Issue - meetings

This report seeks approval to start formal procurement of future long term waste treatment services subject to approval of the business case by the Department for Environment, Food & Rural Affairs (DEFRA) and updates Members on the proposed approach to sites and planning.

RESOLVED:             (i)            That the Director of City Strategy be authorised to:

a)                 Commence formal procurement of residual waste treatment facilities, in line with the Private Finance Initiative (PFI), following successful approval of the Outline Business Case by the Treasury Project Review Group;

b)                 Utilise the proposed evaluation methodology (most economically advantageous tender) identified in the report;

c)                  Develop and implement evaluation criteria subject to a further report setting out the evaluation process and resource input required;

                        (ii) That a further update report be brought by the Director of City Strategy to the Executive identifying sites suitable for residual waste treatment facilities.

REASON:To progress the Waste PFI project into the procurement phase.

Members received a report which sought approval to start formal procurement of future long term waste treatment services subject to approval of the business case by the Department for Environment, Food & Rural Affairs (DEFRA) and updated them on the proposed approach to sites and planning.

It was reported that the Procurement Project for long term Waste Management Services had now moved from the planning stage into delivery.  There was therefore a need for the Councils (City of York and North Yorkshire) to confirm new intentions and begin to identify sites for potential development, and work towards planning applications that would demonstrate the deliverability of the project.  An essential part of this next stage was effective communication with stakeholders and the public.  Subject to approval of the business case by Treasury Project Review Group (PRG), the final procurement of the long-term service would start with publication of a notice in the European Journal.  This required the Councils to have identified the broad criteria by which they would assess bids.  The criteria proposed in the report reflected industry standards and were in line with financial regulations and would ensure the successful bid was technically sound, environmentally responsible and cost effective.

The report presented the following options for consideration:

·  Option i. – To approve the recommendations arising from the report, thus enabling the project to move into the procurement phase;

·  Option ii. – To reject the proposed recommendations, which would mean that City of York Council would need to re-negotiate the criteria, delaying the issue of the Prior Information Notice (PIN) at a potential cost in Land Allowance Trading Scheme (LATS) penalties of £940k per month to the partnership.

RESOLVED:             (i)            That the Director of City Strategy be authorised to:

a)                 Commence formal procurement of residual waste treatment facilities, in line with the Private Finance Initiative (PFI), following successful approval of the Outline Business Case by the Treasury Project Review Group;

b)                 Utilise the proposed evaluation methodology (most economically advantageous tender) identified in the report;

c)                  Develop and implement evaluation criteria subject to a further report setting out the evaluation process and resource input required;

                        (ii) That a further update report be brought by the Director of City Strategy to the Executive identifying sites suitable for residual waste treatment facilities.

REASON:To progress the Waste PFI project into the procurement phase.