FINANCIAL POLICIES AND PROCEDURES
Approved by the full Governing Body at its meeting on ......................... Next Review Date:
Financial Policies and Procedures CONTENTS
Governance/School Policies 1. 2. 3. 4. 5. 6. 7. 8.
Organisation Terms of Reference for committees of the Governing Body (See appendix 3) School Charging and Remissions Policy Lettings Policy Debt Management Policy Disposal of Assets Policy Acceptable Use of ICT and Mobile Phones Policy Whistle blowing Policy / Public Disclosure Financial Procedures
9. Financial Management Systems 10. Payroll 11. Purchasing 12. Ordering 13. Payments 14. Income 15. Catering operation 16. Reimbursement for expenses 17. School Assets – Inventory/Insurance 18. Unofficial Fund Appendices 1. 2. 3. 4. 5. 6. 7.
Scheme of Delegation Annual financial cycle Terms of Reference Procurement Card Policy List of current contracts Private School Fund Policy List of current contracts
All schools are required to have in place sound financial procedures and policies which draw on the requirements of the Local Authority, take account of the need to ensure the school meets government expectations in respect of sound financial management and build on good practice from elsewhere. Such procedures have been appropriately tailored to meet the needs of the school.
This document consolidates the school’s financial policies, procedures and other key financial documents that are required
It is expected that the financial policies and procedures have first been agreed and approved by the Finance Committee before gaining final approval from the Governing Body.
These financial policies and procedures should be made available to all relevant staff.
The Governing Body of Newman Catholic College has formally adopted and approved the LA’s Financial Regulations which have been taken into account when producing these policies and procedures.
The content of this manual is in two sections:
- including details of roles and responsibilities, school policy documents.
- detailing key procedures and responsibilities
This manual was approved by the Governing Body on xx.xx.xx and will be reviewed on an annual basis.
SECTION A GOVERNANCE/SCHOOL POLICIES
Terms of Reference Whistle blowing Policy School Fund Policy School Charging and Remissions Policy Lettings Policy Debt Management Policy Disposal of Assets Policy Acceptable use of ICT and Mobile Phones Policy
Date last Approved
Next Renewal Date
Approved within this document N/A
Approved within this document Approved within this document Approved within this document
Summer 2014 Summer 2014
1. Terms of Reference A. Governing Body
The Governing Body needs to take a strategic role, act as a critical friend (providing challenge and support) to the School and be accountable for its decisions. It should set aims and objectives and agree, monitor and review policies targets and priorities. It has a significant role in relation raising standards, monitoring the quality of teaching and learning and ensuring sound financial practices are in operation.
Quorum Fifty per cent, rounded up to a whole number, of the number of governors in post Frequency Four times a year – this will usually be once a term with a second meeting during the autumn term. It may meet at other times as necessary Members The membership of the Governing Body will be as set down in the Instrument of Government Terms of Reference Governors are the strategic leaders of the school and have a vital role to play in making sure every child gets the best possible education. This is reflected in the law, which states that the purpose of maintained school governing bodies is to ‘conduct the school with a view to promoting high standards of educational achievement at the school’. Governing bodies should have a strong focus on three core strategic functions:
ensuring clarity of vision, ethos and strategic direction
holding the headteacher to account for the educational performance of the school and its pupils
overseeing the financial performance of the school and making sure its money is well spent
Additionally as Governors at a Catholic School they have responsibility for the Catholic ethos of the school and for religious education. In addition to being accountable during Ofsted Inspections additional inspections (Section 48 inspections) which focus on the ethos of the school and the quality of religious education and guidance provided.
B. Committees of the Governing Body The Governing Body has established a committee structure comprising the following main committees: Finance & Premises Committee Personnel Committee Curriculum Committee Terms of reference for these committees are reviewed annually and are set out in Appendix 3. There are also a number of Standing Committees which meet as required: Pupil Discipline Committee Parental Complaints Admissions Committee Staff Discipline Committee Grievance Committee Staff Appeals Committee Terms of reference for the standing committees are also set down in Appendix 3 C. Declarations of personal and pecuniary interest The Clerk to Governors will arrange for all governors to complete declarations of personal and pecuniary interest at the start of each academic year. Additionally ‘Declarations of personal and pecuniary interest’ will be an agenda item at the beginning of each meeting of the full Governing Body or its committees. The Bursar will be responsible for obtaining similar forms for each member of staff with financial responsibilities to include all senior staff and budget holders as well as those working in the Finance Office. See section B Financial Procedures.
2. SCHOOL CHARGING AND REMISSIONS POLICY INTRODUCTION This policy has been formulated in accordance DfE guidance on Charging for School Activities and with the requirements of the Education Act 1996 (Section 457) and the guidance issued spring 2009 by the former DCSF. AIM The aim of the policy is to set out what charges will be levied for activities, what remissions will be implemented and the circumstances under which voluntary contributions will be sought from parents. RESPONSIBILITIES The Governing Body of the School is responsible for determining the content of the policy and the Headteacher for ensuring implementation. Any determinations with respect to individual parents will be considered jointly by the Headteacher and Governing Body. PROHIBITION OF CHARGES The Governing Body recognises that the legislation prohibits charges for the following: 1. Education provided during school hours (including the supply of any necessary materials, books, instruments or other equipment required as an essential or integral part of the National Curriculum programme of study). 2. Education provided outside school hours if it is part of the National Curriculum, or part of a syllabus for a prescribed public examination that the pupil is being prepared for at the school, or part of the School’s basic curriculum for religious education; 3. Tuition for pupils learning to play musical instruments (or singing) if the tuition is required as part of the National Curriculum, or part of a syllabus for a prescribed public examination that the pupil is being prepared for at the school; 4. Entry for a prescribed public examination, if the pupil has been prepared for it at the school; 5. Examination re-sit(s) if the pupil is being prepared for the re-sit(s) at the school (otherwise a charge will be made) 6. Education provided on any trip that takes place during school hours 7. Education provided on any trip that takes place outside school hours a. if it is part of the National Curriculum, or b. part of a syllabus for a prescribed public examination that the pupil is being prepared for at the school, or c. part of the school’s basic curriculum for religious education; 8. Supply teachers to cover for those teachers who are absent from school accompanying pupils on a residential trip; 9. Transport provided in connection with an educational trip which is an essential or integral part of
the National Curriculum programme of study.
PUBLICATION OF INFORMATION A brief summary of this policy will be included on the school’s website and a hard copy may be requested from the school.
CHARGES The school will make charges in accordance with the following table: ACTIVITY OR ITEM(S) WHICH WILL (OR MAY) BE CHARGED FOR
Charges will be made for the board and lodging component of residential trips
The proportionate costs for an individual charge of activities wholly or mainly outside school hours (‘op- tional extras’) to meet the costs for: Materials and equipment Non-teaching staff costs Entrance fees Insurance costs In addition the school will seek voluntary contributions towards the cost of travel. Charges will/may be made for music tuition
Re-sits for public exams where no further preparation has been provided by the school
Breakages and replacements as a result of damages caused wilfully or negligently by pupils Charges will be made where students fail to return borrowed books to the library. Charges will/may be made for any materials, books, instruments, or equipment, where a parent wishes their child to own them, where a student wants the freedom to be able to retain or use the book to annotate it or where the item is not considered to be an essential or integral part of the National Curriculum programme of study. Any other education, transport or examination fee unless charges are specifically prohibited
The charge will not exceed the actual cost. Remissions for families will be as set out in the following section on remissions. The charge will not exceed the actual cost Remissions for families will be as set out in the following section on remissions.
Voluntary contributions will be sought. If insufficient voluntary contributions are received the school reserves the right to cancel the activity The cost, or a proportion of the costs, for teaching staff employed to provide tuition in playing a musical instrument or singing, where the tuition is an optional extra for an individual pupil or groups of up to four pupils Such charge will include the exam entry fee and an additional amount to contribute to the actual additional administrative costs incurred by the school in connection with the re-sit
The actual charge will be the replacement cost of the book. E.g. A clay model – a charge to cover the cost of the clay. Remissions for families will be as set out in the following section.
Remissions for families in some of these circumstances will be as set out in the following section
VOLUNTARY CONTRIBUTIONS Where an activity is planned during the school day for which contributions from parents or others would be required, voluntary contributions will be sought. No child will be excluded from such an activity because their parents cannot or will not contribute. The school does however reserve the right to cancel the activity if insufficient voluntary contributions are received. Responsibility for determining the level of contribution is delegated to the Headteacher.
REMISSIONS In order to remove financial barriers from disadvantaged pupils, the governing body has agreed that some activities and visits where charges can legally be made will, subject to the prudent application of public funding and the schools budgetary constraints, be offered at no charge or a reduced charge to parents in particular circumstances. This remissions policy sets out the circumstances in which charges may be waived. If remission or help may be available in relation to a particular charge it is indicated in the right hand column of the table above. Criteria for qualification for remission will be as follows: Parents in receipt of Income Support Income-based Jobseekers Allowance Support under part VI of the Immigration and Asylum Act 1999 Child Tax Credit, where the parent is not en titled to Working tax credit and whose annual income as assessed and determined by the Inland Revenue
ADDITIONAL CONSIDERATIONS The governing body recognises its responsibility to ensure that the offer of activities and educational visits does not place an unnecessary burden on family finances. To this end we will try to adhere to the following guidelines:
Where possible we shall publish a list of visits (and their approximate cost) as soon as possible so that parents can plan ahead
We have established a system for parents to pay in instalments
When an opportunity for a trip arises at short notice it may be possible to arrange to pay by instalments beyond the date of the trip
We acknowledge that offering opportunities on a ‘first pay, first served’ basis discriminates against pupils from families on lower incomes and we will avoid that method of selection.
3. LETTINGS POLICY All lettings of the school are now contracted out to an organisation called: ‘Schools Plus’ and the conditions of letting are as set out in the contract with them. A copy of the contract, which is renegotiated every year is available to view from the Bursar or Headteacher on request.
4. DEBT MANAGEMENT POLICY 1.0
The Governing Body is responsible for ensuring that procedures are in place for the recovery of any outstanding debt.
This policy sets out procedures for debt recovery and for the write-off of any debt, which is deemed to be irrecoverable.
Invoices will require payment within 30 days from the date of issue.
A first reminder will be issued if no payment is received within 30 days. A second reminder will be issued 14 days after the initial reminder. A final reminder will be sent after a further 7 days stating that legal action will be considered if payment is not received within 7 days.
At each Governing Body/Finance Committee meeting, the Headteacher is required to inform the governors of any debt which is still outstanding after the 14 day period following the final reminder together with any proposed action. This may be a referral to a debt collection agency, to solicitors for legal action or to write-off the debt if there is no realistic prospect of debt recovery being successful or if further action is not cost-effective.
Outstanding debt of up to £50 may be written-off by the Headteacher provided that the appropriate follow-up action outlined above has been taken and the details of the debtor, amount of write-off and reason for no further action being taken is reported to the Finance Committee for information at their next meeting.
Write-off of outstanding debt in excess of £50 must be approved by the Finance Committee following submission of details of the debt by the Headteacher together with reasons for no further action being taken.
5. DISPOSAL OF ASSETS POLICY 1.0
The Governing Body is responsible for ensuring that assets purchased by the school are disposed of in an appropriate manner.
This policy sets out a framework to identify who has the authority to declare items to be obsolete, surplus or damaged beyond repair, and to determine the means of disposal.
Any item, which is obsolete or damaged beyond repair and is not appropriate for sale may be written off by the Headteacher, but must be reported to the Governing Body at the next meeting for information.
Any item, which is surplus to the school's requirements and has a saleable value exceeding £2,500 must be sold by the most appropriate means to achieve the best possible price.
The Headteacher may arrange for the sale of items of estimated value up to £2,500. The sale of these items must be reported to the Governing Body at the next meeting.
The Governing Body shall determine the means of disposal of items with an estimated value of £2,500 or more.
All income received must be paid into the school budget and VAT identified where appropriate.
The disposal of an item of equipment must be recorded in the school's inventory together with the date of disposal, and the amount of sales proceeds if appropriate. The date of the Governing Body meeting when the disposal was reported / approved must also be recorded.
8. ACCEPTABLE USE OF ICT AND MOBILE PHONES POLICY 1
The policy defines and describes the acceptable use of ICT (Information and Communications Technology) and mobile phones, both school owned and personal, for school-based employees. Its purpose is to minimise the risk to pupils of inappropriate contact from staff, to protect employees and schools from litigation and to minimise the risk to ICT systems.
This policy deals with the use of ICT facilities and mobile phones in Newman Catholic College and applies to all school-based employees and other authorised users, e.g. volunteers. SCHOOL RESPONSIBILITIES
The Governing Body is responsible for ensuring that its employees act in a lawful manner, making appropriate use of school technologies for approved purposes only.
The Governing Body is responsible for adopting relevant policies and the Headteacher for ensuring that staff are aware of their contents.
The Headteacher is responsible for maintaining an inventory of ICT equipment and a list of school laptops and mobile phones and to whom they have been issued.
If the Headteacher has reason to believe that any ICT equipment has been misused, he/she should consult Human Resources for advice without delay. The appropriate Personnel Officer will agree with the Headteacher an appropriate strategy for the investigation of the allegations. Incidents will be investigated in a timely manner in accordance with agreed procedures.
3.5 The Headteacher should make it clear that internal school staff should not carry out any investigations unless they are both qualified and authorised to do so. 4
Staff found to be in breach of this policy may be disciplined in accordance with the disciplinary procedure. In certain circumstances, breach of this policy may be considered gross misconduct resulting in termination of employment. Users must report all suspected breaches of this policy to the Headteacher.
Users and their managers are responsible for ensuring that adequate induction, training and support is undertaken to implement this policy.
By logging on to ICT systems, users agree to abide by this Acceptable Use policy and other policies that relate to the use of ICT.
All users are expected to act in a responsible, ethical and lawful manner with the understanding that school electronic and manual information may be accessible to the public under the Freedom of Information Act 2000. Users should uphold privacy and confidentiality in accordance with the Data Protection Act 1998. Care must also be taken not to breach another person’s copyright, trademark or design, nor to publish any defamatory content.
Staff who have been given the use of a school laptop will be expected to sign for its use on re-
ceipt. This will also be countersigned by the Headteacher. Staff may use school equipment for authorised business use only, except as allowed for in paragraph 5.1. 4.6
Staff must follow authorised procedures when relocating ICT equipment or taking mobile devices offsite.
No one may use ICT resources in violation of license agreements, copyrights, contracts or national laws, or the Standing Orders, policies, rules or regulations of the school or the Council.
Users are required to protect their password and not share their account details with others for their use, nor utilise another users’ account or misrepresent their identity for any reason. Users must not under any circumstances reveal their password to anyone else.
No user shall access (e.g., read, write, modify, delete, copy, move) another user's personal electronic documents (including email) without the owner's permission or as allowed by this policy or by law.
Users must not load or download software on any device without the authorisation of the Headteacher. Periodic audits of software held on ICT equipment may be undertaken.
Users must take care to store sensitive information, e.g. pupil data safely and to keep it password protected, on all school systems, including laptops.
Network connected devices must have school approved anti-virus software installed and activated. Users may not turn off anti-virus software. All users of ICT resources have the responsibility to take precautions to prevent the initial occurrence and subsequent spreading of a computer virus. No one may knowingly create, install, run, or distribute any malicious code (e.g. viruses, Trojans, worms) or another destructive program on any ICT resource.
No one may knowingly or willingly interfere with the security mechanisms or integrity of ICT resources. No one may use ICT resources to attempt unauthorised use, or interfere with the legitimate use by authorised users, of other computers on internal or external networks. Access to networks will be monitored.
Within the terms of the Data Protection Act 1998, Human Rights Act 1998 and the Telecommunications (Lawful Business Practice) (Interception of Communications) Regulations 2000, the Council or school may record or inspect any information transmitted through or stored in its computers, including e-mail communications and individual login sessions, without notice when: There is reasonable cause to believe the user has violated or is violating this policy, any guidelines or procedures established to implement this policy. An account appears to be engaged in unusual or unusually excessive activity. It is necessary to do so to protect the integrity, security, or functionality of ICT resources or to protect the Council or its partners from liability. Establishing the existence of facts relevant to the business. Ascertaining or demonstrating standards which ought to be achieved by those using the ICT facilities Preventing or detecting crime Investigating or detecting unauthorised use of ICT facilities Ensuring effective operation of ICT facilities Determining if communications are relevant to the business (for example, in the last resort where an employee is off sick or on holiday and business continuity is threatened) It is otherwise permitted or required by law.
Do not send private, sensitive or confidential information by unencrypted email – particularly to an external recipient - if accidental disclosure could lead to significant harm or embarrassment. Anonymise personal data where possible e.g. by using initials. Use passwords on sensitive documents that must be sent to external recipients.
Websites should not be created on school equipment without the written permission of the Headteacher.
No one may use ICT resources to transmit abusive, threatening, or harassing material, chain letters, spam, or communications prohibited by law. No one may abuse the policies of any newsgroups, mailing lists, and other public forums through which they participate from a school account.
The following content should not be created or accessed on ICT equipment at any time:
Pornography and “top-shelf” adult content Material that gratuitously displays images of violence, injury or death Material that is likely to lead to the harassment of others Material that promotes intolerance and discrimination on grounds of race, sex, disability, sexual orientation, religion or age Material relating to criminal activity, for example buying and selling illegal drugs Material relating to any other unlawful activity e.g. breach of copyright Material that may generate security risks and encourage computer misuse
It is possible to access or be directed to unacceptable Internet sites by accident. These can be embarrassing and such sites can be difficult to get out of. If staff have accessed unacceptable content or are in receipt of unacceptable material via email, they should inform the Headteacher. This may avoid problems later should monitoring systems be alerted to the content.
PERSONAL USE & PRIVACY
In the course of normal operations, ICT resources are to be used for business purposes only. The school permits limited personal use of ICT facilities by authorised users subject to the following limitations:
Personal use must be in the user’s own time and must not impact upon work efficiency or costs. The level of use must be reasonable and not detrimental to the main purpose for which the facilities are provided. Personal use must not be of a commercial or profit-making nature. Personal use must not be of a nature that competes with the business of the school or conflicts with an employee’s obligations.
Personal use of the Internet must not involve attempting to access the categories of content described in section 4.18 that is normally automatically blocked by web filtering software.
MOBILE PHONE COMMUNICATION AND INSTANT MESSAGING
6.1 Staff are advised not to give their home telephone number or their mobile phone number to pupils. Mobile phone communication should be used sparingly and only when deemed necessary. 6.2
Photographs and videos of pupils should not be taken with mobile
6.3 Staff are advised not to make use of pupils’ mobile phone numbers either to make or receive phone calls or to send to or receive from pupils text messages other than for approved school business.
7. WHISTLE BLOWING POLICY (sometime known as a Public Interest Disclosure Policy) The Governing Body has approved the use of the following Model Whistle Blowing (Public Disclosure Policy) provided by Westminster Diocese. 1
The school is a Catholic school, founded by and forming part of the Catholic Church. In addition to the Church’s funds which established the school, it is sustained in its mission by receipt of public funds. Accordingly it is accountable to the Catholic community of which it is a part and which provided the school and to the public whose funds it expends. The school is committed to the highest possible standards of openness, probity and accountability. In line with that commitment we expect employees and others with whom we deal, who have serious concerns about any aspect of the school’s work to come forward and voice those concerns. It is recognised that most cases will have to proceed on a confidential basis. This policy makes it clear that you can do so without fear of victimisation, discrimination or disadvantage. This policy is intended to encourage and enable employees to raise serious concerns within the school in the first instance so that it is not necessary to resort to outside agencies. 2
Aims and Scope of this Policy
There are existing procedures in place to enable you to lodge a grievance relating to your own employment. This policy is intended to cover major concerns that fall outside the scope of other procedures. These include:
conduct which is an offence, a breach of the law or contrary to Church teaching;
disclosures related to miscarriages of justice;
health and safety risks, including risks to the public as well as other employees;
damage to the environment;
the unauthorised use of public or Church funds;
possible fraud and corruption;
abuse of students; or
other unethical or immoral conduct.
Thus, any serious concerns that you have about any aspect of service provision or the conduct of employees or governors of the school or others acting on behalf of the school can be reported under this policy. This may be something that makes you feel uncomfortable in terms of known standards, your experience or the values, beliefs and standards to which the school subscribes; is against the school’s trust deed or instrument of government or policies; falls below established standards of practice; or amounts to improper conduct. 3
The school will not tolerate any harassment or victimisation (including informal pressures) and will take appropriate action to protect you when you raise a concern in good faith.
Any investigation into allegations of potential malpractice will not influence you or be influenced by any disciplinary or redundancy procedures that might affect you. 4
All concerns will be treated in confidence and every effort will be made not to reveal your identity if you so wish. At the appropriate time, however, you may need to come forward as a witness. You also have a duty to observe this confidentiality. 5
You are encouraged to put your name to your allegation wherever possible. Concerns expressed anonymously are much less powerful but will be considered at the discretion of the school. In exercising this discretion the factors to be taken into account will include:
the seriousness of the issue raised;
the credibility of the concern and
the likelihood of confirming the allegation from attributable sources.
If you make an allegation in good faith, but it is not confirmed by the investigation, no action will be taken against you. If, however, you make an allegation frivolously, maliciously, or for personal gain, disciplinary action may be taken against you. 7
How to Raise a Concern
If you reasonably believe that you have discovered serious malpractice within the school you should ideally raise these concerns with your line manager. However, if, for whatever reason this is not possible or appropriate, you should contact the Headteacher. You will be given the opportunity to discuss your suspicions and an appropriate person will be designated as investigating officer, who will arrange for an investigation to take place. If you suspect that the Headteacher may be involved in the malpractice then you should contact the chair of the governing body. If you also suspect involvement by the chair, then you should contact the Diocesan Director of Education. Within ten working days of your initial meeting, the investigating officer will write to confirm the details of your concern and that an investigation will take place. Throughout the investigation, you will be kept informed of progress and you will normally be advised of the eventual outcome, subject to third party rights. All correspondence will be addressed to your home. If a meeting is needed, it may be arranged off site if you wish, and a union representative or a friend may accompany you. Although records will need to be kept as the enquiries progress, these will be of an anonymous nature. There can be no prescribed time limits for completion of the investigative process, but it will obviously be in the interests of all concerned if the issue is resolved without delay. If you have any complaint about the way in which the investigation is being handled then you should raise this with the designated investigating officer in the first instance. If the complaint remains unresolved then you may contact the Diocesan Director of Education with your concerns.
When the investigation is complete a report will be presented to the governing body, which will decide upon the appropriate course of action. Subject to any relevant legal constraints, you will be informed of the action to be taken. If you do not agree with the outcome then you will have seven days in which to make your concerns known to the governing body, via the chairman. If you remain dissatisfied with the response from the governing body, then you may consider contacting the Secretary of State for Children, Schools and Families, who has the power to intervene if the governing body appears to be acting unreasonably. You should be aware, however, that this course of action could have serious implications for the school. At no stage should you contact the media without the written permission of the Chairman of the Governing Body. Such action would be a breach of confidentiality and could result in disciplinary proceedings against you. 8
List of Contacts
This should include names and telephone numbers: Headteacher - Mr D Coyle Chair of the Governing Body – Mr P O’Shea Clerk to the Governing Body – Mrs N Knight The above may be contacted via the school telephone number. Director of Education Archdiocese of Westminster Vaughan House 46 Francis Street London SW1P 1QN 020 7798 9005
Secretary of State for Education Department for Education Sanctuary Buildings Great Smith Street London SW1P 3BT 020 7925 5000
SECTION B FINANCIAL PROCEDURES
Financial Management Systems Payroll Purchasing Ordering Payments Income Catering Operation Staff Expenditure Reimbursement School Assets – Inventory/Insurance Private School Fund
8. Financial Management Systems 1. The Bursar and Headteacher ensure that the school's spending priorities are reflected in the school's budget options to be presented to the Finance & Premises Committee for approval. 2. The Bursar/Headteacher are responsible for ensuring that an accurate PLASC document has been prepared each term and thoroughly checked as this forms the basis for the school’s budget. 3. The Bursar and Headteacher ensure an accurate costing of budget options to include spending priorities and the effect of pay and price increases. 4. The Bursar records and fixes the approved school budget on the SIMS FMS prior to start of term in each new Financial Year to provide an audit trail and ensue that the Financial system is viable at the start of the new Financial year. 5. The Bursar ensures that budget returns are sent to the LA within the specified timescale. 6. The Bursar establishes appropriate cost centres on SIMS FMS to enable effective budget monitoring. 7. The Bursar provides monitoring information to budget holders on a monthly basis. 8. The Bursar prepares budget-monitoring reports from the SIMS system (FMS6) to ensure it is despatched to the Finance & Premises Committee one week prior to their meetings together with a written commentary. This can either be done directly or via the Clerk to Governors. 9. The Bursar records all budget virements on SIMS FMS and submits virements for approval of the Finance & Premises Committee. 10. The Bursar maintains up-to-date records on SIMS FMS of the total financial resources available to school, ensuring that it is consistent with LA notifications (budget share, Other Funds provided, contingency etc) and keeping a file of those notifications for audit purposes 11. The Bursar ensures all expenditure and income is entered onto SIMS FMS promptly to enable day to day monitoring of expenditure. There must be no use of separate accounting systems e.g. excel. 12. The Bursar reconciles expenditure and income on SIMS FMS to bank statements on a monthly basis and investigates any discrepancies. The Headteacher reviews this reconciliation and signs to evidence the review. 13. At the end of each financial year the Bursar ensures the settlement of all outstanding accounts and the timely closure of that year's books. In preparation for the year end returns the Bursar will ensure that there is available: a.
Fin 1 LA report for period 12
Budget Accounts report for period 12
Calculation of debtors and creditors
Reconciled bank accounts
Statement of the school’s income and expenditure in CFR format
14. The Bursar and Finance Administrator have user access to SIMS, which is maintained on the computers in the school office. All access is controlled by passwords. The IT environment is managed by the ICT Manager. The individuals concerned ensure that passwords are regularly changed. 15. The Headteacher will ensure that all staff recruited who are to be given financial responsibility will have this clearly detailed within their job description and be given appropriate training. 16. Back-ups of the school’s File servers are automated at the close of each day and run overnight. One set of backup tapes is stored off site every night.
17. The Bursar prepares a Statement of Internal Control (SIC) as part of ensuring the rigour of SFVS is maintained. This is for approval by Governing Body and submission to the Local Authority/Auditor as required to confirm controls are in place and properly monitored. 18. The School maintains a register of business interests and the Bursar is responsible for ensuring all staff with any financial responsibility (e.g. Budget holders, cheque signatories, finance office staff) complete an annual declaration. The Clerk to Governors holds similar declarations forms for governors. See section A. 19. The Bursar and Finance & Premises Committee compare financial information with similar schools using the DfE benchmarking website and reports to the Governing Body on conclusions and any recommended action as part of the annual budget setting process. 20. The Bursar ensures Best Value is secured for all financial transactions and reports annually on this to the Finance & Premises Committee.
9. Payroll 1. There is a review of the school pay policy for approval of Governing Body on an annual basis 2. A review of the staffing structure is also undertaken annually for presentation to the Governing Body as part of the budget setting process. 3. Amendments to salaries are prepared by the Headteacher and approved by the Personnel committee before being passed to the Bursar for processing. The chair of governors must sign amendments to the Headteacher’s salary. 4. The Headteacher authorises overtime claims and these are passed to the Bursar who will monitor them and arrange for them to be processed and the payroll provider notified 5. The Bursar advises the Payroll Provider monthly of the payments to be made to all staff based on a document which details all such payments and is signed by the Headteacher. 6. The Bursar is responsible for monitoring information from payroll and reconciles it to the correct salary (and additional allowances) due for each member of staff. This is cross checked by the Chair of Finance & Premises Committee. 7. Access to payroll, personnel and associated records is restricted to the Headteacher and Bursar. 8. No member of staff is to be given a salary advance or personal loan.
10. Purchasing 1. The school is committed to achieving Best Value in everything it does 2. The Headteacher has authority to negotiate contracts and purchases on behalf of the governing body up to the value of £10,000 and £25,000 and renegotiated contracts resulting in an increase of more than 10% must receive approval of the Finance & Premises Committee. Recurring purchases under £10,000 may be authorised by the Bursar. 3. For purchases up to £25,000 over the life of the product/contract the school will obtain 2 written quotations or other methods (including internet searches or telephone quotations) to ensure Value for Money. For purchases between £25,000 and £149,999 the school will require 3 written quotations. The school will consider price, quality and fitness for purpose when purchasing goods and services and not necessarily accept the lowest quote. Normally three quotations will be sought unless a particular service or supply is limited in choice in which case this will be documented. Reasons for proposing to choose quotes other than the lowest cost will be reported to the Finance & Premises Committee. The Headteacher and one Governor from the Finance & Premises Committee need to approve the purchase of goods or contracts between £25,000 and £149,999. 4. All purchases over £149,999 (EU Procurement rules) should be put out to tender. Contract specifications should define the services to be provided in terms of nature of the work, quality standards, monitoring requirements and contract review procedures. The school must seek advice from Brent Legal Services and work with other schools to procure major contracts. Specifications may also be used for lower value contracts to ensure that comparable quotes are obtained. This will require the final approval of the Finance & Premises Committee. 5. Staff are NOT permitted to use school orders for private purchases. 6. The Bursar will put in place procedures to ensure that service contracts are monitored to check they are being delivered in line with the original contract and report to the Finance & Premises Committee. This would apply particularly to:
Grounds maintenance services Heating maintenance Burglar security system Fire system maintenance
The Headteacher and Bursar will undertake a rolling review of contracts to assess the cost and quality of the provision.
A list of the current contracts in place is attached as an appendix 7
11. Ordering Budgets 1. At the start of the financial year the Headteacher will advise all budget holders of their respective budgets. The Headteacher and Bursar will hold a list of the approved budget holders and budgets which will be input into the FMS system. 2. The Bursar maintains budget records and commitments against the budgets in the school office although staff are also expected to keep a record of their own expenditure. 3. Budget holders are automatically provided with monthly monitoring reports, which contain details of budget allocation, invoices paid, commitments and balance left. 4. Budgets cannot be carried over to the next financial year unless the Headteacher gives specific approval. Budget holders must not order resources for use by another department. Placing an order 5. Budget holders submit requests for orders to be placed by email to the Bursar. Budget holders are not authorised to place orders themselves. The Bursar then completes the expenditure requisition form and signs it. The order is then passed to the Finance Administrator for processing on the FMS system that ensures spend is within allocation for that Cost Centre / Ledger Code combination and best value is being achieved. 6. If insufficient funds are available within the relevant budget the FMS system will refuse to process that purchase request. The Bursar will advise the Budget holder to ask the Headteacher for a virement, or additional funding. 7. The Finance Administrator will process the order which will then contain: details of the supplier catalogue number, price and quantity or a description of the goods and agreed price the sequential order number from SIMS the agreed expenditure code Supplier’s details are maintained in FMS on the computer New suppliers are authorised by the Bursar/Finance Administrator. 8. The Finance Administrator produces the original order and a copy, which are utilised as follows: 1. Emailed, faxed or posted to the supplier (and handed to the budget holder for their records) 2. Retained electronically to check against delivery note/invoice 9. Telephone, Internet and “On Approval” orders are discouraged except under emergency circumstances. In this event, orders are placed retrospectively by the Finance Administrator to ensure a commitment with order number is recorded. For other emergencies, such as urgent repairs, a retrospective order number will be allocated as the estimated commitment is put onto SIMS as quickly as possible. The only personnel authorised to order under such circumstances are: 1. Budget Holder 2. Finance Administrator 3. Bursar
Deliveries 10. On arrival the Finance Administrator/Bursar first checks the delivery note against the delivery and the official order and if required resolves discrepancies. They will then ask the budget holder to carry out a check as well. Year End 11. Final orders for the financial year must be received in the school office by the end of the first week of February to enable accurate reconciliation of individual budgets and processing of invoices before yearend. School Year/Academic Year 12. New staff need to be aware that the financial year and the school year are not synchronised. School budgets are set in April and expenditure is planned until the end of March in the following year. Curriculum budget planning for resources therefore may need to span two academic years i.e. the Summer term of one year and the Autumn and Spring terms of the following year. Staff will nevertheless be expected, in time, to plan for purchase of resources during the Summer term in readiness for the next academic year. Reprographic costs 13. Costs are incurred on all school copying. The cost per copy charges are reviewed on an annual basis and notified to all budget holders. With 2-3 days of reprographic accounts being sent to Budget Holders the amount will be deduced from the budget holders budget. Any queries will need to be raised with the school office. Cancelling orders 14. If a budget holder wants to cancel an order they must notify the Finance Office as quickly as possible so that this can be cancelled in the SIMS accounting software
12. Payments 1. When an invoice arrives, the Finance Administrator records them in FMS and passes them to the Budget holder responsible for authorisation. Payment is made only against an original invoice which shows the supplier name and VAT number and the order number that it relates to. Where an invoice is in error the supplier is contacted and a revised correct invoice requested. Credit notes are held with the order and original invoice. Payment is not made on copy invoices except in unusual circumstances where an original invoice has been lost. 2. The college maintains a prompt payment methodology bearing in mind the most beneficial terms of credit and any applicable discounts. The 30-day prompt payment period is adhered to wherever possible. The Bursar produces a monthly aged creditor report for the Headteacher’s review. An aged creditor re[port is also produced for each meeting of the Finance & Premises Committee. 3. Payment is only made upon return to the Finance Administrator of the invoice, signed to confirm agreement to pay. The FMS system will highlight differences in cost against order and prevent multiple payment of the same invoice. 4. Invoices are paid in accordance with the determined payment date. Cheques are normally raised weekly. On the due payment date, the Administrator raises the cheques and attaches to the respective documentation. Spoilt cheques are defaced and retained. If invoices have tear off slips these are sent to suppliers (although SIMS also provides information about which invoice the cheque relates to and this is sent with each cheque) Signatories 5. The cheques with all documentation then pass to the first signatory the Headteacher, who will sign the cheque. The documentation and cheques then pass to one of the second signatories (Deputy/Assistant Headteachers). Self-authorisation is not permitted and other signatories must sign cheque payments to claimants, who are also bank account signatories. Credit Notes 6. A credit note will be issued by a supplier whenever ordered goods or services have been cancelled or returned. Credit notes should be passed to the Finance Office in the same way as invoices and this must be done promptly. Asset Register additions 7. The Bursar issues an “Asset Number” sticker for attachment to items over £150 purchase cost and enters them in the asset register. Serial numbers etc are logged by the Bursar in the Non IT Asset Register. Delivery of items 8. NO items ordered may be delivered to a member of staff’s home address.
Summary Authorisation Procedures.
Sends email request to the Bursar
Raises orders and copy document
Delivers received goods to department Processes invoice
Headteacher /Deputy Headteacher/Assistant Headteachers
13. Educational Visits A lead teacher must be appointed for each visit to take responsibility for budgeting for the trip, determining the cost to each student and for ensuring arrangements are made for the monies are received. The lead teacher, together with the finance office, must prepare a record for each student intending to go on the trip showing the amount due. A copy of the record must be maintained by the Finance Office. Students should either make payments at the Finance Office or to the lead teacher (as advised). A receipt must be issued for all monies collected and the value of the receipt and the number of the receipt recorded against the student making the payment. All money collected must be banked promptly into the schools public funds. The Finance Officer should maintain an up to date record for each student showing the amount paid and the amount outstanding. This record should be sent to the lead teacher on a weekly basis and the lead teacher is responsible for chasing the outstanding amounts. At the conclusion of each visit once all final payments have been made the lead teacher should ensure there is a clear record of the final cost of the trip and the monies received.
14. Income 1. The Bursar processes all cash and cheque income in the SIMS Finance system. 2. All school lettings are managed in accordance with the contract with Schools Plus who collect monies. Twice a year Schools Plus pays the school a sum of money for the facility of hiring the premises in accordance with their contract. 3. Finance Office staff or Lead teacher collect trip or event money and record this. The money is then passed to the Finance Administrator for processing and banking. 4. The Bursar/Finance Administrator ensures that income is recorded in the FMS system and securely held in the safe prior to banking. Only the Finance Administrator and Bursar have access to the keys to the safe. Cash must never be left unattended. 5. The Finance Administrator completes bank deposit slips and ensures that income is banked on a weekly basis. Separate deposit slips are used for cash and cheques. The Finance Administrator lists all cheque payees on deposit slips. 6. The Headteacher and Bursar determine and review the debt recovery policy for submission to Governing Body/Finance & Premises Committee for approval. 7. The Bursar and Headteacher annually review the contract with Schools Plus for letting the premises and make recommendations to the Finance Committee for any changes. The Bursar/Site Manager is responsible for oversighting the management of the contract. 8. The Bursar reconciles income on SIMS to the bank statements on a weekly / monthly basis for the review and signature of the Headteacher. 9. Sales invoices must be dated, numbered sequentially and state that cheques are payable to Newman Catholic College. Invoices must state that remittances should be forwarded directly to the Finance Office at the school. Sales invoices will be filed in numeric order. Music Tuition Fees 10. All music tuition fees are payable in advance wherever possible. The Curriculum Leader for Music is responsible for the collection of course fees and the passing of details to the Finance Office of the student receiving such tuition. Where payment is not received following several reminders and where lessons have commenced the Headteacher may determine that the student be withdrawn from future lessons. Resources 11. The librarian will chase overdue resources from the library. Department staff must have a procedure to follow up on the non return of books. Parents will be advised of the school’s intention to invoice them for resources not returned by their son and reminded again each year in the summer term newsletter. 12. All staff must ensure that Year 11 and 13 students hand in all books and resources before their last examination. If books are not returned examination certificates will be withheld by the school until payment is received.
14. Catering Operation 1. The College runs its own catering operation in house 2. Most supplies are ordered regularly by email, phone or fax from a bulk catering supplier by the Catering manager. Received goods are checked against delivery notes upon arrival. Any difference are advised and amended by the supplier on the advice of the Catering manager 3. The College current account is debited monthly by the bulk food supplier against the agreed invoice crosschecked by the Catering manager. A cashbook journal is raised by the Bursar after confirmation from the Catering Manager that there are no discrepancies warranting non payment 4. The electronic payment system for school meals ensures that pupils on FSM are checked against the FSM register before crediting the card with the relevant amount. 5. Cash taken is processed by the tills and reconciled daily prior to being passed to the Finance Administrator for processing into the FMS system and ultimate banking. 6. A float of £150 in coin is maintained in the Kitchen. When the coin is reduced to below a viable level the notes are exchanged for coin from the Bank. 7. Staff food purchases are charged with Vat at the currently applicable rate. This Vat-able income value is deducted by the Finance Administrator from the main amount recorded on a regular basis, prior to the submission of a Vat claim to the Authority thereby ensuring that Vat is not reclaimed erroneously. 8. Stock level checks are done on an ongoing basis to ensure continuity of consumables. At end of financial Year a stock level report is prepared jointly by the Bursar and Catering Manager for inclusion into Year End Accounts. 9. Staff performing duties at Lunch time are entitled to a free issue meal which MUST be taken on the day of the duty. This does NOT apply to the Headteacher. 10. The Headteacher’s p.a. advises the Catering manager of any official events or meetings for which catering is required. These are recorded under the hospitality budget.
15. Reimbursement for Expenses 1. The School does operate a petty cash system, however purchases by staff for the school are discouraged except in an emergency. The preferred route is for the school to order all supplies through the normal ordering process. The maximum amount of petty cash held at any one time must not exceed £500. 2. Purchases are restricted to urgent requirements only. 3. The member of staff must provide an appropriate receipt to seek reimbursement for their purchases. A VAT receipt must be obtained where appropriate to enable the school to reclaim VAT on purchases 4. The Finance Administrator will ensure that payment has been authorised by the appropriate budget holder prior to refunding the purchase cost. 5. Reimbursement will be in Cash for purchases up to £50 and Cheque for items over this amount. 6. The Finance Administrator raises a cheque to be signed by two authorised signatories. 7. INSET request forms are available from the staffroom and must be completed and passed to the INSET coordinator together with details of the related expenses and full details of the course. The INSET coordinator will forward details of supply cover to the member of staff responsible and course bookings to the Finance Office once approved. 8. Claim forms for INSET and travel expenses are available from the Finance Office and should be completed promptly. Travel and Subsistence expenses must always be claimed within one month of the date on which they were incurred. Claims will need to be countersigned by the respective budget holder 9. The school has now introduced the use of a procurement card and the policy for this is set out as an appendix to these procedures.
16. School Assets – Inventory/Insurance 1. The Bursar maintains a permanent asset register for all Non IT items over the value of £150. An Asset register of all IT equipment is also maintained in the same way by the ICT Support Department. This could also include any portable or desirable items (digital cameras, PDAs, etc) under £150/ £500. Each item in the register is recorded chronologically as to acquisition and should include date of purchase, valuation, location and serial number. 2. The Business Manager ensures that both registers are updated regularly for all new items/disposals including clear identification of make, model and serial numbers (if appropriate). New purchases are added to the register as and when they are received on site. 3. The ICT Support Department and Curriculum Leaders respectively ensure that all appropriate assets are security marked. This is checked by the Bursar. 4. The ICT Support Department and Curriculum Leaders undertake an annual stock check of items included in the inventory and record that a check has been carried out. The Bursar will motor t ensure such checks have been undertaken. 5. Any significant discrepancies between actual and recorded stock are reported to the Headteacher. Omissions are brought to the attention of the Finance and Premises Committee and an appropriate form of action taken. 6. The policy for the disposal of assets is reviewed annually including the authority to declare items to be obsolete, surplus or damaged beyond repair. 7. The Finance Adminstrator records and banks any income from the sale of assets. 8. If items of School equipment (Excluding Laptops issued to named members of staff and pupils under the “Computers for Pupils Scheme”) need to be removed from site, a request is made to the Bursar. The Bursar notes details and checks for return, noting any defect or damage. Loans are normally allowed over weekends or short-term holiday. The loans form must be completed for insurance purposes to cover loss, damage or theft either under circumstances within school or in relation to the borrower's own property. Items removed from the school premises without consent are not covered by the school's insurance and are the liability of the unauthorised borrower. 9. The governing body have a legal liability to ensure that the School has adequate insurance cover in respect of all aspects of the premises, contents, pupils, staff, public and employer liability. 10. Policy documents and correspondence, which relate to insurance, are retained in the Bursar’s office.
17. Private School Fund The school operates a Private School Fund (see separate policy and constitution for operation of Fund – Appendix 6 )
APPENDIX 1 - SCHEME OF DELEGATION 1.
STATEMENT OF ROLES AND RESPONSIBILITIES
INTRODUCTION The Governing Body, Headteacher and senior leadership team together constitute the leadership team of the school. This statement identifies the roles and responsibilities of the Governing Body, Headteacher/Vice Headteacher and Bursar for financial management.
GOVERNING BODY AND ITS COMMITTEES The overall purpose of the Governing Body is to lead the school to provide the best possible education for the pupils. This involves, in particular:
Setting the school’s vision and strategic aims Monitoring and evaluating performance to raise attainment Ensuring that the school is accountable to pupils, parents, the community it serves, the Diocese and to the local authority.
Within this context the Governing Body has a strategic role and in the financial management of the school. Its key responsibilities include:
Setting the financial priorities of the school through the: -
School Improvement Plan Three Year Budget Annual Budget
Determining the allocation of resources within the school budget in accordance with the priorities in the School Improvement Plan
Approving and monitoring the annual budget
Ensuring that the budget is managed effectively
Determining arrangements for delegation of financial decisions to the Headteacher by approving internal financial regulations
Evaluating the effectiveness of spending decisions and that value for money is acheived
HEADTEACHER The Headteacher provides vision, leadership and direction for the school and is responsible for the management of the school budget under delegated powers agreed by the governing body. These responsibilities include:
Preparing a strategic plan (the School Improvement Plan) for approval by the Governing Body underpinned by sound financial planning. This identifies priorities and targets for ensuring that pupils achieve high standards and make progress, increasing teachers effectiveness and securing school improvement
Preparing an annual budget plan which is within the resources available and reflects the school priorities for approval by the governing body
Effectively managing the school budget within the allocation of resources approved by the governing body
Presenting regular financial monitoring reports to the governing body
Ensuring that there are sound internal financial controls in relation to income and expenditure
Ensuring that accounting records are accurate and up-to-date
DEPUTISING FOR HEADTEACHER
In the absence of the Headteacher the designated deputy/assistant Headteacher will assume the responsibilities outlined above.
BURSAR/BURSAR’S OFFICE The Bursar is responsible to the Headteacher for the day to day financial management of the school including the following:
Overseeing the ordering, receipt of goods and authorisation of payments in accordance with internal financial regulations
Monitoring the school budget on a day-to-day basis including provision of monitoring information to budget holders and preparation of monitoring reports for the Governing Body
Maintaining accurate financial records for the school
Providing financial advice and information to the Headteacher and governing body
Ensuring that all income is accounted for and banked
Preparation of budget for consideration by Headteacher/Governing Body
Monitoring the use of Pupil Premium funding in consultation with the Inclusion Manager and providing that information for the Headteacher/Governing Body
INCLUSION MANAGER (SENCO) The Inclusion Manager monitors monthly income and expenditure in respect of SEN and reports to the Headteacher and governors. This includes monitoring the impact of the use of Pupil Premium funding. The Inclusion Manager
Works closely with the Headteacher to ensure that all resources are used to promote the highest possible quality of education.
Produces resourcing plans to ensure that statemented and non-statemented special needs pupils receive the appropriate levels of support.
Liaises closely with the SEN Governor to provide information about SEN provision
ASSISTANT HEADS/BUDGET HOLDERS
Assistant Heads have delegated responsibility for specific areas within the school budget and may order materials and supplies/services in line with agree resourcing and development plans. They annually consult with colleagues and present bids for discussion within the senior leadership team.
Budget holders monitor spending within their departments throughout the financial year. Bids submitted for budgets must initially be designed to ensure that it is possible to provide a level of service commensurate with the school development plan.
The Inclusion Manager monitors monthly income and expenditure in respect of SEN and reports to the head and governors.
SUMMARY OF AUTHORISATION LIMITS
Expenditure Limits Headteacher/Deputy Finance Committee Full Governing Body
Up to Between Over
£ 4,999 £ 5,000 and £24,999 £25,000
Writing off bad debts Headteacher Finance Committee
Up to Over
Disposal of Surplus Stock Headteacher Finance committee
up to over
Public transport rates only
£ 1,000 £ 1,000
Ordering Procedures 3 Competitive Quotations or other Method ensuring Best Value
3 Competitive Quotations
Competitive Tendering Process (following EU Regulations)
£20,000 (over life of product/contract) £20,000-£149,999 (over life of product/contract)
£150,000 (over life of product/contract)
Virements All virements within the budget must come to the Finance and Premises Committee for approval
NB Financial records should be retained for six years plus current.
Appendix 2 - The Annual Financial Cycle Financial planning and monitoring needs to consider the calendar year, the financial year and the academic year in relationship to each other. It is essentially a cyclical process. January
Following review meetings with staff the Headteacher prepares the suggested model for staffing responsibilities for the following September. Management allowances and retention awards are taken into account.
Census figures are submitted and these decide the budget for the next financial year.
Quarterly VAT report submitted to LBB.(recurrent)
Quarterly report prepared for Finance committee to review budget position
All budget holders submit Subject Review sheet and ‘ideal bids’ to curriculum leaders budget planning meeting.
A draft budget is prepared by the Headteacher and Bursar based on draft estimate from LBB.
Draft budget presented to Finance committee
Draft out-turn statement for present financial year prepared for governors
Final budget plan agreed by governors and sent to LBB.
Bursar chases outstanding invoices, unpresented cheques and closes manual records for the year.
Bursar sets up new budget on computer and prepare for closedown of previous financial year.
Final accounts, FIN 1, FIN 1A, FIN 1B and supporting debtor and creditor schedules sent to LBB (Standards Fund and school budget.)
Headteacher finalises staffing model for September following resignation deadline.
Headteacher and Bursar meet to review budget in light of budget share and standards fund adjustments.
Bursar prepares CFR report and submits to LBB.
School year end out-turn statement produced for Governors.
Quarterly report prepared for Finance committee.
Headteacher and Bursar review staffing structure for new academic year and consider adjustments to budget plan.
Draft School Development Plan prepared by Headteacher and submitted to governors and staff for reflection.
Governors and staff meet to discuss and ratify short and long term targets in School Development Plan.
Quarterly report prepared for Finance committee
Bursar prepares review of spending for Governors.
Governors make recommendations and budget plan amended accordingly.
Staffing structure options considered for next academic year and form basis for draft budget for next financial year.
Headteacher and Bursar review spending pattern for the rest of the financial year
Budget revision considered in the light of staff changes for the Spring Term