Contract Award for The Immersive Experience
North Lanarkshire Council · 13 September 2023
Back to Finance and Resources Committee — 13 September 2023 and its agenda
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref: KH/GR Date: 13 September 2023 Contract Award for The Immersive Experience From Katrina Hassell, Chief Officer (Business and Digital) E-mail HassellK@northlan.gov.uk Telephone: 07903 096121 Executive Summary The Finance and Resources Committee is asked to acknowledge the award of a contract for The Supply and Installation of Immersive Pods (the ‘Contract’) to British Telecom Ltd. The award was made utilising GCSO, 21.3.2 to enable Active and Creative Communities to evidence the contractual commitment required to secure their funding award from the UK Prosperity Fund. The Contract is for an initial period of sixty months anticipated to commence on March 31st, 2023, ending March 31st, 2028. The maximum value of the Contract shall not exceed Two Million pounds Sterling (£2,000,000) exclusive of VAT. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledges the award of the Contract to British Telecom at the maximum value of Two Million pounds Sterling (£2,000,000) exclusive of VAT. (2) This recommendation follows the completion of a procurement procedure, where the tender recommended for award has been evaluated as providing the most economically advantageous tender in terms of cost and quality for the Council. (3) The contract award was made under GCSO, 21.3.2 which states; Between Committee cycles, where there is no appropriate Committee available, then the Chief Executive or the appropriate Executive Director (substitutes may not act) may instruct the Head of Asset and Procurement Solutions (or in his absence the Head of Legal and Democratic Solutions) to accept tenders in order to expedite the contract award process. In all cases, where this occurs the appropriate Chief Officer shall report the contract award to the next appropriate Committee for noting. The Plan for North Lanarkshire Priority All priorities Ambition Statement (19) Improve engagement with communities and develop their capacity to help themselves
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1. Background 1.1 The requirements within the Contract are currently facilitated by British Telecom. This contract was a proof of concept (POC) with no formal support or ongoing maintenance in place beyond the POC term. The Contract detailed within this report now incorporates this requirement. 1.2 During the summer of 2020 BT Openreach approached the Council looking to ascertain our appetite to partner with them to develop a social use case for a 5G powered Immersive classroom. Early discussions and site surveys identified Muirfield Community Centre to have a suitable 5G speed. 1.3 With schools closed at the point of initial surveys due to the COVID19 pandemic and the Council, partnered with Scottish Government and Education Scotland, keen to seek opportunities to ensure continued learning and teaching in the event of local lockdowns or subsequent school closures, the Council and BT agreed to explore Education, and in particular, an immersive classroom, as a proof of concept. 1.4 The immersive classroom was launched in March 2021 and has been piloted by 4 schools in the local area. Kildrum and Carbrain are mainstream primary schools and Glencryan and Redburn being ASN schools. In addition, a local community nursery has also begun to access the facility. 1.5 Whilst an immersive experience pod creates opportunities to transform an entire community’s access to and experience of digital, particularly for lifelong learning and cultural perspectives, its initial use case specifically focussed on the impact 5G enabled technology had on learners' literacy skills, in particular listening and talking and writing. Evaluations have shown that learners have engaged positively with the experience. All have shown progress in literacy skills over the period measured. Staff too have been positive about using the Immersive experience and are now leading and creating content. 1.6 Following the successful test case of the immersive technology as a tool to deliver on the ‘Learn’ strand of the Council’s vision, the Council is now looking to move forward with the wider community opportunities. Capital funding has been allocated to expand the number of facilities and widen community access to more fully align with the vision of the “The Plan for North Lanarkshire”. This will be achieved through creating opportunities for community groups, charities and organisations to derive benefit from this resource as detailed in 1.9 below. 1.7 A User Intelligence Group (UIG) was tasked with evaluating potential sites for further experiences. The UIG identified Summerlee Heritage Park as the first ranked site to meet all criteria. As part of this procurement the supplier selected has completed a site visit and confirmed this a suitable location. 1.8 Active & Creative Communities have also secured funding (UK Prosperity Fund) to install an immersive experience within the Motherwell Library Digital Community Hub, planning for this is currently under way and the procurement has been incorporated within this exercise. This procurement stipulates the initial contractual commitment for Motherwell Library, and one other site within central North Lanarkshire. The procurement has allowed for further experiences should funding become available to ensure continuity across North Lanarkshire. The procurement is capped at a maximum spend of £2,000,000 or 60 months whichever comes first. 1.9 Some examples of where these experiences can be used include:
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• Education – The space can be used by any subject or age group from early years to further education. • Assisted learning opportunities for special needs. • Mental and experience stimulation for the aged and/or those with dementia type illnesses • Sports and Leisure – The space can be used for group leisure activities of all ages. • The Arts – the space can be used to project a subject specific backdrop onto the walls allowing participants to immerse themselves in that subject. • Professional Services – The space can be used for meetings where visual overviews of plans are required. • Live Events – Participants in the space can be connected via apps to live locations that are broadcasting 360 or VR (Virtual Reality) content. This content can be an enhanced experience not requiring use of VR headsets. • Content Creation – With the use of a 360-degree camera content can be created and used within the space. 1.10 Whilst the initial immersive experience POC focused on education, better understanding of the technology and its rapid evolution, has allowed the UIG to envisage that wider range of possibilities. 2. Report 2.1 The UIG, consisting of technical and procurement representatives, was formed to review technical specifications, market conditions and trends, ways to maximise community benefits and sustainability and to agree the procurement strategy that would deliver maximum benefit for the Council via the Contract. 2.2 The initial estimated value of the Contract dictated that the procurement procedure be undertaken in accordance with the Public Contracts (Scotland) Regulations 2015. An advert for the contract opportunity was published on the Public Contracts Scotland and the UK Find a Tender (FTS) website. 2.3 The procurement procedure was undertaken as an “Open Procedure” based on the evaluation criteria and scoring methodology set out in the invitation to tender package within the procurement procedure. An evaluation of tender responses was completed by members identified by the UIG. Selection stage responses were assessed first and compliant tenderers that satisfied/declared that they met the published minimum selection stage criteria progressed to the award stage evaluation. Following identification of the recommended tenderer(s), their selection stage responses were assessed in more detail to ensure they satisfied the minimum selection stage criteria applied. 2.4 The Contract award recommendation is made on the basis of the tenderer who submitted the most economically advantageous tender. 2.5 The tender(s) submitted by British Telecom Ltd has been evaluated as representing the most economically advantageous tender for this Contract. 2.6 Appendix 1 confirms the scoring achieved by each tenderer, further details of the procurement procedure is provided in Appendix 2 and the SME status and location of all tenderers is located within Appendix 3.
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2.7 The value of the Contract is a maximum value of Two Million pounds Sterling (£2,000,000) exclusive of VAT including any option to extend the Contract. 2.8 The costs associated with contract delivery will be contained within the capital budget for Business and Digital. Ongoing costs for Motherwell Library will be subject to funding from Active & Creative Communities. 2.9 The proposed solution incorporates enhancements from the original Muirfield PoC, reflecting market evolution, this will see all experiences incorporating multi-touch interactive walls, aroma dispensers and floor projection which will enhance the full 360 experience. Price Savings / Increases 2.10 The pre-tender whole life estimate for this contract was unknown. The initial capital funding available to Business and Digital was £366,808. The cost for a single experience is below the pre-tender estimate. Based on the submissions from British Telecom Ltd initial implementation costs are circa £100,000.00 per experience except for Muirfield which is circa £21,000.00 for upgrading the existing equipment. These costings will allow the Council to facilitate additional experiences during the 2023/2024 financial year. This will be returned to the UIG detailed in 1.7 to identify further suitable sites. Price Stability 2.11 Pricing has been fixed for the term of the contract. Community Benefits 2.12.1 The Council is committed to maximising the delivery of community benefits. The procurement included a community benefit requirement, this approach is designed to deliver local community benefits where possible. 2.12.2 Within their tender, British Telecom Ltd committed to deliver the following community benefits within the Contract: Community Benefit Type Quantity Committed Educational Support and Skills transfer 2 Educational Visits 4 Educational Workplace Visits 4 Business mentoring and advice to support to an SME 2 Business Event/briefing to promote supply chain opportunities 2 Non-financial support for a community project/organisation 10 2.12.3 The community benefits delivered as part of the Contract does not include the creation of jobs or apprenticeships.
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Fair Work First 2.13 Within their tender submission, British Telecom Ltd advised that they commit to the Scottish Governments “Fair Work First” initiative. Contract Management 2.14 Officers from Business & Digital will be responsible for managing the Contract which will be undertaken in accordance with the Councils agreed approach to contract and supplier management. 3. Measures of success 3.1 The Plan for North Lanarkshire sets out our vision and plans to deliver a world class digital infrastructure capable of enhancing digital skills and levels of participation within our communities. The planned digital transformation is to be responsive to the needs of communities and enhance the opportunities to engage with services. A further ambition of the Council is to support all children and young people to realise their full potential. In doing so raising attainment and skills for learning life and work. Measures of success from the implementation will be: • Increasing the number of schools and communities that will have access to an Immersive Experience Pod. • Providing an equitable experience for all children and young people, whist focussing on literacy skills to enable young people to achieve their full potential. • The pod will immerse children, young people, and communities in a completely digital world, removing barriers to travel affordability and giving a universal and equitable experience for all. • Reduction of travel across North Lanarkshire and wider. Reducing the carbon emissions. • The Immersive Pod will present exciting opportunities for North Lanarkshire to deliver educational content and digital learning experiences using a fresh, innovative approach whilst presenting opportunities for an alternative solution to site visits, such as museums. • It will be used across our communities focussing on a range of topics and themes. The plan for these facilities is that they are used throughout the day, evenings and at points during the weekend. As more groups become aware of the possibilities of the pod, it is expected that planned use will increase. • Young people using our Pod will increase their practical understanding of digital skills and the opportunities to use these in the world of work. The Immersive Experience Pod will be used to support employability, digitally demonstrating workplaces, skills and career options which may otherwise be impossible to experience. • For children and young people with Additional Support Needs (ASN), there are additional barriers to many wider life experiences, including everyday situations such as a trip to the dentist. The Immersive Experience Pod can remove these barriers, with 360° cameras demystifying the dental check-up and transforming it into a sensory, safe experience. • Enhanced knowledge and skills, in particular instructional design capabilities, of our workforce.
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4. Supporting documents Appendix 1 Summary of Tender Evaluation Process Appendix 2 Summary of Procurement Process Appendix 3 SME Status and Location of All Tenderers Katrina Hassell Chief Officer (Business and Digital)
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5. Impacts ( http://connect/report-template-guidance ) 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality-and-fairer- scotland-duty-impact-assessments Yes ☐ No ☒ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts have been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Funding has been secured from Business & Digitals capital budget of £366,808. Active and Creative Communities have secured separate grant funding of £168,000, with such dependent upon evidencing contractual commitment before 31st March 2023. Ongoing revenue costs will be met from the service areas own budgets. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts have been discussed and agreed with People Resources? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts have been discussed and agreed with Legal and Democratic? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☒ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e-mailed to dataprotection@northlan.gov.uk Yes ☐ No ☒ 5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi?
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Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The solution will utilise the councils network and hence will require network design, however this is standard work. Equipment at sites, although maintained by supplier, will require a degree of support, it is expected that this will predominately be via local users and solution champions, field services may have some role to play in this. Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? The technical implications are detailed within the report. Yes ☒ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex-Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒
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If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☒
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Appendix 1 – Summary of Tender Evaluation Process Final Rank Tenderer Name Total Tender Score (%) Recommended for Contract Award (Y / N) 1 BRITSH TELECOM Ltd 92.40 Y 2 IGLOO VISION LTD 69.26 N 3 HOLO SPATIAL 63.12 N
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Appendix 2 – Summary of Procurement Process Response CPT Contract Reference Allocated: NLC-CPT-22-013 Tender Platform Utilised: PCS-Tender (PCST) Procurement Procedure Utilised: Open Procedure Governing Legislation / Regulations: Public Contracts (Scotland) Regulations 2015 Date Contract Strategy Approved: 06 December 2022 Date Contract Notice Published: 28 November 2022 Total Expressions of Interest Received: 18 SME % of Expressions of Interest: 0 NLC Based % of Expressions of Interest: 0 Tender Return Deadline: 19/12/2022 Number of Tenders Received: 3 Tenders Received from SME’s: 2 Tenders Received from NLC Based Tenderers: 0 Number of Non−compliant Tenders: 0 Number of Compliant Tenders: 3 Number of Recommended Tenderers: 1 Basis of Contract Award: Quality: 60 Price: 40 Evaluation Team: Eileen Kerr, Heather Mooty, Grant Reid, Jill Woodward, Russell Brown, Alan Cooper Anticipated Contract Start Date: 31 March 2023 Total Contract Period (Months): 60 Maximum Total Contract Value: £2,000,000
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Appendix 3 – SME Status and location of all Tenderers Name of Tenderer Size of Tendering Organisation (Micro, Small, Medium or Large) Location (Local Authority / Council Area) British Telecom Ltd Large England UK IGLOO VISION Ltd Medium England UK HOLO SPATIAL Small England UK