INVITATION TO TENDER

Transcription

1 INVITATION TO TENDER To undertake an ex-ante assessment of the case for ERDF investment by Cheshire and Warrington and Stoke-on-Trent and Staffordshire LEPs into a new Urban Development Fund established under the EC s JESSICA initiative 1. INTRODUCTION 1.1 Background The Joint European Support for Sustainable Investment in City Areas (JESSICA) is a European funding mechanism to promote investment in urban development projects. A North West JESSICA Holding Fund was established by the Northwest Development Agency in 2009, utilising European Regional Development Fund (ERDF) resources from the North West Operational Programme. This North West Urban Investment Fund (the NWUIF) oversaw the investment of the ERDF and matched resources in projects in the region via two urban development funds (UDFs); one established for Merseyside and the other for the rest of the North West (RONW) i.e. Cheshire, Cumbria, Greater Manchester and Lancashire. The RONW UDF, branded as the Evergreen Fund, was launched in 2011 and since that time has progressed 11 investments involving over 70m of ERDF resources. Of the 11 investments, eight are located in Greater Manchester and three in Cheshire. Greater Manchester has worked with DCLG, as Managing Authority, on development of a call to support the creation of a new UDF for Greater Manchester for the ERDF programme. The intention was that this new UDF, once established, would also be the bidding vehicle for the ERDF allocations of Cheshire and Warrington and Lancashire LEPs, subject to these areas being able to justify the case for investing resources through such an instrument. Following the conclusions of the Ex-ante assessment to justify investment in a new UDF Lancashire decided that it would wish to make alternative arrangements for the deployment of their ERDF funds. Cheshire and Warrington therefore now wish to update the Ex-ante assessment in partnership with Stoke-on-Trent and Staffordshire LEP to include their investment pipeline of projects in place of Lancashire s potential investments to provide a suitable level of investment propositions to establish a viable new Urban Development Fund.

2 1.2 Summary of Requirements The areas of Cheshire and Warrington and Stoke-on-Trent and Staffordshire need to evidence, to satisfy ERDF regulations, include the case for distributing ERDF through a UDF in accordance with the minimum allocations identified in their European Structural and Investment Fund (ESIF) Strategies and within their investment plans for their Enterprise Zones, areas of focus and common priorities across the Constellation Partnership - (formally the Northern Gateway Development Zone). They therefore need to up-date the ex-ante assessment to consider, firstly, the question of whether there is a market failure in the investment priorities that is sufficient to justify the commitment of ERDF funds and, secondly, the nature of the products required to address that market failure (e.g. debt, equity etc) and if the investment opportunities are of the scale required to justify such a fund. Finally, there is a requirement for advice on the creation of new structures for the fund and proposed appropriate management structures and resources required to manage, deliver and oversee the proposed Urban Development Fund. 2. DETAILED REQUIREMENTS 2.1 Specification The ex-ante assessment must be in accordance with the European Commission s methodologies which have drafted by the European Investment Bank (EIB) 1 and meet the requirements of DCLG as Managing Authority. The ex-ante assessment is not intended to replicate extensive consultation process and site visits already undertaken by LEPs but to assess projects through a desk-top process to scope out the pipeline of potential investments within current EZs and areas of strategic focus that a UDF could help unlock across the LEP areas. The Ex-ante for both the Cheshire and Warrington and Stoke-on-Trent and Staffordshire areas should include; Analysis of proposed development activity, across the investment priorities set out within the ESIF strategies and LEP Strategic Economic Plans including the Cheshire and Warrington EZ, Ceramic Valley Enterprise Zone, the Constellation Partnership and key areas of focus such as the Mersey Dee Alliance, Warrington New City, and to include Stoke-on-Trent and Staffordshire Strategic Sites set out within the SEP to update current investment propositions included within the current Ex-Ante appraisal. 1

3 Alignment of proposed development activity with the investment priorities of the English Operational Programme 2014 to 2020; Analysis to identify market failures or suboptimal investment situations; evidencing the particular markets and targets affected; and analysis of the estimated level and scope of public investment needs that could be supported through a UDF. Assessment of the value added that a UDF would achieve and commentary on the appropriateness of such a vehicle given other forms of public intervention accessible to the affected targets and markets, noting any possible State aid implications; An estimate of the additional public and private resources that could be generated by the UDF, including an assessment of any preferential terms and remuneration that would be required to secure this; and Identification and incorporation of lessons learnt recommendations arising from similar instruments e.g. Evergreen 1 particularly with regard to project origination and governance arrangements. Recommendation of on the creation of new structures for the fund and the appropriate management structures required to manage, deliver and oversee the proposed Urban Development Fund. The ex-ante assessment provides the evidence-based decision making in the design and implementation of the Financial Instrument (FI). The ex-ante assessment must be completed before the Managing Authority decides to contribute programme resources to a FI. The ex-ante assessment must be submitted to the programme monitoring committee for information and its summary findings and conclusions must be published. All information provided will be shared with the MA, PMC and published. The appraisal must make clear recommendations, in response to the update assessment work per above, as to an appropriate investment strategy for ERDF funding deployed through the UDF, specifically identifying the; Overall viable size of ERDF investment target markets potential ERDF relevant outputs target beneficiaries; financial products that would meet the needs of the target beneficiaries; and

4 any changes to project origination and governance and support arrangements required that would enhance the number and quality of projects brought forward for investment consideration and associated potential costs. 2.2 Delivery Approach The Appointed Consultants will be expected to: Engage with the LEP Executives of both Cheshire and Warrington and Stoke-on-Trent and Staffordshire LEPs, and DCLG Adhere to the proposed time table and performance management arrangements. Provide a detailed assessment of development pipelines in both Cheshire and Warrington and Stoke-on-Trent and Staffordshire and desk top analysis and supplement this information through use of; o EZ and strategic site investment plans o Industry journals and media releases o LEP Strategic Economic Plans o Enquiries with relevant property agents, business park owners and developers and LEP staff 2.3 Programme Management Arrangements Day to day project management will be provided by Philip Cox and Peter Davenport. The successful consultant will be expected to attend regular (fortnightly) progress meetings during the course of the commission and weekly liaison via telephone and with officers and key stakeholders as necessary. Any clarifications to information contained in this document must be submitted by to Philip and Peter no later than 17:00 on 20th October Any additional information provided will be made available to all potential Tenderers via the LEP website after this date Francis.lee@871candwep.co.uk 2.4 Timescales The key dates for this procurement (Timetable) are currently anticipated to be as follows: Event Date Deadline for receipt of clarifications th October 2017

5 Deadline for receipt of Tenders th October 2017 Evaluation of Tenders w/c 23 rd October 2017 Approvals and Contract Agreement w/c 30 th October 2017 Contract start date Upon contract agreement Final Report 30 th November RESPONDING TO THIS SPECIFICATION Tenders must address all the requirements and be in the format requested below. Tenders not in this format will not be considered. Tenderers are requested to provide core information in summary form with detail in appendices. The following must be supplied: 3.1 General i. Organisation identity including name, address, telephone number, address, company registration number, VAT registration number and website address (if applicable). ii. Details of the main point of contact within the organisation for this tender. iii. Name, address, telephone number and address of any third parties involved in this tender. iv. Response to Schedule 1 v. Completed and signed Schedule Pricing The cost associated with delivering this commission should be presented as shown in the table below.

6 Market Assessment &UDF Investment Strategy (ERDF) Block 1 UDF Management And Delivery Structures Block 2 Total ( ) Cheshire and Warrington Stoke-on-Trent and Staffordshire Total ( ) c.10k c.10k c.20k All prices must be fixed and firm, quoted in pounds sterling and exclusive of VAT. Tenderers should detail any ancillary costs and expenses included in the price. Note that the total budget for this work is in the region of 20k (plus VAT if applicable). 3.3 Submission Instructions The LEP will only accept tender submissions made via to: philip.cox@871candwep.co.uk peter.davenport@staffordshire.gov.uk The deadline for submission of completed tenders is th October The completed tender submission must be submitted by no later than the time and date specified above. Bidders are advised to allow adequate time for uploading documents and to dispatch the electronic response well in advance of the closing time to avoid any last minute problems. Failure to submit the tender submission as required will result in the relevant Bidder being excluded from any further participation in this procurement. Any tender submitted and or received after the time specified above will not be considered and the Bidder will be advised of this. Please note that submissions not received via the means identified in the ITT will not be accepted or considered. Bidders are also welcome to provide hard copies of their tender following submission of their bid in accordance with above. Any hard copies should be addressed as follows: Name: Address: Name: Address: Philip Cox, Chief Executive Cheshire and Warrington Local Enterprise Partnership 1 st Floor, Wyvern House, The Drumber, Winsford, CW7 1AH Peter Davenport, Economic Partnership Manager Stoke-on-Trent and Staffordshire Local Enterprise Partnership Judges Chambers, County Buildings, Martin Street Stafford, ST16 2LH

7 4 EXAMINATION AND EVALUATION OF TENDERS 4.1 Award Criteria Tenders will be assessed initially by reference to the following pass / fail criteria: (i) Completeness of proposals and tender documentation as specified in Section 3 (Responding to this Specification); (ii) Stated ability of the Tenderer to meet all of the requirements specified in Section 2 of this document; The Bidder which passes the pass/fail criteria above and is awarded the highest combined mark in the Price and Quality sections will be awarded the contract. In the Price section, the LEP is evaluating how the Bidder cost compares against the cost of other submitted tenders. There are 30 points available for Price and the lowest cost bid will be awarded 100% of these with the other bids receiving a proportion based on the following formula: Bid's Score = 30 x (lowest total cost / bid cost) In the Quality section, the LEP is evaluating how the Bidder will ensure it delivers the services in a way which complies with the LEP s requirements in relation to the Specification (Section 2.1) and the Delivery Approach (Section 2.2). Schedule 1 sets out six questions which explore these aspects and the responses will be scored using the pre-determined scoring system set out below. Excellent % A comprehensive response which provides information that is highly relevant and fully answers the question. Good 51-75% A detailed response which provides information that is relevant and substantially answers the question. Satisfactory 26-50% A response which provides information that is generally relevant and answers the majority of the question. Poor 1-25% A response which provides information which is only partially relevant and/ or answers only a small proportion of the question. Unsatisfactory 0% A response which does not provide information which is relevant and does not answer the question or no response is provided.

8 There are 70 points available for Quality. 4.2 Clarification During the evaluation period, clarification may be sought via from Tenderers. Responses to requests for clarification may not materially change any of the elements of the tenders submitted. The LEP may choose to invite bidders to make presentations on their proposals for the purpose of elaboration, clarification and / or aiding mutual understanding. 5 GENERAL INFORMATION 5.1 Financial Arrangements Payments for services covered by this invitation to tender will be on submission of appropriate invoices, subject to Cheshire and Warrington LEP s standard payment terms, and which will be based on agreed deliverables. Invoicing arrangements will be agreed with the successful provider, following the award of contract. 5.2 Contract A contract will be awarded to the Tenderer whose proposal is deemed to be the most economically advantageous subject to agreement on conditions of that contract. Please note that the LEP reserves the right to cancel the Tender process at any time prior to a contract being entered into. The LEP is not bound to accept the lowest price, or any tender submitted.

9 Schedule 1 Information Requirements 1. Please set out your experience of undertaking ex-ante appraisals of relevance to this assignment, detailing the nature of the commissions and identifying the personnel involved and their roles. 2. Please provide the names and CVs of the team that you would deploy on this assignment along with a description of their respective roles, particularly highlighting their specific experience of EU final instruments and urban development funds. 3. Please provide a method statement that details how you will deliver this commission, particularly addressing how you will secure the necessary information and evidence to support the required market assessments and management and delivery recommendations. The statement should reference the key information sources you intend to rely upon. The response should be structured such that it clearly identifies the separate requirements of the two assessments in respect of; ERDF investment by Stoke-on-Trent and Staffordshire LEP ERDF investment by Cheshire and Warrington LEP 4. Please provide a project delivery plan with supporting narrative that aligns to your method statement, illustrates the tasks and dependencies involved and explains the project management approach that will be deployed. 5. Please provide a risk register that features your assessment of the key risks associated with the delivery of this commission and appropriate management and mitigation steps. 6. Please describe how you will quality assure the delivery of your work.

10 Schedule 2 Declaration I/We the undersigned, hereby quote to supply the goods / service / products detailed in this tender, at the respective prices quoted. (Prices must not include VAT). I certify that as far as I know, the information I have supplied is accurate. I/We agree that this tender shall remain open to be accepted or not by the LEP for a period of six months from the closing date for the receipt of tenders. I/We agree that the LEP may discontinue the tendering arrangements at any time before a tender has been accepted. I/We accept the specification and terms and conditions accompanying the request for tender and undertake to be bound by them if my/our tender is accepted by the LEP. I/We certify that I/we have not now or will in the future, canvassed or solicited any representative or employee of the LEP and any other companies in the group of which the LEP forms part, in connection with this tender and that to the best of our knowledge and belief no person employed by me/us or acting on my/our behalf has done such an act. I/We understand that the LEP is not bound to accept any tender and will not be liable under any circumstances whatsoever for the costs I/we have incurred in preparing the tender. The tender submitted herewith is a bona fide tender intended to be competitive. We have not fixed or adjusted the amount of the tender by or under or in accordance with any collusive agreement or arrangement with any other person. NAME OF CONTACT: DESIGNATION: COMPANY NAME: ADDRESS (including postcode) TELEPHONE: FAX: SIGNATURE: DATE:

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