Impact of DLFThe introduction of DLF in2008/09 created many changes to the funding methodology

> Learner-responsive age split

> Train to Gain installments

> SLN per learner ratio

In the next half an hour I amgoing to consider three, and their impact on planning andperformance management atLewisham College

Note: there will be differentapproaches to the same issues

LR age split

One funding stream

Adult LR (DIUS)

16-18 LR (DCSF)

FE mainstream

Two funding models

became

* Could be higher with entitlement funding

> Plan-led ‘v’ reconciliation> Different funding rates> Different provider factors> Different enrolment patterns> 2nd year 19 year-old complexity

We revised our Planning Fileto not apply the new fundingmethodology, but to set the age and fee related sub-targets

This separation requires carefulmanagement of both planning and performance

Planning for mixed groups

of which (sub-targets)

16-1819+ FF

19+ CF

Learners in the group

18 10 6 2

SLN per learner

1.2 1.2* 1.2 1.2

Total SLN 21.6 12 7.2 2.4

Funding rate

n/a £2,860£2,77

5£1,981

Provider Factor

n/a 1.333 1.486 1.486

Total £83k £46k £30k £7k

£100

£200

£300

£400

£500

£0

Jan Feb Mar Apr May Jun Jul

TtG InstalmentsPlanning and performancemonitoring for 08/09 needs totake account of three fundingmethodologies:

Monthly installments

Total funding

07/08

09/1008/09

> Carry-in NVQs (FE)> Carry-in TtG (50:50)> New starts TtG (75:25)

Remaining carry-in valuecan be calculated usingdata held in PFR spreadsheet

The new starts require a careful approach to monthlyinstallment profiles (75:25 withn + 1 where n = months)

The changeE.g. construction NVQ in 9glh

07/08

09/1008/09

£0

£400

£800

£1,200

£1,600

£2,000

Jan Feb Mar Apr May Jun Jul

TtG approach

We’ve focused on the newstarts to create a planningprofile which replicates the LIS

We update the profile eachmonth to include actual and adjust the remaining profile tomaintain annual funding target

SO TARGET FOR STARTSADJUSTED EACH MONTH

This becomes critical when, forexample, learners start later than planned

Our summary planning profile takes account of:

> Funding rates> Sector Subject Area> Delivery location> Start month> Duration (glh and months)> Early withdrawals> Non-achievement

This calculates a per monthfunding total, which allows usto model and monitor the yearend funding forecast

Removing the high and lowrates in 2009/10 should make planning even easieras glh becomes irrelevant

SLN per learner

More SLNs per learner equals more LSC currencyper person equals less VfM?

2200

2600

3000

3400

2007/08 2008/09 2009/10

Learners down yet SLNs up?

SLNs

Understand the FT/PT mix, evenif the LSC have stopped asking

Learners

The LSC are using this ratio toset 2009/10 allocations based on ratios in 07/08 and 08/09 F01

Do you know why and whenyour SLN ratio changes?

Shifts in learner type and/orchanges to the curriculum?

The SLN is LSC currency, theFR x PF is the exchange rate

Example above 07/08 08/09 09/10

Total learners 2500 2450 2400

Total SLNs 3000 3030 3060

FT learners 2000 2050 2100

FT SLN ratio 1.4 1.4 1.4

PT learners 500 400 300

PT SLN ratio 0.4 0.4 0.4

Total SLN ratio 1.20 1.24 1.28

And finally….This presentation and otherresources are available online

Complete your card for access

Oh, and the unofficial funding guide is proving popular with a wide range of FE staff

www.fundingguide.co.uk

Thank you

Any questions?