Section one: Contracting authority/entity
one.1) Name and addresses
North Kesteven District Council
District Council Offices, Kesteven Street
Sleaford
NG34 7EF
Contact
Mr Tony Mabbott
tony_mabbott@n-kesteven.gov.uk
Telephone
+44 1529414155
Country
United Kingdom
Region code
UKF3 - Lincolnshire
Internet address(es)
Main address
https://www.n-kesteven.gov.uk/
Buyer's address
https://www.n-kesteven.gov.uk/
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
NKDC Leisure Management Services
Reference number
DN251222
two.1.2) Main CPV code
- 92000000 - Recreational, cultural and sporting services
two.1.3) Type of contract
Services
two.1.4) Short description
Lot 1 - Sports and Physical Activity Services
Lot 2 - Natural World Centre - Whisby Nature Park
Lot 3 - Countryside Services
two.1.6) Information about lots
This contract is divided into lots: Yes
two.1.7) Total value of the procurement (excluding VAT)
Value excluding VAT: £1,376,734
two.2) Description
two.2.1) Title
Lot No
1
two.2.2) Additional CPV code(s)
- 92000000 - Recreational, cultural and sporting services
two.2.3) Place of performance
NUTS codes
- UKF3 - Lincolnshire
Main site or place of performance
In North Kesteven District.
two.2.4) Description of the procurement
Sports and Physical Activity Services via agency agreement.
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
Negotiated without a prior call for competition
- Extreme urgency brought about by events unforeseeable for the contracting authority
Explanation:
The manner of exercising the powers
4.3 There are restrictions on these powers. Section 2(3) of the LA 2011 prevents a local
authority from using the general power to make or alter:
4.3.1 arrangements for the discharge of a local authority's functions by committees,
joint committees, another authority, or an officer under Part 6 of the Local
Government Act 1972;
4.3.2 arrangements for local authority governance in England under Part 1A of the
Local Government Act 2000 (as inserted by the LA 2011); or
4.3.3 any other contracting-out arrangements, or other arrangements that authorise a
person to exercise a function of a local authority.
4.4 The effect of these provisions, particularly the provision described at paragraph 4.3.3, is that
NKDC cannot enter into a contract which divests the authority of its statutory powers or
obliges the authority not to exercise its powers. This means that the varied contract
establishing the Agency Model should not be capable of being interpreted as a delegation
of power. It must be a genuine agency relationship.
THL.164904104.3 6 LPS.108654.00001
4.5 An agent is a tool through which the principal acts, without any loss of control or direction.
A delegate exercises a degree of discretion in performing the functions of the delegator on
its behalf.
4.6 Provided that the amended contract establishes a genuine agency model, our view is that
NKDC would not be acting outside of its vires by engaging GLL as its agent to provide leisure
services. There is supporting case law for this point, which sets out that a genuine agency
arrangement will not be a delegation of power:
"The general principle is that when a statute gives someone the right to invoke some legal
procedure by giving a notice or taking some other formal step, he may either do so in person
or authorise someone else to do it on his behalf." (General Legal Council ex parte Whitter v
Frankson [2006] UKPC 42 (per Lord Hoffmann at [4]).)
4.7 It will be vital that the amended contract not only refers to GLL as NKDC's agent, but also
ensures that this is reflected in the substance of GLL's obligations, i.e. the degree of control
that NKDC retains and the scope of discretion that GLL is given to deliver the services. We
would be happy to assist with this point.
4.8 Provided that a delegation of power is avoided, our view is that NKDC has the power to
enter into the Agency Model.
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
DN251222
Lot No
1
A contract/lot is awarded: Yes
five.2) Award of contract/concession
five.2.1) Date of conclusion of the contract
14 October 2024
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
Greenwich Leisure Ltd
Middlegate House, The Royal Arsenal, Woolwich
London
SE18 6SX
Country
United Kingdom
NUTS code
- UKF3 - Lincolnshire
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: £1,376,734
Section six. Complementary information
six.4) Procedures for review
six.4.1) Review body
North Kesteven District Council
Sleaford
Country
United Kingdom