Purpose

Brief Description

A new 65-apartment extra care scheme is currently being developed and built via Housing Leeds on the former Middlecross Day Centre site in Armley. This is part of the extra care component of the Council House Growth Programme. The scheme represents the third Housing Leeds’ extra care offer in the city and is scheduled to open in February 2027. A suitable care delivery partner is to be established via a procurement to deliver the onsite 24/7 care presence and offer planned care and support to those tenants wishing to receive their care and support from this source. A competitive procurement exercise is to be carried out to set in place a three-year agreement with the option to extend for up to a further 24 months in any combination. This will commence in early 2026 with the aim of awarding a contract by late Autumn 2026. This should allow adequate lead-in time to ensure the service is appropriately registered, staffed and that the care provider and their staff are familiar with the extra care scheme.

Impact On Wards

The new scheme is being built in the Armley Ward. Nominations to the site will be possible from across the city. The actual direct impact is the introduction of 65 new extra care apartments.

Financial and procurement implications

The actual value of this agreement is £100 for the five-year period. The full cost of the service to the Council will be met through the purchase of individual care and support packages, paid for as either Direct Payments or managed budgets on behalf of individuals. Potential cost through Leeds City Council will be approximately £569,654 per annum. This is based on the formulated estimate of 457.5 hours per week of planned care and support. This is expenditure that would have taken place either as community-based home care or as residential placements and is estimated overall to provide efficiency savings.

Partnership working

Officers from the Adults and Health Directorate’s Integrated Commissioning Team will be working closely with colleagues from Housing Leeds in the Communities and Environments Directorate.

Decision

The Director of Adults and Health:

a)  approved the request to procure an extra care support service for the scheme to be opened at the former site of the Middlecross Day Centre, Simpson Grove, Armley in line with CPR 11 (Formal Tender). This will follow the open procedure as set out in section 20 of the Procurement Act (PA) 2023.

b)  noted that the ensuing contract is projected to commence 1st February 2027 for a duration of 3 years until 31st January 2030, with the option to extend for up to 24-months in any combination. If all contractual extensions were taken, the contract would expire on the 31st January 2032.

c)  noted that the resultant contract will be a base sum of up to £100 (if all contractual extension(s) are taken) strictly payable at a rate of £20 per annum. In connection to the contract there will potentially be (if all nomination places are taken per year across the full term of the contract) an additional estimated annual income of approximately £569,771 to a total estimated income of  £2,848,855 over the term of the contract including extensions through charges for planned care and support for which the Council may be liable for up to 100% of the cost. This expenditure would take the form of Council contributions towards individual care costs following a financial assessment and falls under the Council’s statutory duties as defined in the Care Act 2014. 

d)  noted that a price-quality separated approach will be used in the evaluation of bidders.

e)  noted that the commissioning officers on behalf of Adults and Health Integrated Commissioning and colleagues in Procurement and Commercial Services will be responsible for completing all the actions covered within this report including the award of contract to commence from the 1st February 2027.