Issue - meetings

Procurement Report: Community Meals

Meeting: 16/04/2013 - Cabinet (Item 403)

403 Procurement Report: Community Meals pdf icon PDF 119 KB

(Report of the Director of Adult and Housing Services. To be introduced by the Cabinet Member for Health and Adult Services). The report seeks approval to entering into an Access Agreement with the London Borough of Hammersmith and Fulham, as lead Council, in order to access a Framework Agreement.

 

Minutes:

Cabinet considered a report, introduced by the Cabinet Member for Health and Adult Services, which sought agreement to provide community meals through a Five-Borough Framework Agreement.

 

RESOLVED:

 

  1. That approval be given to the Council entering into an Access Agreement with the London Borough of Hammersmith and Fulham, as lead Council, in order to access a Framework Agreement.

 

  1. That the award of a contract under Contract Standing Orders 7.01. and 9.07.1d too Sodxeo Limited for a period of 3 years from 3 May 2013, with the option to extend to further periods of one year each, which would be subject to Contract Standing Orders 5.02.a, be approved.

 

Alternative options considered

Council officers considered and tested three options including the recommended option to join a consortium.

 

The option to renegotiate the existing contractual arrangements with the current provider Sodexo Limited was discounted on the basis that the existing contractual arrangements had expired and had been extended to the maximum period the Council’s Contract Standing Orders and European and UK Procurement regulations will allow.

 

The second option would require the Council to re-commission and procure the existing community meals service based on the current volume of meals.   This would have required officers to undertaken a commissioning process that would have committed additional time and human resources to a full tender process.

 

In addition to the officer time, physical and financial resources needed to undertake a standalone commissioning and procurement process, the cost of a community meals service would significantly increase due to declining meal volumes.

 

The third option to join a consortium with six other London Boroughs is the preferred option, and is the subject of this report.  The preferred option will provide the Council with an opportunity to realise greater value for public money, attract a provider that is able to meet and deliver a community meals service that offers genuine choice and is able to meet all the quality requirements the Council demands. This will also ensure we are able to achieve nutritional standards and service delivery that meets the needs of the community in Haringey.

 

Reasons for Decision

The total contract value of Haringey Council’s community meals service exceeds the European Union procurement threshold, which as a part B service, is £173,934.  This places a requirement upon the Council to subject this service to a market testing exercise which was undertaken through a formal tender process.   

 

Cabinet are asked to agree the recommendations in section 4 of this report so that the Council can enter into an access agreement with the lead local authority hosting the new framework agreement, for the provision of community meals.

 

By entering into an access agreement in respect of community meal provision, the Council will achieve better value for money, than if it had decided to tender for the service independently.