Management Information Sheet

School Funding Reform & Inter-Authority Recoupment

One of the aims of the Government's School Funding Reform is to end the recoupment arrangements between local authorities in England for high needs pupils with effect from 01 April 2013. The existing legislation, "Education (Inter-authority Recoupment) Regulations 1994" is being replaced with the "Inter-authority Recoupment (England) Regulations 2013".

From 01 April 2013 the practice of recouping additional cost in relation to pupils with a statement of special educational need and belonging, solely by virtue of their normal place of residence, to another Authority will cease.

However, for at least 2013-14, recoupment in relation to 'high needs pupils' will still take place in respect of Looked After Children with a statement of special educational need, attending a maintained mainstream or maintained special school in another authority (the commissioning authority) to that which, by virtue of their LAC status, they belong.

Whilst the Regulations provide for schools to carry out this recoupment function directly with the commissioning authority it has been decided that Schools Finance will carry out this function on behalf of Norfolk maintained schools.

You may receive requests from other local authorities for details of your 'top-up' costs in respect of LAC pupils belonging to them for whom they expect you to recover cost. Please pass such correspondence to Barry Parnell, Schools Finance, Room 047, County Hall. Schools Finance will be corresponding with other authorities explaining how we intend to administer our recoupment on a centralised basis.

In order to ensure that we maximise the recoupment of the top-up costs, Schools Finance need to be made aware of all statemented LAC pupils in our schools who belong to another authority. Schools are therefore requested during April 2013 to email barry.parnell@norfolk.gov.uk with the name and date of birth of any pupil on roll who has a statement of special educational need and is another authority's looked after child. In addition Barry Parnell needs to be advised as and when a new LAC pupil meeting this criteria is added to the school roll.

The funding formula for 2013-14 already includes the first £10,000 towards the cost of all high needs pupils who were on roll as at October 2012. An income adjustment will be made in respect of the top-up due for pupils costing more than £10,000 once the commissioning authority has agreed the claim.

For new pupils for whom the inter-authority recoupment will apply, once the commissioning authority have accepted financial responsibility, Schools Finance will process recoupment on a termly basis. Where the pupil attends a mainstream school, Schools Finance will pass the 'top-up' amount due via income to the school. For a pupil attending a special school the ‘top up’ will be included in their Budget Share adjustment.

Calculation of 'top-up' allocation

Mainstream provision: The 'top up' claim will be based on the cost as previously used for PSF of the statement quantification less £6000.

Examples:

Special School: As the school will already have been fully funded for each pupil's needs, no further adjustment will be required to the individual budget share.