To receive the report from the Cabinet Member for Environment & Transport and the Corporate Director for Growth, Environment & Transport and to consider and endorse or make recommendations to the Cabinet Member.
(1) The Cabinet Committee received a report of the Cabinet Member for Environment and Transport and the Corporate Director of Growth, Environment and Transport which contained details of the countywide Highway Resurfacing Contract which is set out in the 2014/15 Strategic Priority Statements for the Highways, Transportation & Waste Division and follows the established process of market testing this element of highway works on a periodic basis for the consideration of the Committee. John Burr, Director of Highways, Transportation and Waste was in attendance to introduce the report and in particular referred to the following:
(2) A significant part of the annual capital highway works budget is set aside for the delivery of carriageway resurfacing schemes. The principle of procuring the delivery of the Countywide Highway Resurfacing Programme through competitive tendering process was established in 2008 to ensure the maximum benefits from a competitive market’s prices. Since then this service has been procured through the market on a regular basis.
(3) Annually around 35-40km (approx 25miles) of the highway network is resurfaced. This generally consists of removing the top layer of the carriageway surface and replacing it with a new one. This protects the lower construction layers of the carriageway from the elements, reinstates carriageway strength and prolongs its life.
(4) Procurement advice was sought and followed regarding the procurement of a single contract to replace the existing two contracts (North and South Kent) to benefit from the economy of scales. The duration of the new contract is two years with an option for extension by a further two years, on a one year at a time basis (2 + 1 + 1).
(5) Given the value of the contract an OJEU compliant procurement process was followed, twelve potential tenderers expressed an interest and four submitted priced tenders. The tender evaluation process consisted of three elements; initial assessment (Mandatory Questions), quality and price.
(6) In response to questions raised and comments made the Committee received the following further information from officers:
(7) At the end of the tendering process overall the Eurovia Infrastructure Ltd submission represented best value, comparing like for like the cost of delivering the schemes referred to through the new contract would result in significant savings. Eurovia have provided KCC services in the past, they are an established company and while considerably cheaper than the previous contract they were also sustainable.
(8) On average in previous years Highways had resurfaced 4% of the highways network but the additional money made from savings through the award to Eurovia would be utilised to resurface additional road schemes throughout the county.
(9) RESOLVED that the Committee endorse and recommend to the Cabinet Member for Environment and Transport the approval and award of the Highway Resurfacing Contract 2014-16 to Eurovia Infrastructure Ltd.