29 June 1999 THE FURTHER EDUCATION FUNDING CIRCULAR COUNCIL Cheylesmore House Quinton Road Access Funds 1999-2000 Coventry CV1 2WT To Principals of colleges Chief education officers Heads of external institutions Circular type Information and request for data Summary The allocation of access funds and the terms and conditions that apply for the 1999-2000 teaching year. Confirmation of the acceptance of the allocations is requested by 30 July 1999. Monitoring information is requested by 25 August 2000. Reference number: 99/27 Enquiries: Funding and research and statistics helpdesk 01203 863224 Website http://www.fefc.ac.uk 99/27 Access Funds Basis of distribution 6 Ministers have issued guidance to the Council 1999-2000 on the use of access funds for 1999-2000. Ministers wish to focus help through access funds on those in Introduction greatest need. To do so, they have increased the weight to be given to widening participation in the 1 This circular details the provisional allocation allocation of funds between colleges. Within the of access funds to sector colleges and external general context of widening participation, ministers institutions for the 1999-2000 teaching year. also wish to see allocations used to give special priority to groups identified by the social exclusion Background unit as potentially excluded from further education. These groups include students who have been in 2 The Department of Education and Employment care, on probation, or are otherwise considered to (DfEE) has allocated access funds in 1999-2000 be at risk, and also students who reach the age of 19 amounting to £36.1 million for distribution to before they complete their GCE A level or other colleges in the further education sector and to further education courses. These students face external institutions. This is an increase of particular financial difficulties because their families £24.56 million from the £11.54 million allocated in will cease to receive child benefit and dependency 1998-99. Funds are also available to support additions in social security benefits from their childcare costs for further education students and nineteenth birthday. for a scheme of residential bursaries. These are described in separate Council circulars. 7 In line with the guidance from ministers, the various elements of the total access funds allocation 3 The number of eligible students has been based for 1999-2000 of £37.41 million have been on the ISR12 (1 November 1998: 1998-99) return, or distributed among colleges and external institutions latest data where this has not yet been provided. according to the following criteria: For 1999-2000, the DfEE has agreed to extend access funds to eligible further education students • £5.26 million for 16–18 year olds aged 16–18 and to students in external institutions. This has been distributed on the basis of The Council has, therefore, included 16–18 year-old full-time equivalent numbers of students students in the eligibility criteria and has converted aged 16–18. Eligible student numbers them to full-time equivalent student numbers (FTEs) include both full-time and part-time by dividing their guided learning hours by 660, the students. The provisional rate is £10.96 estimated average for full-time students. per FTE. Allocations to colleges recruiting students eligible for education 4 The Higher Education Funding Council for maintenance allowances (EMAs) will be England (HEFCE) has also transferred to the Council based on student numbers excluding a sum of £1.258 million from its access funds estimates of 16 year olds from EMA pilot allocation. These funds are to support part-time HE areas (see paragraph 9 below.) students attending further education colleges who are in receipt of benefits, and also to support the • £10.55 million for adult students payment of fees for part-time HE students who lose This has been distributed on the basis of their job through no fault of their own. For the full-time equivalent numbers of adult purpose of access fund support, the HEFCE defines students. Eligible student numbers a part-time HE student as a student who is working include both full-time and part-time to a minimum of 60 credit points in a teaching year students. The provisional rate is £29.51 where the full-time equivalent is 120 credit points, per FTE or 50% of a course in other schemes. 5 In 1999-2000 local education authorities (LEAs) will retain responsibility for discretionary awards for further education students eligible for awards in 1998-99. LEAs will also retain responsibility for financial support for transport costs for FE students. 3 • £19.3 million for widening participation attendance is not entirely clear at this stage, the This has been distributed on the basis of Council has not made any adjustment for the colleges’ proportionate shares of the funds availability of EMAs in these areas in allocating provided in respect of widening access funds for 1999-2000 to colleges. participation (WP) factors. The provisional rate is £7.72 per unit Reallocation of Funds • £1 million for external institutions 10 Colleges which return their monitoring Half of this sum (£500,000) has been information (annex D) by the due date of allocated on the basis of FTEs including 25 August 2000, and have shown in annex D that both full-time and part-time students. they have distributed additional funds from their The provisional rate is £18.98 per FTE. own resources, may be eligible for a share of any The remainder has been distributed on unused funds returned to the Council. It is the basis of external institutions’ shares of anticipated that this redistribution will take place in the funds provided in respect of widening October 2000. participation. The provisional rate is 11 The position regarding the effect of student £4.68 per unit support for those on benefits is unchanged. Under • Funds of £1.258 million transferred from the relevant regulations, the following types of the HEFCE expenditure are normally disregarded, and therefore This has been allocated on the basis of not deducted from benefits: eligible part-time HE student numbers to • tuition fees recognise the purposes for which they • examination fees have been provided. The provisional rate is £464.40 per FTE. • travel based on real costs • allowances for books and equipment. 8 The student number data have been taken from the ISR12 (1 November 1998: 1998-99) return. Any payments made by colleges to students in Where these have not yet been provided to the respect of the following may be deducted from Council, the latest available data have been used. benefits: Any data subsequently received by the Council will • registration fees not be used, since this would further delay the • childcare access funds allocations for the 1999-2000 teaching • visits/field trips. year. Support for students to help them with the costs EMAs incurred in studying made ‘in kind’ will not normally be offset against benefits. Institutions 9 From September 1999, the government is should, therefore, make payments for registration piloting a scheme of education maintenance fees, childcare and visits/field trips direct to a third allowances (EMAs) in 12 areas of England. The party in kind to avoid students’ social security LEAs participating in the scheme are listed in annex benefits being reduced under the social security G. In 1999-2000, EMAs will be paid to eligible 16 regulations. year olds in the pilot areas. Such students are not 12 Colleges are advised that the following changes entitled to further support through access funds have been made for 1999-2000 to the arrangements except in an emergency by way of a loan. In for access funds: allocating access funds between colleges, the Council has, therefore, not counted 16 year olds from pilot • funds for part-time HE students are to areas (other than South London or Leeds). The support the payment of fee remission to Council has deducted numbers for such students such students who lose employment from college FTE totals on the basis of forecast which they rely on for maintenance patterns of recruitment from each LEA area. In during their course and for part-time HE South London and Leeds, only certain students students who are in receipt of benefits within the relevant age cohort will be eligible for EMAs. As the pattern of EMAs in relation to college 4 • by the end of each teaching year, the 17 As in previous years, to comply with the terms Council will require each institution to and conditions, colleges and institutions should have show how grant for access funds was used administrative procedures to: in that year and its contribution to • record the details of student applications improving college access and retention for support through access funds and the national learning targets • account for the access funds distributed • students receiving an EMA will not be • identify funds, including interest, which eligible for access funds; however, remain unspent at the end of the teaching emergency payments may be made to year. these students, but the payment must be treated as a loan 18 Colleges may use up to 5% of their access funds allocation towards administration costs. Where it • colleges and institutions will have has been agreed that a large college or institution discretion to provide bursaries to students will administer a small college’s access funds for in the absence of discretionary awards them, the larger college or institution will also be • colleges may use up to 5% of their access able to use up to 5% of the smaller institution’s funds allocation towards administration access funds for administration. Interest earned on costs (see paragraph 18 below). an institution’s access funds account may be used to defray audit costs.