Decision details

Care Home Payment Model Change

Decision status: Recommendations Approved

Purpose:

The proposal is to implement a change project which will allow the Council, and the Care Homes with which it contracts, to make a transition to a new payment and charging model whereby Care Homes are paid their fee gross as opposed to net of the resident’s contribution, and Care Home residents are charged by the City Council as opposed to their Care Home.

Decision:

Sheffield City Council, in collaboration with Council-funded Care Home residents and their families, and Council funded Care Homes, to develop operational readiness for a transition to a new payment and charging model whereby Care Homes are paid their fee gross as opposed to net of the resident’s contribution, and Care Home residents are charged by the City Council as opposed to by their Care Home.

 

Reasons for the decision:

1.    This change will ensure the Council’s processes fall in line with National Statutory Guidance.

 

2.    Switching to an arrangement whereby the Council pays providers gross and charges the resident directly will ensure that charges to vulnerable people are within Local Authority control.

 

3.    The arrangement will provide care homes with greater financial assurance and will also reduce the administrative burden on care homes associated with charging and debt recovery.

 

 

Alternative options considered:

In order to better protect vulnerable people with the cost of care the Council might consider simply strengthening the existing controls and monitoring arrangements with Care Homes. However, it is felt that the recommended proposal will better support individuals and care homes as well as reflecting the Statutory Guidance.

Publication date: 23/10/2019

Date of decision: 22/10/2019

Effective from: 30/10/2019

Accompanying Documents: