School Kitchen Expansion Phase 2 – RC-CPU-24-089
Renfrewshire Council · 3 April 2025
Back to Finance, Resources and Customer Services Policy Board — 3 April 2025 and its agenda
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___________________________________________________________________ To: Finance, Resources and Customer Service Policy Board On: 3 April 2025 ___________________________________________________________________ Report by: The Director of Environment, Housing and Infrastructure and Director of Finance and Resources ___________________________________________________________________ Heading: Contract Authorisation Report – School Kitchen Expansion Phase 2 – RC-CPU-24-089 ___________________________________________________________________ 1. Summary 1.1 The purpose of this report is to seek the approval of the Finance, Resources and Customer Services Policy Board to enter into a Contract for the School Kitchen Extensions – Phase 2 (RC-CPU-24- 089) to City Gate Construction (Scotland) Limited. 1.2 The recommendation to award the Contract follows a procurement exercise conducted in accordance with Renfrewshire Council’s Standing Orders Relating to Contracts 1 January 2024 for a below Regulated (Works) Contract using the below GPA Open Procedure. 1.3 A Contract Strategy was approved by the Head of Property Services and the Interim Corporate Procurement Manager on 20 December 2024. ___________________________________________________________________ 2. Recommendations It is recommended that the Finance, Resources and Customer Services Policy Board: 2.1 Authorises the Head of Corporate Governance to award a Works Contract in the form of SBCC Standard Building Contract Without Quantities for use in Scotland (SBC/XQ/Scot), 2011 Edition supplemented and amended by the Employer's Amendments for the School Kitchen Expansion Phase 2 (RC-CPU-24-089), to City Gate Construction (Scotland) Limited.
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2.2 Authorises the award of the Contract for the Tendered Contract Sum of £885,970.78 excluding VAT. 2.3 Authorises a contingency spend of £88,597.07 excluding VAT which equates to 10% of the Tendered Contract Sum. 2.4 Authorises a total Approved Contract Value of £974,567.85 excluding VAT, which is the total of the Tendered Contract Sum plus the contingency spend excluding VAT. 2.5 Note that the Date of Possession is anticipated to be 12 June 2025 with the Date for Completion anticipated to be 9 October 2025. The actual dates will be confirmed in the Council’s Letter of Acceptance to City Gate Construction (Scotland) Limited. _________________________________________________________ 3. Background 3.1. In June 2021 the Scottish Government announced the expansion of free school lunches to all P4 pupils from August 2021, P5 pupils from January 2022 and P6 and P7 and all ASN pupils from August 2022. The policy for P6 and P7 pupils was amended to apply only to families in receipt of the Scottish Child Payment and then delayed to 2025. 3.2. Implementation of the P4 and P5 free school lunch expansion was undertaken and delivered with minimum alterations to the existing school meals provision. However, to be able to expand the free lunches to P6 and P7 pupils, kitchen upgrades are required to be undertaken within schools. 3.3. The Council expanded the school kitchens within Barsail, Bushes, St. James and Mossvale primary schools during 2023. 3.4. The Council requires expansion works to be completed at the following Primary Schools; Heriot, Kilbarchan, St Margaret's, and Our Lady Of Peace (OLOP). The works required are to strip out the existing kitchen units, appliances, finishes and their related mechanical and electrical installations, and replace with new kitchen units, new appliances, new finishes and related mechanical and electrical installations. 3.5. The procurement exercise for this Contract was conducted in accordance with the Open Procedure under the Council’s Standing Orders relating to Contracts 1 January 2024 for a below GPA Threshold Works Contract.
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3.6. To initiate this procurement process, a Contract Notice was published on Public Contracts Scotland advertising portal on 24 December 2024, with the tender documentation available for downloading from the Public Contract Scotland – Tender portal from this date. 3.7. During the live tender period, 27 organisations expressed an interest. By the closing date set for the return of electronic tender submissions, 12 noon on 13 February 2025, 6 organisations submitted a response, 6 declined to respond and 15 organisations did not respond. 3.8. In accordance with the Council’s Standing Order relating to Contracts standing order 11.5, Tenderers were required to complete a Single Procurement Document (SPD) to be submitted with their submission. The 6 tender submissions were evaluated against a pre-determined set of criteria in the form of the SPD by representatives from the following Council services: Environment, Housing and Infrastructure, the Corporate Procurement Unit, Corporate Risk, and Health & Safety. 3.9. The tender submissions received complied with the minimum criteria within the SPD and were evaluated against the Award Criteria of 45.00% Quality and 55.00% Price. 3.10. The scores relative to the Award Criteria for the Tender Submission are noted below: 3.11. The evaluation of tender submissions received identified that the submission by City Gate Construction (Scotland) was the most economically advantageous tender submission. 3.12. The form of Contract is SBCC Standard Building Contract Without Quantities for use in Scotland (SBC/XQ/Scot), 2011 Edition supplemented and amended by the Employer's Amendments. Tenderer Name Quality Score (45%) Price Score (55%) Total Score (100%) City Gate Construction (Scotland) Limited 45.00% 55.00% 100.00% A. Alexander & Son (Electrical) Limited 33.75% 54.39% 88.14% Emtec Group Limited 36.50% 50.94% 87.44% Integrated Environments Limited 38.75% 48.25% 87.00% PM C Commercial Ltd 31.75% 53.61% 85.36% W. H. Kirkwood Limited 27.00% 52.05% 79.05%
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3.13. Community Benefits were requested as part of the Contract and City Gate Construction (Scotland) Limited have offered the following community benefits: Community Benefit Outcome Description No of People / Activity Work Experience Placement for an individual 16+ years of age 4 Work Experience Placement for an individual in full time education 2 Industry Awareness Events • Schools • Invest in Renfrewshire – Employability • Further Education 2 Industry Skill Transfer to Schools. 1 ___________________________________________________________________ Implications of the Report 1. Financial - The Contract is funded from increased General Capital Grant from the Scottish Government in support of the Free School Meals Programme. The approved Contract value will be up to a maximum value of £956,645.55, excluding VAT, for the 23-week Contract period. 2. HR & Organisational Development - None directly arising from this report. 3. Community/Council Planning – Place - Working together to enhance wellbeing across communities; • Developing our relationship with, listening to and involving our communities in the shaping of their future, particularly around the Council's investment and budgeting decisions, and ensuring that a wide range of voices and views are heard Economy - building an inclusive, green and resilient economy; • Improving lives and securing wellbeing through a stronger, inclusive and sustainable economy, being creative, imaginative and linking opportunities to enhance the benefits for Renfrewshire • Creating sustainable employment opportunities for people who live in Renfrewshire, attracting good employers to the area and encouraging growth of businesses already operating here, ensuring that all people can benefit from the inclusive growth in Renfrewshire
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• Supporting our citizens, particularly those furthest from the jobs market, into fair work - well paid, fulfilling employment • Matching the skills developed in Renfrewshire with the opportunities available in Renfrewshire and equipping all children and young people to achieve success in life Fair - nurturing bright, happy and healthy futures for all; • Reducing inequalities in Renfrewshire, focusing on supporting our communities through the cost-of-living crisis with dignity and empowering people to live fulfilled lives • Empowering people with lived experience of poverty and inequalities to influence decision making and service delivery • Working with a range of partners to support the improved health and wellbeing of our citizens, including for people experiencing loneliness and isolation • Protecting the most vulnerable members of our communities, including children and young people who are at risk • Supporting and nurturing children and families, with particular focus on early intervention and mental health and wellbeing, to ensure positive outcomes for children and young people • Placing the rights and needs of every child and young person at the centre of our decision making and service delivery • Promoting a shared vision and refreshed understanding of inclusion for our children and young people Green - leading Renfrewshire to Net Zero; and • Ensuring our journey to net zero is a just transition with climate justice and fairness at the heart, finding opportunities to challenge inequalities in new green ways as we tackle the climate crisis • Integrating climate considerations into our long term strategic and financial planning as an organisation • Planning for future climate adaptations when designing our services and our developing our place, particularly considering the impacts for our most vulnerable citizens Living Our Values - making a difference together • Ensuring Renfrewshire Council delivers Best Value for our citizens and customers, that we are a well governed, effective organisation 4. Legal - This procurement exercise was carried out an Open Procedure for a below GPA threshold for a works contract in accordance the Council’s Standing Orders relating to Contracts.
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5. Property/Assets This Contract will facilitate the upgrade of the School Kitchens within Heriot, Kilbarchan, St Margaret's, and Our Lady Of Peace (OLOP) Primary Schools. This will ensure that the Council’s assets are upgraded to a proper standard and maintained in a manner that complies with statutory legislation. 6. Information Technology – None directly arising from this report. 7. Equality & Human Rights - None directly arising from this report. 8. Health & Safety - City Gate Construction (Scotland) Limited’s health and safety submissions have been evaluated by the Corporate Health and Safety team and met the Council’s minimum requirements regarding health and safety. 9. Procurement – The procurement procedures outlined within this report ensures that the Council meets its statutory requirements in respect of procurement procedures, efficiency and modern Government. 10. Risk - City Gate Construction (Scotland) Limited’s insurances have been assessed and evaluated to confirm that they have met the minimum requirements regarding insurable risk. 11. Privacy Impact - None directly arising from this report. 12. Climate Risk – The level of impact associated with provision of these works has been assessed using the Scottish Government Sustainability Test and is considered high risk. Carbon Energy Consumption – The Contract will include the purchase of high energy items such as ovens, hobs, fryers and dishwashers. The Council set out the specification to ensure that the items being procured as part of this Contract are to the highest energy efficiency rating available. Waste and Efficient Resource Consumption – The Contractor will be required to consider waste reduction and recycling measures while undertaking these works. This Contract will include the removal of old kitchen equipment. Where applicable, the old equipment will be re- used/re-purposed to avoid landfill. 13. Children’s Rights – This will have a positive effect on provision 24 of the 42 UNCRC provisions. This provision of this Contract will enable the Council to provide children with food for every school day.
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14. Cosla Policy Position – COSLA has agreed to work with the Scottish Government to expand the provision of Free School Meals to all primary school pupils. _____________________________________________________ List of Background Papers - None ___________________________________________________________________ Author: Louise Bishop Procurement Adviser – louise.bishop@renfrewshire.gov.uk