TNT Variation to SLA Agreement

This Business Justification concerns the future model for Records Management within the MPS which is supported by an SLA agreement between MOPAC and Ministry of Defence (MOD) in relation to the use of the MOD contract, via the Pan Government Records Management Contract (PGRMC), with TNT Business Solutions for the storage of physical documents. The original agreement was formed in 2003 for a term of 25 years with a value of £5.2m. The MPS spend will reach the current agreed value by the end of the 2017/18 financial year as a result of an increase in demand which has been caused by changes including the Management of Police Information Regulations.

A variation in the value of the SLA agreement between the MPS and MOD for the use of the TNT contract. This would be an increase in value from £5.2m to £20.2m to include headroom for unforeseen eventualities.

The DMPC is asked to approve;

• A variation in the value of the existing 25 year SLA agreement (from 2003 to 2028) between the MPS and MOD for the use of the TNT contract. This would be an increase in value from £5.2m to £20.2m to include headroom for unforeseen eventualities.

• To note anticipated expenditure over the remaining period of this contract is expected to be contained within the current level of the LDSS revenue budget.

1. Introduction and background

1.1. This Business Justification concerns the future model for Records Management within the MPS which is supported by an SLA agreement between MOPAC and Ministry of Defence (MOD) in relation to the use of the MOD contract, via the Pan Government Records Management Contract (PGRMC), with TNT Business Solutions for the storage of physical documents. The original agreement was formed in 2003 for a term of 25 years with a value of £5.2m.

2. Issues for consideration

2.1. The MPS spend will reach the current agreed value by the end of the 2017/18 financial year as a result of an increase in demand which has been caused by the impact of various organisational change programmes over the past 5 years including the introduction of Operation Filesafe recovery programme, the Corporate Real Estate (CRE) programme and current Estates Transformation Programme.

2.2. It is acknowledged by the MOD that the estimated storage volumes, made during the tendering process, have proved to be far too low across most customers on the contract, but were made in good faith at that time. There was an assumption that digitalisation would be much further forward in all Government Departments. Although the MPS are the first contract member to reach the value of their SLA agreement it is expected that other members will be making similar requests in the near future.

3. Financial Comments

3.1. Anticipated expenditure over the remaining period of this contract is expected to be contained within the current level of the LDSS revenue budget. Further detail included in Part 2.

4. Legal Comments

4.1. If DMPC approves the increase in value of the contract, Commercial Services will then enter into discussions with the MOD to increase the value of the SLA agreement.

5. Equality Comments

5.1. There are no direct equality or diversity implications arising from this report.

6. Background/supporting papers

6.1. Report.