Agenda item

Waste Disposal Contract

Decision:

(a)  That the direct award of a contract to Grundon Waste Management Limited for a period of up to 10 years based on the draft terms set out in Appendix A of the report be approved;

 

(b)  That the issuing of a voluntary ex ante transparency notice outlining the Council's intention to enter into the contract be approved;

 

(c)  That delegated authority be given to the Executive Director of Regeneration, Housing & Environment, in consultation with the Lead Member for Environment, Environmental Services and Open Spaces and the Executive Director of Finance and Commercial, to complete negotiation for the new contract and enter into the new contract in accordance with the heads of terms at Appendix A following the period of 10 days after publication of the VEAT notice.

Minutes:

The Cabinet considered a report that set out the approach the Council would be taking on the waste disposal contract to ensure continuity of service and future revenue savings.

 

The recommendation was to make a direct award to Grundon Waste Management Limited, the existing contractor, for a period of 10 years. The Council’s current contract with Grundon Waste Management Limited was due to expire on 30 November 2024 although there was the option of extending the contract for three years.

 

Appendix A to the report set out the waste disposal contract draft heads of term and Appendix B provided Kings Counsel’s advice on the matter.  The Council was proposing to make a direct award to Grundon Waste Management Ltd relying on an exemption on the requirement to conduct a competitive procurement. This was due to technical reasons, details of which were set out in the report.

 

The options were summarised and Lead Members asked a number of questions which Officers responded to.  The proposed offer from Grundon Waste Management Ltd was likely to offer more advantageous terms than the Council could reasonably expect to obtain if it was to conclude an alternative procurement. It would also provide long-term budget certainty and enable the Council to achieve its Medium Test Financial Strategy (MTFS) savings.

 

It was recognised that being so heavily dependent on a single supplier was not ideal as it presented a degree of risk to the Council’s services. For these reasons, Officers would be discussing with local authorities in Berkshire, Hampshire and Surrey with the aim of undertaking a strategic feasibility study relating to future waste disposal options. The Cabinet would receive a progress report on this initiative at a future meeting.

 

At the conclusion of the discussion the Cabinet agreed to the recommendations set out in the report. The Cabinet thanked Officers for their hard work in bringing the matter to fruition. 

 

Resolved –

 

(a)  That the direct award of a contract to Grundon Waste Management Limited for a period of up to 10 years based on the draft terms set out in Appendix A be approved;

 

(b)  That the issuing of a voluntary ex ante transparency notice outlining the Council's intention to enter into the contract be approved;

 

(c)  That delegated authority be given to the Executive Director of Regeneration, Housing & Environment, in consultation with the Lead Member for Environment, Environmental Services and Open Spaces and the Executive Director of Finance and Commercial, to complete negotiation for the new contract and enter into the new contract in accordance with the heads of terms at Appendix A following the period of 10 days after publication of the VEAT notice.

Supporting documents: