Pegasus Programme

Reference code: 
PCD 579
Date signed: 
10 June 2019
Authorisation name: 
Sophie Linden, Deputy Mayor, Policing and Crime

Executive summary

The current MPS ICT outsourced partnering arrangements are due to terminate over the next 2-3 years. The Pegasus Programme has been set up to review and re-compete these contracts to ensure better value for money and an improved user experience to meet the needs of the MPS up to 2030.
 

Recommendation

The Deputy Mayor for Policing and Crime is recommended to approve: 
•    The mobilisation of the Pegasus Programme, including external resources, bought in expertise and circa five existing key MPS DP people released and backfilled to support the programme to ensure the programme is Met led. This will ensure that those responsible for running and managing future services and contracts define requirements, associated schedules and transition planning.  
•    Further that MPS are asking approval up to a total value of £6.7m to initiate and award contracts for the mobilisation of the Pegasus Programme, in line with MPS procurement guidance and MOPAC Contract regulations. 
The Deputy Mayor for Policing and Crime is recommended to note:
•    The associated revenue cost of £6.7m over the next two years is fully funded from the DP budget approved by MOPAC. 
•    The schedule of governance steps which will provide further assurance on the proposed approach to the delivery of MPS ICT outsourced partnering arrangements, to Portfolio and Investment Board and to the DMPC.

Non-confidential facts and advice to the Deputy Mayor for Policing and Crime (DMPC)

1.    Introduction and background

1.1.    Current IT contracts provide critical IT capability to the MPS and underpin the Digital Policing (DP) operating and service operating model with spend of circa £500m over five-years. These contracts (Towers) cover Service Integration & Management, Networks, Telephony, Data Centres, Data Centres Management, Hosting, End user computing and Applications management. 

1.2.    Since the award of these contracts, there have been a number of changes in the IT sourcing market. This coupled with stronger MPS experience in managing current arrangements and maturing MPS contract management capabilities provides real opportunities for improvements in both service quality and value for money through future contracts. 

1.3.    Additionally, there is a much better understanding of existing IT systems and architecture within the MPS together with the knowledge and ability to take advantage of a cloud first strategy.

2.    Issues for consideration

2.1.    The total contract value of the existing tower services is circa £500m over five years, included within the total DP budget of circa £1bn (£200m/year) over a similar period. The procurement will look at opportunities to consolidate as much of this spend.

2.2.    The proposed way forward is to develop the requirements, carry out further market engagement activity to conclude how best to take these requirements to market and then, following receipt of responses to the tender documents, return in the first quarter of 2020 with a Full Business Case for approval to award new contracts. Additionally, a Full Business Case will be submitted in May 2021 for approval of further contracts, covering applications management services.

3.    Financial Comments

3.1.    The total revenue funding of £6.7m required to resource the Pegasus programme is fully funded from the Digital Policing approved budget.

4.    Legal Comments

4.1.    The Mayor's Office for Policing Crime is a contracting authority as defined in the Public Contracts Regulations 2015 ("the Regulations").  All awards of public contracts for goods and/or services valued at £181,302 or above will be procured in accordance with the Regulations.

4.2.    Paragraph 4.8 of the MOPAC Scheme of Delegation and Consent provides that the Deputy Mayor for Policing and Crime (DMPC) has delegated authority to approve business cases for revenue or capital expenditure of £500,000 or above. 

4.3.    Paragraph 4.13 of the MOPAC Scheme of Delegation and Consent provides that the Deputy Mayor for Policing and Crime (DMPC) has delegated authority to approve the procurement strategy for all revenue and capital contracts of a total value of £500,000 or above, such determination to include decisions on the criteria and methodology to be adopted in the tendering process, any exemptions from procurement requirements, and any necessary contract extensions.

5.    Commercial Issues 

5.1.    The proposed way forward is to develop the requirements, carry out further market engagement activity to conclude how best to take these requirements to market and then, following receipt of responses to the tender documents, return in the first quarter of 2020 with a Full Business Case for approval to award new contracts. Additionally, a Full Business Case will be submitted in May 2021 for approval of further contracts, covering applications management services.

5.2.    In respect of the £6.7m to mobilise the Pegasus programme, independent consultants would be used as this represents better value for money than consultancy organisations. Bloom is the standard route to market for independent resource, which lowers our IR35 risk to the MPS and provides the ability to secure outcome-based services. There are also existing arrangements for legal support through the National Legal Services Framework (NLSF).

6.    GDPR and Data Privacy 

6.1.    The MPS is subject to the requirements and conditions placed on it as a 'State' body to comply with the European Convention of Human Rights and the Data Protection Act (DPA) 2018. Both legislative requirements place an obligation on the MPS to process personal data fairly and lawfully in order to safeguard the rights and freedoms of individuals.

6.2.    Under Article 35 of the General Data Protection Regulation (GDPR) and Section 57 of the DPA 2018, Data Protection Impact Assessments (DPIA) become mandatory for organisations with technologies and processes that are likely to result in a high risk to the rights of the data subjects.

6.3.    The Information Assurance and Information Rights units within MPS will be consulted at all stages to ensure the programme meets its compliance requirements.

6.4.    The programme does not use personally identifiable data of members of the public, so there are no GDPR issues to be considered.

7.    Equality Comments

7.1.    As part of the evaluation criteria in selecting future suppliers the programme will comply with all Met equality and diversity policies as identified by the Strategic Diversity and inclusion team, and seek advice where appropriate.

8.    Background/supporting papers

8.1.    None


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