Agenda Item 10

Sandwell Metropolitan Borough Council

Report to Cabinet Member for Neighbourhoods and Housing

13th July 2007

Highways Direct Orders, Contracts and Select List for the Supply of Specialist Vehicles and Plant

1. Summary Statement

1.1 The Council’s Standing Orders relating to contracts were revised in July 2002 to accord with the models provided by the Chartered Institute of Public Finance and Accountancy (CIPFA) also published in July 2002.

1.2 Under the revised orders, for purchases/services of £1,101 to £40,000, if at least three quotations cannot be obtained approval must be obtained from the appropriate Chief Officer and the matter reported to the appropriate Cabinet Member at his/her next public decision making session (Cabinet Advisory Team).

1.3 For purchases/services of £40,000 and below £100,000 where four tenders are not to be invited, the approval of the appropriate Chief Officer, must be obtained, in consultation with the appropriate Cabinet Member, and the matter reported to the Cabinet Member at his/her next public decision making session (Cabinet Advisory Team).

1.4 There is also a requirement to report back to the Cabinet Member on any contracts awarded in excess of £40,000.

1.5 Details of those orders and contracts are listed in Appendix A.

1.6 Following the expiry of the existing tenders, a review of the Council’s provision for the supply of vehicles and plant was undertaken by the Purchasing Services Office and Fleet Management and Maintenance.

1.7 In conjunction with other local authorities, the Council has joined ‘The Procurement Partnership’ which is a purchasing consortium. The majority of the Council’s fleet will be procured in this way with only the supply of specialist vehicles and plant remaining.

1.8 In order to comply with the Council’s Standing Orders and European Legislation, tenders for the Supply of Specialist Vehicles and Plant were invited in accordance with EU Public Procurement Directives. Following receipt of those tenders a select list has been prepared and is included as Appendix B.

Further details are attached for your information.

2. Recommendations

2.1 That the details of contracts awarded within Highways Direct, as set out in Appendix A, be received and the actions of officers in awarding the contracts be endorsed.

2.2 That the companies listed in Appendix B be included within the Council’s select list for the Supply of Vehicles and Plant for the period 1st July 2007 to 30th June 2011.

In accordance with the authority delegated to the Cabinet Member for Neighbourhoods and Housing, the following course of action has been agreed, which will be set out in the formal record of the decisions taken by the Member:-

(1) the recommendation(s) above is/are approved.

(2) the recommendation(s) above is/are approved as now amended.

(3) the recommendations above are not approved.

Cabinet Member for Neighbourhoods and Housing

13th July 2007

Peter Whitehouse Stuart Kellas Head of Highways Direct Head of Finance and Business Services

Contact Officer

Dave Crisp Major Works Manager 0121 569 4162

Highways Direct Orders and Contracts

3. Strategic Resource Implications

3.1 The cost of orders and contracts detailed in Appendix A will be funded from the Local Transport Plan and Revenue Maintenance Programmes and compilation of the select list has no specific resource implications.

4. Legal and Statutory Implications

4.1 The reporting of the award of contracts and the recommendations of this report are in accordance with the Council’s Standing Orders relating to contracts revised in July 2002.

5. Implications for the Council’s Corporate Priorities

Transforming the physical environment

5.1 The award of the contracts listed enables work of transforming the physical environment through a variety of new build and maintenance schemes to continue.

6. Background Details

6.1 The Council’s Standing Orders relating to contracts were revised in July 2002 to accord with the models provided by the Chartered Institute of Public Finance and Accountancy (CIPFA) also published in July 2002.

6.2 Under the revised orders, for purchases/services of £1,101 to £40,000, if at least 3 quotations cannot be obtained approval must be obtained from the appropriate Chief Officer and the matter reported to the appropriate Cabinet Member at his/her next public decision making session (Cabinet Advisory Team).

6.3 For purchases/services of £40,000 and below £100,000 where 4 tenders are not to be invited, the approval of the appropriate Chief Officer, must be obtained, in consultation with the appropriate Cabinet Member, and the matter reported to the Cabinet Member at his/her next public decision making session (Cabinet Advisory Team).

6.4 Details of those orders and contracts are listed in Appendix A.

6.5 In some cases it is either necessary or desirable to place orders and contracts with sole suppliers, companies who have provided exceptional service, or specialist companies which can be considered to be providing best value. In addition in some cases it is necessary to invite fewer than four tenders due to the specialist nature of the work or services required. Appendix A contains details of those contracts.

6.6 In response to public advertisement for the Supply of Specialist Vehicles and Plant tender documents were issued of which 34 valid tenders were received and opened on 20th April 2007.

6.7 A full analysis of tenders has been undertaken ensuring that the suppliers had completed the document in accordance with instructions, relevant levels of insurance are met and acceptance of Council’s terms and conditions of contract.

6.8 Tenders were invited for the period 1st July 2007 to 30th June 2011 with the option to extend up to a further 3 years. Such extension would be the subject of a future report.

Source Documents

Quotations and tenders received (exempt information). Tender Documents. Analysis of Returned Tenders. Appendix A

Section One

Tenders received when less than 4 invited

Company Name Contract For Value of Reason for Less than 3 Tenders Contract K & K Engineering Repair of Parapet Fencing 1,750.00 Only two tenders returned.

Nu-Weld Engineering Repair of Safety Fence 1,910.00 Only two tenders returned

B J Smith Repair of brick wall £2,860.00 Only two tenders returned

Mott MacDonald Ltd A41 Expressway Reappraisal £9,975.00 Previous work by company on original Annex E submission.

George Corderoy & Cradley Heath Bypass £30,502.00 The company provided quantity Co Ltd Commercial Services surveying advice for Owen Street Relief Road, Blackheath Bypass and Cradley heath Bypass. Contract Value allows completion of Cradley Heath Bypass after original contract sum is exceeded (after car set on fire beneath bridge).

Mott MacDonald Ltd Emergency inspection, £21,816.60 Emergency work carried out by structural investigation and company who carried out original bridge assessment of Tipton Green assessment. Bridge

APPENDIX B - SELECT LIST FOR THE SUPPLY OF VEHICLES AND PLANT VEHICLE CATEGORY 1 REFUSE AND RECYCLING VEHICLES 7.5 TONNE UPWARDS