Agenda item

(Safer, Greener & Transport Portfolio Holder) To consider the attached report (C-050-2016/17).

(1)        That, following a procurement exercise, the contract for off street enforcement, cash collection and first line machine maintenance be awarded to NSL Limited at a yearly cost of £181,370 for an initial period of five years with an option to extend by another two;

(2)        That a new post of Car Parking and Street Furniture Supervisor be created to deal with the additional workload associated with the off street parking enforcement and a salary budget allocation in the sum of £32,030 be agreed;

(3)        That a one off budget allocation of £75,000 from the Invest to Save Fund, for the purchase and set up costs of IT infrastructure (hardware and software), be agreed for the delivery of the off street enforcement operations;

(4)     That, after deducting salary costs for the new post, a Continuing Services Budget saving of £58,600 from 2017/18 be noted; and

(5)        That a further report be submitted to the Cabinet detailing any one-off TUPE related costs as soon as these become known.

The Portfolio Holder for Safer, Greener & Transport presented a report on the award of the contract for off street parking enforcement and cash collection.

The Portfolio Holder reminded the Cabinet that the Council had joined the North Essex Parking Partnership (NEPP) in October 2012 for the delivery of off street enforcement and cash collection in all of its car parks. Until that time, the enforcement function was provided by Vinci Parks Limited and the back office functions by in-house staff. As a result of a review carried out by RTA Associates Limited, which demonstrated that there was a clear advantage for the Council to provide off street enforcement operations itself, the Cabinet agreed on 11 January 2016 to give notice to the NEPP. This meant that the Council had to have an alternative arrangement in place by 1 April 2017. 

The Portfolio Holder stated that a procurement exercise for the provision of off street enforcement, cash collection and front line machine maintenance was undertaken under the European Procurement Rules. All the tenders received had been assessed under the previously agreed price/quality ratio of 60/40, and the highest scoring bid was from NSL Limited for an annual cost of £181,370 over a five-year contract with an option to extend for a further two years. It was also proposed to create a new post to manage the additional workload with the off street parking enforcement function, and a £75,000 allocation from the ‘Invest to Save’ fund was requested to cover the purchase and set up costs of the necessary ICT infrastructure. It was highlighted that there would be a revenue saving of £58,600 per annum from 2017/18, even after deducting the salary costs for the new post.

In response to queries from the Members present, the Assistant Director of Neighbourhoods (Technical Services) reminded the Cabinet that the previous Officers who had fulfilled the duties of the proposed new post had either been made redundant or had transferred across to the NEPP under TUPE. Increasing the provision of evening and weekend parking enforcement would also be investigated as the Council could pay for extra enforcement under the terms of the new contract.

The Cabinet welcomed the report and was not surprised that the Council was able to obtain significantly better value from a different provider than the NEPP. The Finance Portfolio Holder, Cllr Mohindra, added that the Council was not looking to increase revenue from Penalty Charge Notices, and the Leader of Council stated that the Council was taking back control of its off street car parks to support the town centres throughout the District.

Decision:

(1)        That, following a procurement exercise, the contract for off street enforcement, cash collection and first line machine maintenance be awarded to NSL Limited at a yearly cost of £181,370 for an initial period of five years with an option to extend by another two;

(2)        That a new post of Car Parking and Street Furniture Supervisor be created to deal with the additional workload associated with the off street parking enforcement and a salary budget allocation in the sum of £32,030 be agreed;

(3)        That a one off budget allocation of £75,000 from the Invest to Save Fund, for the purchase and set up costs of IT infrastructure (hardware and software), be agreed for the delivery of the off street enforcement operations;

(4)     That, after deducting salary costs for the new post, a Continuing Services Budget saving of £58,600 from 2017/18 be noted; and

(5)        That a further report be submitted to the Cabinet detailing any one-off TUPE related costs as soon as these become known.

Reasons for Decision:

The award of the contract to NSL Limited would provide an annual saving of £58,600 from 2017/18, and also offered a number of improvements and enhancements to the service including: faster response times of enforcement teams; monitoring of car parks by Civil Enforcement Officers providing a faster response to faults; scope for future development and enhancement of the service; and the introduction of new technology.

Other Options Considered and Rejected:

To retain the services of the NEPP for off street enforcement, cash collection and machine maintenance; however, the review report undertaken by RTA Associates Limited had clearly demonstrated the clear advantages from the Council providing its own off street enforcement operations.