Agenda item

(To receive a report from Michelle Andrews, Children's Services Manager, Early Years and Childcare Support, which provides the Schools' Forum with an update on the proposed 2019/20 funding formula following provider consultation regarding the deprivation supplement, and implementation of the new inclusion funding process)

The Forum gave consideration to a report from Geraldine O'Neill, Lead Consultant – Early Years Entitlement, which provided an update on the proposed 2019/20 funding formula following provider consultation regarding the deprivation supplement; and the implementation of the new inclusion funding process.

The Lead Consultant - Early Years Entitlement guided the Forum through the report, making reference to the background behind the early years funding formula; and that Local Authorities (LAs) were required to have a local universal rate across all types of providers, a mandatory deprivation supplement factor, and had to establish a special education needs inclusion fund.

It was highlighted that the LA had reviewed the governments prescribed supplements and had concluded that it would continue to only use the mandatory deprivation supplement.  The report advised that the LA had completed a consultation with providers and schools during the spring term of 2018.  It was noted that from the consultation responses, it had become evident that the deprivation supplement was not being adequately monitored by providers, which had the potential of not having the intended impact on outcomes for the most disadvantaged children in Lincolnshire.  The report highlighted that the LA would be developing additional reporting tools to develop a best practice framework to support providers to target this funding.  The report highlighted on page 36 the three proposals offered to childcare providers for their feedback.  The LA considered the feedback from providers, and it was concluded that for 2019/20, the LA would continue to use the same deprivation factor and deprivation monetary values that were currently in place for 2018/19.  Details of the deprivation scores and associated funding were shown of page 37 of the report.

The Forum was advised that the SEN inclusion fund process had been reviewed in 2017, and following the implementation of a pilot, the new process had now been fully rolled out in 2018/19.  It was highlighted that the revised approach enabled providers to receive additional funding in a way that was meaningful to them, and provide them with flexibility to work with families to provide an offer above and beyond that which can be met as part of the graduated approach.  Once the new process had a full financial year of implementation, the LA would have a better understanding of future budget requirements and further findings.  It was highlighted that the outcome of the implementation would be reported to the Schools' Forum at its 24 January 2019 meeting.

The Forum was advised that the government had requested in the statutory guidance that LAs should pay providers on a monthly basis, by September 2018 at the latest.  The Forum noted that Lincolnshire had successfully implemented the system for September 2018.  The Forum noted that implementation had happened following consultation with the sector, and that extensive training and support had been given to all providers.  It was highlighted that the provision of an Early Years Provider Hub ensured accurate up to date claims to be made, ensuring monthly payments to be made.

In conclusion, the Forum was advised that the LA would be reporting back to the Schools' Forum at its 24 January 2019 meeting, to provide an update on the central governments publications and funding levels; the local universal rate for providers in 2019/20; and to also agree the LAs proposals to centrally retained funding.

The Early Years Provider representative extended thanks to Geraldine and her team for all their hard work in implementing the monthly claims process.

RESOLVED

            That the Early Years Funding Formula update be noted.