To agree the revised project costs and expenditure of capital money up to the value of £968k to extend Waverley House by an additional 11 complex nursing beds. To amend the implementation arrangements with the council now leading on the contract and project management. The additional expenditure remains an investment   saving the council money on an annual basis, and will create additional beds for a cohort of individuals the council struggles to find placements for.

That:

To authorise the revised cost of up to £968k for the extension of nursing bed provision at Waverley House; having regard to the revised business case at appendix 1 and to agree the council will procure and manage the works. 

1.    To continue with the approved budget and current model at Waverley House. This is not recommended as the funding will not cover the cost to deliver the project. The council is experiencing difficulties in sourcing nursing bedded provision in Herefordshire to meet the eligible needs of vulnerable adults and is currently spot purchasing additional nursing beds at Waverley House at a cost above the council’s usual rate. The additional capacity will provide further block purchased beds that can be easily accessed at a substantially lower rate than current placements.

2.    To utilise the space and provision within the current contract for residential or short term services. This is not recommended as the pressure for capacity in the market is for complex nursing beds.

3.    To continue with Shaw leading on the project management. This is not recommended as it’s a council owned building and the project is being driven by the council. Whilst the council will need to work with Shaw, the development and risks of the project should be managed by the council.