Supply Chain Fees Policy Community Learning
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- Junior Blankenship
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1 Supply Chain Fees Policy Community Learning Why we have this procedure New Directions is committed to growing and diversifying the range of courses it delivers to widen participation, deliver to niche markets, and engage in new and emerging markets and meet Reading Borough Councils local and development priorities e.g. links to the Tackling of Poverty Report for Reading. In order to achieve this, New Directions is committed to sub-contracting some provision to voluntary and community sector organisations working with disadvantaged groups. This will contribute to the delivery of its Neighbourhood Learning in Deprived Communities (NLDC) activity. The purpose of this policy is to provide a consistent and transparent approach to New Directions supply-chain fees and charges in relation to its subcontracted provision. Who this procedure is for Organisations subcontracted by New Directions. How implementation is monitored Our funders, the skills funding agency specify that we must publish a sub-contractor fees and charges policy and will carry out checks that we are compliant. Each year the service sets a service plan which includes its strategy for community learning including volumes of sub-contracted work. Supply Chain Fees Policy doc Page 1 of 7
2 New Directions carries out an annual commissioning process (advertised on the south east portal) to engage with its subcontractors. Decisions are approved by the services governance committee Community Learning and Skills Advisory Board decision books are published and open to challenge via a 10 day standstill period. Supply chain fees will feature as part of the bid specification. New Directions main purpose for subcontracting is to reach those who are most vulnerable. Subcontracting will diversify and extend its overall offer and reach: To respond quickly to learner and employer needs, meeting our customers needs To deliver new areas of provision To engage with organisations working with learners with identified needs to progress them towards employment To build capacity To maintain delivery of provision whilst supporting local communities New Directions will only sub-contract where provision is mutually beneficial, is based on partnership working to deliver targeted provision to learners through organisations who can demonstrate high quality delivery. New Directions will issue any subcontracting opportunities by: By sending out the bid specification to all members of the Reading Community Learning Network Publish opportunities on the website By publishing the opportunity onto the South East procurement portal Other policies, procedures or documents with which this procedure connects Supply Chain Fees Policy doc Page 2 of 7
3 Where to find this procedure On our website: Review and update arrangements This procedure is reviewed annually by New Directions Senior Management Team (SMT) and approved by the Community Learning and Skills Advisory Board (CLSAB): Date of procedure: July 2014 Last Reviewed: July 2015 Review date: July 2016 Supply Chain Fees Policy doc Page 3 of 7
4 Policy and procedure The maximum value of sub-contracted delivery for the academic year is 45,300. In order to ensure on-going value for money the funding per learner for delivery is capped at 50 this is based upon an average per learner cost per hour of The cost for Destination tracking is fixed at This provides funding for at least 1 hour based upon living wage or the recognised published value of volunteers. The total value of Community Learning funding awarded to New Directions is published by the Skills Funding Agency here: In summary New Directions Community Learning funding allocation is used as follows: Purpose Community Learning Premises 25% Direct Delivery Staffing & Resources Costs % of Total CL Grant funding 61% Sub-contracted Management & Delivery 14% Sub-contracted management costs total 7% of CL funding: Administration Quality assurance and monitoring Supply Chain Fees Policy doc Page 4 of 7
5 Observations of Teaching, Learning and Assessment (OTLA) MIS (Management Information Systems) functions relating to the submission of funding claims to the SFA Provision of a dedicated Non-Direct Delivery and Partnership Coordinator Regular sub-contractor meetings Due diligence support, guidance and checking Training, development and mentoring opportunities Access to Initial Teacher Training and Volunteering qualifications Two community-based learning centres (use of is free of charge for sub-contractors) Payment All subcontractors will receive 50% of their earnings as soon as they confirm delivery has started and have supplied the specified evidence. At the end of the academic year the second 50% is actioned for payment. The payment can only be actioned if: Enrolment numbers of unique learners against targets are confirmed by New Directions MIS team All conditions as specified in the tender and subsequent due-diligence activity are met such as submission of RARPA documentation If it becomes apparent that a subcontractor may not be able to reach their target as part of the on-going monitoring of learner recruitment, other existing subcontractors are given the opportunity to exceed their target and receive additional payment for delivery. The payment will be made as a grant and hence zero VAT rated, therefore sub-contractors should not add VAT to their staff or services. Reading Borough Council will pay 30 days from invoice date. Supply Chain Fees Policy doc Page 5 of 7
6 Payments Summary A total of 41,698 was awarded as Neighbourhood Learning Deprived Community Grants. Organisation Learner No. Funding Awarded Destination Incentive Funding Awarded Total Funding Paid Together UK 30 1, , Readipop 100 5,000 1,240 6,050 Berkshire Autistic Society 70 3, ,700 Reading Community Learning Centre ,000 2,480 10,373,20 Thrive 50 2, * GRAFT 70 3, ,970 WEA 250 9,250 N/A 9,250 * No delivery took place Supply Chain Fees Policy doc Page 6 of 7
7 Equality Analysis Directorate: DENS Service/Location: New Directions Task: Equality Risk Assessment Hazard Before Controls Risk Rating Existing Controls After controls Risk Rating Action Required By Whom and When Activity/Equipment/ Process Supply chain fees inconsistently applied Possible Negative Impact Detrimental to frontline services To Whom L hood Severity Learners and subcontrac tors Commissioning process Approval process CLSAB L hood Severity Review what other similar providers supply chain fee policies are to benchmark Non-direct delivery and partnership coordinator. Annually. Supply Chain Fees Policy doc Page 7 of 7
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