Archived decisions

11. Consideration of Processes Followed on Similar Contracts

11.1 The Policy and Resources Select Committee recently commissioned its own

review into the County Council's use of consultants and an initial report was

considered relating to the types and scale of use at its meeting on 3^rd April

2007. This was followed at the next meeting on 10^th July 2007 with a report

on a random sample of 13 transactions to include justification, the selection

process and the costs and benefits.

11.2 The base data used for these reports provided the total transactions of recorded payments for consultants' fees in 2006/07. Internal audit have reviewed this schedule of payments to identify and eliminate the vast majority of contracts which have been let under framework agreements and other known competitive arrangements. From the residual number of 55 non-framework contracts a sample of 15 contracts ( approx.25% ) was selected on a basis proportionate to the service/department's use in terms of both value and number of consultants.

11.3 Tests were then applied to focus particularly on the evidence of compliance with procurement procedures and Contract Standing Orders. Although the values represented total payments in the year to each consultant and may comprise separate, unrelated orders, at no point did the aggregated value exceed the limit requiring the EU Procurement Regulations to be considered.

11.4 There is evidence that in some cases documentation was insufficient to demonstrate the selection process, alternative quotations, or the specific approval of the Chief Officer. This included examples of two contractors used elsewhere by IT Services. Another case within the sample which involved the same members of IT staff as the contact centre was found to have been correctly dealt with.

11.5 Since the earlier internal audit investigation the implementation of a recommendation to set up a contracts register within IT Services to monitor all payments will help to ensure completeness of documentation and approvals in future. In addition, a framework contract to cover the provision of IT specialist consultants is also being implemented with the support of County Supplies through the tendering process. This is due for completion by Autumn 2007.

11.6 Within Environment services, the sample identified four cases where agency staff are employed to work on design projects within the capital programme under arrangements set up in 1999 by the former Planning and Transportation Committee to even out variations in the workload between years and supplement the internal resources in a more cost effective way. Although the value of work appears to be evenly spread between suppliers this arrangement should now be brought within the corporate Manpower contract or alternatively as separate framework contracts accessed on a competitive basis.