The Cabinet has decided to re-procure a contract for the provision of residual waste treatment to ensure service continuity and meet waste management objectives.

URL: https://cmttpublic.cheshirewestandchester.gov.uk/ieDecisionDetails.aspx?ID=1991

Decision Maker: Cabinet

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose: This report will seek approval to initiate the re-procurement exercise for the provision of residual waste treatment due to the expiry of the existing contract on 31 March 2027, and seeks delegation of authority to the Director of Environment and Communities to award the contract.

Content: This report will seek approval to initiate the re-procurement exercise for the provision of residual waste treatment due to the expiry of the existing contract on 31 March 2027, and seeks delegation of authority to the Director of Environment and Communities to award the contract. Cabinet considered the report of the Director of Environment and Communities concerning the procurement of a new contract for the provision of the transfer and treatment of the Council’s collected residual (non-recyclable) waste.  The report also included information regarding the process undertaken to determine the scope of the re-procurement route, preferred delivery model, contract length and other key elements of the Commissioning Plan.   Members noted that the Council managed approximately 70,000 tonnes of residual waste each year, mostly collected through the kerbside black bin services and Streetcare services.  The current contract with FCC Environment Ltd had commenced in 2014 and was due to expire in March 2027.  The report detailed the process for considering different commissioning options and the reasons for the recommendation to include the full scope of services under a single integrated contract, replicating current arrangements.  This would cover the management of waste transfer facilities, as well as haulage and treatment.   Councillor Karen Shore, Cabinet Member for Transport and Highways (including Waste), led the discussion on the item as proposer and the item was seconded by Councillor Carol Gahan, Cabinet Member for Finance and Legal.   Councillor Shore said that for reasons of transparency, although this information was recorded on her register of interests, she wished to declare that her husband works for a company which potentially may submit a bid for the contract when that stage is reached.  She said that for this reason the Cabinet Member for Finance and Legal was referred to in recommendation 2 as a consultee when awarding the contract to the successful bidder, instead of her.   Visiting Members:  Councillor Charles Hardy spoke on behalf of Councillor Simon Eardley in relation to the item.   Cabinet members welcomed the report and highlighted the already positive recycling rates within the borough, however they acknowledged that green technologies were still underdeveloped in the UK.  They felt that the council could be well placed, as part of the Cheshire and Warrington Devolution deal, to encourage further green innovations going forward.  With new technologies emerging over time, there would be flexibility in the contract to be able to test out new treatments.   Whilst Members noted the information provided in the confidential Appendix 1, they confirmed they did not need to discuss its contents and there was therefore no requirement to move the meeting into Part B private.   DECIDED:    That   1)            the preferred service delivery model, being a single integrated contract to manage the Council’s collected residual waste, and effective from    1 April 2027, be agreed; 2)            the Director of Environment and Communities, in consultation with the Director of Finance and the Cabinet Member for Legal and Finance, be delegated authority to agree the terms of the contract and award the contract to the successful bidder, providing it falls within the budget set out in Appendix 1 (Part B); and 3)            the Chief Operating Officer be delegated authority to agree any property arrangements required to facilitate the award of the contract.   Reason for Decision   These recommendations are made to:         i.        ensure service continuity upon the expiry of existing contractual arrangements so the Council can continue to perform its statutory duty as a waste disposal authority to manage all collected residual waste;     ii.        deliver the Council’s ten-year Waste Strategy, and    iii.        ensure future costs of managing residual waste can be met by re-procuring at a time where there is a competitive market.   Alternative Options   Thirteen delivery scenarios were considered and evaluated against Critical Success Factors (Appendix 2, pages 6 to 9). From this, one scenario was parked to be considered as part of the dialogue process, and eight were not progressed as they were unlikely to meet the procurement objectives. Four potential delivery scenarios were further evaluated to compare strengths, weaknesses, opportunities and threats against different “packaging” options (this explores the impacts of splitting the treatment contract into more than one contract - for example, for different waste types). For the reasons set out in this report the recommendation is that all three service (waste transfer, haulage and treatment) is delivered by a single residual waste treatment operator in one integrated contract.

Date of Decision: July 9, 2025