Call for probe into council tenders

A FORMER councillor has called for an investigation into the way Perth and Kinross Council offers tenders, alleging firms outwith the area are favoured. There has been a storm of controversy over the last week, with facts obtained under the freedom of information act revealing the the authority has not awarded a single tender for material to promote the area for two years.

Local companies also expressed displeasure over the changing of a deadline for those wishing to prepare a glossy publication ahead of the G8 Summit at Gleneagles. They claim that move was arranged by the council merely to accommodate a firm from the central belt. Former councillor Colin Rhind also believes the council is failing to practice what it preaches by on the one hand claiming to promote Perthshire and on the other handling out contracts to firms outwith the area.

Mr Rhind now owns a large business in Blairgowrie and is disappointed that in 27 years of operation, he has never been asked to tender for anything by the local authority. "My company Co-An operates from the Welton Road Industrial Estate in Blairgowrie." he said, "We produce a wide range of products (including, lighting, paper products, chemical cleaning goods, and aerosols) but have never once been asked to tender for Perth and Kinross Council contracts. "Other companies outwith the area that produce similar products have been asked to tender so why haven't we?" he continued.

"I do not feel as if local firms are being given a fair crack of the whip." Mr Rhind believes local companies at least deserve to be approached. "In 27 years we have never once been invited to tender but would be very keen to do so," he said.

"Local companies pay council tax, employ local people and put everything into Perthshire and yet seem to be getting nothing in return. I have brought this issue up in the past but nothing seems to be done." Mr Rhind insisted he knows of several firms who believe the situation is unfair. Although he appreciates that contracts will not always be granted he said it would be nice at least to be invited to tender.

When contacted by The Courier a council spokeswoman denied any impropriety and explained the nature of its tendering process. "In respect of all its activities, including contracting, the council has a statutory duty to secure best value for the community," she said.

"In seeking to achieve that, in a contractual context, the council in general will go through a competitive tendering process either by way of advertising or by going to a selected list of tenders. "There will always be a specification of what is required in terms of the contract and criteria setting out the basis on which the contract will be awarded, to ensure fairness to all parties," the spokeswoman continued.

"In larger contracts the council is bound by European Community rules which involve advertising throughout Europe and comply with their regime." "What the council cannot do and what would be regarded as best value - is to favour local contractors just because they are local," she said. "However, depending on the size or nature of the contract, the council will always consider whether best value can be obtained from from the local market.

"Between March 1, 2004 and March 1, 2005 the total value of payments made to suppliers and contractors by the council was £139 million," she continued "Over half of this total was paid to suppliers with PH, DD and KY postcodes, thereby injecting a significant sum into the local economy of Perth and Kinross, the wider Tayside area and Fife."

Original story from the Perthshire Courier 04/03/05 written by Dave Lord