Section one: Contracting authority/entity
one.1) Name and addresses
East Lothian Council
John Muir House
Haddington, East Lothian
EH41 3HA
procurement@eastlothian.gov.uk
Telephone
+44 620827827
Country
United Kingdom
NUTS code
UKM73 - East Lothian and Midlothian
Internet address(es)
Main address
Buyer's address
https://www.publiccontractsscotland.gov.uk/search/Search_AuthProfile.aspx?ID=AA00181
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
HR and Payroll Systems VEAT Notice
Reference number
ELC-24-0325
two.1.2) Main CPV code
- 79631000 - Personnel and payroll services
two.1.3) Type of contract
Services
two.1.4) Short description
This is a voluntary ex ante transparency(VEAT) notice. East Lothian Council intends to award of contract for it's HR and Payroll System to MHR International for 5 years.
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: £646,609
two.2) Description
two.2.2) Additional CPV code(s)
- 79631000 - Personnel and payroll services
two.2.3) Place of performance
NUTS codes
- UKM73 - East Lothian and Midlothian
two.2.4) Description of the procurement
This is a voluntary ex ante transparency(VEAT) notice. East Lothian Council intends to award of contract for it's HR and Payroll System to MHR International for 5 years.
two.2.11) Information about options
Options: No
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 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:
East Lothian Council’s HR and Payroll System is essential to organisational service delivery. In this instance, cost and resource implications of changing to a new platform would have significant cost of change implications.
The business rationale for continuing with MHR International products links to the costs of change, which is not necessarily limited to the direct costs of licensing new software, but holistic costs pertaining to the migration of data, implementation of organisation wide training to embed a new system.
The current system is embedded within processes and cross departmentally. Given the costs outlined above, an alternative system would need to be a consolidation of software systems to deliver efficiencies which provide the most economically advantageous solution. It was not judged that this could be achieved in this contractual cycle.
For these reasons, there are no financially, administratively reasonable, viable alternative, substitute systems, or products other than the iTrent software that can meet East Lothian Council's needs during the period of the proposed contract.
The required licensing and support of this product can only be provided by MHR International for technical reasons and due to the supplier’s exclusive rights in and to the proprietary [iTrent products.
Accordingly, it is considered that the proposed award of contract to MHR International meets with the requirements Public Contracts (Scotland) Regulations 2015, Regulation 33(1)(b)(ii) and (iii).
The Council will continue, during the life of the contract, to carry out market testing for tendering opportunities beyond this contract.
four.1.8) Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: Yes
Section five. Award of contract/concession
Contract No
ELC-24-0325
A contract/lot is awarded: Yes
five.2) Award of contract/concession
five.2.1) Date of conclusion of the contract
27 March 2025
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
MHR
Ruddington Hall, Loughborough Road
Ruddington
NG116LL
Country
United Kingdom
NUTS code
- UK - United Kingdom
The contractor/concessionaire is an SME
No
five.2.4) Information on value of contract/lot/concession (excluding VAT)
Total value of the contract/lot/concession: £646,609
Section six. Complementary information
six.3) Additional information
NOTE: To register your interest in this notice and obtain any additional information please visit the Public Contracts Scotland Web Site at https://www.publiccontractsscotland.gov.uk/Search/Search_Switch.aspx?ID=797518.
(SC Ref:797518)
six.4) Procedures for review
six.4.1) Review body
Edinburgh Sherriff Court
Edinburgh
Country
United Kingdom