Agenda and minutes

To receive any aplogies for absense.

No apologies for absence were received.

Members to declare any interests in matters to be discussed at the meeting.

There were no declarations of interest.

To confirm the minutes of the meeting held on 8 November 2021.

Resolved that the minutes of the meeting held on 8th November 2021 be approved as a correct record.

Resolved that S Mistry be appointed to the Forum for a 4-year term of office.

School Forum members to consider and make a decision on the consultation proposals as set out.

The Forum received a report which sought recommendations from the Forum in relation to the school funding formula for 2022/23 following consultation with schools.

Furthermore, the report sought approval for various matters in relation to de-delegation proposals for 2022/23, Education Funding proposals for 2022/23 and Central Schools Services Block for 2022/23.

The decisions of the Forum defined the budget setting processes for all schools and academies within the borough for the next financial year. Given national government announcements on future funding for schools, this process would assist schools in preparing strategic plans, ensuring schools were able to create viable budget, staffing and curriculum plans. All decisions would affect the amount available to be delegated directly with schools and focus on what funding was centrally retained to protect services and schools with falling rolls.

The Schools Budget Consultation had been issued to schools on 10th November 2021 having been approved at the Schools Forum meeting on 8th November 2021, with a deadline of noon on 1st December 2021 to respond.

A summary of responses to this consultation was detailed within Appendices 1 – 5, which were appended to the report.

Consultation with the below stakeholders had held as follows: -

• Joint Executive Group – 11th November 2021

• Primary/Secondary Partnership – 15th November 2021

• Joint Union Panel – 16th November 2021

• Association Sandwell Governing Bodies – 24th November 2021

A total of 53 responses had been received (compared with 70 last year), with 43 out of 94 (46%) primary schools / academies, and 10 out of 20 (50%) secondary schools / academies responding.

The authority had also received two responses from individual unions.

Consultation Responses

The consultation on the formula funding for schools for 2022/23 includes proposals on the following: -

The funding formula to use for allocating schools budgets:

• Option 1 – Stepped change in the ratio - LA Formula with a ratio of 1:1.29 in year 3.

• Option 2 – Secondary Schools receive 1% more above the overall increase in funding.

• Option 3 – National Funding Formula Factor Values

• Pupil Number Growth Contingency Fund.

• Minimum funding guarantee and capping of gains.

• Education Functions.

• De-delegation proposals.

• Central Schools Services Block.

Funding Options – Consultation responses

The authority had modelled 3 options for calculating schools revenue budget for 2022/23. There had been some general adjustments, which apply to all options, which were as follows: -

• Q3 Langley had opened in September 2016 with a PAN of 240 for each year group. The PAN had increased to 300 from September 2021 (however, for modelling purposes, the pupil numbers were the same as 2021/22 to allow for comparison).

• The Shireland Technology Primary had opened in September 2019 with a PAN of 60 for Reception.

• The West Bromwich Collegiate Academy had opened in September 2019 with a PAN of 150 for each year group.

• The amalgamation of Warley Infants and Bleakhouse Junior Schools into Bleakhouse Primary School on 1st  ...  view the full minutes text for item 5/21

School Forum to note the report and the data provided.

The Forum received a report for information, which provided the HNB monitoring position as at 31st October 2021 projected to 31 March 2022 and special provision occupancy as at 30th November 2021.

HNB Budget 2020/21

The updated HNB grant for 2021/22, reported as at 31st August 2021, was £53.240m.

The DFE had further updated the grant allocation and had made a positive adjustment of £0.315m so the HNB grant currently stood at £53.555m.

The anticipated in year surplus as at 31st August 2021 projected to 31st March 2022 was £1.332m, reported in September, had now been revised to a surplus of £1.408m.

The balance bought forward as at 1st April 2021 was a £0.597m surplus.

Appendix 1 to the report showed the 2021/22 High Needs Block Budget Allocation, the actual expenditure as at 31 October 2021 and the variance from budget.

The Variances

Variation 1

Out of borough placements, other associated costs, showed a £20k saving and was due to the reduction in room hire costs for the delivery of support to students that were awaiting a school roll. During COVID these had been delivered virtually and from September 21 normal face to face delivery had resumed.

Variation 2

There had been an increase in EHCP assessments which had resulted in a projected overspend of £514k on the delegated funding provided to mainstream schools and academies. Sandwell Community School, additional funding of £200k had been included here to be prudent to fund pupils placed at SCS requiring top up that was not included in the funding already allocated. SCS had funded 180 places at £10k per place plus Top Up for 80 places. This area was currently under review by a Task and Finish Group.

Variation 3

High Point had opened on 1st September 2021. It had initially been thought that the place element would have to be met through the HNB. However, the DFE had clarified in July 2021 that this would be funded directly with no impact on Sandwell’s HNB.

Variation 4

An amount £480k from the Early Years Grant was used to offset the early support for pupils in private provider settings and those in Mainstream early years settings. An additional sum of £70K had been allocated in this financial year bringing the overall funding to £550k. The support for pupils in mainstream schools was set against the schools’ delegation and not shown separately. The £550k would be insufficient to cover the full costs of meeting the needs of the pupils in these early years settings. Questions had been raised at the SEND Consultation Working Group regarding the level of grant and the possibility that this could be increased going forward.

Variation 5

The total variances equated to a saving of £386k across 9 service areas. These were mainly due to staff turnover, maternity leave, opting out of the LA superannuation scheme and full-time budgeted posts covered by staff on reduced hours.

Variation 6

Preventing Secondary Exclusions Team had not been appointed to  ...  view the full minutes text for item 6/21

Schools Forum to note the report and make recommendations on the options consulted on.

The Forum received a report for information, which provided Members with: -

• additional information and financial implications of the SEND & HNB consultation outcomes.

• an overview of the financial and timing implications of the High Needs Provision Capital Allocation Grant.

• confirmation that DFE had agreed a three-year increase in HNB funding and that 2022/23 would be the last year of that agreement. Further announcements were anticipated for 2023/2024 onwards, but no timescales had been provided thus far.

SEND HNB Consultation Outcome Options

There were 6 proposals that had been consulted on and presented at the last Schools Forum Meeting, as follows: -

Proposal 1

Should the Time Allocation Model of Inclusion Support Services be reviewed for Secondary Schools from a flat rate allocation to a formula allocation in line with the primary model?

Schools Forum had agreed to the change from a flat rate to a formula model with further consultation with Secondary representatives on specific elements and weightings to the formula (option 1.2). The proposal has been presented at JEG, Primary and Secondary Partnership during November 2021. A steering group of Secondary representatives would be formed in the new year.

This would have no financial implications on the HNB.

Table 1, in Appendix 1 to the report, showed the financial implications of this option on the HNB and had been used as a status quo position. The estimated outturn reported in the October 2021 monitoring report had been used as the starting point for the projected carry forward. An indicative estimate for 2022/23 had also been used to produce the cash flow.

Proposal 2

This proposal was to determine the use of funding being held with the SEN Support Service category of the HNB to employ a Secondary Preventing Exclusions Team (PSE). An alternative proposal had been put forward to use this funding to employ the Transition / Reintegration Team currently funded through schools Exclusion Levy.

Schools Forum had agreed the use of the PSE allocated budget to be used to fund the reintegration officers.

The Financial implications of this was a saving of £37,100 per annum.

Table 2, in Appendix 1 to the report, showed the impact of this option compared with the baseline.

Proposal 3

To determine the level of top up funding allocated to children and young people with an Education, Health and Care Plan (EHCP). This proposal had 5 options: -

Option 3.1 to increase the element 3 top up by 1% across all top ups. To include mainstream schools, special schools, focus provision schools and PRUs (excluding Albright).

Option 3.2 to increase the element 3 top up by 2% across all top ups. To include mainstream schools, special schools, focus provision schools and PRUS (excluding Albright).

Option 3.3 to increase the element 3 top up by 1% across all top ups in mainstream schools and focus provisions schools only

Option 3.4 to increase the element 3 top up by 2% across all top ups in mainstream schools and focus provisions schools only  ...  view the full minutes text for item 7/21

Schools Forum to note the report.

The Forum noted a report which provided Members with information from the Education and Skills Funding Agency on Early Years entitlements funding rates for 2022/23.

At the October spending review, it had been announced that funding for early years entitlements would be increased, as follows: -

• £160 million in 2022/23,

• £180 million in 2023/24

• £170 million in 2024/25

When compared to 2021/22. This enabled local authorities to increase the hourly rates paid to childcare providers, reflecting cost pressures and anticipated changes in the number of eligible children.

In 2022/23, the hourly funding would be increased by 21 pence an hour for the 2-year-old entitlement and 17 pence an hour for the 3 and 4-year-old entitlements. Additionally, the minimum funding floor would be increased, meaning no council could receive less than £4.61 per hour for the 3 and 4-year-old entitlements.

Local authorities were required to consult providers on annual changes to their local formula. A report would be brought to the Forum in the New Year detailing the outcomes of the consultation with a view to seeking approval for revised rates.

The supplementary funding hourly rate for maintained nursery schools would be 3.5%, equivalent to the increase in the 3 and 4-year-old hourly funding rates in 2022 to 2023.

The Early Years pupil premium would be increased by 7 pence to 60 pence per hour, equivalent to up to £342 per eligible child per year, to support better outcomes for disadvantaged 3 and 4-year-olds in 2022/23.

Funding for the disability access fund, to help providers make reasonable adjustments within their provision to support eligible 3 and 4-year-old children with a disability, would also be increased by £185 to £800 per eligible child per year.

Due to low attendance arising from the coronavirus (COVID-19) pandemic, temporary arrangements had been put in place calculating funding using a termly, rather than annual census. The ESFA had confirmed that for 2022/23, there would be a return to the normal process of allocating funding based on the annual January census.

The ESFA had confirmed that the 2021/22 funding would be based on the following: -

• nine-twelfths of the January 2020 census PTE numbers (to cover the April 2020 to December 2020 period); plus

• three-twelfths of the January 2021 census PTE numbers (to cover the January 2021 to March 2021 period)

Consequently, the Early Years funding for 2021/22 would be reduced by circa £570k, which had already been anticipated and did not create a financial pressure.

Agreed that the contents of the report be noted.

Schools Forum to approve consultation with schools on an amendment to the text of the Fair Funding Scheme.

The Forum received a report which highlighted incidences of schools intending to outsource services not providing adequate notice to the Local Authority and the West Midlands Pension Fund. The report presented proposals to consult with schools on an amendment to the text of the Fair Funding scheme in order to address this matter.

The Fair Funding Scheme provided guidance to all maintained schools on the process to follow when undertaking the outsourcing of services with consequent TUPE transfer of staff.

Paragraph 11.12 ‘Information for Maintained schools involved in outsourcing’ of the Fair Funding Scheme, acknowledged that maintained schools had delegated powers to make such decisions. However, under pension fund regulations, and in relation to any potential future pension liabilities / guarantees, the Council was still regarded as the Scheme Employer. This meant that the Council was a party to the Pension Admission Agreement which had to be signed and executed under deed of seal by Council Officers acting on behalf of the Council.

It had come to the attention of the Council that a number of maintained schools had recently outsourced services and transferred staff without following the guidance identified in the Fair Funding Scheme. Consequently, it was proposed that the current text for Paragraph 11.12 was replaced with the text in Appendix 1 to the report. The revised text provided further clarity on the requirements of schools.

Subject to School’s Forum approval, schools would be consulted on the amended text with a view to a future report on the outcome of the consultation being brought back to the Forum.

Resolved (unanimously) that the Forum grants approval for schools to be consulted on amending the existing text of paragraph 11.12 ‘Information for Maintained schools involved in outsourcing’ of the Fair Funding Scheme and replacing it with the revised text as set out in Appendix 1 to the report.

Schools Forum to receive a verbal update on the DSG Settlement 2022/23

The Forum received a verbal report from R Kerr in relation to the DSG Settlement for 2022/23.

R Kerr advised that the DSG settlement was due to be announced by the end of the current week, or early next week. In addition, the Council was also due to receive the Funding Model from the EFSA within a similar timeframe. In any case, the Forum would receive an update at its next meeting.

The Chair requested that, when received, Officers circulate the DSG settlement to Forum Members so that the direction of travel could be noted in advance of the next meeting.

Resolved that, when received, the DSG settlement be circulated to Forum Members for noting prior to the next meeting of the Forum.

Schools Forum to receive a verbal update on the Government Consultation regarding the School Improvement Grant.

The Forum received a verbal report from A Timmins in relation to the School Improvement Grant Government Consultation.

A Timmins reported that the proposal was that the SIG would be undertaken in two stages, the first of which was that it would be reduced by half in April 2022 and then removed completely from April 2023 onwards.

This proposal had resulted from the Government’s drive for additional academisation and the resulting reduced requirement for formal school improvement. It was anticipated that schools would buy into school improvement via de-delegation, for which the Forum had agreed to such a payment already this year. In future years, the Forum might need to look at alternatives for this role and what that role could look like.

Schools Forum to receive a verbal update from the new Director of Children’s Services Michael Jarrett.

The Forum received a verbal update from M Jarrett, the recently appointed Director of Children’s Services and Education.

M Jarrett advised that the DSG Settlement should be received by the end of the current week, or early next week. Once received and digested, a report would be brought to the Forum on the settlement and, where relevant, its implications.

In relation to the High Needs Block projections for 2023/24, Officers would need to understand what that projection looked like to help manage and mitigate any associated pressures. M Jarrett advised that it would be far better managed in-house, as opposed to intervention by the DfE via a DSG Management plan, which would be a significant piece of work and would likely be more problematic, in his experience.

Finally, M Jarrett advised that further discussions would need to be held in the future with the Forum in relation to the Block Transfer and what that looked like. Furthermore, how that could place pressure on the High Needs Block and the potential for utilising the Central Schools Services Block, Schools Block and Early Years Block; to ensure it was being utilised effectively, in terms of any recharges to offset the pressures against the High Needs Block.

The Clerk, F Hancock, advised that the next meeting of the Forum on 17th January 2022 would most likely be held virtually in light of the recent recommendations by the Government in response to the COVID-19 Pandemic. The Clerk agreed to consult with the Chair / Vice-Chair and Officers in the New Year to determine the final arrangements for that meeting. This would then be communicated to all Forum Members.

Forum Members sought an update on the Fair Access Panel in light of recent retirements / staff moving-on, and what plans were in place to recruit to such vacancies.

M Tallents updated the Forum on staffing around this area. Reintegration Officers were currently fully staffed and would be transferring over to the High Needs Block in April 2022. In relation to the Independent Chair vacancy, M Tallents would be consulting with the Behaviour Management Board to try and help identify a suitable replacement. Other vacant posts had already been advertised or were due to be re-advertised. T Room had volunteered to assist in the interim period on the Panel