DSD Medical Support Services

CPV: Administration, defence and social security services · Disability benefits · Health and social work services · IT services: consulting, software development, Internet and support · Sickness benefits · Temporary disablement benefits

Procedure method

Award procedure without prior publication of a call for competition

Legal basis

CELEX · 32009L0081 Defence and Security Public Contracts Regulations 2011 (Directive 2009/81/EC)

Procurement category

Services

Notice status

Awarded without competition

Procurement threshold

Unspecified in notice

Regulatory regime

Standard

Commercial structure

Stand-alone contract (no framework)

Competition type

Direct award (no call for competition)

GPA / WTO covered

Yes (GPA)

Recurring procurement

Unspecified in notice

First published

31 Jan 2023, 15:39 GMT

Last source update

31 Jan 2023, 15:39 GMT

Authority reference

Project 71

FTS notice number

2023/S 000-002963

Classification (CPV)

Administration, defence and social security servicesDisability benefitsHealth and social work servicesIT services: consulting, software development, Internet and supportSickness benefitsTemporary disablement benefits

Delivery area

Northern Ireland (UKN)

Official registry OCID

ocds-h6vhtk-03a189 Find a Tender

Why no open competition

The procurement falls outside the scope of application of the directive

Published justification

On 5 March 2020, DWP published a PIN 2020/S 046-109668 signalling its intent to re-procure its Work Capability Assessment contracts for assessment services in GB in accordance with Section 7, PCR as part of a larger procurement for other types of assessment services (FAS Procurement). The Department for Communities agreed to join the procurement with Northern Ireland constituting a separate geographic Lot. Due to the impact of the Covid-19 Pandemic, the new procurement was delayed and as a result, the WCA contract in NI was extended for the reasons set out in Voluntary Ex Ante Transparency Notice 2020/S 135-333759.

The FAS procurement was launched on 12 November 2021 and, although a light touch regime procurement, was based on a competitive dialogue procedure, the commencement of which included the submission of indicative bids.

During dialogue it became apparent that the contract value envelope for the FAS procurement needed to be revised in order to provide these key public services effectively. The procurement was therefore halted temporarily with a view to re-engaging with stakeholders.

It had also become clear that the ratio of face to face assessments versus remote assessments needed to be reviewed given the continuation of the Pandemic and further time was spent ensuring the contractual arrangements had built-in flexibility to deal with changing circumstances and impact the above changes. DWP and DfC also considered that a further round of commercial dialogue (not originally planned) was necessary to ensure the quality of BAFO submissions in the face of the revised contractual framework. Due to these various activity streams, it was therefore impossible for DWP and DfC to avoid a negative impact on its original procurement timetable.

The procurement is now well underway. DWP do not envisage there will be cause for further delay. However, due to the additional activities and subsequent delay (see above) in order to ensure an efficient and smooth handover between the MSS and the new FAS providers during an appropriate implementation period, DfC consider an extension of 7 months to the existing MSS contract term is necessary. Without an extension there could be a delay to provision of assessments for the critical statutory welfare benefit which MSS services encompass. As the recipients of these welfare benefits constitute a vulnerable section of society, DfC are of the view such an extension is necessary to ensure they are not disadvantaged further.

DfC considers Regulation 72(1)(b) PCR is applicable. For the reasons set out above, the provision of additional services until 1 March 2024 has become necessary and:

(i) interchangeability issues with a new supplier means these key services could be negatively impacted for technical and economic reasons. The implementation of the contract currently being procured necessitates a lengthy handover period therefore it is not possible to introduce a new provider for the additional 7 months. A change in supplier without a full handover programme (which includes transition to a new managed IT service necessitating dual running of systems) would risk delivery of these services which provide critical statutory benefits to vulnerable people;

(ii) appointing a new supplier to cover the extra 7 months (which DfC do not consider a viable option) at the same time as the incumbent was engaged in handover to the new FAS supplier means significant duplication of costs particularly as DfC would be paying additional costs already during the implementation period;

(iii) the value of the contract for the extended period does not exceed 50% of value of original contract; and

(iv) DfC will publish a modification notice pursuant to Regulation 72(3) of PCR.

• Atos Origin IT Services LtdAwarded supplier London, UKContact emailShow contact details

No document links were published on the notice.