Agenda item

REDI Centre - Update report

To consider a report on the subject of the REDI Centre.

 

(Presentation to follow).

Minutes:

The Committee received a presentation and oral report from Officers on the options that were being explored for the REDI Centre going forward and the circumstances that had led to the Council undertaking its current review of the service.

 

The unsuccessful attempt to establish a Trust to run the Centre and to which the service could be transferred in 2006-7 were briefly outlined. Officers had subsequently undertaken an options appraisal in the autumn of 2008 and the Council had agreed in April 2009 to seek an alternative service provider. This culminated in an expression of interest from NEW College and negotiations for a transfer of the service in March 2010. Funding cuts by the Learning and Skills Council had resulted in NEW College rethinking their involvement and finally withdrawing. The College also ended its franchise agreement with the Centre in June 2010 as a result of budgetary pressures, resulting in a loss of £42,000 per year income. Further funding options were then explored by the Council particularly through the County Council as the authority responsible for adult education but no alternative funding had been secured to date.

 

It was noted that REDI was the only provider of Learndirect locally and that many of the courses were previously provided under franchise to NEW College and so were unfunded for the coming academic year. Other adult education opportunities in the Redditch area were limited and were often accessed through referral from Job Centre Plus and similar agencies. Officers undertook to provide information on the range of courses that would not be provided locally should REDI cease to operate following the meeting.

 

Four potential options were outlined, these being:

 

i)          continue to fund and maintain the service as currently provided;

ii)         re-structure and fund the service in line with known business need;

iii)        closure of the service; and

iv)        relocation of Learndirect to another facility.

 

The consequences of each course of action were set out, including the financial, customer and human resources impacts. One of the key aspects highlighted in each case was the projected budget deficit arising from the proposed option.

 

Officers undertook to provide copies of the presentation to Members following the meeting.

 

The Chair invited users of the REDI Centre to address the meeting. The initial proposal put forward was that Members visit the Centre to see staff and users at the site without prejudice. A further submission highlighted that the courses offered at REDI, such as first step, back to work and self-esteem courses, were not readily available elsewhere. The withdrawal by NEW College from lower level IT courses was also noted in this regard.

 

The UNISON co-opted representative on the Committee provided a Union perspective on the matter. It was noted that the future funding of the REDI Centre had been under close review most years since approximately 2003 with obvious implications for the morale of staff. It was accepted that the financial circumstances were difficult but Members were reminded that the service was created in a similar financial climate. It was hoped that the loss of a valuable service would not result from a short-term financial gain.

 

Members commented upon the options before them. It was contended that the cost of providing the service at the Centre was very competitive on a per head basis. The service was described as being demonstrably cost-effective and also effective, on the face of it, in terms of the learning outcomes that were achieved. However, Members were interested to receive a clearer demonstration of the measures of success for learners at the Centre over its lifetime.  The importance of preserving the service was highlighted but the location and service provider were considered, in some respects as being of lesser importance. The opportunity for picking up the lower level IT courses no longer to be offered by NEW College was raised as a possibility for the future.

 

In conclusion, and, after considering the information before it, the Committee

 

RECOMMENDED that

 

1)         Members of the Overview and Scrutiny and Executive Committees visit the REDI Centre prior to the consideration of the REDI centre report at the Council meeting on 9th August; and

 

2)         Option 1, continuation of the current level of service, be approved by the Executive Committee and full Council.