Item 13 - Delegated Authority to Approve Contract Awards during Summer Recess - Provision of Insurance Services for WDC and WDLT
West Dunbartonshire Council · 8 June 2022
Back to Tendering Committee — 8 June 2022 and its agenda
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WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer – Supply, Distribution and Property Tendering Committee: 8 June 2022 ___________________________________________________________________ Subject: Delegated Authority to Approve Contract Awards during Summer Recess – Provision of Insurance Services (including Claims Handling) for West Dunbartonshire Council and West Dunbartonshire Leisure Trust. 1. Purpose 1.1 The purpose of this report is to advise the Tendering Committee of proposals to approve the award of the contracts for the Provision of Insurance Services (including Claims Handling) for the Council and the Leisure Trust as detailed during the summer recess. 2. Recommendations 2.1 It is recommended that the Tendering Committee: a) Grants delegated authority to the Chief Officer – Resources, to approve the award of the contracts detailed in Appendix A during the summer recess; and b) Authorise the Chief Officer - Regulatory and Regeneration to conclude on behalf of the Council and the Leisure Trust, the award of the contracts detailed in the Appendix A; and c) Notes that a report detailing the outcome will be submitted to the next appropriate Tendering Committee for noting, in accordance with Standing Orders 35(b) iv. 3. Background 3.1 The Council and the Leisure Trust require a number of insurance policies to ensure sound business practice as well as meeting any statutory requirements where necessary. 3.2 The procurement exercise for the insurance requirements are being conducted in accordance with Public Procurement Regulations, the Council’s Standing Orders and Financial Regulations. A Contract Strategy document was also approved on 10 March 2022. 4. Main Issues 4.1 Two procurement routes were considered, an open tender or a mini competition utilising a Crown Commercial Services collaborative dynamic purchasing system. Due to the time constraints the only viable option was to procure through a mini competition. 4.2 A mini competition invite was issued to the 22 insurance providers on the ITEM 13
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dynamic purchasing system on 3 May 2022 with a response by 31 May 2022. The submissions are being evaluated by representatives from the Insurance Team, the Leisure Trust, Arthur J Gallagher Insurance Brokers and the Corporate Procurement Unit against a set of award criteria which is based on Commercial / Quality ratio of 60% / 40% for each of the 13 Insurance lots. 4.3 The report detailing the outcome that shall be submitted to the next appropriate Tendering Committee, will also detail: • Provider for each lot; • Contract Value (Pre Extension); • Contract Value (Including Extension); • Commitment to the real Living Wage; and • Commitment to Social Benefits 5. People Implications 5.1 There are no people implications. 6. Financial and Procurement Implications 6.1 Financial costs in respect of these contracts will be met from the approved budget of Resources. 6.2 The procurement exercise will be conducted in accordance with the agreed Contract Strategy produced by the Corporate Procurement Unit in close consultation with the Insurance Team, the Leisure Trust, and Arthur J Gallagher Insurance Brokers officers and the provisions of Contract Standing Orders, the Financial Regulations and Public Procurement Regulations. 7. Risk Analysis 7.1 The implications of holding these contract awards until the Tendering Committee reconvenes, will delay the Council from having the appropriate insurance provision in place and could leave the Council to significant financial implications and reputational ramifications. 7.2 The Corporate Procurement Unit will ensure that the successful providers have no known links to Serious and Organised Crime which would have significant political and reputational ramifications for the Council. 7.3 Should the Tendering Committee decide not to proceed as recommended then this will delay the provision of insurance cover which may have financial implications and reputational ramifications. 8. Equalities Impact Assessment (EIA) 8.1 An equalities screening was undertaken for this report to determine if there is an equalities impact. The results where there is no equalities impact. 9. Consultation
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9.1 The Resources Insurance Team, the Leisure Trust, Finance Services and Legal Services along with the Councils insurance broker have been consulted on the contents of this report 10. Strategic Assessment 10.1 The Provision of Insurance Services (including Claims Handling) for the Council and the Leisure Trust will contribute to the delivery of the Council's strategic priorities. Name: Angela Wilson Designation: Chief Officer – Supply, Distribution and Property Date: 16 May 2022 Person to Contact: Alex Grace, Senior Procurement Officer, Corporate Procurement Unit Telephone 01389 737828 Email: alex.grace@west-dunbarton.gov.uk Appendices: Appendix 1 - Delegated Authority to Approve Insurance Contract Awards during Summer Recess. Background Papers: Contract Strategy EIA Screening Wards Affected: All Council Wards.
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Appendix 1: Delegated Authority to Approve Insurance Contract Awards during Summer Recess Service Contract Title / Lot Estimated Contract Value (Pre Extension) Estimated Contract Value (Including Extension) Contract Period (Pre Extension) Contract Period (Including Extension) Resources – Insurance Services Lot 1: Property Damage & Business Interruption, including Money and Special All Risks Property Insured £2,047,369.86 £3,412,283.10 3 5 Resources – Insurance Services Lot 2: Casualty, including Employer’s Liability, Public & Products Liability, Officials’ Indemnity, Libel & Slander £928,314.24 £1,547,190.40 3 5 Resources – Insurance Services Lot 3: Motor Fleet £795,896.64 £1,326,494.40 3 5 Resources – Insurance Services Lot 4: Contractor’s All Risks/Own Plant/Hired-in-Plant £115,559.52 £192,599.20 3 5 Resources – Insurance Services Lot 5: Computer £36,811.05 £61,351.75 3 5 Resources – Insurance Services Lot 6: Fidelity Guarantee £57,301.44 £95,502.40 3 5 Resources – Insurance Services Lot 7: Group Personal Accident/Travel – Corporate and Off Site Visits £45,350.37 £75,583.95 3 5 Resources – Insurance Services Lot 8: Engineering Inspection and Insurance £129,449.37 £215,748.95 3 5 Resources – Insurance Lot 9: Fine Art including Exhibitions £7,326.30 £12,210.50 3 5
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Services Resources – Insurance Services Lot 10: Medical Malpractice £32,696.16 £54,493.60 3 5 West Dunbartonshire Leisure Trust Lot 11: Combined Insurance, including Property Damage & Business Interruption, Computer, Money, Employer’s Liability, Public & Products Liability, Libel & Slander, Management Liability, Motor, Fidelity Guarantee, Group Personal Accident/Travel £261,837.54 £436,395.90 3 5 Resources – Insurance Services Lot 12: Package Lot: Property Damage & Business Interruption, including Money and Special ‘All Risks’ Property Insured (Lot 1), Casualty, including Employer’s Liability, Public & Products Liability, Officials’ Indemnity, Libel & Slander (Lot 2) and Motor Fleet (Lot 3) (Lots 1, 2 and 3) £3,771,580.74 £6,285,967.90 3 5 Resources – Insurance Services Lot 13: Package Lot: Casualty, including Employer’s Liability, Public & Products Liability, Officials’ Indemnity, Libel & Slander (Lot 2) and Motor Fleet (Lot 3) (Lots 2 and 3) £1,724,210.88 £2,873,684.80 3 5 Total estimate for lots 1 to 11 (excluding package lots) £4,457,912.49 £7,429,854.15