Agenda item

Residential Block Contract - (PART A)

Minutes:

The Deputy Mayor and Executive Director for Children’s Services submitted a report for Executive’s consideration.

 

The report sought Executive’s agreement to publish a VEAT notice notifying the market of the Council’s intention to award a five year, with the option to extend for a further five years, block contract in respect of a new three bedded home opening in Middlesbrough.

 

Middlesbrough Council had 15 internal residential beds for children and young people offering across 4 homes:

 

a.         Firtree              -           4 beds

b.         Willowtree       -           2 beds

c.         Hollylodge       -           4 beds

d.         Rosecroft        -           5 beds (16+ with care needs)

 

Middlesbrough Council had a block contract with Cambian Care (TA CareTech) which meant the Council had a contract in place which secured nine beds across three homes at a set bed rate.  The contract had been very successful and had been in place for a number of years, originally for four beds in one home in Middlesbrough but over time had expanded and now offered nine beds across one home in Middlesbrough, one in Hartlepool and one in Stockton.

 

Occupancy levels had generally been good and from April 2022 to September 2022 there had been eight young people accommodated which equated to an 89% occupancy rate.

 

OPTIONS

 

Do nothing

 

If the Council did nothing the current arrangements would continue meaning that spot purchase placements would continue to be sourced out of area at significant cost.   

 

This option was not recommended.

 

Tender for a block contract

 

As the provider owned the property and had approached the Council with a block proposal a tender process was not possible.

 

A tender was an open process that gave all interested providers the opportunity to submit a bid to provide the service the Council wished to procure, on this occasion because the provider owned the property and the service it would be impossible for another provider bid.

 

This option would not be recommended.

 

AGREED That Executive:-

 

a)    note the information contained within Part A of the report; and

b)    take the decision to award the block contract once all the financial or exempt information contained within Part B of the report had been considered.

 

 

REASONS

 

The addition of three block residential beds assisted Middlesbrough Council in meeting its statutory responsibility in relation to sufficiency of placements to meet the needs of children and young people.  This increase would mean that, overall, through internal and block resource Middlesbrough Council would have a bed capacity of 27.

 

Middlesbrough Council’s external residential budget is significantly under pressure it is anticipated that funding for this block contract will be achieved from a reduction in spot purchase placements.

 

Whilst hard to evidence, there were other expected efficiencies from this block arrangement. For example, Social Workers not having to travel or be out of the office for a whole day or more; where young people were placed significantly further away, they could continue within their education setting; where health intervention was in place this would again allow continuation of appointment or service they were accessing and easier to support contact with family, which may have potentially resulted in reunification home.

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