In short, the answer is “yes” – you can use procurement frameworks and consult with your leaseholders under Section 20 regulations. We’ve compiled some advice on how to do this here. However, if you’re tired of long lead-times with leasehold consultation, then carrying out the process upfront whilst we procure the framework is always a great idea. It closes a procurement loophole and makes things quicker for you if you choose to use our framework in the future.
What’s the process?
By sending out your Stage 1 notices before the framework is in place, you’ll ensure that you’ve already consulted with leaseholders once you come to use the framework in the future. This doesn’t commit you to using the framework – it just provides you with options going forward.
The best way to do this is in two stages –
- The first stage is to send your Notice(s) of Intention to your leaseholders at framework procurement stage.
- Then, once you come to use the framework in the future, you simply issue your Notice of Proposals with our framework tender report information as evidence of consulting with your leaseholders upfront.
Stage 1 – Sending your Notice of Intention
- These need to go out before we release the tender so that observations can be returned beforehand. We will always let you know our plans to procure new frameworks, and give you ample time to prepare the Notices. We’ll do this via email and new posts on our website.
- You won’t need to ask for nominations as we’ll procure the framework through Find A Tender Service. Therefore the procedure will be compliant under Schedule 2 of the Service Charges (Consultation Requirements) (England) Regulations 2003 (a Qualifying Long-Term Agreement where Public Notice if required).
- There is an example of the standard legal notice within the regulations which you can view here – The Service Charges (Consultation Requirements) (England) Regulations 2003 (legislation.gov.uk)
- The Notice will need to include the following information:
- What is included in the framework – we’ll write to you with this information beforehand. Details on our upcoming frameworks can also be found here – New Frameworks Available Now/Out Soon – SEC (southeastconsortium.org.uk)
- Why your organisation may use the framework to procure future contracts.
- You’re able to add your own covering letter to leaseholders to go alongside the legal notice.
Stage 2 – Issuing your Notice of Proposals
- We will add our framework tender report for each of our frameworks to our website. This will include information on who has been appointed and how.
- Then, when you use the framework to procure your contract in the future, you can use our tender report to complete your Notice of Proposals. There will not be any known costs for your individual leaseholders at this point as the framework costs are usually based on Schedule of Rates. If any leaseholder wants to know the framework rates, we can provide the top ranked provider’s rates to you.
- Once you have used the framework to mini-tender your project requirements, you can then let your leaseholders know the costs. You can consult under a single notice – Schedule 3 can be used for Qualifying Works (a call-off contract of less than 12 months), or a third notice under Schedule 2 (Notice of Landlords Estimates) can be used for a call-off contract that lasts over 12 months.
If you’d like to speak to us about the process in more detail, please get in touch. We’re here and happy to help.