Decision Maker:

Outcome:

Is Key Decision?: No

Is Callable In?: Yes

Date of Decision: February 24, 2025

Purpose:

Content: Salford City Council – Record of Decision   I Councillor Youd, Lead Member for Finance and Support Services and chairman of the Procurement Board, in exercise of the powers contained within the Council Constitution do hereby approve:   ·      to Award the Contract foracceptance of a tender for the maintenance and repairs of boilers and heating systems for the Corporate and School estates, as detailed in the table below: Detail required Answers Title/Description of Contracted Service/Supply/Project Gas and Oil Boiler Repair and Servicing Contract Procurement Reference numbers (DN and CR number supplied by Procurement) DN753642 Name of Successful Contractor J Fletcher Engineers Ltd Supplier Registration Number (to be supplied by Procurement 1828722 Proclass Classification No. (to be completed by procurement)   Type of organisation (to be supplied by Procurement) Private Limited Company Status of Organisation (to be supplied by Procurement) SME Contract Value (£) £108,781 per annum (estimated average) split between £67,415 for corporate properties and £41,366 for schools Total contract value £ (including extensions) £326,343 estimated total project value Contract Duration 36 months Contract Start Date 01/04/2025 Contract End Date 31/03/2028 Optional Extension Period 1 12 months Optional Extension Period 2 12 months Who will approve each Extension Period? Executive Director (extension < £150k) Contact Officer (Name & number)         Lead Service Group Place How the contract was procured? (to be supplied by procurement) ITT Framework Details (where applicable) (procurement body, framework reference & title, start/ end date Open Tender via The Chest Funding Source Revenue Budget Ethical Contractor (EC): Mayor’s Employment Charter Yes   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: To enable the service contract to progress as programmed and be commissioned to start on 1st April 2025.   Options considered and rejected were: None. All procedures are in accordance with normal contractual standing orders.   Assessment of Risk: High It is a statutory requirement that the Council comply with the Gas Safety (Installation and Use) Regulations 1998 (GSIIUR) as amended 6 April 2018.   The source of funding is: The funding sources available for the corporate property gas and boiler plant heating systems service and maintenance are those under the Corporate Revenue Budget. Third party (school) costs will be paid directly by themselves.   Legal Advice obtained: Supplied by Tony Hatton When commissioning contracts for the procurement of goods, services, or the execution of works, the Council must comply with the Public Contracts Regulations 2015 (PCR) and its own Contractual Standing Orders (CSO’s), failing which a contract may be subject to legal challenge from an aggrieved provider. The proposed award of the contract follows a tender exercise by competition in accordance with an Open Tender arrangement via The Chest.   The Council will need to have followed the procedure set out under the CSO’s for open competition to ensure the procurement process is compliant. Thirteen tenders were received from suppliers for this project, which have been evaluated on the most economically advantageous tender basis in line with procurement procedures resulting in the proposed award of the contract to J Fletcher Engineering Ltd. The procurement procedures therefore appear robust and compliant with the requirements of the Council’s CSO’s and public procurement legislation.   The Council has a statutory responsibility under the Gas Safety (Installation and Use) Regulations 1998 (as amended), to prevent misuse, undue consumption, and adherence to safety requirements contained within the Regulations, and as such enters into arrangements with specialist companies to provide servicing, testing, repair etc. in its corporate buildings as required to comply with the legislation.   Legal Services will assist with preparing any contractual documentation upon receipt of instructions to ensure the Council’s position and interest are protected.   Financial Advice obtained: Supplied by Grace Rogerson – Senior Accountant – 07/02/2025 This report seeks approval to award a contract for the maintenance and repair of the City Council’s boilers and heating systems to J Fletcher Engineers Ltd. The contract will span three years, with an annual value of £108,781, and a total contract value of £326,343.   In accordance with the Gas Safety Regulations 1998, it is a statutory requirement for the Council to ensure compliance with these regulations. Therefore, it is imperative to enter into this contract to maintain adherence to the safety standards.   Funding for this contract is available within the Property Revenue repairs and maintenance budgets. The annual contract costs are estimated to be allocated as follows: £67,415 from property revenue, and £41,366 from third-party users (e.g., schools), who will directly cover their respective costs.   Procurement Advice obtained: Supplied by Colette Hilton, Procurement Officer The project has been competitively tendered under the Council’s Constitution governing contract procurement in accordance with a competition under an Open Tender arrangement via The Chest, with a total of 13 bids received of which 2 were non-compliant. The winning tendered has submitted the most economically advantageous offer which also supports the Council’s objectives of delivering social value on this project.   As part of the Council’s Innovate Programme and budget challenges, the service group should consider efficiencies, revenue saving opportunities and enhanced contract management KPI’s as part of this contract.   HR Advice obtained: N/A.   Climate Change Implications obtained: The routine servicing and repairs to boilers and heating systems will help ensure minimum usage of energy requirements and result in reduced emission outputs. The locality of the providers operatives will help reduce travel distances and result in vehicle fuel efficiencies and hence a further saving on carbon and other emissions.   The following documents have been used to assist the decision process: ·      Report to Procurement Board dated 24th February 2025.   Contact Officer: Steve Povall Telephone number: 07713 998372   This matter is not subject to consideration by another Lead Member.   The appropriate Scrutiny Committee to call-in the decision is the     Signed:     Cllr J Youd         Dated:   24 February 2025.                 Lead Member   FOR DEMOCRATIC SERVICES USE ONLY:   *           This decision was published on 24 February 2025 *           This decision will come in force at 4.00 p.m. on 3 March 2025 unless it is called-in in accordance with the Decision Making Process Rules.