Agenda item

That Cabinet approve -

1.               To replace the existing core funding arrangements for the Council’s Strategic Partner voluntary sector organisations with an outcome based commissioning model with effect from 2016/17.

2.               the proposed financial envelope of £619,000 and the revised distribution of those funds between the services from 1 April 2016 as set out in Appendix 2.

3.               the new groupings of services as set out in the Appendices.

4.               the contract duration of a minimum of three years with an option to extend for up to a further 24 months based on the performance of the contract.   

5.               the phased implementation timetable as set out in Appendix 3.

6.               the service outcomes for the Advice, Information and Advocacy Service as set out in Appendix 1a.

7.               To give delegated authority to the Portfolio Holder for Residents and Corporate Services to make all future decisions relating to the commissioning of voluntary sector services in 2016/17.  This will include decisions on the service outcomes (except for the Advice, Information and Advocacy Service), any variations or amendments to the tendering timescales and contract awards.

That Cabinet approve -

1.               To replace the existing core funding arrangements for the Council’s Strategic Partner voluntary sector organisations with an outcome based commissioning model with effect from 2016/17.

2.               the proposed financial envelope of £619,000 and the revised distribution of those funds between the services from 1 April 2016 as set out in Appendix 2.

3.               the new groupings of services as set out in the Appendices.

4.               the contract duration of a minimum of three years with an option to extend for up to a further 24 months based on the performance of the contract.   

5.               the phased implementation timetable as set out in Appendix 3.

6.               the service outcomes for the Advice, Information and Advocacy Service as set out in Appendix 1a.

7.               To give delegated authority to the Portfolio Holder for Residents and Corporate Services to make all future decisions relating to the commissioning of voluntary sector services in 2016/17.  This will include decisions on the service outcomes (except for the Advice, Information and Advocacy Service), any variations or amendments to the tendering timescales and contract awards.

Reason for Decision

To seek the agreement of Cabinet for the introduction of a commissioning approach to the funding of the Council’s voluntary sector Strategic Partners with effect from 2016/17 and to seek delegated authority for the Portfolio Holder for Residents and Corporate Services to make various decisions for the implementation of the commissioning process.

Financial

The overall cost to the Council for these services, which is committed until 31 March 2016 is £813,800 per annum.

£753,800 from the General fund (£627,550 per annum in grant funding , £105,500 in reduced income from full market rent and £20,750 in reduced business rates) and £60,000 from the Housing Revenue Account (HRA).

Risk Implications

Some of the Strategic Partners may not be ready for the commissioning process but this has been mitigated by the holding of workshops, the consultation process and the phasing of the tendering exercise throughout 2016/17 to enable more preparation time.

Some of the current Strategic Partners may not be commissioned to carry out the new services and therefore may not be able to continue to operate.

Equalities Implications

Equality Impact Assessment carried out on 2 October 2015

Health And Safety Implications

None identified.

Corporate Objectives

1.          Community Capacity: enabling self-help and volunteering to build communities.

2.          Regeneration: developing skills and aspirations of local people.

3.          Dacorum Delivers: developing more effective ways of delivering services which meet customer expectations.

Advice

The Portfolio Holder for Residents & Corporate Services introduced the report and explained that it had been discussed by CMT, Cabinet colleagues and two Overview and Scrutiny Committees (OSC), who raised some concerns around funding and lack of provision for residents.

The Assistant Director for the Chief Executives Unit explained that the Housing and Community Overview & Scrutiny committee raised a number of concerns, including, wanting reassurance there would be full consultation with the voluntary sector, ensuring the outcomes remained flexible and broad based, seeking confirmation of the tendering process, ensuring all existing providers benefited from the business rates  and if the provider is changed then they needed to publicise this with local residents. The Assistant Director for the Chief Executives Unit added that the OSC were assured that a communications plan would be requested as part of the tendering process. In general, OSC supported the change.

The Portfolio Holder for Environmental, Sustainability & Regulatory Services referred

to recommendation seven of the report and sought confirmation that it was implying that the Portfolio Holder for Residents & Corporate Services would make the final decision    as to who to reward the contract, based on officer advice.

The Assistant Director for the Chief Executives Unit confirmed this would be the case.

The Portfolio Holder for Environmental, Sustainability & Regulatory Services felt there was potential for this to be a very explosive situation which could result in large public concern. She felt that the decision maker should be Cabinet as a whole rather than an individual. Therefore she suggested altering recommendation 7 so that power was given to Cabinet and not the Portfolio Holder.

The Leader of the Council felt that in reality it would not make any difference. The outcome of the tender would be based on a set criteria. He was inclined to leave the responsibility with the Portfolio Holder, giving him the option to seek advice from Cabinet if needed.

The Portfolio Holder for Environmental, Sustainability & Regulatory Services reiterated that as this was a sensitive area she would prefer the whole Cabinet being responsible rather than an individual.

The Portfolio Holder for Residents & Corporate Services noted that if he was presented with a winner of the tendering process based on the scoring results he would be inclined to accept, as would Cabinet if they were presented with the same results.

The Portfolio Holder for Finance & Resources supported the Leader’s views and felt that if it was a group decision it could become more bureaucratic. He agreed with the recommendations that it should be considered by officers and the Portfolio Holder.

The Portfolio Holder for Planning and Regeneration also supported the recommendations to keep responsibility with the Portfolio Holder.

The recommendations were agreed by Cabinet, however The Portfolio Holder for Environmental, Sustainability & Regulatory Services requested that the minutes record her concerns regarding recommendation seven.

Consultation

Consultation took place with:

·        Service users - currently funded through the Strategic Partner Programme

·        DBC Staff

·        Strategic Partners

·        Cabinet members and CMT

·        Finance and Resources OSC 7 October 2015

·        Housing and Community OSC 14 October 2015

Voting

None.