PAPER D1

Committee :    RESOURCES SELECT COMMITTEE

Date :              21 AUGUST 2002

Title :              I.W. CITIZENS’ ADVICE BUREAU - SERVICE LEVEL AGREEMENT 2003/2006

REPORT OF THE HEAD OF PAID SERVICE

1.        SUMMARY

1.1      The Council funds the I.W. Citizens’ Advice Bureau (CAB) by means of a three year Service Level Agreement (SLA). The current Agreement expires on 31^st March next and this report presents a new draft SLA for the period 2003/2006 for members’ consideration, a copy of which is attached at Appendix A.

2.        BACKGROUND

2.1      Citizens’ Advice Bureaux provide free, confidential and independent generalist information, advice and services to the public, operating to national standards. The I.W. branch provides services covering the following subject areas, including among others:

Benefits                      Consumer                  Relationships             Legal

Housing                      Tax                             Employment               Utilities

Debt                           

Some of the activities undertaken within these areas include:

Assessing a client’s problems.

Researching information.

Advising on options.

Supporting the client to achieve a satisfactory resolution.

Negotiating with third parties.

Representation in formal settings.

Provision of specialist debt counselling and Welfare Benefits Unit/employment advice and representation services.

Regrettably, funding for this Unit is to cease on 31^st October this year and despite exploring a number of options, the CAB is unable to identify alternative sources and the Unit will close. The CAB’s clients will still have their problems fully assessed by the generalist advisers who, if the difficulty is beyond their capability to resolve, will refer the client to the appropriate specialist agency.

2.2      National standards regulating the quality of service provision are applied and monitored by the National Association of Citizens’ Advice Bureaux (NACAB). To ensure that high standards of professionalism are maintained, a Membership Review is undertaken every 3 years by the a NACAB National Audit Team. The Team evaluates management and financial structures and systems and also undertakes a full audit on the process and quality of advice provided.

Additionally, in the two years between each NACAB Membership Review, the Bureau is audited by staff from the Legal Services Commission.

2.3      In terms of value to the community, the CAB’s activities within their Welfare Benefit & Employment Unit have succeeded in establishing additional entitlement to benefits for Island clients of over £500,000 since April 2000, and over £1.6m since the project commenced in 1996. This not only pulls fresh money into the Island but also applies it to those most vulnerable members of our community. Their two Debt Units have dealt with over £18m of debt for each year of their current SLA, and make a significant impact in protecting individuals and families from the effect of accumulated debt while improving their skills for managing financial issues in the future.

In addition, each year the CAB have been directly involved in saving more than 250 families from potential repossession of their homes.

While it is difficult to be exact in quantifying the benefits in financial terms for the Council that accrue from these activities, it is likely that they exceed by a comfortable margin the cost of the funding being sought by the CAB within the new SLA.

3.        NACAB PARTNERSHIP AGREEMENT

3.1      NACAB Partnerships allow for joint funding in support of the CAB’s services or projects over a period of time, usually three years to match the term of the SLA. In the early years of the partnership the greater part of the funding is undertaken by NACAB via money sourced from government but this tapers off until towards the end of the agreement most of the cost falls to the council. At the end of the arrangement the total annual amount funded is then to be provided on an ongoing basis by the council. For example:

Essentially, this means that NACAB offer matched funding of 50% averaged over three years. The Council has entered into such an arrangement twice before and is currently in the final year of the current agreement.

3.2      The I.W.CAB’s Development Plan, attached at Appendix B, sets out their requirements for additional funding for the new SLA, which amount to £18,600 per annum. NACAB have agreed to offer the Council a partnership agreement to cover this cost on the basis described above.

4.        OPTIONS

4.1      There are two funding options for members to consider. The first allows for the continuation of the current level of funding, plus an adjustment for inflation and the assumption of the final amount of the existing NACAB agreement to which the Council has already committed:

* plus adjustment for inflation

4.2      The second option includes the NACAB Partnership Agreement for additional funding of £18,600:

* plus adjustment for inflation

5.        FINANCIAL IMPLICATIONS

5.1      There is budget provision earmarked for Option 1. However, the additional sum requested in Option 2 will require a further provision to be secured of £4,650 in 2003/04, with obligations to identify a further £9,300 in 2004/05, £13,950 in 2005/06 and £18,600 for each year thereafter.

Contact Point : Peter Greenwood, ☎ 3697

ALAN KAYE

Head of Paid Service