Procurement Policy and Procedures

Procurement is the process of acquiring goods, works and services covering both acquisitions from third parties and from in-house providers.  The process spans the whole cycle from identification of needs, through to the end of a services contract or the end of the useful life of an asset.  It involves options appraisal and the critical ‘make or buy’ decision which may result in the provision of services in-house in appropriate circumstances

The Contracts and Procurement team have the responsibility for the development of policy and strategy, which is linked to improving the council's procurement service in response to the issues raised in the National Procurement Strategy for Local Government (2003 - 2006) and more recently to The Stronger and Prosperous Communities White Paper (2006).   The white paper requires local authorities to achieve greater efficiency through the transformation of local services by process improvement techniques, the joining up of services, better responsiveness to citizens, e-procurement initiatives, fair and open competition and the development of the local government services market 

The policies and the strategy are reviewed annually and updated to fit circumstances and government/market changes.

The council has achieved certification by the Chartered Institute of Purchasing and Supply (CIPS)  CIPS certification provides a standard of excellence for an organisation’s purchasing strategies, policies and procedures and also meets the purchasing requirements of IS0 9001:2000.

Strategy

The council’s procurement strategy covers the period September 2009 to August 2012 and addresses the issues raised in The Stronger and Prosperous Communities White Paper (2006) and supports the council’s three main corporate drivers. 

The contracts and procurement service is central to procurement within the council. The main aims of the service are to provide information, guidance, advice and support to other departments during the procurement process, to manage its own specialist categories and to maintain policy and strategy with central government objectives and guidelines.

Consortia and Collaborations

Contracts and Procurement also facilitates the link between the Council and other procurement agencies, local authorities and consortia

The Office of Government Commerce (OGC)

The OGC is an independent office of the Treasury and is at the national forefront of all government procurement. The OGC along with their Executive Agency OGC Buying Solutions supplies the council with reliable and high quality goods through approved suppliers and pushes procurement innovation. Barnsley Council uses Buying Solutions for many different types of products and services including telecommunications, both mobile phones, and landline telephone maintenance, and IT. To become an Buying Solutions approved supplier please view the Buying Solutions website.

Other Councils or Public Bodies

Barnsley Council collaborates with other local councils where efficiencies can be delivered through sharing services or leveraging spends across the councils.  Currently collaborative work is ongoing with Decent Homes, Highways, and Waste Management and through meet the Buyer/ Supplier Events.

 

The Yorkshire Purchasing Organisation (YPO)

Barnsley Council is one of the founder members of the YPO, along with 12 other local authorities in the North of England. The YPO supplies goods and services both through its catalogue and through framework agreements where direct supply contracts are arranged. The YPO frameworks used by the council include:

§          Building materials

§          Energy (gas, electricity, coal)

§          Food

§          Fuel

§          Highways materials

§          Horticulture

§          IT consumables

§          Multi functional printers

§          Piped water

§          Vehicles

Suppliers who are interested in supplying the YPO should view the YPO website 

E-Trading

The council are working closely with @UK-plc to deliver a cost effective route for the authority as well as local and national suppliers to trade fully electronically for the many goods and services it requires.

The @UK system allows organisations to integrate existing trading websites into their system or can create a personalised fully functioning e-trading site for clients, not just to trade with Barnsley Council but also with any other supplier on the @UK network quickly and easily.

The ability for Barnsley Council suppliers to trade independently between themselves and other organisations on the @UK system to generate a wider sales market was a major factor in the choice of system utilised.  This will create and promote a local e-economy for the community that could in time enhance the region's economic status

The system creates the possibility of a fully electronic purchasing route from requisition to invoice settlement. No human intervention will be required for many transactions

The Procurement Process

To secure value for money and to ensure the fair distribution of contracts to potential suppliers the council procures goods and services in the most competitive and equitable way possible. The thresholds of the contract value determine the procurement process, and the choices that may be made.

The rules for these contract values are as follows:

§          A contract estimated to be below £2,500 an officer needs to ensure value for money is being obtained.

§          A contract estimated to be between £2,500 and £50,000 needs a minimum of 3 written quotations to be obtained.  In these cases officers within individual directorates will refer to existing supplier records, directories and information submitted from potential suppliers.

§          For a contract estimated at £50,000 and above, a tender exercise must be carried out

§          For higher value procurements the European Procurement Directives apply.

European Procurement Directives

The European Procurement Directives are the secondary legislation adopted by the European Parliament and the Council (Member States) on the co-ordination of procedures for the award of public contracts. The European Union (EU) procurement directives are intended to reinforce the European Treaty's provisions on the free movement of goods and freedom to provide services within the internal market to ensure compliance in all member states with the treaty principle of equality of treatment, non-discrimination and transparency. The EU procurement directives apply to all public sector contracts equal or above specific thresholds.

The thresholds which apply from 1st January 2010 are:

Goods and services: £156,442 

Works: £3,927,260

The directives set out clear procedures and standards to be followed by the council when choosing tenderers and awarding contracts.

Terms and conditions for goods and services

Standard Terms and Conditions for the supply of goods and services apply to Barnsley Council orders except where contracts have been awarded against tender or quotation exercises which may have their own specific terms & conditions in addition to these.

Terms and conditions for works contracts

Works contracts are usually subject to specific industry terms and condition which will be identified at the time of the procurement exercise.

The Supplier and Contract Management System (SCMS)

This is the tendering system for the councils within the Yorkshire and the Humber region and is being deployed throughout the council.  The system is designed to give suppliers the information needed to be able to trade more easily with councils and gives direct access to a wide variety of procurement opportunities across the region. There is no cost for suppliers to use this system. Suppliers only need access to the internet

The website can be accessed through supplier and contract management system

The SCMS supplier guide gives help and assistance for prospective suppliers.

 

 

 

 

Why suppliers should work with the council?

Barnsley Council spent in the region of £194 million in goods, works and services in 2007/08. There is a statutory duty on the council, however, to ensure that the procurement of these goods, works and services represents the most cost-effective solution and that the best possible value-for-money has been achieved.

The advantages of supplying the council

§          The council has a legal duty to be fair, honest and professional in both its initial choice and subsequent treatment of contractors/suppliers.

§          The council is a financially stable customer.

§          The council has a duty to pay promptly (within 30 days or as otherwise agreed).

§          The council seeks continuous improvement and works to develop innovative solutions that can benefit it and those it employs or contracts with.

§          The council is a caring customer willing to work closely with those it employs and its contractors. It promotes ethical, environmentally sound, non-discriminatory approaches that benefit its area and all those who work and live in it with a view to their wealth, health and safety.

How to contact us

Our help desk number is: 01226 774341
Email: procurement@barnsley.gov.uk

 

Last modified on 22/2/2010