Agenda item

To seek authority to modify the existing Construction and Highways Works and Services Framework Agreements

The Cabinet considered a report of the Deputy Chief Executive (Place) that was seeking approval to modify existing Construction and Highways Works and Services CHWS Framework Agreements, which had expired on 2^nd October 2023, by extending the term of the agreements by one year (to expire on 2^nd October 2024), to facilitate the design and completion of a fit for purpose procurement process for the establishment of new multi-lot CHWS Framework Agreements and by uplifting Charges payable to appointed suppliers.

The most recent Framework Agreements for CHWS had expired on 2^nd October 2023 and there had been insufficient time to develop and complete a tender process for a replacement framework arrangement which met service delivery requirements and wider corporate objectives (such as social value), prior to the expiry of the agreements. There had also been insufficient time to conduct the extensive market engagement required to ensure an appropriate procurement model was deployed to attract the most economically advantageous suppliers.

If the current CHWS Framework Agreements were to expire without new arrangements being in place, this would leave officers without access to procurement compliant framework arrangements which facilitate the efficient weekly procurement of statutory compliance works and services, maintenance and minor works without the need to commission on a case-by-case basis in accordance with Contract Procedure Rules. It was, therefore, proposed that current Framework Agreements are modified to extend their expiry date to 2^nd October 2024, but also to apply an inflationary increase to the Charges payable to suppliers.

Alternatives/options considered:

The Cabinet was presented with two options:

a.    Option 1 – To modify and extend current CHWS Framework Agreements for a period 3^rd October 2023 to 2^nd October 2024, to facilitate the development and implementation of new arrangements. Also, to modify current CHWS Framework Agreements to apply an inflationary increase to charges payable to suppliers.

b.    Option 2 – Not to approve the further 12-month extension of the existing CHWS Framework Agreements until 2^nd October 2024 and not to apply an inflationary increase to charges. This option is not considered viable as the consequence of this will leave the Council without access to framework suppliers and each scheme or works package would need to be individually quoted or tendered for in accordance with Contract Procedure Rules, which is considered an inefficient procurement method and would not provide best value.  

Resolved:

That Cabinet approval is given to –

1.    Cabinet approves a modification to extend those current CHWS Framework Agreements, detailed at Appendix A, for a term of 12-months, to allow sufficient time to robustly procure and mobilise a new CHWS framework arrangements from 3rd October 2024 and to apply an inflationary uplift to the charges payable under the Framework Agreements, as detailed in the submitted report.

2.    The Cabinet delegates approval to the Deputy Chief Executive (Place), Director of Environment and the Director of Economy, as appropriate, to award call-off contracts under the Framework Agreement entered into under the CHWS framework arrangements, subject to compliance with the prescribed call-off procedures and the formalisation of call-offs using the prescribed forms of contract.

3.    The Cabinet delegates authority to the Director of Legal Services, or their appointed nominee, to carry out all legal formalities in connection with this matter.