6. Management arrangements
This chapter sets out the requirements for properties that are developed with the benefit of grant are managed and maintained in accordance with the Agency's regulatory requirements and standards.
This chapter sets out the requirements for properties that are developed with the benefit of grant are managed and maintained in accordance with the Agency’s regulatory requirements and standards.
1.1.1 The Agency wishes to ensure that properties that are developed with the benefit of grant are managed and maintained in accordance with the Agency’s Regulatory Requirements and Standards.
1.1.2 This applies whether the properties are directly managed by the provider who developed them with grant, or by other organisations with whom the provider has contracted for management services.
1.2.1 All owners of grant-funded rental property (either Affordable or social rented), must be Registered Providers but may contract our management if they wish. Registered Providers are responsible for providing efficient and cost effective management in the best interests of tenants, and are accountable for the public funds invested in the scheme.
1.2.2 Registered Providers can adopt a variety of management arrangements, including outsourcing the work (commissioning another organisation to provide services on the provider’s behalf - such an organisation is often referred to as a ‘management agency’).
1.2.3 Regardless of whether or not the provision of services has been outsourced, ultimate responsibility for effective management of any tenants and/or leaseholders’ interests and the stock will remain with the provider that owns the properties.
1.2.4 Providers may choose to outsource the provision of management and maintenance services to other organisations for a variety of reasons:
- To deliver the services more efficiently;
- To deliver the services more effectively;
- To deliver the services more sensitively (especially where specialist expertise is needed for the client group); and
- To assist specialist organisations in growing and becoming financially viable.
2.1.1 The management of grant funded homes (including Supported Housing) may not be delegated to local authorities or other statutory bodies.
2.1.2 However, where Registered Providers are commissioning another (non-statutory) organisation to provide services, they must do so in writing. The services to be provided must be clearly defined in the contract, as must the cost to the Registered Provider of receiving the services.
2.1.3 The contract for the provision of the services must be finalised and signed in time for the service provider to mobilise their resources to be able to deliver the services at an appropriate level of quality at the handover date.
2.1.4 The Agency does not provide a model management agreement.
2.2 Supported Housing issues
2.2.1 As noted at 2.1.1, Registered Providers cannot commission statutory bodies to provide housing management services to their residents. However, in Supported Housing schemes, Registered Providers may decide to enter in to a support agreement with a statutory body to ensure the non-housing needs of tenants are met.
2.2.2 Such support arrangements must be based on a written agreement that sets out the responsibilities of each party.
2.2.3 The agreement must address the issues of performance review, procedures to be followed in the event of breach of the agreement, and have provisions for termination by either party.
2.2.4. Where the arrangement involves a division of staff working in the scheme between two or more employers, Registered Providers must ensure that the agreement clearly states the responsibilities for the employment and management of staff, and include clear details of reporting lines.