Decision details

To approve the creation of a shared service for procurement, delivering services to Harrow Council, Brent Council and Buckinghamshire County Council

RESOLVED:  That

(1)          the Business Case set out in Appendix 1 to the report be noted;

(2)          the creation of a Procurement Shared Service, with Harrow Council as the Lead Authority, be approved;

(3)          the cost sharing arrangement set out in the financial section of the report be approved;

(4)          a delegation from Brent Council and Buckinghamshire County Council of their procurement functions under section 101 of the Local Government Act 1972 be accepted;

(5)          subject to the delegations, the Corporate Director of Resources and Commercial, following consultation with the Portfolio Holder for Finance and Major Contracts, be authorised to:

·           agree the terms of and execute an Inter Authority Agreement which reflected the principles outlined in the report;

·           implement a Shared Procurement Service in accordance with that Agreement.

Reason for Decision:  To enable the Council to meet its Medium Term Financial Strategy (MTFS) savings targets of £290k in 2016/17 and 2017/18 and put in place a mechanism to achieve further savings of £180k in 2018/19.  To allow the development of a resilient and cost effective procurement and commercialisation service which provided improved support to these Councils at a reduced cost.

Alternative Options Considered and Rejected:  As set out in the report.

Conflict of Interest relating to the matter declared by Cabinet Member/Dispensation Granted:  None.