The Royal Borough of Kensington and Chelsea Key Decision Report dated 28 January 2010 For Decision by Councillor James Husband, Cabinet Member for Education and Libraries
Report by the Director for Community Learning ADULT AND COMMUNITY LEARNING: REQUEST TO PROCEED TO COMPETITION FOR THE ACADEMIC YEARS 2010-11 AND
2011 -2014
1. Introduction
1.1 I am writing to seek your approval to proceed to a mini -competition between the existing providers for the delivery of Adult and Community Learning (ACL) for the academic year, August 2010 to September 2011 and permission to instruct a pre-purchase review followed by an open tender for the academic year 2011 – 2014.
2. Background
2.1 The Adult and Community Learning programme is currently delivered by the eleven providers set out below. All provision takes place within the borough. Contracts were first established for the academic year 2006-7 and have been rolled over each year since, with some minor variations. The original Key Decision allowed for the extension of contracts subject to: "… no significant changes of funding from the Learning and Skills Council (LSC) and … to the contractor’s performance being judged good or better by reference to the outputs achieved in the delivery of the contract and the monitoring reports of [Council] officers.”
NAME OF THE PROVIDER GENERAL TYPES OF COURSES FUNDED Kensington and Chelsea
College
A range of leisure- based learning provision including modern languages, arts and crafts Clement James English for Speakers of Other Languages
The Regeneration Trust Information Technology and English for Speakers of Other Languages
Westway Development English for Speakers of Other Languages with Information Technology and offering
accreditation
Open Age Project Provision specifically for people over 50 e.g. dance, exercise, art and information technology
Nova New Opportunities English for Speakers of Other Languages, Information Technology, skills for Life e.g. literacy and numeracy
The Video College Introduction to video film production St Mary Abbots
Rehabilitation and Training projects ( SMART)
Specialist provision for people with mental health problems including Information Technology and Floristry
History Talk Courses for older people and bringing generations together to learn through the recording of local history
Action Disability
Kensington and Chelsea (ADKC)
Specialist provision for people with physical and sensory impairments.
2.2 However, it has become clear that, in order to meet the needs of residents, particularly in an economic recession, as well as to respond to national developments and funding requirements, some changes need to be made to the mix and balance of provision in the coming academic year. For example, there needs to be more accredited courses, more evening provision, more courses in popular subject areas, and fewer in those where the number of learners has declined.
2.3 At the same time, this is not an auspicious time in which to embark on a full scale re-commissioning exercise. The Learning and Skills Council will be replaced as the funding body for ACL by the newly formed Skills Funding Agency from April 2010. The Government has signalled extension of the current Comprehensive Spending Review (CSR), which ‘safeguarded’ the annual Adult and Community Learning funding allocation for the current and next academic year, but, as this is without any allowance for annual inflation, there will in real terms be a reduction in the funding available to the Royal Borough to commission provision. Additionally, there is uncertainty about the priorities for and policy relating to ACL following the forthcoming general election.
2.4 In light of these somewhat contradictory factors, officers recommend a competitive tender limited to current providers who will be asked to submit proposals in response to a revised specification. This will reflect changed priorities and requirements, as well as the real term reduction in the ACL funding allocation. The new contracts will cover the academic year August 2010-September 2011, with the intention of carrying out a review of funding and of residents’ views followed by an advertisement in autumn 2010 for a full open tender for services for the following three academic years, 2011-14.
2.5 Should the recommendation for a mini competition between the existing providers be approved, the following schedule will be implemented:
27 January 2010 Invitation to quote for delivery in 2010-11 sent to existing providers
1 March 2010 Deadline for return of quotations 2 – 19 March 2010 Evaluation and recommendations 1 April 2010 KDR for award of contracts submitted 1 May 2010 Inform providers of outcome
1 August 2010 Contract start date 3. Consultation(s)
3.1 Existing providers have been consulted on these proposals at the Adult Learning Forum meeting of 14 January and by letter.
5. Options
5.1 The options available are:
A) To agree to the recommendation for a competitive tender limited to existing providers for the academic year 2010 – 2011 followed by a full open tender, subject to funding, for the academic year 2011 – 2014;
B) To roll over existing contracts for a further year; or,
C) To proceed to full scale re-commissioning of the entire service for the academic year 2010-11
5.2 Option B is feasible, but not desirable. It would not be possible to introduce the changes to the mix and balance of provision that are necessary. Also, this option would not take into account the reduction in funding for ACL.
5.3 Option C is neither feasible nor desirable. There is insufficient time to carry out a thorough full re-commissioning exercise. It would not be wise to do so in the first year of the life of a new funding body.
6. Financial, Legal, Sustainability, Risk, Personnel, Equalities and Safeguarding Implications
6.1 The current grant received for ACL from the LSC for Personal and Community Development Learning and for First Steps Learning is £1,108,030, of which £840,000 is used to commission delivery at present. It is anticipated that the Royal Borough will receive 99% of funding from the Skills Funding Agency in 2010-11 relative to 2009-010 and with pro-rata reductions in learner number targets. However, this will not be confirmed until the end of July 2010 at the earliest. The payments made to contractors will be within budget and within the terms and conditions of the grant.
6.2 The procurement and contracts issued will comply with Part Four – F of the Council’s Constitution and the Procurement Procedure Rules and Contract regulations. Such agreements should only be entered into by the Council once the relevant funding has been received by the Skills Funding Agency. Entering into a contract with a provider before receiving the relevant funding from the Skills Funding Agency exposes the Council to liability to provide funding whether or not it has been received. Any decommissioning of existing providers will be carried out in accordance with the terms of their respective contracts in order to avoid exposing the Council to risk.
6.3 The successful contractors will be required to demonstrate robust Sustainability procedures.
6.4 The Conditions of Contract will require the contractor to indemnify the Council against losses arising from the acts or omissions of the contractor, his employees or agents committed during the course of performing the contract
6.5 There are no implications for Council personnel arising from this report. Reductions to the funding of an existing provider may, however, have implications for its personnel. The implications of the Transfer of Undertaking (Protection of Employment) Regulations (TUPE) and potential reductions of funding to an existing provider may also have implications for its personnel.
6.6 Collectively the current eleven contracted providers deliver ACL provision that meets the needs of a wide range of residents, including those who would not normally participate in learning, such as those from Black and Minority Ethnic (BME) groups and people with disabilities. We will continue to commission a range of specialist community-based providers, as well as the generalist Kensington and Chelsea College, and to offer a mix of informal non-accredited learning alongside accredited vocational and basic skills including Family Language Literacy and Numeracy.
6.7 The contracts will state that each provider complies with the Safeguarding Vulnerable Groups Act 2006 (The Vetting and Barring Scheme”). This will require the provider to implement procedures to ensure that new employees register themselves through the Independent safeguarding Agency ( ISA).
7. Recommendation
7.1 I recommend that you approve Option A, a mini competitive tender against an updated Specification for the academic year 2010 –
2011; followed by a full open tender, subject to funding, for the academic year 2011 – 2014.
KAREN TYERMAN
DIRECTOR FOR COMMUNITY LEARNING ANNE MARIE CARRIE
EXECUTIVE DIRECTOR, FAMILY AND CHILDREN’S SERVICES
FOR COMPLETION BY AUTHOR OF REPORT:
Date of first appearance in Forward Plan: 7 January 2010
Key decision reference identifier from Forward Plan: 03260/10/E/A
Background papers:
KD02142, Process for awarding Adult and Community Learning grants to providers, 2006-7
KD03157, Adult and Community Learning contracts 2009-10
Contact officer: Karen Tyerman Tel: 020 7361 3357 E-mail:
FOR COMPLETION BY GOVERNANCE SERVICES: Report published on: ………..
Report circulated to the Family and Children’s Scrutiny Committee
on ………
Cleared by Finance (officer’s initials) MJ Cleared by Legal (officer’s initials) SJ
