Approval for an Exception to Contractual Standing Orders to award a contract for water quality monitoring at Salford Quays (Tracy Squirrel)

May 8, 2024 Approved View on council website
Full 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, in exercise of the powers
contained within the Council Constitution do hereby approve:
 
·     
to Award the Contract
for water quality monitoring at Salford Quays, as detailed in the
table below:
 

Detail required

Answers

Title/Description of Contracted
Service/Supply/Project

Salford Quays – Water Quality

Name of Successful
Contractor

APEM Ltd

Supplier Registration Number

(to be supplied by Corporate
Procurement)

02530851

Type of organisation

(to be supplied by Corporate
Procurement)

Private Limited Company

Status of Organisation

(to be supplied by Corporate
Procurement)

SME

Contract Value (£)

£174,528         (full
project)

Contract Duration

 24 months

Contract Start Date

02/04/2024

Contract End Date

31/03/2026

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)

Dave Lyon

Lead Service Group

Place

How the contract was procured?

(to be supplied by
procurement)

Quotation from Specialist Consultant

Framework Details (where
applicable)

(procurement body, framework reference
& title, start/ end date

 

Funding Source

Revenue Budget

Ethical Contractor (EC): Mayor’s
Employment Charter

 

EC: Committed to sign Charter

 

EC: Accredited Living Wage
Employer

 
The Reasons are: Essential water monitoring and
treatment at Salford Quays.
 
Options considered and rejected
were: Competitive tendered was
considered however, due to the specialist nature of the works and
experience from previous tender exercises it was not considered
cost effective to procure these works.
 
Assessment of Risk:
High
The water at Salford Quays is
required to be tested periodically in order to ensure it is safe
and compliant under Health and Safety Regulations to enable the
facilities to be used for water sports and recreation by the
public.
 
The source of funding
is: The revenue
budget.
 
Legal Advice obtained: Supplied by: Tony
Hatton
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. For contracts of this vale the Council would
usually undertake an exercise to advertise the opportunity on the
Chest portal.
 
Whilst exceptions to
CSO’s may be authorised by a decision notice from the
Procurement Board, a 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. The
risk of challenge increases in tandem with the value and proposed
length of the contract. In this instance, as noted in the report,
it appears that the contractor is uniquely placed to provide the
services due to the nature of the contract, having been the only
bidder when the service has gone out to tender previously. 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 direct award of the contract to be most benefit and least
risk.
 
Financial Advice
obtained: Submitted by:
Grace Rogerson – Senior Accountant 12/04/24
In order to comply
with Health and Safety regulations, the water at Salford Quays is
required to be tested periodically to enable the facilities to be
used for water sports and recreation by the public. There is
revenue budget available under Property to cover the costs of the
contract over the 2 year period between April 2024 and March 2026
with costs being £87,264 per annum and £174,528 for the
full life of the contract.

In regards to the Innovate programme, the companies that undertake
water quality, monitoring and management works operate in a niche
market and following research no other company other than APEM Ltd
are able (willing) at present to undertake the work at Salford
Quays on behalf of the Council. The quote they have submitted has
been checked and benchmarked against previous costs and required
service criteria and it is considered to provide best value to the
Council.
 
 
 
Procurement Advice obtained: Supplied by: Deborah
Derbyshire
There is always the risk of
challenge from an aggrieved provider when the opportunity is not
advertised for competition, however due to recent tender exercises
undertaken, we only ever have the one submission returned. After
following a search for contractors for this type of specialist
service, the findings are negative, therefore seeking an exception
seemed to be the most cost-effective way to procure removing the
need to advertise and complete the lengthy tender exercise freeing
up officers time.
 
As part of the Council’s
Innovate programme and budget challenges over the next three years,
the service group should consider efficiencies, revenue saving
opportunities and enhanced contract management KPI’s as part
of this contract.
 
Approving the exception will be
in line with the Contractual Standing Orders.
 
HR Advice obtained:
N/A.
 
Climate Change
Implications:
No significant Climate Change
implications in this project. 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.
 
The following documents have
been used to assist the decision process:
·     
report to Procurement Board dated 8th May
2024.
 
Contact Officer: Dave Lyon
Telephone number: 07836 620033
 
·     
This matter is not subject to consideration by
another Lead Member.
·     
The appropriate Scrutiny Committee to call-in the
decision is the Growth and Prosperity Scrutiny Panel and the
Overview and Scrutiny Board.
 
 

Signed:    Cllr Y Youd
         Dated:
    8 May
2024.
           
   Lead Member
 

FOR DEMOCRATIC SERVICES USE
ONLY
 
*          
This decision was published on 9
May 2024
*          
This decision will come in force at 4.00 p.m. on 16 May 2024
unless it is called-in in
accordance with the Decision Making Process Rules.
 

Details

OutcomeRecommendations Approved
Decision date8 May 2024
Subject to call-inYes