Agenda item

1.          That the Strategic Director be given delegated authority to seek tenders based on options as outlined in the report, and to agree tender documentation to be used pursuant to the Public Contracts Regulations 2015, selection criteria, and the detailed evaluation criteria for the award of the contract based on a 80% price: 20% quality ratio. and that the tender be advertised as set out in full in Appendix A of report CAB3397 and include the following key provisions:

a) Vehicles should be specified as new at the beginning of the contract with Zero Emissions, a minimum capacity of 70 passengers and a maximum length of 12.5 metres.

b) To include a tender option that allows for Euro VI standard buses (reuse of the existing or same specification buses) so that the comparison cost of a Zero emission vs conventional bus can be determined. This option will also include use of HVO as an alternative fuel.

c) To include tender options to allow for a contract period of 8 years in the case of Zero Emission Buses and up to 5 years in the case of conventional buses.

d) To allow for a peak time vehicle frequency of 10 minutes (7 bus operation) and off-peak (and Saturday) frequency of 15 minutes (4 buses).

f) To operate the P&R service six days a week from 0625 to 1930 (Monday to Friday) and 0700 to 1930 (Saturday).

g) In the in the case of a Zero Emission bus contract the maximum age for the vehicles at the end of the contract be 8 years.  In the case of a Euro VI bus contract the maximum age for the vehicles at the end of the contract be 13 years

h) To run a ‘linked’ bus route, connecting all the City’s Park & Ride sites as detailed in Appendix E of the report.

i) To allow for enhanced levels of operation during the five weeks before Christmas including provision of a Christmas Sunday shuttle service.

j) In the case of a Euro VI standard bus contract the notice of termination be set at a level of six months to allow for a scenario where WCC is successful in obtaining grant funding for a replacement Zero Emission bus contract.

2.          That the outcome of the tendering process be reported to Cabinet in Autumn 2023 for approval to award the contract and noting that this will need to be considered in relation to the council’s overall budget position and in context of car parking charges. 

3.          That the tendering process recommended in the previous recommendations is subject to achieving agreed heads of terms with Hampshire County Council for lease renewals for South Winchester, Barfield and St Catherine’s Park and Ride car parks.

4.          That the Corporate Head of Asset Management be authorised to enter into lease renewals for South Winchester, Barfield and St Catherine’s Park and Ride car parks and negotiate terms.

In Councillor Learney’s absence, Councillor Tod introduced the report, highlighting the challenges currently faced in securing electric buses and the proposals to enable alteration of the contract should this position change.

Phil Gagg (WinACC) spoke during public participation as summarised briefly below.

He expressed concern that the requirement to tackle the climate emergency, including the council’s own declared targets, were not specifically mentioned in the report.  The only option to address this was to have net zero emissions at its core through the introduction of electric zero emission buses.  He suggested that if savings were required to enable their purchase, this could be achieved through other means such as using the Hampshire Enhanced Bus Partnership to integrate park and ride services with town services or the more aggressive transfer of parking away from city centre car parks to park and ride.

At the invitation of the Leader, Councillors Wallace and Bolton addressed Cabinet as summarised briefly below.

Councillor Wallace

He concurred with the points made by Mr Gagg.  He queried why an alternative business case was not being examined to address the reduction in the buses being used by those travelling to work.  He suggested work on the Station Approach area could be progressed to increase usage of existing car parks.  In general, he was disappointed in the report as currently set out and hoped that the council would reconsider its options in order to address its climate commitments.

Councillor Bolton

He welcomed the approach suggested to enable break clauses in the contract should future funding for electric buses become available.  He suggested that a review should be undertaken to better assess current usage of the service, for example to obtain more understanding of visitor and shopper use.   He considered that even if government grants became available, the introduction of electric buses was likely to create additional costs requiring ongoing support from the council.  He asked how it was proposed this would be funded.

Councillor Tod responded to comments made and confirmed the council’s commitment to net zero carbon emissions.   The cost of the park and ride service would be expected to be met from the overall parking budget.  The Head of Programme also responded to comments made regarding any possibility of integrating services and confirmed that a full review of the current usage of the service had been undertaken jointly with the county council.

Cabinet agreed to the following for the reasons set out in the report and addendum and outlined above.

RESOLVED:

1.         That the Strategic Director be given delegated authority to seek tenders based on options as outlined in the report, and to agree tender documentation to be used pursuant to the Public Contracts Regulations 2015, selection criteria, and the detailed evaluation criteria for the award of the contract based on a 80% price: 20% quality ratio. and that the tender be advertised as set out in full in Appendix A of report CAB3397 and include the following key provisions:

a) Vehicles should be specified as new at the beginning of the contract with Zero Emissions, a minimum capacity of 70 passengers and a maximum length of 12.5 metres.

b) To include a tender option that allows for Euro VI standard buses (reuse of the existing or same specification buses) so that the comparison cost of a Zero emission vs conventional bus can be determined. This option will also include use of HVO as an alternative fuel.

c) To include tender options to allow for a contract period of 8 years in the case of Zero Emission Buses and up to 5 years in the case of conventional buses.

d) To allow for a peak time vehicle frequency of 10 minutes (7 bus operation) and off-peak (and Saturday) frequency of 15 minutes (4 buses).

f) To operate the P&R service six days a week from 0625 to 1930 (Monday to Friday) and 0700 to 1930 (Saturday).

g) In the in the case of a Zero Emission bus contract the maximum age for the vehicles at the end of the contract be 8 years.  In the case of a Euro VI bus contract the maximum age for the vehicles at the end of the contract be 13 years

h) To run a ‘linked’ bus route, connecting all the City’s Park & Ride sites as detailed in Appendix E of the report.

i) To allow for enhanced levels of operation during the five weeks before Christmas including provision of a Christmas Sunday shuttle service.

j) In the case of a Euro VI standard bus contract the notice of termination be set at a level of six months to allow for a scenario where WCC is successful in obtaining grant funding for a replacement Zero Emission bus contract.

2.         That the outcome of the tendering process be reported to Cabinet in Autumn 2023 for approval to award the contract and noting that this will need to be considered in relation to the council’s overall budget position and in context of car parking charges. 

3.         That the tendering process recommended in the previous recommendations is subject to achieving agreed heads of terms with Hampshire County Council for lease renewals for South Winchester, Barfield and St Catherine’s Park and Ride car parks.

4.         That the Corporate Head of Asset Management be authorised to enter into lease renewals for South Winchester, Barfield and St Catherine’s Park and Ride car parks and negotiate terms.