Issue - meetings

The Contract Procedure Rules Update was presented by the Cabinet Member for Corporate Governance & Licensing.

The current contract procedure rules had been in place since May 2022 and the proposed amendments within the reports were updates to reflect changes in accordance with the requirements of the Procedure Act 2023, implemented in February 2025. This subsequently provided an opportunity to review that the overall contract procedure rules remained fit for purpose.

The 2023 Procurement Act sought to simplify the process and introduce two procedures of competitive tendering: the open procedure and the competitive flexible procedure.

The open procedure was a single stage procedure, and all information was submitted by suppliers at the tender stage. This could be used for a known and simple requirement with a small market where there was no need to reduce the number of suppliers that were assessed.

The competitive flexible procedure provided the ability to design your own procurement process. The Council could use this procedure where its requirements were complex, and it would like to have formal engagement with suppliers during a negotiation or dialogue stage. The Council could also assess conditions of participation before inviting a tender submission to reduce the number of suppliers invited to participate.

The report also outlined new measures regarding procurement notices, payment terms, and key performance indicators designed to ensure transparency.

Following the review of procurement activities and analysis of procurement spend, the report proposed to update the procurement thresholds as outlined in the table below:

Furthermore, the report proposed updating the thresholds of the approval and contract signature levels in line with procurement spend levels:

·         Service Manager or equivalent role up to £49,999

·         Heads of Service or equivalent £50,000 to £99,999

·         Assistant Directors and Directors over £100,000.

During discussions, Members commented on the following:

-       It was queried how the Council would prevent contractors splitting quotes in order to fall within particular thresholds. Confirmation was given that any quotes received would need to meet the full specification of works requested by the Council, therefore, contractors would not be able to split quotes in this way. It was also confirmed that any price increased would require the approval of both parties.

-       A Member expressed their disagreement with the proposed changes, stating it was in the interests of the taxpayer for more quotes to be obtained. Justification of the proposed changes was given that small, local businesses were being put off meeting the specifications given the necessary timeframes and costs involved when trying to compete with established, national companies.

-       Confirmation was given by the Deputy Chief Executive and Section 151 Officer that he was satisfied the changes would increase transparency and abided by the legislation.

Councillor Sue Woolley left the Chamber.

-       It was identified that establishing an agreed definition of the ‘East Midlands’ was a challenge,  ...  view the full minutes text for item 19