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Meeting:
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Economy & Transport Executive Member Decision Session
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Meeting
date:
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14
November 2023
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Report
of:
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James
Gilchrist, Director of Transport, Environment and Planning
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Portfolio
of:
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Cllr
Pete Kilbane, Executive Member for Transport and Economy
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Decision Report:
Local Bus Service Updates
Subject of
Report
1.
A review of the York bus network (“Bus Network
Review”) is currently underway to determine if there are
opportunities to better serve residents and visitors to York and to
achieve better value for money from bus subsidies administered by
the Council of the City of York (“CYC”).
2.
The results of the Bus Network Review will inform recommendations
to the Executive on future support for tendered bus services. These
recommendations are planned to be presented in c. January 2024 for
proposed implementation on or around 1 May 2024.
3.
The purpose of this report is to seek approval to align several
existing short-term tendered bus service contracts with the
timeframes outlined above. The first contract covers some early
morning and evening services on routes 1, 4, 6, 10/10A, with an
estimated cost to extend by four months to 30 April 2024 of up to
£45,000. The second contract is for route 19, which would
cost up to £8,000 to extend by one month to 30 April
2024.
4.
Extension of the above tendered bus service contracts would provide
time for the Bus Network Review outputs to be carefully considered
before any decisions or changes are made. It would also minimise
the number of potential timetable changes and maximise the
opportunity for securing value for money on future tendered service
contracts.
5.
The proposed contract extension is affordable within the existing
DfT granted York Bus Service Improvement Plan
(“BSIP”) revenue budget for bus service support,
which is currently 94.1% committed.
Benefits and Challenges
6.
Approval is sought to extend several short-term tendered bus
service contracts to 30 April 2024 using BSIP funding. The
rationale for this approach is to enable the results of a Bus
Network Review to be completed and recommendations to be prepared
and consulted upon prior to presentation to the Executive in c.
January 2024. Such a timeline will enable plans to be carefully
considered and communicated to all stakeholders, in support of a
sustainable and stable bus network.
7.
Retaining existing tender contract dates would necessitate more
pressurised decision-making with shorter windows for effective
communication with decision-makers, stakeholders, and bus users.
This could affect our ability to deliver on the objectives of the
BSIP and lead to reputational damage for the council.
Policy Basis for Decision
8.
CYC’s commitment to stabilising, improving, and growing the
bus network is consistent with the 10-Year Plan for the city, known
as “York 2032”, which recognises transport as a
key priority for the city, setting the goal that York’s
transport networks will be inclusive and sustainable, connecting
neighbourhoods and communities.
9.
The Climate Change Strategy 2022-2032 notes that emissions from
transport represent 27.9% of York’s emissions and of this,
88% of emissions are from car travel or public transport. The
strategy sets an objective to increase the share of vehicles on the
road that are electric or hybrid and reduce overall car use through
alternative modes, such as public transport.
10.
Initiatives to support, stabilise and grow bus patronage contribute
towards the emerging Local Transport Strategy reflecting the
importance of public transport in York’s transport hierarchy
and the Bus Services Improvement Plan agreed for York.
11.
The new Council Plan 2023-2027 has four Core Commitments, which fit
with the initiatives aimed at supporting and growing bus
patronage:
·
Affordability – Tackling the cost-of-living-crisis
Bus travel
offers an affordable alternative to reliance on private car
ownership, which is prohibitively expensive for some people. Those
aged under five years old, or of pensionable age, are eligible for
free bus travel, plus those with a registered disability. In
addition, a £2 single fare cap is in place for bus travel
until October 2024, and the York BSIP is funding several other
fares initiatives.
·
Climate – Environment and the climate emergency
Providing a
high-quality bus service supports an increase in alternatives to
car usage which will reduce carbon emissions. York has secured zero
emissions bus grants for a fleet of electric buses, which are
currently being rolled-out.
·
Health – Health and wellbeing
Supporting
people to use public transport may reduce the number of petrol and
diesel car users which could improve air quality, leading to
significant health benefits.
12.
Within the Council plan there is a commitment to deliver the Bus
Service Improvement Plan, including a new provider of bus shelters
with real-time information and lobbying for improvements in
York’s bus services.
13.
In October 2023 the Executive approved a vision, objectives and
Policy Focus area for a Local Transport Strategy. One of the policy
focus areas is about improving public transport – so that all
areas of the city have good and reliable public transport access.
Key to this will be extending the bus network, ensuring effective
and reliable early and late services when people need them, and
upgrading high frequency bus services – in some cases into
bus rapid transit services. We will also work to upgrade heavy rail
services where they play a local role or support our other
policies. Not only will this result in a 50% or greater increase in
bus patronage by 2030, it will also enhance the viability of public
transport and protect its future.
Financial Strategy
Implications
14.
The BSIP allocation to CYC totals £17,360,000 over 3-years.
This is broken down £10,665,000 capital funding and
£6,695,000 revenue funding. CYC also has a separate revenue
budget of £704,000 that is used to support bus services.
15.
The proposed extension to existing short-term tendered bus service
contracts set out in this report are to be covered by the BSIP
revenue allocation, which is grant-funded from the Department for
Transport (“DfT”).
16.
The external funding that will be utilised from the BSIP award is
only available up to and including 31st March 2025, and
therefore cannot fund long term interventions beyond that time.
17.
The bus market remains unpredictable. Through the Enhanced Bus
Partnership, CYC officers work closely with operators and support
them to take back subsided services to commercial operation,
wherever practicable. However, there remains a risk that further
commercial bus services could be withdrawn in the coming months,
resulting in further requests for intervention. In the future, with
constrained budgets, CYC and Enhanced Bus Partnership may have to
make challenging decisions regarding bus service affordability. The
Bus Network Review will inform such choices, with results and
recommendations to be presented to the Executive in c. January
2024.
18.
There may be opportunities to transfer funds from other BSIP
revenue support initiatives, such as subsidised fares, to tendered
bus service support but that would reduce the value and impact of
such interventions.
19.
Central government’s recent “Network North”
announcement included £700,000,000 to fund hundreds of new
local bus routes through BSIPs. This new funding will be
administered based on a formula rather than via a competitive
bidding process. CYC’s indicative BSIP allocation from this
latest funding round is £1,153,000 of additional new revenue
for 2024/25. Further details are expected shortly.
Recommendation and
Reasons
20.
The Executive Member is recommended to:
·
To note and approve plans to extend the existing subsidy
arrangements for some early morning and evening bus services on
routes 1, 4, 6, 10/10A and 19 up to and including 30th
April 2024.
·
To delegate authority to the Director of Transport, Environment and
Planning (and their delegated officers) to liaise with the Director
of Governance and the Chief Finance Officer (and their respective
delegated officers) to draft, negotiate and conclude any necessary
documentation to properly extend the existing subsidy arrangements
and/or bus service contracts for the aforementioned routes in
compliance with (where applicable) the rules and regulations set
out within Regulation 72 under Part 2 of the Public Contract
Regulations 2015 (the “Procurement Regs”) or
Regulation 43 within Part 4 of the Concession Contract Regulations
2016 (the “Concession Regs”) (in respect of any
extensions and/or variations to service contracts between CYC and
the relevant operator(s)), the Subsidy Control Act 2022 (the
“2022 Act”) (in respect of any extensions and/or
variations to any existing grant funding arrangements between CYC
and the relevant operator(s)) and CYC’s Financial Regulations
set out within under Appendix 10a of the Council’s
Constitution (the “Council’s Financial
Regs”) and CYC’s Contract Procedure Rules set out
within under Appendix 11 of the Council’s Constitution (the
“Council’s CPRs”).
Reason:
·
The rationale for this extension is to enable the outputs of the
York Bus Network Review to be thoroughly considered and discussed
with stakeholders, with a view to bringing recommendations for
longer-term, better value, and more stable bus network to the
Executive and York Enhanced Bus Partnership in January 2024, for a
controlled and well-communicated implementation in c. May 2024.
·
Also, the extension will help to ensure that the Bus Network in
York is stabilised and that the council can work with the statutory
Enhanced Bus Partnership to deliver its stated Bus Service
Improvement Plans objectives in line with the National Bus
Strategy, by both improving passenger experience and increasing bus
patronage.
Background
21.
Prior to the COVID-19 pandemic, York’s bus services carried
approximately 16,000,000 passengers per year, with a steady
increase in passenger volumes since 2014. Current bus patronage is
averaging around 85% of pre-COVID volume, at a time when service
operating costs (most notably fuel and wages) have increased.
22.
CYC has been successful in securing funding to develop the bus
network. Zero Emissions Bus Grants (“ZEBRA”) of
£11,300,000 have been awarded and CYC was successful in
attracting £17,400,000 funding through central
government’s BSIP.
23.
Though the Local Plan process a series of network enhancements have
been identified to support new developments in York.
BSIP Funding for Bus Service Support
24.
In April 2022, CYC was given an indicative allocation of c.
£17,400,000 for enhancing York’s bus network working
with the Enhanced Bus Partnership. This funding comprised capital
funding of c. £10,700,000 and revenue funding of
£6,700,000. The grant for the first year (i.e., c.
£4,600,000) was paid to CYC in November 2022, at which point
CYC mobilised to deliver the programme.
25.
Key elements of the programme in development, design and/or
delivery are listed below.
·
In development and design, upgrading York’s Park and Ride
sites to become multi-modal transport hubs with a wider range of
services. Under consideration are opportunities to connect with
additional bus and coach services, provide overnight parking,
deliver e-bike, e-scooter and/or car club collection points; and
offer numbers of cycle lockers, amongst other improvements.
·
In development and design, bus stop infrastructure improvements and
bus priority on high frequency bus corridors and in the city
centre.
·
In delivery, new and improved real-time information screens at bus
stops across York, with inclusion of audio announce facilities to
aid blind and partially sighted people to travel more confidently
and independently.
·
In development and delivery, a range of reduced fares, targeted at
younger people and those who may be suffering hardship, but are not
covered by existing concessionary fares schemes.
·
In delivery, introducing an all-operator tap-on-tap-off ticketing
system, which will potentially enable cheaper travel across the
York boundary into North Yorkshire and the East Riding of
Yorkshire.
·
In development, travel behaviour change campaigns to encourage
greater use of sustainable modes, including buses.
·
In delivery, support for the existing bus network. Significant
increases in operating costs and a national driver shortage
continue to present a challenging context for bus operations. By
stabilising the network, we hope to set a foundation to grow bus
patronage. This is being achieved by providing subsidies for
services that are no longer commercially viable. A full York Bus
Network Summary is provided in Annex A.
26.
The BSIP budget currently available for Bus Service Support is
£2,285,000. This is made up of £1,535,000 for Bus
Network Support and £750,000 for restart and subsidised
operation of Poppleton Bar Park and Ride.
27.
New BSIP funding has recently been announced by Central Government
following the cancellation of the HS2 Project. This was outlined in
the “Network North” policy paper. CYC’s
indicative BSIP allocation from this latest funding round is
£1,153,000 of revenue for 2024/25, but this still needs to be
confirmed at the time of drafting this report.
Bus
Service Support
28.
The York Bus Network has been affected by decreased passenger
numbers both on the Park & Ride (particularly weekday
commuters) and wider network, with a currently estimated 15%
reduction overall in passengers compared to pre-COVID.
29.
Bus operators have continued to experience rising operating costs,
with fuel price increases of around 40% and staff costs increases
of around 30% over recent years. Increases in staff costs have
largely been driven by driver shortages, with York particularly
affected due to the small pool of local drivers.
30.
The combination of overall reduced patronage levels and rising
operating costs is continuing to reduce the commercial viability of
several services, thus increasing demand for subsidy to retain the
current network.
31.
Stability of the existing bus network is key to providing a
foundation upon which to grow patronage.
During
summer 2023, the Executive Member for Economy and Transport tasked
officers with seeking short-term quotes from bus service operators
to retain all under threat elements of the First York Limited
(“First”) network for a 3-month period, October
to December 2023. A short-term tender was supported by the
Executive and York Enhanced Bus Partnership in July 2023. The
services affected are summarised in Table 1 below:
37.
It should be noted:
·
The 2024/25 costs for Poppleton Bar are still to be finalised, with
£600,000 the likely the worst-case position but actual spend
may be lower depending on patronage levels.
·
The weekday Flaxman Croft, Copmanthorpe and West Nooks, Haxby
sections of the number 13 bus service which are currently
subsidised, are at risk beyond the end of 2023. Officers are
looking into alternative options for serving these area as part of
the ongoing Bus Network Review. However, short-notice service
support decisions may also be required in relation to this specific
service.
38.
Through the Enhanced Bus Partnership, officers continue to
proactively work with bus operators to identify opportunities to
return bus services to commercial operation. All spend is being
carefully monitored.
Consultation Analysis
39.
Consultation has been undertaken with York’s bus operators
and with the Enhanced Bus Partnership forums. They have responded
that they are keen to support the retention of as many bus services
as possible across the city.
Options Analysis and
Evidential Basis
40.
The rationale for recommending an extension to 30 April 2024 of
existing short-term tendered bus service contracts, covering some
early morning and evening services on routes 1, 4, 6, 10/10A and
19, is to enable the outputs of the York Bus Network Review to be
thoroughly analysed and discussed with stakeholders, with a view to
bringing recommendations for longer-term, better value, and,
hopefully, a more stable bus network to the Executive and York
Enhanced Bus Partnership in January 2024, for a controlled and
well-communicated implementation in May 2024.
41.
The first contract that it is proposed should be extended covers
some early morning and evening services on routes 1, 4, 6, 10/10A.
The estimated cost of the extension by four months to 30 April 2024
is up to £45,000.
42.
The second contract proposed for extension is for route 19, which
would cost up to £8,000 to extend by one month to 30 April
2024.
43.
Extension of the above tendered bus service contracts would enable
any changes to be carefully planned and communicated to all
affected stakeholders and consider the results of the Bus Network
Review. The alternative would be to retain the current contract
renewal dates, but this would be more difficult to manage and
communicate, and could lead to missed opportunities for financial
savings, plus potentially lead to loss of confidence by bus users
and reputational damage to CYC.
44.
The proposed contract extensions are currently affordable within
the existing DfT granted York BSIP revenue budget for bus service
support, which is currently 94.1% committed.
Organisational
Impact and Implications
Financial
45.
The cost of the interventions agreed in this report total
£53,000. This reduces the available funding for further bus
service interventions from £134,779 to £81,779.
Human
Resources (HR)
46.
There will be no HR implications arising from the short-term bus
contract extensions outlined in this report.
Legal
47.
The delivery of the BSIP through either an Enhanced Partnership
(“EP”) Route or a Franchise Route is mandated by
the Transport Act 2000. EP Plans and Schemes are statutory
documents.
48.
The Bus Services Act 2017 incorporates a duty on local transport
authorities to consult on EP Plans and EP Schemes into the
Transport Act 2000.
49.
Many public contracts envisage a service arrangement that will last
over a very long period of time, and, because of that, the contract
may contain sophisticated mechanisms by which various categories of
change can be affected during the contractual term. Any existing
bus service contracts between CYC and existing operators must be
extended and/or modified in accordance with their contractual terms
and conditions. Advice must be sought from Legal Services on this
point.
50.
Further to the paragraph immediately above, any extension and/or
modification to any service contracts will also be subject to Reg.
72 under Part of the Procurement Regs.
51.
Notwithstanding any existing extension and/or variation provisions
within the current bus service contract(s), in the event of a major
change, whether pursuant to an extension and/or variation clause or
not, care must be taken to ensure that the relevant variation does
not amount to a “substantial” modification so that a
new competitive tendering process must be undertaken. If the
parties continue with the 'new' contract without re-tendering, the
authority risks a fine and a declaration of ineffectiveness, which
would result in the contract being set aside.
52.
Reg. 72 sets out a comprehensive set of principles that will
determine when a contract may be modified without a new procurement
and when a new procurement procedure will be required.
53.
The threshold for service contracts is currently set at
£213,477. Whilst it seems unlikely in this particular case,
if the total value of the contract (together with the proposed
extensions and all other previous extensions and/or variations
before that) falls below this threshold, the Procurement Regs will
not apply.
54.
Assuming that the Procurement Regs could apply in this instance,
the contracts already contain an existing right to extend the
duration of all or any specific bus routes (by any existing right,
one does not mean via a variation and/or change control procedure,
but a specific clause that sets out a right to extend and when and
how this right can be exercised), then this would be permitted
under Reg 72.(1)(a), irrespective of the value of the proposed
extension and/or modification (i.e., “a modification,
irrespective of value, which has been provided for in the initial
procurement documents in clear, precise and unequivocal review
clauses, which state the scope and nature of possible modifications
or options as well as the conditions under which they may be used,
and do not provide for modifications or options that would alter
the overall nature of the contract”).
55.
In the absence of such a clause, any extension would be a variation
to the contract and in this instance would need to be justified
under one or more of the following safe harbour provisions under
Reg. 72:
·
Reg 72(1)(b) - “additional works, services
or supplies by the original contractor, where their provision by a
different contractor is not possible for economic or technical
reasons or would cause significant inconvenience or substantial
duplication of costs (so long as the increase in price does not
exceed 50% of the value of the original contract)”.
NOTE – It may be possible, based on the
values in this report, to justify any extensions and/or variations
under this Reg. However, reliance upon Reg 72(1)(b) requires CYC to
submit a modification notice on the UK e-notification service,
Find a Tender. This would alert the rest of the market to
what CYC are proposing to do and may invite scrutiny and challenge.
That said, given the nature of the contracts in this instance, the
proposed duration of extensions, and the fact the extensions are to
allow completion of the Bus Network Review to facilitate future
procurement exercises, there is a fairly good chance that no such
challenge and/or complaint would materialise. It is difficult to
know however until the notice is published.
·
Regs 72(1)(f) and 72(5) – where the proposed
extensions and/or changes are considered to be low-value/risk
(i.e., “where the proposed extension and/or modification is
below the relevant procurement threshold (i.e., £)
AND is worth less than 10% of the initial contract
value for bus services when it was original advertised and went out
to tender, AND provided that the modification does
not alter the overall nature of the contract).
NOTE –Whilst the value of the proposed
extensions set out within this report would arguably meet these
requirements, the thresholds above are cumulative. So, if there
have been any other low-value changes to this contract, and the
cumulative total value of those changes exceeds either the 10%
threshold and/or the relevant procurement threshold, then Regs
72(1)(f) and 72(5) will NOT be available to CYC. Any
modification under these Regs does not require a modification
notice on the UK e-notification service, Find a Tender.
·
Regs 72(1)(e) and 72(8) – where the proposed
extension (irrespective of its value) is deemed to be a
“non-substantial change”. In this context, the
extension and/or modification would have to meet ALL
of the following criteria:
o
The extension and/or modification does not render the contract
materially different in character from the one initially
concluded.
o
The extension and/or modification does not conditions which, had
they been part of the initial procurement procedure, would
have:
§
Allowed for the admission of other candidates than those initially
selected;
§
Allowed for the acceptance of a tender other than that originally
accepted; or
§
Attracted additional participants in the procurement procedure.
o
The extension and/or modification does not alter the economic
balance of the contract in favour of the operator in a manner which
was not provided for in the initial contract.
o
The extension and/or modification does not considerably extend the
scope of the original contract - a variation is likely to be deemed
“substantial” where it evinces an intention on the part
of the contracting parties to rewrite key terms of their contract,
including with respect to the nature and extent of services to be
provided.
o
A new contractor does not replace the current operator by virtue of
the extension and/or modification.
Note – based on the limited information set out
within this Report, it may be possible to justify the extensions
under Regs 72(1)(e) and 72(8). Most of the criteria appear to have
been met. The only possible outlier is whether the extension would
have altered the original tender, but given the low value of the
extensions, the short duration and the fact the services during the
extension period, it may be arguable that this criterion has been
met also. Any modification under these Regs Any modification under
these Regs does not require a modification notice on the UK
e-notification service, Find a Tender.
56.
A substantial variation can relate not only to the type of services
provided, but also their duration, location and the identity of
their supplier. Note that a contract may be deemed varied even
where the terms themselves do not change, but one of the parties
does not fully enforce those terms (e.g., where a contracting
authority waives an obligation on the part of a supplier to provide
a particular service despite it featuring in the original bid).
Similarly, a decrease in the scope of works under a public contract
may also amount to a substantial variation.
57.
Where any of the above-mentioned permitted grounds under Reg 72 do
not apply, then the extension and/or variation to any service
contract will be deemed unlawful and (subject to certain limited
exceptions) trigger the need to restart the tender process. In that
case, various remedies are available to both CYC and aggrieved
unsuccessful bidders. For example, CYC may be entitled to terminate
its contract if it has been subject to an impermissible
modification which would have required a new procurement process
(Reg 73(1)(a)). If no such provisions are specifically included,
they will be implied by law. The contractual provisions may
regulate notice and how the consequences of termination will be
dealt with. Should the contract remain in operation and varied by a
prohibited modification (and where no new procurement process was
reopened), it may be subject to a declaration of ineffectiveness,
although this remedy is subject to strict time limits (Reg
93(2)).
58.
Further detailed advice must be sought from both Commercial
Procurement and Legal Services before proceeding with any proposed
extension and/or variation to any bus service contract to ensure
compliance with Reg. 72 (where applicable).
59.
Reg 72 of the Procurement Regs only apply insofar as any contract
with a bus operator is considered a service contract – one of
the key components of which is that CYC pays the operator for the
provision of the services.
60.
The contracts may be structured as a concession contract, which is
to say a contract where CYC has entrusted the provision and the
management of bus services to one or more operators, the
consideration of which consists either solely in the right of the
bus service operators to exploit the services that are the subject
of the contract (potentially together with payment from CYC), and
the award of the contract involves the transfer to the bus
operators of an operating risk in exploiting the services
encompassing demand or supply risk or both and the part of the risk
transferred to the bus operators shall involve real exposure to the
vagaries of the market, such that any potential estimated loss
incurred by the bus operators shall not be merely nominal or
negligible.
61.
The operators shall be deemed to assume operating risk where, under
normal operating conditions, it is not guaranteed to recoup the
investments made or the costs incurred in operating the works or
the services which are the subject-matter of the concession
contract.
62.
This could very well apply in this instance, in which case the
Procurement Regs would not apply, but instead the Concession Regs
could potentially apply.
63.
The threshold for concession contracts is currently set at
£5,336,937. If the total value of the contract (together with
the proposed extensions and all other previous extensions and/or
variations before that) falls below this threshold, the Concession
Regs will not apply.
64.
Assuming that the Procurement Regs could apply in this instance,
Reg. 43 of the Concession Regs sets out similar rules regarding
modifications to a contract apply to concession contracts as for
service contracts under Reg 72 of the Procurement Regs.
Accordingly, a substantial modification after award of a concession
contract may be considered a new contract, and thus require a fresh
procurement exercise, unless it falls within one of the prescribed
exceptions set out in Reg 43.
65.
Again, where any of the permitted grounds under Reg 43 do not
apply, then the extension and/or variation to any concession
contract will be deemed unlawful and (subject to certain limited
exceptions) trigger the need to restart the tender process. In that
case, various remedies are available to both CYC and aggrieved
unsuccessful bidders. For example, CYC may be entitled to terminate
its contract if it has been subject to an impermissible
modification which would have required a new procurement process
(Reg 44(1)(a)). If no such provisions are specifically included,
they will be implied by law. The contractual provisions may
regulate notice and how the consequences of termination will be
dealt with. Should the contract remain in operation and varied by a
prohibited modification (and where no new procurement process was
reopened), it may be subject to a declaration of ineffectiveness,
although this remedy is subject to strict time limits (Reg
59(2)).
66.
Further detailed advice must be sought from both Commercial
Procurement and Legal Services before proceeding with any proposed
extension and/or variation to any bus service contract to ensure
compliance with Reg. 72 (where applicable).
67.
Further, any extensions and/or variations will be subject to the
requirements of Rule 20 of the Council’s CPRs. Further
detailed advice must be sought from both Commercial Procurement and
Legal Services on this point.
68.
It is also possible that the current contracts with operators may
have been structured as grant funding arrangements, with CYC
providing financial assistance for the operation of these routes.
In which case, not only must any extension and/or modifications be
in accordance with the terms and conditions of said contracts, but
advice must be sought from Legal Services to ensure that said
amended contracts still comply with the requirements of the 2022
Act, and to ensure that such variations are permitted under any
external funding arrangements we have with central government or
any other funder (e.g., BSIP funding arrangements; ZEBRA funding
arrangements, etc.). Any variations to grant funding arrangements
will also be subject to Rules 4 and 20 of the Council’s CPRs,
and Part E of the Council’s Financial Regs.
Procurement
69.
Any proposed works or services will need to be commissioned via a
compliant procurement route under the Council’s Contract
Procedure Rules and where applicable, the Public Contract
Regulations 2015. All tenders will need to be conducted in an open,
fair, and transparent way to capture the key principles of
procurement. Further advice regarding the procurement routes,
strategies and markets must be sought from the Commercial
Procurement team. In addition, any variations, extensions, or
modifications to existing contracts, both Commercial Procurement
and Legal Services must be consulted prior to any agreements or
engagement with the incumbent suppliers taking place.
Health and Wellbeing
70.
The Director of Public Health supports the short-term extension to
existing bus contracts to allow the review to be fully analysed and
discussed with stakeholders and reduce the missed opportunities for
savings. The relationship between transport and health and
wellbeing are well evidenced and notes that:
·
Availability of transport plays a key role in improving access to
health services, particularly for vulnerable groups like older
people.
·
Travel choices can affect physical health in relation to reduction
of body weight and traffic accidents, air pollution.
·
Mode of transport affects physical and mental health and evidence
shows that concessionary travel passes and subsidised travel
expenses are instrumental in making bus transport more accessible
and affordable which improves mental health and wellbeing.
·
Public transport can facilitate social interactions and promote
social inclusion.
Affordability
71.
The bus network offers an affordable transport alternative to
reliance on private car ownership and is accessible to all. It is
therefore vitally important to local communities and the local
economy.
Equalities and Human Rights
72.
CYC has taken account of the Public Sector Equality Duty under
Section 149 of the Equality Act 2010 (to have due regard to the
need to eliminate discrimination, harassment, victimisation and any
other prohibited conduct; advance equality of opportunity between
persons who share a relevant protected characteristic and persons
who do not share it and foster good relations between persons who
share a relevant protected characteristic and persons who do not
share it in the exercise of a public authority’s
functions).
73.
Equality Impact Assessments (“EIAs”) formed
parts of the previous reports on York’s bus network. As this
report makes no change to scope of the projects, the EIAs have not
been reviewed.
Data Protection and Privacy
74.
This report outlines plans to extend existing short-term bus
contracts; therefore no new data protection or privacy implications
are foreseen. A full assessment will be made of the proposals
resulting from the ongoing Bus Network Review, which this report
references.
Communications
75.
While the report seeks approval for short term extensions to align
existing contracts with the review timetable and framework it is
not envisaged that there will be significant demand for the
Communications Service over and above managing any potential
reactive media enquiries
76.
In the longer-term alignment of the review with work on the BSIP
and Local Transport Strategy will be required to bring together
maintain the planned communications work and narrative.
Economy
77.
This report outlines plans to extend existing short-term bus
contracts to enable a Bus Network Review to be completed and
decisions to be taken on how best to target limited bus service
support budgets. A comprehensive, affordable and reliable bus
network is vital to support a strong and sustainable local economy,
therefore a full assessment will be made of the recommendations
arising from the forthcoming Bus Network Review that will follow in
the New Year.
Risks and Mitigations
78.
The minimal-risk option is to maintain the base network to support
the delivery of the BSIP growth targets.
79.
The economic state of the bus industry remains fragile with
operators seeing increases in labour costs and fuel without a
corresponding increase in fare revenue. This makes commercial
services less viable increasing the risk that further services will
be withdrawn. The council is not able (even with BSIP support) to
support all such services and therefore will need to prioritise
which services to support. This will be informed by the Bus Network
Review, the results of which will be presented to the Executive in
January 2024.
80.
The current BSIP funding is due to end on 31 March 2025 and
therefore at that time significant public sector support to the
industry will be withdrawn. If there is no or insufficient
additional funding identified, this will have a significant impact
on bus services in the city at that time.
Wards Impacted
81.
All wards are impacted by the decision.
Contact details
For further information please contact the authors of this Decision
Report.
Author
|
Name:
|
Joanne Waddington
|
|
Job
Title:
|
Interim Head of Sustainable Transport
|
|
Service
Area:
|
Highways and Transport, Place Directorate
|
|
Telephone:
|
07511
160302
|
|
Report
approved:
|
Yes
|
|
Date:
|
06
November 2023
|
Co-author
|
Name:
|
Michael Howard
|
|
Job
Title:
|
Head
of Highways
|
|
Service
Area:
|
Highways and Transport, Place Directorate
|
|
Telephone:
|
07936
341019
|
|
Report
approved:
|
Yes
|
|
Date:
|
06
November 2023
|
Background papers
Council approve 10-Year Plan (York 2032) Agenda for Council on
Thursday, 15 December 2022, 6.30 pm (york.gov.uk) item 36
Executive approve Climate Change Strategy 2022-2032 Agenda for
Executive on Tuesday, 22 November 2022, 5.30 pm (york.gov.uk) item
46
Annexes
Annex
A - York Bus Service Summary