The Committee considered the following report:
“1.0 Purpose of Report or Summary of main Issues
1.1 To update the Strategic Policy & Resources Committee following consideration by the Social Policy Working Group at their meeting in February on the delivery of social value outcomes via open tender competitions awarded in accordance with the Council’s Social Value Procurement Policy ‘SVPP’
1.2 The report also provides an update on tenders awarded by Physical Programmes where, due to project funding rules, social value has been considered and included in accordance with the CPD Buy Social Model.
1.3 It is intended that this report will be provided every 2 months in line with Social Value Working Group meetings. This report covers the reporting period 1st December 2022 to 31st January 2023.
2.1 The Committee is asked to:
· Note the update provided in the report
3.0 Main Report/Background
3.1 The SVPP was approved by Committee in April 23 with a ‘Go Live’ date of 1st June 2022.
3.2 SVPP applied to any new applicable open tender exercises with approval dated from 1st June 22.
3.3 To help Officers understanding the SVPP and how to apply this to applicable tender competitions, the Commercial and Procurement Services ‘CPS’ team has developed a step-by-step guidance document which takes Officers though key considerations in line with the SVPP. This guidance was developed and communicated to Officers ahead of the ‘Go Live’ date in June 22.
3.4 As outlined in the guidance to Officers application of the SVPP is considered in 2 key parts:
3.5 Part 1 – For all tender competitions valued over £30k, consideration by Officers about whether to:
1. Reserve the tender competition to a social enterprise/ VCSE sector taking into consideration levels of market competition in this sector
2. Include organisational behaviours (i.e., ethical procurement, environmental and HR policies and procedures) taking into consideration relevance of these policies and procedures to the goods, services or works being purchased and relevance to the market. When selected for inclusion in the tender these social value organisational behaviours are mandatory pass/fail questions for suppliers to demonstrate rather than scored questions.
3.7 The social value offer made by suppliers using the list of social value initiatives and points is then evaluated and scored with a minimum scoring threshold required to be met.
3.8 Note from April 23 for all tender competitions valued over £30k the following be included (in addition to the above in Part 1):
1. Payment of the Real Living Wage by suppliers to their employees
2. The prohibited use of zero hours contracts by suppliers
3. The inclusion of a social value weighting (10% or 15%) and scoring
CPD Buy Social Model
3.9 The CPD Buy Social Model is applied where external central government funding of 50% or greater is provided for a capital/ works project managed by Physical Programmes.
3.10 Appendix 1 of this report set out details of tenders valued over £30k which have been awarded during the Reporting Period and associated SVPP data/information
3.11 Appendix 1 includes:
Table 1 - Tenders awarded during Reporting Period
3.12 This sets out details of tenders awarded during Reporting Period and whether SVPP was applied or not.
3.13 For ease of reporting this shows tenders awarded by Commercial and Procurement Services ‘CPS’ team and the Physical Programmes department.
Table 2 – Summary of key data and findings associated with application of SVPP
3.14 This shows a summary of key findings from the tenders set out in Table 1; in particular a summary of the Part 1 SVPP considerations i.e. reserved contracts and social value organisational behaviours.
Table 3 - Summary of Supplier’s Social Value Offers (Scored submissions)
3.15 This shows a summary of the tenders that included a social value weighting (10/ 15%) and the social value offers put forward by suppliers for evaluation as explained under Part 2.
3.16 A summary of each applicable tender has been set out in a table.
Lessons Learned and Continuous Improvement
3.17 A Social Value Review Team has been established to review how the SVPP is being implemented and any lessons learned that need to be applied following conclusion of tender competitions. Areas the team are currently reviewing include, but not limited to:
1. Trends in the use of Reserved Contracts and any further guidance required for Officers on when these should be used
2. Trends in the selection of Social Value Organisational Behaviours by Officers when using the Social Value Toolkit and any further guidance required for Officers on when these should be applied
3. The quality of social value offers by suppliers (the scored submissions) and if further guidance is required in terms of how these are evaluated by Officers. In additional any further guidance required for suppliers to improve their understanding BCC expectations in line with Belfast Agenda aims and associated strategies.
4. Updated changes to templates and guidance ahead of the upcoming changes in April 23 i.e. Social value weighting for all tenders and Real Living Wage and Zero Hours Contracts provisions.
3.18 The Social Value Review Team will meet every 2 months in line with scheduled SPWG meetings and the production of this report.
3.19 The content/ format of this report will be reviewed with further information included as more social value data becomes available i.e. social value delivery by suppliers using SIB reporting database.
Financial & Resource Implications
3.20 The financial resources for these contracts are within approved corporate or departmental budgets
Equality or Good Relations Implications / Rural Needs Assessment
The Committee noted the information which had been provided.