Denominational Transport - Cardinal Newman Catholic School
23 April 2013
Present:
Cardinal Newman Catholic School Representatives:
· Reverend Monsignor Kevin McGinnell
· Mrs Crow, Headteacher
· Mr Morgan, Chair of Governors
· Representatives of the Cardinal Newman Preserve our School Transport Committee
Luton Borough Council Representatives:
· Cllr Hazel Simmons, Leader
· Cllr Waheed Akbar, Portfolio Holder – Children & Learning
· Martin Pratt, Corporate Director – Children & Learning
· Geoff Headley, Head of Support, Challenge & Intervention
· Nicola Perry, Head of Policy and Performance
· Debbie Craig, Admissions & Planning Manager
· Ken Toye, Passenger Transport Unit Manager
· Rob Leigh, Head of Communications & Engagement
This Paper details the issues raised by the School representatives at the meeting on 23 April 2013. It also sets out the Council’s response.
1. The Council needs to consider the unique position of the School in terms of:
a. its geographical position (the school site is on the edge of the town, located in a cul-de-sac)
b. the traffic implications of removing free transport, particularly in light of the proposed development north of Luton.
c. many pupils are transported from the most deprived wards in Luton
d. 90% of the School’s pupils are Catholics.
The Council recognises the points made. The impact of withdrawing discretionary denominational transport will be mitigated by the free transport which will continue to be available to low income families. The one-off subsidy of £406k would also allow others to be assisted in accordance with a scheme devised by Governors. The Council believes that direct bus routes can be maintained.
2. The experience of other schools cited by LBC are not good comparisons.
The Council has contacted a sample of schools and has considered feedback from other local authorities in the Eastern Region. It is reported that the withdrawal of denominational transport has not resulted in any significant loss of pupils.
3. Even if there are currently enough school places for those opting for a more local school, what about the future when the population pressures feed through from the primary sector? What if pupils who would have attended Catholic primary schools opt for their local school?
Currently there is sufficient capacity within the secondary school sector. In the future, the number of secondary school places will need to increase to keep pace with the pupil population. The Council aims to locate the additional places as close to the population pressures as possible. In addition to the expansion of Cardinal Newman an expansion is planned for Stopsley High School from September 2016. The Council will then need to create further school places from September 2017.
It is not clear whether the withdrawal of discretionary denominational transport will discourage parents from attending the Catholic primary schools, particularly as these schools are well regarded by parents and oversubscribed in the majority of year groups.
4. Why hasn’t a survey of parents’ proposed travel arrangements been undertaken?
The Council has received over 900 responses to the consultation and the issue of affordability was raised by respondents. Following feedback from the consultation, the Council is proposing a one-off subsidy of £406k to mitigate some of these concerns. If a decision is made to withdraw funding for discretionary denominational transport, school governors would need to decide whether they wish transport services to run on a commercial or tendered basis. They will also need to decide how to utilise the one-off subsidy of £406k. It is likely that Governors would wish to canvass parents on transport options post September 2013.
5. The main issue is affordability of the transport, particularly for middle income earners with more than one child attending the School. £406k is not a large enough subsidy.
Moving forward the Council is unable to support the discretionary costs of this service. In particular, the Council’s on-going financial resources will reduce to such an extent that it is estimated that by 2016 there will be a funding gap of £2m between its budget and the cost of its statutory services as currently configured.
The Council is proposing to mitigate the financial impact on parents by offering a one-off subsidy from reserves to support the transition. It will also meet its statutory obligations in respect of providing free transport to low income families.
6. The Diocese has always worked in partnership with Luton Borough Council and provides 3000 school places in the primary sector. The Diocese is proud of the broad ethnic mix of pupils in Cardinal Newman.
The Council values its partnership with the Diocese and recognises the diversity of pupils within the Catholic schools in Luton.
7. Request for a regular subsidy linked to sustainable transport.
The response to (5) above sets out the Council’s dire financial position. Such a subsidy would need to be funded from the Council’s revenue budget where there will soon be a shortfall of funding for statutory services.
8. Concern about the traffic increasing if parents opt to drive their children to school.
It is our expectation that a direct bus service will continue to run for Cardinal Newman. The Governors could opt to use the subsidy to offset costs for parents with more than one child attending the School or for those families facing real financial hardship. These measures should mitigate this risk if a decision to withdraw discretionary denominational transport is made.
9. Governors were concerned about their capacity to administer the hardship fund and appeals when financial assistance is declined. Governors asserted that this is not their role.
The Council recognises that administering a hardship scheme would require school resources, however, following feedback from the consultation, Members were keen to support the transition by providing a one-off payment to assist those that would experience real financial hardship (but do not meet the low income criteria).
10. Questions about the £10.7m underspend financial year 12/13. It was queried whether reserves were actually £58m.
As Grant Thornton LLP, the Council’s external auditors appointed by the Audit Commission, stated in their report to Audit and Governance Committee in September 2012, ‘the total of General Fund and Earmarked reserves as at 31 March 2012 is £38.9m’. This was the figure quoted at the public meeting at the School. (The Council’s accounts have to include School reserves, which are not available to the Council, and reserves relating to Council Housing, which are legally ‘ring-fenced’ to spend relating to the Housing Revenue Account only. The £38.9m is the latest available audited figure relating to the reserves available to the Council to address its overall financial position.)
11. The Group considered that the media had been misled into believing that Cardinal Newman transport costs £1m.
There are a number of savings options being considered in the transport arena, the cost of all of this discretionary transport is circa £1m. The Council did not mislead the media.
12. Isn’t there a more cost effective transport solution? Arriva appear to be making an excessive profit on transport. Why can’t the Council’s Yellow Buses be used to transport Cardinal Newman children? How much do the statutory school buses cost per pupil? Why can’t the school day be altered to take advantage of off-peak transport rates? Why aren’t Arriva basing costs on 190 school days? Why would Arriva be given a 3.53% increase if the contract is extended? Other bus companies are interested, why is Arriva running the contract; other companies may be cheaper?
The current service was tendered in September 2008 for five years. The routes were tendered separately and the tender set out the requirement to provide transport for 190 school days per academic year. Arriva were the only company that submitted a bid.
School transport occurs at peak travel time and this is reflected in the cost. The Governors may wish to consider changes to the school day to reduce transport costs.
The current contract builds in an annual increase to reflect rising transport costs e.g. fuel.
The Council’s Yellow school buses currently provide transport to St Margaret of Scotland Primary School and Sacred Heart Primary School. They also provide statutory school transport to other primary schools in the Borough. The annual cost of running a yellow bus (including driver and escort) is £56k per bus. There are 60 seats on each yellow bus, each seat therefore costs £933.
13. The Headteacher queried why this funding was being withdrawn as she had been assured by Liberal Democrat and Conservative Councillors that this cost could be afforded within the Council’s budget.
The Council’s financial position is set out at (5) above and this Statement has been approved by the Council’s Chief Finance Officer.
14. Next Steps – the School representatives were concerned about the lack of debate at the full Council meeting on 16 April. Will Executive members be fully informed of the discussion and issues raised at this meeting?
The debate on this issue is due to take place at Executive on 29 April. The meeting on 16 April provided the Campaign Group with the opportunity to present their petition and speak to full Council.
This note and the Q&As from the meeting on 17 April will be circulated to Executive members prior to the meeting on 29 April. Cllr Simmons and Cllr Akbar will also update Executive members verbally on the discussions which took place at this meeting.
Other statements made by Cardinal Newman School representatives are set out below:
· The sense of community offered by CN is not replicated in any other Luton high school
· The Group are looking through the Council’s archives at Council Committee minutes prior to the establishment of the School.
· The School representatives believe that this could have an adverse impact on education standards.