County Hall

Martineau Lane

Norwich

NR1 2DL

Minicom: (01603 223833)

Sheila Smith

SC//BCS/SS 01603 222503

12 March 2002 01603 224291

sheila.smith@edu.norfolk.gov.uk

Chair of Governors – All Schools

Headteacher – All Schools

PRU's

Dear Colleague

Seed Challenge Capital Grant Funding

You may recall I wrote to you on 1^st May 2001 providing details of Seed Challenge Grants. The funding is available again this year, and outlined below are the criteria and procedure which schools should follow in order to make applications.

What is Seed Challenge Grant?

It is a stand alone grant provided by the DfEE to be spent on capital projects which will address the most pressing accommodation and curriculum needs and provide opportunities to improve standards.

This money may not be used for repairs, maintenance, or furniture and equipment, other than in the context of an overall building project.

How much grant aid is available?

The grant for the present financial year 2002/03 is £825,482 and is available to schools on a bidding basis for capital projects.

Grant to a school will not cover the entire cost of the capital project; the percentage breakdown is as follows:

	Maximum Seed Challenge Grant Aid	Remaining % Funding
Secondary Schools	33% of total project costs	25% Formula Capital and/or revenue budget	75% New money (see definition below
All other schools and PRU's	50% of total project costs	25% Formula Capital and/or revenue budget	75% New money (see definition below)

Note:

For VA schools, the further contribution of 15% of the grant entitlement normally required for governors’ liabilities is not required on Seed projects.

You will see that a considerable percentage of the project cost will require external funding.

It may be that a school will not have sufficient external funding to apply this year. However, the process will be repeated in 2003/04 when £825,482 will again be available. So even if you do not have sufficient funds to apply now, do not delay fund raising as the opportunity will be there next year.

We must emphasise that the Seed Challenge application must be based on the total cost, not part cost, of the project, with an exception - there is a ceiling of £200,000 of Seed Challenge funding per project. The total project cost however, can be more than £200,000.

What is meant by New Money?

The DfEE has defined this as:

Private sector sponsorship (proof of commitments needed in writing, and submitted with application)
Profits on income from lettings or other school activities such as, tuck shops
General fund raising, including PTA donations
Sale of land/property (available receipts)
Charitable or other similar donations
Grant from National Lottery sources (can include New Opportunities Funding)
Receipts from insurance claims

What are the Grant Timescales?

The grant is available for the existing financial year and must be spent by 31^st August

2003. No slippage is permitted. The grant must be managed on a 'use it or lose it' basis.

What kind of projects might be successful?

Successful selection will be judged on the following criteria (not in priority order):

Areas of pressing accommodation need, identified in Asset Management Plans under condition, suitability or sufficiency.
How secure the external funding, ‘new money’ is
The potential the project has to address curriculum need/improve standards
How the school will evaluate the success of the project
The basis on which the matched funding is made available. External sponsorship in particular is worthy of support
Completeness of information submitted

How do I apply?

Complete the application form attached. Return to Sheila Smith, Education Premises Section, Room 130, County Hall, Norwich, NR1 2DL by 31 May 2002. Please give as much information as possible on the form as this will be the basis for evaluation and judgement.

How will I know if I have been successful?

Decisions will be made and advised to all applicants, whether successful or not, within 3 weeks of the closing date. Recommendations will be made to me by the Schools’ AMP Advisory Board, (a panel of school and Diocesan representatives), working with my officers.

Further Information

For further information please contact Sheila Smith on 01603 222503.

Yours sincerely

Bryan Slater

Director of Education