Part 1 ITEM NO. ___________________________________________________________________ REPORT OF THE STRATEGIC DIRECTOR FOR SUSTAINABLE REGENERATION ___________________________________________________________________ TO THE LEAD MEMBER FOR CUSTOMER AND SUPPORT SERVICES ON 6th JUNE 2011 and LEAD MEMBER FOR HOUSING ON 6th JUNE 2011 ___________________________________________________________________ TITLE: AWARD OF CONTRACT FOR THE PROVISION OF A TENANCY SUPPORT SERVICE FOR ADULTS WITH A VISUAL IMPAIRMENT AND A GROUP FACILITATOR POST. ___________________________________________________________________ RECOMMENDATION: The Lead Member for Customer and Support Services: Approves an exception being made to the City Council’s standing orders in order to enable the award of a contract to ‘Henshaw’s Society for the Blind’ on the grounds that the realisation of £40k would not be achieved this financial year if tendering was required. The Lead Member for Housing: Awards a two year Steady State contract, to ‘Henshaw’s Society for the Blind’ for the provision of a tenancy support service for adults with a visual impairment and the additional provision of a group facilitator who will work with the 3 existing social clubs for adults with visual impairments to enable them to self manage by the end of the contract. The contract will run from 1st April 2011 to 31st March 2013. ___________________________________________________________________ EXECUTIVE SUMMARY: 1. Following a service review and discussions with Community Health and Social Care, it was recommended that a two year contract is awarded to Henshaw’s Society for the Blind. This is on the basis of the existing service being reconfigured to include both direct support and the addition of a group facilitator role, and therefore offers increased value for money. This new service will also enable Community Health & Social Care to end an existing contract with Henshaws, and deliver approximate efficiencies of £40k p.a. A 10% reduction of the Supporting People contract value has also been agreed with the provider giving an annual saving of £3,330. 2. Approval from the Lead Member for Customer and Support Services is sought so that an exception can be made to the City Council’s standing orders in order to realise £40k savings that would not be achieved this financial year, if tendering was required. The annual contract value of £29,189 will be funded from the Supporting People element of Salford’s Formula Grant. BACKGROUND DOCUMENTS: Salford City Council Corporate Procurement Handbook 2009 Supporting People Strategy 2005 – 2010 Salford’s Local Area Agreement 2008 - 2011 Salford’s Community Safety Strategy Improving the life chances of disabled people in Salford (2009 – 2013) KEY DECISION: YES ___________________________________________________________________ DETAILS: 1.0 Background 1.1 The Supporting People Programme delivers housing related support services to vulnerable people in Salford; it was introduced in April 2003 and was ring fenced solely for the purpose of commissioning housing related support services. 1.2 From April 2010 the ring fence was removed and the grant now forms part of Salford’s Formula Grant funding. This change allows increased flexibility with the use of Supporting People funding and importantly it enables the development and commissioning of jointly funded services where outcomes, identified within Salford’s Local Area Agreement, can be achieved for the citizens of Salford. However, it should be noted that in the current economic climate, there is a requirement to manage the programme within the context of reducing funding and processes are in place to manage a reducing programme. 1.3 The Supporting People Programme currently funds a total of 245 services, managed by 55 provider organisations, supporting 5793 people across 19 different client groups. 1.4 Supporting People Commissioning Body governs the programme; this is a partnership of lead officers and commissioners from Salford City Council Sustainable Regeneration Directorate and Community Health and Social Care, Salford Probation Service, and the Primary Care Trust with representation from the service provider network. 2.0 Detail 2.1 The Crowngreen Rd service provides tenancy support to six adults with a visual impairment who live in 6 self contained flats. The support is geared to enabling the service users to maintain their tenancies, remaining as independent as possible and accessing local services. Following a review of the service and discussions with Community Health and Social Care who also provide funding to the provider for other services, it was decided to incorporate a second limb to the service. This would build on the existing social clubs which Henshaws have been supporting for many years so that the clubs are self administrating at the end of the contract term. 2.2 The provider has the skills and infrastructure in place to enable the maximum outcomes and savings from the current services for visually impaired adults. Supporting People contracts would, in usual circumstances, be tendered through the preferred provider framework. It is felt that this proposal does not fit usual circumstances because ‘Henshaws Society for the Blind’ is able to provide the City Council with a service that incorporates the aims of Community Health and Social Care as well as Supporting People in a much more effective and cost efficient way than a tendering process . Therefore, the Lead Member for Customer and Support Services is asked to approve the making of an exception under the City Council’s standing orders to allow the contract to be offered direct to ‘Henshaws Society for the Blind’. 2.3 The service offered by ‘Henshaws Society for the Blind’ directly contributes towards achieving Supporting People Key Performance Indicator 1 - the percentage of vulnerable people maintaining independent living. 3.0 Conclusion 3.1 Approval is now sought from Lead Member for Customer and Support Services to make an exception under the City Council’s standing orders to allow the contract to be offered direct to ‘Henshaws Society for the Blind’. 3.2 Approval is then sought from Lead Member for Housing to award a two year steady state contract to ‘Henshaw’s Society for the Blind’ for the delivery of a tenancy support service for adults with a visual impairment and the additional provision of a group facilitator who will work with the 3 existing social clubs for adults with visual impairments to enable them to self manage by the end of the contract. The contract will run from 1st April 2011 to March 31st 2013. The annual contract value is £29,189, funded from the Supporting People budget. KEY COUNCIL POLICIES: Salford Supporting People Strategy 2005 – 2010; Salford Housing Strategy 2008 – 2011; The Salford Agreement 2008 – 2011; The Community Action plan 2006 – 2016; Salford’s Community Safety Strategy; and Improving the life chances of disabled people in Salford (2009 – 2013). ___________________________________________________________________ EQUALITY IMPACT ASSESSMENT AND IMPLICATIONS: All organisations that have contracts in place with the Supporting People Team have been robustly assessed in a number of areas; this included assessment of their policies in relation to equal opportunities and equality and diversity. ___________________________________________________________________ ASSESSMENT OF RISK: MEDIUM If this proposal is not approved and subsequently the service ceased, there is a risk that the housing and support needs of adults with visual impairment would not be met and this may impact on the City Councils ability to achieve targets to support vulnerable people to achieve independent living. ___________________________________________________________________ SOURCE OF FUNDING: Supporting People budget 2012 ___________________________________________________________________ LEGAL IMPLICATIONS Supplied by Tony Hatton x 2904 The award of the contract will commit the Council to a two year contract. If Salford City Council, or the provider wished to end the contract at any time then the contract ought to provide for either party to serve notice. The Council Constitution provides that usual standing orders rules may be waived or excepted “where there is a sole supplier of patented or proprietary articles, or materials or services exclusively provided by a statutory undertaker or other bodies” (Part 4, Section 7, Para 2.1.(a)), (the report refers to the supplier providing the service “in a much more effective and cost efficient way” to justify the waiving of standing orders), by a Lead Member for Customer and Support Services record of decision (Part 4, section 7, para 2.2). Any other legal implications will be considered if / when Legal is requested to prepare, approve or review contractual documentation in respect of the service. ___________________________________________________________________ FINANCIAL IMPLICATIONS Supplied by Alison Swinnerton X2585 The costs of this proposal can be funded from the current approved Supporting People budget allocation for 2011/12. PROCUREMENT IMPLICATIONS: Sharon Robson x 6226 The request to waiver Contractual Standing Orders is on the basis of Value for Money. The recommendation is for a 2 year contract, with no option to extend and the intention to re-tender at the end of two years. There would still be a minor risk of challenge from other organisations but we would suggest this risk is low in view of the small contract value and our intention to re-tender within two years. We believe this risk could be defended. We will use the two year extension period to assess the current service and allow us to commence a fully informed tender process. ___________________________________________________________________ OTHER DIRECTORATES CONSULTED: Key partners from Community Health and Social Care and the PCT have been involved with developing the specification for the new service and Community Health and Social Care initially approached the Supporting People Team regarding the additional role the service could have in order to make efficiencies in their directorate. ___________________________________________________________________ CONTACT OFFICER: Glyn Meacher TEL. NO. Extension 8752 ___________________________________________________________________ WARD(S) TO WHICH REPORT RELATE(S): All wards ___________________________________________________________________