Purpose

To approve the Strategic Procurement Plan for
a replacement contract to install and maintain bus shelters across
the borough.

Decision

RESOLVED that Cabinet approve the
Strategic Procurement Plan (CONFIDENTIAL ANNEX A) for a 15-year
concession contract for Bus Shelter provision and maintenance, with
the option to extend for a further 10 years.

Reasons for the decision

i.      
The council currently provides 130 bus shelters on bus routes
throughout the borough via a concession contract which is due to
expire on 31 March 2026.
 

ii.    
The council does not have a budget to purchase new shelters, nor to
maintain the existing ageing shelters if these were passed to the
council at nil cost through negotiation with the incumbent
provider. Therefore a concession contract for new replacement
shelters is considered the most appropriate solution.

Alternative options considered

i.      
The alternative options considered are:
 

•      
To acquire the existing shelters and take responsibility for their
on-going maintenance – this was rejected due to the age of
the existing shelters and the cost implications of maintaining an
ageing stock for which there is no existing budget.
 

•      
To purchase new shelters and take the revenue from direct
advertising to pay for their on-going maintenance – this was
rejected as there is no budget available for the excessive up-front
capital costs (130 shelters could cost up to £3million to
purchase and install).
 

•      
To purchase new shelters and offer a contract for advertising in
those shelters to pay for their on-going maintenance of the
shelters - this was rejected as there is no budget available for
the excessive up-front capital costs (as above).
 

•      
Not to provide shelters at all – this was rejected because of
the negative impact on bus patronage and failure to meet the
council’s transport policies within the new LTP4.