Post by bailiffchaser on May 31, 2007 17:32:53 GMT
LONDON BOROUGH OF CAMDEN
WARD:
All
REPORT TITLE:
PARKING SERVICES BAILIFF CONTRACT TENDER (CENV/2007/59)
REPORT OF:
The Director of Culture and Environment
FOR SUBMISSION TO:
Executive
DATE:
25 April 2007
SUMMARY OF REPORT:
This report outlines the options available for the procurement of bailiff services for the collection of debts associated with unpaid penalty charge notices in relation to parking offences and recommends the contracting strategy to secure the best collection rates, whilst maintaining acceptable standards of customer care. This report is required as the Executive needs to approve the contract award strategy for revenue contracts in excess of £500,000 (in accordance with Contract Standing Order 3.2)
Local Government Act 1972 – Access to Information
The following items were used in the preparation of this report:
No documents that require listing have been used in the preparation of this report.
Contact Officers: Rudy Bright / Andrea Collins
Parking Services
100 St Pancras Way
Camden
NW1 9NF
Telephone: 020 7974 4678 / 4608
E-mail: ## rudy.bright@camden.gov.uk / andrea.collins@camden.gov .uk
RECOMMENDATION:
The Executive is asked:
To approve the contract tender award strategy for the provision of bailiff services for the enforcement of parking debts as set out in section 3 and 4 of the report.
Signed byDirector/Assistant Director: ……..…………………………
Date: ……………………………….
1.0 PURPOSE OF THE REPORT
1.1 The purpose of this report is to seek authorisation for the proposed tendering
strategy to procure bailiff services for the collection of parking related debts.
2.0 BACKGROUND
2.1 Under the Road Traffic Act 1991 (as amended), if the registered keeper of a vehicle issued with a Penalty Charge Notice (PCN) following a contravention of the established regulations does not pay or make valid representations resulting in the cancellation of the case, it will progress to a stage where the Council obtains a “warrant of execution” by application to the Traffic Enforcement Centre. Once a warrant has been issued, the Council has the legal authority to refer the case to a bailiff company for the purposes of pursuing collection of said debt. The main method used by the bailiffs to obtain payment is the “levy of distress”. This is a legal process whereby certificated bailiffs can, after firstly attempting to seek payment, take possessions of the debtor for sale at an auction and use any proceeds from the sale towards settlement of the bill.
2.2 During the year 2006/2007, in excess of 64,000 warrants of execution will have been passed to the bailiffs. Use of bailiffs is the most common enforcement method at the later stages of progression, as non-paying customers tend to avoid making contact with the Council, ruling out any alternative options. In many instances the bailiffs are able to secure payment without needing to seize the property of the debtor.
2.3 Bailiff firms are also used for other activities such as tracing customers who cannot be traced by the Council and employ the wide use of Automatic Number Plate Recognition (ANPR) across London to track vehicles with outstanding warrants. The bailiff firms are required to act in accordance with a code of conduct imposed by the Council (see appendix one) and observe the Council’s complaints procedure by submitting reports to the Council on request. Bailiffs will also expected to operate according to best practice as defined in the ‘National Standards for Enforcement Agents’, produced by the Lord Chancellors Office, and designed to improve professionalism across the
whole sector. This can be reviewed at: www.dca.gov.uk/enforcement/agents02.htm#part4
2.4 There is no cost to the Council for this contract as the execution of warrants is self financing, meaning that the bailiffs derive their income not from by payment by the Council but by charging fees to the debtor. The fees applicable to the enforcement of parking warrants are set out in Schedule 1 of the Enforcement of Road Traffic Debts (Certificated Bailiffs) Regulations 1993 No. 2072 (L17)(as amended). See 3.3 and appendix 2 for further details on capped fees.
2.5 Currently, Parking Services uses four companies for the provision of these services and these contracts are due to expire on 31 October 2007. The current bailiff companies are:
Drakes Group
Equita
Newlyn Collections
TASK Enforcement
It is likely that the practice of using multiple bailiff companies will be retained as this spreads the workload and increases the likelihood of recovery. No guarantee is given to the current companies as to what proportion of work they will be given, and poor performance has in the past resulted in the reduction or cessation of warrants issued to them for collection.
2.6 It is intended that the Council enter into a five-year contract with each company with an additional option to extend for two years on an annual basis. The total value of the income to the Council over the first five years is estimated to be in excess of £7,000,000. This figure has been calculated based on historical annual collection income, which has increased year on year since 2003/2004.
3.0 THE NEW CONTRACTS
3.1 The new contracts will be based on the quality and performance of the service with a variety of indicators that will be used to measure the achievement of the successful bailiff companies. Officers have been closely reviewing the performance of bailiff services currently provided, and employed operational changes to address areas of concern. Officers intend to adopt a variety of new directives that can be contractually enforced throughout the term of the contract.
3.2 Specifications will be adopted to address identifiable causes for concern.
Officers have implemented an undertaking requiring bailiff companies to record the evidence of and produce ‘proof of posting’ for all first letters sent to debtors. This is being closely monitored and the approach will be incorporated formally and retained as an ongoing requirement.
There is a need to have evidence to prove that a bailiff has made a visit when stated. Successful bailiff companies should be able to provide substantiated retrospective tracking evidence for every visit made. This is to combat the number of debtors who claim that no visits have occurred. This will have a dual impact. Firstly it will help to ensure that bailiffs have undertaken all visits charged for and secondly it will aim to reduce the number of claims suggesting visits were not made.
Officers will be defining the fees that bailiffs can charge and when they will be able to apply them. These fees will be capped to a maximum of £250.00 exclusive of VAT, whereby the debtor pays the outstanding balance no later than immediately following the attendance to remove. This will assist in ensuring structured application of fees however will not apply to persistent evaders. A table of fees for each stage or progression, and further detail as to how to interpret capped fees is attached in appendix 2 for reference.
3.2 Indicators that will be relied on to measure performance follow:
The percentage of warrants on which full or part payment is received (excluding bailiff statutory fees) in relation to the number of instructions to execute warrants.
The percentage of monies recovered and paid to the Council in relation to the total amount of debt passed to the bailiffs by way of instruction to execute warrants.
The percentage of charges levied and recovered by the bailiffs in respect of associated warrants.
The time taken to recover debt owed to the Council.
The number, type and severity of complaints received from:
Debtors
Members of the public
Other contractors of Camden Council
Members of Camden Council
Officers of Camden Council
4.0 THE TENDERING PROCESS
4.1 At present 4 bailiff companies are contracted to receive warrants from Camden for the recovery of parking debts. Parking Services intend to advertise the contract in Civil Enforcement News, a British Parking Association publication. This publication is widely read across the bailiff industry by companies operating in this area of debt collection and has a classified section dedicated to tenders. There is no requirement to advertise in the Official Journal of the European Union (OJEU) under the EU Procurement Regulations, as bailiff services are exempt from the full requirements of tendering under the relevant regulations. In addition to this the tender process complies with Camden Council’s Contract Standing Orders and Procurement Code of Practice.
4.2 It is intended that a restricted tendering process to shortlist applicants be used.
This process involves the completion of a pre-qualification questionnaire submitted at the time of returning an Expression of Interest. An evaluation will be carried out on each company with regard to financial standing, equalities issues, technical capability, experience and their quality control procedures such as codes of conduct and dealing with complaints. Managers from within Parking Services, together with the Head of Service, will carry out the evaluation with assistance from the C & E Finance staff and the Strategic Procurement Unit.
4.3 Companies short-listed will be sent a tender invitation pack containing the specification and draft contract. Once returned, the tenders will be evaluated based on the most economically advantageous tender. The criteria used to identify the most economically advantageous tenders will be as follows with more detailed information regarding the criteria and weighting shown in appendix three:
Experience & Expertise of the company
Success of collection rates of Road Traffic Debt (%)
Bailiff training and ability to retain bailiffs on contract
Bailiff Network (number and coverage across the UK)
Complaint management procedures and processes
Ability to assist in key operations addressing persistent evaders
Quality assurance and other quality standards
Equal Employment Opportunities and Valuing Diversity policies
4.4 As there is no cost to the Council for this contract because the execution of warrants is self financing, and Camden will be specifying exactly what the bailiffs are able to apply by way of charges, the evaluation of price will be considered a pre-requisite. Therefore this is a pass/fail criteria and the company must be able to demonstrate that they are committed and able to work within the pricing structure, detailed in appendix 2. This will allow the maximum consideration through the graded evaluation criteria to focus on the quality of service that is provided.
5.0 SELECTION
5.1 It is proposed that a minimum of 4 companies providing the most economically advantageous tenders will be selected by the evaluation panel to manage the recovery of the Council’s parking related debt by providing bailiff services and a recommendation of award of the contract to the Executive will then be made.
6.0 TIMETABLE
Activity
Deadline
Approval to go to Tender
25 April 2007
Place advertisements
27 April 2007
Closing Date for EOI and PQQ
11 June 2007
Shortlist drawn up and Invitations to Tender sent out
02 July 2007
Closing date for Tenders
13 August 2007
Evaluation, Interviews and Toll Gate 2
17 September 2007
Contract Award at the Executive
31 October 2007
Implementation Date
03 December 2007
7.0 EXTENSION OF ONE OF THE CURRENT CONTRACTS
7.1 The four contracts currently in place expire on 31 October 2007. Three have been previously extended on 2 occasions for a further year each time. These contracts no longer allow for any further extensions. The fourth contract was commissioned to allow NCP (TASK Enforcement) to provide bailiff services to run alongside the previous extension of the existing Bailiff Services Contracts, up to a maximum of 12 months, prior to a formal tendering process in 2007. There is an opportunity within this contract to allow for an extension of up to 12 months following its expiry.
7.2 It is intended that for the period between 01 November 2007 and 02 December 2007 that the contract with TASK Enforcement be extended so that the Council can continue to enforce against new warrants that are authorised during this period, and to prevent the Council from being in a position of having no contracted bailiff services available. A separate report will be submitted to the Chief Officer for this proposed extension.
8.0 COMMENTS OF THE DIRECTOR OF FINANCE
8.1 The report seeks approval to embark on a tender process; there will be a further report outlining the results of the tender process.
8.2 The tender process needs to include both value for money for the Council, and the ‘better and cheaper’ efficiency agenda in proceeding through the tender process.
9.0 COMMENTS OF THE HEAD OF LEGAL SERVICES
9.1 The Head of Legal Services (Acting) has reviewed this report and legal comments are incorporated into this report.
9.2 Tendering the contracts in this way will secure compliance with the Council’s Contract Standing Orders.
9.3 Before agreeing to the recommendations in this report, Members need to be satisfied that tendering the new contracts in this way will secure best value for the Council and will achieve value for money.
APPENDIX 1 - THE BAILIFFS’ CODE OF CONDUCT
The Contractor will levy distress in a humane, firm but fair manner. Any action taken should comply with the legislation in force at the time.
The Council’s policy is to seek to recover the debt as quickly as reasonably practicable without imposing undue hardship. The policy is not to recover the debt at all costs.
All staff employed by the Contractor should behave in a manner befitting the Council at all times.
The Contractor’s staff should be courteous and act in a responsible manner. The Bailiff should maintain an acceptable standard of dress, consistent with the provision of a professional service.
The Contractor must comply with the Data ProtectionAct 1984/Data Protection Act 1998 and the Computer Misuse Act 1990.
The Contractor will comply with any instructions given by the Council’s Representative.
A Bailiff attending premises on behalf of the Council must carry proof of his/her identity (in the form of an identity card, which includes a photograph) and the Warrant issued by the Council instructing them to recover the debt.
Bailiffs should not pose as employees of the Council. When visiting premises in pursuit of their duties they are required to advise the debtor that they are Bailiffs who have been instructed to collect the debt owed to the Council.
All standard letters/forms issued by the Contractor must be legally correct and in plain English.
The name of the Bailiff who has attended premises should be made clear on all documentation left with the debtor.
All hand written communication should be clearly legible, with contact reference, telephone numbers and out of hours instructions.
All letters are to be answered within 10 Working Days.
All information acquired by the Contractor during the course of the performance of duties must be kept confidential between the Council and the Contractor.
The Council must have access to any or all information held by the Contractor in connection with this Contract
The Contractor’s call centre will answer calls within 5 rings, be courteous, helpful and pro-active; they must always give their name and call reference and must take appropriate case notes on each call.
The Contractor will ensure that debtors are provided with a telephone number through which the Contractor can be contacted.
The Contractor must determine whether the debtor still resides at the premises before attempting to levy distress.
If a person who appears to be under the age of 18 answers the door the Bailiff should try to determine whether an adult is in the property and available to speak but if not the Bailiff should call back another time.
Any documentation should be left in a sealed envelope.
Before levying distress, the Contractor will ensure that the goods concerned actually belong to the debtor.
The Contractor will not levy distress on any items exempted by regulations in force at the time.
The Council expects the Contractor to follow guidelines laid down by any relevant professional bodies and comply with relevant laws and regulations.
Any contentious issues or problem cases should be brought to the attention of the Council’s Representative so that they may be discussed and the most appropriate solution reached.
This Code will be reviewed and updated throughout the term of the Contract.
APPENDIX 2 - CHARGING STRUCTURE FOR BAILIFF FEES
The Lord Chancellors Office defines the fees that are applicable. They state that for visit fees, the balance that can be charged is based on a percentage of the outstanding sum due. The table below identifies the 3 most common balances due when a case is passed to the bailiffs and tracks the application of fees and VAT respectively.
PCN Sum Due
£105.00
£125.00
£155.00
Letter Fee
£11.20
£11.20
£11.20
VAT@17.5%
£1.96
£1.96
£1.96
Total Due
£118.16
£138.16
£168.16
1st Visit Fee
£32.54
£38.14
£46.54
VAT@17.5% (Letter & 1st Visit)
£5.69
£6.67
£8.14
Total Due
£156.39
£182.97
£222.84
2nd Visit
£41.65
£48.81
£56.70
VAT@17.5% (Letter, 1st & 2nd Visit)
£7.29
£8.54
£9.92
Total Due
£205.33
£240.33
£289.47
3rd Visit
£53.31
£57.27
£59.82
VAT@17.5% (Letter, 1st, 2nd & 3rd Visit)
£9.33
£10.02
£10.47
Total Due
£267.97
£307.62
£359.76
Fees Total (No VAT Letter & 3 Visits)
£138.70
£155.42
£174.26
VAT@17.5%
£24.27
£27.20
£30.50
Fees Total (incl VAT)
£162.97
£182.62
£204.76
ATR (Attendance to Remove)
£120.00
£120.00
£120.00
VAT@17.5%
£21.00
£21.00
£21.00
Fees Total
£303.97
£323.62
£345.76
Fees Total (incl ATR)
£258.70
£275.42
£294.26
VAT@17.5%
£45.27
£48.20
£51.50
Total Fees
£303.97
£323.62
£345.76
Penalty Charge Notice Value
£105.00
£125.00
£155.00
GRAND TOTAL (incl VAT)
£408.97
£448.62
£500.76
Capped Fees
£250.00
£250.00
£250.00
VAT@17.5%
£43.75
£43.75
£43.75
Total Fees
£293.75
£293.75
£293.75
Penalty Charge Notice Value
£105.00
£125.00
£155.00
GRAND TOTAL (incl VAT)
£398.75
£418.75
£448.75
Saving
£10.22
£29.87
£52.01
Following the first letter, if a bailiff calls 3 times and attends to remove the vehicle, the cap would come into effect. The total fees due at this stage are £294.26 exclusive of VAT, for a case where £155.00 is owed to the Council. However, under the cap, the debtor will only pay £250.00 exclusive of VAT.
If the debtor does not pay the outstanding balance prior to the removal of the vehicle, additional fees will be charged and the cap will no longer apply. These fees can include the costs associated with immobilising by way of clamp, tow truck, cancellation of tow truck, and daily storage fees. All charges will be finalised in the contract specification.
APPENDIX 3 - PARKING SERVICES BAILIFF TENDER EVALUATION CRITERIA
Max Score
Criteria 1: Experience & Expertise
80
Current & previous contracts
20
Road Traffic Debt contracts
20
Scale of operation
20
Fit for purpose
20
Criteria 2: Success of collection rates of Road Traffic Debt (%)
20
Efficient collection rate as % of work
20
Criteria 3: Bailiff training and ability to retain bailiffs on contract
20
Training and qualifications offered
10
Personnel retention over time
10
Criteria 4: Bailiff Network
20
Number of bailiffs
10
Coverage across UK
10
Criteria 5: Complaint management procedures and processes
20
Numbers of upheld complaints
10
Complaint management protocol
10
Criteria 6: Ability to assist in key operations addressing persistent evaders
20
Experience of previous operations
10
Resources available
10
Criteria 7: Quality assurance and other quality standards
40
Evidence of registration to relevant quality standards/associations
10
IT Systems: Ability to receive and remit to requirements of ICPS.
10
IT Systems: Adequate backup in case of failure, internal check and recovery procedures
10
Ability to satisfy Proof of Posting requirements
10
Ability to provide substantiated retrospective tracking
10
Criteria 8: Equal Employment Opportunities and Valuing Diversity policies
20
Equal Employment Opportunities
10
Valuing Diversity
10
TOTAL AWARDED
250
Camden council contract interesting
WARD:
All
REPORT TITLE:
PARKING SERVICES BAILIFF CONTRACT TENDER (CENV/2007/59)
REPORT OF:
The Director of Culture and Environment
FOR SUBMISSION TO:
Executive
DATE:
25 April 2007
SUMMARY OF REPORT:
This report outlines the options available for the procurement of bailiff services for the collection of debts associated with unpaid penalty charge notices in relation to parking offences and recommends the contracting strategy to secure the best collection rates, whilst maintaining acceptable standards of customer care. This report is required as the Executive needs to approve the contract award strategy for revenue contracts in excess of £500,000 (in accordance with Contract Standing Order 3.2)
Local Government Act 1972 – Access to Information
The following items were used in the preparation of this report:
No documents that require listing have been used in the preparation of this report.
Contact Officers: Rudy Bright / Andrea Collins
Parking Services
100 St Pancras Way
Camden
NW1 9NF
Telephone: 020 7974 4678 / 4608
E-mail: ## rudy.bright@camden.gov.uk / andrea.collins@camden.gov .uk
RECOMMENDATION:
The Executive is asked:
To approve the contract tender award strategy for the provision of bailiff services for the enforcement of parking debts as set out in section 3 and 4 of the report.
Signed byDirector/Assistant Director: ……..…………………………
Date: ……………………………….
1.0 PURPOSE OF THE REPORT
1.1 The purpose of this report is to seek authorisation for the proposed tendering
strategy to procure bailiff services for the collection of parking related debts.
2.0 BACKGROUND
2.1 Under the Road Traffic Act 1991 (as amended), if the registered keeper of a vehicle issued with a Penalty Charge Notice (PCN) following a contravention of the established regulations does not pay or make valid representations resulting in the cancellation of the case, it will progress to a stage where the Council obtains a “warrant of execution” by application to the Traffic Enforcement Centre. Once a warrant has been issued, the Council has the legal authority to refer the case to a bailiff company for the purposes of pursuing collection of said debt. The main method used by the bailiffs to obtain payment is the “levy of distress”. This is a legal process whereby certificated bailiffs can, after firstly attempting to seek payment, take possessions of the debtor for sale at an auction and use any proceeds from the sale towards settlement of the bill.
2.2 During the year 2006/2007, in excess of 64,000 warrants of execution will have been passed to the bailiffs. Use of bailiffs is the most common enforcement method at the later stages of progression, as non-paying customers tend to avoid making contact with the Council, ruling out any alternative options. In many instances the bailiffs are able to secure payment without needing to seize the property of the debtor.
2.3 Bailiff firms are also used for other activities such as tracing customers who cannot be traced by the Council and employ the wide use of Automatic Number Plate Recognition (ANPR) across London to track vehicles with outstanding warrants. The bailiff firms are required to act in accordance with a code of conduct imposed by the Council (see appendix one) and observe the Council’s complaints procedure by submitting reports to the Council on request. Bailiffs will also expected to operate according to best practice as defined in the ‘National Standards for Enforcement Agents’, produced by the Lord Chancellors Office, and designed to improve professionalism across the
whole sector. This can be reviewed at: www.dca.gov.uk/enforcement/agents02.htm#part4
2.4 There is no cost to the Council for this contract as the execution of warrants is self financing, meaning that the bailiffs derive their income not from by payment by the Council but by charging fees to the debtor. The fees applicable to the enforcement of parking warrants are set out in Schedule 1 of the Enforcement of Road Traffic Debts (Certificated Bailiffs) Regulations 1993 No. 2072 (L17)(as amended). See 3.3 and appendix 2 for further details on capped fees.
2.5 Currently, Parking Services uses four companies for the provision of these services and these contracts are due to expire on 31 October 2007. The current bailiff companies are:
Drakes Group
Equita
Newlyn Collections
TASK Enforcement
It is likely that the practice of using multiple bailiff companies will be retained as this spreads the workload and increases the likelihood of recovery. No guarantee is given to the current companies as to what proportion of work they will be given, and poor performance has in the past resulted in the reduction or cessation of warrants issued to them for collection.
2.6 It is intended that the Council enter into a five-year contract with each company with an additional option to extend for two years on an annual basis. The total value of the income to the Council over the first five years is estimated to be in excess of £7,000,000. This figure has been calculated based on historical annual collection income, which has increased year on year since 2003/2004.
3.0 THE NEW CONTRACTS
3.1 The new contracts will be based on the quality and performance of the service with a variety of indicators that will be used to measure the achievement of the successful bailiff companies. Officers have been closely reviewing the performance of bailiff services currently provided, and employed operational changes to address areas of concern. Officers intend to adopt a variety of new directives that can be contractually enforced throughout the term of the contract.
3.2 Specifications will be adopted to address identifiable causes for concern.
Officers have implemented an undertaking requiring bailiff companies to record the evidence of and produce ‘proof of posting’ for all first letters sent to debtors. This is being closely monitored and the approach will be incorporated formally and retained as an ongoing requirement.
There is a need to have evidence to prove that a bailiff has made a visit when stated. Successful bailiff companies should be able to provide substantiated retrospective tracking evidence for every visit made. This is to combat the number of debtors who claim that no visits have occurred. This will have a dual impact. Firstly it will help to ensure that bailiffs have undertaken all visits charged for and secondly it will aim to reduce the number of claims suggesting visits were not made.
Officers will be defining the fees that bailiffs can charge and when they will be able to apply them. These fees will be capped to a maximum of £250.00 exclusive of VAT, whereby the debtor pays the outstanding balance no later than immediately following the attendance to remove. This will assist in ensuring structured application of fees however will not apply to persistent evaders. A table of fees for each stage or progression, and further detail as to how to interpret capped fees is attached in appendix 2 for reference.
3.2 Indicators that will be relied on to measure performance follow:
The percentage of warrants on which full or part payment is received (excluding bailiff statutory fees) in relation to the number of instructions to execute warrants.
The percentage of monies recovered and paid to the Council in relation to the total amount of debt passed to the bailiffs by way of instruction to execute warrants.
The percentage of charges levied and recovered by the bailiffs in respect of associated warrants.
The time taken to recover debt owed to the Council.
The number, type and severity of complaints received from:
Debtors
Members of the public
Other contractors of Camden Council
Members of Camden Council
Officers of Camden Council
4.0 THE TENDERING PROCESS
4.1 At present 4 bailiff companies are contracted to receive warrants from Camden for the recovery of parking debts. Parking Services intend to advertise the contract in Civil Enforcement News, a British Parking Association publication. This publication is widely read across the bailiff industry by companies operating in this area of debt collection and has a classified section dedicated to tenders. There is no requirement to advertise in the Official Journal of the European Union (OJEU) under the EU Procurement Regulations, as bailiff services are exempt from the full requirements of tendering under the relevant regulations. In addition to this the tender process complies with Camden Council’s Contract Standing Orders and Procurement Code of Practice.
4.2 It is intended that a restricted tendering process to shortlist applicants be used.
This process involves the completion of a pre-qualification questionnaire submitted at the time of returning an Expression of Interest. An evaluation will be carried out on each company with regard to financial standing, equalities issues, technical capability, experience and their quality control procedures such as codes of conduct and dealing with complaints. Managers from within Parking Services, together with the Head of Service, will carry out the evaluation with assistance from the C & E Finance staff and the Strategic Procurement Unit.
4.3 Companies short-listed will be sent a tender invitation pack containing the specification and draft contract. Once returned, the tenders will be evaluated based on the most economically advantageous tender. The criteria used to identify the most economically advantageous tenders will be as follows with more detailed information regarding the criteria and weighting shown in appendix three:
Experience & Expertise of the company
Success of collection rates of Road Traffic Debt (%)
Bailiff training and ability to retain bailiffs on contract
Bailiff Network (number and coverage across the UK)
Complaint management procedures and processes
Ability to assist in key operations addressing persistent evaders
Quality assurance and other quality standards
Equal Employment Opportunities and Valuing Diversity policies
4.4 As there is no cost to the Council for this contract because the execution of warrants is self financing, and Camden will be specifying exactly what the bailiffs are able to apply by way of charges, the evaluation of price will be considered a pre-requisite. Therefore this is a pass/fail criteria and the company must be able to demonstrate that they are committed and able to work within the pricing structure, detailed in appendix 2. This will allow the maximum consideration through the graded evaluation criteria to focus on the quality of service that is provided.
5.0 SELECTION
5.1 It is proposed that a minimum of 4 companies providing the most economically advantageous tenders will be selected by the evaluation panel to manage the recovery of the Council’s parking related debt by providing bailiff services and a recommendation of award of the contract to the Executive will then be made.
6.0 TIMETABLE
Activity
Deadline
Approval to go to Tender
25 April 2007
Place advertisements
27 April 2007
Closing Date for EOI and PQQ
11 June 2007
Shortlist drawn up and Invitations to Tender sent out
02 July 2007
Closing date for Tenders
13 August 2007
Evaluation, Interviews and Toll Gate 2
17 September 2007
Contract Award at the Executive
31 October 2007
Implementation Date
03 December 2007
7.0 EXTENSION OF ONE OF THE CURRENT CONTRACTS
7.1 The four contracts currently in place expire on 31 October 2007. Three have been previously extended on 2 occasions for a further year each time. These contracts no longer allow for any further extensions. The fourth contract was commissioned to allow NCP (TASK Enforcement) to provide bailiff services to run alongside the previous extension of the existing Bailiff Services Contracts, up to a maximum of 12 months, prior to a formal tendering process in 2007. There is an opportunity within this contract to allow for an extension of up to 12 months following its expiry.
7.2 It is intended that for the period between 01 November 2007 and 02 December 2007 that the contract with TASK Enforcement be extended so that the Council can continue to enforce against new warrants that are authorised during this period, and to prevent the Council from being in a position of having no contracted bailiff services available. A separate report will be submitted to the Chief Officer for this proposed extension.
8.0 COMMENTS OF THE DIRECTOR OF FINANCE
8.1 The report seeks approval to embark on a tender process; there will be a further report outlining the results of the tender process.
8.2 The tender process needs to include both value for money for the Council, and the ‘better and cheaper’ efficiency agenda in proceeding through the tender process.
9.0 COMMENTS OF THE HEAD OF LEGAL SERVICES
9.1 The Head of Legal Services (Acting) has reviewed this report and legal comments are incorporated into this report.
9.2 Tendering the contracts in this way will secure compliance with the Council’s Contract Standing Orders.
9.3 Before agreeing to the recommendations in this report, Members need to be satisfied that tendering the new contracts in this way will secure best value for the Council and will achieve value for money.
APPENDIX 1 - THE BAILIFFS’ CODE OF CONDUCT
The Contractor will levy distress in a humane, firm but fair manner. Any action taken should comply with the legislation in force at the time.
The Council’s policy is to seek to recover the debt as quickly as reasonably practicable without imposing undue hardship. The policy is not to recover the debt at all costs.
All staff employed by the Contractor should behave in a manner befitting the Council at all times.
The Contractor’s staff should be courteous and act in a responsible manner. The Bailiff should maintain an acceptable standard of dress, consistent with the provision of a professional service.
The Contractor must comply with the Data ProtectionAct 1984/Data Protection Act 1998 and the Computer Misuse Act 1990.
The Contractor will comply with any instructions given by the Council’s Representative.
A Bailiff attending premises on behalf of the Council must carry proof of his/her identity (in the form of an identity card, which includes a photograph) and the Warrant issued by the Council instructing them to recover the debt.
Bailiffs should not pose as employees of the Council. When visiting premises in pursuit of their duties they are required to advise the debtor that they are Bailiffs who have been instructed to collect the debt owed to the Council.
All standard letters/forms issued by the Contractor must be legally correct and in plain English.
The name of the Bailiff who has attended premises should be made clear on all documentation left with the debtor.
All hand written communication should be clearly legible, with contact reference, telephone numbers and out of hours instructions.
All letters are to be answered within 10 Working Days.
All information acquired by the Contractor during the course of the performance of duties must be kept confidential between the Council and the Contractor.
The Council must have access to any or all information held by the Contractor in connection with this Contract
The Contractor’s call centre will answer calls within 5 rings, be courteous, helpful and pro-active; they must always give their name and call reference and must take appropriate case notes on each call.
The Contractor will ensure that debtors are provided with a telephone number through which the Contractor can be contacted.
The Contractor must determine whether the debtor still resides at the premises before attempting to levy distress.
If a person who appears to be under the age of 18 answers the door the Bailiff should try to determine whether an adult is in the property and available to speak but if not the Bailiff should call back another time.
Any documentation should be left in a sealed envelope.
Before levying distress, the Contractor will ensure that the goods concerned actually belong to the debtor.
The Contractor will not levy distress on any items exempted by regulations in force at the time.
The Council expects the Contractor to follow guidelines laid down by any relevant professional bodies and comply with relevant laws and regulations.
Any contentious issues or problem cases should be brought to the attention of the Council’s Representative so that they may be discussed and the most appropriate solution reached.
This Code will be reviewed and updated throughout the term of the Contract.
APPENDIX 2 - CHARGING STRUCTURE FOR BAILIFF FEES
The Lord Chancellors Office defines the fees that are applicable. They state that for visit fees, the balance that can be charged is based on a percentage of the outstanding sum due. The table below identifies the 3 most common balances due when a case is passed to the bailiffs and tracks the application of fees and VAT respectively.
PCN Sum Due
£105.00
£125.00
£155.00
Letter Fee
£11.20
£11.20
£11.20
VAT@17.5%
£1.96
£1.96
£1.96
Total Due
£118.16
£138.16
£168.16
1st Visit Fee
£32.54
£38.14
£46.54
VAT@17.5% (Letter & 1st Visit)
£5.69
£6.67
£8.14
Total Due
£156.39
£182.97
£222.84
2nd Visit
£41.65
£48.81
£56.70
VAT@17.5% (Letter, 1st & 2nd Visit)
£7.29
£8.54
£9.92
Total Due
£205.33
£240.33
£289.47
3rd Visit
£53.31
£57.27
£59.82
VAT@17.5% (Letter, 1st, 2nd & 3rd Visit)
£9.33
£10.02
£10.47
Total Due
£267.97
£307.62
£359.76
Fees Total (No VAT Letter & 3 Visits)
£138.70
£155.42
£174.26
VAT@17.5%
£24.27
£27.20
£30.50
Fees Total (incl VAT)
£162.97
£182.62
£204.76
ATR (Attendance to Remove)
£120.00
£120.00
£120.00
VAT@17.5%
£21.00
£21.00
£21.00
Fees Total
£303.97
£323.62
£345.76
Fees Total (incl ATR)
£258.70
£275.42
£294.26
VAT@17.5%
£45.27
£48.20
£51.50
Total Fees
£303.97
£323.62
£345.76
Penalty Charge Notice Value
£105.00
£125.00
£155.00
GRAND TOTAL (incl VAT)
£408.97
£448.62
£500.76
Capped Fees
£250.00
£250.00
£250.00
VAT@17.5%
£43.75
£43.75
£43.75
Total Fees
£293.75
£293.75
£293.75
Penalty Charge Notice Value
£105.00
£125.00
£155.00
GRAND TOTAL (incl VAT)
£398.75
£418.75
£448.75
Saving
£10.22
£29.87
£52.01
Following the first letter, if a bailiff calls 3 times and attends to remove the vehicle, the cap would come into effect. The total fees due at this stage are £294.26 exclusive of VAT, for a case where £155.00 is owed to the Council. However, under the cap, the debtor will only pay £250.00 exclusive of VAT.
If the debtor does not pay the outstanding balance prior to the removal of the vehicle, additional fees will be charged and the cap will no longer apply. These fees can include the costs associated with immobilising by way of clamp, tow truck, cancellation of tow truck, and daily storage fees. All charges will be finalised in the contract specification.
APPENDIX 3 - PARKING SERVICES BAILIFF TENDER EVALUATION CRITERIA
Max Score
Criteria 1: Experience & Expertise
80
Current & previous contracts
20
Road Traffic Debt contracts
20
Scale of operation
20
Fit for purpose
20
Criteria 2: Success of collection rates of Road Traffic Debt (%)
20
Efficient collection rate as % of work
20
Criteria 3: Bailiff training and ability to retain bailiffs on contract
20
Training and qualifications offered
10
Personnel retention over time
10
Criteria 4: Bailiff Network
20
Number of bailiffs
10
Coverage across UK
10
Criteria 5: Complaint management procedures and processes
20
Numbers of upheld complaints
10
Complaint management protocol
10
Criteria 6: Ability to assist in key operations addressing persistent evaders
20
Experience of previous operations
10
Resources available
10
Criteria 7: Quality assurance and other quality standards
40
Evidence of registration to relevant quality standards/associations
10
IT Systems: Ability to receive and remit to requirements of ICPS.
10
IT Systems: Adequate backup in case of failure, internal check and recovery procedures
10
Ability to satisfy Proof of Posting requirements
10
Ability to provide substantiated retrospective tracking
10
Criteria 8: Equal Employment Opportunities and Valuing Diversity policies
20
Equal Employment Opportunities
10
Valuing Diversity
10
TOTAL AWARDED
250
Camden council contract interesting