Building Schools for the Future Outline Business Case

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Building Schools for the Future Outline Business Case Building Schools for the Future Outline Business Case Friday 10 October 2008 INDEX Section Contents Page 1 Executive Summary 1 2 Background 7 3 The Projects 12 4 ICT Service Provision 39 5 Value for Money 55 6 Affordability 62 7 Readiness to Deliver 73 8 Leading and Managing Change 91 Appendices Options Appraisal and Feasibility Approach for Sample Appendix 1 Annex 1 Schools Appendix 1 Annex 2 Abnormal Costs Pro-forma Appendix 1 Annex 3 Options Appraisal for Non Sample Schools Appendix 1 Annex 4 Accommodation Schedules Appendix 2 Annex 1 Sample Schools - Delivery of Strategy for Change Appendix 2 Annex 2 ICT Output Specification Appendix 2 Annex 3 Output Specification Appendix 3 Annex 1 Value for Money Qualitative Assessment - narrative Value for Money Qualitative Assessment – soft Appendix 3 Annex 2 services narrative Quantitative Evaluation spreadsheet including Appendix 3 Annex 3 Opportunity Bias Appendix 4 Annex 1 Risk Matrix – Risk Management Appendix 4 Annex 2 ICT Risk Allocation Matrix Appendix 5 Annex 1 Unitary Charge Model Summary Appendix 5 Annex 2 Unitary Charge sources and uses of funds statements Unitary Charge Model and Inputs – Noel-Baker/St Appendix 5 Annex 3 Martins scheme Unitary Charge Model and Inputs – Lees Brook Appendix 5 Annex 4 scheme Appendix 6 Funding Allocation Model Appendix 7 Annex 1 Affordability Model – PFI programme Appendix 7 Annex 2 Capital Cash Flow Appendix 7 Annex 3 Programme Summary Appendix 7 Annex 4 ICT Cost Model Appendix 8 Annex 1 Accounting Treatment Appendix 8 Annex 2 Letters from S151 Officer to External Auditor Appendix 8 Annex 3 Letters to S151 Officer from External Auditor Appendix 9 Approvals Appendix 9 Annex 1 Planning permissions Appendix 9 Annex 2 Letters of comfort Cabinet reports: 8 July 2008 - Consultation on the re-location of St Martins Special Schools 30 September 2008 - BSF Scope of the LEP Appendix 9 Annex 3 30 September 2008 - BSF Updated Financial Position 28 October 2008 - BSF Lifecycle Costs for Secondary Schools - Draft 28 October 2008 - BSF Outline Business Case - Draft Appendix 9 Annex 4 School Forum report Appendix 9 Annex 5 Governor Agreements Appendix 9 Annex 6 Governor Agreements - Lifecycle Appendix 9 Annex 7 Governor Agreements - ICT Appendix 9 Annex 8 S151 Officer letters Appendix 10 OJEU Notice Appendix 11 OBC Required KPI Data – Education Appendix 12 PfS Approvals Checklist Appendix 13 Responses to issues raised in SfC 2 Appendix 14 Updated Schools Chart Appendix 15 Choice and Diversity proposals Appendix 16 Notice of Declaration Derby Secondary Schools Physical Education, Sport Appendix 17 and Physical Activity Core Offer Appendix 18 Personalised Learning Appendix 19 14-19 Curriculum Options Derby’s Alternative Provision and Plan for Pupils with Appendix 20 Behavioural Emotional and Social Disorders Appendix 21 Updated Phasing Table Appendix 22 Pupil projections for agreed housing developments Appendix 23 Annex 1 Change Management Plan Appendix 23 Annex 2 ICT Change Management Activities and Groups Derby BSF Programme Project Board terms of Appendix 24 reference and membership Appendix 25 CVs for key members of the BSF Project Team Appendix 26 The BSF Project Delivery Budget Appendix 27 Derby BSF Programme’s Soft Market Testing SECTION 1: EXECUTIVE SUMMARY 1.1 BACKGROUND Derby joined the national Wave 5 of the Building Schools for the Future (BSF) programme in October 2007. Our Strategy for Change Part 1 (SfC1) was submitted on 19 December 2007 and its Strategy for Change Part 2 (SfC2) on 9 May 2008. Both documents have received formal approval from the Department for Children, Schools and Families (DCSF). The DCSF outlined areas for further development in our Outline Business Case (OBC) in its approval letter of 25 July 2008. Appendix 13 sets out how we have responded to the issues raised. We have updated the chart supplied with SfC1 in Appendix 14. The SfC 2 submission (SfC2) set out the scope of our transformational programme. The OBC builds on the proposals set out in our SfC to demonstrate that the programme of works is achievable and affordable. There have been no changes to the overall context since the approval of our SfC1 and SfC2. Discussions around our Choice and Diversity proposals have continued with Partnerships for Schools (PfS), Office for the Schools Commissioner (OSC) and the Department for Children, Schools and Families (DCSF). Since the submission of SfC2, the current position on the Choice and Diversity proposals for Derby are summarised below. These have been developed in very close consultation with the OSC, the Cabinet Member for Children and Young People, and the Corporate Director for Children and Young People. The Authority has been exceptionally pro-active in encouraging school governing bodies to consider all aspects of choice and diversity. The delivery of curriculum change and our city strategy for reducing exclusions envisages schools within our wider Education Improvement Partnership working in clusters with a great deal of federated endeavour. Emerging federations are soft at this stage, but some may well progress to become harder and more formal as the benefits of collaboration become clearer. At this point in the process, the proposals for Sinfin Academy are moving forward on a time-scale that should see a formal opening in September, 2009. Proposals have also gone before the Council's Cabinet for Bemrose Community School to develop as a National Challenge Trust School, or an Academy, and these have been shared with National Strategies and the OSC. A copy of this report is attached as Appendix 15. Additionally, six other secondary schools and one special school have indicated that they will be putting forward expressions of interest in November to enter the supported programme to become Trusts. Several of these have already firmed up their proposed focus and identified potential lead partners. The Authority will continue to offer consultancy support to ensure that the current momentum is maintained and schools aided to achieve their goals. A more detailed position is contained in Appendix 15. - 1 - Sinfin Community School, recently re-built as a BSF Pathfinder, will now be drawn into the capital programme with the construction of a sixth form centre. Summary of key changes from SfC2: • proposals for Sinfin Academy are moving forward on a time-scale that should see a formal opening in September 2009 • Proposals approved by Council Cabinet for Bemrose Community School to develop as a National Challenge Trust School, or an Academy • Six secondary schools and one special school have indicated that they will be putting forward expressions of interest in November to enter the supported programme to become Trusts. Apart from these changes, there have been no further amendments to the corporate or educational strategy since the approval of SfC1 and SfC2. The schools that will be drawn into the BSF programme for capital investment are confirmed as: • Noel-Baker Community School and Language College • St Martins School • Derby Moor Community Sports College • Lees Brook Community Sports College • Bemrose School • Littleover Community School • Saint Benedict Catholic School and Performing Arts College • St Clare’s School • Pupil Referral Unit (Kingsmead Special School) - Key Stage 4 provision • Chellaston School • Murray Park School • Woodlands School • West Park School • St Andrews School • Sinfin Community School Four further schools recently re-built are also drawn into the programme through the ICT managed service. These are: • da Vinci Community College • Merrill College • Ivy House School • Pupil Referral Unit (Kingsmead Special School)- Key Stage 3 provision Since submission of our SfC2, we have carried out a number of school level investigations and surveys to confirm that the proposals for these schools are deliverable and affordable within the funding envelope. To mitigate the risks to the programme, we have conducted searches and sought a level of planning comfort for all sites. Outline planning permission has been obtained for the sample schemes. We - 2 - have registered our sample and phase 1b schemes and are in the process of registering the remaining sites. All of this work has been carried out in line with PfS requirements and is summarised in this document. The Notice of Declaration is attached as Appendix 16. The OBC also sets out the resources for procurement and delivery of the programme which are set out in Section 7. The OBC was approved by Project Board on 6 October 2008 and the Council’s Chief Officer Group on 8 October 2008. As previously agreed with PfS, the OBC has been submitted by the required submission deadline of 10 October 2008 prior to Cabinet approval. The OBC is scheduled for consideration by Cabinet on 28 October 2008 and the relevant documentation will then be forwarded to PfS. A copy of the draft Cabinet report is included in Appendix 9 Annex 3. 1.2 THE PROJECT Derby City Council will be procuring a Local Education Partnership (LEP) to deliver our BSF programme and to procure an integrated managed service to deliver Information and Communication Technology to schools. Derby’s LEP will be given exclusivity to the provision of: • Building Schools for the Future (BSF) funded capital works to schools within the BSF programme procured under both Private Finance Initiative (PFI) and Design and Build (D and B) contracts. • Maintenance and facilities management (FM) services for schools procured under the BSF PFI contracts. • A managed service to deliver ICT to the schools within the BSF programme including those which are not subject to BSF funded capital works. In addition, the LEP may be invited to carry out additional services which are set out in Section 7 including capital works funded through the Primary Capital Programme, non BSF funded works on school sites and the provision of ICT services to primary schools. It is not proposed for the LEP to provide FM services for Design and Build (D and B) schools.
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