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Balance Control Mechanism

All the files below can only be downloaded if you are in a Hertfordshire school

Balance Control Mechanism - March 2011 Revenue Balances Updated

The DfE have removed the mandatory operation of a balance control mechanism.  However, in Hertfordshire, the Schools Forum have agreed with the Authority to continue to operate the mechanism but to only apply the mechanism in full to schools which cannot demonstrate clear plans for excess balances.  It wil operate as follows:-

1. The Authority will calculate the Normal Maximum Level  of revenue balance for all schools taking into account

  • previously agreed projects
  • consortia balances (as advised with 2010/11 Year End documentation)

2. Schools with a balance in excess of the Normal Maximum Level ( see calculator) will be written to in May to ask what plans are in place for the excess.  These projects may include

  • Nursery pupil number adjustments
  • planned projects
  • revenue payment of previously agreed DFC projects (where there is a shortfall in the estimated DFC receipt for 2011/12

3. Providing the plans meet the criteria outlined in the scheme and the school can demonstrate planning it is likely that the project will be agreed.  Please note that if schools are holding balances with no clear purpose these excess balances will be subject to the mechanism.

Balance Clawback Calculator

March 2012 Revenue Balances updated

Timetable for Balance Clawback Mechanism

Schools who fall into the excessive balance category will receive notification from the Authority detailing how the calculation was arrived at and how the Authority plans to administer the scheme.

All schools receiving notification will be required to submit a three year financial forecast and complete an analysis return to the Authority.

The key dates are detailed below:

Balance Clawback March 2011 Revenue Balance

All Schools

Authority advises schools of projects to be registered against the March 2011 revenue balance

31 May 2011

School provides full details and finance plans to Authority

23 July 2011

Authority confirms of projects

30 September 2011

Appeals panels (if required)

15 November 2010

Any clawbacks applied to school

15 November 2011

Useful Documents

Balance Clawback

 

Hertfordshire Schools Balance Clawback Scheme

Application for Agreement of Exceptional Projects

Notes to Complete Application for Pre-Registering a Project

Notes on completion of the Application for Agreement of Exceptional Projects

Published Papers

 

 

National benchmarking Schools Forum paper March 2008

Schools Forum Paper 25 April 2007
This paper details the implementation of the changes to the Scheme for Financing Schools. Appendix A (draft at the time of going before the Schools Forum) has now been approved and will form part of the Scheme.

Schools Forum Paper 27 February 2008
A review of the 2007/08 Balance Clawback Mechanism