Issue - items at meetings - Dial & Ride: Funding and delivery arrangements

The Director of Transport, Environment and Planning to present a report which details options for the procurement of York’s Dial & Ride services versus a grant funding model for the existing provider, York Wheels, following expiry of the current funding arrangements for York Wheels.

Resolved: (i) That authority be delegated to the Corporate Director of Place, in consultation with the S.151 Officer and Director of Governance, to enter into a grant funding model with York Wheels for the Dial & Ride Service.

Reason: To ensure that local community transport services continue to operate at full strength on a stable financial basis.

(ii) That approval be given for the grant-funded replacement of two minibuses, in compliance with current council fleet replacement policies.

Reason: To ensure that the Dial & Ride service meets the highest reliability and safety standards going forward within the available budget.

(iii) That the additional cost of the service going forward be recognised, and that it be noted that this will be funded from Bus Service Operator Grant (BSOG).

Reason: To ensure that new service is funded within available budgets.

(iv) That the Corporate Director of Place be authorised to open discussions with York Wheels about how they may be able to support Blue Badge Holders with access to the City Centre up to the value of £50k.

Reason: To ensure that the Dial & Ride is part of the solution to ensuring disabled access to the city centre in the future.

The Director of Transport, Environment and Planning presented a report which detailed options for the procurement of York’s Dial & Ride services versus a grant funding model for the existing provider, York Wheels, following expiry of the current funding arrangements. A decision was also sought on the replacement of two life-expired Dial & Ride minibuses, and the funding of enhancements to the service after further engagement work with blue badge holders.

York Wheels had operated the service for many years under a service level agreement (SLA), in a manner which provided excellent value for money. However, the SLA required annual review, and a longer term agreement was needed to safeguard the future of the service. Two options were available, as detailed in paragraphs 35-56 of the report:

Option 1 – provide a revenue grant to York Wheels to enable them to operate both Dial & Ride and the Voluntary Car Share Scheme as an independent client organisation, as recommended (cost: £121k per annum revenue funding plus approx. £15k per annum concessionary travel reimbursement).

Option 2- provide grant funding to York Wheels to enable them to operate the Care Share Scheme only, as an independent client organisation, and undertake a competitive tender to find a Dial & Ride operator. Not recommended, due to the additional costs likely to be factored in by commercial operators, removal of the flexibility of the existing model and the risk of an adverse impact upon York Wheels as a charity.