Invitees:

Councillor C E Smith - Cabinet Member - Regeneration and Economic Development

Andrew Jolley - Assistant Chief Executive Legal & Regulatory Services

Ness Young – Corporate Director – Resources and Section 151 Officer

The Assistant Chief Executive Legal and Regulatory Services reported on an update on the current status of the Corporate Commissioning Project.  He stated that progress on the project had not been as planned owing to the loss of key personnel such as project managers; the lead procurement officer and ICT development of the contracts register software support.  The authority had also found it necessary to extend a variety of contracts however this course of action leads to inefficiency due to the loss of market testing.  However the delays in the project had allowed time for the development of a corporate projects register, which has enabled a better understanding of spend and future demand and significant savings had been through the use of e-tendering and e-auctioning. 

The Assistant Chief Executive Legal and Regulatory Services reported on the areas which are intended to be pursued by the project.  In respect of the Corporate Procurement Team, an appointment had been made to the post of Corporate Procurement Manager.  He stated that in order for the Transformation Agenda and corporate projects within the Medium Term Financial Strategy to be implemented it was important for procurement and commissioning to be recognised as a strategic part of the authority as opposed to a service team in one department.  He stated that it was the intention in the next financial year to move to a category lead structure.   

The Assistant Chief Executive Legal and Regulatory Services also reported on that County Borough Supplies is a long standing joint service between four authorities which historically has been self-funding and has not been a drain of resources on any of the partner authorities.  He stated that it is necessary for the Joint Service to move to new premises due to the development needs of the authority and there was therefore an opportunity to change the business model.  New premises have been located and negotiations ongoing on the lease.  The Assistant Chief Executive Legal and Regulatory Services informed the Committee that it had recently been informed by Rhondda Cynon Taff County Borough Council that it wished to withdraw from the Joint Service which would significantly affect the viability of the service.  The authority had also been informed that another authority was likely to take a similar decision to withdraw from the Joint Service.  The Assistant Chief Executive Legal and Regulatory Services outlined the number of staff working in County Borough Supplies.  The Cabinet Member Economic Development and Regeneration informed the Committee that County Borough Supplies has not been a liability and working in accordance with its business plan. 

The Assistant Chief Executive Legal and Regulatory Services informed the Committee that the Corporate Contracts Register was now compete and now required application across the authority.  There is an option to use the Bravo Solutions Contract Register facility which could also be used by schools.       

      The Assistant Chief Executive Legal and Regulatory Services reported that the use of the Welsh Government portal would be a fundamental part of the Corporate Commissioning Project with the next stage to ensure the authority has access to all purchasing frameworks via a catalogue hosting system and is free to use.  This provides access to a variety of framework agreements.  He also informed the Committee that the use of purchasing cards is being rolled out incrementally across the authority.  The use of the card enables the authority to be able to claim a rebate for all expenditure.  The Committee questioned whether there was evidence of misuse of purchasing cards.  The Assistant Chief Executive Legal and Regulatory Services commented that the number of cards issued is limited and that use is monitored.

      The Assistant Chief Executive Legal and Regulatory Services informed the Committee that there remained work to be done on E-auctions, however £1m of savings had been derived through the commissioning of school transport through this mechanism.  He stated that E-Tendering is used for the majority of Invitation to Tender and quotes by the Corporate Procurement Team.  The next step is to roll out E-tendering to the whole authority which would be assisted by the use of the Corporate Contracts Register.    

      The Committee thanked the invitees for their contribution. 

Conclusions

The Committee noted the report which provided Members with an update on the status of the project.

• Members were informed of recent changes relating to the status of plans for County Borough Supplies.
• Members queried the status of the Corporate Contracts register, the Assistant Chief Executive - Legal & Regulatory Services responded that access to this would be rolled out to Directorates and that there is an option to make use of the Bravo Systems Contract Register facility which will enable access ‘all Wales’ working.  This could also include schools.
• Members queried whether there is any evidence of misuse regarding Purchase Cards.  The Assistant Chief Executive - Legal & Regulatory Services responded that the number of cards issued is limited and that use is monitored.
• The Committee recommend that, due to very recent changes to the status of plans for County Borough Supplies, this item remains on the Forward Work Programme and that an update is provided when further information on changes to the way services are provided is available.