Property Services FM Integrator Supply Chain Contracts Tranche 1

This paper requests approval to award four framework agreements and four call off contracts.

The DMPC is asked to

1. Approve four single supplier framework agreements for a period of four years for the delivery of FM services to a maximum value of £31.7m.
2. Approve four call-off contracts under the FM Service Framework agreements at a total contract value of £25.6m. The contract period will be for five years with two one year optional extension periods. These are to be awarded to the following suppliers:

• Security Solutions – Supply of Gates, Barriers and Doors including Maintenance Service. Total contract value of £9,212,113.
• Industrial Security Doors – The Supply of Roller Shutters and Security Windows Maintenance Service. Total contract value of £2,754,555.
• Guideline Lift Services Ltd – The Supply of Lifts and Lifting Equipment including Maintenance Services. Total contract value of £12,118,644.
• TSL Inspections – The Provision of Statutory Inspection Services for Lifts. Total contract value of £1,520,876.

1. Introduction and background

1.1. The MPS approved the award of a collaborative framework agreement and a call-off contract with Kellogg, Brown and Root Ltd (KBR) in March 2013. KBR delivers the Facilities Management (FM) Integrator Services as part of the Integrated Model for FM Services for both MOPAC and the MPS.

1.2. As part of the Facilities Management Services – Integrator Sourcing Strategy – 2017/18, KBR reviewed the performance of each of the current contracts to establish which should be considered for extension for a further year and which should be retendered

2. Issues for consideration

2.1. KBR identified seven contracts that should be retendered. The four framework agreements and four call-off contracts from the aforementioned framework agreements are among those contracts.

2.2. The strategy identified the potential that a longer contract period may provide better value for money. Eleven bidders return compliant bids and were evaluated on the following criteria; technical information, commercial information and pricing information.

2.3. These are discussed in the Part 2.

3. Financial Comments

3.1. The funding for these contracts is contained within the Property Services’ revenue budget and the Property Capital programme.

3.2. To enable the MPS to benefit from improved value for money. The MPS requested bidders to submit tenders for three and five years, with two one year extensions. The MPS analysed the benefits of using longer contract periods and will realise a saving of 1.63% over the four contracts

3.3. Further issues are discussed in the Part 2.

4. Legal Comments

4.1. There are no legal implications arising from this report.

5. Equality Comments

5.1. The sourcing strategy builds on and brings the opportunity to attract local and SME providers in the the MPS’s supply chain. All contracts will meet the requirements of the Equalities Act 2010.

6. Background/supporting papers

6.1. None.