The information in the report is exempt from publication because its disclosure is likely to prejudice the commercial interest of both the Council and other bodies (Section 43 of the Freedom of Information Act 2000). The Council considers that at present the public interest in maintaining the exemption outweighs the public interest in disclosing it. Paragraph 3 of Schedule 12A of the Local Government Act 1972 (Financial and business affairs of the Council and other persons) also applies.
a) Appendix to Report - Commercial and Contract Terms
Report to follow.
b) Civica Presentation
TO RECEIVE a presentation.
Gary Bell from Civica will present to the meeting.
The Director of Shared Services introduced the commercial terms that had been developed following a period of negotiation. The Principal Solicitor (Contracts and Procurement) provided points of clarification where necessary and councillors had a number of questions relating to the terms.
Solicitor to the Council (Dover District Council) advised that all the key Terms had been agreed and briefed to the Committee but as there were still a small number of minor contract details to be agreed after the meeting, it was proposed that Resolution 3 should be amended. This was agreed by general consent following a further amendment from a councillor.
The report set out the following options:
i. To accept the commercial offer from Civica UK Ltd and authorise the entry into contract for the future delivery of the Revenues, Benefits and Customer Services, delegation from Councils and approve the proposed delegation to the Director of Shared Services and Director of Collaborative Services.
ii. Not to accept the commercial offer.
(1) To consider the results of the contract negotiations undertaken between EK Services and Civica UK Ltd.
(2) To note the offer received from Civica UK Ltd and the reduction in operating costs that will accrue should those terms be accepted.
(3) To note the offer of services from Civica UK Ltd, and to agree that each of Canterbury City Council, Dover District Council and Thanet District Council enter into such contract for a period of 7 years with the option to extend by up to a further 3 years (together with all associated contracts) on final terms to be approved by the Director of Shared Services in consultation with the Chief Executives and Leaders of each of the three Councils.
(4) To request that each of Canterbury City Council, Dover District Council and Thanet District Council enter into contract with Civica UK Ltd for the delivery of the Revenues, Benefits and Customer Services functions.
(5) That in the view of this Committee these decisions are urgent and should not be subject to call-in. The Committee therefore requests that the Chairmen of both Dover District Council and Thanet District Councils agree to suspend call-in of this decision in order to enable the provision of services under the contract to proceed from the proposed Transfer Date.
(6) To note that, in addition to the operational savings within EKS from the contract price, there will be additional savings from a future restructure within the remaining elements of EK Services as the residual element of EKS will be able to achieve some efficiencies due to the reduction in scale of the overall organisation.
(7) That, subject to the terms of the contract, Civica UK Limited and the employees of Civica UK Limited be authorised to exercise the powers and functions of each of Canterbury City Council, Dover District Council and Thanet District Council in relation to services to be provided by Civica UK Limited to the councils under the contract to the full extent permitted by law, in particular by The Deregulation and Contracting Out Act 1994 and the orders made thereunder (including but not limited to):-
The Local Authorities (Contracting Out of Tax Billing, Collection and Enforcement Functions) Order 1996
The Contracting Out (Functions relating to Social Security) Order 2000
The Contracting Out (Functions of Local Authorities: Income-Related Benefits) Order 2002
The Local Authorities (Contracting Out of BID Levy Billing, Collection and Enforcement Functions) Order 2005
And any reference to any act or order shall be taken as including a reference to that act or order as re-enacted replaced or modified from time to time whether before or after the date of this decision.
Reason for the decisions: it provided for the future sustainability of the services as well as delivering annual savings to each of the three councils.