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003883 - Procurement of a Leisure Services Concession.

Contract award notice

Services

Directive 2004/18/EC

Section I: Contracting authority

I.1)Name, addresses and contact point(s)

Newcastle City Council
Room 104, Civic Centre
For the attention of: Edward Bewick
NE1 8QH Newcastle Upon Tyne
UNITED KINGDOM
Telephone: +44 1912115867
E-mail:
Fax: +44 1912114832

Internet address(es):

General address of the contracting authority: www.nepoportal.org

I.2)Type of the contracting authority
Regional or local authority
I.3)Main activity
General public services
I.4)Contract award on behalf of other contracting authorities
The contracting authority is purchasing on behalf of other contracting authorities: no

Section II: Object of the contract

II.1)Description
II.1.1)Title attributed to the contract
003883 - Procurement of a Leisure Services Concession.
II.1.2)Type of contract and location of works, place of delivery or of performance
Services
Service category No 26: Recreational, cultural and sporting services
Main site or location of works, place of delivery or of performance: Newcastle Upon Tyne.

NUTS code UKC22

II.1.3)Information about a framework agreement or a dynamic purchasing system (DPS)
II.1.4)Short description of the contract or purchase(s)
Newcastle City Council currently delivers sport and leisure activities ("Leisure Services”), to the City of
Newcastle upon Tyne, in the North East of England, from leisure facilities which are all owned and run by the Council; together known as the "Leisure Assets”:-
All Saints Sports Centre
West Denton Way, West Denton, Newcastle upon Tyne, NE5 2TX
East End Pool
Hadrian Square, Byker, Newcastle upon Tyne,
NE6 1AL
Westgate Centre for Sport
The West Road, Newcastle upon Tyne,
NE4 9LG
Walker Activity Dome
Wharrier Street, Newcastle upon Tyne,
NE6 3BR
The Council is seeking a partner ("Concessionaire), to deliver and improve the Leisure Services on the Council's behalf, under a Concession arrangement ("Contract”), for a period of 20 years. On contracting, the Leisure Assets will be transferred to the selected Concessionaire on a leasehold basis, under full repair and insure obligations and the Leisure Services will then be run by the Concessionaire for the duration of the Contract. In doing so, the Concessionaire will secure the social well-being objectives associated with the Leisure Services, as part of a sustainable and long-term solution.
The Concessionaire will specifically deliver the following key objectives for the Council but will also need the flexibility, experience and capacity to adapt to a potentially changing environment:-
a) To ensure the long term sustainability of sport and leisure provision, with continued community access,across the City;
b) To support the public health agenda of driving improvements in well-being and health; to make our City a
fairer, happier and healthier place to live;
c) To release the Council from the ongoing cost, insure and repair obligations of the leisure facilities, for the
duration of the Contract; and
d) To secure the long term good stewardship and improvement of the Leisure Assets including the retention and positive evolution of the range of services on offer to local communities.
All of the Leisure Assets, are fully operational and run by Council staff. Entry into the Concession will therefore involve the transfer of operations and a full staff transfer under the Transfer of Undertakings (Protection of Employment) Regulations 2006. The appointed Concessionaire will therefore be responsible for all future liabilities associated with the transferred staff, including the payment of all future pension liabilities, as at the date of transfer.
The Concessionaire will therefore need to be admitted to the relevant pension scheme which is administered by the Tyne and Wear Pension Fund. Accordingly, the Tyne and Wear Pension Fund will advise the Council on the appropriate annual pension rate to be paid by the Concessionaire. The Concessionaire will also be required to secure a bond or guarantee against the risk of future insolvency, winding up or liquidation. Only those parties who are willing and able to meet these requirements should apply.
In line with a Concession, the Concessionaire will fund, maintain, run and fully exploit the assets in order to deliver the Leisure Services for the benefit of those living and working in the City, however the Council may be willing to provide short-term financial support during a transitional period in order to secure the long-term sustainability of the facilities, alongside investment potential from the Concessionaire.
Please note, All Saints Sports Centre and Westgate Centre for Sport are the subject of an outstanding
application for Secretary of State consent under Schedule 1 to the Academies Act 2010 to dispose of school land. Entry into contract is subject to satisfactory consent being received.
By virtue of its Service Concession status this opportunity is not subject to the full application of the Public Contracts Regulations 2006 or the Public Contracts (Amendment) Regulations 2009. Consequently this is a voluntary notice and the Council is not bound by many of the formalities of the Regulations and therefore reserves the right to use such flexibilities in this procurement process. On this basis the Council will not follow the set Regulations either in terms of process or timescales however it will adhere to its general treaty obligations with regard to equality and transparency.
II.1.5)Common procurement vocabulary (CPV)

92000000, 92610000, 92330000

II.1.6)Information about Government Procurement Agreement (GPA)
The contract is covered by the Government Procurement Agreement (GPA): yes
II.2)Total final value of contract(s)
II.2.1)Total final value of contract(s)
Value: 78 000 000 EUR

Section IV: Procedure

IV.1)Type of procedure
IV.1.1)Type of procedure
Open
IV.2)Award criteria
IV.2.1)Award criteria
The most economically advantageous tender in terms of
1. Quality Services. Weighting 50
2. Commercial Offer. Weighting 50
IV.2.2)Information about electronic auction
An electronic auction has been used: no
IV.3)Administrative information
IV.3.1)File reference number attributed by the contracting authority
9U3D-TGQK3L
IV.3.2)Previous publication(s) concerning the same contract

Contract notice

Notice number in the OJEU: 2015/S 042-072522 of 28.2.2015

Section V: Award of contract

Contract No: 2015/S 042-072522
V.1)Date of contract award decision:
11.12.2015
V.2)Information about offers
Number of offers received: 2
Number of offers received by electronic means: 2
V.3)Name and address of economic operator in favour of whom the contract award decision has been taken

Greenwich Leisure Limited
Middlegate House The Royal Arsenal
SE18 6SX London
UNITED KINGDOM
Telephone: +02 083175000

V.4)Information on value of contract
Initial estimated total value of the contract:
Value: 7 800 000 EUR
Total final value of the contract:
Value: 7 800 000 EUR
V.5)Information about subcontracting
The contract is likely to be sub-contracted: no

Section VI: Complementary information

VI.1)Information about European Union funds
The contract is related to a project and/or programme financed by European Union funds: no
VI.2)Additional information:
This Contract Award Notice relates to the provision of a Part B service the process having commenced prior to the coming into force of the Public Contract Regulations 2015. In addition this provision relates to a service concession arrangement and as such the relevant Contract notice was published on a voluntary basis and the procedure and award was therefore not subject to the full application of the Public Contract Regulations. The Council reserved the right to afford itself of such flexibilities in the procurement process as were legally permissible on this basis. Notwithstanding this the process was conducted in accordance with all relevant overarching principles including but not limited to equality and transparency.
VI.3)Procedures for appeal
VI.3.1)Body responsible for appeal procedures
VI.3.2)Lodging of appeals
Precise information on deadline(s) for lodging appeals: The Public Contracts Regulations 2015 provide aggrieved parties who have been harmed or are at risk of harm by a breach of the rules to take action in the High Court (England, Wales and Northern Ireland). As previously stated this notice refers to the provision of Part B services and on the basis of a service concession therefore the process was not subject to the full application of the Public Contract Regulations.
VI.3.3)Service from which information about the lodging of appeals may be obtained
VI.4)Date of dispatch of this notice:
14.1.2016