2016-12-12 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                             12 DECEMBER 2016


A total of 39 written tender queries were received from prospective tenderers and answered
during the tendering period. Some tenderers requested clarifications of the tender specifications
and others wanted to obtain additional data for preparation of their tender pricing. This number of
enquiries is considered normal for a complex waste management contract involving solid waste
collection, landfilling and resource recovery services.

Probity Management
Crowe Horwath Australasia was selected as the probity auditor for the tender process and
provided guidance, advice and assistance throughout the tender process. The probity auditor
was specifically involved in the following processes:
 Development of the probity plan and procurement plan;
 Oversight of the confidentiality declarations by staff involved in the tender;
 Held meetings with key staff to explain their confidentiality obligations;
 Attendance at the tender briefing session for tenderers held on 19 July and the inspection of
   landfill, transfer stations and the resource recovery facility;
 Tender opening from the LG Tender Box secure online system;
 Attendance at the tender scoring sessions by the evaluation team;
 Review of the scoring spreadsheets for correctness;
 Attendance at the tender negotiation meetings ;
 Provision of a “Probity Audit Report – Waste Management Contract Tender 2017-2024”

The executive summary from the auditor’s report has been included as Attachment 1 to this
report. There were no ‘substantial’ departures from the probity plan during the tender project.

Introduction of 3 bin Service (Waste, Recycling, Garden Waste) to Single Domestic
Premises
Part 2A Section 7 of the Waste Reduction and Recycling Regulations 2011 “DESIGNATION OF
AREAS BY LOCAL GOVERNMENTS FOR GENERAL OR GREEN WASTE COLLECTION”
prescribes:

Designation of areas
A local Government may –
(a) By resolution, designate areas within its local government area in which the local
      government may conduct general waste or green waste collections: and
(b) Decide the frequency of general waste or green waste collection in the designated areas.

A note is attached to the end of Section 7 in the legislation indicating that if a local government
conducts a green waste service as a significant business activity, (Council’s waste management
activities are in fact a significant business activity) the requirements of the Local Government Act
in relation to business reform and competitive neutrality apply.

Concerns regarding Council conducting potential anticompetitive behaviour in introducing a 3 bin
service (including a fortnightly garden waste service) to single domestic dwellings in urban areas
were raised. The introduction of a garden waste service has the potential to negatively impact
those engaged in the provision of similar services, (i.e. gardeners removing garden waste from
premises as part of a paid provided service may lose business). To assess the risk associated
with this issue staff sought legal advice from King and Company, who advised it would be
prudent for Council to seek the opinion of the Australian Competition and Consumer Commission
(ACCC) prior to any introduction of the 3 bin service.



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