Issue - meetings

Report ES17002

Executive approval was sought to commence a tendering process in April 2017 for a range of environmental services with contracts starting on

1st April 2019. A number of key environmental service contracts had been aligned to expire in March 2019 and the proposed procurement strategy reflected outcomes from a series of service reviews, soft market testing, and the Environmental Services Contract Programme Board (including input from the Committee’s Working Group).

Lots 1-4 (Environmental Services) would be procured through Competitive Procedure with Negotiation. Used for complex contracts, the approach would drive innovation and add value through negotiation. Lots 5-7 (Arboriculture Maintenance and Highways Management) would be procured through a more traditional Restricted Procedure with a 15-month period between January 2018 and March 2019 considered sufficient for procurement.

Services could be provided by several individual contractors, a joint venture, consortium, or a single main contractor (who might sub-contract). For Lots 1-4 (and services placed in conjunction with them as part of the negotiated process), it was proposed to tender the contracts for an initial eight year period (01.04.19 to 31.03.27) with an eight year extension option (01.04.27 to 31.03.35) following a best value review in 2024/25. Lots 5 to 7 would be tendered for eight years only, unless tendered in combination with Lots 1 to 4.

The contracts would be tendered on the existing methodology and an outcome-based service, as this could give greater opportunity for services to be arranged more flexibly and innovatively whilst delivering value for money for the residents of the borough. Client management would focus on monitoring Key Performance Indicators to measure outcomes and take corrective action as appropriate.

Measures to mitigate risks were outlined in Report ES17002as were a number of principles to achieve best value and sustainable contracts economically, socially and environmentally, the principles including:

·  innovative approaches to service provision;

·  a shared approach to risk and reward;

·  use of proven ‘smart’ technologies for service delivery and monitoring;

·  improved environmental performance and local environmental quality;

·  low carbon solutions and contributing to increased environmental resilience;

·  improved service performance and reduced levels of complaint; and

·  contributing to the circular / sustainable economy.

Action was also being taken to assess the condition of the Council depots, their future use, and any investment requirements. Service requirements would feed into a Depots Options Appraisal process by Cushman and Wakefield designed to clarify depot space requirement. A survey was also necessary to agree the state of the Depots prior to contract commencement - the depots needing to be returned to the Council in a similar, or better, condition on contract expiry. The work would inform any improvement plans required to ensure the depots are fit-for-future-purpose. Should depot improvements be required, the cost would either be met directly by the Council or amortised over the contract term through contract payments.

It was necessary for target dates in the procurement strategy to be met. Although small and/or local service providers might find it difficult to tender given the scale and nature  ...  view the full minutes text for item 51