PEP Supplier Event Q&A Question Answer Can you please clarify the final date for The final date for bidders to submit questions is 29 December 2009. The final potential bidders to raise questions and publication of the Q & A Log on the DWP internet site will now be 5 January 1 confirm the date these will be published on 2010 not 7 January 2010 as stated in the Instructions to Bidders. the DWP website Is there any potential to extend a customer All customers will be mandated to the supplier for up to two years, unless they beyond the two years of PEP provision? enter sustained employment. After this period Jobseeker's Allowance customers will be referred back to Jobcentre Plus to continue support. Employment and 2 Support Allowance customers, who have completed their mandatory 2 years, can volunteer to remain with the provider for the remainder of the programme if both the provider and customer can see value in this. Are customers able to come back onto JSA and ESA linking rules will apply. Period of exit will determine when and 3 programme if they leave? where they come back onto the programme. If a customer moved to employment and It would depend how long the customer moved into employment for. If a subsequently became unemployed would sustained job outcome payment had been made, the claim would not link and they be reinstated on PEP? the customer would return to Jobcentre Plus and the Flexible New Deal regime. 4 If the claim linked, then the customer would return to the PEP provider. The customer would need to make another claim at Jobcentre Plus but would not count as a new referral. With respect to the 16 hour rule, can At present there are no plans to change the 16 hour rule for customers in receipt 5 participants undertake training of more of JSA. If people want to do long term training they will be supported through than 16 Hours? the training system. With respect to Job Outcome payments, Part Time employment may be used as a stepping stone for customers into Full will there be any allowance made for Time employment. Job outcome payments can only be claimed for customers customer's entering into Part Time work? who gain employment with a minimum 16 hours per week and continuous 6 employment that has lasted 13 weeks. A sustained Job Outcome can also be claimed for customers in employment, of more than 16 hours per week, for at least 26 weeks out of 30. Will there be an agreed performance plan There will be an performance plan for PEP and it will be published at ItT stage 7 for PEP? Expected levels of performance for PEP are currently under negotiation, more With regards to the performance offer, can information will be provided at the ITT stage. It is expected that the 8 you provide an indication of the expected performance requirement for PEP will be as good or better than the provision level of performance profiles? which it replaced. Will tolerances be imposed for PEP and There is an intention to apply tolerances to the performance offer. These are yet 9 will there be different tolerances for ESA to be agreed, further information will be supplied at the ITT stage. and JSA customers? How many suppliers will be short listed for There is an expectation that DWP will shortlist around 7 Suppliers for each the ITT stage? Contract Package Area. In order to ensure there is enough competition DWP 10 reserve the right to invite up to 9 Suppliers in each Contract Package Area. 50a92e0c-3816-487a-bf09-4ee20bc200c3.xls With respect to the performance It is expected that the performance requirement will take into account a requirement, is there an expectation that combination of both current profiles and current performance of provision that the performance requirement will be based will be replaced by PEP. This is still to be agreed and more information will be 11 on an improvement of current profiles for available at the ItT stage. existing provision or an improvement on actual performance of current provision? In relation to the minimum value for each Contracts will be awarded to one Prime Supplier in each Contract Package 12 contract, is there an expectation that one Area. provider will deliver each contract. Within the funding model can a supplier DWP will require a simple framework from providers at ItT stage to enable 13 decide on how to allocate funding across evaluation but the Department is open to innovation in funding. the 4 quadrants? The funding model incorporates steps of Within the Accelerator Model outcomes steps for each cohort are a fixed width. 25% for cohorts, as this is a pilot will there DWP do not intend these to change, with a belief that the model encourages be any movement in the width of these innovation, with suppliers able to compete on performance offers. A simple 14 steps and can the supplier decide how to framework is required at the ItT stage to allow DWP to evaluate the proposal. allocate funding across the 4 quadrants? The funding model is based on an The composition of cohorts detailed in the presentation are estimations of an estimation of the cohort mix between ESA average over the lifetime of the programme. It is expected that within monthly and JSA customers. What mechanisms is cohorts there will be some deviation, but providers are asked to align their bids 15 over the lifetime of the programme and this average. DWP will implement there to reflect the changing profile mix of cohorts? Change Control measures to respond to variations in cohort mix over the lifetime of the programme. What measures will the Department put in DWP will work closely with suppliers to ensure contract compliance, including place for suppliers who under performing developing performance plans. These will be reviewed at regular intervals to during the contract? ensure continuous improvement. In cases where underperformance persists, formal breach of contract action will be undertaken which could lead ultimately to 16 the termination of the contract. At the ItT stage DWP will run a series of workshops with short listed candidates to look at issues around performance offers within their bids and the impact of their offers on the funding model. Tenders will be evaluated to ensure that they are realistic and can be delivered. Is any advantage given to suppliers who DWP does not give any preference to current suppliers. Each ItT is evaluated 17 have an existing contract with DWP? independently. How will you make a judgement on As part of the financial evaluation DWP will assess supplier capacity and 18 whether a new supplier is able to deliver capability to deliver the new provision and look at what business they are this provision? currently delivering or bidding for with DWP. Will the Pathways to Work review affect The Pathways to Work review will be completed early next year. The review is PEP and when will the review be independent of PEP although the result of this review will be considered when 19 concluded? finalising the Invitation to Tender for the Personalised Employment Programme. Will the Prime Supplier have responsibility Management of sub contractor performance against the contract specification 20 for sub contractors? and targets is the responsibility of the Prime Supplier. 50a92e0c-3816-487a-bf09-4ee20bc200c3.xls Can sub-contactors bid at this stage? DWP want bids from Prime Suppliers or SPVs only. To register an expression of interest to be a sub-contractor for the delivery of PEP please complete the attached proforma. If you have submitted a form already, this has been logged by DWP. 21 You have clarified that there will be 2 It is the Prime Suppliers responsibility to identify sub contractors. At the ItT stage Prime Suppliers. Who will select sub we will be asking for details of who the Prime Suppliers will be using as sub 22 contractors? contractors. Information on key subcontractors will form part of the contract. Any changes will need to be agreed with DWP with assurances that the supply chain have the capability to deliver to an equal standard. Do the estimations on Cohort Mix include Yes, this includes ESA volunteers and it is expected to be less than 10,000. 23 Voluntary Customers? Looking at funding of ESA and JSA Currently DWP envisages 75/25 split between JSA/ESA. Although there may be customer groups, is there any flexibility of some deviation from this the supplier will need to align their bids around this 24 pricing if the customer profile changes average. This could be subject to change control during the contract. considerably? I am in the process of identifying Details of the organisations that attended the PQQ Supplier event are attached organisations likely to tender to develop below. relationships as a sub - contractor. Would DWP has recorded details of organisations that are seeking sub contracting it be possible to have a list of opportunities for PEP and we will sharing this information with all organisations organisations having expressed an interest that move onto the second stage. To register an expression of interest to be a in the PQQ and / or those that attended sub-contractor for the delivery of PEP please complete the attached proforma. If the event? you have submitted a form already, this has been logged by DWP. 25 Can you confirm that the estimated total Yes, the estimated funding for both contract package areas, over 4 years totals 26 funding for the programme, over 4 years is £328 million. £328 million? 50a92e0c-3816-487a-bf09-4ee20bc200c3.xls What is the contract value for both the There are two separate Contract Package Areas, they are: areas of Thames Valley and Barnet, 1) Hampshire and Isle of Wight Jobcentre Plus District; plus Thames Valley Enfield and Haringey? Jobcentre Plus District with an estimated value of £218 million; 2) Barnet, Enfield and Haringey part of the North and North East London Jobcentre Plus District with an estimated value of £110 million. DWP will only 27 be accepting bids from Prime Suppliers or SPV's who can offer full delivery across the Contract Package Area. DWP has recorded details of organisations that are seeking sub contracting opportunities for PEP and we will sharing this information with all organisations that move onto the second stage. Yes, this will be sufficient. If there is any specific further information we require As an overseas company, we have not post submission we contact you for clarification. filed any returns with Companies House. We do have audited accounts, which have 28 been filed with the countries equivalent. Could you clarify if this is sufficient, or if there is another specific document you require from us to satisfy this requirement. DWP do not require any addresses (contract or authority) or contact details for Please could you confirm what information the contracts you have successfully delivered within the last 3 years. is required for Part E - Q25? Is the address requested the address of the 29 contract or the address of the authority the contract is with? Do you require a named contact / contact details for the authority of every contract which is referenced to enable DWP to contact the authority? We have put ourselves forward as a DWP want bids from Prime Suppliers or SPVs only. You may wish to complete potential sub-contractor and have since the sub contractor interest form (see attachments at Question 25). These made contact with an organisation bidding details will be shared with the organisations that move on to the second stage of as a Prime Contractor and passed on our the PEP procurement. 30 details. In this situation could you please confirm if you wish us to submit a PQQ for our organisation alone? Are you going to co-commission additional We are looking at how we can add value to this contract through a co- 31 activity with the DWP? commissioning arrangement with DWP Would the LDA consider commissioning We have no current plans for co-commissioning with DWP for FND but would on any other DWP programmes including consider this in the future. The LDA is also in discussion with DWP regarding 32 on Flexible New Deal (FND)? the alignment the alignment of services for Progress 2 Work Programme and Invest to Save. Are you involved in the Specification and Our early discussions are focused around funding an additional (voluntary) 33 marketing, or have LDA got items to 'bolt' customer group but nothing is finalised. onto the service? In event of local authority bidding, would it No because LDA is a separate body to a Local Authority and those involved in 34 compromise LDA's position in the evaluation are bound by confidentiality agreements (Chinese Walls) evaluation bid? 50a92e0c-3816-487a-bf09-4ee20bc200c3.xls How much funding is the LDA intending to Initially £10m over the first two years. 35 contribute to the PEP in London? Would the LDA extend the funding over Yes subject to performance and further funding becoming available. 36 the following two years? Were the additional places included in the The figures in terms of finance and places included in the PQQ do not include figures on the slide and will the any of the proposed LDA activity. If the joint activity goes ahead then full details 37 Specification be accommodated to include will be provided in the Invitation to Tender document. the figures? What is the LDA role in the tender The LDA will be invited to take part in the evaluation of bids. Precise details 38 process? have not yet been agreed. Do the LDA envisage working closely with Not at present. 39 prime/subs on any other schemes? What outcomes will the LDA expect from Discussions are underway between the LDA and the DWP, a further 12 month 40 providers? sustained job outcome is being considered. Presumably the payments are based on Discussions are still in train regarding the funding model but it is likely that the 41 outcomes? LDA investment will follow the DWP model i.e. service fee plus outcome payments. When will we be clear about the LDA In March within the Invitation to Tender. 42 additional activity and funding? What percentage of the contractual 5% to 10% 43 arrangement is LDA contributing? Can you please confirm if, in Part F DWP require copies of the last two years of Statutory Accounts that have been section 4 of the PQQ, where you ask to filed at Companies House. see copies of the last two years of Annual Returns filed at Companies House, you expect to see the Statutory Accounts and 44 not the company information Annual Returns? The company information Annual Returns only has information relating to names of current directors and their business contact information etc. 50a92e0c-3816-487a-bf09-4ee20bc200c3.xls
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