Agenda item

Councillor Samarai -

(1)  To ask the Chief Executive what the current deficit is for Bon Accord Care?

(2)  To ask the Chief Executive what the projected year end deficit is for Bon Accord Care?

(3)  To ask the Chief Executive why care at Bon Accord Care has moved from A grade at the time of transfer to C grade?

(4)  To ask the Chief Executive if any of the current discussions with Bon Accord Care include changes to staff terms and conditions?

Councillor Dickson -

(5)  To ask the Chief Executive if the status quo remains what is the projected financial deficit for Bon Accord Care in 2015/16?

The Council had before it the following questions, of which due notice had been given in terms of Standing Order 20(2), which had been placed on the agenda in terms of Standing Order 20(3).

Councillor Samarai

(1)       To ask the Chief Executive what the current deficit is for Bon Accord Care?

(2)       To ask the Chief Executive what the projected year end deficit is for Bon Accord Care?

(3)       To ask the Chief Executive why care at Bon Accord Care has moved from A grade at the time of transfer to C grade?

(4)       To ask the Chief Executive if any of the current discussions with Bon Accord Care include changes to staff terms and conditions?

Councillor Dickson

(1)       To ask the Chief Executive if the status quo remains what is the projected financial deficit for Bon Accord Care in 2015/16?

ANSWER (by the Chief Executive) -

The current position with Bon Accord Care is that based on discussions with officers the organisation is expected to break even during the financial year 2014/15 based on the financial uplifts the organisation is entitled to by way of the contractual agreement that is in place with the Council.

The Council, as it does with all of the arm’s length organisations that it operates and funds, continues to work closely with Bon Accord Care to ensure that the services the Council in essence purchases are delivered in an effective and efficient manner.  The final contractual uplift is currently being finalised.

The funding made available to Bon Accord Care by the Council for 2015/16 will be decided as part of the budget process and will formulate part of the discussion with all of the Council’s arm’s length organisations.  A proposal will be placed before the Council at its budget meeting on 5 February 2015 seeking a decision on the services it wishes to purchase and what the cost of these will be.

As the Council has not as yet set its budget for 2015/16 the planned amount has not yet been decided.  Officers are in discussion with all arm’s length organisations with regard to their funding requirements and the results of these discussions will go through the Council’s budget process.

The matters being discussed with the arm’s length organisations are commercially sensitive and the likely amount of Council funding to the organisations cannot be disclosed at this stage but will be shown as part of the 2015/16 budget.  However, the recommendation made by officers to the Council will provide for a final funding position that ensures all its arm’s length organisations will achieve at least a break even position.

With regard to care grades, Bon Accord Care reports that grouped registrations of services presented a significant risk to the company and as a result services are now individually registered.  Not all services have as yet been inspected during the period since Bon Accord Care went live, but new inspectors and inspection methodologies are impacting on previous gradings.

With regard to staff terms and conditions, Bon Accord Care reports that there are no planned changes.

The Council resolved:-

(i)         to note the information meantime; and

(ii)        to resume consideration of the matter with the press and public excluded in terms of Section 50(A)(4) of the Local Government (Scotland) Act 1973, so as to avoid disclosure of exempt information of the class described in paragraph 6 of Schedule 7(A) of the Act.