Decision details

Directly Award a novated Contract for Elgin Close Extra Care Services and the Day Centre Services to Housing 21

Decision Maker: Deputy Leader (with responsibility for Children and Education)

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

The current provider Notting Hill Genesis (NHG) have given notice to Hammersmith and Fulham that they intend ceasing provision of all Care Service in this borough and nationally.

Elgin Close was marketed by NHG for a potential buyer, which included the three elements: Building, Extra Care Service and Resource Centre. Subject to NHG’s and Hammersmith and Fulham’s due diligence processes, Housing 21 was selected as the most suitable organisation.

This contract novates the current contract (Notting Hill Genesis) to Housing 21.

Decision:

1.    To novate the Extra Care Services and Resource Centre contracts at Elgin Close from NHG to Housing 21 by issuing a Direct Award of: Extra Care Services for the value of £3,584,088 forfour-years and three-month 27th February 2023 to June 2027(£66,998 per month pro rata) and Resource Centre for the value of £362,625 from 27th February 2023 to February 2025. These are the current contract values with NHG and does not take into account any inflationary uplifts over the coming years.

 

2.    That the Extra Care Services will continue until 2027 to bring it in line with the new Minterne Gardens Extra Care scheme also provided by Housing 21. Prior to the end of the contract a tender process will be undertaken for both schemes.

 

3.    That the Resource Centre contract will be part of a Co-produced Strategic Review within the next two years along with all the Resource Centres/Day Opportunities in the borough.

 

Reasons for the decision:

Housing 21 have previous experience of mobilising services with short notice and collaborating with Local Authorities to establish referral and admission procedures. They are also the provider of the new Minterne Gardens Extra Care Service and will mobilise both contracts simultaneous to maximise the staffing potential for experience and skills.

 

The hand-over of Elgin Close in early 2023 to Housing 21 has been the result of a marketing exercise that consisted of all three components – The Building, Extra Care Services and Resource Centre. It followed a due diligence process by Housing 21 to determine a suitable provider with the approval of Hammersmith and Fulham

 

Alternative options considered:

Option 1 – Novate the contracts to Housing 21. 

This is the Recommended option. The purchaser of Elgin Close, Housing 21, are an established Extra Care Service and support provider with schemes in other London Boroughs and country wide. They have previous experience of transferring services with little disruption to residents and staff who will be eligible for TUPE.

 

Option 2 - Do not novate any Contracts.

This is not a recommended option. Without novating the contracts residents will be left with no care and support service and Hammersmith and Fulham would be rescinding on the agreement with NHG and Housing 21 to transfer the current services.

 

Publication date: 16/02/2023

Date of decision: 14/02/2023

Effective from: 22/02/2023

Accompanying Documents: