Agenda item - Housing Management IT System Procurement

Report of Executive Director Neighbourhoods, Communities & Housing (copy attached).

That Housing & New Homes Committee recommend to Policy, Resources & Growth Committee that:

1)       The Executive Director Neighbourhoods, Communities & Housing is granted delegated authority to:

(i)              Carry out a procurement of a new housing management IT system for council housing services and;

(ii)             Award and let a contract with the preferred supplier for a period of 5 years with an option to extend by 2 years.

2)       A budget of £1.200m for a contract for a new housing management IT system, funded by Housing Revenue Account reserves, is approved.

10.1   The Committee considered a report of the Executive Director, Neighbourhoods, Communities & Housing which sought formal permission for Brighton & Hove City Council to conduct a procurement process and award a new housing management IT system contract for a period of 5 years with an option to extend by 2 years. The report was presented by the Head of Income, Involvement & Improvement accompanied by the Housing Strategy & Enabling Manager.

10.2   The Head of Income, Involvement & Improvement referred to paragraph 5.3 which stated that once a system was procured, council tenants and leaseholders would be invited to work with the council on the customer online portal to ensure that it provided the functionality and transactions that would be of most value to residents accessing council information and services online.  In addition it was suggested that there should be a cross party group of members to look at what councillors would want with regard to IT systems, along with focus groups with residents. 

10.3   Councillor Mears asked for clarification regarding changes in the investment figure. If there were any changes through the procurement process, the Committee should be informed. Councillor Mears considered cross party involvement was a good way forward.

10.4   The Head of Income, Involvement & Improvement replied that the report was seeking budget approval for £1.2m which would come from reserves and that the £1.2m would meet the cost of the software and licencing plus the implementation of the system. In paragraph 7.3 officers were highlighting that the HRA currently funded the annual support costs and the maintenance costs – the day to day costs of the current system -which officers believed would be similar and translate into the new system. If the project costs changed officers would report back to Committee.   

10.5   Councillor Phillips asked if the supplier would report back to the Committee after five years to see whether the contract had been successful or not before potentially being extended for another two years. The Head of Income, Involvement & Improvement explained that officers could report back on how the system was working at any time.

10.6    Councillor Gibson stated although there was a budget of £1.2m which would come out of reserves, it was intended that £150,000 of that sum would be spent this financial year. Councillor Gibson was concerned that the council did not run down reserves unnecessarily in future years as a result of this decision.  He asked if the money not spent this year would be included in the budget to be agreed in January or February. The Head of Income, Involvement & Improvement replied that the estimated £150,000 would be taken from reserves this year and when officers prepared the budget for next year they would specify the remaining amount.

10.7    RESOLVED:-

That Housing & New Homes Committee recommend to Policy, Resources & Growth Committee that:

(1)      The Executive Director Neighbourhoods, Communities & Housing is granted delegated authority to:

(i)              Carry out a procurement of a new housing management IT system for council housing services and;

(ii)             Award and let a contract with the preferred supplier for a period of 5 years with an option to extend by 2 years.

(2)      A budget of £1.200m for a contract for a new housing management IT system, funded by Housing Revenue Account reserves, is approved.