Section one: Contracting authority/entity
one.1) Name and addresses
NHS East and North Hertfordshire Clinical Commissioning Group
Charter House, Parkway, Welwyn Garden City
Hertfordshire
AL8 6JL
Contact
Ola Sijuwade
Country
United Kingdom
NUTS code
UKH23 - Hertfordshire
National registration number
na
Internet address(es)
Main address
Buyer's address
one.4) Type of the contracting authority
Body governed by public law
one.5) Main activity
Health
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
GP Services (APMS) for The Limes Surgery, Hoddesdon, Hertfordshire
Reference number
he Limes Surgery - Hertfordshire
two.1.2) Main CPV code
- 85121100 - General-practitioner services
two.1.3) Type of contract
Services
two.1.4) Short description
NHS England and NHS Improvement procured and awarded a contract for primary GP services (APMS) and other primary medical services for The Limes Surgery, Hoddesdon, Hertfordshire (‘the Contract’). The Contract was awarded to Lea Valley Health Limited (‘Lea Valley’) and commenced on 1 February 2018 for an initial 2-year term. The Contract permitted an extension of up to 3 years, provided notice was served to extend the Contract no later than 6 months prior to the expiry date.
NHS East and North Hertfordshire CCG (‘the CCG’) achieved delegated status in April 2018 and assumed commissioner status for the contract. In March 2020, the Contract was extended by 2 years to 31 January 2022. The current APMS contract has an extension clause which would enable a further 1-year period extension to 31 January 2023. The parties now intend to extend the Contract by a further 1 year until 31 January 2023. The CCG and Lea Valley then intend to novate the Contract to Zenith Medicare Ltd.
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: £764,174
two.2) Description
two.2.2) Additional CPV code(s)
- 85121100 - General-practitioner services
two.2.3) Place of performance
NUTS codes
- UKH23 - Hertfordshire
Main site or place of performance
Hoddesdon
two.2.4) Description of the procurement
NHS England and NHS Improvement procured and awarded a contract for primary GP services (APMS) and other primary medical services for The Limes Surgery, Hoddesdon, Hertfordshire (‘the Contract’). The Contract was awarded to Lea Valley Health Limited (‘Lea Valley’) and commenced on 1 February 2018 for an initial 2-year term. The Contract permitted an extension of up to 3 years, provided notice was served to extend the Contract no later than 6 months prior to the expiry date.
NHS East and North Hertfordshire CCG (‘the CCG’) achieved delegated status in April 2018 and assumed commissioner status for the contract. In March 2020, the Contract was extended by 2 years to 31 January 2022. The current APMS contract has an extension clause which would enable a further 1-year period extension to 31 January 2023.
Lea Valley have advised the Commissioners that they are winding down their operations in line with the current Contract expiry date of 31 January 2022. In order to maintain continuity of the care currently being delivered to patients registered at The Limes Surgery, the Contract is to be extended to 31 January 2023 and it will be novated to two of the salaried GPs, who are incorporated as Zenith Medicare Ltd. The Commissioners consider that such variations to the Contract are permitted without needing a new procurement in accordance with Regulations 72(1)(a) and 72(1)(d) of the Public Contracts Regulations 2015 for the reasons set out in this notice.
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:
The variations to the Contract described above are permitted without needing a new procurement procedure in accordance with Regulations 72(1)(a) (modifications stated in initial documents) and 72(1)(d)(ii) (replacement of contractor) of the Public Contract Regulations 2015 insofar as this Regulation is relevant to contracts that fall within Chapter 3, Section 7 of the PCR (contracts for social and other specific services).
Reg 72(1)(a) applies where a modification has been provided for in the initial procurement documents in clear, precise and unequivocal review clauses where these clauses state the scope and nature of possible modifications as well as the conditions under which they may be used. The proposed extension of the Contract to 31 January 2023 is permitted because at paragraph 1.5 of the ITT it is clear that the Contract was advertised on the basis that it could last a total of 5 years (2 + 2 + 1).
The proposed novation of the Contract to Zenith Medicare Ltd is permitted under 72(1)(d)(ii) as it would amount to a universal succession into the position of the initial contractor following a takeover by Zenith Medicare Ltd of Lea Valley’s services. The sole purpose of the takeover by Zenith Medicare Ltd is to run the practice and therefore, by taking over the practice, there is a takeover of the entirety of the business activities of Lea Valley .
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
1
Title
The Limes Surgery, Hoddesdon, Hertfordshire
A contract/lot is awarded: Yes
five.2) Award of contract/concession
five.2.1) Date of conclusion of the contract
16 September 2021
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
Zenith Medicare Ltd
8-14, Limes Court, Conduit lane
Hoddesdon
EN11 8EP
Country
United Kingdom
NUTS code
- UK - United Kingdom
The contractor/concessionaire is an SME
Yes
five.2.4) Information on value of contract/lot/concession (excluding VAT)
Total value of the contract/lot/concession: £76,417,400
Section six. Complementary information
six.3) Additional information
Whilst section V.2.1 of this notice refers to a contract award decision, the CCG is not in fact awarding a new contract, but is making an amendment to an existing one.
six.4) Procedures for review
six.4.1) Review body
Arden & GEM Commissioning Support Unit
10 Nottingham Road
Derby
DE1 3QT
Country
United Kingdom