Preschool Education Changes to Commissioning For 2011/12 School Year

1. Preschool Education Changes to CommissioningFor 2011/12 School Year David Hanley Performance Improvement Officer Commissioning Team

2. Topics • Introduction • Why contracts are changing • What this will mean for Preschool Education 2011/12 • Provider feedback

3. Why contracts are changing • Why change what works? • Legal and Policy drivers • Scottish Procurement Directorate Guidance • Treaty on the Functioning of European Union • Public Contracts (Scotland) Regulations • Approved Provider List review concluded recently • Findings • APL Disbanded • Replace with Contracts Register

4. Why contracts are changing • Legislative and Policy Drivers • Scottish Procurement Directorate • “Guidance on Procurement of Care and Support Services” • Modern Procurement Theory • “Procurement is the process by which public bodies purchase goods, services and works from third parties

5. Why contracts are changing • So why is APL being discontinued and replaced with Contracts Register? • APL ‘s may restrict competition • Lack of advertising • Requires only minimum standards • Need to negotiate T & C’s • Contain unnecessary information • Absence of qualitative information • Need “open and fair” competition under SPD guidance • Therefore open to legal challenge

6. What will replace existing Service Level Agreement ? • Service Level Agreements (SLA’s) originally only designed for identifying responsibilities between public bodies • So they can not sue each other • As part of APL review we are redesigning legal documents • So they reflect actual nature of contractual relationship • Will use standard contract terms used in care contracts • Will have generic and specific sections

7. Preschool Education Contract – General Conditions 2011/12 • Assignation and Sub Contracting • Service Monitoring and Review • Best Value and Quality Assurance • Records and Information • Complaints • Conflict of Interest • Prevention of Corruption and Collusion • Notices • Arbitration and Resolution of Disputes • Variation • Termination (General) • Publicity • Scots Law • Interpretation • Identification of Parties • Definition and Related Matters • Eligibility To Contract • Commencement and Duration • Scope of Agreement • Service Specification and Service Standards • Financial Arrangements • Staffing • Access to Records • Confidentiality & Freedom of Information • Equal Opportunities • Health & Safety • Indemnity & Insurance

8. Preschool Education Contract – Specific Conditions 2011/12 • Scottish Social Services Council (SSSC)registration of staff • CPD - courses that may have been identified by L.A Officers in discussion with Service following either an HMIE or CC Inspection • Care Commission Grades of Good or above • Staff vetted under Protection Vulnerable Group Scheme • Accounts audited and submitted to OSCAR if required • Contract Monitoring explicitly required

9. Preschool Education Contract – Specific Conditions 2011/12 • Aim of Specific conditions • Improving and evidencing quality of service provided • Contract is the basis of relationship between Council and provider • Doesn't work unless mutual understanding exists • Contract makes requirements explicit • Evidenced by contract monitoring

10. Contract Monitoring • Being undertaken for Early Years currently • Based on contractual requirements • Initial Self Evaluation Questionnaire (SEQ) to identify risk • Followed by monitoring visit incorporating • CC/HMIE grades • Complaints & service concerns • Previous action plans • Identify improvement activity for both parties • Opportunity for both parties to discuss issues and make improvement suggestions • Feeds into overall Contract Monitoring Framework • All care providers subject to this process

11. Contract Monitoring • Question • “We already get inspected by Care Commission so why does Council repeat process” • Answer • “Care Commission don't fund your service” • And external bodies will audit Council and ask why we spent it in this way • Different focus exists with Contract Management • Money spent so its in both our interests

12. Contract Monitoring – Why Bother? • As purchaser of services need to ensure we are obtaining Value For Money • Best Value duty of all local authorities • Public Services Improvement Framework (PSIF) • SPD Guidance • To compare provider performance • To raise service quality • To identify issues • Good practice • Less good practice (need improvement activity)

13. Contract Monitoring – Future Trends • Need to • Raise quality • Need to compare service providers • Need to implement SPD Contract Monitoring process • Answer • Contract Monitoring and regular discussion • About supporting providers to provide excellent service • Unless major contractual breach • Key Performance Indicators

14. Key Performance Indicators (KPI’s) • Part of SPD Contract Management Framework • Contains • Management Level (Provider Risk) • Performance Management Information • Quality • Service • Delivery • Cost • Performance Review Meeting • Looking for your input? • How do you evidence the service quality? • How to identify meaningful indicators?

15. Quality • Care Commission grades • HMIE grades • Management Returns • Inspection • Complaints • Absences • Incidents • Are we notified?

16. Service • Service Concerns/Complaints received • % investigations completed within time period • % staff trained to appropriate level, eg SVQ3 level • % Absences children • % Staff turnover • % Provider questionnaires indicating satisfaction levels with service delivered

17. Delivery & Cost • % Action plan outcomes achieved • % Management Returns submitted on time • Cost reduction/efficiency initiatives identified during review meeting

18. Review Meeting • Based on monitoring process • Informed by KPI’s • Outcome dictates next round of monitoring information • With that in mind we want your opinions on most recent round of monitoring activity • Self Evaluation Questionnaire • Monitoring Visit

19. What's in it for provider? • Clarifies relationship and expectations • Builds understanding • Identify opportunities to continually improve service • Contract is an improvement driver • Platform for advertising quality of service provided • Maintain funding

20. Summary • Covered why APL process and contractual documentation changing • Need for improved quality • Contract means for delivering commissioners objectives • What's going to be in contract • How this is going to be monitored to ensure continuous improvement

21. Questions/Feedback Session