Guesr Post by Philip Grant in a personal capacity
1 Morland Gardens, June 2022.
Two weeks ago, in a guest post giving Brent Council’s response to me stating that
the award of the latest contract for their Morland Gardens project was lawful, I mentioned that I had submitted a Freedom of Information Act request.
This was to obtain what should have been the supporting evidence for the views
set out by Brent’s Legal Director.
For those of you interested in the way that Brent Council carries out
its business on our behalf, and in the continuing saga of the Brent’s plans to
demolish the locally listed Italianate Victorian villa, “Altamira” (above),
this is the latest position.
I have received a full response to my FoI request from Brent Council,
and will ask Martin to attach a copy of this at the end of this article. The
rest of this post is the full text of an open email which I sent to Brent’s
Legal Director on 18 August.
This is an open email
Dear Ms Norman,
Whether the 14 July 2022 decision to award the Morland Gardens contract
breached the Public Contracts Regulations 2015 (“PCR 2015”).
In your reply of 1 August, to my email on this subject of 18 July, you wrote:
‘I would confirm that reference in my previous
email to Regulation 33(8) of the Public Contracts Regulations 2015 (PCR 2015)
was indeed to Regulation 33(8)(a) and that when inviting a single contractor to
bid from the Network Homes Contractor Framework (Framework), the Council
complied with its obligations under Part 2 of the PCR 2015 in accordance with
Regulation 37(6)(c).’
Later in that email, you replied to my suggestion that the award had not
complied with Regulation 18 of PCR 2015 (see below), writing:
‘As it is considered that the direct award
procedure set out in Schedule 1 of the Framework was used appropriately, it
is not accepted that the award has been made with the intention of unduly
favouring one economic operator.’
I have highlighted parts of the quoted replies above, and would ask you
to reconsider them, in the light of the following information.
My response to your reply, also on 1 August, included a Freedom of
Information Act request. I have now received the information requested, and
attach a pdf copy of the Brent Council response, and the Direct Award
Evaluation Process (“DAEP”) document which was supplied with it.
The DAEP document makes clear that there were ten contractors within Lot
3 of the Network Homes Contractor Framework (“NHCF”), all of whom would have
met the Council’s requirements for being invited to tender for the contract, if
it had been a competitive tender process.
Of those ten contractors, seven were also contractors under the Notting
Hill Genesis Framework (“NHGF”), which had been used for the previous two
attempts to award a contract for the Morland Gardens Development. Those seven
had been invited to tender for the previous contracts. But there were three
contractors within Lot 3 of the NHCF who had never been invited to tender for
this project.
In your email of 1 August you wrote that:
‘the other contractors on the framework did not
have the resources available to meet the timescales the council required in
order to meet the GLA grant funding requirement to be in contract and the
project beginning in August 2022 and did not have the same level of knowledge and
experience of, or relationship to the project site.’
I would refer you to question 4 of my FoI request, about contacts with
the other contractors within Lot 3 of the NHCF, to find out whether they had
the resources to meet the Council’s timescale. This was the answer:
‘As described in the Direct Award Evaluation
Process attachment as part of the response to query no.3, no other contractors
on the framework were contacted.’
The relevant sentence in the DAEP document is:
‘It should be noted that the other 9 suppliers on
the framework were not checked for capacity (3.1.2), previous performance
(3.1.3) and resource availability (3.1.4).’
Even if it were assumed that the other contractors on the NHGF, who had
been given the opportunity to bid in the previous Morland Gardens tender
processes, in 2020 and 2021, could be discounted, by failing to contact the
other three NHCF Lot 3 contractors about whether they would be interested in
bidding for the latest tender process, I believe that Brent Council has
failed to treat those ‘economic operators equally and without discrimination’,
as required by Regulation 18 (1).
I also believe that the answer to question 6 of my FoI request, about
Brent Council’s contacts with Hill Partnerships Ltd over a possible contract
award under the NHCF, shows there was a clear breach of Regulation 18(3). This was the answer:
‘The Council contacted Hill Partnerships Ltd via
phone call during the week of 30 May 2022. They confirmed that they had
available resources to start in August and that they continued to be interested
in this scheme and would submit a bid should the Council issue a further
invitation to tender. They confirmed the frameworks they were on so the Council
could undertake its due diligence on the frameworks as a potential route to
market.’
This confirms that Brent Council, having discovered that it had run out
of time to award a Morland Gardens contract to Hill Partnerships Ltd under the
second NHGF tender process, set out to find a way to award a contract to them
under a different framework. Having found out from this contractor which
frameworks they were approved for, the Council’s ‘due diligence’ was to find a
framework which allowed them to make a direct award of the new Morland Gardens
contract to Hill Partnerships Ltd, and to make it quickly.
The procurement process, which Cabinet approved on 20 June, was designed
‘with the intention of unduly favouring’ one particular economic operator, Hill
Partnerships Ltd.
I look forward to receiving your response to this open email, and to learning
how Brent Council intends to deal with what appears to be an unlawful contract
awarded for its Morland Gardens project. Best wishes,
Philip Grant.
Regulation 18 of PCR 2015:
‘Principles of procurement
18. (1) Contracting authorities shall treat economic operators equally
and without discrimination and shall act in a transparent and proportionate
manner.
(2) The design of the procurement shall not be made with the intention
of excluding it from the scope of this Part or of artificially narrowing
competition.
(3) For that purpose, competition shall be considered to be artificially
narrowed where the design of the procurement is made with the intention of
unduly favouring or disadvantaging certain economic operators.’