Agenda item

10.1

The Executive Director, Communities submitted a report seeking approval to implement a Deferred Payment Scheme in Sheffield to meet the requirements of the Care Act, which provides for interest and administration costs to be charged and treated in the same way as the deferred amount, to replace the existing loan schemes on offer. The report also sought delegated authority for the Executive Director, Communities to make operational decisions to allow the scheme to run.

10.2

RESOLVED: That Cabinet:-

(a)

notes the contents of the report;

(b)

approves the implementation of a Deferred Payment Scheme in Sheffield, which provides for interest and administration costs to be charged and treated in the same way as the deferred amount, to replace the existing loan schemes on offer;

(c)

delegates authority to the Executive Director, Communities to make operational decisions in order to put the scheme in place; and

(d)

delegates authority to the Interim Director of Care and Support in her capacity as the Council’s Statutory Director of Social Services to instruct Legal Services to complete the necessary documentation and register charges at the Land Registry.

10.3

Reasons for Decision

10.3.1

Meets the requirements of the Care Act 2014.

10.3.2

1^st April 2015 timescales can be achieved by giving the Executive Director, Communities the delegated authority to implement the policy and systems required to run the scheme.

10.3.3

The Department of Health are issuing national information sheets and contract templates to promote national consistency in the running of the scheme. The Social Care Accounts Service has the subject matter expertise to tailor these documents to meet local requirements and to ensure that any financial or legal concerns are addressed.

10.4

Alternatives Considered and Rejected

10.4.1

The Council could continue to run its existing schemes. This would leave the Council open for legal challenge for failing to meet the requirements set out in the Care Act and failing to offer people a Deferred Payment Agreement they are entitled to under statute.

Where new Personal Capital and Recovery Loans are set up changes to legislation would leave the Council exposed to non-payers, increasing the risk of uncollectable debt.

10.4.2

The Council could contract a third party to run the scheme on the Council’s behalf. The setting up and running of the scheme is very closely to linked to the in-house services which co-ordinate individual financial assessments, payments to care homes, bad debts to care homes and assessments of clients care and support needs. It is believed that a successful Deferred Payment Scheme must be integrated with these and the systems they use. It would not therefore be advisable for this to be outsourced to a third party organisation. The timescales involved for tendering this activity does not make it viable for this to be in place by 1^st April 2015 when the Care Act becomes law.

10.5

Any Interest Declared or Dispensation Granted

None

10.6

Reason for Exemption if Public/Press Excluded During Consideration

None

10.7

Respective Director Responsible for Implementation

Laraine Manley, Executive Director, Communities

10.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Healthier Communities and Adult Social Care

11.1

The Executive Director, Communities submitted a report seeking approval to implement a Deferred Payment Scheme in Sheffield to meet the requirements of the Care Act, which provides for interest and administration costs to be charged and treated in the same way as the deferred amount, to replace the existing loan schemes on offer. The report also sought delegated authority for the Executive Director, Communities to make operational decisions to allow the scheme to run.

11.2

RESOLVED: That Cabinet:-

(a)

notes the contents of the report;

(b)

approves the implementation of a Deferred Payment Scheme in Sheffield, which provides for interest and administration costs to be charged and treated in the same way as the deferred amount, to replace the existing loan schemes on offer;

(c)

delegates authority to the Executive Director, Communities to make operational decisions in order to put the scheme in place; and

(d)

delegates authority to the Interim Director of Care and Support in her capacity as the Council’s Statutory Director of Social Services to instruct Legal Services to complete the necessary documentation and register charges at the Land Registry.

11.3

Reasons for Decision

11.3.1

Meets the requirements of the Care Act 2014.

11.3.2

1^st April 2015 timescales can be achieved by giving the Executive Director, Communities the delegated authority to implement the policy and systems required to run the scheme.

11.3.3

The Department of Health are issuing national information sheets and contract templates to promote national consistency in the running of the scheme. The Social Care Accounts Service has the subject matter expertise to tailor these documents to meet local requirements and to ensure that any financial or legal concerns are addressed.

11.4

Alternatives Considered and Rejected

11.4.1

The Council could continue to run its existing schemes. This would leave the Council open for legal challenge for failing to meet the requirements set out in the Care Act and failing to offer people a Deferred Payment Agreement they are entitled to under statute.

Where new Personal Capital and Recovery Loans are set up, changes to legislation would leave the Council exposed to non-payers, increasing the risk of uncollectable debt.

11.4.2

The Council could contract a third party to run the scheme on the Council’s behalf. The setting up and running of the scheme is very closely to linked to the in-house services which co-ordinate individual financial assessments, payments to care homes, bad debts to care homes and assessments of clients care and support needs. It is believed that a successful Deferred Payment Scheme must be integrated with these and the systems they use. It would not therefore be advisable for this to be outsourced to a third party organisation. The timescales involved for tendering this activity does not make it viable for this to be in place by 1^st April 2015 when the Care Act becomes law.