Agenda item

Contract Standing Orders - Proposed Amendments

Minutes:

The Authority was a Contracting Authority for the purpose of the Public Contracts Regulations 2015 (PCR) and was required to comply with the procedures and award of contracts as set out in those regulations.

 

Under PCR 2015, “contracting authorities” means, “the state, regional or local authorities, bodies governed by public law or associations formed by one or more such authorities or one or more such bodies governed by public law and includes central government authorities”.

 

Where those regulations did not apply (for contract values below EU thresholds) the Authority had its own procedures in place in the form of Contract Standing Orders. These formed part of the Constitution along with Financial Regulations and the Scheme of Delegation.

 

These had been reviewed and updated to reflect current practices, align with the Service’s regional partners, enable resources to be better focused, and were reflective of the current financial and economic climate.

 

Members considered the amended Contract Standing Order thresholds and amendments highlighted in the report relating to goods, services, consultancy and works, which also reflected current external EU thresholds.

 

Please note ‘Find a Tender’ replaced OJEU for the UK as part of Brexit arrangements as set out within The Public Procurement (Amendments etc). (EU Exit) Regulations 2020.

 

FOR ALL GOODS & SERVICES & CONSULTANCY 

 

Up to £25,000:

With the exception of public utility Services i.e., gas, electric and periodical payments goods services or consultancy may be procured using an official order (PO).

Between £25,001 and £75,000:

At least three (3) written request for quotations (RFQ) must be requested. Procurement Department could assist, best value should be evidenced.

 

 

Between £75,001 and £213,477

A Tender process was required with Procurement Department involvement. This would be a ‘Non-Find a Tender’ process with a minimum of three (3) invites.

 

Over £213,477

A Tender process was required with Procurement Department involvement. This would be a ‘Find a Tender’ process, Regulations must be followed and with a minimum of three (3) invites.

 

Find high value contracts in the public sector - GOV.UK (www.gov.uk)

 

 

FOR ALL WORKS

 

Up to £50,000

 

May be purchased using an official order (PO), best value should be evidenced.

 

Between £50,001 and £100,000

 

At least three (3) written request for quotations (RFQ) must be requested. Procurement Department could assist, best value should be evidenced.

 

Between £100,001 and £5,336,937

 

A Tender process was required with Procurement Department involvement. This would be a ‘Non-Find a Tender’ process with a minimum of three (3) invites.

 

Over £5,336,937

 

A Tender process was required with Procurement Department involvement. This would be a ‘Find a Tender’ process, Regulations must be followed and with a minimum of three (3) invites.

 

Find high value contracts in the public sector - GOV.UK (www.gov.uk)

 

All Contracts above £25,000k must still be published as an opportunity on Contracts Finder and a Contract Award notice still to be completed.

 

Contracts Finder - GOV.UK (www.gov.uk)

 

In addition, it was also proposed to: -

  • Increase the Member Tender Panel approval level from £100k to £175k.
  • Increase the High Value Procurement Report threshold from £100k to £175k.

 

Members noted these thresholds had already been discussed with the Chair and Vice-Chair of Resources Committee who were supportive of the proposal.

 

RESOLVED:-  That the Audit Committee approved the amended Contract Standing Order thresholds as outlined in the report.

 

Supporting documents: