Agenda item

OLIVE AP ACADEMY - FUNDING ARRANGEMENTS

Minutes:

The Local Authority had received a request from the Olive AP Academy to increase the total number of places commissioned by the Local Authority on behalf of secondary schools and to introduce a two tier funding approach that would increase the funding allocated for a proportion of the places funded.  Mr Mark Vickers, Chief Executive Officer, Olive AP Academy Trust presented a report which requested the Forum consider the proposals from the Olive AP Academy for additional funding.

 

Members were provided a background to the Academy in order to put the request into context.  It was explained that the academy’s site in Havering opened on 1 September 2016, after its predecessor, Manor Green College, had been in special measures.  The school had inherited poor quality teaching and the Academy was keen to ensure an inclusive continual provision, with much work having been undertaken to ensure that the accommodation was fit for purpose and the staffing restructure had led to stronger staffing at the academy.  The building was being reconfigured, with works planned to commence in April 2018, which would significantly improve the quality of provision for the children. 

 

Mr Vickers presented the rationale for ensuring that the academy was adequately funded to be able to take full advantage of the opportunities being created by the emerging partnerships between Olive Academies, Havering Borough Council and Havering schools.

 

The Published Admission Number for the academy’s Havering site was 64, with the number on roll currently at 59. In response to questioning, members were advised that if the number on roll were to reach 64, further discussions around funding would be needed as the academy would no longer be able to run intervention groups if the number of permanent exclusions continued to rise.

 

The current funding arrangements for the Olive AP Academy were as follows: 

 

Key Stage

Places

Per place

Per pupil

Total charge

Total funding

KS3

24

£10,000

£8,000

£18,000

£432,000

KS4

40

£10,000

£8,000

£18,000

£720,000

Total

64

 

 

 

£1,152,000

 

A document detailing benchmarked local authority top-up levels of funding was circulated at the meeting, as below:

 

Outer London Borough

Top up per pupil

OA Havering top up per pupil

Difference

M

£12,096

£8,000

£-4,096

B

£16,800

£8,000

£-8,800

H

£18,000 to £22,000

£8,000

£-12,000

B

£18,000

£8,000

£-10,000

H

£18,000

£8,000

£-10,000

£20,000

£8,000

£-12,000

S

£24,000

£8,000

£-16,000

Average

£18,414

£8,000

£-10,414

 

Mr Vickers expressed concern that the current pupil numbers and funding formula were severely limiting the capacity of the academy to be able to play its full part in the continuum of inclusion provision for Havering’s pupils, and the agreed published admission number also restricted the academy’s financial capacity.  Furthermore, Mr Vickers expressed the concerns of the Trust Board as to whether it would be possible to continue to run the academy without an increase in either, or both, pupil number and local authority top up funding in its current financial position. 

 

It was explained that the minimum additional income required for 64 pupils in order for the academy to function and make a significant impact to staffing, was £321,453.  It was proposed that an increase in the published admission number be phased in, with an increase to 74 from 2018 and to 84 in 2019.  The staged dates were designed to allow the academy time to recruit and train the additional staff required to run the programmes.  Mr Vickers proposed a two tier funding arrangement within which 34 of the 64 places would be funded at £17,455, in order to meet the complex needs of these pupils.

 

The impact of improved links with schools was questioned, upon which it explained that the academy operated an intervention programme to prepare pupils to re-enter mainstream school, in order to prevent permanent exclusion. The increased funding would enable academy staff to support pupils into mainstream schools. 

 

Members were advised that if the funding proposal were agreed, that the Olive AP Academy would be a ‘good’ provision by September 2018, and this would be possible due to the small scale of the provision, the right staff in place and the academy’s experience in moving quickly.  Since academy conversion, accountability structures had been established and the Academy Advisory Board had scrutinised the level of monitoring and standards while attempting to work within the existing levels of funding.

 

Of those that had responded to a short survey, the view of the borough’s secondary schools were mainly supportive of the proposal, with one school against. 

 

Members discussed the high cost to schools and the borough were there to be no, or insufficient in-borough provision. 

 

Concern was raised by some members that the early years inclusion system was not working for children as it did not address the potential of permanent exclusion in later years and transition into mainstream schools.  In terms of the primary school model and early help workers, this was felt to have been the most effective on parents taking on responsibilities. 

 

Members raised concern regarding the low level of attendance at the Olive Academy and questioned at what point attendance would be challenged, as for some pupils with up to 60% absence, additional funding would have no impact.  In response, it was explained that the Trust would use the funding to work with parents and the Family Intervention Worker.

 

The success criteria was questioned, upon which it was explained that the academy would be assessed and monitored twice a year by serving Ofsted Inspectors, alongside monitoring and scrutinization by the Trust.  Members wanted to see increased pupil outcomes as a success criterion.

 

During debate, members highlighted that some schools were more likely to exclude rather than deploy other strategies sometimes due to demographical differences.  Concern was expressed that if the published admission number of Olive AP Academy were to increase to 74, this could lead to a potential risk of places being filled unnecessarily. 

 

It was explained that the local authority’s funding for the following year had already been committed, with sufficient flexibility to meet the full £321k requested.  Members discussed the option of agreeing lesser funding than proposed, if they were mindful to agree to any funding.  The Strategic Finance Manager was requested to liaise further with Mr Vickers on the amount of minimal funding which would be acceptable to all parties.

Supporting documents: