Decision

Salford City Council – Record of Decision

I Paul Dennett, City Mayor, in exercise of the powers contained within the Council Constitution do hereby:

·      approve to Award the Contract for the Provision of Legal Services to Salford City Council, as detailed in the table below:

·      approve that the City Solicitor is authorised to agree and finalise the terms of the Partnership Agreement with Manchester City Council and to execute the Agreement.

Detail required

Answers

Title/Description of Contracted Service/Supply/Project

Provision of Legal Services to Salford City Council

Procurement Reference numbers (DN and CR number supplied by Procurement)

N/A

Name of Successful Contractor

Manchester City Council

Supplier Registration Number

(to be supplied by Procurement

N/A

Proclass Classification No.

(to be completed by procurement)

N/A

Type of organisation

(to be supplied by Procurement)

Other

Status of Organisation

(to be supplied by Procurement)

Non-SME

Contract Value (£)

£ 4m per annum

Total contract value £ (including extensions)

£20m total project value

Contract Duration

36 months

Contract Start Date

01/04/2025

Contract End Date

31/03/2028

Optional Extension Period 1

24 months

Optional Extension Period 2

N/A

Who will approve each Extension Period?

Procurement Board (extension > £150k)

Contact Officer (Name & number)

surjit.tour@salford.gov.uk

Lead Service Group

Reform & Transformation

How the contract was procured?

(to be supplied by procurement)

Other

Framework Details (where applicable)

(procurement body, framework reference & title, start/ end date

N/A

Funding Source

Revenue Budget

Ethical Contractor (EC): Mayor’s Employment Charter

N/A

EC: Committed to sign The Mayor’s Employment Charter

N/A

EC: Committed to the principles outlined in the Mayor’s Employment charter

N/A

EC: Accredited Living Wage Employer

Yes

EC: Committed to becoming Accredited Living wage Employer

N/A

?

The Reasons are:

The current contractual arrangement expires on 31 March 2025 and cannot be extended further. There are no alternative arrangements in place to provide legal services to Salford City Council.

Options considered and rejected were:

Not to enter into a contract with Manchester City Council was rejected on the grounds that there is currently no viable alternative arrangement to provide legal service to Salford City Council on the scale and with the complexity required.

Assessment of Risk: High

The source of funding is:

The approved revenue budget allocated to the Resources and Transformation Directorate.

Legal Advice obtained: Supplied by: Dave Wilcock, Solicitor (Corporate Projects), supported by Browne Jacobson Solicitors.

A formal procurement process by SCC has not been undertaken, on the basis that the contract is a ‘Horizontal Arrangement’ as defined in Schedule 2 of the Procurement Act 2023, which means that it is an Exempted Contract. Because of the exemption, the tendering provisions of the Act do not apply.

Financial Advice obtained: Supplied by: David Mills – Strategic Head of Finance

The report is seeking to approval the award of a contract for the provision of legal services, in the form of a Partnership Agreement, to Manchester City Council. The Agreement with run between 3 and 5 years, with an optional mutual break after 18 months. The anticipated cost of this service is £4m per annum with increases to reflect inflation each year. The contract will be subject to strict management controls to ensure that costs are contained.

Procurement Advice obtained: Supplied by:  Emma Heyes, Category Manager The Corporate Procurement Team

The Procurement Act 2023, which comes into effect on 24th February 2025, makes provision for exempted contracts.

The exemption in this case being relied on is defined in Schedule 2 of the Procurement Act 2023, 3(1); A contract between contracting authorities only that relates to a horizontal arrangement between those authorities.

A “horizontal arrangement” means an arrangement—

(a) entered into—

(i) with the aim of achieving objectives the authorities have in common in connection with the exercise of their public functions;

(ii) solely in the public interest;

(b) in which no more than 20 per cent of the activities contemplated by the arrangement are intended to be carried out other than for the purposes of the authorities’ public functions.

HR Advice obtained: Supplied by: Kate Story, Strategic HR Manager

As the arrangements are currently being provided by Manchester City Council and the proposal is to engage further with them through contractual arrangements the staffing implications are minimal.  The report sets out that TUPE would be applicable at the cessation of the agreement ends and any further agreements/contracts would need to be cognisant of this.

Climate Change Implications obtained: N/A

The following documents have been used to assist the decision process:

·      There are no previous reports. Forward briefings have taken place with SLT, CMT, the Lead Member, City Mayor (January 2025) and Cabinet (11 February 2025).

Contact Officer: Dave Wilcock; Mark Jones

Telephone number: dave.wilcock@salford.gov.uk ; m.jones@salford.gov.uk

·      This matter is also subject to consideration by the Lead Member for Lead Member for Finance, Support Services and Regeneration. The Lead Member has been consulted and is supportive of the proposed contract.

·      This matter is not subject to consideration by another Lead Member.

·      The appropriate Scrutiny Committee to call-in the decision is the Overview and Scrutiny Board.

Signed:    Paul Dennett       Dated: 10 March 2025.

                   City Mayor

FOR DEMOCRATIC SERVICES USE ONLY:

*           This decision was published on 11 March 2025

*           This decision will come in force at 4.00 p.m. on 18 March 2025 unless it is called-in in accordance with the Decision Making Process Rules.