DELEGATED POWERS REPORT NO.

Transcription

1 DELEGATED POWERS REPORT NO SUBJECT: Authorisation to appoint Webaspx to provide a Waste Collection Round Design and Optimisation Software package as part of Streetscene s Waste Management Project Control sheet All of the following actions MUST be completed at each stage of the process and the signed and dated report MUST be passed to the Governance Service for publishing All reports 1. Governance Service receive draft report Name of GSO Paul Frost 2. Governance Service cleared draft report as being constitutionally appropriate 3. Finance clearance obtained (report author to complete) 4. Staff and other resources issues clearance obtained (report author to complete) 5. Strategic Procurement clearance obtained (report author to complete) 6. Legal clearance obtained from (report author to complete) 7. Policy & Partnerships clearance obtained (report author to complete) 8. Equalities & Diversity clearance obtained (report author to complete) 9. The above process has been checked and verified by Director, Head of Service or Deputy 10. Signed & dated report, scanned or hard copy received by Governance Service for publishing 11. Report published by Governance Service to website Date 25/03/2013 Name of GSO Paul Frost Date 25/03/2013 Name of Finance officer Collette Sutton Date 04/03/2013 Name of Resource officer Kevin Girling Date 11/04/2013 Name of SPO Lesley Meeks Date 28/03/2013 Name of Legal officer Steven Strange Date 15/04/2013 Name of P&P officer Andrew Nathan Date 25/03/2013 Name of officer Andrew Nathan Date 25/03/2013 Name Lynn Bishop Date 15/04/2013 Name of GSO Paul Frost Date 15/04/2013 Name of GSO Paul Frost Date 14/04/ Head of Service informed report is published Name of GSO Paul Frost Key decisions only: Date 14/04/ Expiry of call-in period Date N/A 14. Report circulated for call-in purposes to Business Management OSC members & copied to Cabinet Members & Head of Service Name of GSO Date N/A

2 ACTION TAKEN UNDER DELEGATED POWERS BY OFFICER (EXECUTIVE FUNCTION) Subject Officer taking decision Authorisation to appoint Webaspx to provide a Waste Collection Round Design and Optimisation Software package as part of the Waste Management Project StreetScene Director Date of decision 15 April 2013 Date decision comes into effect Summary Officer Contributors Status (public or exempt) Wards affected Enclosures Reason for exemption from callin (if appropriate) Key decision 15 April 2013 This report seeks authority to enter into a contract with Webaspx for the provision of a waste collection round design and optimisation software package. Jason Armitage Head of Waste and Recycling Karen Reid Senior Business Support Officer Matthew Heath Procurement Manager (Waste project) Public (with separate exempt report) All None N/A No Contact for further information: Karen Reid Senior Business Support Officer Tel: Karen.reid@barnet.gov.uk Serial No. 2010

3 1 RELEVANT PREVIOUS DECISIONS 1.1 Cabinet: 4 April 2012 (Decision Item 12) Resolved that step 1 of the waste collection options which is targeted communication work, enforcement of waste requirements and provision of new containers be approved, with this work to start in 2012/13 once a Communication Plan had been agreed with the Cabinet Member for Environment. 1.2 Cabinet Resources Committee 7 November 2012 (Decision Item 5) Resolved that the Outline Business Case for the future delivery of Waste and Streetscene services through in-house development of services with the option of support from external specialists and the incoming provider for support and customers services be approved. 2 CORPORATE PRIORITIES AND POLICY CONSIDERATIONS 2.1 This decision supports the following priorities in the Corporate Plan : To maintain a well-designed, attractive and accessible place, with sustainable infrastructure across the borough. Barnet s waste and recycling service is highly regarded, with 82 per cent of residents satisfied with the service. We have committed to providing a weekly bin collection. By adding weekly food waste collection and a mixed recycling collection this October, we aim to make it easier for residents to recycle, reducing the amount of waste sent to landfill and cutting costs. 3 RISK MANAGEMENT ISSUES 3.1 The Council is committed to introducing a new collection service in October New vehicles for the service are scheduled for order in April The Council would like to use waste collection route optimisation software: To estimate the number of vehicles required to inform procurement of the fleet; To ensure that the new round designs result in efficient rounds; To reduce the implementation risk for the new service by using a tool that enables the impact of changes to be understood in advance of implementing the rounds; and To ensure the on-going service can maintain maximum efficiency with changing criteria and service requirements. 4 EQUALITIES AND DIVERSITY ISSUES 4.1 Pursuant to the Equality Act 2010, the council and all other organisations exercising public functions on its behalf must have due regard to the need to eliminate

4 discrimination, harassment, victimisation and any other conduct that is prohibited by or under the Act; advance equality of opportunity between those with a protected characteristic and those without; promote good relations between those with a protected characteristic and those without. The relevant protected characteristics are age, disability, gender reassignment, pregnancy and maternity, race, religion or belief, sex, sexual orientation. It also covers marriage and civil partnership with regard to eliminating discrimination. 4.2 An Equalities Impact Assessment has been carried out as part of the Waste Management Project and this aspect of the project does not cause any adverse equality and diversity issues to arise. 5 USE OF RESOURCES IMPLICATIONS (Finance, Procurement, Performance & Value for Money, Staffing, IT, Property, Sustainability) 5.1 It is recommended that a five (5) year contract is entered into with Webaspx for the provision of the software package, initial licences and associated training in year one, and subsequent annual licences and on-going technical support over the following four (4) years, with the provision to extend the contract by a further two (2) years subject to satisfactory review and performance. 5.2 The total value of the tender submitted from Webaspx for the five (5) year contract is 50,715. Contract payments will be made in accordance with the terms and conditions of the contract. 5.3 Funding for the initial start-up package will be met from the available OneBarnet Cost of Change provision. Subsequent annual cost commitments will be aligned to the waste and recycling revenue budget provision. 5.4 The tendered sum includes for the following package of services: Design optimisation software package; Initial software user licence plus an additional user licence which is necessary to ensure flexibility and maintain operational requirements; Two (2) day comprehensive on-site training course and installation; Sixty (60) hours of support in data gathering and modelling; and Annual licences and on-going IT support. 5.5 By optimising rounds and applying operational changes as they arise the time and cost benefits achieved from utilising this software will ensure maximum efficiencies are realised and maintained with the added benefit of minimised service disruption. 5.6 The current method of route reshaping or changes made to scheduling is carried out through both manual design and implementation assessment. The introduction of route optimisation software would assist in reducing timescales of similar

5 rescheduling programmes plus delivering a number of modelling options and solutions to ensure the most efficient service is provided. 5.7 Key staff will receive the necessary initial training to operate the software as part of the installation package with varying on-going remote operational or technical support as required. 5.8 Being a stand-alone package in the form of a CD installation at local level, this software will not have an impact on the council s IS infrastructure. The supplier has confirmed, to the satisfaction of the council s IS officers: the specification of the PC that will be required to run the software; an acceptable approach for back up of local data to the corporate network; and their responsibility for resolving software faults under the terms of the contract. In addition the supplier has described their standard approach to integration with other systems via export and import of common file formats, which IS and the project leads have agreed meets the known requirements for integration. 6 LEGAL ISSUES 6.1 Procurement processes must comply with the European procurement rules and the Treaty obligations of transparency, equality of treatment and non-discrimination as well as the Council s Contract Procedure Rules. 6.2 As the value of this contract is below the current European threshold ( 173,934) the Public (Contracts) Regulations 2006 (as amended) do not apply. 6.3 In accordance with the Council s Contract Procedure Rules, there will be a need for the parties to execute a formal contract for the provision of a waste collection round design and optimisation software package. 7 CONSTITUTIONAL POWERS 7.1 Council Constitution, Part 3, Responsibility for Functions, Section 6 paragraph 6.1 enables Chief Officers to take decisions without consultation with the Cabinet Member concerned where it is a decision authorised to be taken by the Chief Officer under the Contract Procedure Rules for approved schemes with sufficient estimate provision. 7.2 Council Constitution, Part 4, Contract Procedure Rules, paragraph 5.5 (Table 5-1) sets out authorisation and acceptance thresholds for works, supplies and services. Directors/Assistant Directors can authorise and accept tenders/quotations up to 173,933 in value where the tender/quotation is the lowest or where the tender/quotation represents value for money and is the best available option for the Council. 7.3 The value of the contract ( 50,715) is within the acceptance thresholds for Director/ Assistant Director.

6 8 BACKGROUND INFORMATION 8.1 Following Committee approval on 7th November 2011 for the development of an implementation plan, a project board was established to deliver the Waste Management Project. 8.2 The size and complexity of the activities required to be undertaken are vast and all are time critical to ensure a seamless transfer of the recycling service at the end of the May Gurney recycling contract in October 2013 to an in-house service. 8.3 The Council issued an Invitation to Quote via Supply4London and received two competitive tenders by the submission deadline of 1200 midday on 15 March Members of the project team each evaluated the tenders in accordance with the published evaluation criteria. 8.4 A moderation meeting was held and the scores and supporting statements were agreed by evaluation team members. The evaluation results are provided in Table 1 below: Table 1 - Evaluation Results Primary Criteria Primary Weighting Secondary Criteria Secondary Weighting Tenderer 1 Webaspx Cost 30.00% 30.00% 21.70% 30.00% Quality 70.00% Technical capability Relevant experience 30.00% 12.00% 30.00% 15.00% 3.00% 15.00% Training 5.00% 2.00% 3.00% Implementation 5.00% 3.00% 4.00% Support package 15.00% 9.00% 15.00% Total 50.70% 97.00% 8.5 The identity of Tenderer 1 is given in the accompanying exempt report.

7 8.6 Each Tenderer was asked to complete a pricing schedule that comprised of 'Specified' and 'Provisional' Items that made up the 'Whole Life Cost'. The Whole Life Cost for each Tenderer was evaluated on a like for like basis as detailed in Table 2 below. Table 2 - Evaluation of Whole Life Cost Description Formula Tenderer 1 Webaspx Whole Life Cost A 67, , Lowest Cost B 49, Calculation C = B A Convert to Score D = C x Webaspx's tendered rates for the Specified and Provisional Items have been used to prepare a budget as set out in Table 3 below: Table 3 - Financial resource profile (5 years) Description Annual Sum Year 1 Year 2 Year 3 Year 4 Year 5 Totals 1 user licence 24,000 2,500 2,500 2,500 2,500 34,000 Additional user licence 1,000 1,000 1,000 1,000 1,000 5,000 Training and installation 2,800 2,800 Technical support (60 hours) 6,500 6,500 Contingency (5%) 2,415 Totals 34,300 3,500 3,500 3,500 3,500 50, The total value of the five (5) year contract will be 50, This specialist software will be used to create the most efficient and practical new collections rounds for all new waste collection services and offers a wide range of flexible options in addition to creating a fully customised round design solution, thereby ensuring low cost, minimum risk and balanced rounds A fundamental requirement to achieving the necessary efficiencies and incorporating the new in-house recycling service is the remodelling of all waste and recycling collection rounds To undertake the reshaping task manually would be complex, time consuming and offer limited benefits beyond providing an efficient and workable remodelled approach.

8 8.12 This software will also integrate with current authority data systems allowing the effect of any changes to rounds or data to be updated instantly with customer services, round sheets and maps generated accordingly An example of a main screen showing performance tables and round mapping can be seen below: 8.14 The additional and on-going benefits available from this software technology are: The ability to instantly re-evaluate effects of changing shift patterns, disposal points, changes in services or fleet arrangements, all from a robust evidence base; To instantly scrutinise and improve performance of current methods, levels of yield, process rates and vehicle performance; The ability to respond to and accommodate changing financial pressures, legislative requirements and increasing required efficiencies; and The ability to carry out route risk assessments and update round arrangements accordingly This software will also have the added benefit that it can be applied to the council s other street based services in due course, such as street cleansing, grounds and gritting services to optimise rounds and respond to changing working practices It is recommended that a contract is awarded to Webaspx, the highest scoring Tenderer.

9 9 LIST OF BACKGROUND PAPERS 9.1 None 10 OFFICER S DECISION I authorise the following action: 10.1 That, subject to the completion of all necessary legal and other documentation, the quotation from Webaspx for the provision of a waste collection round design and optimisation software package for a period of 5 years from a date to be agreed, with the option to extend the contract for a further 2 years, be accepted. Signed StreetScene Director Date 15 April 2013