Rot at the Top

Mr Mustard has spent some time enquiring into the financial arrangements of Halliford Associates Ltd the service vehicle of Mr Andrew Traversty the Deputy Chief Executive and Statutory 151 Finance Officer.

Now one would of course expect that the person at the top of the financial tree in a Local Authority would set an example and be a properly registered employee under Pay As You Earn tax regulations. Who could possibly be more of an employee than an Officer of such rank? Not a bit of it.

Should Mr Mustard remind you that his bill is for £1,000 a day? No, because you aren't likely to forget such a nice large round figure. Now for 230 days work a year, a typical number of working days for management, i.e. 44 weeks in the year, £230,000 of our hard earned money will be paid to Halliford / Travers. 

Now Mr Travers started his illustrious career at Barnet Council on 12 April 2010 and the contract runs until one party decides enough is enough and gives a months notice. So it is easy to see that the Contract for services should have been advertised in the OJEU ( Official Journal of the European Union ) and at that point other candidates may have appeared.

It was back on 2 May that Mr Mustard sent in an FOI request as follows :-

---

Dear Sirs

The following payments have been made to Halliford Associates in 11 months:-

14/05/2010	5000257036	15,000.00
14/06/2010	5000260724	17,500.00
19/07/2010	5000265063	17,000.00
27/08/2010	5000270501	21,500.00
04/10/2010	5000274788	9,000.00
03/11/2010	5000279037	19,000.00
10/11/2010	5000280218	15,500.00
08/12/2010	5000283785	19,500.00
05/01/2011	5000286340	16,500.00
14/02/2011	5000291645	18,500.00
10/03/2011	5000295927	16,000.00
		185,000.00

Please tell me for each item:-

• who supplied the service
• the start date of the service
• the end date of the service
• the number of days
• the daily rate

and details of any other payment not based upon daily rates.

I note that this contract exceeds the threshold for EU Tender regulations of £156,442

Was the contract tendered please and if not will it now be tendered ?

---

Mr Johnathan Schroder the Internal Communication Manager was passed this request to answer. Not sure why as he handles internal communications and Mr Mustard has rather horribly said he has a non-job and yet he thinks that Mr S is an OK person but you get too much of my money Mr S so you will have to take a bashing; its not personal. Its the job not you I am attacking. Anyway, back to normal. As you are writing to Mr Mustard and not answering the question you will now have to be known as the External Misinformation Officer. Here is the reply of 2 June ( yes it was hung out for the maximum 20 days ). Mr S used very small type; perhaps in the hope that Mr Mustard could not read it properly ?

---

who supplied the service

Halliford Associates Ltd were contracted to fill the post of Acting Deputy Chief Executive and Statutory Finance Officer as part of a restructure of the Corporate Senior Management Team. The person filling that post was Andrew Travers.

the start date of the service

12 April 2010

the end date of the service

31 March 2011

the number of days
the daily rate

The daily rate is £1,000. The number of days worked are billed for a month in arrears (ie. 17 days were worked in June 2010).

and details of any other payment not based upon daily rates.
No other payments have been made.

I note that this contract exceeds the threshold for EU Tender regulations of £156,442

Was the contract tendered please and if not will it now be tendered ?

The council entered discussions with its managed service provider Hays at the end of 2010 in order to consolidate agency staff and interims under the terms of the Hays contract. As we have already formally tendered the managed service contract with Hays we will not be required to go out for individual tenders for agency or interim staff. The new arrangements formally came into effect for the start of the 2011/12 financial year.

---

Now Mr Mustard is a bit of a stickler for detail and this answer seemed to be taking him up the wrong path so he asked some more questions on 2 June ( a bit quicker to move than the council are ) to make things clear - Mr Mustard being a fan of Plain English & plain answers

---

Dear Mr Schroder

I am sorry but I do not understand the part of your answer about tendering & Hays. Are you saying that Hays were contracted to find Mr Travers ? as you say Halliford Associates Ltd were contracted

and a FOI response from Ms Wilson Pointer on 25 May 2011 included the following :-

"In relation to the first part of your request I can confirm that Halliford Associates Ltd were contracted to fill the post of Acting Deputy Chief Executive and Statutory Finance Officer as part of a restructure of the Corporate Senior Management Team approved by the General Functions Committee on 5 August 2009. Please find attached a copy of the report on this subject that was submitted to General Functions Committee on that date. The decision to contract Halliford Associates was taken following a comprehensive recruitment process which failed to identify a suitable candidate."

i.e. the Contract to find Mr Travers was placed with Halliford Associates Ltd. Also the Contract was signed in the first half of 2010 as payments started in May 2010 and so what you write as happening in late 2010 with Hays does not appear to be at all relevant.

Please explain more clearly why the Council did not advertise in the OJEU the Contract with Halliford Associates Ltd as it is above the relevant threshold. Will this Contract now be tendered?

---

So Mr S then replied on 1 July - 20 working days of thinking were once again required.

Hays were not contracted to find and appoint Andrew Travers. Background to this post can be found in the committee papers regarding the restructure of senior management referred to below. As the conventional recruitment process to fill the post was not successful, Halliford Associates were contracted in April 2010 to fulfil the role on an interim basis.

The council came to an agreement with Hays at the end of 2010 to consolidate all interim and agency staff under the terms of Hays’ contract and this came into place for all interim and agency staff from the start of the current financial year. Given that the post of Deputy Chief Executive was already filled, Hays did not undertake a separate recruitment process.

All interim staff with the council are now managed under the terms of the Hays contract. This contract was agreed after a full procurement process, including OJEU.

---

Mr Mustard is used to being given the run around. He focuses on the goal and just plods on.

On the same day, not a month later, he wrote back to Mr S

Thank you for your email of today.

So if we take all of your comments about Hays away as they are not germane could you now please answer the original question, which was :

I note that this contract exceeds the threshold for EU Tender regulations of £156,442

Was the contract tendered please and if not will it now be tendered ?

An early response would be appreciated as you are well past the 20 day time limit for providing the information.

---

By some accident of timing, about 20 working days later, on 1 August, Mr Mustard's email inbox received another email from Mr S. 

Mr Mustard thinks it very likely that this sort of behaviour is going to see every officer who answers, or doesn't,  FOI requests on day 20 on the naughty step at the Information Commissioner's Officer because having been there before the ICO keep a close eye on Barnet Council's performance. What the legislation says is that FOI responses should be sent "promptly, but not later than 20 working days..." so you see the 20 days is not a target. If you have the information you should just send it rather than trying to frustrate the applicant ( it doesn't work in Mr Mustard's case anyway )

I can confirm that the role of Deputy Chief Executive (DCE) and Section 151 Officer (CFO) was not tendered. An executive search was completed by GatenbySanderson and the role was advertised in the Sunday Times and Times Online in October 2009.

So after searching for a normal employee at goodness knows what cost someone somewhere said "Oh I know a good bloke who can do this and then, as if by magic, Halliford Associates Ltd were contracted to find an employee and they by some bizarre coincidence realised that their Director Mr Travers was the man for the job. They didn't fancy him having to pay proper taxes under PAYE and so deal was cobbled together with one presumes non-stick Nick Walkley, as there was no-one else more senior than the Deputy Chief Executive for a service Company to be utilised. 

Unfortunately the cunning plan falls apart at this point as immediately it was decided that this would be a Contractor appointment the post should have been advertised as it was a contract subject to rules on procurement and not an employment which the Chief Executive has the power to deal with.

Sometimes people are too clever for their own good ( or not clever enough? )

So now we have a statutory finance officer who has been appointed in breach of the law. 

Mrs Angry is so right, we are in Broken Barnet.

What would a person of honour do? Yes, resign ( not you Mr S )

Oh, and Mr Mustard will be keeping as close an eye on you Mr S just as the Information Commissioner, HM Revenue & Customs and The European Union do on my blog.

Did Mr Mustard mention that one of his friends is a big city lawyer who specialises in contracts failure at local authorities. No! Well now you know.

Oh, and the Contract should now be tendered, should it not?

Yours frugally

Mr Mustard

Musical chairs - One Barnet rules apply

Remember when you were young and would play this game and get a bit giddy running around and need some nice E number filled orange cordial to calm you down. Well Barnet Council have their own new improved version of the game where everyone moves around but they all still have a chair at the end.

I think there must be an ant infestation at Barnet Council as the staff just can't keep still ( and I bet it isn't the worker ants who are asking to move )

So here is a cut and paste of the Delegated Powers Report on the subject ( in blue ) with my comments in red as usual:-

ACTION TAKEN UNDER DELEGATED POWERS BY OFFICER

Subject : Single Tender Action. Contract for the appointment of MJW Office Moves Ltd as
a Council vendor.
Summary : To provide office moves and refurbishment capability to the remaining phases of the Accommodation Project (TAP). 

Officer Contributors : John Bailey – Project Manager
Colin Attree – Head of Corporate Procurement
Status (public or exempt) : Public
Wards affected : All

Reason for exemption from call-in : N/A
Contact for further information: John Bailey, Project Manager for the Accommodation on 020
8359 3008 or john.e.bailey@barnet.gov.uk
Serial No. 1226
1. RELEVANT PREVIOUS DECISIONS
1.1 Cabinet Resources Committee of 19 January 2008 (decision item 6) approved the Capital, Asset and Property Strategy.
1.2 General Functions Committee of 5 August 2009 (decision item 7) approved the proposed restructure of the Corporate Senior Management team and responsibilities as detailed in the public and the exempt reports. This included the creation of the Commercial Director post with responsibility for the formation and leadership of the new consolidated property and assets function.
2. CORPORATE PRIORITIES AND POLICY CONSIDERATIONS
2.1 The 2010/2013 corporate priority ‘Better services with less money’ is relevant as the Accommodation Project (TAP) will reduce LBB expenditure on corporate buildings by maximising the effective usage of the current office accommodation estate. ( The speed that One Barnet staff are being taken on makes me doubt that there will be any spare office space )
3. RISK MANAGEMENT ISSUES
3.1 The employment of a professional office moves contractor mitigates against project identified risks, including the following:
 Potential poor planning of move schedules and related project dependencies ( does it; what because otherwise the Council would do it itself and mess it up - please - this is just tosh to pad out the report )
 Potential failure to meet essential project and Service area timetables and deadlines. ( timetables - deadlines - is this why Council Tax bills are late this year )
 Potential poor management of other moves related contracted services (e.g. building contractors, furniture suppliers etc.), resulting in poor value for money ( rubbish - you build first, then you call off the pre-ordered furniture which suppliers are happy to store for a large regular customer - they will even design your office for you - where have you been )
 Inadequate space planning and design expertise, resulting in office space that is not fit for purpose ( an admission that the Council have no idea )
 Non-compliance with building regulations, Health & Safety requirements, landlord approvals and other statutory requirements. ( just read the rules; simples )
 Poor post move support and snagging issue resolution  ( post move support; who writes this drivel )
3.2 I have considered whether the issues involved are likely to raise significant levels of public concern or give rise to policy considerations. I consider they do not. ( oh yes they do, spending of this magnitude always raises public concern )
4. EQUALITIES AND DIVERSITY ISSUES
4.1 The compression and improvement of office accommodation according to the Estates Strategy will ensure that the range and location of assets fits the changing way our customers want and need to access our services. ( your customers want you to spend money sensibly - not to keep playing this game of moving office )
4.2 The TAP Strategy has been developed in line with the Council’s equalities and diversity policies. ( naturally )
5. USE OF RESOURCES IMPLICATIONS (Finance, Procurement, Performance & Value for Money, Staffing, IT, Property, Sustainability)
5.1 The negotiations around the contracting of MJW Office Moves Ltd have ensured best value in terms of rates and represent a projected saving (by Accommodation Project end) in excess of £3,000 in comparison with agency rates previously achieved. The all-inclusive rate will be £425 per day with no expenses to be payable. ( if this simple logical job had been advertised locally there would have been a stampede of applicants at between £100 and £200 per day. A £3,000 saving on a spend of £90,000 is nothing to crow about. It looks like a made up figure )
5.2 Due to the extensive knowledge of existing LBB office accommodation sites, contracting MJW Office Moves Ltd can ensure there is no change or disruption to existing working patterns within either the Accommodation Project or Service areas. ( jobs for the boys then )
5.3 Costs (for all work contracted by the Accommodation Project) will be contained within that project’s allocated capital budget. ( even if it is excessive )
6. LEGAL ISSUES
6.1 None, save as contained within the body of the report. ( what about this being quasi employment and not paying PAYE ? )
7. CONSTITUTIONAL POWERS
7.1 The Council constitution in Part 3, Responsibility for Functions, paragraph 6.1 states that Chief Officers can take decisions in all matters where they have managerial or professional authority; and to authorise and accept quotations for contracts to the limits placed on Chief Officers by Contract Procedure Rules for approved schemes with sufficient estimate provision. ( more's the pity )
7.2 The Council constitution in Part 3, responsibility for function, paragraph 6.2 states that Chief Officers can discharge their functions including placing contracts and procuring other resources within or outside the Council.( this looks like the last paragraph )
7.3 Contract Procedure Rules Paragraph 6.11 allow for the Commercial Director to make single source decisions without going to competitive tender, where satisfied, following the making of suitable investigations, that there is only one supplier in the market for the required supplies/services/works. 
( a £90,000 contract really should be tendered; MJW are the only supplier of this service in the whole wide world - pull the other one )This is subject to compliance with the Authorisation and Acceptance procedures. In this respect, following the making of suitable investigations, MJW Ltd is the only one supplier in the market for the required services. And in addition, for reasons specified above in 5.1 - 5.2 and the fact that this change of contractual route has been forced on the council by MJW Ltd current employing agency not joining our new contractual arrangements for agency workers, the single source route is justified. ( never )
7.4 Under Table 5-1 of the Contract Procedure Rules, Director/Head of Service, can authorise and accept contract value of up to £156,442. ( High time this rule was changed )
8. BACKGROUND INFORMATION
8.1 As part of the mobilisation process of the new Hays Neutral Vendor contract, Cobalt
Recruitment (the agency previously supplying Office Moves management) have decided not to enter into formal agreement to supply personnel. New provision of Office Moves management for the Accommodation Project is therefore necessary. ( I'll bet there is a story here )
8.2 Included within the scope of works previously carried out via the Agency provision from Cobalt Recruitment, which will now be undertaken as part of this contract by MJW Office Moves Ltd (via the Accommodation Project) are: ( Cobalt Recruitment Ltd are applying to strike themselves off at Companies House )
 Planning of all move schedules and timetables ( as instructed )
Liaison and detailed discussion with all relevant Services representatives and team managers as appropriate ( talk to people - that's hard )
 To work in close collaboration with TAP Project Manager, Change Managers and IT Personnel to plan and implement all office refurbishments, furniture installations and staff moves ( still not very difficult )
 Preparation and provision of necessary reports and other documentation as required for reporting to TAP Project Manager/Board ( write reports - how dull )
 Sourcing, procurement, management, scheduling, administration and invoicing for required contractors, suppliers and products ( buy things with other people's money - very easy )
 Space planning, design, procurement and invoicing of all furniture  ( decide where to put a desk or two )
Plan, design, scheduling and management of building, fit-out and refurbishment works ( decide where partitions will go )
 To ensure compliance standards for Landlord approvals, building regulations, H&S compliances and other statutory requirements ( all statutory so just follow the rules )
 Management of contract installation and removals team ( tell someone else what to do )
 Liaison with LBB Property, Asset Management and Facilities Departments ( repetition of what was said earlier )
 Post move on site Facilities and support where necessary ( fix any snags )
 Other relevant activities as instructed by TAP Project Board ( anything we forgot )
9. LIST OF BACKGROUND PAPERS
9.1 None
10. OFFICER’S DECISION
I authorise the following action
10.1 To establish MJW Offices Moves Ltd as a direct vendor to be used on an as and when basis as required to manage office moves and related works. ( as and when, that's £35,450 to you guvnor in the first quarter, so at £425 a day that is 83 days of work )
10.2 That a maximum provision of £90,000 from the TAP existing budget and a maximum contract duration of 1 year be applied to this contractual arrangement ( think of a number and see if anyone checks it at year end )

Signed Signed by Craig Cooper
Commercial Director ( un-commercial do I hear you cry ? )

10/1/11

Now there are some funny things about this contract. It is signed off on 11 January 2011 but the first payment is for £2,125 on 25.10.2010 - a bit early, what.

Then there are the vast amount of moves that have taken place in the first quarter of 2011. Let us look at the list :-

Date	Team	Location	# of Staff
21/1/11	E&O, Management	B4 2nd floor to new location along the floor	6
28/1/11	E&O, Parking Team	B4 2nd to B4 1st floor Holding Area	31
4/2/11	E&O, Greenspaces, Waste & Sustainability teams	B4 2nd floor to new location along the floor	21
8/2/11	ASSD, Ballards Lane staff	B2 1st floor to B4 1st floor	24
11/2/11	Commercial Services	B4 1st floor to B2 1st floor	78
11/2/11	PHR, Planning	B2 1st floor to B4 1st floor	55
16/2/11	E&O, CIU Team	B4 2nd floor to new location along the floor	12
17/2/11	E&O, Greenspaces, Waste & Sustainability	B4 2nd floor to new location along the floor	18
18/2/11	E&O, Traffic & Development	B4 2nd floor to new location along the floor	46
25/2/11	E&O, CIU moves	B4 2nd floor to new location along the floor	12
26/2/11	PHR, Building Control	B2 1st floor to B4 1st floor	25
1/3/11	E&O, Admin staff	B4 2nd floor to new location along the floor	12
2/3/11	E&O,  Traffic Dev reshuffle, Parking Finance	B4 2nd floor to new location along the floor	15
4/3/11	E&O, Trading Standards	B4 2nd floor to new location along the floor	6
7/3/11	E&O, PIT Team	B4 2nd floor to new location along the floor	6
7/3/11	Chief Exec, PBS Team	B4 1st floor to B2 1st floor	5
11/3/11	E&O – remaining Network Mgmt Team, Drugs & Alcohol team	B4 2nd floor to new location along the floor	12
11/3/11	E&O, Parking Team	B4 1st floor to B4 2nd floor	31
25/3/11	Chief Exec, FYI Team from Childrens to Customer Service	B4 Grd floor to B4 1st floor	4
29/3/11	ASSD, Ballards Lane staff	B4 1st floor to new location along the floor	22

Sorry Mr Mustard managed to cut the end off his blog earlier and has just noticed and will do it again now from memory.

Now it costs £35,450 just to manage these moves by the looks of it. On top of these One Barnet musical chairs costs there will probably be some vehicle or equipment hire, crate hire, computer and telecoms moving costs, loss of productive time for staff ( Parking moved out at the end of January and back to the same office 6 weeks later. Is this why it was taking them 20 minutes to answer the phone - they couldn't find where they had put it ? ) temporary labour etc etc

Interestingly Mr Martin Willoughby of MJW Office Moves Ltd is also provided with a loan of a LBB tablet PC despite being a contractor and earning enough to buy his own computer and he gets to use a touch-down desk ( it would be better if it was a take-off desk ? ). He looks more like an employee every day. Wouldn't it be better to simply hire a better value employee to do this routine job and they would cost about the same for a year as this contractor costs in 3 months.

Hopefully one day the game of musical chairs will stop and all contractors will stangely find that they are no spare seats.

Yours frugally

Mr Mustard