Selby College Further Education Corporation
FULL BOARD MEETING HELD ON TUESDAY, 18th OCTOBER 2016
Minutes of A Meeting Held in THE College Boardroom at 5.30pm
Present: Alan Brown, Jon Furniss, Margaret Hicks-Clarke, Tina Hardman, Judy Kent, Cliff Lunn, Robert Mackin, Neil Marwood, David Kellett, Francis Loftus, Allan Stewart,
Julie Watson and Vernon Wells
In attendance: Mark Gent (Estates and Facilities Director), Richard Lewis, Audit Director RSM
Audit LLP, Pam Olbison (Director of Finance), Liz Ridley (Deputy Principal), Jeanne Woolford
(Director of Governance)
1. / To Receive ApologiesApologies received from Ellie Cooper, Sarah Lewis and Mary Weastell.
The Director of Governance advised David Harbourne was on authorised leave of absence until 5th December 2016.
2. / To Receive Declarations of Interest Relating to Any Items on the Agenda
There were no declarations of interest raised.
3. / To Appoint the Higher Education (HE) Student Governor
The Chair welcomed Robert Mackin to his first board meeting following nomination by his peers and invited introductions around the table.
Resolved: unanimously that Robert Mackin be appointed as the Higher Education Student member 2016-2017.
4. / To Receive and Approve Minutes of Board Meeting Held on 13th September 2016
The above minutes, including those designated as private were considered and agreed to be an accurate record.
Resolved: unanimously the minutes be approved and signed by the Chair.
5. / To Take Matters Arising from the Board Meeting Held on 13th September 2016
There was only one matter arising under item 10b of the previous meeting, which was a request for the age profile of staff. A paper was tabled detailing age by band and average age by department.
6. / Any Other Business
There were no items raised under any other business.
7. / To Consider the Position of the new Accounting SORP, LGPS and Impact on College
Accounts
A report prepared by Pam Olbison had been circulated to members with the agenda
advising on the new Further and Higher Education SORP and impact on the Financial Statements. Also within the report were the risks associated with the future Triennial Local Government Pension Scheme Valuation and the possible action to offset.
Richard Lewis, Audit Director RSM Audit LLP had been invited and explained in detail
the new Accounting Framework and policy changes along with the impact of these on the
College balance sheet.
It was stressed that the Triennial Local Government Pension Scheme Valuation was a real issue for all colleges in the scheme. Discussion followed regarding the College’s position and what might be done to alleviate impact.
In going forward, it was emphasised by Richard that college be strongly encouraged to ensure a watchful eye over any bank covenants, with a view to avoiding any breach.
Pam Olbison reported that the County Council were currently working with their Actuary on the Triennial Valuation that will set employer contribution rates for the next 3 financial years. Pam advised she would be attending a related employer event in November and asked members to note that the employer rates were expected to be available by the end of November.
Members noted the previously approved budget would be reworked to take account of the position and be presented to the next Finance Committee for approval by the Board in December.
Richard Lewis left the meeting.
8. / To Receive a Report on Chairman’s Action
Noted Chairman’s commitments since previous meeting:
30.9.16 - Met with AoC Regional Director, North Yorkshire and the Humber to discuss
various issues including Area Reviews.
4.10.16 - Attended college to sign the Letters of Engagement between College and
RSM UK tax and Accounting Limited.
6.10.16 - Judge at Community Pride Awards 2016 at Drax (am).
6.10.16 - Attended the Area Review pre briefing meeting and Steering Group 1 (pm) at
York College.
9. / Strategy
a) To Receive and Note the Principal’s Report, October 2016
Allan Stewart took members through his report, which had been circulated with the agenda covering 16-18 enrolment and trends, 16-18 apprenticeship recruitment and Higher Education enrolment. Student success stories were outlined and members were advised of forthcoming events, including the Jobs Fair being hosted at Selby College.
Appendix A, What Further Education and the County Needs from the Autumn Statement was outlined by Allan Stewart.
Paper tabled, a Perspective on the Future by Paul Joyce (HMI), which Allan Stewart spoke to.
b) To Receive and Note Selby College Performance Dashboard Report, October 2016
Liz Ridley outlined the October dashboard circulated with the agenda, advising that funding figures were not yet available, apart from 16-18 apprentices. Members were informed of the current position with regards to full-time learners against target.
It was explained these were early provisional figures that did not account for the final size and shape of some full-time programmes. Some students could be expected to leave before the count date and additional students could be expected to be recruited during the year. The next update would provide a more accurate picture.
It was reported that Higher Education recruitment had gone very well.
Confirmation was awaited on who the prime provider for the European Social Funds bids would be.
Cliff Lunn left the meeting.
10. / Student Union Report
a) To Receive a Student Union (SU) Update Report Prepared by the FE Student President/Governor
Received a comprehensive report prepared by Ellie Cooper, which had been circulated with the agenda. Alan Brown provided an outline of the report, advising on the new role of Media Co-ordinator and the shadowing roles undertaken by first year members. The activities/events of the SU were reported, in addition to the progress made planning future events. The Chair stated that college had a strict policy on Media Communications and it was essential this was adhered to. Alan Brown agreed to ensure the Student Union were aware and in no way contravening.
11. / Audit Matters
a) Self-Assessment Report of Compliance with Regularity and Propriety 2015-2016 for Consideration and Approval
The completed Self-Assessment of Compliance with Regularity and Propriety 2015-2016 had been circulated with the agenda. Members considered the report.
Resolved: unanimously the Self-Assessment Report of Compliance with Regularity and Propriety 2015-2016 be approved by the Board and signed by the Chair and Principal.
12. / Finance & Human Resources
a) To Receive an Update Report and Recommendation for Approval to Proceed with the
Aspiration Building Extension
This item followed item 7 of the agenda but for the purpose of these minutes remains in sequence.
Mark Gent Director of Estates and Facilities joined the meeting for this item only.
Members had received an update report prepared by Mark Gent on progress made towards the Aspiration Building extension, which had been circulated with the agenda.
Mark took members through the report.
There were 3 recommendations for consideration and approval by the Board:
i) To approve continuing with the project, taking account of the possibility of not
qualifying for maximum LEP grant funding.
ii) To approve the appointment of George Houlton and Sons as Building Contractor as recommended by Appleyard and Trew LLP, Chartered Quantity Surveyors.
iii) To authorise the Chair to sign the Building Contract under College Seal.
Mark explained the design changes of the extension and the tight time-fame for work to be undertaken to ensure 50% of the project value was spent by the 17th March 2017 to fully qualify for maximum LEP grant funding. Project value costs and a cash-flow forecast were included with the report. Risk had been assessed by senior management and possible mitigating action agreed.
The process and outcome of tendering for the appointment of a Building Contractor were contained within the report, along with the budget for the construction work. The detailed Tender Report prepared by Appleyard and Trew LLP, Chartered Quantity Surveyors on behalf of college had been circulated to members with the agenda.
It was noted likelihood of the risk was considered to be low, when taking account of planned mitigating actions. However, Mark Gent reminded members that bad weather and unforeseen circumstances could not be ruled out and could contribute to some project slippage.
Members carefully considered all aspects of the report and the impact on college finance, should maximum grant funding not be achieved. The impact of not continuing with the project was also considered. After lengthy discussion members concluded they felt it was in the best interest of college that the project continued without delay. A letter of intent would be sent to the appointed Contractor.
Resolved: unanimously to approve the continuation of the Aspiration Building extension; to appoint George Houlton and Sons as Building Contractor and to authorise the Chair to sign the associated contract under college seal.
b) To Receive Consider and Note Year End Management Accounts, Period 12 for Budget Year 2015-16
Received, considered and noted the Year-end Management Accounts 2015-2016, which had been circulated with the agenda. Pam Olbison took members through the accounts, which had a financial status outcome of green. One question was raised regarding what the percentage surplus was in relation to Area Review requirements. Pam Olbison responded 5%, which was at the upper end of requirement.
It was explained the annual corporation approved contribution had been exceeded. Members were pleased with this outcome.
c) To Receive Consider and Note Five Year Comparison of Financial Statements Outcomes
Received and considered the 5- year comparison of financial statements and outcomes for 2011-2012 to 2015-2016, which had been circulated with the agenda.
Pam Olbison outlined the report detailing the operating surplus including non-cash items, cash and borrowing balances.
d) To Receive, Consider and Approve Change in Accounting Policies for Depreciation, Financial Year End 2016
Received and considered a recommendation to change the Accounting Policy
(Motor Vehicles Depreciation) 2015-2016 detailed in a report circulated with the
agenda. Pam Olbison explained the current policy, the 3 vehicle categories and why
it was being proposed to have separate depreciation years for each. Members
considered the recommendation.
Resolved: changes to the Motor Vehicles Depreciation Policy, year-end 2016 be
approved.
Members were asked to note that by applying 5 years consistently to the Computer
and Software Depreciation Policy for the year ended 2016 there had been a cost
reduction of £17,000. The current policy contained within the Financial Statements
indicates between 4 and 5 years.
e) To Receive Consider and Note Hardship Fund Report for Academic Year 2015-16 and 16-19 Bursary Fund
Received and considered a report circulated with the agenda on the Hardship Fund 2015-2016 and the 16-19 Bursary Fund 2015-2016. The report provided the financial position on 24+ Advanced Learning Loans; Discretionary Learner Support; the 16-19 Bursary and Free Meals. Liz Ridley confirmed funds had been managed effectively.
Members were asked to consider a recommendation by the Senior Management Team to close the Further Education (FE) Free Meals bank account and to use only one account (16-19 Bursary Fund) in line with the single allocation to maximise flexibility of use.
Resolved: unanimously to close the FE Free Schools Meal bank account.
f) To Receive Consider and Note Annual Additional Learning Support (ALS) Report 2015-2016
Received and considered the Annual Additional Learning Support Report 2015-2016 circulated with the agenda. The report included impact of ALS, a review undertaken of the Support Team and outcomes, the number of students accessing support and a breakdown of that support. Members noted the numbers accessing support had increased significantly by 11%.
g) To Receive, Consider and Approve a New Policy on College Reserves
Pam Olbison asked members to consider and approve a new College Reserves Policy, which allowed a statement to be made on college reserves within the Financial Statements.
Resolved: The new Reserves Policy be approved.
Pam Olbison left the meeting.
13. / Curriculum & Quality
a) To Receive Consider and Note a Report on Examination Results and Success Rate
Projections for Academic Year 2015-16
A report on Examination Results and Success Rate Projections 2015-2016 had been circulated with the agenda.
Liz Ridley took members through the report, highlighting key points and responding to questions as raised. Members considered performance data for A2, AS, BTEC and UAL alongside national benchmarks, also noting retention and the position regarding value added.
b) To Receive Consider and Note a Report on Full-time Learner Enrolments for the
Academic Year 2016-17
Received an Enrolment Report 2016-2017 dated 15th September 2016, which had
been circulated with the agenda. The report provided the total number of full-time
learner enrolments, a breakdown by course for year 1 and 2, comparator data
from the previous year and market share information. Liz Ridley advised that
numbers had moved on since the report had been published and an update would
be provided in November.
The report indicated that the market share of ’A’ level students had decreased. Senior Management believed lower recruitment was probably due to a combination of factors including strong competition, apprenticeships and local school factors including poor examinations results. Further research would be undertaken by management to establish whether there was perhaps a structural shift away from ‘A’ level and if this proved to be the case then college would need to review its offer.
c) To Receive, Consider and Approve Freedom of Speech Policy and Code of Practice
Members considered a Freedom of Speech Policy and Code of Practice, circulated
with the agenda. Liz Ridley outlined the policy. A question was raised as to whether
eg building contractors coming onto site had to adhere to such college protocols and
policies. Liz Ridley clarified the position stating this particular policy related to those
teaching, training, speaking to students and was part of the Prevent Strategy and
therefore did not apply to building contractors. However, other policies eg
those relating to Safeguarding, Health and Safety did.
Resolved: unanimously the Freedom of Speech Policy and Code of Practice be approved.
14. / Area Review Update
This item was covered out of sequence and taken before item 8 of the agenda to accommodate those members who had to leave the meeting early due to pressing commitments.
All minutes and reports under this item were recorded under private business.
Francis Loftus left the meeting.
15. / To Agree Any Items of Private Business
It was agreed all reports under items 7, 9a, 9b, 11, 12a, 12b, 12c, 12d, 13a,13b and minutes and reports under item 14 be retained under “private business”.
16. / To Agree Date of Next Meeting
The next meeting board meeting would take place on Tuesday, 6th December at 5.30pm in the Boardroom.
Future Events:
- Board Development Day to be held on Saturday, 12th November 2016 off site.
- HE/Apprenticeship Awards Friday, 18th November
- FE Students Awards Friday, 16th December
The meeting closed at 8.00pm