Archived decisions

CONSTRUCTION RELATED PROCUREMENTS

1 The Cabinet has reviewed the costs and benefits of its earlier decision to move away from traditional lowest cost competitive tendering to a more balanced Best Value regime including the evaluation of contractors' bids on criteria other than cost. It is readily apparent from, in particular, key performance indicators that best value procurement with its key theme of seeking strategic partnering alliances, which involve the same partnering team on a series of projects or preferred contractors offered repeat opportunities, has had significant advances over the more traditional approach in terms of the integration of key players and enhanced working relationships. Accordingly, the Cabinet has decided to increase the level of best value procurement from the existing 60% of the capital programme to 70%, with the remaining 30% subject to selective competitive tendering. This will enable the progress and development of a number of key areas over the next two years as highlighted in the model for procurement now approved by Cabinet and set out as Appendix 1. This approach is fully in line with the latest advice from the Local Government Taskforce, set up to deliver the Government's "Rethinking Construction" agenda which strongly advocates a strategic partnering approach with best value selection criteria used, including price, to choose contractors.

2 The Hampshire procurement model will be reviewed by Cabinet in two years' time.

5nR381104