Additional Learning Support Allocations, ILR Records and Guidance 2010-11

1. By Funding Policy Implementation Team Additional Learning Support Allocations, ILR Records and Guidance 2010-11 Championing Young People’s Learning

2. ALS Allocations 2010-11 The learner-responsive ALS allocation system for 2010/11 (similar to 2009-10) is as follows: Championing Young People’s Learning

3. ALS Claims/Out-turns The LIS Funding Claim reports need to include an ALS out-turn that is calculated solely on basis of allocation formula. Purpose of data two-fold: Provide out-turn that matches allocation and satisfy the YPLA own regulatory requirements; Provide meaningful out-turn data to support ALS allocations for future years. Championing Young People’s Learning

4. ALS Claims/Out-turns ALS funding is NOT subject to any formal reconciliation. But there is a need where the provider delivery is clearly very significantly different to planned allocation to review ALS expenditure against the ALS allocations and it may be necessary in a few very exceptional circumstances to adjust the ALS allocation. Championing Young People’s Learning

5. ALS Formula Claims Funding Claims for 2010/11 will include an ALS formula driven out-turn value. This calculation is set out on the following slides. Funding Claims for 2010-11 will also show the actual ALS costs entered on provider ILR returns. The next slide shows the LIS ALS report. Championing Young People’s Learning

6. ILR Funding Estimates/Claims 2010/11 (*Mid-year Estimate/Year-end Estimate/Final Claim) (*Delete as appropriate)

7. ALS Out-turn Formula Start with: (a) Provider ALS cash allocation (b) Provider SLN allocation (c) ALS per SLN is a/b Out-turn formula ALS is: Out-turn SLN x (c) = Out-turn ALS cash Championing Young People’s Learning

8. ALS Costs Out-turn Start at individual learner records: (x): ALS cash expenditure below £5,500, but if below minimum threshold ALS cash = 0; (full-time <£501= £0; part-time <£171=0). (y): All ALS cash expenditure above £5,500, capped at £19,000. Total ALS ILR cost: Sum of (x) and (y) above. Variance: Difference between total recorded ALS cash and formula generated figure. Championing Young People’s Learning

9. ALS Guidance 2010-11 Championing Young People’s Learning

10. Guidance on ALS Sets out the Funding Principles and Expected Uses of ALS Detailed guidance and costing information is available to providers on completing the ALS costs forms Recording activity Calculating cash values Thresholds Compliance evidence Advice on initial assessment Championing Young People’s Learning

11. YPLA Guidance ‘Spirit & Intention’ “ALS should only be recorded for the additional costs incurred in delivering provision to learners with identified wholly and exclusively additional individual support Needs”. ALS funding should not be recorded for any general running costs incurred by a college or provider. Most of the guidance document written to explain this and this includes some examples of these principles. Championing Young People’s Learning

12. History of ALS Advice ALS advice and guidance for learner responsive funding has not been changed much in the last decade. All providers required to record ALS through the ILR on an individual learner basis. Previous LSC funding audits identified ALS records as having “serious compliance issues”. Championing Young People’s Learning

13. Detailed ALS Advice Types of ALS provided to learners includes: Additional teaching – either reduced class sizes or personal support in class Other specialist staffing Physiotherapy / speech therapist – after assessment by suitable person and how the support is identified to assisting learner in meeting their learning aims Assessment and review, pre-entry, on entry, on programme and on exit Personal counselling to support learner in achieving learning goals Transport between sites and off-site for mobility impairment Administration directly linked to individual learners that is in excess of usual requirements Championing Young People’s Learning

14. Questions ALS Funding Advice Q1 College wishes to purchase an expensive piece of equipment to support a learner with significant additional learning needs. The learner is likely to take 2 years to complete their initial programme and college hope the learner will then progress onto a further and higher level FE programme. Can they claim this as a capital cost under ALS? Championing Young People’s Learning

15. Possible answers on Funding Advice Q1 A1 No, but college can claim a depreciation charge for equipment. It should be calculated as follows (see paragraphs 41-42): Divide the actual cost of the equipment by the estimated years of useful life. Only the appropriate element of the depreciation for equipment used by the learner for the time it is used is eligible for ALS funding. Lease costs may be eligible but will need advice of college finance department for calculations (paragraph 43). Championing Young People’s Learning

16. Questions ALS Funding Advice Q2 College has a significant ALS delivery programme (& ALS allocation). College decides as ALS is effectively one-tenth of college delivery it should be treated as a single department under their internal budgeting arrangements and absorb one-tenth of college overheads. This makes their internal administration simpler and reduces their bureaucracy. College then realises it also needs to increase their ALS allocation as their internal costs are now higher than their allocation & approaches their funding body. How much of their increased costs are allowable by YPLA guidance? Championing Young People’s Learning

17. Possible answers on Funding Advice Q2 A2 The College internal budgeting arrangements are not relevant to deciding on what additional costs can be included in an ALS allocation/Claim. The College must consider only the YPLA guidance on what constitutes legitimate additional costs that can be included in ALS allocations/claims. YPLA guidance specifically excludes general overheads that we regard as being met from the base unit of resource, for example: Proportion of Principal, Finance director or MIS Officer time or costs, premises costs, any costs that would still exist in the college if no additional support was charged. Championing Young People’s Learning

18. Possible answers on Funding Advice Q2 A2 All colleges (providers) must be treated equally in providing ALS. The internal budgeting arrangements/decisions colleges make regarding their ALS allocation/claim should not benefit or lose them LSC funding. The college setting ALS as an internal cost centre should have the same ALS from the YPLA as a college that adopts an alternative approach in allocating its budgets and costs. Championing Young People’s Learning

19. Possible answers on Funding Advice Q2 For example, the YPLA guidance gives providers the same funding regardless whether the provider allocates building usage by either: saying 10% of their buildings are used exclusively for ALS; or saying that as ALS is embedded across the college 10% of each room is used for ALS. In both these cases, the buildings are funded from the base unit of resource. Championing Young People’s Learning

20. By Funding Policy Implementation Team Additional Learning Support Allocations, ILR Records and Guidance 2010-11 Championing Young People’s Learning