Agenda item

To allocate funding from the Council’s Basic Need / School Condition Funds to undertake refurbishment works to Ormiston Sandwell Community Academy.

Resolved:

1.1 That subject to a satisfactory financial appraisal being completed by Strategic Finance, approval be given to the allocation of £763,000 from the council’s Basic Need / School Condition funding to fund refurbishment works to Ormiston Sandwell Community Academy (the Academy), Lower City Road, Tividale, Oldbury, B69 2HE.

1.2 That the Director – Law and Governance and Monitoring Officer be authorised to enter into a funding agreement on terms agreed by the Director of Children and Education as required to enable Ormiston Academy Trust (the Trust) and the Academy to procure and complete the refurbishment works as referred to in 1.1 above.

Approval was sought to approve, subject to a satisfactory financial appraisal being completed by Strategic Finance, the allocation of £763,000 from the council’s Basic Need / School Condition funding to fund refurbishment works to Ormiston Sandwell Community Academy (the Academy), Lower City Road, Tividale, Oldbury, B69 2HE.

Approval was also sought to authorise the Director of Law and Governance to enter into a funding agreement on terms agreed by the Director of Children and Education as required to enable Ormiston Academy Trust (the Trust) and the Academy to procure and complete the refurbishment works.

The Chair of Children’s Services and Education Scrutiny Board enquired whether the Trust would be putting any money towards Ormiston Academy’s refurbishment which would allow for an increase in its admission numbers. In response, the Cabinet Member for Children and Education stated that the government’s Basic Need funding was allocated on the basis to support the expansion of an Academy where the local authority needed new places.  As this was an Authority led expansion, the council was responsible for funding new places.

Based on recent schemes where new accommodation was required for a 1 form entry expansion of an existing secondary school, it was anticipated that funding would be £3.5-4.5m dependent on sufficiency of its existing buildings.  This proposal presented the council with an excellent value for money solution.

The Trust would be investing in the expansion. Whilst the local authority funding would focus in the main towards internal works, the Trust and Academy planned to remodel the external area.  The Trust and Academy were aware additional pupils would bring additional footfall and vehicle movements in the local area and their works would remodel existing access/egress arrangements and car parking to minimise congestion on Lower City Road and neighbouring roads.

The Chair of Children’s Services and Education Scrutiny Board also asked whether a surplus of places was expected with the opening of new secondary schools.

In response, the Cabinet Member for Children and Education stated that effective place planning had ensured the Council had been able to maintain a surplus throughout the growth period, albeit during the last 3 years the surplus had only been around 1.5% whereas we would expect to operate around 5-8%. Current plans would see the council returning to that position by 2025/26.

Reason for Decision

The local authority had a statutory duty to ensure a sufficient supply of school places. Whilst the unprecedented growth in the birth rate experienced over recent years had started to ease, the Borough continued to receive a high demand for school places, primarily due to increased migration and retention rates. 

The Schools Capital Programme aligned to service needs so that the council could meet its statutory responsibility of ensuring every child in Sandwell had access to a good school place by seeking to build on its commitment to expand successful and popular schools.

Secondary school places were required in Oldbury and Ormiston Academy Trust had agreed to increase its Published Admission Number from 210 to 240 to offer an additional 150 places. 

The Trust and Academy would procure the works on behalf of the council. This would provide best value for money and minimise the council’s risk.  A Funding Agreement would be agreed between the council and the Trust.  The Trust would provide evidence, or a statement of account for payments to its contractor to support each invoice submitted to the Authority for payment. 

Alternative Options Considered

                  Do nothing – This was not a viable option for the Authority. In 2021/22 the Authority was unable to meet all parental preferences for the Academy from the local area, which led to pupils having to be offered places at a substantial home to school distance.

                  Permanent expansion at an alternative local secondary school - Through the Authority’s Schools Capital Programme most local secondary schools had already received significant investment to increase pupil capacity. 

                  Permanent extension at Ormiston Sandwell Community Academy - The Trust undertook a feasibility of the Academy’s existing accommodation, which proved that there was sufficient area within the existing Academy buildings, which with some remodelling and refurbishment, could provide sufficient accommodation for the proposed additional form of entry.  The works package also provided a very economical solution to the Authority for a 1 form entry expansion of an existing secondary school. Alternative proposals for re-use of the Perryfields modular block would be subject to a future Cabinet report.

                  Temporary extension at the Academy - A temporary solution would not be conducive to educational provision. Compared to both options for either re-use of the modular block, or the planned refurbishment works, a temporary building solution was not considered to offer value for money for the Authority.

Agreed:-

(1)     that subject to a satisfactory financial appraisal being completed by Strategic Finance, approval be given to the allocation of £763,000 from the council’s Basic Need / School Condition funding to fund refurbishment works to Ormiston Sandwell Community Academy (the Academy), Lower City Road, Tividale, Oldbury, B69 2HE;

(2)     that the Director – Law and Governance and Monitoring Officer be authorised to enter into a funding agreement on terms agreed by the Director of Children and Education as required to enable Ormiston Academy Trust (the Trust) and the Academy to procure and complete the refurbishment works as referred to in Resolution (1) above.