2016-12-12 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                               12 DECEMBER 2016


Stage 5 – Scoring of ABC offers – (all Separable Portion Grouped together).

Two companies - Cleanaway and Veolia provided a combined ABC offer, (i.e. the offers were a
group offer of all separable portions which could not be separated. The offer by Cleanaway (the
only offer made by that company), was the best offer in the group, both in scoring of non-price
criteria and including price in the scoring. Cleanaway did not offer a financial discount on their
offer advising they had tendered their best price for their combined ABC offer. Veolia offered a
lump sum discount on their ABC offer. This discount was included in the financial evaluations.

Stage 6 – Determining the most advantageous tender for Council.

To ensure that the Cleanaway ABC offer was the most advantageous offer to Council overall, the
ABC offer provided by Cleanaway was then compared to:
 The best offer found in Stage 3, (where the best combinations of offers for each of the
   portions A+B+C had identified Veolia as the preferred tenderer);
 The best offer of combinations of offers in Stage 4 – the Veolia A+BC offer; and
 The Veolia ABC offer, (which is a better offer than the A+B+C offer by Veolia).

In the final analysis the combined ABC offer by Cleanaway was evaluated as the best offer both
from a non-price perspective and when price was taken into consideration. The Cleanaway offer
provides a total annual price differential of approximately $1.5 million over the next best offer (the
Veolia A+BC offer).

Stage 7 – Negotiations with shortlisted tenderers

The tender evaluation team held an evaluation meeting on Friday 11th November 2016 with
Cleanaway and Veolia as the two shortlisted tenderers to discuss and refine their submissions
and to endeavour to resolve areas of concern for Council in the offers made. The negotiations did
not change the evaluation team’s recommendation regarding the successful tenderer. Negotiated
contract enhancements will be included in the final contract documents where necessary
following further discussions between Council’s legal representatives and the contractor.

Given the large scale of the contract requirements, most tenderers submitted a Schedule of
Departures detailing where they could not comply, or were not prepared to comply fully with the
tender or contract requirements. Some of these departures are unacceptable to Council and
were the subject of the tender negotiation meeting on 11th November 2016 to present Councils
preferred outcome.

Proposed Successful Tenderer
The tender evaluation team recommends awarding a contract to Cleanaway Pty Ltd for their
combined ABC offer as the most advantageous offer to Council. Awarding the combined contract
to Cleanaway also provides the following advantages:
 The appointment of a single contractor for all 3 separable portions will limit the potential for
   conflicts between contractors that may arise on the landfill / resource recovery site if separate
   contractors were to occupy the area. It also limits potential conflicts between the waste
   collection contactor delivering waste for disposal or resource recovery.
 One contractor is responsible for the whole chain of custody of waste – collection, resource
   recovery, disposal thereby enhancing the opportunities to be creative with waste and
   resources.




                                                                                      Page 49 of 81