A report seeking authority to award and enter into new contract arrangements for The Nova Project and 57 Caversham Road (the Pods) from 1 April 2024 to relieve and prevent rough sleeping in Reading.

The Committee received a report which sought authority to award and enter into new contract arrangements for The Nova Project and 57 Caversham Road (the Pods) from 1 April 2024 to relieve and prevent rough sleeping in Reading. The contracts would be funded utilising Rough Sleeping Accommodation Programme (RSAP) grant funding from the Department for Levelling Up, Communities and Housing (DLUHC).

The report explained that, under DLUHC’s RSAP Round 1 Reading had been awarded three years revenue funding to the value of £2.3m to deliver 50 units of “Move-on Homes” between 2021 and 2024. These units provided an off the streets offer to those rough sleeping, or those who were at risk of rough sleeping having previously and repeatedly been verified. The units had a specific focus on supporting people with mental ill-health issues, substance misuse and preventing re-offending and returns to the streets. Support to ten “Move-on Homes” had been delivered under contract with St Mungo’s since 21 December 2020 for females with complex needs requiring a 24/7 supportive environment at The Nova Project. A further 40 units of “Move-on Homes” at 57 Caversham Road had been completed in November 2021, with all clients having moved into their self-contained studio ‘pod’ with 24/7 on-site staffing presence by January 2022.

The report explained that a waiver to the Council's Contract Procedure Rules (CPR) had been signed off by the Assistant Director of Procurement and Contracts and Executive Director of DEGNS on 23 November 2020 to award a contract for 12 months to St Mungo’s from 5 July 2021 until 4 July 2022 under Covid exceptions. Since officers had insufficient time to undertake a procurement without risk to service delivery, a further waiver had been agreed to award contracts to St Mungo’s from 5 July 2022 until 31 March 2023.  A further open procurement exercise for the Nova Project and 57 Caversham Road had been undertaken in November 2022 following the award of further RSAP grant funding for 12 months. St. Mungo’s secured the tender and the contract started on 1 April 2023 and would be coming to an end on 31 March 2024.

The report explained that the current grant conditions did not allow for spend or contract extension beyond March 2025, although there might be opportunity for RBC to bid for further funding from DLUHC for this purpose, but that could not be confirmed at this stage. Clients could be accommodated for up to three years before moving on and multi-agency work to progress move-on from these units was ongoing. It was therefore proposed that, RBC undertake an open tender exercise and award a 12-month contract from 1 April 2024. Options were being explored including a contract extension if further grant funding was secured beyond March 2025.

Resolved –

(1)      That the DLUHC award of funding in the sum of £760,919 from the Rough Sleeping Accommodation Programme (RSAP) to deliver 50 units of “Move-on Homes” in 2024/25 comprising 10 units at The Nova Project and 40 units at 57 Caversham Road be noted;

(2)      That the Assistant Director of Housing and Communities, in consultation with the Lead Councillor for Housing and Director of Finance, be authorised to enter into a 12-month contract with the successful tenderer in respect of services to deliver “Move-on Homes” from 1 April 2024.