Overview Document for Plymouth City Council & INCIC Procurement Partnership, Launch Event 30th November 2017

1. DYNAMIC PURCHASING SYSTEM
Overview Document
Independence CIC (INCIC) & Plymouth City Council (PCC)
Procurement Partnership
Adaptations, Repair, Maintenance and Improvement(ARMI)
Dynamic Purchasing System (DPS)
Jon Hines – Founder of INCIC
07824 707 371
jon@incic.org.uk
www.incic.org.uk

2. • INCIC work with Local Authorities, Housing Associations and organizations throughout the UK providing prequalification and monitoring
services for their contractors and suppliers.
• PCC is a unitary authority and a contracting authority in the South West of England. PCC procured and has successfully run a regional
bathroom adaptation framework agreement for the past 3 ½ years, this framework will end on 1st April 2018.
• PCC undertook a thorough review of its existing bathroom framework agreement and its re-procurement. The advantages and
disadvantages of creating a new agreement were considered together with alternative solutions. After carefully considering all options
it emerged that a Dynamic Purchasing System (DPS) would provide the optimum solution because of it’s practicality and flexibility.
• PCC previously shared its bathroom framework agreement with regional partners and now wishes to share its experience of that and
the benefits of running and operating the new DPS more broadly across the UK.
• PCC and INCIC have entered into an agreement to work together to procure a new Official Journal of European Union (OJEU) compliant
DPS. This will replace the existing bathroom framework agreement from 1 April 2018.
• PCC are notifying all other users of their framework agreement of its end date and encouraging them to engage with the new DPS as a
procurement solution. They are also asked to remind their providers of the framework end and of the new DPS procurement option.
About the Partners and Partnership
www.incic.org.uk

3. What is a Dynamic Purchasing System (DPS) ?
Brief Overview
• A Dynamic Purchasing System (DPS) is similar to an electronic framework agreement with two important exceptions;
new contractors and suppliers (providers) can join at any time and it is run as a completely electronic process.
• The legalities relating to the usage and creation of a DPS come from the Public Contracts Regulation 2015.
• A DPS should be set up for identified types of requirement which may be divided into categories of products, works or services.
Providers are able to apply to join a DPS at any time for free.
A Dynamic Purchasing Systems work in two stages:
First stage - A contracting authority issues a call for competition in OJEU. This must be for at least 30 calendar days expressing their
intention to establish a DPS. All providers who meet the standard (pass/fail) Pre-qualification Questions (PQQ), and who are not excluded
must be admitted to the DPS. Contracting authorities must not impose any limit on the number of contractors/suppliers that may join a
DPS at any time. Unsuccessful providers can reapply at any time.
Second stage - Once the DPS has been set up, invitations to tender (ITT) can be sent out to all providers on the DPS in the relevant
categories to bid for the specific contracts individually. Providers choose whether to bid for each ITT. A decision not to bid will not affect
any future opportunities. The usual timescale from ITT to return of tenders is 10 days, bids are then evaluated and the winning bid or bids
are awarded. Contracts are awarded during the second stage.
www.incic.org.uk

4. All contractor/suppliers (providers) must:
• Complete a Pre-Qualification Questionnaire (PQQ) to prove their eligibility to join the DPS.
• Identify which work categories they wish to bid for.
• Indicate which geographic regions they wish to work in.
• Know that there is no guarantee or requirement that customers will be under any obligation to procure any of their services throughout
the life of DPS.
All Organisations, Councils/Contracting Authorities (Customers) wishing to access DPS must:
• Agree to the DPS terms and conditions.
• Identify the services they wish to procure.
• State the expenditure they expect to put through the DPS.
• Agree a fee for the use of the DPS.
• Sign an Access Agreement.
How to access DPS
www.incic.org.uk

5. Benefits and costs of accessing DPS
Benefits of DPS
• Use of a flexible, legally compliant electronic Procurement solution.
• Cost savings through economies of scale with suppliers engaged with the UK wide DPS scheme.
• Access to wider pool of eligible contractors, continuously checked and monitored by INCIC, from the DPS provider list.
• Cost effective Procurement solution as framework agreements using the original Plymouth Model come up for renewal. This applies
equally to Procurement generally, offering a streamlined managed Procurement process saving time, money and resources.
• Migration of current Procurement system to the DPS managed with the assistance of INCIC who will provide the management and
administration of the overall DPS structure and all documentation associated with it.
• Access to current, legally compliant documentation, contracts and agreements.
Costs of DPS
To provide the DPS facilities and benefits listed above all organisations, Councils/Contracting Authorities (customers) who obtain contracts
under the DPS shall pay a management fee of not more than 1% (one percent) of contracts awarded, excluding VAT.
There is no charge for providers who apply to join and are admitted to the DPS.
www.incic.org.uk

6. Launch Event
www.incic.org.uk
We are pleased to announce our launch event on the 29th & 30th November at the:
Mercure Exeter Southgate Hotel, Southernhay East, Exeter, EX1 1QF
We are holding a meal, drinks and networking event on the evening
of the 29th of November with suppliers and customer organisations.
On 30th November INCIC and PCC will give a presentation on the DPS
and its practical application in the procurement process.
There will be morning and afternoon presentations. Q & A sessions
will follow each presentation. Times and further details to follow.
Please R.S.V.P. your intention to attend, number of delegate places
required and your evening, am or pm preferences.
Demand is high, spaces are limited, so please reply ASAP.