2022-09-12 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA                                        12 SEPTEMBER 2022


   Option 3 (Recommended) – Indexation to Fair Work Commission wage rises with
   agreed service level increases – agreement value $1,694,186
   Council enters into an agreement with SLSQ with annual increases indexed to Fair Work
   Commission wage rises and service levels determined in collaboration with SLSQ
   This option involves Council entering into an agreement with SLSQ for the provision of
   lifeguard services with annual increases indexed to Fair Work Commission wage rises and
   equipment/consumables indexed to CPI with service level increases determined in
   collaboration with SLSQ
   Opportunities
      Price increase of $151,188 or 10% (comprising $126,518 service level increase and
       $24,670 increase to equipment and consumables) more than current agreement value.
      Increased service levels developed in a collaborative process with SLSQ.
      Reduced impact to ratepayers compared to other options.
      SLSQ starting price is $110,000 lower than the CPI indexation model.
      Addresses SLSQ concerns regarding indexation to Fair Work Commissions to manage
       enterprise risk.
   Risks
        Indexation is not guaranteed to be lower than CPI over the life of the agreement.
        More expensive than both Option 1 and 2.

   Option 4 – Indexation to Fair Work Commission wage rises with service level increases
   as per RFQ – agreement value $1,746,907
   Council enters into an agreement with SLSQ with annual increases indexed to Fair Work
   Commission wage rises with service levels determined by Council
   This option involves Council entering into an agreement with SLSQ for the provision of
   lifeguard services with annual increases indexed to Fair Work Commission wage rises and
   equipment/consumables indexed to CPI with service level increases determined by Council
   as per the RFQ
   Opportunities
      Higher service levels.
      Addresses SLSQ concerns regarding indexation to Fair Work Commissions and
       managing enterprise risk.
      SLSQ starting price is $110,000 lower than CPI indexation model (option 5).
   Risks
        Price increase of $204,000 or 13% more than the current agreement value.
        Increased financial impact to ratepayers.
        Indexation is not guaranteed to be lower than CPI over the life of the agreement.
        More expensive than most other options.
        Service levels not developed collaboratively with SLSQ.

   Option 5 – Indexation to CPI with service level increases as per RFQ – agreement value
   $1,856,264
   Council enters into an agreement with SLSQ with annual increases indexed to CPI with
   service levels determined by Council
   This option involves Council entering into an agreement with SLSQ for the provision of
   lifeguard services with annual increases indexed to CPI with service level increases
   determined by Council as per the RFQ



                                                                                Page 48 of 85