Approval for Exception to Contractual Standing Orders to award a contract for specialist education (Cathy Starbuck)
August 18, 2025 Key decision Awaiting outcome View on council websiteFull council record
Content
Salford City Council – Record of
Decision
I Councillor Youd, Lead Member
for Finance and Support Services and chairman of the Procurement
Board, accept the recommendation of the Procurement Board and in
exercise of the powers contained within the Council Constitution do
hereby approve:
·
an exception to Contractual Standing Orders, as
permitted within the City Council Constitution, to award of the
Contract for Specialist Education for a 12-month period (1
September 2025 – 31 August 2026), as detailed in the table
below:
Detail required
Answers
Title/Description of Contracted
Service/Supply/Project
Specialist Education
Procurement Reference Number (DN and
CR, supplied by Procurement)
S1799
Name of Successful
Contractor
Edstart schools
Supplier Registration Number
(to be supplied by
Procurement)
09094059
Proclass Classification No.
(to be completed by
procurement)
171020
Type of organisation
(to be supplied by
Procurement)
Limited Liability Partnership
Status of Organisation
(to be supplied by Procurement)
SME
Contract Value (£)
£369,000 per annum
Total Contract Value including extensions
(£)
£738,000 total project
Contract Duration
12 months
Contract Start Date
01/09/2025
Contract End Date
31/08/2026
Optional Extension Period 1
12 months
Optional Extension Period 2
Who will approve each Extension
Period?
Procurement Board (extension >
£150k)
Contact Officer (Name &
number)
Cathy Starbuck
Lead Service Group
Children's Services
Reason for CSO Exception: The goods / services /
works are only obtainable from one provider and there is no other
provider available to allow genuine competition
Tick if it applies ?
Reason for CSO Exception: The execution of works or
the supply of goods or services is controlled by a statutory
body
Tick if it applies ?
Reason for CSO Exception: Delivers Best Value to the
Council
Tick if it applies ?
Reason for CSO Exception: Special education, health
or social care contracts, if it is considered in the
Council’s best interests and to meet the
Council’s obligations under relevant legislation
Tick if it applies ?
Reason for CSO Exception: The execution of works or
the supply of goods and services is required so urgently as not to
permit compliance with the requirements of competition
Tick if it applies ?
Reason for CSO Exception: Security works where the
publication of documents or details in the tendering process could
prejudice the security of SCC and Salford residents
Tick if it applies ?
The reasons are:
The award of contract to
Edstart schools for specialist education would allow Salford City
Council to secure provision equivalent to 18 full-time on roll
education places for permanently excluded KS3&4 pupils for the
2025-26 academic year at a cost of £20,500 per place. They
are the only Ofsted registered provider in the city.
Given that existing PRU
provision in Salford is at capacity, this would enable Salford City
Council to discharge its statutory duty to arrange suitable
full-time education for pupils aged 11-16 (Years 7-11) following
permanent exclusion from mainstream settings.
Options
considered and rejected were:
The award of the contract to
Edstart Schools for the Specialist Education service is considered
to be of most benefit and least risk.
Assessment of risk:
High risk – if the
council does not enter into this contract, it may not be able to
carry out its statutory duty to arrange suitable full-time
education for pupils following permanent exclusion from mainstream
settings.
The source of funding is: DSG - High Needs
Block
Legal advice obtained: supplied by Tony
Hatton, the Shared Legal Service
When
commissioning contracts for the procurement of goods, services or
the execution of works, the Council must comply with the
Procurement Act 2023 (PA) and its own Contractual Standing Orders
(CSO’s), failing which a contract may be subject to legal
challenge from an aggrieved provider. For contracts of this value,
the Council would usually advertise its requirements on the Chest
portal.
Whilst exceptions to CSO’s may be authorised by a decision
notice from Procurement Board for the value of this purchase as
detailed in section 3 of Part 5 of the Constitution there is still
a risk of challenge from aggrieved providers if the usual tender
process has not been followed. In any event, PA permit sole sourcing and/or direct award of a
contract to be made to a contractor in limited circumstances, as
provided for in Section 41 which provides that a direct agreement can be
made where it is based on one of the justifications set out in schedule
5 of the PA. These justifications, for the most part, reflect the
existing grounds from regulation 32 of the PCR 2015, covering
familiar territory such as “an absence of competition for
technical reasons” (as here); extension to existing supplies
where a change in supplier would result in a “difference or
incompatibility” and “disproportionate technical
difficulties”; advantageous terms in an insolvency; and
“strictly necessary for reasons of extreme and unavoidable
urgency”.
The risk of any
challenge increases in tandem with the value of the award, and in
this instance, as noted in the report, the value is relatively low
and for a service provided by a unique provider. The Council is
also under a best value duty to carry out its functions
economically, efficiently and effectively with the objective to
achieve value for money in all public procurement and considered
the award of the contract to Edstart Schools for the Specialist
Education service to be of most benefit and least risk.
Financial advice obtained: supplied by Beth
Mitchell, Finance Team
The cost of the above will be
charged to the High Needs Block within the DSG. The high needs
block is currently forecast to overspend in 2025/26, the above
agreed amount will increase the forecast overspend.
However the
implications of agreeing is the likelihood of avoidance that
education would have to sought from providers outside of the LA.
Such placements are not only more expensive—often involving
higher tuition costs, transportation expenditures, and additional
support arrangements—but they can also disrupt continuity of
care and education for the young person.
Procurement advice obtained: supplied
by Tom Pyne, The Corporate Procurement Team
Approved by Procurement for the
reasons set out in this report. This includes evidence that
Commissioning hold that demonstrates that this is the only
registered provider at this time in the City for this specific
service. The chances of challenge are minimal and Procurement will
liaise with the Commissioner moving forward with regards to any
future commissioning intentions and any associated compliant
procurement support requirements.
HR advice obtained: N/A
Climate change implications obtained: N/A
Contact Officer: Cathy
Starbuck
Telephone number:
Please delete from the bullets
below any which are not relevant:
·
This matter is also subject to consider by the Lead
Member for Childrens Services
·
The Lead Member has been consulted and is supportive
of the proposed contract.
·
The appropriate Scrutiny Committee to call-in the
decision is the
Signed: Cllr J
Youd Dated:
18 August
2025.
Lead Member
FOR DEMOCRATIC SERVICES USE
ONLY:
This decision was published on 19
August 2025
This decision will come in force
at 4pm on 27 August 2025 unless
it is called-in in accordance with the Decision Making Process
Rules.
Related Meeting
Procurement Board - Monday, 18 August 2025 2.00 pm on August 18, 2025
Details
| Decision date | 18 Aug 2025 |
| Subject to call-in | Yes |