BOROUGH OF POOLE
TRANSPORTATION ADVISORY GROUP - 7 JANUARY 2010
REPORT OF HEAD OF TRANSPORTATION SERVICES
ON TRAFFIC SIGNALS MAINTENANCE CONTRACT
PART OF THE PUBLISHED FORWARD PLAN – No
STATUS (Service Delivery)
1.Purpose of Report
1.1This report considers the contract for the provision, installation and maintenance of traffic signal equipment throughout the Borough.
2.Decision Required
It is recommended that the Portfolio Holder be requested to approve :
2.1The procurement of the contract for traffic signal equipment in partnership with Dorset County Council and Bournemouth Borough Council, as described in this report.
3.Information
3.1The current Traffic Control and Information Systems Maintenance contract, let jointly between Dorset, Poole and Bournemouth, has been in place for 6½ years and expires on 31 March 2011. To ensure continuity of service delivery it is necessary to let a tender for a new 10-year contract starting on 1 April 2011.
3.2It is proposed that this principle of joint arrangements continue for the purposes of the procurement of the new contract, on the basis that this would achieve the most favourable terms available through economies of scale. The arrangements would be that Dorset County Council would lead on the procurement process
3.2The value of contract requires advertisement through the Official Journal of the European Union ( OJEU ). While it is being procured essentially for the three partner authorities, it does include an option for Somerset County Council to join the Partnership if required, on terms to be agreed, during the term of the new contract.
3.3Traffic Control and Information system equipment currently includes Traffic Signals, Pedestrian and Cycle Crossings, School Crossing Signs and many other highway electronic information systems. Variable Message Signs, Vehicle Activated Signs, and Real Time Information Systems are currently maintained under separate contracts.
3.4The majority of traffic signal systems operate on the main road network, providing control for the benefit and safety of all road users. Furthermore they operate in ‘hostile environments’ where severe weather, on-street incidents such as burst water mains, road traffic collisions or vandalism can result in damage or malfunction. When this occurs it is essential that repairs are undertaken as quickly and efficiently as possible. A robust contract to ensure timely compliance by the contractor at an affordable cost is therefore essential.
4.Financial Implications
4.1While Dorset County Council are leading on this process there is full input from the other authorities to ensure compliance with the appropriate financial, legal and procurement requirements.
4.2The aggregated expenditure over the 10-year term of the new contracts is for a combined total of £11 million for the three Authorities involved, requiring OJEU public procurement directives to be followed. The value for this Authority is approximately £250,000 per annum, comprising of £100,000 ongoing revenue maintenance work and £150,000 on equipment replacement and capital funded new installations.
4.3The Tender Process will follow Financial Regulation guidelines in that Pre-qualification Questionnaires will be issued and considered in order to provide a suitable shortlist for tendering. The actual Tender Evaluation will be on the basis of an established 60% Quality : 40% Price split.
4.4The Borough of Poole staff time associated with this tendering exercise will be met from within existing resources. While all partners ( including Dorset as lead authority ) are similarly providing for their own staff time, any external procurement costs will be split equally. In particularly Dorset are unable to provide the necessary legal expertise in house and so have appointed an external provider for this area.
4.5A formal partnership and Project Board has been established to oversee this process, with each authority having to agree before moving on to the next stage.
5.Legal Implications
5.1Dorset County Council are the lead authority for the Procurement, Legal and the Technical elements of the tender.
5.2The contract will be awarded in three lots, namely:
(a) installation and maintenance;
(b)supply of traffic signal street furniture;
(c)supply of traffic signal controllers.
This will allow supply companies that are not manufacturers to bid competitively. A shortlisted company may therefore bid for any or all of the lots.
5.3Contracts will be awarded for a period of ten years for installation and maintenance and five years for supply of equipment. This will allow for a technology refresh and new equipment to be procured as it becomes available.
6.Risk Management Options
6.1 Development of new contracts will assist with continuous improvement and efficient operation of the existing traffic control system infrastructure, which will in turn help achieve aims to reduce congestion and improve air quality and road safety.
6.2Placing of the new contract will ensure continuity with the safe operation of the numerous traffic signal installations the Borough maintains.
7.Equalities Implications
7.1 It is judged that the contract is not discriminatory against any particular group of individuals.
8.Conclusions
8.1To obtain economies of scale and to support the ethos of the Sub-Regional Strategic Partnership it is proposed to award a single contract in joint partnership with Bournemouth Borough Council and Dorset County Council.
Julian McLaughlin
Head of Transportation services
Name and Telephone Number of Officer Contact:
Martin Baker (01202) 262073
14 December 2009
TAG070110T3E
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