Issue - meetings

Approval to Procure Highways Maintenance Contract

Meeting: 13/02/2025 - Cabinet (Item 5)

5 Approval to Procure Highways Maintenance Contract pdf icon PDF 94 KB

A report requesting approval to commence a procurement exercise to secure a Highways Mainteance Contract (HMC26).

 

Cabinet Portfolio Holder – Councillor Jan Matecki

Additional documents:

Minutes:

Councillor Jan Matecki, Portfolio Holder for Transport and Planning, introduced the report which sought approval to commence a procurement exercise to secure a replacement Highways Maintenance Contract.  The existing contract was due to expire in May 2026 and covered all highways maintenance functions.

 

Councillor Matecki explained that the new contract would incorporate the existing functions along with additional elements including opportunities to use Artificial Intelligenc and digital enhancements.  In addition, consideration would be given to move the gritting fleet from Council owned to the contractor, if it was shown to be financially beneficial.

 

Members were advised that the new contract would include bespoke specifications for Delegated Budget delivery and would operate on a similar financial basis, with no fixed annual spend.  If the decision was approved, procurement activity would start later this month with a tender issued in June 2025.  It was hoped to award the contract at the end of the year which would allow five months for the contractor to mobilise.

 

Councillor Matecki advised that Legal were looking into how Local Government Reform would impact but any contracts would transfer over to the new entity by process of law.  There was no option to extend the existing contract, and it was not considered financially suitable to enter into a short-term contract.

 

Councillor Boad thanked Councillor Matecki for the report and stated that she felt the delivery of Highways Delegated Budget schemes had improved substantially.  She raised a concern that there were ongoing frustrations relating to repairing potholes, with residents noticing that temporary fixes were not always substantial enough.  She queried if this resulted in higher costs in the long term.

 

Councillor Margaret Bell queried if moving the gritting fleet to the contractor would result in less control by the Council.  She felt that residents may be concerned about their areas not being covered.

 

In response to Councillor Boad’s question, Councillor Matecki explained that temporary fixes to potholes only occurred when it was an emergency repair or when weather conditions required it.  He advised there was data available but assured that quick fixes should only happen if really needed.  Addressing Councillor Bell’s concern, Councillor Matecki advised that other local authorities had moved their gritting fleet to contractors, as a way to reduce purchasing and maintenance cost.  Contractors were often able to access bigger buying power and could use the vehicles for other purposes, avoiding them sitting idle for long periods of time.

 

Councillor Matecki proposed the recommendations as laid out.

 

Resolved

 

That Cabinet

 

1)     authorises the Executive Director for Communities in consultation with the Portfolio Holder for Transport and Planning to commence a procurement exercise to secure a replacement Highways Maintenance Contract (HMC26); and

 

2)    authorises the Executive Director for Communities to award the contract for HMC26 and to enter into all agreements and other documents necessary on terms and conditions acceptable to the Executive Director for Resources.