Agenda item

Report ES18082

Executive approval was sought to award a contract for the provision of Waste Disposal (Lot 1), Waste Collection (Lot 2), Street Environment (Lot 3), and Parks Management & Grounds Maintenance (Lot 4). A Part 2 report provided further detail under exempt proceedings for the meeting.

The Part 1 report considered by Members was a replacement (final) report made available on 16^th November 2018 to replace the report version published with the agenda. It outlined the competitive tendering procedure -  the tender documents being published on 18^th January 2018 (under a negotiated procedure) with Supplier Shortlisting at the end of March and expressions of interest returned by mid-June 2018. An option was also included for providers to submit bids on a “variant” basis enabling options to be explored around changes to service provision if required, given the Council’s budget gap in future years. Comprehensive evaluation was undertaken from initial tender bids submitted in June 2018, based on 60% Finance and 40% Quality with outcomes then incorporated into a final evaluation and scoring process.

The Tender process was conducted in compliance with the Public Contracts Regulations 2015, as appropriate, for a Competitive Tender Procedure with Negotiation. As identified in the Contract OJEU Notice, the evaluation of submitted tenders, including Variant bids and any Negotiated proposals made, was completed in line with the Council’s standard tender evaluation procedure, which views financial and quality matters in line with its pre-tender estimate of value and its stated quality criteria. A minimum quality score was also incorporated into the evaluation process for quality matters, which also considered any additional value from bidding across several Lots.

Concerning one bid for each of Lots 2 and 3, no more than two or three bids were expected for the Waste Collection service given its specialist nature. Bids were also based on a lotting structure to attract smaller providers, although the market is limited for Lot 2. On value for money, discounts were offered and should the tender process not have taken place, contract extensions would have been necessary incurring significant costs. Additionally, tendering would still be necessary after any extension period and the number of bids would continue to be limited. It is also necessary for a provider to have the necessary infrastructure to manage waste; moreover, franchises with a provider having a regional approach can offer lower discounts  on rates e.g. for a recycling franchise.

For the Committee’s July meeting, it was not possible to disclose receipt of only a single bid for each of Lots 2 and 3. Officers first needed to undertake a thorough evaluation of the tender proposals. Information needed to be worked through the process to ensure that bids, and a recommended award, are robust. Until the evaluation is complete, details cannot be published.  

It was also confirmed that the Director of Finance is represented on the Management Board for the tendering process by the Head of Finance for Environment and Community Services and Corporate Services.

RESOLVED that the Part 1 report be noted with the Committee’s comments passed to the Executive for consideration.