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Notice Details

Title: Environmental Services with Norse South East
Published by: The Council of the Borough of Havant
Publication Date: 13/08/2019
Deadline Date:
Deadline Time:
Notice Type: VEAT
Has Documents: No
Has ESPD: No
Abstract:

To secure value for money, East Hampshire District Council (EHDC) carried out an options appraisal process for the delivery of its environmental services function. Following the appraisal, EHDC delegated its Environmental Services function to HBC on 31.7.2018.

The environmental services being provided include the collection of household waste and garden waste, recycling collections, grounds maintenance, street cleansing and maintenance and operation of public conveniences and associated environmental services in respect of the administrative area of East Hampshire.

The delegation agreement (delegating functions of EHDC to be performed by HBC) will continue until terminated by either party at any time on giving not less than 18 months written notice.

The provision of the additional environmental services under the services agreement to HBC for the benefit of EHDC is expected to carry on until 29.3.2026.

Voluntary ex ante transparency notice

Directive 2014/24/EU

Section I: Contracting Change entity

I.1) Name and addresses

The Council of the Borough of Havant

Public Service Plaza, Civic Centre Road

Havant

PO9 2AX

UK

Contact person: David Brown

Telephone: +44 2392446524

E-mail: david.brown@easthants.gov.uk

NUTS: UKJ3

Internet address(es)

Main address: https://www.havant.gov.uk

I.4) Type of the contracting authority

Regional or local authority

I.5) Main activity

General public services

Section II: Object

II.1) Scope of the procurement

II.1.1) Title

Environmental Services with Norse South East

II.1.2) Main CPV code

90500000

 

II.1.3) Type of contract

Services

II.1.4) Short description

Havant Borough Council (‘HBC’) and Norfolk County Council (together the ‘Controlling Authorities’) established a joint Teckal body under Regulation 12 of the Public Contracts Regulations 2015 (as amended) (‘PCR 2015’) on 1.4.2016 in Norse South East Ltd (‘the Teckal body’).

Norfolk County Council participates in the control of the Teckal body through its wholly owned subsidiary Norse Commercial Services Ltd which in turn is a shareholder of the Teckal body.

HBC is seeking to vary an existing services agreement it has with the Teckal body in order to provide environmental services to HBC in respect of the East Hampshire District. HBC considers that such services fall within the Teckal body’s essential activities provided back to the Controlling Authorities. HBC’s reasons are informed by a QC opinion.

II.1.6) Information about lots

This contract is divided into lots: No

II.1.7) Total value of the procurement

Value excluding VAT: 30 000 000.00 GBP

II.2) Description

II.2.2) Additional CPV code(s)

90511000

90511200

90511300

90511100

90524100

90610000

90611000

90690000

90700000

90500000

90512000

90514000

90910000

50760000

98371111

77314000

II.2.3) Place of performance

NUTS code:

UKJ3


Main site or place of performance:

In East Hampshire and the administrative areas of Havant Borough Council and East Hampshire District Council.

II.2.4) Description of the procurement

To secure value for money, East Hampshire District Council (EHDC) carried out an options appraisal process for the delivery of its environmental services function. Following the appraisal, EHDC delegated its Environmental Services function to HBC on 31.7.2018.

The environmental services being provided include the collection of household waste and garden waste, recycling collections, grounds maintenance, street cleansing and maintenance and operation of public conveniences and associated environmental services in respect of the administrative area of East Hampshire.

The delegation agreement (delegating functions of EHDC to be performed by HBC) will continue until terminated by either party at any time on giving not less than 18 months written notice.

The provision of the additional environmental services under the services agreement to HBC for the benefit of EHDC is expected to carry on until 29.3.2026.

II.2.11) Information about options

Options: No

II.2.13) Information about European Union funds

The procurement is related to a project and/or programme financed by European Union funds: No

II.2.14) Additional information

The estimated value in II.1.7) and V.2.4) are for environmental services provided to HBC for the East Hampshire area until 29.3.2026.

Section IV: Procedure

IV.1) Description

IV.1.1) Type of procedure

Award of a contract without prior publication of a call for competition in the Official Journal of the European Union

Justification for selected award procedure:

The procurement falls outside the scope of application of the Directive

Explanation:

HBC and EHDC propose to enter into a Delegation Agreement whereby EHDC delegates certain functions in the East Hampshire administrative area to be delivered by HBC from 30.9.2019. Those functions include the collection of household waste and garden waste, recycling collections, grounds maintenance, and street cleansing and maintenance and operation of public conveniences and associated environmental services. The Teckal body currently provides environmental services to HBC under a services agreement which commenced on the 1.4.2016. The estimated annual value of the contract is c 6 300 000 GBP and currently represents the total activity of the Teckal body.

HBC and the Teckal body intend to enter into a supplemental agreement to vary the service agreement to provide additional services for HBC to discharge the functions delegated to it by EHDC. The estimated annual value of the additional services is 4 000 000 GBP.

Regulation 12(4)(b) of the Public Contracts Regulations 2015 (as amended) requires for a jointly controlled Teckal body that more than 80 % of the activities of the controlled body are carried out in the performance of tasks entrusted to it by the controlling contracting authorities.

Whilst EHDC is not a controlling authority of the Teckal body, HBC considers that the additional services under the services agreement to be provided by the Teckal body to HBC for the benefit of and in discharging the delegated function conferred by EHDC fall within the 80 % essential activities entrusted by HBC to the Teckal body.

This is because:

(i) the existing joint arrangements and joint governance in which HBC has responsibilities across the two organisations (and which is further integrated through the delegation agreement) means these are tasks falling on HBC which it can entrust to others to provide; and

(ii) the application of public procurement rules should not interfere with the freedom of public authorities to perform the public service tasks conferred on them by using their own resources, which includes the possibility of cooperation with other public authorities (Recital 31 Directive 2014/24/EU). Regulation 12(4)(b) should therefore be interpreted broadly as providing flexibly for HBC to entrust services to be provided by the Teckal body to support the integrated and delegated arrangements between the 2 authorities.

IV.1.8) Information about Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: No

Section V: Award of contract/concession

V.2 Award of contract/concession

V.2.1) Date of conclusion of the contract/concession

28/12/2018

V.2.2) Information about tenders

The contract has been awarded to a group of economic operators: No

V.2.3) Name and address of the contractor

Norse South East Ltd

Company Number: 9891365

Norwich

CR6 6EQ

UK

NUTS: UKH15

The contractor is an SME: Yes

V.2.4) Information on value of the concession and main financing terms (excluding VAT)

Total value of the concession/lot: 30 000 000.00 GBP

V.2.5) Information about subcontracting

Section VI: Complementary information

VI.3) Additional information

There is a high level of governance and organisation integration between HBC and EHDC. Pursuant to Section 113 of the Local Government Act 1972, they operate under a joint management structure with a shared senior management team. In 2010, the post of Chief Executive was created as a joint role, in 2011 shared directors/executive director posts were created. In 2011/2012 joint service managers were created who a rolled out shared teams across the authorities. The HBC provides the following services to EHDC via an inter-authority agreement: procurement; finance; human resources and IT. The authorities also share the following services: legal, executive support and environmental health. Delegation arrangements are already in place with HBC delegating its parking, traffic management and enforcement functions to EHDC. These proposed arrangements for the performance of environmental services build on existing levels of operational and organisational integration between the two authorities.

VI.4) Procedures for review

VI.4.1) Review body

Royal Courts of Justice

The Strand

London

WC2A 2LL

UK

VI.4.3) Review procedure

Precise information on deadline(s) for review procedures:

In accordance with Chapter 6 application to the Court (Regulation 88 to 104) of the Public Contracts Regulations 2015 (as amended) including Regulation 91 (Enforcement of Duties through the Court); Regulation 92 (general time limits) and Regulation 93 (special time-limits).

VI.5) Date of dispatch of this notice

08/08/2019


Information added to the notice since publication.

Additional information added to the notice since it's publication.
No further information has been uploaded.
Main Contact: david.brown@easthants.gov.uk
Admin Contact: N/a
Technical Contact: N/a
Other Contact: N/a

Commodity Categories

Commodity Categories
IDTitleParent Category
98371111Cemetery maintenance servicesFuneral services
90910000Cleaning servicesCleaning and sanitation services
90524100Clinical-waste collection servicesMedical waste services
90700000Environmental servicesSewage, refuse, cleaning and environmental services
90690000Graffiti removal servicesCleaning and sanitation services in urban or rural areas, and related services
77314000Grounds maintenance servicesPlanting and maintenance services of green areas
90511200Household-refuse collection servicesRefuse collection services
90511300Litter collection servicesRefuse collection services
90500000Refuse and waste related servicesSewage, refuse, cleaning and environmental services
90511000Refuse collection servicesRefuse disposal and treatment
90514000Refuse recycling servicesRefuse disposal and treatment
90512000Refuse transport servicesRefuse disposal and treatment
50760000Repair and maintenance of public conveniencesRepair and maintenance services of building installations
90610000Street-cleaning and sweeping servicesCleaning and sanitation services in urban or rural areas, and related services
90611000Street-cleaning servicesStreet-cleaning and sweeping services
90511100Urban solid-refuse collection servicesRefuse collection services

Delivery Locations

Delivery Locations
IDDescription
100UK - All

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