Papers to follow.

Cabinet members considered a report that seeks to update on the procurement of 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.

The Cabinet member for Community Services and Assets introduced the report, the principal points were raised.

That the current contract expires on 31 August 2024 and £8m was set out in the Medium Term Financial Strategy (MTFS) for the new service. 

The new contract is due to start 1 September 2024 and since the procurement process commenced there have been significant cost escalations and new burdens to deliver the requirements within the Environment Act.

Highlighted that the report seeks to continue procurement for a new waste collection contract under the existing collection model to enable the phased introduction of the new waste collection service.  This enables the Council to award a new contract and future proof the same. 

Cabinet members discussed the report and it was noted that:

The current service is very good, there is 1% to landfill and that waste goes to an energy/waste plant.  Recycling could be increased but a phased approach is required. 

Noted other waste scheme are running such as repair cafes, reusable nappy schemes and recycling for flats.

Group leaders gave the views of their groups. It was positively noted that the administration remained committed to the long term vision for the new recycling and waste collection model.  The phased implementation was noted as positive and the best way forward.  Whilst disappointment was expressed that the weekly food waste cannot be implemented straight away, it was acknowledged this was due to the change in the amount of financial support from central government alongside disappointment that the Environment Act is delayed.  It was queried how recycling rates can be increased in the interim however it was highlighted that Herefordshire recycling rates are lower as the rates don’t reflect green waste.  Noted that clarity is needed regarding costs of purchasing the new refuse vehicles, if green waste collection will be included in the recycling figures from contractors and how the Council can maximise recyclability of business waste. 

 In response to queries it was noted that:

• Recycling rates are a movable feast.  Green waste collection would improve Herefordshire rates.  

·        The procurement process has been designed to provide the standard service and allow transition to the new service.  Therefore some of the new vehicle fleet would come into effect now and when the additional aspects of the waste collection service start, the next phase of vehicles would come forward.  It has been designed so the vehicle fleet will accommodate that.  

·        To support recycling rates for businesses, the commercial service is offered and if there are concerns regarding their waste and the contracts support is offered.  It would be appropriate to have a more detailed discussion outside of this meeting. 

·        Confirmed there is no indication when the Environment Act will be implemented

It was unanimously resolved that;

a)     Cabinet approves the delivery of the Waste Management Strategy objectives and environmental improvements, by continuing the procurement process for the provision of a waste collection service under the existing collection model, within the proposed 2024/25 annual revenue budget, for an initial term of 8 years, including options to extend by up to a further 12 years (following budget approval);

b)     Cabinet approves a phased implementation of the new collection model and that the procurement process should include a mechanism within the contract to enable the services to transition to: i. a three weekly, twin stream recycling service, ii. introduce a weekly food waste collection service and: iii. introduce a non-mandatory, seasonable, two weekly, chargeable garden waste service;

c)     Cabinet confirms that the remaining aspects of the future collection service, as set out in b), are introduced at the appropriate time, subject to funding, legal responsibilities and approved business case(s);

d)     Approval to spend up to £12.29m to purchase the new waste collection fleet, in consultation with the Director of Resources and Assurance;

e)     Delegate all operational decisions in order to implement the above recommendations to the Corporate Director for Economy and Environment, in consultation with the Director of Resources and Assurance;

f)       Delegates, to the Corporate Director for Economy and Environment, in consultation with the Director of Resources and Assurance the authority to negotiate and enter into a deed of variation to the Waste Disposal contract to accommodate the above recommendations as required; and

g)     The decision to award the contract to the successful bidder will be subject to a final decision of Cabinet