Decision Maker:

Outcome: Recommendations Approved

Is Key Decision?: No

Is Callable In?: Yes

Date of Decision: December 9, 2024

Purpose:

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:   ·      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 Contract for grant administration services for the delivery of targeted short breaks and approval to procure a Salford Framework for specialist short breaks, as detailed in the table below:   Detail required Answers Title/Description of Contracted Service/Supply/Project Grant Administration Services Contract for the delivery of targeted short breaks for children with SEND (Ref S1161) Name of Successful Contractor Salford Council for Voluntary Services Supplier Registration Number (to be supplied by Corporate Procurement) 1948293 Type of organisation (to be supplied by Corporate Procurement) Registered Charity Status of Organisation (to be supplied by Corporate Procurement) Non-SME Contract Value (£) £219 567 Contract Duration 12 months Contract Start Date 01/04/2024 Contract End Date 31/03/2025 Optional Extension Period 1 N/A Optional Extension Period 2 N/A Who will approve each Extension Period? Procurement Board (extension > £150k) Contact Officer (Name & number) Rowena Brown – Head of Commissioning and Partnerships Lead Service Group People 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 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 Choose an item. 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 Salford Open Framework for specialist short breaks (Ref S1704) Name of Successful Contractor Not applicable Supplier Registration Number (to be supplied by Corporate Procurement) Not applicable Type of organisation (to be supplied by Corporate Procurement) Not applicable Status of Organisation (to be supplied by Corporate Procurement) Not applicable Contract Value (£) £1,257,987 per annum estimated average Contract Duration 8 years Contract Start Date 01/08/2025 Contract End Date 31/03/2033 Optional Extension Period 1 Not applicable Optional Extension Period 2 Not applicable Who will approve each Extension Period? Procurement Board (extension > £150k) Contact Officer (Name & number) Rowena Brown 0161 6865765 Lead Service Group People 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 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 Revenue Budget Ethical Contractor (EC): Mayor’s Employment Charter  x tender requirement EC: Committed to sign up to the Charter  x  tender requirement EC: Accredited Living Wage Employer  x tender requirement   The reasons are: Awarding a contract to Salford CVS for the delivery of a grant programme for Short Breaks Care, represents best value for money. CVS will deliver and administer the grant programme and provide oversight of the programmes. It is in the councils best interests due to the resource demands required in managing grant programmes. Salford CVS already administer a small grant programme on behalf of children’s services and this is effective and well monitored. The council has a legal obligation to provide a variety of activities for children with disabilities under the short breaks offer.   The establishment of an open framework for providers of individual care packages will support with the increase in sufficiency in the local market and allow the council to have more control of costs incurred for individual packages of short break care.   Options considered and rejected were: Considering the current challenges in the delivery of short break care and parental feedback, a number of commissioning options have been considered, as set out below:   Contracting arrangements 1.  The Council establishes a contract with a provider to establish a block contract for the targeted short break services and a contract with Salford CVS for the management and administration of the funding for Community based events and services. 2.  The Council establishes contracts with community-based providers to establish block contract for the targeted short break services and a contract with Salford CVS for the management and administration of grant funding for Community based events and services. 3.  The Council establishes a contract with Salford CVS in April 2025 for the management and administration of grant funding for both targeted short breaks services and community-based events and services, as a pilot project.  This contract will run in parallel with the final 3 months the existing targeted short break service contracts, to provide sufficient lead in time for providers to apply for grants to fund service provision from 1 January 2025.   It has been concluded that any form of block contract arrangements carries an element of delivery and financial risk. To effectively manage the current group block contracts, and to ensure the gaps in oversight are resolved, considerable officer time would be required to contract manage 7 individual small contracts.   It has also been assessed that the distribution of the grant programme by Salford CVS is effective and enables good oversight of the provision and the opportunity for consistent feedback approaches from parents.   It is therefore proposed that the Council establish a contract with Salford CVS for a pilot project under which, in addition to the current community grant programme, the funding for the targeted provision be administered via grant funding agreements, with the delivery outcomes matching the current service delivery. The monitoring of the services, parental feedback and quality assurance of the services will be delivered by the grant administrator for a set fee of 10% of the contract value.   This model of delivery could also allow VCSE services to access additional grant opportunities, as they would not have formal commissioning arrangements with the council. This could allow for more opportunities for children and young people within their communities.   Framework Arrangements 1.         Continued use of the Manchester City Council Flexible Purchasing System (FPS) for short breaks services. 2.         Establishment and use of a Salford City Council Open Framework for short breaks services and Continued use of the Manchester City Council Flexible Purchasing System (FPS) for short breaks services.   Due to the Manchester City Council FPS being managed by another contracting authority the Council does not have any control over the process that are used to manage the framework and cannot guarantee that the current issues experienced to lack of capacity the within the Salford area will be resolved.   It is therefore proposed that the Council establishes an Open Framework, under its own management, for one or more lots (subject to the outcome of market engagement), which can be specifically designed to be targeted at building and increasing capacity in the Salford area when and as required.   Assessment of risk: Risk relates to the implications if the scheme does not happen or any risk if there is a potential delay in making the award.   The source of funding is: The Budget that will meet the cost of the scheme is ‘short breaks, Partnerships and Commissioning’.   Legal advice obtained: When commissioning contracts for the procurement of goods, services or the execution of works, the Council must comply with public procurement legislation and its own Contractual Standing Orders (CSO’s), failing which a contract may be subject to legal challenge from an aggrieved provider. CSO’s apply to every contract, including temporary ones, for the procurement of supplies, services and the execution of works undertaken by or on behalf of the Council, subject to certain exceptions listed in the Orders. The grant administration services contract is under the statutory procurement threshold and can therefore be awarded as an exception to the Council's CSO's. It is considered appropriate in these circumstances for the Council to seek an exception to its CSOs on the grounds of best value and/or it being in the Council's best interests to meet its obligations under relevant legislation to enter into a contract with Salford CVS. The Council undertaking a compliant tender process to set up a framework agreement will comply with the Council's CSO's. The Council has standard forms of contract and framework agreement which will give it suitable rights, remedies and protections.   Financial advice obtained: The annual cost of the proposed contract is the same as the annual costs of the individual contracts that are ending as at 31st December 2024 so there will be no change in the financial position.   The introduction of a Salford Framework will not adversely impact the current financial position for specialist short break care.   Procurement advice obtained: Pilot Programme for Grant Administration The Council’s constitution sets out that exception to CSOs can be approved for Special education, health or social care contracts, where it is considered in the Council’s interests in regard to delivering best value and enabling the Council to meet its obligations under relevant legislation.   It has been assessed that the administrative services provided by Salford CVS would fall within the scope of the CPV code 85321000-5 Administrative social services which is subject to the Light Touch Regime (LTR) provisions. The value of the contract for this pilot programmes is below the FTS threshold for Social and other Specific Services and whilst there is always a risk of challenge from an aggrieved supplier when a contract is a direct award, this is assessed to be low due the limited period of time during which the pilot project will operate and relatively low percentage of the total value that is permitted to be retained by the contracted provider for the administration of the grant scheme. Following a review of the success of the pilot during the contract term, the Procurement team will provide support and guidance for any procurement activity required to establish the future contracting arrangements required.   Procurement of an Open Framework for the Provision of Short Breaks Care The Procurement Act 2023 and the Public Contract Regulation 2024, which will be implemented in October 2023 introduce the option for contracting authorities to establish open frameworks for a period of up to 8 years (subject to the framework being opened at least once in the first three years and the framework having a minimum of 2 providers).  It has been confirmed that the anticipated procurement of the above framework will take place after the date of the implementation of the new procurement regulations, and whilst all detailed guidance has not at this time been published by the Cabinet the procurement team in accordance with the prevailing legislation and statutory guidance at the time of publication of the contract notice.   The procurement team will also add the procurement of the open framework to the commercial pipeline for Children’s Services.   HR advice obtained: not applicable as externally sourced.   Climate change implications obtained: N/A.   Contact details Contact Officer: Rowena Brown Telephone number: 0161 6865765   ·      The Lead Member has been consulted and is supportive of the proposed contract.     Signed:    Paul Dennett       Dated:     9 December 2024.                   City Mayor   FOR DEMOCRATIC SERVICES USE ONLY   *           This decision was published on 19 December 2024 *           This decision will come in force at 4.00 p.m. on 30 December 2024 unless it is called-in in accordance with the Decision Making Process Rules.