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Becoming an Academy

Becoming an Academy. St John’s Primary School Academy Conference 20 th June 2012. Academy Background. Key Government Flagship Policy Over 500 (Convertor) Academies so far LA Staff facing cutbacks and services threatened - becoming commissioners School LA staff feeling threatened

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Becoming an Academy

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  1. Becoming an Academy • St John’s Primary School • Academy Conference • 20th June 2012

  2. Academy Background • Key Government Flagship Policy • Over 500 (Convertor) Academies so far • LA Staff facing cutbacks and services threatened - becoming commissioners • School LA staff feeling threatened • Funding restrictions for schools, Pension changes • Decision made by People (Governors) after consulting with Stakeholders (including Staff , the CommunityandPupils)

  3. What does Academy Mean to the Community • Free, all ability state funded independent of LA control and support, governed and run by educationalists and the community • Different to old failing school Academies (sponsor was needed) • Accountable to the Department for Education • New freedoms but with additional costs & risks

  4. What does it mean for Pupils & Staff • Freedoms & Benefits to focus on raising pupil attainment • No LA interference or bureaucracy, but less support • Funding (increased) direct to the school • Flexibility in creating or maintaining a curriculum relevant to our children (e.g. SBC) • Partnering with other schools, discretion on buying quality services • Ownership of buildings/assets, lease/own land • Flexibility to reward staff, not tied to national terms and conditions

  5. Academies Act 2010 Gives schools new freedoms and flexibilities Dept for Education Funding Funding Local Authority Control Autonomy School Academy

  6. What does it mean for Governors • The Governing Body becomes the board/directors of the Academy Trust Company • Limited by guarantee, exempt charitable status • Needs 3 (or more) non-paid Members to set-up • Can mirror current GB instrument/composition, without Members having power over Governors • Governors set the strategy and challenge as per their current role, finance responsibility • They continue to be the employer of staff

  7. What does it mean for Governors • Governors pass a resolution to be able to access funding and resources to make a balanced decision • Governors consult with stakeholders • No right of veto (unless Trust/VA), GB decision based on cost/benefit and consultation • Existing employer consults with staff/unions • Process takes 3-4 months

  8. What does it mean for Staff • All terms, conditions, policies are transferred as part of the TUPE process • Continuous service and pension preserved • The legal process requires a Measures letter to inform staff of any changes • Two Consultations before any transfer • Contracts are unchanged, only a transfer letter to the member of staff

  9. What does it mean for Staff • Pensions issues TP and LGPS: understand impact, actuarial assessment • Additional administration & Premises responsibilities: • Local Authority support and services • Finance reporting & Audit • Premises and insurance • Reliance on current HT/SLT and current Governing Body

  10. What does it mean for Staff responsible for the conversion • Grappling with information overload • Assessment of the costs and benefits • Project Management • HR elements • Finance elements • Premises • Legal

  11. HR elements • TUPE • Measures • Consultation • Due Diligence • Pensions Identifying Challenges and the Solutions

  12. HR elements • Audit of Policies • Self Audit to ensure compliance to statutory checks, changes going forward • Staff Communication Identifying Challenges and the Solutions

  13. Finance elements • Process and Timeframe for reporting • Section 251review and Academy funding (GAG) • VAT • Accounting arrangements & System • Transfer of Assets and liabilities • Cash flow/Balance Sheet/Budget Setting Identifying Challenges and Solutions

  14. Property Support & Asset Management elements • Gap Analysis • Condition Survey • Outstanding disputes • Risk Assessments • Remedial steps Identifying Challenges and the Solutions

  15. Property Support & Asset Management elements • Audit Status of Key contracts • Assessment of service quality • Evaluate options • Audit of Insurances • Consideration /Evaluation of alternatives Identifying Challenges and the Solutions

  16. Legal elements • Checklist and briefing notes on each step/role • Memorandum and Articles of Association (configuration of GB) • Funding Agreement (so you are paid directly) • Company Registration (a new company) • Lease and Land • Commercial Transfer Agreement (with the LA and any other matters/lease)

  17. Key Messages

  18. Questions and Answers

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