Auditors have raised a red flag over whether taxpayers are getting value for money as Bristol City Council is failing to monitor deals with contractors. The council has more than 4,000 contracts for goods and services on its books.
These range from a few hundred quid to many millions of pounds. Internal auditors gave “limited assurance” about how these are monitored, due to problems with how they are incorrectly recorded, if at all. Meanwhile hundreds of out-of-date contracts remain on the record.
Two separate computer systems are used to tender for contracts and then to monitor and manage them, described as “not helpful” and “not a good idea”. An update on the concerns was given to councillors on the audit committee on January 28.
One council officer said: “Having a complete and accurate record is fundamental for controlling, understanding and managing the council’s contracts. There is an incomplete dataset and there are wider consequences, in terms of timely planning for contract renewals and retendering.”
Tim O’Gara, director of legal and democratic services, added: “I’m happy to give the assurance that I don’t think we’ve broken the law in respect of the management of these contracts.”
Contractors carry out a range of work for the council, from fixing broken bridges to providing care for elderly and disabled people. There have long been wider concerns about over-running repair projects and Bristol “paying over the odds” for social care.
Auditors tested a sample of 10 contracts and found gaps in compliance processes. One contract was not signed by the council, while a second had no evidence of checks on due diligence or financial viability. Two contracts lacked any key performance indicators, and six contracts had no risk classification assigned.
The council does have software, called Proactis, to manage its contracts. However this isn’t “actively used” by the staff who are responsible for managing contracts. Further training is now being planned to address the issues.