Agenda item

This paper updates the Panel on the Children’s Centre Options Appraisal which has been undertaken to explore and test out different commissioning options and help determine the best way to commission the overall service in the future. 

Sue Pendle, Chair of Trustees, First Steps Nursery addressed the Panel. She spoke of the good work that had been carried out over the past 25 years by First Steps and that it truly is a community organisation.

She said that as a local charity it was able to attract additional resources and that this could be at risk if they were not involved in the work of Children’s Centre Services. She also highlighted the fact that Centres run by the Local Authority were overspending by £300,000 a year.

She stated that First Steps were looking for an opportunity to tender to remain part of the Children’s Centre Service and that options 3 – 6 would exclude them.

Councillor Liz Hardman asked if First Steps had considered joining a consortium.

Sue Pendle replied that they had not ruled this option out and had looked into possible partnership arrangements. She said the matter was quite complicated as they would want to maintain their identity.

Council Alison Millar asked if First Steps had a preference between Options 1 and 2.

Sue Pendle replied that they had not stated a preference as Option 1 would mean the status quo and that if Option 2 were chosen they would bid for the Bath element.

Councillor Eleanor Jackson addressed the Panel. She recalled talking at a funeral to some friends of a former Ketamine user and asking them what provision they would like to have.

She said that they responded by saying that they wanted a constructive place to go to with activities they could take part in and services based on education.

She said that she was concerned about the provision of services for children and young people with Special Educational Needs and asked for services to remain and be supported in the Somer Valley.

She spoke in particular about The Potting Shed in Radstock as it appears that Sirona do not want to be involved anymore and Virgin Care will not talk to the project leaders. She explained that The Potting Shed was a gardening group for young people with Downs Syndrome and learning difficulties.

Councillor Paul May said that as a Board Member of Sirona he was aware of the scheme and its benefits. He added that he thought that through the work of the Your Care Your Way project that no changes would be made within the first 100 days of Virgin Care becoming the prime provider which would begin on April 1^st 2017.

The Chair suggested that this matter could be picked up in the scheduled Youth Services report in May.

Councillor Liz Hardman said that she felt there was a danger if the Council did not continue with open access youth work.

Councillor Eleanor Jackson agreed with her comment.

Councillor Tim Ball addressed the Panel. He said that he had knowledge of the very successful work that First Steps does within his ward of Twerton and credited them being the launch model of Sure Start Centres around the country.

He spoke of how their service provided value to the community and was also cost effective.

He said that he couldn’t speak highly enough of their services and recommended that the provision remains as it is now.

Councillor Alison Millar asked for the view of the Strategic Director for People & Communities.

He replied that the Options Appraisal document that had been supplied to the Panel was a process that the Council has to go through and was not about whether the services of First Steps were good or bad.

The Senior Commissioning Manager for Preventative Services added that it was not to be seen as a reflection of the current services as they are very valued.

Councillor Liz Hardman asked that in the introduction to the report the Panel be addressed as to how any changes would affect staff within the Bright Start (Council-run) Children’s Centres.

Councillor Paul May asked Councillor Tim Ball if he would use the First Steps model in other areas of B&NES.

Councillor Tim Ball replied that he would indeed advocate it.

The Chair commented that it would be interesting to find out if this were possible.

The Senior Commissioning Manager for Preventative Services introduced the report to the Panel. She explained that they were being asked to review the six potential options and provide a steer on any additional advantages or disadvantages associated with each. She also invited them to share their views to inform a decision in regards to a preferred option for future commissioning of a Children’s Centre service.

She thanked both First Steps and Bright Start Children’s Centres for their participation in this difficult process.

Councillor Liz Hardman asked what would happen to staff at the Bright Start Children’s Centres should a change in commissioning take place.

The Senior Commissioning Manager for Preventative Services replied that they would TUPE transfer to whoever was awarded the contract.

She then spoke about the options within the report.

Option 2 – Tender for a two Children’s Centre service model (one for Bath and one for North East Somerset:  This model would still require four Children’s Centre building hubs (one each in Somer Valley, Keynsham, Bath East and Bath West).  It would mean the Council would not be a provider of Children’s Centre services and the Council would lease the Children’s Centre hub buildings it owns to external providers who would then manage them.  External agencies would be able to bid individually or in partnership.

She added that this would have an advantage through dividing the Children’s Centre service in a more logical way with a Bath and a North East Somerset service which may facilitate partnership working in Bath.

Option 4 – Tender both the Council run and external Children’s Centre services to procure a new contract for one Children’s Centre service:  In this option the Council would lease its Children’s Centre hub buildings to the successful bidder.  The successful bidder, if not the current provider for Bath West, would have to negotiate a lease for Bath West or find an alternative venue to deliver Children’s Centre services.

She said that external agencies would be able to bid individually or in partnership.

Option 5 – Include in Your Care Your Way (YCYW) as part of the Prime contract: This would need the agreement of the Prime contract holder for YCYW and would be subject to satisfactory assessment and due diligence checks with the Council satisfying itself that Virgin had the requisite expertise and experience to deliver this service. 

She added that this model would still require four Children’s Centre building hubs (one each in Somer Valley, Keynsham, Bath East and Bath West) and it would mean the Council would not be a provider of Children’s Centre services and that the Council would lease the Children’s Centre hub buildings it owns to Virgin as the prime contractor. She said Virgin would need to negotiate a lease for Bath West (Twerton) or identify alternative premises to deliver Children’s Centre services.

Option 6 – Include in Your Care Your Way as part of the Dynamic Purchasing System (DPS):  This option would mean that the internal and external Children’s Centre services will be included as part of YCYW, and that the services would be commissioned and contract managed jointly by Council commissioners and Virgin.  This is likely to be a two stage process with the services moving across to be subcontracted from Virgin in the first instance and then subject to tender through the DPS at some point in the future.

She said that there would be the opportunity for voluntary and charitable sector organisations to tender either as individual organisations or in partnership.

Councillor Paul May commented that he appreciated the depth of analysis that had been provided in the report. He asked for the reason behind the process.

The Senior Commissioning Manager for Preventative Services replied that the contract with First Steps was coming to an end and so it was appropriate at this time to look at the options.

Councillor Liz Hardman said that she wanted the Council to retain the best services for the community and questioned whether Option 5 would give too much power to Virgin Care. She asked what the next steps in the process would be.

The Senior Commissioning Manager for Preventative Services replied that it would be helpful if the Panel could identify one or two of their preferred options. She said that talks would then take place with service users and families to gather their views and then the matter would be discussed with the Senior Leadership Team (SLT) of the People & Communities Department.

Councillor Alison Millar asked if any figure could be given regarding the cost of the bond to underwrite pensions.

The Senior Commissioning Manager for Preventative Services replied that it was impossible to know the bond value at this stage and it would need to be properly assessed.

Councillor Paul May commented that he was nervous about Option 6.

The Senior Commissioning Manager for Preventative Services said that the Virgin Care (YCYW) contract includes Children’s Health Services.

The Chair stated that she had concerns over Options 5 and 6 and that the potential for savings was probably restricted by remaining with Option 1.

The Cabinet Member for Children’s Services, Councillor Michael Evans raised the issue of whether the decision should be made by officers, himself or the Cabinet.

Councillor Paul May said that he felt that this should be a decision for the Cabinet Member or Cabinet rather than for officers.

The Chair said that she agreed.

Councillor Karen Warrington said that she could see that Option 6 could provide an opportunity for economies of scale through Virgin Care

Councillor Alison Millar said that she shared the concerns raised regarding Option 6.

Councillor Liz Hardman said that her preferences were for Options 2 and 4 and that she felt that First Steps should maintain a role in provision.

Councillor Sally Davis said that her preference was Option 2 and that that still had the ability to move the service forward.

The Chair proposed the following recommendations;

i)  That the final decision should be made by the Cabinet Member for Children Services,

ii)  That the Panel’s preferred option is Option 2,

iii)  That the costs associated with Option 6 be analysed further and reported back to the Panel.

The Panel RESOLVED to agree with these recommendations.