing developments currently being planned in Leicestershire by 2020 may deliver 17 new primary and 2 new secondary schools and commented on the work to be carried out to ensure financial sustainability.  Tony Gelsthorpe referred to the number of schools and asked if they would all be commissioned as academies.  Lesley said that all new schools are academies and there would be competition for the operator of these.  Suzanne Uprichard asked if the academies would be part of a multi-academy trust or stand alone.  Lesley said it would depend on what the potential operator brings to the table and explained the process for how the final decision was reached.

 

·       Paragraph 14, item 3 - Schools’ Forum are asked to approve the funding in order for the Local Authority to meet prescribed statutory duties placed upon it.  Jenny commented that new costs do not fall on the Premature Retirement costs.

 

·       Paragraph 14, item 4 – Schools’ Forum are asked to approve the centrally retained early years funding of £1.687M

 

·       Paragraph 15 – High Needs Block – still the most complex area within the DSG settlement.  The EFA have changed their process again for this financial year.  By converting the settlement to a per pupil basis Leicestershire is one of the lowest funded authorities against the national average.

 

·       Paragraph 15 – Early Years – Jenny outlined the two elements to the Early Years funding block.  The settlement no longer includes funding for FEEE for 2 year olds and this would not be confirmed until June 2015.  Jenny commented that there may be a cost implication for the 2 year olds offer.

 

·       Paragraph 16 - Leicestershire was approached by the DFE to take part in a research project to look at how the current SEN funding system was working and to explore the differences in local authority spending patterns.  The outcome of the research project was still unknown and what potential changes to the funding system may arise from it.

 

·       Paragraph 19 – School Budgets – the additional funding has been incorporated into the 2015/16 funding values

 

·       Paragraph 20 – Jenny said that there had been a slight change in the criteria the DfE had used around prior attainment.

 

·       Paragraph 22 – Jenny commented that there are 23 schools funded at the Minimum Funding Guarantee.

 

·       Paragraph 24 – Jenny commented that a number of schools were unhappy with the arrangement regarding pupil number adjustments for schools undertaking age range changes or affected by age range changes in other schools required by the EFA.  Schools said they were not aware of these changes and had limited understanding of the changes despite implementation following extensive consultation in 2013.

 

·       Paragraph 26 - Jenny commented that communication of changes continues to be a challenge.  Tim added that as a former chair of LSH, Forum members used to communicate information into their representative groups.  Tim reiterated that schools should ask heads, governors and business managers to make sure information was coming through.  Schools’ Forum members gave their view on this issue and suggested ways to improve the situation.

 

·       Paragraph 30 – Universal Infant Free School Meals – Jenny reported that there was no information on funding from September 2015.

 

·       Paragraph 32 – Pupil Premium – the Primary Free School Meals value has increased for 2015/16.  Pupil numbers will be based upon pupil numbers the January census.  Confirmed allocations are not expected until June 2015.

 

·       Paragraph 33 – High Needs Funding – The EFA has changed the pupil count methodology.  For 2015/16 exceptional cases where there was identified pupil growth were submitted and as a result there was some growth for Ashmount Special School. 

 

·       Paragraph 42 – Early Learning and Childcare – Jenny outlined how the Early Learning and Childcare service was funded from DSG but changes to the way in which local authorities are funded for Free Entitlement to Early Education (FEEE) may affect this position.  This is a further funding pressure for the Service in addition to savings already to be made. 

 

·       Paragraph 51 – Dedicated Schools Grant Reserve – underspend in SEN and nursery funding, high needs not there for 2015/16.  Post-16 remains a concern and costs are increasing.

 

·       Paragraph 51 – Academy Deficits – the meeting expressed concern at the funding earmarked for academy deficits.  Jenny commented that not all schools in sponsored arrangements have left deficits.  Jenny said that following the issuing of a Notice of Concern, closer working with the financial management of the school is put in place with the aim of reducing that liability.  Jenny commented that the deficit reverts back to the Local Authority the day before conversion.  Sonia Singleton stated that the LA must know the maintained school was in debt and asked what happened before a notice of concern was issued.  Jenny outlined the process that takes place which informs them whether the school is in debt.

 

·       Paragraph 55 – The Local Authority Budget – Jenny outlined the key areas for growth and savings.

Tim thanked Jenny for her report. 

 

AGREED: That Schools’ Forum approve the retention of budgets to meet the prescribed statutory duties of the local authority (Paragraph 14, item 3).

 

AGREED:  That Schools’ Forum approve the centrally retained early years funding of £1.687M (paragraph 14, Item 4).

 

AGREED:  That Schools’ Forum note the 2015/16 school funding rates (Paragraph 20).

 

AGREED:  That Schools’ Forum note the average per pupil funding to be taken into account for recoupment for excluded pupils (Paragraph 29).

 

AGREED:  That Schools’ Forum notes the number and average cost of commissioned places for children and young people with High Needs.

 

AGREED:  That Schools’ Forum approve the action to be taken in respect of schools where the SEN notional budget is insufficient to meet the aggregated value of High Needs Funding Element 2 (Paragraph 36).

 

AGREED:  That Schools’ Forum note the retention of the Dedicated Schools Grant Reserve and the purposes for which it will be used (Paragraphs 50-53).

 

AGREED:  That Schools’ Forum note the payment rates for the Early Years Single Funding formula (Paragraph 49).