To authorise a waiver under CPR 3.2.3, from the requirement to tender the provision of residential care home services. On the basis that the waiver under CPR 3.2.3 is approved, delegate authority to the Corporate Director – Social Services and Wellbeing to enter into contracts with the current and any future residential and nursing care providers on terms to be approved by the Corporate Director – Social Services and Wellbeing in consultation with the Corporate Director - Operations and Partnerships and the s151 Officer.

The Head of Adult Social Care submitted a report, seeking Cabinet approval to Authorise a waiver under CPR 3.2.3, from the requirement to tender the provision of residential care home services.

On the basis that the waiver under CPR 3.2.3 was approved, to also delegate authority to the Corporate Director Social Services and Wellbeing to enter into contracts with the current and any future residential and nursing care providers on terms to be approved by the Corporate Director Social Services and Wellbeing in consultation with the Corporate Director Operational and Partnership Services and the S151 Officer. Such contracts to take effect for the terms set out in Section 8 (the Recommendation) of this report.

She advised that In February 2014, Cabinet approved a waiver under Contract Procedure Rule 3.2.3, from the requirement to competitively tender the provision of residential and nursing care home services. The waiver was approved on the basis that, at that time, the contracted providers were the only tenderers who could technically provide such a service, due to statutory restrictions in respect of the Council’s obligation to set appropriate fees.

Cabinet was advised that this statutory restriction dates from the implementation of the National Health Service and Community Care Act 1990, when the funding of residential care homes passed from the Department of Social Services in central government to local authorities and that the subsequent National Assistance Act (Choice of Accommodation)(Wales) Directions 1993, imposed on local authorities the duty of determining the amount that they would expect to pay for assessed needs. Furthermore, that the discretion to set such fees was tempered by the provisions of Section 7 of the Local Authority Social Services Act 1970, which states that local authorities, in performing their functions, must ‘act under’ the guidance of the Welsh Ministers and that the most recent guidance was the ‘Fulfilled Lives, Supportive Communities: Commissioning Framework Guidance and Good Practice” (August 2010). For these reasons, Cabinet was asked to authorise a waiver from the requirements to competitively tender the Residential Care Home fees under CPR 3.2.3 as there was technically no competitive market available.

The Head of Adult Social Care, asked Cabinet to note that the above statutory restrictions remained in force, with the result that there was no competitive market place available for these services. This meant the status quo, in that the current contracted providers were the only tenderers who could technically provide such a service.

She then confirmed that paragraphs 3.4 to 3.9 of the report, outlined certain contractual arrangements with regard to the Contract, adding that in February 2014, Cabinet approved for the contracting arrangements in place with the providers to be extended up to 31^st March 2016.

The next part of the report confirmed that due to new legislative requirements and other issues relating to the Nursing elements (ie residential and nursing care) of the Contract, there was a need to make changes to both this and the accompanying service specification, which had since been drafted and presented to the Residential and Nursing Care Forum last March. The Contract/new Model highlighted the differences between the revised and present model in place.

In light of the above and certain other considerations contained in the report, the Head of Adult Social Care stated that for the Model and Contract to be responsive to future legislative changes and any new strategic drivers from both a local authority and ABMU perspective, it was felt that a relatively shorter-term Contract would be more appropriate going forward, as suggested in paragraph 4.7 of the report.

Following consideration being given to the report by Cabinet, it was

RESOLVED:                          That Cabinet:

1.        Authorised a waiver under CPR 3.2.3, from the requirement to tender the provision of residential care home services on the basis that the Council has a statutory obligation to set the fees, which means that there is technically no competitive market available for these services. 

2.        On the basis that the waiver under CPR 3.2.3 was approved, delegated authority be given to the Corporate Director – Social Services and Wellbeing to enter into contracts with the current residential and nursing care providers on terms to be approved by the Corporate Director – Social Services and Wellbeing in consultation with the Corporate Director - Operations and Partnerships and the S151 Officer. On the basis that (if approved) the reasons for a waiver under CPR 3.2.3 would have applied on any earlier date that the statutory restrictions as set out in this report were in force, Cabinet authorised such contracts on a  retrospective basis, from the 1st April 2016. The contracts were to be in place for an initial period of two years, with an option to extend for further periods of up to two years.

3.        On the basis that the waiver under CPR 3.2.3 was approved, authority be delegated to the Corporate Director – Social Services and Wellbeing to enter into contracts with any new residential and nursing care providers on terms to be approved by the Corporate Director – Social Services and Wellbeing in consultation with the Corporate Director - Operations and Partnerships and the S151 Officer, provided that such new contracts shall be co-terminus with the contracts referred to in 2. above.