1 Finance for Special Educational Needs Charlie Palmer

2 Hypothecation and Virement An hypothecated budget is one in which the elements making up the budget are precisely specified, and amounts cannot be vired among different budget headings. A shopping list given to a child is a good example. It has always been the practice in the UK Treasury to argue that both Taxes and Spending are not hypothecated and similarly, it has always been argued that education budgets are not hypothecated. For governors, the non-hypothecation of budgets means that it is up to each governing body to determine local spending priorities within the overall budget. Fair Funding continues this tradition. But... [Although budgets are not hypothecated] the Government considers it important that each school should be clear what levels and kinds of special needs it is expected to meet from its own delegated budget and how much of its delegated budget is notionally attributable to SEN." (DfEE Fair Funding Consultation Paper, 1998, page 33).

3 What is in the Budget for SEN? Notional Budget for SEN –4% of Age weighted Pupil Unit (AWPU) funding* –£7.30 per pupils SENCO release time –Amount delegated for statements Additional Elements –Funding for Unit Provision –Learning Support Unit and Social Inclusion Funding (secondary schools) * An additional 1% is built into the delegation formula

4 Section 52 Budget Statement Financial year runs April to March LEA issues school budget statements in March each year LA publishes Notional Budget for SEN information on EIS in May Three year school budgets will be issued from next year, but future years subject to pupil data changing each year

5 How the Formula Works PA points are scored by those pupils whose SAT results at Key Stage 2, 3 and 4 fall in the bottom 18% of all Leicestershire schools. For Key Stage 1 the bottom 18% of baseline assessments/Foundation Stage Profiles are used. Those in the bottom 2% score points weighted by 4, next 5% weighted by 2% and next 8% by 1. The funding per PA point figure is calculated, using the PA funding at each key stage and dividing by the total number of PA points in each of those stages. Prior-Attainment (PA) drives 70% of the funding available at Key Stage 2,3 & 4 and Social Deprivation (SD) drives 30%. With Key Stage 1 this is adjusted to 50% for both as it is recognised that baseline assessments/foundation stage profiles are not as objective as SAT results. Total SEN Funding is split between Key Stages - pro rata using global pupil numbers on roll figures at each stage. The funding per SD point figure is calculated, using the SD funding at each key stage and dividing by the total number of SD points in each of those key stages. SD points are weighted numbers on roll. The multiple index of deprivation is used to rank schools in order of most deprivation. The most deprived third receive a weighting of 4 for each pupil, the next third a weighting of 2 and the bottom third a weighting of 1. The January PLASC NOR figures are used Each schools Section 52 SEN Delegation formula funding share = (PA funding per point x schools PA points) + (SD funding per point x weighted NOR) Prepared by Phil DMello

6 An Example: SEN Calculation

7 An Example: Section 52 Budget Statement 4% AWPU SENCO Release £7.30 per pupil

8 Notional Budgets for SEN School details 4% of AWPU funding Delegated funding SENCO release time: £7.30 per pupil Total Notional SEN Budget

9 Arrangements for Transitional support budget Budget of £85,000 agreed by schools forum for This year schools protected by minimum funding guarantee and contingency fund* Enhanced Packages budget Propose to run shadow budgets and engage APSPs with decision making in and work on formal agreement to support delegation for approved by forum. Consultation indicates panels not ready to take on this, shadow budgets not yet prepared. 16+ statements in mainstream Delegation to schools agreed by schools forum in Balance between historic and formula funding Gradual move to 100% formula funding over last four years Mid year transfer support Small budget proposed to be held centrally to help small schools with high cost pupils arriving at non-standard times. *Contingency funding can only be accessed if the school is in deficit

10 Rules for Additional Funding (07-08) Enhanced Packages Aim: Support schools with high cost statemented pupils Resource: £710,000 Rules: 1.Statement panel identify that a special school placement is appropriate, but family prefer a mainstream placement 2.An out county placement has been agreed but a school has not yet been identified

11 Rules for Additional Funding (07-08) Mid Year Transfer Support (Move In) Aim: Reduce risk to schools from high cost new arrivals Resource: £ 50K Rules: 1. Applies to pupils who have statements specifying 25 hours support or more, and transfer at non-standard times (and years) 2. All costs met when statement costs exceed delegated budget 3. Schools need to contact SENA case work officer

12 Monitoring Budget Information – Financial Year April 2003-April 2004 Income£ a)Notional school budget for SEN (This includes: delegated amount for statements, SENCO release, and 4% AWPU (original figures distributed in April 2003)) b)Amount from centrally held budget for high cost statements £ c)Other sources of funding, e.g. Standards Fund, spent on SEN i)£ ii)£ TOTAL£ Expenditure a)Amount spent on staffing (internal) i) SENCos or part of SENCos salary£ ii) SEN support teachers£ iii) Teachers who teach small lower sets (roughly half fewer usual set numbers).£ iv) SEN teaching assistants£ v) NNEBs supporting SEN pupils£ vi) Administration for SEN£ vii) Other – please specify:£ £ b)Amount spent on external services, e.g. STS, consultancy i)£ ii)£ c)Amount spent on materials/resources£ d) Amount spent on INSET (include cost of supply cover, travel etc. as well as course feels)£ e)Other expenditure (please list) £ TOTAL£

13 Impact of Delegation