Agenda item

(Report of the Children and Young People’s Service – To be introduced by the Cabinet Member for the Children and Young People’s Service): To inform and advise the Cabinet on the progress of Phases 1 and 2 of the Children’s Centres in the light of current capital and revenue spend; the planning of a robust business and financial strategy in readiness for the for the funding allocation for 2008/9; and the implementation of the Council’s role as a strategic market facilitator for childcare.

Children’s Centres – Sustaining and Developing the Provision (Report of the Director of the Children and Young People’s Service – Agenda Item 16)

With the consent of our Chair comments submitted by UNISON in support of the withdrawal of recommendation 3 were tabled.

Clarification was sought of the assertion made by UNISON that a decision to consider outsourcing or privatising the five remaining Children’s Centres which were directly managed by the Local Authority was based on a misinterpretation of the Childcare Act, 2006 on which the report suggesting the decision was based.   It was confirmed that the content of the report and its recommendations complied with the relevant sections in Part 1 of the Childcare Act 2006 regarding the powers and duties of local authorities in relation to the assessment and provision of early year’s child care services. Under the provisions of the 2006 Childcare Act local authorities were not seen as prime providers of childcare places and the Act placed a duty on Councils to facilitate the provider market through schools and the Private, Voluntary and Independent (PVI) sector.  In recent guidance, the DfES had placed increasing emphasis on the role of Councils as market makers and stressed that direct provision of childcare places should be seen as a last resort.

We noted that some soft market testing had been undertaken and the DfES and others had been working to improve capacity in the market generally.  Strong providers were available and it was therefore proposed that other providers from the PVI sector be invited through a formal procurement process to run these Centres.  The funding of the Centres would be subject to the proposals set out in the report and once led by the PVI sector would be subject to monitoring and evaluation of the quality of provision.

Concern was then expressed about the need for a detailed evaluation of the quality of the provision available before the Council moved to a procurement process. Disquiet was also voiced about the potentially serious funding problem arising from the absence of information from the DfES regarding 2008/9 General Sure Start Grant funding and about the danger of damaging models of good practice such as that found at the Stonecroft Children’s Centre.  

We were informed that the procurement process proposed would involve, among other things, the selection of a short list of three or four bidders and an evaluation of their bids to ensure the quality of those bids. The intention was to ensure  organisations capable of running the centres were selected who would provide services to ensure that a wide range of needs were met adding to the existing models of good practice such as that at the Stonecroft Centre. We were also advised that a letter was awaited from Beverly Hughes, Secretary of State for Children, Young People and Families about the availability of funding for Children’s Centre in 2008/09 and a response would be made as necessary.

RESOLVED:

1.      That having considered the risk from the possible reductions in DfES General Sure Start Grant (GSSG) in 2008/9 approval be granted to the continuation of the Phase 2 capital programme of Children’s Centres.

2.      That, having regard to the impact of any loss of GSSG funding, the revenue funding position and the plans for a robust business and financial strategy for 2008/9 onwards be noted and an update report be submitted as soon as the funding position became known.

3.      That approval be granted to the commencement of the procurement process to invite providers to operate the 5 Children’s Centres managed by the Children and Young People’s Service in line with the expectation in the Childcare Act 2006 that the Council be a strategic ‘market maker’ of childcare and not provider.

(Councillor Diakides voted against resolution 3 above).