Issue - meetings
HR/Payroll System
Meeting: 16/06/2021 - Cabinet (Item 7)
7 HR/Payroll System 
PDF 174 KB
Report of the Deputy Chief Executive enclosed.
Decision:
Decision made
1. To approve the appointment of Blackpool Council for the provision of a managed payroll service with integrated HR system and all associated implementation, support and maintenance services.
2. To delegate the finalisation of the agreement with Blackpool Council to the Director of Governance.
Minutes:
The Leader of the Council presented a report of the Deputy Chief Executive seeking Cabinet approval to enter into a ten year agreement with Blackpool Council to provide a managed payroll service with integrated HR service and all associated implementation, support and maintenance services.
In response to a member query, the Chief Executive confirmed the contracts of both South Ribble and Chorley Councils expire at the same time so will be aligned. With regard to the delegation to the Director of Governance, the financial limitations of the decision are as per the budget allocated in the report and therefore any requirement for a budget increase would come back to Cabinet for approval.
Decision made
1. To approve the appointment of Blackpool Council for the provision of a managed payroll service with integrated HR system and all associated implementation, support and maintenance services.
2. To delegate the finalisation of the agreement with Blackpool Council to the Director of Governance.
Reasons for recommendations
The Cabinet determined that a partnership arrangement with Blackpool Council via a local government agreement pursuant to Section 101 of the Local Government Act 1972 provided the most effective and best value way to secure a fully managed payroll service with integrated HR system.
Other options considered and rejected
The current HR and Payroll systems contract expires March 2022 and there is no compliant ability to extend this.
Procurement via either open tender or a framework agreement requires specialist input to specify, document and evaluate tenders which would be resource intensive, and potentially expensive. The market has been explored and found that it is very limited in terms of suppliers that would meet our specification and that the prices that could be achieved are unlikely to be more economical than the partnership approach, particularly as direct contract award to a supplier would incur high implementation costs. A partnership arrangement gives additional resilience to the project and ongoing payroll service unlike a direct award.