Issue - items at meetings - FP897 Leasehold Buildings Insurance Tender 2019
Issue - meetings
FP897 Leasehold Buildings Insurance Tender 2019
Meeting: 05/03/2019 - Cabinet (Item 114)
Report of the Corporate Director (Resources, Environment and Cultural Services) seeking delegated authority for the award of contract to the successful bidder.
Decision:
(1) The Corporate Director (Resources, Environment and Cultural Services), in consultation with the Executive Member (Resources), was given delegated authority to award the leasehold buildings insurance contract to the successful bidder and
(2) This authority would remain in force for the renewal of the policy each year until the expiry of the long term agreement.
Minutes:
Report of the Corporate Director (Resources, Environment and Cultural Services) seeking delegated authority for the award of contract to the successful bidder.
(1) The Decision Taken
RESOLVED:
(1) That the Corporate Director (Resources, Environment and Cultural Services), in consultation with the Executive Member (Resources), be given delegated authority to award the leasehold buildings insurance contract to the successful bidder; and
(2) That this authority remain in force for the renewal of the policy each year until the expiry of the long term agreement.
(2) Reasons for the Decision
The current contract for the provision of buildings insurance for leasehold properties would expire in June 2019. An Official Journal of the European Union (OJEU) tender process was therefore being carried out to procure a new provider, together with leaseholder consultation as it was proposed that a five year long term agreement be entered into. Timetables, however, precluded the results of the tender exercise from being presented to the Cabinet for consideration.
The Council was required under the lease terms of sold Council flats to arrange buildings insurance for these properties, the cost of which was then recharged to leaseholders. The current contract would expire on 23 June 2019 and as the total value of the forthcoming contract exceeded OJEU limits, it was necessary for the Council to undertake a formal European Directive compliant procurement.
In addition to this, as the individual charge to leaseholders might exceed £100 and a long term agreement would be entered into, it was also necessary to carry out a consultation process under Section 20 of the Landlord and Tenant Act 1985.