Agenda item

To receive a presentation on the Highways and Transport Contract

The Chair welcomed members of the Corporate Overview and Scrutiny Committee, who would be joining the members of Place Overview and Scrutiny Committee to carry out joint scrutiny on the Highways and Transport Contract Review.

The Chair welcomed Councillor Phil Larratt the Cabinet Member for Environment, Transport, Highways and Waste, Nick Henstock the Head of Highways and Transport, James Birch (Kier Highways) and Richard Brooks (Anthony Collins Solicitors).

Councillor Larratt introduced the item. Nick Henstock the Head of Highways and Transport provided the Committee with a presentation outlining the process with which the contract was awarded and the details included within the contract.

Richard Brooks of Anthony Collins Solicitors outlined the legal aspects of the procurement exercise, which was bound by the Public Contract Regulations 2015. The procurement involved a mathematical process for identifying the winning bidder.

James Birch of Kier noted that the current contract had been jointly operated by Kier and WSP which had led to limitations on how the contract could operate. The new contract would be operated by Kier only, with a new team and a focus on the customer, the environment and sustainability. Kier already had vast knowledge of the network and would promote a stance that was customer and member centric with an emphasis on community engagement.

The Chair welcomed the presentation and invited Members to ask any questions. The Committee made comments and asked questions. In response to questions, the following points were explained:

• Kier were the highest scoring contractor under every variant on quality and price
• The previous contract had no flexibility and was inadequately resourced. There would be more staff going forward as well as a 12.5% increase in funding
• The contract was a new opportunity and member support was needed for monitoring, scrutinising and reviewing.
• The Business Plan would be shared once available and a member Briefing session arranged.
• WNC and NNNC would share the same contractor which would provide flexibility and savings, but both Authorities would have separate contracts
• Supervisors will be ‘on the ground’ on a regular basis, rather than office based
• Kier wanted to increase the number of women employed across the business, particularly in operational roles.
• An inclusive recruitment policy would be pursued, including working with NEETS (Not in Education, Employment or Training), graduates and apprentices
• Financial Standing requirements had been considered and passed, and financial data analysed to assess any risks. The contract required Kier to settle any damage claims if they were found to be at fault. A web link would be sent to Councillors explaining the criteria.
• A ‘common sense’ approach would prevail. i.e. if a pothole was filled and a pothole nearby did not fulfil the criteria yet, it would be filled too.
• A more efficient use of the workforce was proposed, which would lead to an improved service provision
• Parish engagement would be welcomed and Parishes/NCALC be briefed on the proposals in July
• The Key Performance Indicators (KPIs) would be shared with the Committee
• A sharing mechanism had been included in the contract to share any financial benefit accruing from efficiencies. An innovation fund had also been established.
• The service should be seamless to residents with one point of contact

At 7.45pm, the Chair called a brief break in proceedings. The meeting reconvened at 7.55pm

Following discussions with the Chair, Councillor Ian McCord announced that a joint Task and Finish Panel would be set up to review the contract, comprising five members from each committee. Members were asked to email the two Chairs with their interest in joining.

Councillor Danielle Stone proposed three recommendations:

i)                That Cabinet agrees that major contracts undergo pre-scrutiny

ii)              That contracts should align with strategic plans

iii)             that contracts should be able to illustrate how much of the money stays in the local area.

The proposition was seconded by Councillor Sally Beardsworth. On being put to the meeting the recommendations were agreed with 15 voting in favour and nine against.

The Chair thanked officers for their presentation and members for their contributions.

RESOLVED:

That the Place Overview and Scrutiny Committee and Corporate Overview and scrutiny Committee:

i)                Notes the presentation on the Highways and Transport Contract.

ii)              Agrees to the formation of a joint Task and Finish Panel with the Corporate Overview and Scrutiny Committee to review the contract, with five members from each Committee

iii)             Recommends to cabinet that major contracts undergo pre-scrutiny

iv)             Recommends to Cabinet that Contracts should align with strategic plans

v)              Recommends to Cabinet that contracts should be able to illustrate how much of the money stays in the local area.