Contract

Health and Disability Assessment Services (HDAS) - contract extension

  • Department for Work and Pensions

F20: Modification notice

Notice identifier: 2023/S 000-003704

Procurement identifier (OCID): ocds-h6vhtk-03a377

Published 7 February 2023, 12:36pm



Section one: Contracting authority/entity

one.1) Name and addresses

Department for Work and Pensions

Hartshead Square

Sheffield

S1 2FD

Email

cd.healthbom@dwp.gov.uk

Country

United Kingdom

Region code

UK - United Kingdom

Internet address(es)

Main address

https://www.gov.uk/government/organisations/department-for-work-pensions


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Health and Disability Assessment Services (HDAS) - contract extension

two.1.2) Main CPV code

  • 85000000 - Health and social work services

two.1.3) Type of contract

Services

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement at the time of conclusion of the contract:

The Contract relates to the provision of 'social and other specific services' within the meaning of Schedule 3 of the Public Contracts Regulations 2015 (SI 2015/102) and is critical to the provision of statutory "ESA" and Universal Credit welfare and other benefits for both DWP and Other Government Departments. The supplier will carry out an objective and independent assessment of the impact of health conditions and disabilities on claimants which is essential to the process of determining entitlement to these benefits. The supplier will carry out this assessment and provide information and advice to support the Authority's decision making processes.

The key elements of the service will include:

- The consideration of a claimant's health conditions or disabilities and the impact on their capability to work;

- Assessing individuals against criteria prescribed by the Authority;

- The delivery of functional assessments to support the above;

- The gathering and consideration of evidence to support the above including, where necessary, paying appropriate fees to gather evidence;

- The completion of reports, including advice, to the Authority and other Government Departments;

- The referral of assessment reports and any associated evidence to the Authority;

- Interpretation and advice to the Authority on technical evidence;

- Follow up liaison with the Authority in relation to assessments, including the provision of relevant health professional expertise as required;

- The administration and management of the service, including scheduling face-to-face assessments, ensuring they are completed within the timescales set down by the Authority;

- The recruitment, training and ongoing support of healthcare professionals, including liaison with relevant professional bodies;

- The development of guidance in conjunction with the Authority;

- The provision of an enquiry service for individuals being assessed;

- The provision of a quality control regime, including a complaints function;

- The provision of management information as defined by the Authority;

- Initiatives and liaison with relevant organizations to support the provision of evidence;

- Liaison and collaborative working with local and national partners, including disability organisations, and health professional bodies; and

- Support for Test and Learn activity.

two.2.7) Duration of the contract, framework agreement, dynamic purchasing system or concession

Start date

29 October 2014

End date

31 July 2023

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No


Section five. Award of contract/concession

Contract No

UI_DWP_101014

five.2) Award of contract/concession

five.2.1) Date of conclusion of the contract/concession award decision:

29 October 2014

five.2.2) Information about tenders

The contract/concession has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor/concessionaire

Maximus UK Services Ltd

East Sussex

Country

United Kingdom

NUTS code
  • UK - United Kingdom
National registration number

09072343

The contractor/concessionaire is an SME

No

five.2.4) Information on value of the contract/lot/concession (at the time of conclusion of the contract;excluding VAT)

Total value of the procurement: £1,207,412,437


Section six. Complementary information

six.3) Additional information

Suppliers Instructions:

How to Express Interest in this Tender:

1. Register on the eSourcing portal (this is only required once):

https://dwp.bravosolution.co.uk & click the link to register - Accept the terms & conditions & click 'continue' - Enter your correct business & user details - Note your chosen username & click 'Save'. You will receive an email with your password (keep this secure)

2. Express an Interest in the tender - Login to the portal with the username/password - Click the 'PQQs / ITTs Open To All Suppliers' link. (These are Pre-Qualification Questionnaires or Invitations to Tender open to any registered supplier) - Click on the relevant exercise to access the content. - Click the 'Express Interest' button at the top of the page. - This will move the PQQ /ITT into your 'My PQQs/ My ITTs' page. (A secure area reserved for your projects only) -You can now access any attachments by clicking 'Buyer Attachments' in the 'PQQ/ ITT Details' box

3. Responding to the tender - Click 'My Response' under 'PQQ/ ITT Details', you can choose to 'Create Response' or to 'Decline to Respond' (please give a reason if declining) - You can now use the 'Messages' function to communicate with the buyer and seek any clarification - Note the deadline for completion. Follow the onscreen instructions to complete the PQQ/ ITT - There may be a mixture of online & offline actions to complete (detailed online help available). To submit your reply use the 'Submit Response' button (top of the page).

For further assistance please consult the online help, or the eTendering help desk.

DWP expressly reserves the rights(i)to use a reverse auction; (ii)to cancel this procurement at any stage; (iii)to not award any contract as a result of the procurement process commenced by publication of this notice; (iv)and in no circumstances will DWP be liable for any costs incurred by potential suppliers.

six.4) Procedures for review

six.4.1) Review body

Department for Work and Pensions

Hartshead Square

Sheffield

S1 2FD

Country

United Kingdom


Section seven: Modifications to the contract/concession

seven.1) Description of the procurement after the modifications

seven.1.1) Main CPV code

  • 85000000 - Health and social work services

seven.1.3) Place of performance

NUTS code
  • UK - United Kingdom

seven.1.4) Description of the procurement:

The Contract relates to the provision of 'social and other specific services' within the meaning of Schedule 3 of the Public Contracts Regulations 2015 (SI 2015/102) and is critical to the provision of statutory "ESA" and Universal Credit welfare and other benefits for both DWP and Other Government Departments. The supplier will carry out an objective and independent assessment of the impact of health conditions and disabilities on claimants which is essential to the process of determining entitlement to these benefits. The supplier will carry out this assessment and provide information and advice to support the Authority's decision making processes.

The key elements of the service will include:

- The consideration of a claimant's health conditions or disabilities and the impact on their capability to work;

- Assessing individuals against criteria prescribed by the Authority;

- The delivery of face-to-face functional assessments, to support the above;

- The gathering and consideration of evidence to support the above including, where necessary, paying appropriate fees to gather evidence;

- The completion of reports, including advice, to the Authority and other Government Departments;

- The referral of assessment reports and any associated evidence to the Authority;

- Interpretation and advice to the Authority on technical evidence;

- Follow up liaison with the Authority in relation to assessments, including the provision of relevant health professional expertise as required;

- The administration and management of the service, including scheduling face-to-face assessments, ensuring they are completed within the timescales set down by the Authority;

- The recruitment, training and ongoing support of healthcare professionals, including liaison with relevant professional bodies;

- The development of guidance in conjunction with the Authority;

- The provision of an enquiry service for individuals being assessed;

- The provision of a quality control regime, including a complaints function;

- The provision of management information as defined by the Authority;

- Initiatives and liaison with relevant organizations to support the provision of evidence;

- Liaison and collaborative working with local and national partners, including disability organisations, and health professional bodies; and

- Support for Test and Learn activity.

seven.1.5) Duration of the contract, framework agreement, dynamic purchasing system or concession

Start date

29 October 2014

End date

1 March 2024

seven.1.6) Information on value of the contract/lot/concession (excluding VAT)

Total value of the contract/lot/concession:

£1,207,412,437

seven.1.7) Name and address of the contractor/concessionaire

Maximus UK Services Ltd

East Sussex

Country

United Kingdom

NUTS code
  • UK - United Kingdom
National registration number

09072343

The contractor/concessionaire is an SME

No

seven.2) Information about modifications

seven.2.1) Description of the modifications

Nature and extent of the modifications (with indication of possible earlier changes to the contract):

On 5 March 2020, DWP published a Prior Information Notice 2020/S 046-109668 as notification of its intent to re-procure the Health and Disability Assessment Service (HDAS) for assessment services in accordance with Section 7, PCR as part of a larger procurement for other types of assessment services (FAS procurement). Due to the impact of the COVID-19 Pandemic the new procurement was delayed and the HDAS contract was extended for the reasons set out in Voluntary Ex Ante Transparency Notice 2020/S 135-333758. The FAS procurement was launched on 12 November 2021 and, although a light touch regime procurement, was based on a competitive dialogue procedure, the commencement of which included the submission of indicative bids.

During dialogue it became apparent that the contract value envelope for the FAS procurement needed to be revised in order to provide these key public services effectively. The procurement was therefore halted temporarily with a view to re-engaging with stakeholders.

It had also become clear that the ratio of face-to-face assessments versus remote assessments needed to be reviewed given the continuation of the Pandemic and further time was spent ensuring the contractual arrangements had built-in flexibility to deal with changing circumstances and impact the above changes. DWP also considered that a further round of commercial dialogue (not originally planned) was necessary to ensure the quality of BAFO submissions in the face of the revised contractual framework. Due to these various activity streams, it was therefore impossible for DWP to avoid a negative impact on its original timetable.

The procurement is now well underway. DWP do not envisage there will be cause for further delay. However, due to the additional activities and subsequent delay (see above) in order to ensure an efficient and smooth handover between HDAS and the new FAS providers during an appropriate implementation period, DWP considers an extension of 7 months to the HDAS contract term is necessary. Without an extension there could be a delay to provision of assessments for the critical statutory welfare benefits which HDAS services encompass.

seven.2.2) Reasons for modification

Need for additional works, services or supplies by the original contractor/concessionaire.

Description of the economic or technical reasons and the inconvenience or duplication of cost preventing a change of contractor:

For the reasons in VII.2.I) and:

(i) interchangeability issues with a new supplier means these key services could be negatively impacted. The implementation of the contract currently being procured necessitates a lengthy handover period therefore it is not possible to introduce a new provider for the additional 7 months. A change in supplier without a full handover programme (which includes transition to a new managed IT service necessitating dual running of systems) would risk delivery of these services which provide critical statutory benefits to vulnerable people;

(ii) appointing a new supplier to cover the extra 7 months (which DWP do not consider a viable option) at the same time as the incumbent was engaged in handover to the new FAS supplier means significant duplication of costs particularly as DWP would be paying additional costs already during the implementation period; and

value of the contract for the extended period does not exceed 50% of value of the original contract

seven.2.3) Increase in price

Updated total contract value before the modifications (taking into account possible earlier contract modifications, price adaptions and average inflation)

Value excluding VAT: £1,207,412,437

Total contract value after the modifications

Value excluding VAT: £1,297,737,098