Agenda item

(a)  That the Council commence procurement of the Environmental Services contract, Infrastructure contract and Professional Services contract, noting the Cabinet’s desire to keep open the option of a single contractor for all or multiple contracts.

(b)  That the Public Realm Strategy, attached at Appendix A to the report, and the completion of the commissioning process for the Environmental Services Contract be approved.

(c)  That the service budgets be brought together from 2016/17 following consultation with the relevant Commissioners.

(d)  That the Member Engagement Plan be circulated and that a further report be considered by the Cabinet at the next key milestone of the procurement process to finalise the shape and specification of the contract(s).

A report was considered that requested Cabinet approval to commence procurement of contracts for future service provision for waste collection, waste services, waste management, waste treatment, public realm (street cleaning and green estate), highways reactive works, highways and transport capital works and professional services.

It was proposed to procure three separate contracts for the services:

·  Environmental services contract covering most waste services and public realm, noting the public realm strategy at Appendix A to the report;

·  Infrastructure contract for highways engineering works and highways and transport capital works; and

·  Professional services contract for highways and transport.

The option of contracting with a single strategic partner had been considered by the Contract Re-provision Board, however after detailed analysis including feedback from the soft market testing set out in Appendix B to the report, it was recommended that three separate contracts be procured.  Approval was also sought to bring together all of the budgets for the services from 2016/17 under a single financial and strategic overview.

Commissioners asked a number of questions about the reasons for recommending three contract packages, the level of member engagement and work undertaken to learn lessons from previous major commission and procurements of other key Council services.  The principle reason for three contracts was that the market had clearly indicated that a single contract could impede competitiveness and innovation and minimise flexibility and efficiencies.

Commissioners noted the feedback from the market testing, however, it was felt that the considerable overlap between services across the contracts meant there were potentially significant service and financial benefits from working with a single provider.  It was therefore agreed not to preclude a single contractor for all services and requested that further consideration be given to the option of packaging contracts before agreeing the final specification.  Approval was given to proceed with procurement process in principle, however, in recognising the scale and importance of the procurement of these services, Commissioners felt that the report was not sufficiently clear about the specification and therefore agreed that relevant Commissioners would be consulted and a further report would be brought to Cabinet at the next key stage of the procurement to finalise the specification.  It was emphasised that it was critical to get the specification right at the outset of the contract and that if multiple providers were eventually successful than joined up ways of working must be found to deliver these important and highly visible services effectively.

The Public Realm Strategy was agreed and the aspiration as set out for Slough was welcomed.  The Assistant Director of Procurement and Commercial Services was asked to clarify what the Cabinet were being asked to agree in recommendation (b) in relation to approving the “…completion of the commissioning process for the Environmental Services Contract” and it was confirmed that Commissioners were being asked to acknowledge the internal work done to date by the Public Realm, Environment, Transport and Highways sub-commissioning group, which was duly noted.

It was agreed that the opportunities to deliver wider benefits through the contracts, such as apprenticeships, should also be maximised where possible.  The engagement with Members was discussed and it was agreed that the member engagement plan currently being developed would be circulated when it was available.

Resolved –

(a)  That the Council commence procurement of the Environmental Services contract, Infrastructure contract and Professional Services contract, noting the Cabinet’s desire to keep open the option of a single contractor for all or multiple contracts.

(b)  That the Public Realm Strategy, attached at Appendix A to the report, and the completion of the commissioning process for the Environmental Services Contract be approved.

(c)  That the service budgets be brought together from 2016/17 following consultation with the relevant Commissioners.

(d)  That the Member Engagement Plan be circulated and that a further report be considered by the Cabinet at the next key milestone of the procurement process to finalise the shape and specification of the contract(s).