Consultation on a new fund to support the sustainability of voluntary, community and social enterprise sector organisations Hull Community and Voluntary Services Response This response has been drawn up after consultation with our members and listening to the views of key stakeholders. Hull CVS supports the idea of the fund and believes it represents a real and significant opportunity for the Sector. If its aims are to be met it must be led locally and by trusted and properly accredited infrastructure organisations. At the very least they must hold NAVCA and Volunteering England quality marks. Section 1: What Support is Needed, by Who and Where? What type of support is needed? Questions: 1.1. Reflecting on the journey to sustainability, what types of support will have the greatest impact and why? 1.2. How can we best encourage pro-bono support alongside paid-for support? The aim must be to securing sustainable support to help charities grow. The fund must supports change rather than be used just as a short term fix for lost funding. This will be achieved through support with organisational strategies, business planning, income strategies, governance support and preparation for commissioning. Getting pro-bono support is difficult. Most organisations do not have the skills and resources to manage it let alone source it Pro-bono support should be brokered by an infrastructure organisation and resources given over to develop the required skills in the organisation. How do we define organisations in-need of support? Questions: 1.3. Are these the right factors for identifying those inneed? 1.4. What might be an effective approach to identifying those ‘in-need’, particularly given that these factors could be seen as negative and organisations might be unwilling to admit to them? We agree with the factors identified. The key document is the organisational strategy, which must say why they exist as a charity, their vision and mission and core values. Organisations will only work with trusted and established organisations. This work should be led by established infrastructure organisations that have recognised accreditation from NAVCA and Volunteering England. This will give organisations the required confidence to work openly on the problems they face. Questions: 1.5. We intend to use the DWP definition of 'vulnerable and disadvantaged'. Should we also include any additional groups? We support the use of this definition but as a guide rather than a fixed rule. Where is support most needed? Questions: 1.6. How should we ensure that support available is appropriate to local need? 1.7. What evidence is there of need in particular locations? Support must be largely provided by local organisations. This would help it is relevant to local need and not seen as outside experts coming in and tell them how to run their charity. Support should be provided by both private and Third Sector organisations. The identification of need is a key role for local infrastructure organisations. We hold a rich pool of information and intelligence that will help progress this work. Section 2: How should the fund be delivered? How do we identify the right beneficiaries? Questions: 2.1. Could we use a light touch self assessment tool that would identify the likelihood that an organisation is appropriate from simple evidence and data? 2.2. Are there existing tools that would enable us to do this? 2.3. Could we use existing local knowledge to identify appropriate organisations, for example by utilising a nomination approach? 2.4. Which local bodies or partnerships could best provide local knowledge? E.g. local infrastructure such as Councils for Voluntary Service, Local Enterprise Partnerships, Local Authorities? We support the idea of using a light touch assessment tool. We support having a nomination approach. This would help the fund to focus on the most pressing local need and support a consistent approach to providing help. It would allow the fund to use local knowledge of need rather than an assessment made solely on statistical data. Local authority and the local infrastructure charity is the principle source of help and guidance in Hull. We would not support the Local Authority controlling the fund as it would make it open to potential political interference. LEPs are not the most appropriate bodies to provide local knowledge. Should we use third party intermediaries to deliver effective support? Questions: 2.5. How could a model like this be made to work effectively? 2.6. Is there an appropriately sized and experienced body of potential intermediaries available to fulfil this role? 2.7. How would we ensure that intermediaries are appropriately held to account and challenged to deliver effectively? We fully support the idea of using third party intermediaries as it could maximise the impact and deliver real lasting change. Properly accredited local infrastructure organisations are best placed to fulfil the role of intermediaries. We have the skills, experience and local knowledge. Making use of existing networks and partnerships will avoid unnecessary duplication and potential delays in starting the process. Should we set upper and lower limits on organisation size? Questions: 2.8. Should we apply upper and lower turnover limits to focus efforts on those organisations in need and which are achieving impact? 2.9. If so: What lower limit would be appropriate for identifying organisations having the desired impact in communities? What upper limit would ensure that organisations that shouldn’t need support are excluded? Should we have a phased upper limit with higher turnover organisations considered in exceptional circumstances? Medium sized organisations with income between around the £80k - £1.5m mark to be targeted as set out in the consultation document. The fund should not be used for supporting larger charities. The funding available is not enough to make as significant an impact with large charities. More will be achieved if the fund is focused on charities with an income below £1.5m. What size of grant should be provided? Questions: 2.10. What average level of funding would enable appropriate depth of activity for individual projects, whilst ensuring a broad reach for the fund across the sector? We believe the maximum size of grant should be £15,000. The minimum size should be set by need and the light touch assessment. This would ensure the greatest possible number of organisations benefit from the funds, whilst still ensuring quality outcomes. How do we ensure effective engagement from both support providers and frontline organisations? Questions: 2.11. Are these the right ways to incentivise effective engagement? 2.12. Which of these are likely to be most effective? 2.13. What other ways could ensure effective engagement from all parties? Early success will be achieved if the aims of the Local Sustainability Fund are clear and organisations know what success looks like and how it will be measured. We agree organisations must demonstrate commitment to the work of the fund. This does not have to be financial but through in-kind activities. Outcome based payments are very difficult to manage when some of this work will be only see tangible results in the long term. The work would take place long before the benefits are realised and the money will have already have been spent. We would support claw back if it shown that the money has not been spent on the stated aims of the fund. We would support an approach where charities who receive the fund have to commit to producing a case study six to nine months after funded work finishes. The case study would explain the work made possible and lessons others can learn. Our experience of TLI in Hull tells us that it is important to think about reporting at an early stage so it is possible to capture evidence of success. Effective engagement will only be achieved if it led by trusted local infrastructure organisations. They have the networks and experience to work across the sector. Section 3: How can the fund ensure long-term impact? Questions: 3.1. Which of the proposals for achieving sustainability do you think are likely to be most effective? How else can we ensure lasting impact? 3.2. What other ways could individual projects maintain their activity after 2015/16? 3.3. What other ways could we sustainably grow the market of support for frontline voluntary organisations? The lesson from TLI was a lack of accountability and coordination. The best way to deliver the change is to have a strong governance mechanism and an outcomes based approach. Change is continuous and the work after 2015/16 will only continue if it led by established and trusted local infrastructure organisations with the proper accreditation and skills. They have the commitment to keep supporting the local sector, and will not move on once the money has run out.