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CONTINGENCY PLAN. What is a Contingency Plan?. A contingency plan is a plan or procedure that will take effect if an emergency occurs. The objective of contingency planning is not to identify and develop a plan for every possible contingency. Rather, the objective is to encourage one to
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What is a Contingency Plan? A contingency plan is a plan or procedure that will take effect if an emergency occurs. The objective of contingency planning is not to identify and develop a plan for every possible contingency. Rather, the objective is to encourage one to think about major contingencies and possible responses.
Examples: Physical Damage: • Weather • Fire • Structural Issues/Condemnation of Property Operational: • EID/Fire Marshall/Construction Industries • Labor Issues • Community Financial: • Loss of Funding-State, Local, In-Kind
Possible Scenarios to Consider: • What events or disasters might occur to disrupt and/or cause the greatest disruption of service? • What will happen if expenses become excessive beyond negotiated budget? • What will happen if staffing becomes an issue? • What will happen if excessive numbers of participants move away or pass away during a given year?
Notification Process: Constant review of services and budgets will prevent surprises! Clear communication between staff will keep Directors of programs apprised of any issues that will affect service delivery and funding as well. Clearly communicate any issues as soon as possible to the Area Agency on Aging. Communicate – Communicate
Reporting Process: Once you have assessed a need to renegotiate units due to unforeseen circumstances, the following procedures need to be followed: • Prepare an amended Service Plan • Recalculate Service Cost • Prepare a Narrative with a clear, concise description of events • Include any supporting documentation
Bottom Line: A contingency plan does not allow providers to renegotiate units of service as often as they want to. A contingency plan does notallow providers to shift funding for unmet units of service that fall out of the scope of what is listed as allowable in this contingency plan. A contingency plan doesprotect providers from unforeseen circumstances that will affect units of service not being met and loss of funding.