To approve the award of a 3 year contract (with the option of a 2 year extension) to Yotta by Ubico Ltd, and funding be given to Ubico to facilitate implementation costs
Decision Maker: Cabinet Member Waste, Recycling and Street Services
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: Yes
To approve the award of a 3 year contract (with the option of a 2 year extension) to Votta by Ubico Ltd, on behalf of Cheltenham Borough Council, for the supply of an Environmental Services "Connected Working" Digital Transformation Solution at a total cost of £316,720 plus VAT for 3 years
(5 year total contract cost if the 2 year optional extension is taken up of £453,402 plus VAT)
AND funding be given to Ubico to facilitate the programme/project implementation costs of the system at an estimated cost of £93,926 for the 3 year period and £133,496 for 5 year period if the 2 year optional contract extension is taken up.
Total cost of programme/project implementation for Votta and Ubico is:
· 3 years: £410,646 plus VAT
· 5 years: £586,898 plus VAT (if the 2 year optional extension is taken up)
Please note: costs exclude inflation and extra module at approx. £12k £16k that may be required.
Reasons for the decision:
The Council's environmental services provider, Ubico, has identified the need for investment in an IT system which will digitise the management and delivery of environmental services across their partnership, including Cheltenham Borough Council.
The new IT system will support the Council's digital transformation enabling improved end to end services for the customer as well as supporting the deliver of more efficient services and significant benefits across the Cheltenham Ubico contract, reducing many manual processes and tasks whilst providing relevant business data to shape future services and carbon reduction.
The programme/project will be managed by Ubico, in conjunction with the local authority. The Ubico business case to support the implementation of this IT system sets out the costs for the contract period and initial cashable and non-cashable savings forecast. The project will be required to: identify and report the realised benefits/savings (non-cashable and cashable) to members at regular intervals, monitored by the Council's client function; provide a detailed project PIO/implementation plan; full programme PIO identifying the other in scope work streams to deliver connected working funded by this decision.
A procurement exercise has been carried out by Ubico via Yorkshire Purchasing Organisation's (YPO) dynamic purchasing system no 750. This offers a legally compliant procurement route in which the initial supplier qualification stage has already been completed by YPO.
The procurement will be funded from within the existing 2022/23 capital budget set aside by members as part of the budget setting process.
Capital/revenue costs will be funded from within the existing budget provision as agreed by members as part of the 2022/23 budget setting process and any ongoing revenue costs will need to be funded from cashable savings and via the Ubico contract sum agreed annually as part of the Council's budget setting process.
Alternative options considered:
Officers have considered whether the service could continue to be delivered without the purchase and implementation of this IT system and concluded that the risks associated with future service failure, negative impact on the MTFS and the Council's reputation require the funding and purchase of the system, the ongoing revenue costs for which will be funded by cashable savings identified and via the Ubico contract sum agreed annually as part of the Council's budget setting process.
Other reasons / organisations consulted
Internal consultation has taken place with the relevant officers and the Cabinet Member Waste, Recycling and Street Services. Officers and the Cabinet Member support the decision being taken to purchase and implement this IT system.
Contact: Karen Watson 01242 264397 Email: firstname.lastname@example.org.
Publication date: 13/05/2022
Date of decision: 13/05/2022
Effective from: 21/05/2022