2009-04-20 20:39:11 -

As we have witnessed the inauguration of the first African American president of the USA surely you start to wonder is anything possible if your ambition and courage is only surpassed by your determination to achieve your maximum potential. Would this day have been possible if Barack Obama had simply accepted the boundaries and limitation set upon him by previous regimes or if he had been content with just becoming a Senator.

If an organisation were to take this bold and courageous approach with respect to the negotiation with the Local Authorities and not be brushed aside with their take it leave it attitude. What could that organisation achieve?

Firstly the private paying residents would not have to subsides the

residents that are funded by the Local Authority. Ultimately, this would result in the fees paid by the private paying resident or their family would be reduced. If we assume that an average care home is 80% funded by Local Authority residents. That would mean that an increase of merely £5 per week per resident would enable the care home owner to reduce his fees for private paying residents by £80 per month.

Secondly, the care home owners would be able to pay their staff a higher rate of pay. Which would reduce the staff rotation resulting in a better service being provided to the residents. It would also attract more fresh recruits to the industry and elevate the shortage in qualified staff.

Thirdly, the care home owners would be able to reinvest in their care homes allowing them to provide a better service and even build more purpose built care homes.

It is easy to get distracted by all the good that could be done if the Local Authorities paid a true cost for the care being provided and it is not as if this is the first time this topic has ever been mooted, so why has nothing happened before?

It could be that many care home owners feel that the Local Authorities are far too powerful to be challenged and this David versus Goliath battle can not be won. In order to fight fire with fire the Fairer Fee Forum has been formed. The Fairer Fee Forum will address not only the current fee rates but also the terms of the service contracts. The Fairer Fee Forum will negotiate with all 150 Local Authorities simultaneously to ensure that the service contracts in place are uniform across the industry.
The Fairer Fee Forum is very conscious and aware of the delicate position that the care home owners find themselves in, when negotiating with the Local Authorities. Nobody wants to appear to be biting the hand that feeds them however it appears that in years gone by the Local Authorities have interpreted this respect for this delicate position as a weakness. It is evident that this business relationship between Local Authorities and care home owners is disproportionally biased in favour of the Local Authorities. In order to correct this imbalance and ensure the working relationship between the Local Authorities and the care home owners is not damaged ALL negotiations will be done under the protective banner of the Fairer Fee Forum. To protect and ensure the anonymity of the Fairer Fee Forum members’ they will not named in negotiations.
The members of the Fairer Fee Forum board has been agreed, the board members vary from single home operators, corporate providers and non profit organisations. The Fairer Fee Forum hopes this will ensure that all sectors views points are considered and acknowledged.
The Fairer Fee Forum has instructed Aston Brooke Solicitors to advice on the legal implications of the negotiations.
These issues have to be resolved by addressing the contracts between the providers and the PCTs/Local Authorities. The new contracts must be constructed such that they are not one sided and to ensure a provision is made for the calculation of fee increases in future.
Ray Purewal of Aston Brooke Solicitors said:
“ The aspect of fees and negotiations between the Local Authorities and the care home owners is by no means a new issue. In order for us to be able to achieve the desired outcome we need all care home owners to stand up and support the Fairer Fee Forum. The statistical information required for us to succeed can only be provided by the care home owners.
Furthermore, these issues have to be addressed in the contracts between the providers and the PCTs/Local Authorities. The new contracts must be constructed such that they are not one sided and to ensure a provision is made for the calculation of fee increases in future. ”
If you have any concerns about your current rates paid by your local authority please contact Aston Brooke Solicitors, 2 Gayton Road, Harrow. Middlesex Tel: 0208 901 7901 Email: info@astonbrooke.co.uk OR alternative join the debut on www.fairerfeeforum.org .