Approval for an Exception to Contractual Standing Orders to award contracts for the installation of domestic meters to the Duchy Caravan Park

May 24, 2023 Approved View on council website
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Salford City Council – Record of
Decision
 
I Councillor Youd, Lead Member
for Finance and Support Services and chairman of the Procurement
Board, 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 for the reason(s)
highlighted in the table below and the award of the Contracts for
the installation of domestic meters to the Duchy Caravan Park as
detailed in the table below:
 

Detail required

Answers

Title/Description of Contracted
Service/Supply/Project

Final electrical connection works - Duchy Caravan
Park domestic meters

Name of Successful
Contractor

G. Jones

Supplier Registration Number

(to be supplied by Corporate
Procurement)

04928174

Type of organisation

(to be supplied by Corporate
Procurement)

Private Limited Company

Status of Organisation

(to be supplied by Corporate
Procurement)

SME

Contract Value (£)

£28,459 full project (plus VAT)

Contract Duration

6 months

Contract Start Date

Click here to enter a date.

Contract End Date

Click here to enter a date.

Optional Extension Period 1

months

Optional Extension Period 2

months

Who will approve each Extension
Period?

Choose an item.

Contact Officer (Name &
number)

Jane Barlow

Lead Service Group

Place

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  Yes

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

Reason for CSO Exception: Procurements made through,
or on behalf of, any consortium, local authority, statutory or
similar body, provided that tenders or quotations are invited and
contracts placed in accordance with national or EU
legislation.

Tick if it applies

Funding Source

Capital Programme

Ethical Contractor (EC): Mayor’s Employment
Charter

 

EC: Committed to sign up to the Charter

EC: Accredited Living Wage Employer

 

Detail required

Answers

Title/Description of Contracted
Service/Supply/Project

Low voltage infrastructure and main ducting –
Duchy Caravan Park domestic meters

Name of Successful
Contractor

Electricity North West Ltd

Supplier Registration Number

(to be supplied by Corporate
Procurement)

02366949

Type of organisation

(to be supplied by Corporate
Procurement)

Private Limited Company

Status of Organisation

(to be supplied by Corporate
Procurement)

Non-SME

Contract Value (£)

£183,958.22 full project (plus VAT)

Contract Duration

6 months

Contract Start Date

Click here to enter a date.

Contract End Date

Click here to enter a date.

Optional Extension Period 1

N/A

Optional Extension Period 2

N/A

Who will approve each Extension
Period?

Choose an item.

Contact Officer (Name &
number)

Jane Barlow 0161 793 2372

Lead Service Group

Place

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  Yes

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

Reason for CSO Exception: Procurements made through,
or on behalf of, any consortium, local authority, statutory or
similar body, provided that tenders or quotations are invited and
contracts placed in accordance with national or EU
legislation.

Tick if it applies

Funding Source

Capital Programme

Ethical Contractor (EC): Mayor’s Employment
Charter

 

EC: Committed to sign up to the Charter

EC: Accredited Living Wage Employer

 
The reasons are:
The City Council owns and
manages the Duchy Rd Caravan Park which is operated as a permanent
residential site comprising 25 permanent pitches.  The electricity supply to the site is non-domestic
fed from a main site meter to individual pitch sub
meters.
 
Recent turmoil in the
energy market has caused costs to increase significantly, with
non-domestic rates now significantly higher that domestic
rates.  Investment
in the infrastructure will enable each pitch to have its own
domestic meter and will also give residents the flexibility to make
choices around who their supplier is.
 
Options considered and rejected were:
§ 
Do nothing.
§ 
Temporary subsidy of tariff rates.
 
Assessment of risk:
High
– Residents are being supported by the Irish Community Care
and local ward councillors who have raised concerns from the
community about not being on a domestic tariff, an inability to
choose their own tariff and a lack of access to government support
measures.
 
The delivery of this work will
ensure residents in mobile homes / caravan parks are in a no worse
position than residents on domestic tariffs.  This work will facilitate the same access to
domestic tariffs and the benefit of protection currently afforded
by the energy price cap for domestic customers.
 
The source of funding is:
Capital Programme
 
Legal advice obtained:
The
Council is proposing to award the contracts for the works to ENWL
Ltd for the LV infrastructure works and to G Jones for the final
electrical installation works at the Duchy Caravan Park, the values
for each of which are below threshold for Public Contracts
Regulations to apply.
 
As
set out in the Council’s Constitution the Council may waiver
its own Contractual Standing Orders in certain circumstances and
award contracts direct to suppliers in various circumstances as is
the case here.
 
In
any event the ENWL works are statutory works which may only be
carried out by them as statutory undertaker, or their appointed
agents/ contractors.
 
Financial advice obtained:
There is an approved total general unsupported borrowing
allocation of £212k to fund the award of the aforementioned
contracts, for installation of electric meters at Duchy Caravan
Park.

·     
£150k 2023/24 Housing Strategy Capital
Programme - Duchy Travellers Site.

·     
£62,417k 2022/23 c/f Housing Strategy Capital
Programme – Housing development fund.
 
Implications in respect of the Innovate programme have been
fully considered.
 
Procurement advice obtained:
There is always a risk of
challenge from an aggrieved provider if the opportunity is not put
out to competition but in this case the risk is low. Electricity
North West is the statutory body to undertake this work. Three
companies were approached for the installation of the single meters
but only one contractor returned a quotation.  The installation of new meters is also of an
urgent nature where regulation 32 applies, this will ensure
residents receive domestic rates and also provides the option to
change providers, therefore this complies with the contractual
standing orders.
 
HR advice obtained: N/A
 
Climate change implications obtained:
The change from a non-domestic
to domestic electricity supply to site will have no material change
once works are complete.
 
However, the change will give
residents the ability to shift to green energy suppliers through
schemes such as clean switch and motivation to take energy
efficiency measures as they will directly benefit.
 
Documents used:
The following documents have
been used to assist the decision process: N/A

Contact details
Contact Officer:  Jane Barlow       
Telephone number: 0161 793 2372
 
Please delete from the bullets
below any which are not relevant:
·     
The Lead Member has been consulted and is supportive
of the proposed contract.
·     
The appropriate Scrutiny Committee to call-in the
decision is the Growth & Prosperity Scrutiny Panel
 

Signed:     Cllr
Youd            Dated:
   24 May
2023.
           
   Lead Member
 

FOR DEMOCRATIC SERVICES USE
ONLY
*          
This decision was published on
25 May 2023
*          
This decision will come in force at 4.00 p.m. on 1 June 2023
unless it is called-in in
accordance with the Decision Making Process Rules.
 

Details

OutcomeRecommendations Approved
Decision date24 May 2023
Subject to call-inYes