Cab /6.2 BARNSLEY METROPOLITAN BOROUGH COUNCIL. This matter is a key decision within the Council s definition and has been
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1 included in the relevant Forward Plan. Report of the Assistant Chief Barnsley LIFT Centres Soft Services Facilities Management This matter is a key decision within the Council s definition and has been Information Services Executive Finance, Property & BARNSLEY METROPOLITAN BOROUGH COUNCIL 1 joint procurement exercise on behalf of Barnsley PCT, GP5 and the Council. the LIFT Centres. This followed an August 2007 Cabinet approval to undertake a 3.2 In March 2008, the Council procured the soft services facilities management for healthy, safe, and aesthetically pleasing facilities with clean surfaces that comfort avoiding complications during the care of patients at health care premises. performed for medical cleanliness and aesthetic reasons. Maintaining an environment with a low pathogenic burden (microorganisms) is essential for users, patients and their families by presenting an impression of good quality care without additional health hazards. The cleaning of LIFT facilities is 3.1 The key outcome for soft services facilities management at LIFT Centres is 3 Introduction Services and Legal and Governance are authorised to enter into contractual agreements in respect of That the Assistant Chief Executives Finance, Property & Information and award soft services facilities management at Barnsley LIFT and Health Services is authorised to seek expressions of interest, advertise, procure Centres via YORtender. 2.2 That the Assistant Chief Executive Finance, Property & Information management at the Barnsley LIFT and Health Centres. 2.1 That the Council are the Contracting Authority for soft services facilities 2 Recommendations behalf of the Council, NHS Properly Services, GPs and tenants. services facilities management at the Barnsley LIFT and Health Centres on 1.1 This Cabinet report seeks approval to be the Contracting Authority for soft 1 Purpose of Report Cab /6.2
2 2 Finance, periods, making a total of 5 years, subject to satisfactory performance delivery. procured. for a 3 year initial period with options to extend the Contract for two further 1 year 3.5 The payments made under the current Contracts shown below: 3.3 Following an EU tender process the Contract was awarded the MITIE Cleaning 3.6 Since the publication of the Health and Social Care Bill the NHS South Yorkshire 3.7 Unfortunately, NHSPS was not set up in sufficient time to input to the re 3.8 Supported by NHSPS the Assistant Chief Executive New LIFT Centres at Cudworth & Grimethorpe opened have been awarded, the last of these expired in March The performance of MITIE Cleaning has been good and the contract extensions New LIFT Centres at Great Houghton, Athersley, Hoyland & Darton opened and Bassetlaw cluster and a local Clinical Commissioning Group (CCG) have been established to meet legal, financial and performance responsibilities and Centres and generates 77% (or more) of the soft FM costs (see table overleaf). 3.4 The health community occupies two thirds or more of the floor space in the LIFT The Council has accommodation in 5 of the LIFT centres. The provision of soft obligations. A separate company, NHS Property Services Limited (NHSPS) has been established to manage the health estate, including the LIFT Centres. services FM by the LIFT tenants is a condition of their lease agreement. For economies of scale and contract management efficiencies either the Primary the end of the current contract. Their guidance from the Department of Health Care Trust or the Council has procured an all-inclusive soft services FM contract. was to extend existing contracts for an appropriate length to allow them to be re tendering of the soft services facilities management for the LIFT Centres before collaboration with NHSPS. MITIE Cleaning for a further 1 year to allow the re-procurement of the services in Information Services authorised a waiver to extend the current arrangements with Contract Year Total Cost BMBC Cost 2 316,190 52, % 3 381,544 59, % 4 507, , % 5 547, , % 1 261,317 40, % Property &
3 centres subject to value-for-money checks. NHSPS will collaborate on the re-tendering project. It may include some health 4.2 Each tenant could make their own arrangements. It would not be possible to buildings, the services to manage the facilities and its high commitment following the discussion was that given the Council s knowledge of the LIFT Discussions were held with the local NHSPS property director. The consensus (shareholding in LIFT) the Council should remain the Contracting Authority. 4.1 That the NHSPS be the Contracting Authority for the re-procurement. 3 best value. 5.2 The soft services FM tender documents will be reviewed and updated in options. The final scope and packaging of the services are a key issue to geffing to be made about costs, risks and the benefits of different service delivery definition of the scope of services to be covered is vital to enable clear judgments partnership with NHSPS, following robust stakeholder consultation. Careful facility and support the activities carried out within the building. The range of soft Cleaning Caretaking & Porters Catering Grounds maintenance Security and monitoring alarm systems Routine repairs and maintenance Equipment maintenance Out of hours call out are the support services required for the operation of the LIFT building or health services includes: NHS Property Services, GPs and health and social care providers. Soft services facilities management at the Barnsley LIFT Centres on behalf of the Council, Waste management (including clinical waste) 5.1 It is proposed that the Council is the Contracting Authority for soft services 5 Proposal and Justification 4.3 The Council remain as Contracting Authority, which is the preferred option. users. economically advantageous outcome for the Council, CCG, Cluster, GPs and integrity. It is unlikely to produce cost efficiencies and deliver the most ensure individual arrangements would be fit for purpose and maintain operational 4 Consideration of Alternative Approaches
4 4 reduces time spent by users on non-core activities. service provided by a trained workforce committed to Cost A combination of competitively priced services that provider must deliver a responsive and consistent with a wide variety of demands from users. The multiple success criteria in a single procurement: Quality Quality of service is paramount in LIFT! Health Centres 5.3 The justification of the proposed approach is that it is best able to cover key hygiene and implementing continuous improvement. 5.4 The soft services FM costs are apportioned across the floor space occupied for had their own recharge system for their tenants. This charge will now be sent to NHSPS or their appointed agent for payment. the services received. This is a well-established system in respect of the current provision and will be used on the new contract. Internal Council users are directly recharged and a single external charge was made to the Primary Care Trust who and synergy support services in a holistic one-stop-shop approach Service integration Integration and co-ordination of facilities management, Added value Emphasis on local employment and a supply chain Sustainability Environmental policies, green mainstreaming in the supply of goods and services, long-term commitment Community benefit Local good quality employment providing better Flexibility Ability to deal with user demands for extended hours Reduced risks Clarity on interfaces with LIFTC0. TUPE, consultation and increased user and community use. Help Desk service for soft services providing a one-stop-shop. to the LIFT! Health Centres and continuity of supply. supporting the local economy. conditions and security, training and workforce equalities policies. development and implementation of the council s and employee implications. Specification for common cleaning and security. Spot cleaning and unplanned parts and shared and public areas in respect of interruptions to services.
5 contract duration with good levels of service performance throughout. 7.1 Both the previous soft services FM contracts have reached the end of their 7 Long Term Sustainability of the Proposal procure an efficient and effective soft services FM supports this goal. more important than ever before and working with the health community to 6.1 The Health and Wellbeing Strategy is clear that partnership working is 5 change, by 3 March The main risk is the transition to, and mobilisation of a new provider, if there is a 13.1 A detailed assessment of risk will be an integral part of the tender evaluation. 13 Risk Management Issues (including health and safety) There are no direct implications for the conservation of biodiversity 12 Conservation of Biodiversity Disorder Acts have been fully considered In developing this proposal the Council s obligations under the Crime and 11 Reduction of Crime and Disorder diversity and social inclusion The procurement process would ensure providers address issues of equality, 10 Promoting Equality, Diversity and Social Inclusion 9.1 The proposals are compatible with the European Convention on Human Rights 9 Compatibility with European Convention on Human Rights and their families. aesthetically pleasing, with clean surfaces that provide comfort to users, patients soft FM provider that will ensure LIFT and Health Centres are healthy, safe, and a vital connection with local people. The outcome of the procurement will be a 8.1 Community organisations are key partners in the delivery of services and provide 8 Impact on Local People 6 Delivering Sustainable Community Strategy Ambitions
6 6 not allow total mobilisation by 3 March procurement will be completed in time to submission from all providers. The service provider plan will be required in the tender Transition to new Detailed implementation and mobilisation Appendix A Risk M iticjation 14.2 The cost of the Council s contribution outlined above was contained within 14.3 The overall annual cost of the new contract could increase if further 15 Employee implications 14.4 The financial implications are detailed in the attached Appendix A There are no BMBC employee implications arising from this report. 16 Glossary 17 List of Appendices 16.1 Not used 14 Financial Implications 18 Background Papers 14.1 The cost of the soft services FM contract in 2012/13 was 547,670, Author: Jeremy Sykes Telephone: Date: 11/06/ /14 it is estimated this figure will remain the same based on current covering the whole of the LIFT buildings in operation. It is not anticipated occupation levels within the LIFT Buildings. The remaining cost was final year. The Council s contribution in 2012/13 was 123,060 and in that this cost will rise in 2013/14 based on an extension for a further and picked up by the PCT. existing revenue budgets, mainly within services in the Children, Young charges being based on current occupation levels. These budgets will contain the proposed charges for 2013/14 and beyond. People and Families and Adults and Communities Directorates, with affect the Council s contribution which following the procurement exercise NHSPS managed health centres are added to the contract, this will not is anticipated to remain about the same given the competitive nature of the market for these services. Project files for publication
7 and details are given in item 14 of the report. been consulted on behalf of the Acting Executive Director, Finance and Property The Financial Services Manager and the Insurance and Taxation Manager have (a) Financial Implications Consultations Barnsley LIFT Centres Soft Services Facilities Management 7 There are no direct communications implications of this report. (j) Communication Implications There are no implications for service users in this report. (i) Implication for Service Users There are no implications of this report for other services. (h) Implication for Other Services This report has been prepared by Strategic Property & Procurement. (g) Property Implications There are no additional health and safety implications of this report. (1) Health and Safety Considerations There are no direct implications of this report for Local Members. (e) Local Members There are no direct policy implications of this report. (d) Policy Implications A Legal Services adviser has been consulted on behalf of the Borough Secretary. (c) Legal Implications Communications. behalf of the Assistant Chief Executive HR, Performance & Partnerships and A Human Resources Adviser has been consulted on the content of the report on (b) Employee Implications Annex A
8
9 i) Capital Expenditure 2013/ / /16 Total FINANCIAL IMPLICATIONS Barnsley LIFT Centres Soft Services Facilities Management Agreed by:.../ On behalf of the Director of Finance There is no impact on the Authority s Medium Term Financial Strategy as a result of this report , , ,670 NHS Property Services Ltd Existing Budgets CYPF & Adults and Communities , , , , , , ,610 To be financed from: TOTAL 547, , , ,670 Soft Services Facilities Management Contract 547, , , ,670 Expenditure (±) (ft) (f) () ii) Revenue Effects 2013/ / /16 Later Years To be financed from: Finance, Property & Information Services Report of the Assistant Chief Executive,
10 -Th
(2) That the contract runs from 1 April 2015 for an initial period of seven years. The value of the contract will be in the order of 10m per annum.
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