PLC Public Sector reports:

The banks failed … the Government threw the golden rule out of the window and bailed them out.  The banks failed again … the Government bailed them out again. 

The Government is now pledging to spend its way out of the depression, sorry recession (apologies for the “slip of the tongue“), including providing the necessary funds to support several large PFI schemes.  Many of these schemes have been experiencing difficulties because the banks refused (and in most cases still refuse) to provide the required finance.

We will only be able to judge the success of the Government’s financial stimulus in time.  However, a debate is needed now as to whether PFI is the appropriate vehicle for the Government’s rescue plans. 

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Martin Smith, partner, Field Fisher Waterhouse LLP:

NOTRAG (the No Third Runway Action Group) called it a “Con”sultation.  The Liberal Democrat Shadow Transport Secretary called it a “sham”.

The Government’s consultation on adding capacity at Heathrow airport is now over and the Secretary of State has concluded that a third runway is needed. Much as everyone ‘knew’ he would. Does this make the consultation a pointless process, a fig leaf to cover the inadequacies of a Minister determined to get his way?  Was the consultation so inadequate as to be unlawful?  This is a matter that may ultimately be determined by the Administrative Court, as legal challenge has been threatened.

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PLC Public Sector reports:

Is it being overused … or even abused? What does “particularly complex” actually mean? What if you can specify the “what” but not the “how” – does that count? Do bidders like it or loath it? These are just some of the many questions likely to be asked when an authority is deciding whether it can, or should, use the competitive dialogue procedure.

The procedure is now nearing its third birthday. Most commentators agree that, in the round, it has been a success, allowing more private sector expertise to be inputted at the competitive stage of a procurement. However, if it is to continue to prosper and avoid numerous, recession-inspired, legal challenges, PLC Public Sector argues that the Government needs to publish further practical guidance which answers some of the many questions that still surround the use of this new procedure.

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PLC Public Sector reports:

 

At a meeting of the Society for Computers and Law public sector group toward the end of 2008, it was revealed that the group is discussing potential changes to the OGC’s Model ICT Services Agreement (MITSA), with the OGC.  The OGC’s current intention is to publish a revised agreement and guidance possibly as early as April 2009.  The most interesting development may be the publication of a slimmed down MITSA “lite”. 

 

In this post, PLC Public Sector considers whether this is deliverable and looks at the other changes in the pipeline. 

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PLC Public Sector reports:

The impact of the credit crunch on local authorities, ranging from losses arising from the Icelandic banking crash to warnings about reduced revenues from falling recyclate markets, has been well publicised.  Undoubtedly, 2009 is going to be difficult year for local authority purchasers with belts being tightened and budgets shrinking.  In these circumstances, it may seem a logical option to steer procurement policy and evaluation away from the trend towards sustainable procurement back to being more (lowest) price focussed, in order to enable reduced budgets to deliver more.  However, such a step in both the short and long-term could prove to be a mistake.

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Looking back at 2008 – an increase in procurement challenges

The last 12 months has seen an increasing level of successful procurement challenges.  The high profile cases of Lettings International Ltd v London Borough of Newham and Risk Management Partners Limited v London Borough of Brent have highlighted the increasing scrutiny that potential suppliers, and their lawyers, are subjecting procurement processes to.  This trend shows no sign of abating with a framework agreement awarded by the Northern Irish government recently being set aside in the High Court and a number of challenges from the general public to the appointment of sponsors of academy schools pending.

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Reports on the trial that lead to the death of Baby P shocked the nation.  If another child could die in terrible circumstances at the hands of its carers after Lord Laming’s inquiry into the death of Victoria Climbie was supposed to have made things better, what was  the point of having a public inquiry at all?

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PLC Public Sector reports:

The Association of Council Secretaries & Solicitors’ recent two-day conference in Stratford-upon-Avon was a lively and well-attended event. 

John Benington, Emeritus Professor of Public Management and Policy at Warwick Business School gave an interesting and thought-provoking opening talk.  Quoting from “The Tempest”, This isle is full of strange noises, he spoke of the profound changes faced by local government in the context of environmental, political, economic, social, technological and organisational issues.

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For the latest position on Teckal in the UK following the Supreme Court decsion in LAML see David’s latest post.

The continuing innovation in local government service delivery encouraged by the current Government means that the “in-house” procurement exemption established in Teckal is becoming more and more important.

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Sophie Cameron, Head of PLC Public Sector welcomes you:

“PLC is the UK’s pre-eminent provider of legal know-how and resources for business lawyers. Over 3,400 organisations worldwide subscribe to our products, including over 95% of the Legal 500 and 90% of the FTSE 100. PLC has now developed a unique online support service dedicated to meeting the legal information needs of lawyers working in the public sector. PLC Public Sector provides guidance on key areas of law, case reports and downloadable precedents via an intuitive homepage which takes users directly to the topics they advise on every day. Continue reading