Decision details

Further to Minute No. 83 of the meeting held on 16 April 2015, the Cabinet considered the report of the Head of Inward Investment and Employment which provided details of the proposed operational arrangements for the Southport Theatre and Conference Centre to be undertaken by a variation to the procurement process.

Decision Made: That:

(1)       officers enter into a negotiated process with tenderer No 1 due to the absence of competition, as is afforded under Regulation 32 of the 2015 Public Contracts Regulations;

(2)       the Head of Inward Investment and Employment in consultation with the Chief Finance Officer submit a report on the outcome of the negotiated process to the Cabinet Member for Regeneration and Skills for determination;

(3)       following on from the negotiated process, the Head of Regulation and Compliance be requested to draw up the appropriate Lease and Management Agreements with tenderer No 1;

(4)       it be noted that the proposal was a Key Decision but had not been included in the Council's Forward Plan of Key Decisions. Consequently, the Leader of the Council and the Chair of the Overview and Scrutiny Committee (Regeneration and Skills) had been consulted under Rule 27 of the Access to Information Procedure Rules of the Constitution, to the decision being made by the Cabinet as a matter of urgency on the basis that it was impracticable to defer the decision until the commencement of the next Forward Plan because the Council received a minimal response to the tender opportunity, in spite of openly advertising it in the European marketplace. One of the two tender submissions received failed the Council’s financial assessment and so this could not be considered further. The Council is left with one tender submission and so no competition exists. The 2015 Public Contract Regulations afford the Council, under Regulation 32, the opportunity of switching the procurement process to a Negotiated process where there is an absence of competition. This situation requires a more rapid solution than is available within the timescale of the Forward Plan.

Reasons for Decision:

The Council received a minimal response to the tender opportunity, in spite of openly advertising it in the European marketplace. One of the two tender submissions received failed the Council’s financial assessment and so this could not be considered further. The Council was only left with one tender submission and so no competition exists. The 2015 Public Contract Regulations afford the Council, under Regulation 32, the opportunity of switching the procurement process to a negotiated process where there is an absence of competition. The panel of evaluating officers considered that a negotiation should be entered into with the remaining tenderer in order to secure a viable outcome for the Council.  

Alternative Options Considered and Rejected:

None of equivalent value.