What’s in a ~500 page contract between the Police and Crime Commissioner for Merseyside and CRG for a private company to provide detained persons and officers healthcare and medical services?

What’s in a ~500 page contract between the Police and Crime Commissioner for Merseyside and CRG for a private company to provide detained persons and officers healthcare and medical services?

What’s in a ~500 page contract between the Police and Crime Commissioner for Merseyside and CRG for a private company to provide detained persons and officers healthcare and medical services?

                                

I have a big red box file in my office.

What’s in the box you may ask?

Here’s a sample.

letter Police Crime Commissioner for Merseyside citizen audit 2015-16 page 1 of 2
letter Police Crime Commissioner for Merseyside citizen audit 2015-16 page 1 of 2
letter Police Crime Commissioner for Merseyside citizen audit 2015-16 page 2 of 2
letter Police Crime Commissioner for Merseyside citizen audit 2015-16 page 2 of 2

Well it’s the result of my citizen audit of the Police and Crime Commissioner for Merseyside for the financial year 2015-16.

Just to show how long I’ve been a journalist for, you will find on this blog reports of public meetings of the Merseyside Police Authority. A few years ago the coalition government abolished the Merseyside Police Authority and replaced it with the Office of the Police and Crime Commissioner for Merseyside.

In the box are copies of 49 invoices and details of 10 contracts.

The largest contract at ~500 pages is a contract between the Police and Crime Commissioner and Castlerock Recruitment Group LTD t/a CRG for the “Provision of Forensic Medical and Healthcare Services for the period, 21st January 2015 – 20th January 2017 with an option to extend by a further 2 years.“ which is reference PCCM / PD / 026 – Bluelight ref. 9KBD-BXVLMV .

This is perhaps the most interesting document although like many of the documents is redacted in part.

There’s also a service level agreement with Knowsley Metropolitan Borough Council and a secondment agreement with Liverpool City Council.

Some of the redactions were later challenged by myself and the Office of the Police and Crime Commissioner agreed with me that they didn’t have a legal basis to do so and released further information.

It is somewhat strange however that myself a journalist seems to have a better knowledge (from a legal perspective) over what can be redacted than the Office of the Police and Crime Commissioner. However I shouldn’t be too harsh on the OPCC for Merseyside as legal advice is a matter contracted under a SLA out to Knowsley Council (but don’t get me started on Knowsley Council and flawed legal advice!)

However the public sector as a whole has a tendency to for want of an expression take the mickey with me over redactions.

Although thankfully I rarely have to involve the judiciary in such matters.

Anyway going back to the large contract, due to its size from a time element it would take some considerable time to scan in, resize, compress and publish on the blog.

Those of a more political bent, may point out that in the public sector paying a private company for medical and healthcare services, that this falls into the political arguments over whether public services should be provided by the public sector. If provided by the private sector, ultimately less is spent on the service as a proportion ends up in profit (and presumably a different amount in taxes). For example 20% of all the money spent on CRG goes on VAT.

However, from CRG‘s last published accounts for 2015-16, they have a turnover of £34.3 million with a gross profit of 23.1%.

So out of £100 spent by the public sector with CRG, I estimate £16.69 will go on VAT, £23.10 on profit, leaving ~£60 out of every £100 on providing a service.

The contract is signed by Jane Kennedy (the Police and Crime Commissioner for Merseyside) and Laura Hale (a director of Castlerock Recruitment Group Limited).

Moving on to the Pre-Qualification Questionnaire it states that it’s for the provision of forensic and healthcare services (excluding SARCS).

SARC refers to Sexual Assault Referral Centre.

It explains that police forces and NHS Local Area Teams are working towards the transfer of commissioning responsibility for healthcare in police custody from the Home Office to the Department of Health and that the work of these Police/NHS Partnerships sits within the National Police Transition Programme.

If this happens during the life of the contract it is anticipated that the commissioning authority changes from Merseyside Police to the NHS England Lancashire Area Team and the contract will be novated.

However police forces and the NHS share contract governance, even after this change. This is done through the Strategic Healthcare Joint Partnership Board, at the time chaired by Chief Superintendant Carl Krueger, with representatives from NHS England Lancashire Area Team and NHS England (Merseyside).

PCC in the contract refers to the Police and Crime Commissioner for Merseyside.

The background explains that Merseyside Police was formed in 1974, serves a population of ~1.5 million people, covering an area of 647 sq km and five Metropolitan Borough Areas (Liverpool, Sefton, Knowsley, St Helens and Wirral).

It then describes the BCUs (Basic Command Units) in operation at the time, which was one for each borough except Liverpool split into two.

The contract refers to the three universities, two premiership football teams (Tranmere Rovers doesn’t get a mention or maybe its fans are better behaved), a rugby league team and two major racecourses. It states that in 2013, Liverpool received 57 million visitors to the region (referring to tourism). At the time of writing Merseyside Police employed over 6,000 people (*although technically police officers aren’t employees but officers of the Crown) ranging from police officers, PCSOs, support staff, Special Constabulary Officers and volunteers).

The custody suites are listed as follows (five in total) with 131 cells. There are also two mothballed custody suites which can be opened for pre-planned events and operations (which is an extra 32 cells).

Here is the list in the following format
location – BCU – Cells – Current operation

St Anne Street – Liverpool – 33 – 24/7
Wavertree – Liverpool – 20 – 24/7
Copy Lane – Sefton – 24 – 24/7
Wirral – 32 – 24/7
St Helens – 22 – 24/7 (Mothballing or reduced opening hours are currently being considered for this suite)
Southport – 12 – Mothballed
Belle Vale – South Liverpool – Mothballed

The contract states that services at the time of the contract award were provided by Medacs Healthcare (contact details Helen Kelly (Director of Managed Healthcare)) and that staff employed by Medacs may need to be TUPEd over to the new provider.

There is a list of how many detainees there are for each month from April 2013-14, how many calls there were for a healthcare professional, along with a percentage of HCP calls vs No of detainees.

The total number of detainees varies from 3,510 in April to 3,927 in July. The number of HCP calls varies from 1,698 in March to 2,217 in July. The percentage varies from 46.3% in March to 56.5% in July.

There is then a table for December 2013 of various categories of call out, split by custody suite location with totals.

For example one of the categories, category 6 is Death (All) of which there were 4 in December 2013. This is 4 out of a total of 2,011 calls for a healthcare professional.

The six major categories (all with totals over 100 call outs in that month across Merseyside) in order of calls were:

Injuries (All) – inc Officer Injury,
Fitness to – Detain, Interview, Release, Court, Travel etc,
Medication Administer / Review,
Drink / Drug Withdrawl,
Reassessment / Mental Health Reassessment,
Detainee’s Request / Complaint against police

There were also 27 listed as Taser Removal / self harm / suicide risk.

Below are the first pages of the contract that I’m referring to. Are people interested in the rest or is police officer healthcare and detained persons’ healthcare an issue you assumed was provided by the NHS?

Just to be clear, these pages are published relating to rights in the Re-Use of Public Sector Information Regulations 2015, Accounts and Audit Regulations 2015, Data Protection Act 1998 and Local Audit and Accountability Act 2014.

contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 1
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 1
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 2
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 2
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 3
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 3
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 4
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 4
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 5
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 5
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 6
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 6
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 7
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 7
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 8
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 8
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 9
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 9
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 10
contract Police and Crime Commissioner for Merseyside and Castlerock Recruitment Group LTD t a CRG 10

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Why did the Office of the Police and Crime Commissioner for Merseyside spend “up to £16,474” on an “austerity” review with Liverpool John Moores University?

Why did the Office of the Police and Crime Commissioner for Merseyside spend “up to £16,474” on an “austerity” review with Liverpool John Moores University?

Why did the Office of the Police and Crime Commissioner for Merseyside spend “up to £16,474” on an “austerity” review with Liverpool John Moores University?

Jane Kennedy (left), the current Police and Crime Commissioner for Merseyside and Labour Party candidate in the 2016 elections for a Police and Crime Commissioner for Merseyside at a public meeting of the Police and Fire Collaboration Committee (2015)
Jane Kennedy (left), the current Police and Crime Commissioner for Merseyside and Labour Party candidate in the 2016 elections for a Police and Crime Commissioner for Merseyside at a public meeting of the Police and Fire Collaboration Committee (2015)

The author of this piece was briefly employed by Liverpool John Moores University on work experience in February 1997 (although this was 15 years before Police and Crime Commissioners existed). However in the interests of transparency I’m declaring it as an interest.

The recently reelected Jane Kennedy (Police and Crime Commissioner for Merseyside) who is pictured above to the left of the photo has often spoken in public about her views on the Merseyside Police budget, the funding of the Merseyside Police and has even referred to her “sleepless nights” worrying about it all.

The Office of the Police and Crime Commissioner for Merseyside spent up to £16,474 (see the purchase order below) with Liverpool John Moores University to “commission a scoping review of the scale, dimensions and implications of austerity on community safety, crime prevention and diversionary services within Merseyside.”

Office of the Police and Crime Commissioner for Merseyside purchase order 20th October 2015 Liverpool John Moores University up to £16474
Office of the Police and Crime Commissioner for Merseyside purchase order 20th October 2015 Liverpool John Moores University up to £16474

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Why is Wirral Council being charged £49,047.35 a month for VAT on school meals by Edsential Community Interest Company?

Why is Wirral Council being charged £49,047.35 a month for VAT on school meals by Edsential Community Interest Company?

Why is Wirral Council being charged £49,047.35 a month for VAT on school meals by Edsential Community Interest Company?

                                                   

Wirral West Constituency Committee 30th June 2016 Left Cllr Jeff Green Chair Right David Armstrong Assistant Chief Executive
David Armstrong (right) Assistant Chief Executive (a company director of Edsential Community Interest Company) at a recent meeting of the Wirral West Constituency Committee (30th June 2016)

Updated 15#47;8#47;16 following responses by Edsential and Wirral Council

Below is an invoice from Edsential Community Interest Company to Wirral Council for school meals in December 2015 and operation charges from December 2015 to March 2016.

Edsential invoice to Wirral Borough Council 2nd January 2016 Wirral Schools meals and operation charges £404084.10
Edsential invoice to Wirral Borough Council 2nd January 2016 Wirral Schools meals and operation charges £404084.10

I’m puzzled as to why the school meals element for £245,236.75 attracts VAT at 20%, when Her Majesty’s Revenue and Custom’s guidance note on VAT on school meals would seem to (at least by my reading) state that school meals (apart from those to staff and visitors) are exempt from VAT.

Therefore I’m puzzled why this element of the bill attracts VAT of £49,047.35, when surely the amount should be different than this (if it was just for staff and visitor meals)?

However Wirral Council’s paid the VAT on the school meals charge from Edsential. This is per a month (and some of December no school meals will be served because of the Christmas holidays), so over the year it means the VAT could be a few hundred thousand?

This is well below the level of materiality or triviality which is why it probably doesn’t get picked up routinely, after all Edsential is a relatively new arrangement.

But when the taxpayer is funding free school meals, what’s the correct tax situation?

Both Wirral Council and Edsential have been in touch since this article was written and their responses are below.

Wirral Council reclaim the VAT back from HMRC and state that no VAT is charged to pupils for school meals, Edsential claim the VAT they charge Wirral Council is correct.

Updated 13/8/16 A reader, h/t to Nigel Draper points out this explanation about how VAT on school catering works from a different local authority.

Updated: 12/8/16 some replies on Twitter state that if Wirral Council was providing these services to schools then the catering services would be exempt from VAT, however the issue of whether schools are exempt from paying VAT on catering services are in related to a limited company owned by two local councils rather than the Wirral Council itself.

Updated 15/8/16:

Ian McGrady (Managing Director) of Edsential has responded with, “As a matter of policy we do not comment on commercially confidential relationships with our customers. However, I can confirm that our management of VAT complies with all HMRC guidance appropriate to our status as a Community Interest Company.”

Peter Molyneux of Wirral Council confirmed that when Metro Catering (an arm of Wirral Council) were providing a school meals service then VAT was not chargeable. Now Wirral Council contract with Edsential, Edsential charge Wirral Council VAT which Wirral Council then claim back from HMRC.

So Wirral Council do pay the VAT, but then claim it back on their monthly VAT return.

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What is in 13 Merseytravel/Liverpool City Region Combined Authority contracts and hundreds of pages of invoices relating to the 15/16 financial year?

What is in 13 Merseytravel/Liverpool City Region Combined Authority contracts and hundreds of pages of invoices relating to the 15/16 financial year?

What is in 13 Merseytravel/Liverpool City Region Combined Authority contracts and hundreds of pages of invoices relating to the 15/16 financial year?

Councillor Steve Foulkes (Labour) (right) speaking at a recent meeting of the Birkenhead Constituency Committee (28th July 2016) while Councillor Pat Cleary (Green) (left) listens
Councillor Steve Foulkes (Labour) (right) speaking at a recent meeting of the Birkenhead Constituency Committee (28th July 2016) | Councillor Pat Cleary (Green) (left) listens. Cllr Steve Foulkes is Merseytravel’s Lead Councillor for Finance and Strategy.

Merseytravel and the Liverpool City Region Combined Authority were the last public body to respond to my request to inspect and receive copies during the 30 working day period which was originally supposed to run starting on the 1st July 2016.

Interestingly the public notice for Merseytravel published on their website and the public notice for Liverpool City Region Combined Authority published on Merseytravel’s website, a Julie Watling (Merseytravel) stated in response to a FOI request on the 8th August 2016, that “This notice is not unfortunately on our website at this present time.”.

This was interesting as the 30 working day period isn’t allowed to start until the public notice is published!

However the FOI request went to an internal review and Julie Watling of Merseytravel responded on the 11th August stating that, “However I had been mistakenly informed that the information was not on the website, when in fact it was available at the following links:-”

Merseytravel public notice 15/16 FY

Liverpool City Region Combined Authority public notice 15/16 FY

But then, is it reasonable to expect an organisation to know what’s published on its own website and to answer Freedom of Information Act requests accurately or am I asking too much?

Which is the correct answer?

However the information (or to be more accurate part of the information) I requested arrived in the post yesterday (postage around £6.20 as it was special delivery guaranteed by 1pm) with a covering letter from a trainee solicitor and DVD.

Below is what was on the DVD. I did get a further email yesterday with a contract that had been mistakenly left off the DVD too.

Although the internal review clears up the issue about the public notice on Merseytravel’s website, for the Liverpool City Region Combined Authority it should’ve been published on the Liverpool City Region Combined Authority’s website, not Merseytravel’s.

So part of my objection I sent to the auditors yesterday still stands.

The invoices are split by the thirteen accounting periods that Merseytravel used during the 2015 2016 financial year, although why spoil the surprise when you can read for yourself below?

There are some interesting matters to be gleaned from the invoices and contracts, however I don’t have the time at present to blog about them in detail.

Invoices 2015 to 2016 financial year (Merseytravel and Liverpool City Region Combined Authority).

11.3 MARCH3-810124407-0001 Merseytravel LCRCA invoices 2016

11.2 MARCH2-810124324-0001 Merseytravel LCRCA invoices 2016

11.1 MARCH1-810124215-0001 Merseytravel LCRCA invoices 2016

10 FEBRUARY-809164910-0001 Merseytravel LCRCA invoices 2016

9 JANUARY-809164746-0001 Merseytravel LCRCA invoices 2016

8 DECEMBER-809164624-0001 Merseytravel LCRCA invoices 2015 2016

7 NOVEMBER-809164505-0001 Merseytravel LCRCA invoices 2015

6 OCTOBER-809164348-0001 Merseytravel LCRCA invoices 2015

5 AUGUST-810123950-0001 Merseytravel LCRCA invoices 2015

4 JULY-809164206-0001 Merseytravel LCRCA invoices 2015

3 JUNE-809164104-0001 Merseytravel LCRCA invoices 2015

2 MAY-809164000-0001 Merseytravel LCRCA invoices 2015

1 APRIL-809162613-0001 Merseytravel LCRCA invoices 2015

Contracts

1 contract with BLACC Consulting LLP (50 pages)

2 contract with Arriva Merseyside Ltd (14 pages)

3.1 Subsidised Bus Service Contracts (42 pages)

3.2 Subsidised Bus Service Contracts (148 pages)

4. Rolling Stock Project Engineering Consultancy Service Agreement Halcrow Group Limited (38 pages)

5. contract with Bircham Dyson Bell LLP (15 pages)

6. Deed to confirm the Consolidated Concession Agreement relating to the services for the carriage of passengers by railway to be provided by Merseyrail Electrics 2002 Limited (348 pages) (this was an additional contract not originally on the DVD received by email from Merseytravel on the afternoon of Thursday 11th August 2016)

7. TOC Related Services for the Design, Supply and Installation of Passenger Improvements at various Stations as part of the National Stations Improvement Programme (Merseyrail Electrics 2002 Limited) (25 pages)

8. Local Growth Fund (LGF) for Liverpool City Region Sustainable Transport Enhancement Package (Wirral Metropolitan Borough Council) (62 pages)

9. Funding Agreement for Liverpool South Parkway Real Time Information (Merseyrail Electrics 2002 Limited) (26 pages)

10. Merseytravel Consultancy Services Framework Agreement 2015-2019 For Consultancy Services (Various Lots) Kenyon Fraser Ltd (68 pages)

11. Framework Agreement for Consultancy Services for the Design of Travel Marketing Literature Kenyon Fraser Ltd (80 pages)

12. Lease for Mann Island HQ, Liverpool with Commerz Real Investmentgesellschaft mbH (acting on account of its open-ended fund Hausinvest) (74 pages)

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Why am I objecting to Wirral Council’s draft statement of accounts for the 2015/16 financial year?

Why am I objecting to Wirral Council’s draft statement of accounts for the 2015/16 financial year?

Why am I objecting to Wirral Council’s draft statement of accounts for the 2015/16 financial year?

                                       

Tom Sault (Acting Section 151 Officer) Wirral Council at the Audit and Risk Management Committee on the 13th June 2016
Tom Sault (Acting Section 151 Officer) Wirral Council at the Audit and Risk Management Committee on the 13th June 2016

Below is a copy of the public notice that Wirral Council has published on its website here about the period from 1st July 2016 to the 11st August 2016 when “interested persons” (which includes local government electors in the Wirral area, organisations that pay business rates in the Wirral area and those representing local government electors in the Wirral area) can inspect (amongst other things) invoices and contracts relating to the 2015/16 financial year.
Continue reading “Why am I objecting to Wirral Council’s draft statement of accounts for the 2015/16 financial year?”