Minutes of the Nineteenth Meeting of the Resources Committee held at 5.30pm on Tuesday 22 January 2013 in Room 614 at the Shiney Row Campus PRESENT:
Mr A Carter, Mr S Crake, Mr R Edmonds, Mr I Forster (Chair), Mrs A Isherwood, Mrs A Lawson-McLean.
Mr D Howells, Ms J Raine, Mrs J Ridley.
Ms R Ferguson
APOLOGIES FOR ABSENCE AND DECLARATIONS OF INTEREST Apologies for absence were received from Ms S Atkinson, Mr B Campbell, Mr A Holmes and Mr P McEldon.
MINUTES OF THE PREVIOUS MEETING OF 27 NOVEMBER 2013 The minutes were accepted as an accurate record.
MATTERS ARISING THEREFROM There were no matters arising.
SUBCONTRACTING ARRANGEMENTS TERMLY REPORT Confidential The Committee deemed the report confidential from public scrutiny as it contains commercially sensitive information.
BUDGETARY CONTROL STATEMENTS The Vice Principal Finance and Resources presented the budgetary control statements for the four months ended 30 November 2012 along with a budget update for the financial year 2012/13. He explained that the income and expenditure account was showing an operating surplus of £405k for the four months to date after providing £120k for potential contingencies. Members noted the significant variances described in the commentary provided at Annex A to the report. The Vice Principal gave an update on enrolments, explaining that in terms of 16-18 enrolments, the College had almost achieved its learner number target with 4,711 learners currently enrolled on the ILR. A large number of those enrolments were full time learners therefore the SLN/Learner ratio was 1
significantly ahead of the funded rate. As the College was already delivering 132 SLN’s more than it had been funded in 2012/13 this amounts to some £640k of unfunded delivery in financial terms. Whilst the increased volume of 16-18 learners places significant pressure on the budget in the short term, the lagged funding methodology would result in longer term gains. Management were continuing to closely monitor the financial position. In terms of 19+ enrolments, it was noted that recruitment tends to take place later in the year however numbers were currently slightly ahead of target. The Vice Principal explained that a budget update exercise had been carried out in December 2012 and members’ attention was drawn to the summary provided at Annex F to the report. The Committee noted the key adjustments to the forecast position as detailed in section 3.4 of the report to reflect the following factors: • increased expections around Adult Busary funding; • reductions in International and full cost income • increased premises costs • the Increase in 16-18 enrolments and subsequent increase in exam fees • an increase in budgeted finance charges as a result of refinancing and new loan facilities • the reclassification of certain items of expenditure It was noted that a further budget review would take place in the Spring and a report would be brought to the Committee in April/May. Governors discussed the report and asked a number of questions. The following responses were noted: • College management would consider very carefully before making any decision to remove a subject area • A full review of the International Strategy was currently being undertaken and a report would be taken to the Curriculum & Quality Committee when completed; • The reduction in the forecast operating surplus was likely to have very little impact on the property strategy plans The Committee received the budgetary control statements. R/13/06
2013/14 COLLEGE TUITION AND RELATED FEES FOR FE AND HE PROVISION The Vice Principal Finance and Resources presented the report setting out the proposed tuition fee levels to be charged in 2013/14 in line with the Fees Policy agreed by the Board in December.
The Committee approved the following fee proposals:
Students who are eligible for Skills Funding Agency tuition fees remission continue to have their tuition fees remitted, as previously.
Tuition fees be set in line with Skills Funding Agency assumptions but with the caveat that the College can set alternative rates to respond to market forces or competition from other institutions.
Tuition related fees such as examination and assessment fees be charged to all appropriate students in 2013/14.
Tuition fees for full time HE franchised courses be set in line with those of the University.
For directly funded full time HE courses and part time HE courses, fee rates be set by the College to minimise the financial impact of the HE funding regime, however with the caveat that the College can set alternative rates to respond to market forces or competition from other institutions.
The Vice Principal (Curriculum and Quality) be authorised to confirm the fees to be charged for International Activity dependent on each market and with each case considered on its merits, subject to the general condition that any fees payable would be no less than those paid by a domestic student.
Authority be delegated to the Vice Principal (Curriculum and Quality) to waive or amend fees where this is required due to market forces or in cases of individual hardship.
PROCUREMENT WAIVER ANNUAL REPORT The Vice Principal Finance and Resources presented the annual report. Members noted that 56 procurement waivers had been issued during the twelve months from 1 November 2011 to 31 October 2012. It was acknowledged that 56 waivers was not a significantly high number in relation to the size of the college. The Committee discussed the report and considered the detailed information provided in the Annex to the report. The comments of Alan Holmes who was unable to attend the meeting were also noted. The Committee: received and discussed the report acknowledging that it provided assurance that the waiver procedure could be seen to be working.
ESTATES UPDATE Confidential The Committee deemed the report confidential from public scrutiny as it contains commercially sensitive information.
HEALTH AND WELL BEING GROUP MINUTES The Committee discussed the Health and Wellbeing Group Minutes noting that the average days sickness had increased to 8 per employee. A brief description was given in relation to a question on the use of the Bradford Factor formula. The Principal suggested that, if it was felt to be useful, it could be explained further in a staff briefing. The Committee: received the minutes.
ANY OTHER BUSINESS There was none.
DATE, TIME AND VENUE OF NEXT MEETING The next meeting will take place on Tuesday 5 March 2013 at 5.30pm in Room 614, Shiney Row Centre.
The meeting closed at 6.15pm.