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Alternate Delivery Models

Published: 18/03/2016

Public services are going through an exciting period of change. Due to financial pressures, where reductions in budgets mean hard choices and the possible loss or reduction of services, alternate delivery models (ADMs) have to form part of the solution. As an innovative and forward-thinking local authority, Flintshire County Council is leading the way by actively encouraging departments to break new ground and look at ensuring we continue to maintain and improve our services in the most efficient and effective ways possible. Next week, Flintshire’s Cabinet will consider Business Plans from Leisure and Libraries, Facility Management and Day Care and Work Opportunities regarding the establishment of Alternative Delivery Models (ADM). The Cabinet will debate the report which includes the agreed key issues for the Council, the service business plans, and the recommendations to establish a number of ADMs. Cllr Aaron Shotton, Leader of the Council, said: “The key reason we are considering an ADM for these services is to assess, in light of the budget challenges the service faces, if this is the best way forward to both sustain the service and to protect jobs. Any ADM established will not be seen as separate from the Council but will work co-operatively with the Council to deliver key services and outcomes. “We have identified significant savings of £3million within these services over a three year period. We believe it is our duty as a council to find more effective and efficient ways of providing services – many other councils have successfully implemented such delivery models and we need to look very closely at this opportunity.” The recommendations are as follows: To agree that Facility Management Services establish a Local Authority Trading Company (LATC) with a TECKAL* exemption (also known as an “in-house” exemption) to trade and a target start date of the new organisation is 1 April 2017. To agree that Day Care Service delivery and Work Opportunities Service delivery be commissioned from a social organisation which is able to clearly demonstrate how they will work with the Council to maximise the delivery of social value and community benefits. The target start date for this is also 1 April 2017. To agree that Leisure and Libraries establish an Employee Led Mutual, following a staff vote showing support for the proposal. In order for this to go ahead, there would need to be a clear plan showing how leisure, libraries and connects services can be successfully integrated and developed. Initial consultation has taken place with staff involved and the unions and this will continue throughout the process. Notes to editors: * The Teckal exemption (also known as the “in-house” exemption) developed through EU case law to provide that contracting authorities may award a contract to an economic entity (i.e. the supplier), without recourse to a regulated procurement procedure, when: the contracting authority exercises control over that economic entity that is similar to that which it exercises over its own departments (known as the “control test”); and the economic entity carries out the essential part of its activities with the contracting authority (known as the “function test”).