Issue - meetings

This report seeks approval to commence negotiations and detailed arrangements for the supply of building related materials to Building Services following competition to select a preferred bidder using the OGC (Office of Government Commerce) procurement route.

This report sought approval to commence negotiations and detailed arrangements for the supply of building related materials to Building Services following competition to select a preferred bidder using the OGC (Office of Government Commerce) procurement route.

Members were reminded that in the past materials had been sourcedthrough separate contracts with various suppliers procured through the normal procurement routes within the City of York Council financial regulations. This had involved placing an advert within OJEU (The Official Journal of the European Union) and then sending out tenders to suitable suppliers who passed an initial pre-qualifying test. This had been a long drawn out process which could take up to 6 months to complete and involved a great deal of officer time.

Working with OGC and the City of York Council procurement team a competition had be undertaken with two national companies with a strong local presence, Jewsons Ltd and Wolseley UK and the results of this process was set out in Annex 1 of the report.

Members then considered the following options 

Option A. The result of the procurement process has indicated that Jewsons Ltd. represent best value for money in terms of financial, quality and service delivery.  The option to accept these results and enter into negotiations to form a five-year partnership agreement with an option to extend for a further three years with Jewsons Ltd. is recommended.

Option B. To abandon this process and adopt a more traditional procurement route.

Advice of the Advisory Panel

That the Advisory Panel advise the Executive Member to approve Option A to allow the Director of Neighbourhood Services to enter into negotiations for a five year supply agreement with Jewsons Ltd (Saint Gobain Building Distribution).

Decision of the Executive Member

RESOLVED:      That the advise of the Advisory Panel be accepted and endorsed.

REASON:            This option represents best value for both the service and      the customers.

This report sought approval to commence negotiations and make detailed arrangements for the supply of building related materials to Building Services, following competition to select a preferred bidder using the OGC (Office of Government Commerce) procurement route.

Members were reminded that in the past materials had been sourcedthrough separate contracts with various suppliers procured through the normal procurement routes within the City of York Council financial regulations. This had involved placing an advert within OJEU (The Official Journal of the European Union) and then sending out tenders to suitable suppliers who passed an initial pre-qualifying test. This had been a long drawn out process which could take up to 6 months to complete and involved a great deal of officer time.

Working with OGC and the City of York Council procurement team a competition had been undertaken with two national companies, with a strong local presence, Jewsons Ltd (St Gobain Building Distribution) and Wolseley UK and the results of this process was set out in Annex 1 of the report.

Officers stated that the negotiation of such a contact would benefit both the authority and its workforce. Jewsons Ltd, the company recommended for the supply of materials, had indicated that the authority would receive one monthly invoice for materials thereby cutting Officers time in processing individual invoices.

Members questioned the monitoring of the contract and Officers confirmed that this would be undertaken both through OGC benchmarking and internally and that this information would be made available to Members.

Members then considered the following options 

Option A. The result of the procurement process has indicated that Jewsons Ltd. represent best value for money in terms of financial, quality and service delivery.  The option to accept these results and enter into negotiations to form a five-year partnership agreement with an option to extend for a further three years with Jewsons Ltd. is recommended.

Option B. To abandon this process and adopt a more traditional procurement route.

Advice of the Advisory Panel

That the Advisory Panel advises the Executive Member to approve Option A and allow the Director of Neighbourhood Services to enter into negotiations for a five year supply agreement with Jewsons Ltd (Saint Gobain Building Distribution).

Decision of the Executive Member

 RESOLVED:      That the advise of the Advisory Panel be accepted and endorsed.

 REASON:            This option represents best value for both the service and    the customers.