2024/2025 Annual Review - Procurement Strategy 2022/25 and Sustainable Procurement Policy 2022/25
Argyll and Bute Council · 7 December 2023
Back to Policy and Resources Committee — 7 December 2023 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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Page 1 ARGYLL AND BUTE COUNCIL POLICY & RESOURCES COMMITTEE Legal and Regulatory Services 7th December 2023 2024/2025 Annual Review - Procurement Strategy 2022/25 and Sustainable Procurement Policy 2022/25 1.0 EXECUTIVE SUMMARY 1.1 The purpose of this paper is to seek approval for the 2024/2025 Annual Review of the 2022/2025 Procurement Strategy and 2022/2025 Sustainable Procurement Policy. 1.2 This report outlines the requirement for the annual updates and the key changes that have been made to both the Procurement Strategy and the Sustainable Procurement Policy. 1.3 The first drafts of both documents were noted by the Procurement Board on 26th October 2023, the Departmental Management Team on 6th November 2023 and the Strategic Management Team on 20th November 2023. 1.4 The report recommends that the Policy & Resources Committee agree the Annual Review of the 2022/2025 Procurement Strategy and 2022/2025 Sustainable Procurement Policy, and documents to go on to the Strategic Management Team and Policy and Resources Committee. 1.5 Following the formal approval process both documents will be finalised and published in April 2024.
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Page 2 ARGYLL AND BUTE COUNCIL POLICY & RESOURCES COMMITTEE Legal and Regulatory Services 7th December 2023 2024/2025 Annual Review - Procurement Strategy 2022/25 and Sustainable Procurement Policy 2022/25 2.0 INTRODUCTION 2.1 The purpose of this paper is to seek approval for the revised Procurement Strategy 2022/2025 and Sustainable Procurement Policy 2022/2025, following the Annual Review of both. 3.0 RECOMMENDATIONS 3.1 That the Policy & Resources Committee note the minor changes to the Procurement Strategy 2022/2025 and Sustainable Procurement Policy 2022/2025. 3.2 That the Policy & Resources Committee approves the final revised Procurement Strategy 2022/25 and Sustainable Procurement Policy 2022/25, to go on to the Full Council in February 2024. 4.0 DETAIL 4.1 All public bodies with an annual regulated procurement spend of £5 million and above must produce a Procurement Strategy under Section 15 of the 2014 Act. In terms of the Act, a public body which expects to have procurement expenditure of £5 million or more in the next financial year must, before the start of that year, either publish a Strategy, where one does not exist or review an existing strategy making such revisions to it as the body considers appropriate and publish its revised strategy. On publishing a revised Procurement Strategy, a public body must then notify Scottish Ministers by sending an e-mail to ProcurementStrategies@gov.scot with a link to where the revised strategy can be accessed. The Council published its 3 year Procurement Strategy 2022/2025, and this paper sets out the Annual Review of the Strategy for 2024/2025. This ensures that we meet the various obligations set out in the Strategy in a timeously manner.
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Page 3 4.2 The updated Procurement Strategy continues to set out a framework which enables the Council to continue on its journey of change and innovation through: Build capacity and skills within the Council to continue to improve procurement, commissioning and contract management activity; Promoting the benefits of early procurement engagement and innovation; Making sure we comply with our statutory procurement duties; Increasing the level of collaboration both internally, between service areas, and externally with other partner organisations; Making sure we continue to adopt a partnership approach between internal and external partners; Encouraging more innovative use of community benefits requirements and ensuring that community benefit outcomes have been achieved that deliver for our local communities; Engaging proactively with key suppliers through contract and supplier relationship demand management to ensure that we extract maximum value and innovation from our supply base; To enhance contract management throughout the Council to increase efficiency and deliver better value for money; Focusing our procurement activity on delivering best value improvements for the people and communities in Argyll and Bute; Working co-operatively in everything we do to support Small and Medium- sized Enterprises (SMEs) and the third sector organisations. Continue to improve access to public sector contracts, particularly for local SMEs, Supported Businesses, Social Enterprises, Co-operatives and Third Sector; Ensuring procurement activity contributes towards the Council’s general Equality Duty towards all stakeholders in Argyll and Bute and beyond; Continuing to promote sustainability, fair work practices and the importance of equality and equal treatment through procurement; Setting out clear and achievable strategic objectives which support delivery of the Council’s wider goals and objectives; and Making sure we continue to investigate and develop purchase to pay systems to improve our procurement methods.
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Page 4 4.3 Procurement Strategy Annual Review Outcomes The PCCMT has reviewed this Strategy to ensure it continues to meet all of the Council’s procurement requirements and objectives for the period 2024/2025. The review concluded all objectives remain the same and identified the following changes to the Strategy: Section 3 - Page 6-10: Procurement Vision & Principles have been updated. Section 5 - Page 14: Strategic Aims updated. Section 6 - Page 28: The Corporate & Education Category’s Analysis of the existing spend profile updated with 2022/2023 spend data. Section 6 - Page 31: The Construction & Environment Category updated. Section 6 - Page 33: The Care, Early Years & Housing Category updated. Section 7 - Page 38-40: The Financial Analysis section has been updated with 2022/2023 spend data. Section 9 - Page 44: Included sections for Tools and Procedures. 4.4 Sustainable Procurement Policy The Argyll and Bute Council Sustainable Procurement Policy 2022/2025 builds on existing sustainability practice. The policy covers the three strands of sustainability: environmental, social and economic, and aims to meet the substantial challenges of balancing the complexities of sustainable procurement within today’s economic climate and continued drive for best value. 4.5 Summary of key changes to the Sustainable Procurement Policy 2022/25 The Argyll and Bute Council Sustainable Procurement Policy 2022/2025 has been updated as follows: Item 1.3 - Page 54: “Argyll & Bute Council is one of the region’s major public money spenders with £163.1 million spent in 2022/23. Item 4 – Page 55: Updated links to internal policy documents and strategies. Item 5.1 / 3(e) - Page 57 To specify fresh, seasonal, nutritious and, where possible, organic food, and to not knowingly purchase genetically modified food or food with genetically modified ingredients; “to support the development of national and local policies in relation to food”.
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Page 5 4.6 The 2024/2025 Annual Review of the 2022/2025 Procurement Strategy and 2022/2025 Sustainable Procurement Policy is attached as Appendix 1. 4.7 The Council has a statutory requirement to update and publish both its Procurement Strategy and its Sustainable Procurement Policy on an annual basis following the key changes introduced by the Procurement Reform (Scotland) Act 2014 and the Procurement (Scotland) Regulations 2016. 4.8 Proposed Timetable The key timescales proposed for finalisation of the 2024/2025 Annual Review of the 2022/2025 Procurement Strategy and 2022/2025 Sustainable Procurement Policy is as follows: Date Timetable – 2024/2025 Annual Review of the 2022/25 Procurement Strategy/Sustainable Procurement Policy Aug-Oct 2024/25 Review of PS and SPP to be revised for next financial year Oct-Nov 2024/25 Annual Review of 2022/25 PS and SPP for next financial year to be approved by - Internal approvals process: PCCMT Meeting: 23rd Oct 2023 Procurement Board: 26th Oct 2023 (papers 18th Oct 23) DMT: 6th Nov 2023 (papers 1st Nov 23) SMT: 20th Nov 2023 (papers 15th Nov 23) Policy Lead Dec P&R: 7th Dec 2023 (papers 7th Nov 23) Jan Final 2024/2025 Annual Review of PS and SPP to PB for information January 2024 Feb Noted at Full Council Mar/Apr Publish on Website 5.0 CONCLUSION 5.1 The Procurement Strategy and Sustainable Procurement Policy have been reviewed in keeping with the Strategy requirements (Section 8.2) to ensure that it continues to meet the Council’s procurement objectives and outcomes as well as ensuring that the Council meet its statutory requirement to do so on an annual basis following the key changes introduced by the Procurement Reform (Scotland) Act 2014 and the Procurement (Scotland) Regulations 2016.
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Page 6 6.0 IMPLICATIONS 6.1 Policy: None 6.2 Financial: None 6.3 Legal: None 6.4 HR: None 6.5 Fairer Scotland Duty: 6.5.1 Equalities protected characteristics None 6.5.2 Socio-economic Duty None 6.5.3 Islands None 6.6 Climate Change: None 6.7 Risk: None 6.8 Customer Service: None Douglas Hendry Executive Director with responsibility for Legal and Regulatory Support Policy Lead: Councillor Alastair Redman 7th November 2023 For further information contact: Anne MacColl-Smith 01546 604194 Anne.maccoll-smith@argyll-bute.gov.uk Appendices Appendix 1: 2024/2025 Annual Review of 2022/2025 Procurement Strategy and 2022/2025 Sustainable Procurement Policy