11.1
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The report of
the Executive Director – People Services sought approval for the recommended increases in fee rates for Council
contracted and framework independent sector care homes, home care,
extra care, supported living and day activity providers in
Sheffield for the financial year 2021-22.
The report also sought approval for the recommended increase in
Direct Payments for people who choose this means of arranging their
own care and support. The report set out the process that the
Council has followed and the analysis that informed the recommended
fee rates to ensure a sustainable, quality and diverse social care
market.
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11.2
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RESOLVED: That Cabinet:-
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- Approves the investment of an additional
£4.2m for care providers delivering care on behalf of the
Council to deliver enhanced pay terms for front line workers in
2021/22.This investment has been allocated equitably as a 5.66%
increase to the staffing element of the fee rates (above the
minimum wage increase of 2.18%) for each of the sectors as set out
in the following recommendations:
- Approves an increase to the fee rate for day
activities and standard rate care homes of 4.89% including the
additional investment in staffing as set out at recommendation 1
above;
- Approves an increase to the fee rates for home
care, extra care (care element only), and supported living on the
Council’s standard contracted and framework rate and to
direct payment providers of 4.99%
including the additional investment in staffing as set out at
recommendation 1 above;
- Approves an increase for non-standard residential
care rates that are individually negotiated and for council
arranged respite care of 1.9% subject to contractual
compliance;
- Approves an increase to the personal assistant
rates used by people in receipt of a direct payment of 5.66% based
on the additional investment in staffing as set out at
recommendation 1 above;
- Delegates authority to the Executive Director of
People in consultation with the Director of Adult Health and Social
Care and the Director of Strategy and Commissioning and the Cabinet
Member for Children, Young People and Families and Cabinet member
for Health and Social Care to agree any appropriate and
proportionate fee increases requested by care homes outside
Sheffield because cost pressures will vary from place to place;
and
- Delegates authority to the Executive Director of
People in consultation with the Director of Adult Health and Social
Care and the Cabinet Member for Children, Young People and Families
and Cabinet Member for Health and Social Care to take all other
necessary steps not covered by existing delegations to achieve the
outcomes outlined in this report.
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11.3
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Reasons for Decision
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11.3.1
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In order to develop and maintain a stable adult social care
market in Sheffield the Council need to ensure that the fees paid
by the Council to providers for adult social care in the city of
Sheffield are increased in line with the cost of delivering care in
the city including inflationary pressures in
2021/22.
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11.3.2
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The impact of
the pandemic on the adult social care sector is ongoing and the
Council will continue to monitor the costs and pressures facing
each type of care provision to support a sustainable, quality and
diverse market during a very challenging and volatile time for
providers, for people who use services and for the Council and
wider health and social care system as
commissioners.
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11.4
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Alternatives Considered and Rejected
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11.4.1
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The Council
originally consulted in December 2020 on a proposed fee increase
based on a lower increase in fee uplift. Following the feedback
from providers and further market analysis, the Council has
reflected on the feedback and the risk to the market of the
initially proposed uplift and is recommending a higher increase to
care home non-staffing costs and the investment of an additional
£4.2m into salaries of front line staffing.
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11.4.2
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The Council has
considered whether to adjust the care home fee to reflect lower
occupancy levels. This option has been discounted however on the
basis that some market contraction is required and a more targeted
intervention will ensure this is safely managed and protects the
balance and continuity of care for those who need it in the city.
Adjusting care home fees to reflect average occupancy levels would
have very different implications for homes depending on their
occupancy with some gaining and others still struggling to achieve
viability. A targeted approach enables the Council to intervene to
ensure that the inevitable risks associated with the contraction
needed to achieve a balanced and sustainable, diverse and quality
market can be best mitigated during a period of unprecedented
market volatility.
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11.5
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Any
Interest Declared or Dispensation Granted
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None
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11.6
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Reason for Exemption if Public/Press Excluded During
Consideration
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None
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11.7
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Respective Director Responsible for
Implementation
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Executive Director of People Services
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11.8
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Relevant Scrutiny and Policy Development Committee If Decision
Called In
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Healthier Communities and Adult Social Care Scrutiny and Policy
Development Committee
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