Transfer of Provincial Responsibilities to Social

Services and Children's Services Divisions

The Community and Neighbourhood Services Committee recommends the adoption of the following report (March 5, 1999) from the Commissioner of Community and Neighbourhood Services:

Purpose:

The purpose of this report is to update the Community and Neighbourhood Services Committee on the City's implementation plan for both the transfer of single parent and temporary care (foster children) cases currently managed by the Province to Toronto's Ontario Works (O.W.) program, and the transfer of new responsibilities within the child care delivery system to the Children's Services Division.

Funding Sources:

Financial implications related to the transfer of responsibilities from the Province have been addressed through the 1999 budget request for both the Social Services and Children's Services Divisions.

Recommendations:

It is recommended that:

(1)the Social Services Division proceed with the transfer of the Provincial caseload starting April 1999 for a fall 1999 completion as discussed in this report, and that all necessary steps be taken to ensure the transfer is completed within the scheduled time frames;

(2)authority be granted for Children's Services to assume the system management responsibilities for the child care programs being transferred from the Ministry of Community and Social Services (including wage subsidy, special needs resourcing, family resource centres and approved corporations providing child care services) effective July 1,

1999, and to enter into service contracts with these transferred child care programs by signing an agreement in a form acceptable to the City Solicitor and the Commissioner of Community and Neighbourhood Services; and

(3) the appropriate City officials take the necessary action to give effect thereto.

Background:

As a result of substantial changes initiated by the Province over the past two years, including the passage of new social assistance legislation and realignment of service and funding roles derived through the "Who Does What" process, significant new responsibilities will be assumed by municipalities in the areas of social assistance and child care.

In line with these changes, cost-sharing relationships were altered effective January 1, 1998. All child care services, including the current fee subsidy system, became cost-shared on an 80:20 Provincial/Municipal basis with the City assuming responsibility for 20 percent of the approved costs. The City also began to share 20 percent of the benefit costs of recipients under both the new Ontario Works Act (O.W.A.) and the Ontario Disability Support Program Act (O.D.S.P.A.), with administration costs shared on a 50:50 basis.

In accordance with the Ontario Works Act, the Province reiterated in early 1998 that responsibility for managing single parent and temporary care cases currently managed by the Ministry of Community and Social Services (M.C.S.S.) would be transferred to municipalities, and that a carefully planned process would be established to expedite the transfer of these cases to the new municipally delivered O.W. program.

An estimated 14,000 cases served by the Provincial delivery system, the vast majority of which are single parents, will be transferred to the City. The Division already has substantial experience serving single parents. In addition, this transfer is in line with the new requirements established under O.W., which stipulate that all single parents must participate in activities which will lead to employment.

Further, as part of the Provincial "Who Does What" announcements in January 1998, the Province indicated that system management responsibility for the following child care services would be transferred to the Children's Services Division:

(a)family resource centres;

(b)special needs resourcing;

(c)approved corporations serving children with special needs; and

(d)the wage subsidy program.

The transfer of these services to the City will ultimately improve the overall child care service delivery system through improved planning and co-ordination of service options for children and families.

Development of a Joint Implementation Plan for the Transfer of Responsibilities:

To ensure that there was a consistent framework across the Province to manage, and plan for, the transfer of Provincial responsibilities, M.C.S.S established a transfer planning process. As part of this process, Local Implementation Planning Guidelines were released by the Ministry, including requirements for the development of protocols governing human resources. In response, a Joint Provincial-Municipal Planning Implementation Team was created in early 1998, comprised of senior staff from both the Provincial Ministry of Community and Social Services (M.C.S.S.) Area Office and the City of Toronto. The Team subsequently developed a comprehensive plan for the transfer of Provincial single parent and temporary care cases, and funded child care services.

A previous report to the Community and Neighbourhood Services Committee in September 1998, entitled "Update on Transfer of Responsibilities to Social Services and Children's Services Division," discussed the progress made in the development of the draft Joint Implementation Plan. The Plan was required to cover a number of areas: file transfers; a revised service delivery model; a comprehensive communication strategy; a facilities plan assessing infrastructure requirements to accommodate new cases; staffing requirements; a description of the required technical/information systems and processes; an implementation timetable; and estimated budgetary requirements.

At that time, all of the above had been agreed to by the Province and the City with the exception of several key items: the human resource protocol, certain outstanding budget/program delivery items, and finalization of the implementation timetable. Discussions have been ongoing to achieve resolution in these areas.

As of March 8, 1999, final agreement has been reached on these items, and the Province has approved the Joint Implementation Plan. This report provides an update on the implementation process both of the transfer of social assistance cases from the Province to the Social Services Division and the transfer of system management responsibility to the Children's Services Division.

Comments/Discussion:

(I)Transfer of Provincial Social Assistance Cases:

Operational Plan for Implementing the Transfer:

Based on operational considerations at both the City and Provincial level, the Social Services Division and the Ministry of Community and Social Services agreed that a phased in approach to transferring the approximately 14,000 cases from the Province was mutually desirable. To that end, Provincial single parent and temporary care cases will be transferred to the City commencing in April, with completion targeted for September 1999.

Working with the Province, the Division has developed a specific case file transfer schedule which optimally sequences the process across the 14 Area Offices. The primary advantage of a phased in approach is that it more evenly distributes the workload and staff training activities associated with a number of critical activities that must be undertaken over the spring and summer months. These include:

(a)the case transfer process, including the tasks spelled out in the Joint Implementation Plan;

(b)the Division's imminent conversion to the Province's computer system, which is mandated by the Province as part of its plans to ensure all provincial systems are Y2K compliant. The conversion will occur in the spring and summer of 1999. All front line staff and managers will be required to rapidly learn the new computer program and update all client information. The Division's technical staff will be integrally involved in conversion and Y2K activities; and

(c)current day to day service delivery considerations related to both the City's and Province's priorities regarding implementation of the substantial changes that have been made to the social assistance system over the past year (e.g., the Province's roll-out of the new Ontario Disability Support Program).

By initiating the transfer process as early as possible, and phasing it in over the summer, the Division and the Ministry are seeking to successfully co-ordinate the transfer with other operational priorities. Ultimately, the goal is to use all available staff resources to maximum effect, as well as to build in the flexibility to respond to any unforeseen complications.

Human Resources Plan:

As part of the Joint Implementation Plan, the Ministry and the City have developed an overall Human Resources Plan to manage the part of the transfer process related to staffing. Most importantly, it formally acknowledges the City's obligations to staff under its Collective Agreement, but also recognizes the Province's obligation to make reasonable efforts to obtain employment for M.C.S.S. staff displaced as a result of the transfer process. Senior corporate staff from the City and the Province have been integrally involved in the development of the Plan.

Additional staff resources will be required by the Social Services Division to manage the 14,000 cases that will be transferred from the Province, as well as to comply with the new responsibilities assigned to delivery agents under the Ontario Works Act. The Act requires delivery agents to establish three specific types of staff functions: a local fraud control unit, eligibility review officers, and family support workers. The City has historically undertaken the first two functions, and is in the process of establishing a family support unit.

A specific Human Resources Protocol Agreement has been developed to provide a framework for filling all position vacancies resulting from the transfer. The positions and attendant funding have been incorporated in the Division's 1999 Operating Budget submission, based on the assumptions that the caseload transfer will begin in April, and that staff positions will be phased-in, in tandem with the transfer schedule.

The Protocol Agreement sets out the principles which will guide the recruitment process, with the overarching proviso that the City aims to fill all vacancies with the most qualified and skilled candidates. Under the Agreement, staff will initially be recruited internally, in compliance with the requirements of the existing Collective Agreement, placement obligations and any other relevant agreements. Access to positions will subsequently be made available to M.C.S.S. staff once the City's internal recruitment requirements and placement obligations have been adhered to and fulfilled.

Consistent with City hiring procedures, all M.C.S.S. staff must satisfy the qualifications set by the City and must participate in standard interviewing and screening procedures. M.C.S.S. candidates hired will be required to serve a six-month probationary period, and upon successful completion thereof will be placed in temporary positions with the City.

Final staffing levels will be determined in conjunction with changes in the Ontario Works caseload, and will be monitored on an ongoing basis to ensure appropriate staffing levels are maintained. Provision has been made in the Division's 1999 budget request for the costs associated with the transfer, including estimated staffing requirements, as discussed below.

Budget/Program Delivery Model Issues:

The Division's 1999 budget request reflects the increase in the overall O.W. caseload, and the additional workload, resulting from the transfer of an estimated 14,000 cases from the Province. It builds in the resources needed to accomplish the transfer and manage the expanded caseload, including funds required to hire additional staff and to make necessary physical plant modifications to Area Offices. Further budget adjustments may be required contingent on caseload trends. As noted below, Provincial funding has been made available to cover one-time costs associated with the transfer process.

At the time of the Department's August 1998 report updating Council on the transfer process, discussions were ongoing regarding the Provincial share of the operating budget for the City's social assistance delivery system, and of one time costs required to effect the transfer of the caseload. These issues have been resolved, as reflected in the Division's 1999 budget request which has recently been reviewed by the Chief Administrative Officer (C.A.O.) and Budget Committee.

It should be noted that the Province has begun a process to revise the funding formula for the entire O.W. program . As part of this initiative, an advisory committee has been struck which includes municipal representatives. The General Manager of Toronto Social Services is a member of this committee. Its work is targeted for completion at the end of 1999, with implementation of the new formula anticipated in the Province's fiscal year 2000.

Area Office Modifications:

In order to manage the increased caseload resulting from the caseload transfer, modifications are required in some Area Offices. Two offices must be retrofitted to handle the increased volume of cases, while an additional office will need to be relocated. Smaller changes will be required in the remaining offices to accommodate additional staff. The Division intends to optimize the one time funding the Province is making available to cover necessary transfer costs, such as the modification of existing facilities to meet new demands for space and equipment.

At this time, as a result of Council positions adopted in December in the report, entitled "Interim Report on Corporate Office Space Planning and Related Issues" (Clause No. 13 of Report No. 26 of the Strategic Policies sand Priorities Committee), there are restrictions governing space relocation and the purchase of new furniture. Subsequently, the C.A.O., in a communication to senior staff dated January 19, 1999, announced a moratorium on all relocations within the Corporation until further notice.

However, the Department is very concerned that applying the current restrictions to the transfer of the Provincial caseload will potentially impede the timely transfer of cases, and increase the risks and costs to the City of completing this process. For example, the process of office relocation must be initiated quickly, given that the process involves a number of critical considerations, including finding appropriate space, negotiating a lease and relocating staff.

Given the need to move rapidly to initiate and complete the transfer of Provincial cases, the Department will work with the C.A.O. and the Commissioner of Corporate Services to address these issues such that the time frames agreed to with the Province can be achieved.

(II)Transfer of Child Care Programs:

The Children's Services Division is ready and able to accept the transfer of system management responsibility for the wage subsidy program, the family resource centre program, the special needs resourcing program and 11 approved corporations providing child care services effective July 1, 1999, provided that the City has received official designation from the Minister before that time and provided that the required two-month notice has been served by the Province on the programs affected. Over the past year, Children's Services staff have been meeting with the affected child care services and programs and familiarizing themselves with their operations and issues. Provided the City has official designation as the service system manager prior to the intended July 1, 1999, transfer date, new service contracts can be signed with the transferring organizations and the City will assume responsibility for making the second quarter payments and claiming back the provincial subsidy. The service expectations of the affected agencies and programs will be unaffected by the transfer during 1999 and all parties will be consulted before new service contracts are negotiated by the City for the year 2000.

The administrative support requirements associated with the programs being transferred have been outlined and included in the Joint Implementation Plan developed in partnership with the Ministry of Community and Social Services and the costs associated have been included in the City's budget request as a cost-shared expense. Because the broader issue of child care administration is currently under review provincially, the Ministry is unable at this time to make adjustments in the administrative base budget of Children's Services. However, sufficient transitional provincial subsidy has been negotiated to support the transfer of the new programs during 1999. Provincial adjustments to the administrative base budget of Children's Services must await the outcome of the broader provincial review of child care administration and will be a negotiated part of the Service Plan for the year 2000.

In addition to the transfer of system management responsibility for the new child care programs listed above, the transfer plan also includes a commitment to consider revisions and refinements to the child care service strategy for the Ontario Works program in response to the recommendations of the Provincial Operational Review of Ontario Works and Child Care in Toronto. Specific proposals will be brought forward in a separate report following release of the findings and recommendations of the operational review.

Conclusion:

The fundamental aim of the Joint Implementation Plan, developed co-operatively by the Community and Neighbourhood Services Department of the City and the Provincial Ministry of Community and Social Services Area Office, is to ensure a smooth transfer of the program responsibilities from the Province to the City. The Department believes the current Plan will make the transfer of the Provincial caseload and Children's Services system management responsibilities as seamless as possible for affected clients and service providers. It also addresses human resource issues in a balanced and fair manner.

In order to proceed with the Implementation Plan in a timely fashion, and capitalize on available Provincial resources, it is critical that the Department have the flexibility to modify operational facilities (e.g., Area Offices) as required to manage the new service responsibilities transferred from the Province, and have the necessary Council authority to enter into service contracts with the child care programs being transferred.

Contact Name:

Heather MacVicar

General Manager, Social Services Division

Tel: 392-8952

Marna Ramsden

General Manager, Children's Services Division

Tel: 392-8128