THAT:

(a)        The contractual option is implemented to renew the existing contract for HIPSS/TISS (Herefordshire Intensive Placement Support Service and Therapeutic Intervention Support Service) for 7 months from 1st September 2017 to 31st March 2018 at a maximum cost of £303,500. 

In May 2014 approval was given to award a contract for 3 years with an option to renew for a further year.  Renewing for a period of only 7 months will mean the contract and any future re-commissioning will align with financial years.  This renewal period will provide the necessary time period to allow for an in-depth evaluation of the service and the work on updating the looked after children and complex needs placements commissioning sufficiency strategy (to be referred to within this report as “the sufficiency strategy”) to be undertaken prior to any potential re-procurement.

Do nothing. The contract with Action for Children will end as scheduled on 31st August 2017.  The implication of doing nothing would be reduced clinical support for vulnerable looked after children and the possibility of placement disruption as the support HIPSS carers currently receive would no longer be available under current arrangements. If these placements disrupt the children are at high risk of being placed in residential care at an average weekly cost of £3500.

The service could be re-procured for a new contract or brought in-house from 1 September 2017. This option is not recommended because there is an opportunity to 1) align the service with financial years and 2) inform any recommissioning exercise following an update of the looked after children and complex needs placements commissioning sufficiency strategy, which is due to be completed during 2017.