Agenda item

            The Director of Finance and Resources submitted the undernoted report:

“1          Relevant Background Information

1.1       The purpose of this report is to update Members on a number of ICT improvement and VFM projects.

2          Key Issues

            Mobile Phones

2.1       Currently Belfast City Council has 2 mobile telephone suppliers. In order to select one corporate supplier for mobile phones a mini competition was held within the OGC (Office of Government Commerce) framework. A specification and costing model based on one month of typical mobile phone usage was developed and sent to the 4 suppliers on the OGC list.  All 4 suppliers were then given an opportunity to personally present and discuss the merits of their submissions. The 4 suppliers were BT, Vodafone, Orange and O2.

2.2       As a result of a detailed evaluation Vodafone is the recommended supplier. If agreed the new contract will offer a fixed rate line rental that also covers all voice and text usage. This means there will be no charges for phone calls and text messages as long as usage remains within 15% of current volumes.

2.3       The move to the new contract will begin in February, current Vodafone users (90%) will be automatically transferred to the new contract. The remaining mobile phone users will be assisted by ISB with the transfer process. This will involve replacing the current mobile phone Sim card and transferring the user’s number.

2.4       There will be an estimated £30,000 reduction in overall mobile phone costs.

            Landline Telephony

2.5       The Council’s land line telecoms services are currently provided by three suppliers, BT, Virgin Media and Cable & Wireless. Virgin Media provide telephony services to the City Hall and Cecil Ward Building, Cable & Wireless provide a small proportion of services at ISB and BT is responsible for the remaining telephony services.

2.6       As part of the Council’s agreed efficiency programme, telecoms experts Entel have carried out an analysis of telecommunications services provided to the council, with a view to identifying cost reduction opportunities. They have recommended that the Council should move to one single supplier with savings being in excess of £31,000 a year. The movement of telephony services to one supplier will not require changes to telecoms infrastructure.

2.7       It is recommended that the Council procures a single telephony supplier. Entel have agreed to assist with the procurement exercise and the implementation of the new telephony contract. Payment for this work will be dependent on the level of cash savings achieved and will be compliant with the Council’s procurement rules.

            Public Wireless Access – City Hall

2.8       The Strategic Policy and Resources Committee agreed at its meeting on 23 September 2011 that a feasibility study on providing wireless public access in the City Hall and its grounds could be carried out. British Telecom was commissioned to carry out the study. The work has revealed that it would cost £30,000 to install a public wireless network covering the ground floor, the Banqueting Hall, Great Hall, Reception Hall, Council Chambers and the lawn at the front of the City Hall. The cost of the installation would be covered as part of the 2011/12 budget.

            Audit Management System

2.9       A key strand of the governance framework of the Council is the work delivered by the Audit, Governance and Risk service. Currently, Health and Safety Inspections, risk registers and audit recommendations are all managed through a manual system. There is an urgent need to automate these key governance processes in order to improve their efficiency and effectiveness. A business case has been presented to the Corporate Governance Team and Members are requested to agree to the Director of Finance & Resources proceeding to tender for the supply of an automated audit management system.  The agreement will be for a period of 3 years, with the option to extend for a further 2 years. It is estimated that the cost will be in the region of £50,000 which will be financed through a revenue contribution within the existing capital budget.

            Super-connected cities project

2.10     Fourteen cities across the UK have the chance to become super-connected cities.  In the Autumn Statement, the Chancellor George Osborne announced that up to 10 cities would share £100m and become super-connected with 80-100Mbps broadband access.

2.11     The four capitals – London, Edinburgh, Cardiff and Belfast – will benefit while the others will be chosen through a competition. 

2.12     On the 20th December details of those eligible to apply was published along with guidance for bidders.

2.13     As part of their proposal to access money from the £100m urban broadband fund, each city will have to bid.

2.14     The bidding cities will have to show how they will use super-connected status to drive growth with a particular focus on SMEs and strategic employment zones. Proposals will also need to include plans for city-wide high-speed mobile connectivity.

2.15     The first stage of the bidding process is to submit a high level proposal by 13 February 2012. The successful cities will be announced in the Budget in March.  The Government will then work with the successful cities to produce fully developed plans and the money allocated to each city will be announced in July.

2.16     Following discussion with DETI and Invest NI the bid for Belfast will be led by Belfast City Council. It is recommended that the Council prepares a high level proposal in line with the Investment Programme 2012-15 and because of the tight timeframes authority is delegated to the Chief Executive to prepare the initial high level proposal. If the initial bid is successful then Members, through the Strategic Policy and Resources Committee, will have the opportunity to shape the detailed plans which must be submitted by the June 2012.

3          Recommendations

3.1       Members are requested to note the contents of the report and agree:

(a)        To the awarding of the Council’s mobile phone contract to Vodafone;

(b)       To procure a single landline telephony supplier;

(c)        To submit an initial high level bid in line with the Council’s Investment Programme to the Urban Broadband Fund; and

(d)       To seek tenders for an audit management system using pre-determined evaluation criteria including quality and cost.  In addition, Committee approval is sought under the Scheme of Delegation for acceptance of successful tenders to be delegated to the Director of Finance & Resources.

3.2       Members are also requested to advise as to whether officers should proceed with the delivery of a public wireless network in the City Hall as outlined in paragraph 2.8 above.”

            In response to a Member’s question regarding the availability of the new mobile telephone contract to Elected Members, the Chief Executive stated that the new contract would be applicable to Councillors and that the overall estimated cost saving would permit those Members currently on other contracts to be compensated for any cancellation charges accruing to them for moving to the Council contract.

            After discussion, the Committee adopted the recommendations.