Decision details

To consider tender responses for housing related support for young, single, homeless people as well as provision of capital funding to ensure accommodation availability.

To award a contract to tenderer A as in the exempt part of the Director of Adult Social Care, Health & Housing’s report for four years plus the option to extend for one year.

To enter into a funding agreement to provide up to £ 450,000 to part fund refurbishment works to Holly House.

A tender process has taken place to select the provider of housing related support for young single homeless people including support for care leavers. The value of the contract requires executive to consider award.

Holly House is a Council owned ex-sheltered housing scheme that is leased long term to a registered provider to provide accommodation for young single homeless people. The continued use of the property is dependent upon essential investment to provide at least 15 years life for windows, and heating and some design improvements to ensure its continued availability.  The registered provider is seeking 50% of the cost of those works from the Council. There is a clear business case for the Council providing the capital funding compared to the revenue savings that can be achieved in relation to the current cost of providing accommodation for care leavers.

The Council could decide not to provide housing related support for young single homeless people. However, the Council could then face the cost of providing temporary accommodation for young single homeless people as well as processing homeless applications for the number of young people who could be accommodated by these proposals. Not only would the revenue costs of that course of action exceed the annual revenue cost of the housing related support contracts it would lead to adverse impact on the lives of young single homeless people in the borough and for that reason it is not recommended.

The lack of capital funding from the Council could lead to the registered provider  who leases Holly House could decide to close parts of the building where repair costs are prohibitively high or where the running costs in terms of heating are prohibitive for the young people who are the tenants. Moreover, that would threaten the availability of accommodation for care leavers who are currently accommodated in more costly provision which in turn would threaten the ability to provide better and more cost effective accommodation solutions. Therefore, it is not recommended to withhold capital funding.

None.

Not applicable.

None.