Frameworks agenda Definition Advantages, features Purposes and why we use them How it differs from a contract Four types of frameworks How they operate (i.e. cannot join during life of framework) Call-off procedures (i.e. mini-comp most common etc) Lotting Naming authorities who can use a framework Raise awareness of national/regional collaboration landscape

Frameworks FAQ What is a framework (how it differs from a contract) Four types of frameworks Purposes and why we use them How they operate (i.e. cannot join during life of framework) Call-off procedures (i.e. mini-comp most common etc) Raise awareness of national/regional landscape

Framework –definition per EU Regs “an agreement or other arrangement between one or more contracting authorities and one or more economic operators which establishes the terms (in particular the terms as to price and, where appropriate, quantity) under which the economic operator will enter into one or more contracts with a contracting authority in the period during which the framework agreement applies”. Advantages – several suppliers – advantage SMEs, instead of one major contractor Mechanism whereby several authorities can collaborate Don’t need to commit any spend - flexible Can use as ‘call off contract’ with single supplier e.g. ITS equipment such as CCTV, display screens – dependent on project by project funding

Framework – plain English definition An agreement between a Contracting Authority and a supplier for the purpose of laying down the essential terms governing a series of specific contracts to be awarded during a given period (call-off). duration subject prices conditions of performance quantities envisaged

Regulations & Frameworks Where a framework does not specify how to call-off, a mini-competition must take place All capable supplies invited (cannot pre-qualify, de-selection may apply) Bids in writing Award must be based on criteria as detailed in the framework

Frameworks - advantages Meet EU requirement to aggregate spend Mini-competitions and other types of call off contract are a fraction of the effort of a tender Opportunities for several smaller suppliers to share the work rather than all the work to one contractor Vehicle for collaboration between authorities Flexible – don’t have to commit any spend If get frameworks right – anticipate future needs – no need for any tendering – only refresh category solutions

Frameworks v contracts A framework agreement is not a contract and can be overturned. Contract must have Offer Acceptance Consideration Capacity to contract Intention to create legal relations Framework – agreement or contract? 5 elements to a contract – offer, acceptance, consideration, capacity, intention Not a contract – an overarching agreement under which you can place contracts Often technically not an agreement – a deed - binding

Four types of framework Multi-supplier, single user Multi-supplier, multi-user Single supplier, single user Single supplier, multi-user

Frameworks - naming contracting authorities in the OJEU & contract Include the identities of all the contracting authorities entitled to call-off under the terms of the framework agreement. The authorities can be individually named, or a recognisable class of contracting authority may be used – e.g. Central Government Departments, local authorities or health authorities in a particular region etc. It should be noted that European Commission guidance on frameworks indicates that classes of contracting authority should be defined in a manner that enables “immediate identification of the contracting authorities concerned. It is not considered to be sufficiently precise to refer to all contracting authorities in a particular region”. When class descriptions do not allow ‘immediate identification of the contracting authorities concerned”, a reference to where details of the authorities covered can be obtained should be included in the notice. For example, if there is an accessible list of contracting authorities in a relevant “class”, or an organisation with responsibility for maintaining details of the members of a “class”, that list or organisation should be quoted Principle – unfair that competition not opened up, original intention of scope of f’work – spec, value, who can use, depriving organisation of business they should legitimately compete for. Source: OGC

Frameworks – calling off contracts as per the agreement Call off mechanism Direct award - Where the terms laid down in the framework agreements are sufficiently precise to cover the particular requirement, the authority can award the call-off without reopening competition Mini-comp – Based on award criteria set out in the f’work. It should be noted that there is no scope, at this stage, to run a selection procedure, based on selection criteria - technical ability, financial standing etc. Ranking Pricing and pricing mechanisms Terms and conditions Can call off over OJEU once f’work established via OJEU Direct award – Tec Resources Framework, graphic design, grit bins, CSOs allow direct award – see price and spec Mini –comp e.g. psf compared with old Mott Gifford contract Ranking – e.g. TRF lot 2 – agencies Call offs must be consistent with the framework agreement – price, price setting mechanisms, ts and cs – can vary a bit e,g, insurances, payment, award criteria – some flex over weightings. Often detailed user guides must comply with. If not, or ambiguous – trawl through all the tender documentation. E.g. ESPO – 1 page guide, Estates Management WDE – read entire contract.

Call-Off from Frameworks Check OJEU Notice is compliant Ensure you are fully aware of call-off procedure Follow the call-off procedure Mini competition Catalogue Cascade method

Lotting Definition: One of a number of categories of goods or services which a single procurement process has been divided into. The use of lots potentially allows for multiple providers to be appointed following one procurement process. An example might be a computer hardware procurement with one lot for "laptops" and a second lot for "desktops". Examples of lotting By supply market By service By geography By scale/complexity of requirement New procurement regs from April 2014 : There are a number of provisions relating to the use of lots. These are aimed at encouraging authorities to consider the structuring of opportunities to encourage SME participation. These include, for example, a requirement on a contracting authority to explain why, for contracts with a value over the threshold and under €500,000, it has decided not to split a contract into lots.

Collaboration Government Procurement Service Pro5 SE7 HIOWPP OGC – Buying Solutions – GPS part of Cabinet Office PRO 5 – CBC, ESPO, West Mercia, Yorkshire, North East - targeted at local authority spend SE7 – Highways works HIOWLA – TRF Despite Demise of RIEPs - regional collaboration alive – London Authorities, trend towards Highways Regional Alliances. Coalition desire for locally driven initiatives not top down organised.