Agenda item

Highway and Engineering Services Contract - Third Annual Review

A presentation will be made by Steve Grimes, Contracts Manager, Colas Ltd.

Minutes:

The Director of Technical Services provided an update report on the Highway and Engineering Services contract at the end of its third year of operation; including information on performance against the benefits sought and targets set. It also invited the Committee to consider the option written into the contract to extend the contract by twelve months based on the satisfactory performance of the contract.

 

It was noted that the maintenance of all aspects of the highway infrastructure, carried out through the contract were statutory duties imposed on the Council as Highway Authority.

 

Part of the report related to financial aspects of the contract, which were exempt from public disclosure in accordance with paragraph 3 of Part 1 of schedule 12A of the Local Government Act 1972, and this information was separately contained in Appendix 5 to the report (minute 14 refers).

 

The Chair informed the Committee that Stephen Grimes, Contracts Manager at Colas, who was due to attend the meeting, was not present as Colas had received advice from their legal representatives not to attend.

 

The Director introduced Rob Clifford, Highways Manager, and Brian Smith, Contracts Manager in the Technical Services Department and they presented the report and responded to Members’ questions. Examples of perceived poor quality work were highlighted by Members, using examples from their own wards. Rob Clifford acknowledged that with a change to modern materials for surface treatment there was a need to make sure residents understood what they were trying to achieve and he hoped that Colas would be able to be present at the next meeting when a report would be submitted with information on the types of materials used. 

 

The Chair emphasised the point that the perception was that Colas were not dealing with complaints and that Members would like to see a much more robust approach to addressing issues raised.

 

A report to Members on significant cost changes and value for money had been drafted in November 2011, but would be presented to Members to coincide with the Council’s external auditors’ report on the contract. An assurance was given that this report would be going to Cabinet on 19 July, 2012.

 

The Director explained the budget both in terms of the capital programme which was subject to the Council Budget set each year and the fixed 5 year contract which had an approximate value of £7m.

 

On a motion by the Chair seconded by Councillor Steve Williams, it was -

 

Resolved –

 

(1)  That this Committee notes the progress of the contract during the past year, and notes officers’ views in the report but registers its serious concerns regarding co-ordination, quality and communication issues.

 

(2)  That it be recommended to Cabinet that the existing contract not be extended beyond its current 5 year term, and that the Director of Technical Services be requested to prepare an options appraisal for the delivery of highway and engineering services from 1 April 2014 in a report to Cabinet at the earliest opportunity.

 

(3)  That the Director of Technical Services report on progress on preparation and delivery of a comprehensive exit and handover strategy relating to the satisfactory completion of the current contract, and effective and efficient transition to the new service delivery arrangements, in his future annual reports on the contract.

 

(4)  That this Committee notes that officers will be undertaking actions, to be agreed by Council, in response to the External Auditors’ Report in the Public Interest; specifically in relation to the management of the contract; and asks that the Director of Technical Services reports on progress in delivering those specific actions relating to the management of this contract in his annual report to the Committee in 2013.

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