Agenda item

IH presented the paper. 

As reported earlier, we are forecasting an end of year carry forward of £4.959m, which represent an in-year of about £1.7m in the carried forward reserves. The reserves are usually allocated to the High Needs block, as a contingency in case of further budget pressures and overspend. This is because we know about the massive problems and pressures on the high needs block and we have been shown to be right about that because of the overspends on high needs over the last couple of years, which have drawn on some of those balances carried forward.

However, given the increase in the high needs block and given the fact that the carry forward is going up by £1.7m, it is now proposed to  redistribute some of that carry forward to schools and settings.

It would be wrong to put extra funding into the core funding formulae, as if we try to do it again the following year, we might not be able to afford it.

The paper sets out proposals for allocating £1.579m on a one-off basis as follows:

One -off lump sums for Maintained Nursery Schools              £400,000

One-off supplement to the hourly rate for 3- and 4-year-olds  £175,000

New arrivals (Hong Kong and asylum seeker hotels) up to: £1,000,000

Sub-total                                                                               £1,575,000

A detailed explanation of the reasons for each proposal is set out in the report.

AL asked how the consultation on the lump sum payments for maintained nursery schools will happen. IH said the council will produce a short consultation document and send it to schools and settings with a link to an online survey. This will start as soon as possible after the proposal is also considered by the council’s Children, Education and Safeguarding Committee next week and it has to finish by the end of February because we have to submit the early years funding formula by the end of February.

SH suggested that a special meeting to consider the proposals may not be needed. He suggested that the lump sum proposal only needs to come back to the Forum if there is a very negative response to it.  He suggested that the details of the proposal to fund schools for support for children of Hong Kong migrants and of families living in designated asylum seeker hotels could be developed by the council and subject to consultation with the chair and vice-chair and one other member of the Forum.  Sarah Sands agreed to be the other member consulted.

It was agreed:

1.    To approve the proposed use of carried forward DSG balances as set out in the report, subject to consultation with Early Years providers in respect of the proposal for lump sum allocations to maintained nursery schools.

2.    To approve the proposed approach to Early Years Funding as set out above and to approve the proposals for lump sum payments to maintained nursery schools in principle, subject to consultation with Early Years providers on the proposed lump sum payments for Maintained Nursery Schools.

3.    To approve the proposed approach to funding new arrivals as set out in the report.

4.    That the proposal for the lump sum payments does not need to come back to a special meeting but should be considered agreed unless there is a very negative response to it through the consultation.

5.    That the proposed methodology for calculating payments to schools in respect of new arrivals may be agreed by the council subject to consultation with the chair and vice-chair of the Schools Forum and Sarah Sands.