Issue - meetings

RESOLVED:

That the proposed Contract Procedure Rules be adopted with harmonised delegated authority levels for spending decisions within the Constitution with effect from 1 November 2016.

The Chief Officer (Governance) introduced the report on Contract Procedure Rules (CPRs). 

            The CPRs set out how officers must advertise and award contracts to ensure that they were let in a lawful, fair and open manner.  It was timely to review them in light of changes in European procurement law, the introduction of the Well Being of Future Generations Act, the move to electronic procurement and the introduction of the new Welsh Language Standards.

            The Council shared its procurement service with Denbighshire County Council and adopting the same CPRs would ensure consistency for suppliers and the service itself.

            The contract values and appropriate authorisation levels were detailed in the report.  Also outlined was information on community benefits which were additional services or investment made by contractors in addition to the goods and services they were contracted to provide.  An example of such a benefit was the apprenticeship scheme as part of the SHARP programme.

            Councillor Attridge moved approval which was duly seconded.

            Councillor Aaron Shotton explained that the report had been considered at Audit Committee, Cabinet and Constitution Committee.  The changes to the CPRs would see the threshold for mandatory inclusion of community benefits being dropped from £2 million to £1 million. That was not only in line with Welsh Government’s Procurement Policy Guidance, but also reflected the Council’s Improvement Plan where the aspiration was to include community benefit clauses in every contract.

            Councillor Peers sought clarification on contracts being awarded over £1 million as there appeared to be inconsistencies in the report on the authorisation levels.  The Chief Officer explained that the CPRs governed a contract from inception to work being completed.  When a contract was authorised the highest appropriate level of authorisation would apply.  At following stages, such as invoices being paid, these would be delegated to officers.

            Councillor Richard Jones asked for clarification on the difference between multinational companies and local large companies and asked if local companies would be given preference.  The Chief Officer explained that in the 1980s there were Councils that refused to trade with South Africa.  Legislation was passed that said a Council could not take into account the location of a company when letting a contract which prohibited specific reference to saying a local company would be considered.  The Procurement Strategy which would be considered at Cabinet on 15^th November 2016 would say small and medium sized enterprises would be encouraged to bid for work, which by their very nature were generally local companies.

            Councillor McGuill asked if the Council had any consultants that are incentive led.   The Chief Officer said he did not have the answer to that question but he would provide a written response to Councillor McGuill with a copy to all other Members.

RESOLVED:

That the proposed Contract Procedure Rules be adopted with harmonised delegated authority levels for spending decisions within the Constitution with effect from 1 November 2016.