URL: https://councillors.knowsley.gov.uk/ieDecisionDetails.aspx?ID=6832

Decision Maker: Executive Director Resources (James Duncan)

Outcome:

Is Key Decision?: No

Is Callable In?: No

Purpose: The purpose of this report is to seek ratification of the non-compliant decision in relation to the non-compliant award of a contract for the period 22 February 2021 to 30 November 2024 to Amazon Business EU Sarl, UK under the YPO/ Crown Commerical Service (CCS) Framework Agreement - Amazon Business Public Sector Digital Procurement Platform – 917.   The reason for the non-compliance is unclear as the officer involved in January 2021 in providing support on this requirement no longer works for the Council.  However, it is understood that the need for the requirement had been proposed after the findings of an audit investigation had identified that the use of individual Amazon accounts by Council officers to purchase certain goods on behalf of the Council was neither appropriate nor sustainable.  The investigation also discovered that for certain procurement activity, a number of public sector organisations used digital platforms to procure products where no existing framework existed but for which greater accountability on spend could be secured along with the opportunity to ensure this type of procurement activity was conducted compliantly. Whilst appropriate engagement was undertaken with the supplier to put the digital procurement platform in place for the Council in practical terms, no formal report was submitted to authorise the entry into the contractual arrangement under the appropriate framework agreement.   The reasons for the ratification are to clarify and confirm the contractual arrangements on a formal basis.

Content: The purpose of this report is to seek ratification of the non-compliant decision in relation to the non-compliant award of a contract for the period 22 February 2021 to 30 November 2024 to Amazon Business EU Sarl, UK under the YPO/ Crown Commerical Service (CCS) Framework Agreement - Amazon Business Public Sector Digital Procurement Platform – 917.   The reason for the non-compliance is unclear as the officer involved in January 2021 in providing support on this requirement no longer works for the Council.  However, it is understood that the need for the requirement had been proposed after the findings of an audit investigation had identified that the use of individual Amazon accounts by Council officers to purchase certain goods on behalf of the Council was neither appropriate nor sustainable.  The investigation also discovered that for certain procurement activity, a number of public sector organisations used digital platforms to procure products where no existing framework existed but for which greater accountability on spend could be secured along with the opportunity to ensure this type of procurement activity was conducted compliantly. Whilst appropriate engagement was undertaken with the supplier to put the digital procurement platform in place for the Council in practical terms, no formal report was submitted to authorise the entry into the contractual arrangement under the appropriate framework agreement.   The reasons for the ratification are to clarify and confirm the contractual arrangements on a formal basis. (i)       That, in accordance with Contract Procedure Rule 1.7 (ii) (Schedule 1), the following non-compliant decision in relation to the award of a contract to Amazon Business EU Sarl, UK for the use of a Public Sector Digital Marketplace Procurement Platform for procuring day-to-day products to provide greater visibility of adhoc transactions:-   (a)      awarding a contract under the YPO/Crown Commercial Service (CCS) Framework Agreement Amazon Business Public Sector Digital Procurement Platform – 917 for the period 22 February 2021 to 30 November 2024 without having sought the relevant formal approvals as required by Contract Procedure Rule 31 (as applicable in 2020/2021)   (ii)       That the Procurement Team be authorised to issue the retrospective contract documentation, as appropriate. The option not to ratify the non-compliant decision has been rejected on the grounds that the ongoing contractual relationship needs to be formalised to avoid any ambiguity over what terms and conditions apply.

Date of Decision: November 27, 2024