Issue - meetings

This report outlines the tender process, the evaluation of the tenders received, and makes a recommendation to Cabinet in respect of the Waste Services contract.

·         Annex 1 – report of 5 March 2025

·         Annex 2 – Private in accordance with LGA 1972 - Sch 12A Paragraph 3 – Information relating to the financial or business affairs of any particular person (including the authority holding that information)

A comprehensive update was provided on the Borough Council’s procurement process for the South West Kent Waste Services Contract.  Members were reminded that the current contract for refuse, recycling and street cleansing was due to expire at the end of March 2027 and was being retendered on a partnership basis with Tunbridge Wells Borough Council.

The joint report of the Director of Street Scene, Leisure and Technical Services and the Head of Finance provided details of the tender process and an assessment of the tenders received.  As previously approved by Members, the tender was for a new contract of 12 years with an option to extend by up to two years subject to mutual agreement of all parties. 

The outcome of the evaluation process, including the quality and price scores of the submissions and the overall tender scores, was attached in a restricted Annex 2 due to the inclusion of exempt information relating to the financial or business affairs of any particular person, including the authority holding that information.

In light of the partnership with Tunbridge Wells Borough Council in the procurement for the future delivery of the waste services across both boroughs, due regard had been given to aligning the decision-making processes as closely as possible by both local authorities, seeking to ensure synchronised Council approvals to enable final appointment of the successful contractor.

Additionally, Members were advised that a further report would be presented for consideration of the potential options for financing of vehicles under the new contract and for other discretionary works, such as the cleansing of high speed roads.

Taking into consideration the final tender scores detailed in the restricted Annex 2, Cllr S Hudson (Chair) proposed, Cllr M Rhodes seconded and it was

RECOMMENDED*:  That

(1)          Contractor A, identified in the restricted Annex 2 to the report, be awarded the South West Kent Waste Services Contract as detailed in the report; and

(2)          a further report setting out proposals relating to the options for the financing of vehicles deployed on the Contract, costs relating to the cleansing of High Speed Roads, and costs associated with the cleansing of a number of Public Open Spaces, be presented to the next meeting of the Communities and Environment Scrutiny Select Committee for consideration.

*Recommended to Cabinet

Consideration of recommendations of the Communities and Environment Scrutiny Select Committee in respect of the Waste, Recycling and Street Cleansing Contract.

Consideration was given to the recommendations of the Communities and Environment Scrutiny Select Committee of 5 March 2025 in respect of a set of detailed specifications in relation to the procurement of the Borough Council’s Waste Services Contract in partnership with Tunbridge Wells Borough Council.

Cabinet had due regard to the view of the Scrutiny Select Committee, the financial and value for money considerations, risk assessment and legal implications.

Cllr M Coffin proposed, seconded by Cllr M Boughton and Cabinet

RESOLVED:  That

(1)          the Competitive Flexible Procedure procurement route and timeline as outlined in Section 5.1 of the report submitted to the Communities and Environment Scrutiny Select Committee of 5 March 2025, be agreed;

(2)          the proposed contract length of 12 years, as outlined in Section 5.2.1 of the aforementioned report, be agreed;

(3)          joint delegated authority be given to the Cabinet Member for Transformation and Infrastructure and the Director of Street Scene, Leisure and Technical Services to agree contract variations following dialogue and negotiation ahead of the contractors’ final bids, as outlined in Section 5.1.5 of the aforementioned report;

(4)          the proposed Specification amendment, highlighted in Section 5.3 of the aforementioned report, be agreed and reflected in the tender pack;

(5)          the proposed areas of dialogue, as highlighted in Section 5.4 of the aforementioned report, be agreed;

(6)          the proposed contract options, as highlighted in Section 5.5 of the aforementioned report, be agreed;

(7)          the approach to vehicle finance options, as highlighted in Section 5.6 of the aforementioned report, be determined by the Partner Authorities’ Finance lead officers and be reported to the appropriate Committee and Cabinet;

(8)          the proposed method of contract indexation, as highlighted in Section 5.7 of the aforementioned report, be agreed;

(9)          the proposed tender evaluation be progressed in accordance with Section 5.8 of the aforementioned report; and

(10)       the proposed approach to decarbonisation, as highlighted in Section 12.7 of the aforementioned report, be agreed.

(Decision Notice: D250034CAB)

Consideration was given to the recommendations of the Communities and Environment Scrutiny Select Committee of 5 March 2025 in respect of a set of detailed specifications in relation to the procurement of the Borough Council’s Waste Services Contract in partnership with Tunbridge Wells Borough Council.

Cabinet had due regard to the view of the Scrutiny Select Committee, the financial and value for money considerations, risk assessment and legal implications.

Cllr M Coffin proposed, seconded by Cllr M Boughton and Cabinet

RESOLVED:  That

(1)          the Competitive Flexible Procedure procurement route and timeline as outlined in Section 5.1 of the report submitted to the Communities and Environment Scrutiny Select Committee of 5 March 2025, be agreed;

(2)          the proposed contract length of 12 years, as outlined in Section 5.2.1 of the aforementioned report, be agreed;

(3)          joint delegated authority be given to the Cabinet Member for Transformation and Infrastructure and the Director of Street Scene, Leisure and Technical Services to agree contract variations following dialogue and negotiation ahead of the contractors’ final bids, as outlined in Section 5.1.5 of the aforementioned report;

(4)          the proposed Specification amendment, highlighted in Section 5.3 of the aforementioned report, be agreed and reflected in the tender pack;

(5)          the proposed areas of dialogue, as highlighted in Section 5.4 of the aforementioned report, be agreed;

(6)          the proposed contract options, as highlighted in Section 5.5 of the aforementioned report, be agreed;

(7)          the approach to vehicle finance options, as highlighted in Section 5.6 of the aforementioned report, be determined by the Partner Authorities’ Finance lead officers and be reported to the appropriate Committee and Cabinet;

(8)          the proposed method of contract indexation, as highlighted in Section 5.7 of the aforementioned report, be agreed;

(9)          the proposed tender evaluation be progressed in accordance with Section 5.8 of the aforementioned report; and

(10)       the proposed approach to decarbonisation, as highlighted in Section 12.7 of the aforementioned report, be agreed.

This report advises on, and seeks consideration of, the detail related to the procurement of the joint Waste, Recycling and Street Cleansing Contract.

Following approval of the strategic approach to the re-commissioning of the Borough Council’s Waste Services Contract in partnership with Tunbridge Wells Borough Council by Cabinet on 11 February 2025, consideration was given to a set of detailed specifications in relation to the procurement of the joint contract.

As highlighted in the report, when proposing future service provision, consideration had been given to current and pending government legislation, specially related to Simpler Recycling, Extended Producer Responsibility and the Deposit Return Scheme.

During discussion, Members made particular reference to the proposed contract duration, suspension of one collection of garden waste during Christmas period, improvement of street cleansing methodology as part of the areas identified for ‘dialogue’, inclusion of discretionary contract options and vehicle financing options.  The grounds behind the specific proposals were explained and understood, and supported by Members in principle while it was acknowledged that all final tender submissions would still be subject to further consideration by the Scrutiny Select Committee before being presented to Cabinet for approval.

Furthermore, it was noted that the introduction of a ‘dialogue’ mechanism was regarded vital for the tender process in establishing viability, impact on service provision and the potential scale of contract cost reductions.

Finally, the option to utilise Hydrotreated Vegetable Oil (HVO) in the Refuse Collection Vehicles (RCV) to achieve emission reductions was highly supported by Members, although the logistical challenge in respect of installation of or access to an HVO tank and the potential risk associated with the fluctuation in price were recognised.  Members also noted that there would be opportunity within the proposed new contract to explore the introduction of electric vehicles when the majority of the fleet would be due for replacement in 2031, when the electric RCV market was anticipated to be more mature.

It was proposed by Cllr M Hood, seconded by Cllr F Hoskins that a joint working group of Officers and Members be established to consider contract variations following dialogue and negotiation ahead of the contractors’ final bids on the grounds of the significance of the contract.  This motion was defeated.

*RECOMMENDED:  That

(1)          the Competitive Flexible Procedure procurement route and timeline as outlined in Section 5.1 of the report, be agreed;

(2)          the proposed contract length of 12 years, as outlined in Section 5.2.1 of the report, be agreed;   

(3)          joint delegated authority be given to the Cabinet Member for Transformation and Infrastructure and the Director of Street Scene, Leisure and Technical Services to agree contract variations following dialogue and negotiation ahead of the contractors’ final bids, as outlined in Section 5.1.5 of the report;

(4)          the proposed Specification amendment, highlighted in Section 5.3 of the report, be agreed and reflected in the tender pack;

(5)          the proposed areas of dialogue, as highlighted in Section 5.4 of the report, be agreed;

(6)          the proposed contract options, as highlighted in Section 5.5 of the report, be agreed;

(7)          the approach to vehicle finance options, as highlighted in Section 5.6 of the report, be determined  ...  view the full minutes text for item 13