{meta} Decision - Request for Approval - Extension of Existing Framework - Minor Building Works

Decision details

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: Yes

Decision:

Salford City Council - Record of Decision

 

I Paul Dennett, City Mayor, in exercise of the powers contained within the Council Constitution do hereby approve the extension of the Minor Building Works Framework Agreement as detailed in the table below:

 

Detail required

Answers

Contract Reference

Title/Description of Contracted Service/Supply/Project

Minor Building Works Framework Agreement

Name of Contractor

See lists within the Procurement Board report dated 6th January 2021

Type of organisation

(to be supplied by Corporate Procurement)

Private Limited Company

Status of Organisation

(to be supplied by Corporate Procurement)

Choose an item.

Value of Contract Extension

£10 million

Per Annum (estimated average)

Existing Contract Term

01/02/2019

to

31/01/2021

Extension Period

01/02/2021

to

31/01/2023

Contact Officer (Name & number)

Les Woolhouse tel 0161 779 4961

Lead Service Group

Place

Funding Source

Combination of Above (please detail below)

Ethical Contractor

Mayor’s Employment Charter

Committed to sign up to the Charter

 

Accredited Living Wage Employer

 

The reasons are

 

To enable the continued provision of access to suitable contractors to deliver projects and programmes for construction works on behalf of the Council

 

Options considered and rejected were

 

The retendering of the frameworks to compile a new list of contractors. The existing framework contract contains an option for an extension period of two years. On the basis that the existing framework contractors have demonstrated their ability to meet the Council’s needs and objectives it is considered reasonable to exercise the option to extend the term. A contract extension would also allow the continued delivery of social value outcomes in terms of continued employment opportunities and use of local labour and suppliers

 

Assessment of risk

Medium. If the current frameworks were allowed to expire it would require the Council to use other national frameworks which may not be as advantageous in terms of delivery or social value

 

The source of funding is from within capital programmes, revenue allocations and grant awards.

 

Legal advice obtained – Tony Hatton (Principal Solicitor) Tel 0161 219 6323

 

The following commentary was provided in the report dated 9th January 2019 which set up the existing frameworks;

 

The report sets out the details for appointing bidders to the Council’s Minor Works Framework Agreements which are due for renewal. There are two category values (£0 - £150,000 and £150,000 - £500,000) for which contractors require to be appointed.

 

When commissioning contracts for the procurement of goods, services, or the execution of works, the Council must comply with the Public Contracts Regulations 2015 (PCR) and its own Contractual Standing Orders (CSO’s), failing which a contract may be subject to legal challenge from an aggrieved provider.

 

The purpose of a framework agreement is to select through a procurement/ evaluation process a number of providers who can meet the service requirements of the Council, as and when those services are required. The work undertaken thus far is explained throughout the report, and sets out the issues and tender process involved, including the evaluation of bids, to ensure compliance with PCR and CSO’s.

 

A total of twenty-nine tenders were received from framework suppliers across the two value lots which have been evaluated in accordance with the procurement procedures and selection criteria set out in the tender documents resulting in the proposed appointment to the frameworks of the contractors listed in the report under Lots 1 and 2.

 

The award procedures therefore appear robust and compliant with the requirements of public procurement legislation and the Council’s CSO’s.

Legal Services will assist with preparing any contractual documentation upon receipt

of instructions to ensure the Council’s position and interests are protected.

 

 

 

 

Financial advice obtained Chris Mee (Strategic Finance Manager) Tel 0161 778 0434

 

There are no direct financial implications for the Council from the awarding of places on the framework. However, it will provide clear guidance to officers procuring these types of works and ensure that best value is achieved.

 

The costs of any works carried out under the frameworks will be funded from within available resources included within the Councils approved capital and revenue programmes.

 

Procurement advice obtained Deborah Derbyshire (Category Manager – Corporate Procurement Team) Tel 0161 686 6244

 

            The opportunity for the existing contract was advertised in the European Journal and the Northwest Portal as an open competition inviting interested companies to submit a bid for one or both lots for a period of two years with a further option to extend for two years. 

 

The proposal to exercise the option to extend the contract for a further period of two  years will allow us to continue providing clear guidance to Council Officers regarding any procurement of capital and revenue funded building projects via the two encompassing Minor Building Works Framework Agreements either by direct award for work below £30k for Lot 1 only and mini competitions for both lots around work valued above £30k up to £500k.  This will ensure that all such procurement activities are compliant, therefore this complies with Contractual Standing Orders.

 

HR advice obtained

 

N/A

 

Climate change implications

 

All projects are developed to meet or exceed current legislation and requirements relating to energy efficiency and carbon reduction targets. Projects are required to support the Council’s objectives of becoming carbon neutral by 2028.

 

Sustainability plans would be targeted to also be align with opportunities to continue  to deliver social value outcomes.

 

Documents used

The following documents have been used to assist the decision process.

The report to Procurement Board dated 9th January 2019 titled Appointment of Contractors under the Minor Building Works Framework Agreement.

 

Report to Procurement Board dated 6th January 2021 titled Approval for an Extension to the Minor Building Works Framework Agreement.

 

(if the documents disclose exempt or confidential information, they should not be listed, but the following wording shall be inserted : "(The relevant documents contain exempt or confidential information and are not available for public inspection)":-

Contact details

Contact Officer:  Deborah Derbyshire / Gregory Durkin - Tel 0161 686 6244 / 0161 779 4942   

 

·       The appropriate Scrutiny Committee to call-in the decision is the Growth and Prosperity Scrutiny Panel and The Overview and Scrutiny Board

 

 

Signed:         PAUL DENNETT               Dated:  7th January 2021.

                    City Mayor

 

FOR DEMOCRATIC SERVICES USE ONLY

 

*         This decision was published on 7th January 2021.

*         This decision will come in force at 4.00 p.m. on 14th January 2021 unless it is called-in in accordance with the Decision Making Process Rules.

 

Publication date: 07/01/2021

Date of decision: 06/01/2021

Decided at meeting: 06/01/2021 - Procurement Board

Effective from: 15/01/2021

Accompanying Documents: