Agenda item

The Council has had a concession contract in place for a concessionaire to provide and maintain bus shelters with either no advertising, paper adverts or Free-Standing Units (FSUs) since 15 July 1999. This contract ended on 31 December 2024.

This report seeks approval to enter a new Service Level Agreement (SLA) with the incumbent supplier for a further 10-months, commencing on 1 January 2026 and expiring on 31 October 2026, to ensure ongoing maintenance of Bus Shelters and a smooth removal and installation of new shelters. This will minimise the impact on residents.

Resolved:

                               i.     To approve the new SLA with the incumbent supplier for a period of 10 months commencing on 1 January 2026 and expiring at 23:59:59 GMT on 31 October 2026, to allow the installation plan to be completed.

                             ii.     To delegate authority to the Director of City Development in consultation with the Director of Governance and the Head of Procurement to negotiate and conclude the proposed SLA in accordance with the terms and conditions of the current concession contract with the incumbent supplier and the Council’s Contract Procedure Rules under Appendix 11 of the Council’s Constitution (the “Council’s CPRs”).

                           iii.     To delegate authority to the Director of City Development in consultation with the Director of Governance and the Head of Procurement to negotiate and conclude any further required modifications and/or further extensions to the SLA, if deemed necessary to ensure the successful completion of the installation plan in accordance with the terms and conditions of the current concession contract with the incumbent supplier (PROVIDED THAT any modifications and/or further extensions to the SLA are subject to consultation with the Executive Member before completion).

                           iv.     To ask that officers provide regular progress updates, including a report to a public decision session in Summer 2026.

Reasons:The concession contract with the incumbent supplier dated 15 July 1999 expired on 31 December 2024, and the previous 12-month SLA with the incumbent supplier expires on 31 December 2025. Following Executive Member approval, the current contract mechanism of an SLA will be replicated to cover the completion of the installation plan.

The proposed extension to the current SLA is in line with the original concession contract and can be varied subject to agreement with the incumbent provider.

While officers are engaging in a regular review process, presenting updates in a public forum allows full transparency.

This report was presented by the Head of Communications and Engagement, assisted by the Director of City Development.

He explained that the report covered the ongoing handover of the bus shelter advertising concession contract; the proposed change from one company to another necessitated removal of the old provider’s shelters and installation of the new provider’s shelters.

For residents’ convenience and safety, a coherent plan had been drawn up between the council and the two suppliers to ensure removal and replacement did not leave people without a shelter for a protracted period. The decision being presented called for an extension of this arrangement. Specifically, to approve the new Service Level Agreement with the incumbent supplier with a long stop date of the end of October 2026.

The Executive Member asked why the changeover process for the bus shelters was taking such a long time. The Head of Communications and Engagement answered that the changeover process was complex to arrange, having encompassed the design of new shelters specifically for York. Some items had also been discovered in the ground underneath shelters being removed, such as a gas main on Tadcaster Road. They were working at a steady pace, with weekly review meetings involving both the incumbent and new supplier.

The Executive Member asked whether the cost of the scheme had been factored into the council’s ongoing process of managing and monitoring the budget, regarding additional costs and unmet income targets.

The Director of City Development answered that the cost to date was in the reported outturn budget previously presented to the Executive, and the additional costs would be in the next outturn.

The Executive Member noted that this transparency was important within the council’s financial planning, and requesting that a further point (point iv) be added in addition to officer’s recommendations, on which basis she

Resolved:

                               i.     To approve the new SLA with the incumbent supplier for a period of 10 months commencing on 1 January 2026 and expiring at 23:59:59 GMT on 31 October 2026, to allow the installation plan to be completed.

                             ii.     To delegate authority to the Director of City Development in consultation with the Director of Governance and the Head of Procurement to negotiate and conclude the proposed SLA in accordance with the terms and conditions of the current concession contract with the incumbent supplier and the Council’s Contract Procedure Rules under Appendix 11 of the Council’s Constitution (the “Council’s CPRs”).

                           iii.     To delegate authority to the Director of City Development in consultation with the Director of Governance and the Head of Procurement to negotiate and conclude any further required modifications and/or further extensions to the SLA, if deemed necessary to ensure the successful completion of the installation plan in accordance with the terms and conditions of the current concession contract with the incumbent supplier (PROVIDED THAT any modifications and/or further extensions to the SLA are subject to consultation with the Executive Member before completion).

                           iv.     To ask that officers provide regular progress updates, including a report to a public decision session in Summer 2026.

Reasons: The concession contract with the incumbent supplier dated 15 July 1999 expired on 31 December 2024, and the previous 12-month SLA with the incumbent supplier expires on 31 December 2025. Following Executive Member approval, the current contract mechanism of an SLA will be replicated to cover the completion of the installation plan.

The proposed extension to the current SLA is in line with the original concession contract and can be varied subject to agreement with the incumbent provider.

While officers are engaging in a regular review process, presenting updates in a public forum allows full transparency.