SMBC23044 – Appointment of Electrical Contractors for Lot 1, Lot 2 & Lot 3 Works

June 6, 2024 Executive Director - Place (Officer) Approved View on council website
Full council record
Purpose

Minutes of Cabinet, Wednesday, 18 January
2023

Minute 6/23 Asset Management Investment Programme for Housing
202324

Content

(1) That approval be given to appoint the
following Contractor’s to undertake Electrical Repairs and
Testing within the Sandwell Metropolitan Borough for a period of 3
years with an option to extend by a further 1 year, commencing on 1
July 2024.
• Lot 1 & 2 North – C&S Electrical Installations
Limited
• Lot 1 & 2 South – The Dodd Group
• Lot 3 – Open View Security Solutions Limited

Reasons for the decision

During January 2023, Cabinet resolved to
procure and appoint contractors to undertake electrical services
for the council’s housing service. The services are to be let
based on four distinct Lots.
• Lot 1 Electrical Repair and Maintenance
• Lot 2 Electrical Periodic Inspection and Reporting to both
domestic dwellings and communal areas
• Lot 3 Periodic Inspection and Reporting of Fire Alarms

For the delivery of the works identified in Lots 1 and 2 we are
seeking to appoint two Contractors, one to serve the North of the
Borough and one in the South with the most economically
advantageous tender awarded the North area and the second most
economically advantageous tender.
awarded the South area.

The existing Contracts have been extended until 30 June 2024 during
which time an Internal Procurement process has been undertaken to
establish the most competitive and technically compliant tenders to
carry out the works.

C&S Electrical Installations Limited were scored 97.82% overall
for the Lot 1&2 North and 97.66% overall for Lot 1&2 South,
making them in both instances the overall winners. However, the
Tender stated that a Contractor would be limited to one Lot in the
event that they were lowest on one or more Lot. That being the case
C&S Electrical Limited are to be appointed to undertake Lot
1&2 North.

The Dodd Group were awarded 94.97% overall for Lot 1&2 South
making them runner up. Given the above The Dodd Group are to be
appointed to undertake Lot 1&2 South.

Open View Security Solutions Limited were awarded 98.13% overall
for Lot 3 Works making them overall winners. Open View Security are
to be appointed to undertake Lot 3 Works.

Appointment Values

Lot 1& 2 North (3 years with option to extend by a further 1
year) – Subject to Indexation after Year 1

C& Electrical Limited - £2,254,852.04 ex VAT

Lot 1& 2 South (3 years with option to extend by a further 1
year) – Subject to Indexation after Year 1

The Dodd Group - £2,412,543.88 ex VAT

Lot 3 (3 years with option to extend by a further 1 year) –
Subject to Indexation after Year 1

Open View Security Solutions Limited - £200,555.00 ex
VAT

Total Value Exc. Indexation for a 4-year Period -
£4,867,950.92 ex VAT

Alternative options considered

Do Nothing. This was non-compliant as existing
contracts have either expired or agreed procurement limits are
about to be exceeded or are already exceeded. Without suitable
arrangements, the Council was unable to fulfil its landlord
obligations and maintain its housing assets. This option was not
available to provide the services over the medium and long term and
does not address continued service provision until further
procurement activity was There are no alternate options.

Re-procurement of the services and works. The Council could choose
to undertake a procurement exercise without an extension to the
contracts. This would mitigate some risks of non-compliance going
forward but was not recommended as it will mean the cessation of
services to residents and service users and places the Council at
risk of not meeting its statutory duties. Furthermore, cessation of
services to enable an immediate procurement exercise would likely
result in significant delay until new suppliers/service providers
were appointed.

Details

OutcomeRecommendations Approved
Decision date6 Jun 2024