Decision details

The CMDN contains an exempt annex which is NOT FOR PUBLICATION in accordance with paragraph 3 of Schedule 12A of Part 1 of the Local Government Act 1972 in that it contains information relating to financial and business affairs namely, details of the tender sums submitted.

The public interest test has been applied to the information that is contained in the Exempt Annex to this Decision Notice and it is considered that the need to retain the information as exempt outweighs the public interest in disclosing it because to disclose it could compromise the Council’s position in any future procurement for these works.

The Cabinet Member is recommended to:

1. Extend the Council’s contract with Turning Point Ltd for 1 year with an option to extend by a further 1 year the provision of the Community Based Supported Living Service.

2.   Authorise the Strategic Director for Health and Adult Social Care to vary the terms of the contract to include:

• reduction of the contract sum from £2, 011, 375 per annum to a sum not exceeding £1,750,000 per annum or such lower contract sum as may be agreed with Turning Point Ltd and/ or removal of individual services during the term of the contract;
• the option to novate (transfer) the above contract from Turning Point to another company within the Turning Point group, Turning Point (Services) Limited if the novation will lead to further economic benefit to the Council.

the option to pay value added tax, where applicable, within 7 days after receipt of a valid VAT invoice.

The council and Turning Point Ltd have during the term of the current contract worked on service improvements and enhanced value for money, and the contract extension will support the embedding of these objectives.

The option for the second one year contract extension will be considered by the Council subject to the outcomes identified in section 6 of this report being successfully achieved. 

As all service users within the service are eligible for community care services, the contract will enable the council to fulfil its statutory duties with regard to the National Assistance Act 1948 and subsequent legislation. 

In relation to the novation of the contract to the subsidiary company, the Council will seek assurance from Turning Point that as the parent company it will continue to be responsible for the contract to avoid triggering a procurement challenge that the novation is a new contract, subject to procurement regulations.

The Council will be able to recover the VAT charged as long as a proper VAT invoice is made out to the Council and also as long as the subsidiary company will be making a supply to the Council.

The option of re-tendering the contract at the end of its fixed term was considered and rejected as there is on-going service development work being undertaken between Peterborough City Council and Turning Point to further improve the service and enhance value for money. Undertaking a re-tender and potentially changing the service provider would be a detriment to this service development work and achieving enhanced value for money.   

None.

None.