b) One County is taking its lead directly from the Green Paper by advertising for a Director of Transformation to lead and ensure full compliance with the transformation of procurement and tendering in the future.
Here are the key sections from the advertisement. We have highlighted the threads which are now starting to appear in tenders:
Of course, there is a lead time between advertising, appointing and new staff taking up post, much less any real change taking place. But it is clear that buyers are looking well into the future. It will be the wise providers to follow this lead which demonstrates a clear understanding of the degree of change which will be required and the time it will take to put the necessary systems in place to demonstrate compliance.
c) The Green Paper sets out two new systems for the management of frameworks. One of these allows for eight-year arrangements. But under LTR rules Councils may adapt these Regulations for social care contracts in ways which fit their own requirements. This week a tender for a ten-year framework was published. This type of arrangement has been welcomes by buyers; the cost of tendering is reduced and flexibility in cost/price means that providers are no longer bound by their original offer which becomes more and more difficult to sustain over time. Also note the use of terms such as “strengths-based approach” which underlines the importance of performance and outcome delivery which is highlighted in the Green Paper. Performance will be measured “organisation wide”, not just on individual contracts. It also means that organisations providing services to a mix of users, those funded under a public contract and private payers will be required to report outcomes for all of their users, those funded by both the private and public sectors. It can be expected that we will see more of this kind of offer over the coming months.
The sustainability requirement links with the Social Value element as defined in the National Procurement Policy Statement which was adopted in June 2021 and forms part of the Green Paper and foreshadows the CRP requirements in Local Government supply chains.
Here are the key sections from the advertisement. We have highlighted the threads which are now starting to appear in tenders:
The six Council partners are to take a strengths-based approach to providing high quality, personalised care and support services which focus on meeting the outcomes of those individuals using the services. The Councils will ensure that services are delivered and financed in a sustainable way. In order to achieve this, we are opening a new joint framework which will act as a vehicle to procure a range of care and support, housing and community safety services. This will replace all the existing frameworks covering the above services. The framework will be established by utilising the flexibilities of the Light Touch Regime under the Public Contract Regulations 2015.
The framework will be in place for up to 10 years and will enable providers to join at any time (as long as specific criteria are met) instead of fixed opening periods.
There will be a two-stage process as follows:
• Part I: The overarching 10-year framework will open and detail specific lots. Providers will be required to meet the minimum entry criteria for the Lots for which in they may wish to apply in future competitions.
• In Part 2 providers will be invited further competition which will include quality / price evaluation processes in respect of specific contracts. It is anticipated that this process will commence from April 2022.
The framework will allow a variety of procurement methods in awarding contracts This will support flexibility and offer opportunities to expand the geographical reaches of individual providers. This approach will also respond to the needs of Service Users in receipt of Direct Payments or Personal Health Budgets. Approaches will include:
• Brokerage of individual packages
• Fixed term block contracts
• Individual Service Funds (ISF)
The framework will remain open for providers to apply to be appointed onto the framework at any time during the 10-year term, including those who have previously applied and failed to be admitted to the framework (but excluding any whose framework agreement and/or Call-Off Contract has been terminated for Contract Non-Compliance). Framework providers may re-apply to improve their standing on the framework by applying to be appointed to additional Lots.