Decision details

To approve an extension to the current five year contract, which expires on 31 March 2014, for a further one year period until 31 March 2015, with an option to extend for a final year until 31 March 2016

That the current five-year contract for the Integrated Community Equipment Service, which commenced April 2009 and expires 31 March 2014 with Millbrook Healthcare, be extended for a further one year period until 31 March 2015, with the option to extend for a final one year period until 31 March 2016, as set out in the original Official Journal of the European Union (OJEU) notice and in the current contract with Millbrook Healthcare.

Reasons for Decisions:

Millbrook Healthcare has consistently provided very high levels of service for the duration of this contract and has worked proactively to look for innovative solutions to improving service delivery and financial savings.

The service provided by Millbrook Healthcare for the duration of the current contract has been to a very high standard, with an open book approach to the development of innovative solutions, improved service delivery and financial savings. Over 99% of all deliveries of equipment are completed within the specified time period; stock control for the peripheral stores in the major acute hospitals is excellent; joint initiatives are regularly undertaken, for example in identifying equipment for collection and recycling, and in running training programmes for the 1200 prescribers across health and social care.

In order to respond to increasing demand and reducing resources, a whole systems review of all types of equipment and building adaptations is being undertaken. ICES forms a central core of this agenda, and potentially has links to many other equipment related services. An extension of 1 + 1 year of ICES will enable the review to be completed, and service specifications developed for a more integrated and personalised service.

An extension will allow a review of the potential for future collaboration with neighbouring authorities, who are planning to tender during 2014/15.

Rejection of a contract extension for 2014/15 would require an immediate re-tender for a steady-state service. Due to the wider Whole Systems review, an ICES re-tender would only be for a short-term contract, which would be seen as unattractive to the marketplace, with large set-up costs for the supplier.

A contract extension would bear no additional cost to Surrey County Council in year 1 above that already budgeted. The Medium Term Financial makes allowances for the cost of ICES for each of the years of the proposed extension. ICES is funded jointly with the Surrey NHS CCGs, on a 50:50 basis within a section 75 pooled fund agreement. Surrey CCGs have agreed to a potential one year extension, but are not yet in a position to consider the possibility of a second year.

[The decisions on this item can be called in by the Adult Social Care Select Committee]