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Financial liabilities

Discussion in 'Governors' started by mojo_b, Mar 5, 2019.

  1. mojo_b

    mojo_b New commenter

    I have just been informed that as the Foundation Stage Unit of the maintained primary school I am governor at, is governor led, we as governors are liable for any financial shortfall.
    I had no idea about this and it would certainly have made me think twice about my role!
    Does anyone have any knowledge or experience in this area?
  2. Rott Weiler

    Rott Weiler Star commenter Forum guide

    This is a local authority maintained primary school in England, yes?

    I'm not sure what you mean by Foundation Stage Unit. What ages/year groups attend it? Why wouldn't it be part of the school the same as, say, the Infant classes are? Where does the funding come from for it - is it part of the overall funding you receive from your LA, or is it funded by someone else? Are the FSU's funds ringfenced in some way from the rest of the school's funding? FSUs that I've come across are part of the school the same KS1 and KS2 are, just another name for nursery and reception provision.

    Who is telling you that "as governors [you] are liable for any financial shortfall"? And the what do they mean by "governor led"? What do they think the difference is between who leads the FSU and who leads the rest of the school? The whole school is, legally, "governor-led". The governing body has overall legal responsibility and accountability for the running of a LA maintained school [School Standards and Framework Act 1998 s 38]

    And are you being told that individual governors are personally liable, or that the governing body is liable? Very different things. It's highly unlikely individual governors are personally liable for anything. The governing body as a corporate entity may be, but the governing body isn't something separate from the school. It's part of the school.

    It sounds like a lot of nonsense but without knowing how this Foundation Stage Unit is set up and what its status is it's hard to be sure.

    Has it come up because the FSU has run out of money? Or is it a hypothetical financial shortfall?
    Last edited: Mar 5, 2019
  3. Rott Weiler

    Rott Weiler Star commenter Forum guide


    Do you have any plans to return with further details? Or is that it, you've lost interest in the question?
    ViolaClef and nomad like this.

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