Provision of VMware and vSphere Licensing - DIRECT AWARD

Description

THIS IS A NOTICE OF AWARD FOLLOWING A PROCUREMENT EXEMPTION FOR BELOW THRESHOLD CONTRACTS UNDER TOGETHER HOUSING FINANCIAL REGULATIONS. THIS IS NOT A CALL FOR COMPETITION. 

Together Housing has directly awarded a 12-month contract to Softcat PLC, for the provision of VMWare and vSphere licensing, following the receipt of no suitable bids in a procurement exercise conducted from December 2023 - January 2024 for this provision. 

Such procurement exercise was originally conducted through Lot 3 of the RM6098 Framework from CCS. 

Such direct award has been undertaken due to "No Suitable Tenders" having been received during the procurement process, arising from significant discrepancy between planned budgeted spend and commercial pricing within tender responses received. 

Under Together Housing Financial Regulations, a Procurement Exemption for Below-Threshold Contracts may be granted in certain exceptional circumstances. In this instance and arising from the receipt of unsuitable tender responses, such exemption has been granted on the basis that: 

a) Service Continuity is a requirement to support continued THG Digital Operations 
b) The bids received through the competitive procurement exercise, if accepted, would have constituted a significant financial risk and lack of VFM for Together Housing
c) The conducting of such a direct award mirrors the justification principles set out in Regulation 32.2(a), though this contract is a below threshold contract. 
d) The Exemption has been granted for a 12-month only contract, rather than the initially planned 4 year term. 

As Together Housing approaches the close of the 12-month contract, the organisation will conduct a further procurement exercise for this provision (which may be for the replacement of licensing or of the product itself, subject to the strategic decision of Together Housing at the time it begins to shape its procurement plans for this provision)