Procurement & Contracting
Rebecca Beasley
What is a Contract?
• A contract is a legally binding agreement
between two or more parties.
• In writing & signed, although a verbal agreement
may also constitute a contract.
offer
acceptance
consideration
intention
capacity
genuineness of consent
legality
What is a Contract?
• Terms & Conditions= the legal framework
for the purchase and provision of the
service.
• Specification = what the specific service
is, and how it is to be provided, include
the following:
–
–
–
–
–
–
Availability
Description of Service
Objectives
Outcomes
Monitoring Information
Service Development
Types of Contracts
Block Contracts
• An agreement to carry out a specified amount of work (for multiple
users) over a given period of time for an agreed price.
Spot Contract
• An agreement that enables DCC to purchase a service for a user on
an individual basis. Typically there is no fixed duration and prices
can vary.
Services
• Residential/Nursing
• Personal Care
• Enabling
• Day Care
Monitoring & Reviewing Contracts
• Monitoring
A process that takes place throughout the life of a contract to
establish whether the performance of the service continues to
achieve the outcomes identified within the service specification. It is
a continual “health check” that enables corrective action to be taken
if necessary.
• Review
the act of determining whether the contract is successfully fulfilling
its purpose. This will usually take place towards the end of the
contract period, but may occur earlier if there are concerns about
contract performance. The review will measure the effectiveness of
the contract against the strategic objectives of the Directorate and
determine what course of action should subsequently be taken.
Context of Monitoring
• Undertaken within the context of the overall strategy for
the relevant area of service to relate service objectives
and outcomes to those identified within the strategy.
• Not judge the method of service delivery but concentrate
on the quality of the service being delivered.
• Needs to be an awareness of how the contract being
monitored or reviewed relates to other contracts, i.e. its
place in the “bigger picture”.
Purpose of Monitoring
• Ensure that service quality and standards are achieved;
• Measure whether outcomes are being met;
• Ensure the continued relevance of specific outcomes in relation to
the overall strategy for the service and meeting the needs of
individuals;
• Provide an opportunity for two-way communication;
• Identify blockages to successful outcomes;
• Monitor best value;
• Plan for future developments within a framework of continuous
improvement;
• Monitor contract performance based on the provider’s quality
monitoring systems;
• Provide feedback to enable collation of performance information
across service areas.
Purpose of Review
To consider:
• intelligence gathered;
• the impact of the service for service users & carers;
• service user & carer feedback;
• feedback from other stakeholders;
• hard information such as numbers placed, numbers of voids, waiting
lists, evidenced delays or blockages to services being provided;
• the specification to determine continued relevance;
• any external influences which impact on the contract;
• any changes to Government guidance;
• agreed service improvements, efficiencies or changes of emphasis;
• how the service is contributing towards strategic performance standards;
• eligibility criteria and its continued relevance;
• whether the outcomes identified in the specification are being achieved;
To inform decisions about the future of the contract.
Potential Outcomes of Review Process
•
Contract Renewed – either with the same or
amended specification and contract terms.
•
Contract terminated and not replaced –
this will need to include consideration of how
any identified needs of service users& carers
will be met following termination of the
contract.
•
Contract terminated and replaced with
new contract following tender – either with
the same or different specification.
Who Is Involved?
• Person with responsibility for the management of the
contract (the Commissioning Manager);
• Person who can report on the strategic and financial
context of the service;
• Person who has a direct role in delivering or receiving
the service locally;
• Person responsible for other commissioning or
procurement activity on which the review of the contract
may have an impact;
• Procurement & Contracts officers.
• Service Users & Carers
Responsibility
•
To provide factual, relevant and up-to-date information and feedback
based on evidence which can be produced and shared, gathering
information from other agencies where relevant (e.g. Care Quality
Commission).
•
To ensure there is agreement as to what information is commercially
sensitive or might otherwise be exempt information under the Freedom of
Information Act 2000, and to ensure that such information remains
confidential.
•
To be aware of relevant legislation and guidance that DCC is required to
comply with, which has the potential to impact on the provider.
•
To attend meetings punctually and not send substitutes unless this is
unavoidable.
•
The monitoring and review should always be considered a high priority.
Any Questions?