Section one: Contracting authority/entity
one.1) Name and addresses
North East Lincolnshire Council
Municipal Offices,Town Hall Square
GRIMSBY
DN31 1HU
Country
United Kingdom
Region code
UKE13 - North and North East Lincolnshire
Justification for not providing organisation identifier
Not on any register
Internet address(es)
Main address
Buyer's address
https://www.nelincs.gov.uk/your-council/finances-spending-and-contracts/contracts-and-tenders/
one.4) Type of the contracting authority
Regional or local authority
one.5) Main activity
General public services
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
Integrated Substance Misuse Recovery Service
two.1.2) Main CPV code
- 85323000 - Community health services
two.1.3) Type of contract
Services
two.1.4) Short description
The Supplier currently provides drug and alcohol treatment services to the to support the Authority's priorities of a stronger community and stronger economy under a contract due to expire on 1st April 2023 (the ISMRS Contract). The ISMRS Contract supports the Authority's strategies and plans of the two local statutory partnerships; the Health and Wellbeing Board and Safer and Stronger Communities Partnership. The services are available for all ages of people living in North East Lincolnshire as temporary or permanent residents, regardless of ethnicity, culture, disability or sexual orientation.
two.1.6) Information about lots
This contract is divided into lots: No
two.1.7) Total value of the procurement (excluding VAT)
Value excluding VAT: £12,580,651
two.2) Description
two.2.3) Place of performance
NUTS codes
- UKE13 - North and North East Lincolnshire
Main site or place of performance
North East Lincolnshire
two.2.4) Description of the procurement
The ISMRS Contract was awarded on 1st April 2018 and is due to expire on 1st April 2023. This notice confirms that an extension of 30 months from 1st April 2023 to 1st October 2025 has become necessary.
The Office for Health Improvement and Disparities (OHID) and the Department of Health and Social Care (DHSC) have invited North East Lincolnshire Council to apply for the funding to expand substance misuse services. A condition of receipt of this funding is that current spending on substance misuse treatment and recovery services from the Public Health Grant is maintained at current levels.
The additional funding will be used to expand current delivery. The 'supplemental funding' will support improvements in the quality and capacity of drug and alcohol treatment services in North East Lincolnshire for a 3-year period, 2022 - 2025.
To avoid delay and disruption it is our intention that the additional funding will be offered as an extension and variation to the 'North East Lincolnshire Integrated Substance Misuse' - We Are With You. The provider is meeting the current outcomes and performance indicators associated with the contract and is able to scale up service delivery to meet the extra capacity requirements of this additional funding.
There are a number of significant changes to Public Health services happening at this time, both locally and nationally. Extending and varying this contract will,
• Allow time for the impact of the new 10-year strategy and additional funding to be understood, evidence to be gathered and new specifications developed
• Align all the commissioning timelines across Great Lincolnshire footprint providing an option to recommission a new service for 1st October 2025 across the Greater Lincolnshire patch. It is anticipated that this approach will offer efficiencies and savings to the authority.
• Allow time for new funding streams to be established, with longer term solutions identified.
• Changes to the way NHS and some Public Health services are commissioned. The Provider Selection Regime (PSR), PSR is part of the Health and Social Care Act 2022 passing through parliament.
For these reasons, as explained more fully in Section IV and Annex D, the Authority considers the proposed extension to be justifiable under Regulation 72 of the Public Contracts Regulations 2015, namely Regulation 72(1)(b). The amendments comprising the extension will not be made before the end of a period of at least 10 days from the day after the day of publication of this notice.
two.2.11) Information about options
Options: No
Section four. Procedure
four.1) Description
four.1.1) Type of procedure
Award of a contract without prior publication of a call for competition in the cases listed below
- The procurement falls outside the scope of application of the regulations
Explanation:
a) Additional services by the original contractor have become necessary
The Government launched its new 10-year drug plan 'From Harm to Hope' this year with an ambition to reduce substance misuse to an historic 30-year low. This will see radical changes to the way sub-stance misuse is commissioned and funded in the future.
There are several significant changes to Public Health services happening currently, both locally and nationally. Extending this contract will,
• Allow time for the impact of the new 10-year plan 'From Harm to Hope' and additional funding to be understood, evidence to be gathered and new specifications developed
• Align all the commissioning timelines across the Greater Lincolnshire footprint providing an option to recommission a new service for 1st October 2025 across the Greater Lincolnshire patch. It is anticipated that this approach will offer efficiencies and savings to the authority.
• Allow time for new funding streams to be established, with longer term solutions identified.
• Coincide with the new Integrated Care System (ICS) there are proposed changes to the way health services are procured, taking the commissioning of local authority and ICS health services outside of the Public Contracts Regulations 2015 (PCR). The proposal under the Health and Care Bill is to have a new regulatory Provider Selection Regime which introduces 3 new decision-making routes which will make it easier for commissioners to reach decisions about who provides services.
• Allow time to establish a 'Combating Drugs Partnership Board' as required by The Home Office
• Allow time to understand the new funding streams and how these impact on future commissioning
b) Technical reasons prevent a change of contractor
The Contract extension will provide time to review the provision of services for substance misuse across the Greater Lincolnshire area, it will align contracts in NL, NEL and Lincolnshire providing an opportunity to commission across a greater footprint with the potential for efficiencies and economies of scale.
The outcome requirements of the new 10-year drugs plan 'From Harm to Hope' along with the associated 3-year extra grant (annually awarded) for treatment provision are very challenging. Advice from Office for Health and Disparities (OHID) is where possible to avoid going out to tender as the introduction of system wide changes will be made more difficult if having to carry out a tender exercise at the same time.
The plan sets out radical changes to the way substance misuse is commissioned and funded in the future. Extending the current contract will allow us to understand the impact these changes will have on future commissioning.
c) Change of contractor would cause significant inconvenience or substantial duplication of costs
The provider is meeting the current outcomes and performance indicators associated with the contract and can scale up service delivery to meet the extra capacity requirements of this additional funding. Not extending the current contract could negatively impact the delivery of drug and alcohol treatment as described and require implementing a contingency arrangement resulting in significant difficulty and duplication of costs.
d) Any increase in price does not exceed 50% of the value of the original contract
The value of the original contract for years 1-5 was £12,580,651 and the maximum extension value is therefore £6,290,325.50. The value of the extension is £4,028,500.
four.1.8) Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: No
Section five. Award of contract/concession
Contract No
DN295672
A contract/lot is awarded: Yes
five.2) Award of contract/concession
five.2.1) Date of conclusion of the contract
1 April 2018
five.2.2) Information about tenders
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor/concessionaire
We Are With You
Part Lower Ground, Gate House, 1-3 St John's Square
London
EC1M 4DH
Country
United Kingdom
NUTS code
- UKI43 - Haringey and Islington
Charity Commission (England and Wales)
1001957
Internet address
https://www.wearewithyou.org.uk
The contractor/concessionaire is an SME
No
five.2.4) Information on value of contract/lot/concession (excluding VAT)
Initial estimated total value of the contract/lot/concession: £12,580,651
Total value of the contract/lot/concession: £12,580,651
Section six. Complementary information
six.4) Procedures for review
six.4.1) Review body
Legal Services
Municipal Offices, Town Hall Square
Grimsby
DN31 1HU
Country
United Kingdom
six.4.2) Body responsible for mediation procedures
Legal Services
Municipal Offices, Town Hall Square
Grimsby
DN31 1HU
Country
United Kingdom