Substance misuse treatment and support services

Portsmouth City Council ('the council') is inviting tenders from suitably qualified providers to deliver substance misuse treatment and support services. The overarching objectives of the services are to reduce the harm linked to substance misuse and to enable more people to achieve and sustain recovery from substance misuse.

Services will be delivered under two lots;

Lot 1: Substance misuse harm reduction and treatment (element 1) & substance misuse supported housing service (element 2)

Lot 2: Substance misuse independent peer-led service (element 3)

Providers can bid for both lots but can only be awarded one. Where providers opt to bid for both lots they must state what their preference would be in the event that they are selected as preferred bidder for both lots.

Providers have the option to either deliver services from the current properties or to propose use of their own properties on a variant bid basis.

The council is targeting to have awarded both contracts on 1 Feb 2022 to allow for service commencement on 1 June 2022. The contracts will be let for an initial term of 46 months which may then run for a further 6 years in increments set by the council to a total maximum term of 9 years and 10 months, subject to performance and at the sole option of the Council.

The estimated total value of the contracts for both lots is £16,306,206 is over the initial term based upon all funding streams remaining in place. The annual value of both contracts is expected to vary over the initial term as the service is funded via a combination of secure and unsecure funding streams. An open book costing model will be used alongside the contract to agree any variations over the term.

The estimated total value of lot 1 is approx. £4,003,793 per annum and therefore £15,347,873 over the initial term. This is based on the current funding which includes for £1,109,793 of additional funding received via grant per annum which may not be secured in the future.

The estimated value of lot 2 is approx. £250,000 per annum and therefore £958,333 over the initial term. This includes for £85,000 of additional funding received via grant per annum which again may not be secured in the future.

In the event that term extension options are taken up on their entirety the estimated value of the contracts for both lots could rise to £41,828,963 based upon all funding streams remaining in place over the duration of the term at their current levels and exclusive of any inflationary increases which could further increase this value.

Should further funding becoming available over the term of the contract for related services the council may seek to expand the scope of the contracts accordingly which could further increase the contract values.

An accurate forecast cannot be made regarding the level of further funding, if any, that may become available but it is not expected to equate to an increase of more than approx. 25% and therefore approx. £52M over the duration of the term. However these estimates are not guarantees and are non-binding in terms of any maximum total upper value that may be let via the contracts.

The procurement process will be undertaken in line with the following programme:

• Issue FTS Contract Notice - 8 Oct 2021
• Issue Invitation to Tender - 8 Oct 2021
• Opportunity for site visits - 18 Oct 2021
• Opportunity for 1:1 clarification meetings - 5 Nov 2021
• ITT Return Deadline - 10 Dec 2021 at midday
• Standstill period - 22 Jan 2022 - 31 Jan 2022
• Contract Award - 1 Feb 2022
• Service Commencement - 1 May 2022

Application is via completed tender submission by the deadline stated above via the council's e-sourcing system InTend which will be used to administrate the procurement process, the system can be accessed free of charge via the web link below:

https://in-tendhost.co.uk/portsmouthcc/aspx/home