Issue - meetings

Consideration was given to a report of the Director of Finance which provided the Cabinet with details of the level of Dedicated Schools Grant (DSG) for 2021/22 together with its allocation across the three funding blocks for which information was currently available.

The report also provides information about the National Funding Formula (NFF) for Schools, the High Needs Blocks for Oldham and also presented a recommended approach for the distribution of the Schools Funding Block of the DSG to Schools and Academies for 2021/22.

The Cabinet were advised that this funding was based on October 2019 pupil numbers and would be subject to change once calculations have been updated to reflect October 2020 pupil numbers.

In addition, the report presented the proposed option (Model 1 as detailed in Appendix 1) to move to the 2021/22 National Funding Formula cash values in full except for the Area Cost Adjustment (ACA) where it was proposed that the factor applied in Oldham was initially reduced from 1.00545 to 1.00000. However. Members were advised that if there are any resources available once funding allocations based on updated pupil numbers are received, then this additional funding would be allocated through an increase to the ACA.

It was also proposed that there was a 0.5% movement of funding from the Schools Block to the High Needs Block in order to manage the DSG (which was currently in a deficit position) so that the DSG was brought back into a balanced position as soon as possible. As highlighted in the report, the continued agreement of the Schools Forum to the proposed 0.5% movement of funds between the Schools and High Needs Blocks remained essential given the current financial position of the DSG. At its meeting on 18 November 2020, Schools Forum agreed to the 0.5% movement and approved the proposed distribution of the Schools Funding Block (Model 1).

Option/alternatives considered

There was a requirement for the 2021/22 funding formula to be agreed by Schools Forum. The report set out the funding formula agreed unanimously by Schools Forum members at their meeting on 18 November. Members are not therefore presented with an alternative approach.

RESOLVED – That:

The model outlined in the report which was a move to the 2021/22 National Funding Formula cash values in full except for the Area Cost Adjustment factor, which was reduced to 1.00000 but with the opportunity to adjust the ACA if there are any resources available once actual 2021/22 funding allocations are received be approved.

The 0.5% transfer of funding between the Schools and the High Needs Blocks be approved.