Agenda item

Procurement of new waste collection service

This report seeks to agree the new service specification and approval to procure the new waste collection service. This follows the adoption of the council’s new Waste Management Strategy in July 2021 and the subsequent Cabinet decision to adopt a new waste collection model in November 2021.

Minutes:

The cabinet member commissioning, procurement and assets introduced the report. She thanked officers for their work on this and previous reports and also thanked the current waste contractor and their operatives for their work, particularly during the pandemic. The cabinet member summarised the proposals in the report and drew attention to the planned changes from the current collection system.

 

The interim delivery director waste transformation & wetland project explained the background to the report including the consultation process that had taken place and how the council had responded to the concerns raised on collection from flats, dealing with nappies, promoting re-use and repair of items and educating residents on recycling.

 

An extension to the current contract was proposed to allow sufficient time for vehicle procurement timelines and to ensure an effective mobilisation of the new contract. Officers were recommending that the contractor be expected to procure the vehicles and were confident the procurement would attract a number of bidders.

 

The deputy monitoring officer explained that the appendix to the report, containing the latest draft of the council’s requirements for the contract, was exempt from publication as these details needed to remain confidential until the procurement commenced.

 

Cabinet members discussed the report and it was noted that:

·       The extension of the current contract would allow appropriate time to finalise the specification with the bidders and ensure the council was getting the best possible contract, the council would be open to innovative proposals from bidders and would need time to work through these;

·       The provision of finance for the contractor to procure vehicles had been carefully considered and the Section 151 officer was satisfied this would be part of the evaluation and conversation with the successful contractor to find a mutually beneficial approach, it was intended that the contractor would own the vehicles it procured;

·       Funding for the ‘getting it right’ campaign had been identified in previous decisions and this would pay for itself in improved recycling income;

·       Alternative fuels for vehicles would be considered in discussion with the bidders, taking account of the size and rurality of the county and emerging technologies;

·       It was important the contract was flexible to adapt to future changes;

·       Assumptions on the financing of the contract were being built into the update of the medium term financial strategy and the council would undertake due diligence checks to ensure that the projected model would work.

 

Group leaders and representatives gave the views and comments of their respective groups. In response to queries it was noted that:

·       It was important to communicate the changes and ways of reusing and recycling to residents and also the benefits of increased recycling;

·       Methods of communication would be clear and simple, and an equality impact assessment would identify groups needing different approaches;

·       There would be an impact on the volume of waste going to the energy from waste plant. Officers confirmed this had been considered, was priced in to the figures for the waste disposal contract and would be offset by increased income from recycling;

·       There were insufficient facilities in the county to deal with the food waste collection so this would need to be sent elsewhere, the council would look for disposal as close to the county as possible;

·       The top priority was to prevent waste in the first place, then to increase re-use and recycling;

·       The council was taking steps to endure that recycling took place as close to the county as possible;

·       Further briefings for councillors could be held to discuss the proposed specification;

·       Part of the council’s role was to influence change and encourage waste producers to adapt and embrace new opportunities, waste needed to be seen as a resource to be used.

 

It was unanimously resolved that:

 

a)    Cabinet approve the commencement of a competitive procurement process as required and as outlined in this report to procure the future service;

b)    Cabinet approve the inclusion and procurement of a separate cargo bike food waste collection service in the central Hereford City area;

c)    Authority is delegated to the Director of Resources and Assurance in consultation with Corporate Director Economy and Environment to approve the finalised draft service specification, and to take all operational decisions to award and mobilise the new collection contract subject to a successful procurement process;

d)    Authority is delegated to the Director of Resources and Assurance and the Corporate Director Economy and Environment following consultation with the Cabinet Member for Assets to negotiate an extension to the existing waste collection contract with FCC Environment until 3 June 2024, subject to securing Value for Money, in order to mitigate the risk of vehicle procurement lead times and to ensure an effective mobilisation period for the new waste collection service; and

e)    To delegate to the Section 151 Officer, in consultation with the Corporate Director Economy and Environment authority to take all necessary steps to commence reprocuring the Waste Disposal Contract in the event that the due diligence process is incomplete or the due diligence process produces an unsatisfactory value for money outcome and to bring a further report to Cabinet in the event that is necessary.

Supporting documents: