SB Cares, the much troubled arms length company (ALEO) set up by Scottish Borders Council to deliver adult care services only four years ago will be wound up in December with its functions taken back in-house if councillors rubber-stamp recommendations at a meeting next week.
A fair sprinkling of those elected members will have previously voted on three separate occasions in 2014 and 2015 to set up the ALEO with 850 staff who transferred from SBC to join SB Cares which required £1.8 million in set-up and marketing costs.
The bombshell report to next Thursday's full council meeting from the chief executive's department falls short of admitting the ALEO set up has been a dismal failure. But questions should be asked as to why it was set up in the first place with all of the accompanying upheaval for staff and clients.
Heavy emphasis is placed on the contents of a recent report on the function and performance of Scottish ALEOs by Audit Scotland, the spending watchdog.
The SBC report says: "Audit Scotland noted that the operating context under which ALEOs deliver services does change, and that the original rationale for their establishment may weaken over time.
"Audit Scotland also concluded that the establishment of an arms-length ALEO is a major strategic consideration for any Council. Elected Members should therefore have a clear understanding of how their ALEOs are performing and how they fit with the Council’s culture, its overall strategic priorities and those of the local community.
"These priorities can change over the years in response to changing demographic, financial, market and political considerations. It is essential therefore that Councils regularly review their ALEOs to ensure they deliver the benefits expected and that their continued operation delivers demonstrable best value. Where this is not the case alternatives should be considered."
A detailed case is made for taking the vital adult care services back under direct council control.
According to the top officials who recommended setting up the ALEO only four years ago:"This report assesses the current operational performance, the management structures, and the effectiveness of the governance mechanisms in place to monitor SB Cares.
"The report evaluates the additional costs and financial benefits directly attributed to the current service delivery model, with SB Cares operating as a separately managed LLP. It also identifies and evaluates the mechanisms in place to review how SB Cares is performing, to oversee the quality and safety of its services, and how the current arrangements fit with the Council’s culture and priorities and those of its partners and communities."
It concludes: "After careful consideration it is the view of the Council management team that the benefits of the ALEO structure for SB Cares no longer outweigh the challenges and risks now facing the business. These risks, which are likely to increase in future, make it appropriate for the Council to now reintegrate SB Cares LLP and SB Supports LLP into the Council."
It is recommended that It is recommended that Elected Members agree to voluntarily terminate SB Cares LLP and SB Supports LLP on 1 December 2019 and reintegrate all of the services presently directly delivered by the ALEO into the Council from that date; authorise the Chief Executive to take all necessary steps to reintegrate SB Cares within the Council management structure; including the necessary changes to personnel, financial, pensions, procurement, IT, property and legal agreements.
In a section dealing with quality of services the report explains: "Recently concerns have emerged with regards to the safety of (sic) individual some services, and the challenges of meeting the requirements of the Care Inspectorate.
"One example was exposed in 2018/19 report on Homecare Service South where the Care Inspectorate were required to repeat a previously un-actioned requirement from a previous inspection. This failure may suggest that SB Cares are increasingly struggling to maintain consistently high standards and improve services across the Borders in all of its care settings while managing the day to day requirements of this complex front line service.
"Recently visits by senior management to care homes operated by SBcares has identified that the quality of the fabric, and furnishings is not being maintained at an acceptable standard in all instances. Consequently, the Chief Executive has instructed a variety of direct interventions, including additional management capacity and instructing immediate action to improve the quality and cleanliness of the environment within care homes."
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