Dedicated School Grant (DSG) 2020/21 Budget Planning and 2019/20 Forecast Outturn
The Board considered a report from the Senior Finance Officer presenting the Dedicated Schools Grant (DSG) covering:
· The final funding methodology for distribution of the 2020/21 Individual School Block (ISB) allocations;
· The final indicative DSG budget allocation for 2020/21; and
· The updated forecast outturn for 2019/20.
The Board primarily discussed the Central Block funding for historic commitments and the need for a clearly defined strategy and options to manage and mitigate against the Department for Education (DfE) funding reductions in this area (i.e. 20% reduction in 2020/21 and an anticipated further 20% reduction for each of the remaining 4 years).
The Board also commented on the High Needs Block funding commending the work undertaken to restore the DSG high needs funding position to a sustainable financial position.
1. That the indicative and the remaining 2020/21 per pupil uplift applied to all individual school block allocations, who have either not benefited from and therefore already funded above the minimum funding rates per pupil for 2020/21 or a 4% uplift to applied to the applicable core NFF pupil led factors, be set on Option 1 as set out in Appendix 1, which incorporates the proposed, required and asked school block to central block funding transfer.
2. That it be recognised that Option 1 as agreed in resolution 1 above is a proposed short term measure for 2020/21, which has been driven by the Department for Education (DfE) recent announcement on 11th October 2019 that the Central Block funding for historic commitments will be reduced by 20% for 2020/21. Option 1 therefore allows the local authority (with working groups, as required) time to sensibly plan and consult (including with the Education Board), mitigating actions to address the continued and expected further funding losses from 2021/22 onwards.
3. That, on the basis of Option 1 (resolution 1 above) having been approved, the total funding amount of £1,746,170 for Central Block services (as referenced in paragraph 9.3 of the report), be approved.
4. That the continued de-delegation of public duties at £1.00 per pupil (at the same rate at 2019/20), which will also be applied to their Numbers on Roll as at the October 2019 Census, to be held centrally within the schools block (Maintained schools only), be approved.
5. That the growth fund to support schools continues to be held centrally within the schools block and distributed to provide the extra required planning places with the authority.
6. That, if affordable to the long term growth model, a back dated increase be applied to the growth rates proposed from September 2019, which will be presented in the next January Education Board DSG report alongside the rates for September 2020. This will also then, become an additional annual step of the model.
7. That the 2020/21 early year funding rates, as shown in Appendix 3, be approved.
8. That, on the basis of the decisions undertaken above and at the previous October 2019 DSG report, the DSG paper and the following January 2020 DSG Education Board paper, be recommended to Council for final approval in February 2020.
9. That with regard to individual school’s budget (ISB) planning for 2020/21, as agreed at the Education Board meeting in October 2019, the following be noted:
· The minimum per pupil 2020/21 funding levels have been set in line with the National Funding Formulae at £3,750 for primary schools and £5,000 for secondary schools (which is based on the nationally defined pupil led funding factors including lump sum); and
· Within the funding formulae itself, the core Pupil led National Funding Formulae (NFF) factors have been set and applied with the NFF 2020/21 4% uplift applied to those core factors from 2019/20.
10. That the final DSG Individual School Budgets (ISB) for mainstream schools and the DSG 2020/21 budget, will be illustrated and simply for noting at the Education Board in January 2020, based on the agreed decisions made in both this December 2019 and the October 2019 DSG Education Board DSG reports.
- Covering Report - DSG Budget Planning and Forecast Outturn, item 5. PDF 207 KB
- Appendices 1 - 3, item 5. PDF 422 KB