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Agenda item

Procurement of water and wastewater supply services

      Report of the Chief Executive.

 

Minutes:

Cllr Pauline Church, Cabinet member for Finance, Procurement, Commissioning, IT, Digital and Commercialisation presented the report
seeking (i) approval of the recommended framework provider as the method by which the Council will procure water and wastewater services for a period of 3 years from 20 June 2022; (ii) to delegate authority to the Director of Assets & Commercial Development to proceed with award through the framework from 20 June 2022 for 2+1-year term; and (iii) to delegate authority to the Director of Assets & Commercial Development to utilise a 1-year extension option subject to adequate supplier performance and mutual agreement by both parties.
 

 

Cllr Church commented on the deregulation of the water and wastewater supply market that took place in 2017 and explained that the Council spent around £700,000 on water and wastewater services for its operational buildings. The report detailed a number of issues  with the current supplier framework, which had a considerable resource impact on the Council managing the contract as well as a reputational impact. The market has been researched for a Framework provider who can deliver an experienced procurement process focussing on cost and quality of provision, with a range of retailers to choose from.

 

The Cabinet noted that the current contract ended on 20 June 2022 and a procurement exercise to procure a new contract through a framework would take about 15 weeks followed by a transfer window between suppliers before January 2022.

 

Cllr Pip Ridout, Chair of the Financial Planning Task Group, informed Cabinet that the Task Group had considered the report at its meeting held on 10 December 2021. Cllr Ridout confirmed that the Task Group were brought up to date about the reasons for the procurement process and agreed with the need to find a new supplier. They particularly considered issues within the new framework, including the annual fees and how they compared and how the flat rate fee might be offset by savings and efficiencies, and confirmed that the Task group would continue to track the performance of the contract through the quarterly financial update. The report was welcomed by the Task Group who supported the proposals and commended it to the Cabinet for approval.

 

Cllr Brian Mathew commented on the efficiency of water use in Council buildings especially during the pandemic and whether any metrics had been gathered and monitored during this time. The Leader and Cllr Church confirmed that water blades had been rolled out across the Council’s estate, therefore reducing the amount of water used, and the impact of the pandemic on water use. The new framework would allow operational metrics to measure water usage and provide efficiencies.

 

Resolved:

 

  1. To approve the recommended framework provider as the method by which we procure water and wastewater services for a period of 2+1 years from 20th June 2022.

 

  1. Delegate authority to the Director of Assets & Commercial Development, in consultation with the Cabinet member for Finance, Procurement, Commissioning, IT, Digital and Commercialisation to proceed with award through the framework from 20th June 2022 for 2+1-year term.

 

  1. Delegate authority to the Director of Assets & Commercial Development, in consultation with the Cabinet member for Finance, Procurement, Commissioning, IT, Digital and Commercialisation to utilise a 1-year extension option subject to adequate supplier performance and mutual agreement by both parties.

 

 

Reason for Decision:

 

The current water and wastewater purchasing arrangement expires on 19th June 2022 and needs to be replaced to enable the council to continue to deliver cost effective water provision to the corporate and housing portfolios.

 

Supporting documents:

 

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