Decisions

12.1

The Director of Public Health and the Deputy Executive Director, People Services, submitted a report seeking approval to proceed to award of contracts for provision of sexual health services to commence on 1^st August 2019.

12.2

RESOLVED: That Cabinet:- 

(a)

notes the additional financial impact on the Council in awarding this contract and that contract award will require additional savings from other budgets in the 2020/21 budget process, and that, in accordance with the Council’s Constitution, any immediate financial implications will be addressed by the Head of Strategic Finance, in consultation with the Cabinet Member for Finance and the Director of Finance and Commercial Services; and

(b)

approvesthe Director of Public Health and the Deputy Executive Director, People Services, proceeding to contract award in accordance with previous delegations.

12.3

Reasons for Decision

12.3.1

The bids received have been modelled and priced based on outturn service activity data provided by SCC and are therefore considered to be realistic and accurate and any alternative model would require reduced activity with the likely consequence of a significant additional financial pressure on SCC further down the line due to the open access nature of the service and SCC’s related statutory responsibilities.

12.3.2

Approval of the additional expenditure on these services will enable contract award and service mobilisation to commence as per the intended procurement timescales.

12.4

Alternatives Considered and Rejected

12.4.1

Consideration was given to aborting the current procurement process to allow for further re-design of the service model with a view to generating further savings following a new procurement process.  However, the bids received have been modelled and priced based on outturn service activity data provided by SCC and are therefore considered to be realistic and accurate. Further re-design in response to reducing spend on these services would therefore require specifying a reduced amount of activity. It is likely that this would create a significant additional financial pressure on SCC due to the open access nature of the service and SCC’s related statutory responsibilities.

12.4.2

The intended model has been carefully designed based on service user feedback and detailed health needs assessment. Applying significant changes to the service model could impact on service quality and patient safety.

12.5

Any Interest Declared or Dispensation Granted

None

12.6

Reason for Exemption if Public/Press Excluded During Consideration

None

12.7

Respective Director Responsible for Implementation

Greg Fell (Director of Public Health) and John Doyle (Deputy Executive Director, People Services).

12.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Healthier Communities and Adult Social Care.

(NOTE: The decision relating to sexual health services was taken as an urgent item of business at the meeting.)

11.1

The Executive Director, Place, submitted a report seeking approval for Sheffield City Council to tender for, and award a new contract for the provision of Heat Metering Services for its District Heating network.  Existing contractual arrangements are due to end in September 2019 and it is intended to award a new contract from this date.

11.2

RESOLVED: That Cabinet:- 

(a)

approves the procurement of District Heating Metering Services via a Public Sector Framework Agreement, as detailed and outlined within the report; and

(b)

delegates authority to the Director of Finance and Commercial Services, in consultation with the Director of Housing and Neighbourhoods, following such procurement exercise to award such contract and take such other necessary steps not covered by existing delegations to achieve the outcomes outlined in the report.

11.3

Reasons for Decision

11.3.1

After considering the nature of this contract and taking on board the essential regulatory compliance/value for money requirements, the best option for the Council is to award via mini competition under a Public Sector Framework Agreement.

11.3.2

Out of the two available frameworks, the Yorkshire Procurement Organisation (YPO) is the favoured option.  Sheffield City Council has a long standing relationship with YPO and they have a proven and established track record in delivering frameworks for use by the public sector.

11.4

Alternatives Considered and Rejected

11.4.1

As part of an extensive appraisal of the potential procurement options available to the Council, the following options were considered:-

• Option 1 > Above OJEU Invitation to Tender for services (Open procedure).

• Option 2 > Call off via mini competition under a Public Sector Framework Agreement – options included YPO 642 Framework for Utilities Metering and Data Collection Services and Fife Council 10366 Framework for Heat Metering and Billing Services.

• Option 3 > Renegotiate and extend the current contract through a waiver of Contracts Standing Orders.

11.4.2

It was concluded that Option 3, which would seek a further waiver of Contracts Standing Orders, would contravene PCR Regulations and present a serious risk of challenge from alternative suppliers in the market. This would also not provide the Council the opportunity to test the market through a competitive exercise and therefore may not achieve value for money.

11.4.3

Option 1 would require a significant length of time in completing a full above OJEU threshold procurement exercise and would likely exceed the expiry of the current contract ending September 2019. Furthermore, this option would require further resources in terms of time and people.

11.4.4

Having considered all options through the regular project group meetings (including advice from Commercial Services), Option 2 is recommended for the following reasons:- 

• The framework agreements are compliant with EU/UK procurement.
• Pre–agreed terms and conditions - all providers have signed and accepted this agreement and terms and conditions of call off.
• Assured supplier standards - suppliers are pre-qualified as to their general suitability, giving customers confidence in the quality of service/products they can provide.
• Use of framework agreements is recognised best practice for the procurement of goods and services in public sector.
• Reduced timescales - with no need to publish requirements by OJEU or pre-qualify suppliers.
• Immediate access/use of frameworks.
• Ability to use our own detailed and tailored specification.
• Can allow for direct call offs and also mini competitions.

11.4.5

Both frameworks offer a compliant, cost effective and straight forward/quicker route to market consisting of multiple suppliers who have been pre-qualified and deemed suitable to provide the requested services. Furthermore, the incumbent suppliers Switch 2 are a named supplier on both frameworks.  

11.5

Any Interest Declared or Dispensation Granted

None

11.6

Reason for Exemption if Public/Press Excluded During Consideration

None

11.7

Respective Director Responsible for Implementation

Laraine Manley, Executive Director, Place.

11.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Safer and Stronger Communities.

10.1

The Executive Director, Resources, submitted a report providing details of proposed changes to the Capital Programme, as brought forward in Month 01 2019/20.

10.2

RESOLVED: That Cabinet approves the proposed additions and variations to the Capital Programme, listed in Appendix 1 of the report, including the procurement strategies and delegates authority to the Director of Finance and Commercial Services or nominated Officer, as appropriate, to award the necessary contract.

10.3

Reasons for Decision

10.3.1

The proposed changes to the Capital Programme will improve the services to the people of Sheffield.

10.3.2

To formally record changes to the Capital Programme and gain Member approval for changes in line with Financial Regulations and to reset the Capital Programme in line with latest information.

10.3.3

Obtain the relevant delegations to allow projects to proceed.

10.4

Alternatives Considered and Rejected

10.4.1

A number of alternative courses of action are considered as part of the process undertaken by Officers before decisions are recommended to Members. The recommendations made to Members represent what Officers believe to be the best options available to the Council, in line with Council priorities, given the constraints on funding and the use to which funding is put within the Revenue Budget and the Capital Programme.

10.5

Any Interest Declared or Dispensation Granted

None

10.6

Reason for Exemption if Public/Press Excluded During Consideration

None

10.7

Respective Director Responsible for Implementation

Eugene Walker, Executive Director, Resources.

10.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Overview and Scrutiny Management Committee.

9.1

The Executive Director, Resources, submitted a report providing the outturn monitoring statement on the City Council’s Revenue and Capital Budget for 2018/19.

9.2

RESOLVED: That Cabinet:- 

(a)

notes the updated information and management actions provided by the report and attached appendices on the 2018/19 Revenue Budget Outturn;

(b)

notes the recommendation of the Executive Director, Resources and Statutory Finance Officer, at paragraph 14 of the report, that the General Fund reserve is returned to the minimum recommended level of £12.6m (approximately 3% of net revenue expenditure) during 2019/20;

(c)

in relation to the Capital Programme, notes the Outturn position described in Appendix 6 of the report; and

(d)

in relation to the Treasury Management Review in Appendix 7 of the report, notes the 2018/19 Treasury Management Outturn Report.

9.3

Reasons for Decision

9.3.1

To record formally changes to the Revenue Budget and the Capital Programme.

9.4

Alternatives Considered and Rejected

9.4.1

A number of alternative courses of action are considered as part of the process undertaken by Officers before decisions are recommended to Members.  The recommendations made to Members represent what Officers believe to be the best options available to the Council, in line with Council priorities, given the constraints on funding and the use to which funding is put within the Revenue Budget and the Capital Programme.

9.5

Any Interest Declared or Dispensation Granted

None

9.6

Reason for Exemption if Public/Press Excluded During Consideration

None

9.7

Respective Director Responsible for Implementation

Eugene Walker, Executive Director, Resources.

9.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Overview and Scrutiny Management Committee.