Agenda item

            The Sub-Committee was advised that from 1^st October 2008, Halton Housing Trust (HHT) would no longer deliver homeless services in Halton, this included the provision of services at Grangeway Court Hostel for homeless families. As the Council had a statutory duty under the Housing Act 1996 Part VII (as amended by the Homelessness Act 2002) to provide temporary accommodation to homeless families, Executive Board gave approval in April 2008, to obtain a new service provider through an open tender process by September 2008.

 

            Expressions of interest were invited through adverts and 6 tenders were submitted, out of which 1 was eliminated at Stage 2. Tenders were evaluated on price and quality and the outcome of the evaluation was outlined in the report.

 

            The evaluation showed that whilst Arena Options Limited did not submit the lowest tender, the hourly rate for support to clients was lower than that submitted by the lowest tenderer. As the evaluation of cost was based on the tender price and the hourly rate, two organisations were scored equally on cost. However, 60% of the evaluation was based on quality and Arena Options Limited scored higher on quality and therefore represented the most economically advantageous tender.

 

            The Sub-Committee considered a request for retrospective approval for the waiver of Standing Order 1.6, Procurement Orders 3.1 – 3.7 and 3.10, as compliance with Standing Orders was not practicable for reasons of urgency in that delaying award of the contract would not leave sufficient time for the new provider to be operational before the existing provider ends the service on 1^st October 2008. Homeless families placed at Grangeway Court were amongst the most vulnerable members of our community and failure to act in a timely manner would increase the risk of a temporary loss of service to this vulnerable group.

 

            In this event, as the Council has a duty to accommodate, the Council would be liable for increased costs to secure alternative bed and breakfast accommodation.

 

            The report also sought retrospective approval for the Operational Director – Health and Partnerships in conjunction with the Portfolio Holder, Community to award the contract to Arena Options Limited.

 

            RESOLVED: that

 

(1)            subsequent to consultation, retrospective approval be given for the award of the contract for the provision of services for homeless families at Grangeway Court to the contractor – Arena Options Limited, in the sum of £1,061,559 for a five-year contract, and that in light of the exceptional circumstances detailed, for the purpose of Standing Order 1.6, Procurement Orders 3.1 – 3.7 and 3.10 be waived on this occasion, as compliance with the tendering requirements of Standing Orders is not practicable for reasons of urgency, in that delaying the award of contract would not leave sufficient time for the new provider to be operational before the existing provider ends the service on 1^st October 2008 and the potential closure of this service will place vulnerable homeless families at risk of loss of service and would result in the Council having to forego a clear financial benefit and bearing in mind that if Grangeway Court closed, the Council, in order to fulfil its statutory duty, would have to place families in more costly bed and breakfast accommodation; and

 

(2)       in conjunction with Portfolio Holder – Community the Operational Director Health & Partnerships be authorised to take such retrospective and future action as is necessary to implement recommendation set out above.