Transitional Support Funding Explanation of the Calculations

  1. Introduction
    The attached spreadsheet shows the amount of transitional support grant which each school will get in 2004/05.This is not continuing money but is one-off grant with government grant restrictions in place. This note explains the derivation of the figures in the spreadsheet by reference to the agreed criteria.
  2. Criterion 1 – Deficits at 31/03/2003
    The starting point for the calculation was the entire school effective net balance as reported at column 16 in the Section 52 statement for 2002/03 outturn which is located at http://www.hants.gov.uk/education/schools/section52/.
    As a result of concerns about the effect of community surpluses in some schools an adjusted figure was used. This was the greater of any deficit as shown on the Section 52 statement or the deficit just on the 0 and K codes.
  3. Criterion 2 – Capital to Revenue transfers 2003/04
    This is the value of the agreed transfer from devolved formula capital to revenue in 2003/04.Although DfES rules require it to be added as revenue funds all schools receiving money under this criterion should consider their capital position carefully.
  4. Criterion 3 – Low increase in funding 2002/03 to 2003/04
    This covers both main budget share and Standards Fund devolved to schools as the cessation of some Standards Fund categories at the end of 2002/03 and the move of others into budget shares caused noticeable budget pressures in some cases and distorted comparisons of year on year changes in budget shares.
    The 2002/03 figures are made up of:
    • 2002/03 original Budget Share Formula Allocations total
    • 2002/03 final allocations of devolved Standards Fund monies.
    • These are added together and divided by the financial year number on roll (column3) used in the budget share for 2002/03 to give
    • An amount of 2002/03 funding for each pupil
    All retrospective number on roll calculations are excluded from the total.

    The 2003/04 figures with which they are compared are made up of :
    • 2003/04 original Budget Share Formula Allocations total
    • 2003/04 devolved Standards Fund Allocations as at December 2003 ( This is the date of submission of the transitional support grant plan and the figures were fixed at that point)
    • Any budget support grant given to the school in 2003/04
    • These three are added together and divided by the financial year number on roll (column3) used in the budget share for 2003/04 to give
    • An amount of 2003/04 funding for each pupil
    The year on year change between 2002/03 and 2003/04 is then measured on both the % change in total funding and the % change in the total funding for each pupil. When a school has a change of less than 7.72% on both comparisons extra funding is calculated to bring its year on year percentage change per pupil to 7.72%.
  5. Worked example of Criterion 3 calculation
    1. 2002/03 original budget share formula allocations total £446,925
    2. 2002/03 devolved Standards Fund allocation £ 33,353
    3. The sum of these ( a + b) £480,278
    4. The 2002/03 number on Roll 215.42
    5. Total Funding per pupil 2002/03 (c / d) £2,229.50
    6. 2003/04 original budget share formula allocations total £477,754
    7. 2003/04 devolved Standards Fund allocation £ 28, 641
    8. 2003/04 Budget Support Grant £ 1,745
    9. The sum of these (f + g + h) £508,140
    10. The 2003/04 number on Roll 216.00
    11. Total Funding per pupil 2003/04 ( i / j) £2,352.50
    12. Year on year increase % total ( i / c) 5.80%
    13. Year on year increase % per pupil (k / e) 5.52%
    14. Extra funding from transitional support grant (7.72%-m) x e x j £10,609
    15. New total (i + n) £518,749
    16. Implied per pupil value ( o / j) £2,401.62
    17. Year on year % change therein (p / e) 7.72%
  6. Criterion 4 Infant Class size
    This took the position of each school with infant age pupils in the two academic years 2002/03 and 2003/04.Using the PLASC January data for each of January 2003 and January 2004 the number of classes needed to deliver the class size of 30 requirement was calculated for both years. In the case of primary schools the number of classes needed was based on all infants as being in classes of 30 with one or more of those classes being across the key stages and the number of classes for purely junior age pupils allowed a maximum size of 32 if the overall school size was below 190 on roll otherwise the maximum was also 30. For instance:
    • a primary school with 157 on roll,
    • 80 infant, 77 junior
    • 80 / 30 ( 2.6666) requires 3 classes
    • 10 juniors could share a class with 20 infants
    • 67 remaining ( 77- 10) juniors / 32 (2.0938) still need 3 classes
    • The school is be assessed as 6 classes.
    The number of classes required was compared with the number of teachers funded by the budget share formula to identify which schools required more classes than the teachers that they could afford. The formula generates 0.03571 of a teacher per years R to 2 pupil and 0.03467 of a teacher per years 3 to 6 pupil and a flat rate for the school of 0.367 teachers.
    • The 157 pupil school referred to above
    • Funded for 5.8934 teachers ( 0.367 + 80 x 0.03571 + 77 x 0.03467).
    • Shortfall of 0.1066 of a teacher (6-5.8943)
    • Transitional support grant of £3,152 (0.1066 x county average teacher salary of £29,572).
    The two academic years are treated separately and the combined amount generated is shown in the column for criterion 4
  7. Schools causing concerns
    It was agreed that the list of schools identified by these four criteria would be reviewed to check that the relevant educational performance issues had been covered. For those schools in special measures/ serious weakness/ where performance and/or management is of concern (as measured by the criteria agreed with Hampshire schools) grant adjustments, of up to a maximum of £10,000 per primary or special school, and £25,000 per secondary school might be made to ensure urgent improvements for pupils are not prevented by budget issues. The schools receiving money as a consequence are shown in this column.
  8. Financial Training and Advice
    All schools receive £465 to support them in improving their financial management by training or consultancy advice.
  9. Supporting workforce reform
    This distributes the money remaining after all the previous criteria have been met. Allocated across all schools for the purposes of ‘invest to save' in workforce remodelling with the aim being to give schools the resources to spend time training learning support assistants. It is expected that this investment will enable schools to manage their workforce more effectively and so avoid deficit risks. The basis for this follows that used for the support staff training element of Standards Fund and is:
    • Primary £280.00 per school, £2.80 per pupil and an extra £11.00 per special unit pupil
    • Secondary £1,056.00 per school, £2.64 per pupil and an extra £11.00 per special unit pupil
    • Special £770.00 per school, £11.00 for Step 4, £19.25 for Step5, £33.00 for Step 6 and £27.50 for SEN Nursery