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Respond to Breach of Contract

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Respond to Breach of Contract document sample

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									                                           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?




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     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.




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