2016-10-17 GC Agenda - Att 1 to Item 7 - Electric Bus Trial Lease Agreement

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                 11 OCTOBER 2016


                                                      Noosa Pre                           Proposed
                                                                          SCRC
                                                        2008                                Trial
 Cooroy Noosa Rd (Gyndier Dr-Moorindil)
 Eenie Crk Road to David Low Way
 David Low Way (Heathland Dr-Peregian)
 Eumarella and Motorway Round-a-bout

 Industrial Estates                                   6 weeks      6 weeks               4 weeks
 Renee St, Commerce Ct, Lionel Donovan Dr

 Residential Roads                                    8-12 weeks   Council 12 weeks      8-12
                                                                   Contractor 16-18      weeks
                                                                   wks

Some of the risks identified at the time were the potential for reduced life and higher maintenance
on the street sweeper vehicle. These issues did eventuate, and despite the best efforts of Council’s
Fleet team, the sweeper was decommissioned at the end of February 2016. Since this time,
Council has carried out its street sweeping programme using the contract arrangement established
by SCRC prior to de-amalgamation. This contract, No. 1213094 for Street Sweeping Services Zone
1 is due to expire on 13 October 2016.

Council has therefore partnered with Local Buy to establish a Local Government Association
Arrangement for ongoing provision of this service following expiry of the existing contract. The term
of this contract is two (2) years, plus two optional terms of twelve months each will be offered
depending on the satisfactory performance of the contractor.

The Request for Tender (RFT) for LBNA04 Street Sweeping Services closed on Tuesday 23
August 2016 with three (3) tender responses:

1.    Specialised Pavement Services Pty Ltd
2.    Cooloola Excavations Pty Ltd
3.    Environmental Wastewater Catchment Services Pty Ltd trading as Enviro Sweep

The tender from Cooloola Excavations Pty Ltd was deemed non-conforming as the company does
not presently have a street sweeper (they have indicated they will purchase one if successful).
Additionally, no evidence was provided demonstrating that they have any licenced operators, and
a complete Certificate of Currency for their motor vehicle policy was not provided.

One of the remaining tenderers submitted a more economical price based on the possibility of
disposing of the collected waste material at Council’s stock pile sites. This was to be at no cost to
the contractor, and with Council responsible for the subsequent disposal or processing of this
collected waste material. Due to the potential savings involved with this option, a revised pricing
schedule was requested from the remaining contractor for a similar option.

Ultimately both tenderers offered a significant price reduction for this alternative option and it was
considered that Council could manage the waste material at a lower cost. The cost associated
with the disposal of collected waste by Council rather than the contractor will need to be determined
to understand the total financial cost of the new arrangement and for budget purposes on an
ongoing basis. Options are currently being investigated including exploring the possibility of
working with a company who will take the sweepings at no cost to Council. It is expected that the
potential total cost would be in the range between $0 and $20,000.

Following evaluation of the tender submissions & referee check, the evaluation panel
recommended that Local Buy award LBNA04 to Environmental Wastewater Catchment Services
Pty Ltd trading as Enviro Sweep based on their revised pricing schedule.



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