Decision details

Hoople

Decision Maker: Cabinet

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

To consider the future approach to the commissioning of services provided by Hoople

Decision:

THAT:

 

(a)  In considering the need to put in place arrangements for the period beyond the end of the current contract in 2016, the preferred approach to the commissioning of support services be via a Teckal compliant entity operating under  control of the council and other shareholders and it’s board, subject to these services offering value for money;

(b)  A business case and implementation plan be developed, in partnership with Hoople and its board, for the establishment of appropriate legal entities to ensure that the council can continue to procure support services through a company with Teckal status and that a commercial trading company is able to continue to develop wider commercial benefits; and,

(c)  The business case and implementation plan required under recommendation (b) be the subject of a further report for consideration and approval by the Cabinet Member Corporate Services.

 

 

Reasons for the decision:

Firstly, the recommended approach ensures continued compliance with the European Union (EU) procurement regulations without the costs associated with a major re-procurement exercise. Secondly, the Teckal compliant entity would continue to have its primary focus as providing support services to the shareholders. This will help to ensure that these areas of service are in line with future needs and continue to provide value for money. This is crucial as the council will continue to transform itself and will have constant pressure on resources. Finally, the recommended approach will ensure Hoople continues its commercial development in line with the council’s aspiration to support the economic development of Herefordshire.

 

Alternative options considered:

A review of potential commissioning options has been undertaken jointly with Hoople.  This identified a wide range of alternative options which are outlined within this report. They have been assessed against the key criteria outlined below to determine the recommended approach.  Whilst other options could be adopted, they are not recommended as they are not considered to meet the commissioning objectives to the same extent as the recommended option and would lead to higher costs of implementation, which would not represent value for money.

 

Reason Key: Strategic nature / impact on communities;

Wards Affected: (All Wards);

Contact: Richard Ball, Director for economy and place Email: rball@herefordshire.gov.uk Tel: 01432260965.

Publication date: 01/08/2014

Date of decision: 31/07/2014

Effective from: 06/08/2014