Decision

The current contract is approaching its expiration. To ensure service continuity and compliance with procurement regulations, a new market exercise is required, we expect this to be in the form of a 3(+2) year contract instead of a 2(+1) which is what we currently have.

Reasons for the decision

The current provider ensure accessible transport for individuals unable to use standard public transport. By operating specially adapted minibuses and Shopmobility services, they prevent isolation and enable vulnerable residents to independently access vital medical appointments, shopping, and social outings, so its deemed invaluable to continue providing this to residents and an increase in the term, to save officer time re-tendering in such close proximity.

Alternative options considered

Option 1 - Do not re-tender/continue to support the service:
Community transport services would be discontinued upon contract expiry. Public backlash & protest, service users and charities typically launch local petitions, hold campaigns, and lobby the council to reverse funding cuts to services like these.
Option 2 - Continue at the same contract duration of 2+1:
Shorter contracts (2+1) discourage high-quality bidders due to the high capital expenditure required for specialized vehicles and staffing. A 5-year potential term justifies any initial investment. Re-tendering or reviewing the contract every two or three years drains significant administrative time, staff resources, and budget for the council.
Option 3: Launch re-tender and extension to term - This is the chosen option. A longer initial term (3+2 years) locks in competitive rates, protecting RBWM against spikes in the transport sector. Better value for money, strong supplier commitment, stability for service users. Reduces the frequency of resource-heavy procurement cycles, saving significant staff time and legal costs over a 5-year period.