Approval for an Extension of Contract for Road Lining Services (Stuart Culshaw)

August 14, 2024 Approved View on council website
Full council record
Content

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 Contract forRoad Lining
Services, as detailed in the table below:
 

Detail required

Answers

 

 

Title/Description of Contracted
Service/Supply/Project

The Provision of Private and Public
Road Markings

Name
of Contractor

KJ Lines

Type of
organisation
(to be supplied by Corporate
Procurement)

Private Limited
Company

Status of
Organisation
(to be supplied by Corporate
Procurement)

SME

Value of Contract Extension
(£)

£200,000 per annum estimated
average

Existing Contract
Term

11/07/2022 to 10/07/2024

Extension
Period

11/07/2024 to 10/07/2025

Contact Officer

Stuart Culshaw

Lead Service
Group

Place

Funding
Source

Revenue Budget

Ethical Contractor (EC):
Mayor’s Employment Charter

EC: Committed to sign the
Charter

EC: Accredited Living Wage
Employer

 

 
The reasons are:
           
To request an extension of 12 months for the Road Lining works. No
further competition is needed currently, KJ Lines have performed
exceptionally well for two years without issue. We find that the
quality of work as well as health and safety, environmental
protection, and their sensitivity towards the community to be
exceptional.
 
Options considered and rejected were:
Procure another contractor
through the tender process.
 
Assessment of risk:
A significant delay in
the awarding of this extension would impact on the team’s
ability to deliver business as usual activity and respond to any
emergency works requirements.
 
The source of funding is:
Primarily Revenue Budgets D0244 and D0247
Also, small devolved and
capital scheme budgets such as carriageway upgrade work as well as
highway works for events and social promotions.
 
Legal advice obtained:
Submitted by: The Shared Legal Service
It is an
established principle that an existing public contract is capable
of being extended (or modified
providing any modification does not affect the overall nature of
the contract), and CSO’s also allow for
contract extensions to be made, where the parties agree and where
the original contract makes provision for such an extension of the
original term.
 
When the contract was originally awarded to KJ Lines
Ltd by way of an open tender exercise, it was clear in the contract
documents that the original term would be subject to potential
extensions of two periods of 12 months each, Accordingly any
risk that the award would be subject to realistic
challenge by an aggrieved provider is extremely low, and the option
to extend within the contract is now being properly
exercised.
Other reasons for
awarding the extension are set out in the body of the report,
including maintaining excellent quality and social value, amongst
others.
 
Financial advice obtained: Submitted by: Adam Flaherty (senior
accountant)
Agreed within the
revenue budget 24/25. All spend will be recharged to capital and
revenue schemes; however, all spend should be closely monitored to
avoid complacency and wastage. Further expenditure scrutiny will be
carried out on a scheme by scheme basis. This expenditure falls
outside the scope of project innovate.
 
Procurement advice obtained: Submitted by: Heather Stanton,
Category Manager
This extension is the first 12 months of a 2 year extension to
the Private and Public Road Marking contract currently delivered by
KJ Lines. The tender was an open tender which was a 2 year contract
with the option to extend for a further 2 years renewable on an
annual basis. The tender complied with SCC standing orders and
PCR’s 2015.
 
HR advice obtained: N/A
 
Climate change implications obtained: N/A
 
Contact details
Contact Officer:        Stuart Culshaw
 
Please delete from the bullets
below any which are not relevant

This matter is not
subject to consideration by another Lead Member.

 
 
 
 

Signed:    Paul
Dennett      Dated:     14 August 2024.
           
       City
Mayor
 

FOR DEMOCRATIC SERVICES USE
ONLY
 
*          
This decision was published on 14 August 2024
*          
This decision will come in force at 4.00 p.m. on 21 August
2024 unless it is called-in in
accordance with the Decision Making Process Rules.
 

Details

OutcomeRecommendations Approved
Decision date14 Aug 2024
Subject to call-inYes