Agenda item

Report of the Group Diector of Operations.

The Cabinet Member with the Resources Portfolio introduced the report of the Group Director of Operations (previously circulated) requesting that consideration be given to the Annual Procurement Plan (also previously circulated) including the assessment of contracts that are considered to be strategic or non-strategic; updating Members on the outcomes of procurement(s) previously designated as Strategic; and the decisions taken by the Procurement Board to waive the Contract Procedure Rules.

The submitted report stated that any contract award decision with a value below £100,000 was delegated to officers; in accordance with the Contract Procedure Rules, the Annual Procurement Plan was produced listing details of all existing and new contracts that were valued at £100,000 and above, which required a tender process; for those contracts designated as strategic, the final contract award would be approved by the Procurement Board and reported to this Cabinet; for those contracts designated as non-strategic, the decision would be delegated to the relevant Directorate and detailed in a decision record; and that three contracts had been designated strategic in the update to the Annual Plan.

A Member in attendance at the meeting made reference to the formatting and terminology contained within the report which she felt was not clear or transparent and required an explanation, and in doing so gave a number of examples from the report.  Reference was also made to the length of the contract for the supply of materials and products for new build projects and how the Council was ensuring the contract offered best value over such a long contract.  The Cabinet Member with the Resources Portfolio responded thereon.

RESOLVED – (a)  That the theassessment ofstrategic andnon-strategic contractsas presented in Appendix 1 of the submitted report be approved, and it be noted that:

(i)         further reports/ updates on the procurement process for those contracts designatedas strategic(including decisionsmade bythe ProcurementBoard) be brought to Cabinet;

(ii)       thecontract award decisionsfor thecontracts designatedas non-strategicbe delegated to the appropriate Directorate as listed in the plan at Appendix 1; and

(iii)     thecontract awarddecisions forthe contractsdesignated asstrategic, aslisted in the plan at Appendix 1, be delegated to the Procurement Board to approve and be reported back to Cabinet.

(b) That the contents ofthe submitted report inrespect ofthe updateof strategic procurements, Procurement Board waiver decisions, and Social Value, be noted.

REASONS – (a)  Inrespect ofstrategic/non-strategic contracts,the recommendationsare supportedby the following reasons: -

(i)      theContract ProcedureRules requireCabinet to approvethe designationof contracts as strategic and non-strategic;

(ii)    contractsdesignated strategicare ofhigh valueand highsignificance inrespect ofthe impact on residents, Health and Safety and public safety; and

(iii)  thecontracts designatednon-strategic areof alower valueand lowersignificance in respect of the impact on residents and public safety.

(b) In respectof ProcurementBoard waiverdecisions, therecommendations aresupported by the following reasons: -

(i)      inorder tocomply withthe ContractProcedure Rules;

(ii)    toprovide Cabinetwith informationabout thedecisions madeby theProcurement Board; and

(iii)  tosupplement thereports that aretaken toCabinet aboutproposed spendover £100,000,that areset outin theAnnual ProcurementPlan andthe in-yearupdate to that report.