Andy Perkin Development Officer Locality Community Right to Challenge

Locality is the leading nationwide network of settlements, development trusts, social action centres and community enterprises. Locality

Locality was formed through the merger of bassac and the Development Trusts Association, two leading networks of community owned and led organisations.

Locality members Community led Driving social change Committed to community enterprise Developing assets Independent 700 members in the UK Combined income of £297m of which £177m is earned income £643m community assets 5,000 staff & 23,000 volunteers

Locality Members grant funding assetsenterprise

Enterprise sales / manufacturing Butchers shop – Mull and Iona Development Trust Craft sales web site – Moseley Community Development Trust Garden furniture - Colebridge Trust

Enterprise services Distribution - Colebridge Trust Training - WATCH Gardening - Old Hall People’s Partnership

New Community Rights BUILD BID CHALLENGE

Community Right to Challenge challenge and take over a council service they think can be better run

Background Part of the Localism Act Changing the way public services are delivered –more choice, decentralised, fair & accountable Social Value Act - duty to consider social, economic and environmental wellbeing when commissioning Best Value – duty to consult when commissioning – actively engaging with community groups and users CHALLENGE

Who can use the Right to Challenge? voluntary and community bodies charities parish and town councils 2 or more employees of the Local Authority involved in that service - these are called ‘relevant bodies’ CHALLENGE

Which authorities can be challenged? local authorities –County councils –District councils –London borough councils certain fire and rescue authorities - possibly others in the future - these are called ‘relevant authorities’ CHALLENGE

How is the challenge made? The relevant body submits an expression of interest (EOI) to the relevant authority CHALLENGE

Which services does Challenge apply to? All services provided by, or on behalf of, a relevant authority are defined as ‘relevant services’ - unless they are expressly excluded! CHALLENGE

The Challenge process 1.Local authority specifies how and when EOIs can be submitted – otherwise submitted at anytime 2.Relevant body submits EOI. - Must make a sound business case and show how they could deliver or contribute to delivery of a service, better 3.Local authority accepts, rejects, or passes back for amendment - c an only pass back if they would otherwise reject 4.If accepted, pause before procurement starts CHALLENGE

The Challenge process CHALLENGE March – April 2013 Service delivery starts Procurement procedure starts EOI window Accepted within 5 months September 2013 March 2014 September 2014 typical example… 18 months?

Why can a Challenge be rejected? Service reasons –services for vulnerable people with highly complex needs –services jointly commissioned with the NHS –plans would lead to breach of statutory duty or law Transformation reasons - Decision already made to –cease providing the service –contract out the service –negotiate a spin-out with staff –must be a formal, documented decision CHALLENGE

Why can a Challenge be rejected? Subjective reasons –EOI is “frivolous or vexatious” –Relevant body lacks the capacity (inc consortia member) –Detail of plans are “inadequate or inaccurate” CHALLENGE

Issues What is the market? - Local Authority budgets cut Smaller contracts – uneconomical? Opening the door for others – private sector? Potential for creating conflict with LA Contradictory policy (Localism vs Gershon) Inappropriate windows for EOI Requirement to provide information Changing the shape of contracts after EOI CHALLENGE

Opportunities Encourages ‘local thinking’ Co-design of services Breaking down contract size A catalyst for voluntary & community sector collaboration CHALLENGE

Funding for CRtChallenge available from Social Investment Business (Community Right to Challenge programme) Pre-feasibility grants of £5k to £10k Feasibility grants of £10k to £100k can apply for 50% or 30% of contract costs (depends if under or over £30k) intended for consortia building, training, expertise, business planning, market research… not intended for equipment, building costs or running costs CHALLENGE

Community Right to Challenge any questions? CHALLENGE

Where to now? HELP

mycommunityrights.org.uk Where to now?

The Contract Readiness Wheel

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