SUB-CONTRACTING FEES AND CHARGES POLICY 2019/20

Purpose

The purpose of this policy is to outline Springfield Training's policy for Sub-Contracting (fees and charges)

Scope

The policy applies to all supply chain activity supported with funds supplied by the Education & Skills Funding Agency (ESFA)

Context

This is now a mandatory requirement and must be in place prior to entering into any sub-contracting activity for each academic year. The content of this policy has been developed in line with the AELP common Accord, the ESFA Funding rules and the LSIS Supply Chain Management Document

Overarching Principle

Springfield training will use it's supply chains to optomise the impact and effectiveness of service delivery to the end user. Springfield Training will therefore ensure that:

  • Supply chain activity complies with the principles of best practice in the sector and will be guided by "supply Chain Management - a good practice guide for the Post 16 sector".
  • Procurement activities at all times will be transparent, conducting robust due diligence procedures on potential subcontractors to ensure compliance with the Common Accord and to ensure that highest quality of learning is available to learners which demonstrates good value for money.
  • The funding split between Springfield and the cubcontractor will be related to the costs and services provided. This will be clearly documented and agreed by all parties. The rates agreed by both sides will be proportionate to the service being provided to the employer.
  • Disputes that cannot be resolved between the parties in the agreement through normal dispute resolution procedures, will be sent to an independent body for investigation.

Rationale for Subcontracting

Springfield Training will engage with subcontractors in the main to meet the customers need and ensure customers are receiving a consistent service which helps develop the skills of their workforce. Other reasons could include:

  • To meet the needs of the employer while maintaining the quality of the provision
  • To learn new standards and share good practice of delivery methods
  • Providing access to a range of customers not necessarily engaging with
  • To provide niche delivery where developing direct delivery would not be cost effective or inappropriate

Quality Assurance

The agreement with each subcontractor is explicit in the requirements of the quality of provision on offer. Any subcontracted delivery would be subject to the normal quality standards of directly employed Springfield Staff. This includes (but not restricted to): Observation of Teaching, Learning and Assessment; Learner Surveys; Employer Surveys as well as performance management of delivery staff in line with Springfield KPI's. These requirements are clearly set out in the contract agreed by both parties.

Publication of Information

In line with EFSA funding rules and other agency rules that apply, Springfield Training will publish its fees and charges policy as well as the actual charges for the previous year at the start of every academic year. Springfield Training will ensure that all sub-contractors receive a copy of the subcontracting policy and details of charges as part of the due diligence process.

Springfield Training will ensure that the actual fees retained through subcontracting are a true reflection of the work undertaken for the subcontract and is clearly identified what the charges are retained for.

Fees and Charges

The fees and charges agreed through subcontracting will be different with each subcontract depending on the employer's needs and the amount of delivery being undertaken. These fees charged will differ depending on the framework or standard being delivered. But as a minimum, each subcontractor will receive:

A named point of contact at Springfield Training

Access to CPD opportunities through Springfield Training

Data Validation

Quality Assurance Checks including OTLA's (where applicable).

Springfield Training will quality assure all provision as if it is directly delivered, to ensure the employer is receiving the training agreed.

Each Subcontract and the fees charged will be different depending on the level of input the employer requires from the subcontractor.

Payment Terms

Contract fees agreed for the delivery will be paid monthly in arrears after the submission of each ILR return to the Data Service and based on all valid continuing learners in each return minus the subcontracting fee agreed at the start of the arrangement. The full schedule and profile will be agreed and documented within the contract.

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