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United Kingdom-Kingston upon Thames: Highway maintenance work
Section I: Contracting authority
Section II: Object
Highways Services — Term Maintenance Contract
Surrey County Council ('the Council') wishes to put in place a contract which delivers both its core highways maintenance services and also facilitates an exciting and flexible mechanism for the appointed supplier to identify and implement innovative services and solutions throughout the lifetime of the contract. The Council hopes to establish a new way of delivering these services to maximise the potential for success for both itself and the appointed supplier. At present, the majority of the Council's highways maintenance activities are delivered through its existing term maintenance contract which is due to expire in April 2022 and will be replaced with the above-mentioned alternative approach.
The Council wishes to put in place a new, exciting and innovative arrangement to facilitate its highways maintenance requirements. At present, the majority of highways maintenance activities are delivered through our core term maintenance contract, which has been in place since 2011 and is due to expire in April 2022. While this has been successful, we recognise that there is an opportunity to build on this success and take steps to identify and maximise the opportunities available to both the Council and the appointed supplier. Leading up to the launch of this procurement, we engaged on an extensive pre-market engagement exercise to develop our thinking around this opportunity which will not only deliver our core highways maintenance needs, but create an environment where the Council and the supplier are able to consider ways to transform the way the services are delivered over time and potentially introduce new aspects to the service. We have considered the very helpful feedback provided by the supplier market and have implemented a number of those suggestions in the design of this process and the contracting approach. It is anticipated that the appointed supplier will not only deliver day to day maintenance services, but may also assist with the design/delivery of major schemes and/or design and implement new innovations connected to the operation of the highways network. Through this opportunity, our ambition is to achieve the following: Encourage and support innovation – we are keen to work with a supplier who is innovative in terms of how our core/continuing requirements are realised, in addition to discussing new ideas and ways of maximising the relationship. Our ambition is for this to create an exciting and new way of delivering highways services. Partnership – we are keen to establish a genuine partnership approach which embodies trust in service delivery, pricing and the innovations referenced above, which would potentially take the relationship to a different level. We are open to exploring how we can do things better to facilitate this, including how we involve other parts of our supply chain (and/or other local authorities) to achieve success for all. Social return – we are committed to exploring further the wider social benefits which can be realised from significant public contracts. We did secure a number of successes with our incumbent supplier but hope to achieve significantly more through this partnership approach. To do this, our ambitions must be aligned with those of our appointed supplier. This means jointly agreeing how this will work and how this can realistically be achieved without adding excessive cost. A sensible and fair procurement process – our ambition is to undertake a procurement which is not overly burdensome and facilitates enough interaction with bidders to arrive at the right decision. This is why we have opted to utilise the competitive procedure with negotiation — a process which enables us to interact with shortlisted bidders and provides bidders with a reciprocal opportunity to explore potential solutions with us and obtain detailed feedback on their proposals. It is anticipated that the contract term will be a maximum of 21 years (i.e. 10 year initial term plus options to extend for subsequent periods thereafter). We intend to explore the duration of any extensions as part of the negotiation process. The estimated value of this contract is approximately GBP 2.5 billion (made up of the costs in delivering the core element of the services approximately GBP 80 million p.a., together with additional monies which may be made available to the appointed supplier depending on the extent to which other innovative services are introduced as further described in the procurement documents).
It is anticipated that the contract term will be a maximum of 21 years (i.e. 10 year initial term plus options to extend for subsequent periods thereafter). The Council will explore the duration of any extensions as part of the negotiation process with those bidders selected to participate in that phase.
Please refer to the Selection Questionnaire.
The contract shall include options to facilitate the delivery of innovative and/or transformative services connected to the subject-matter of the 'core' services to be delivered.
While the services to be provided under this contract will be primarily for the benefit of Surrey County Council, the appointed supplier may be presented with opportunities to provide similar/connected services for the benefit of other UK local authorities.
Section III: Legal, economic, financial and technical information
The appointed supplier will be required to actively participate in the achievement of social and/or environmental objectives. Accordingly contract performance conditions will relate in particular to social, environmental or other corporate social responsibility considerations. Further details can be found in the procurement documents and the contract.
Section IV: Procedure
Section VI: Complementary information
Selection Questionnaire responses and tenders are to be completed electronically using the SE Shared Services Procurement eSourcing portal (https://www.sesharedservices.org.uk/esourcing/opportunities). The SE Shared Services eSourcing portal provides a web-based tool that provides a simple, secure and efficient means for managing tendering and quotation activities reducing the time and effort required for both buyers and potential bidders. The portal allows for tender clarifications and submitting your bid electronically. In order to bid for this opportunity, Candidates should register their organisation on the SE Shared Services portal. As suppliers in this market may be aware, there is a possibility that in due course, the Council will transition to a unitary authority. The Council has drafted/designed the contract/process so that notwithstanding the outcome of this process, any requisite changes to this contract can be accommodated to align with the revised structure (e.g. whether this means that there will be one over-arching highway authority, and therefore the appointed supplier may be retained to deliver on behalf of a number of unitary authorities, or that a number of separate highway authorities may be created). It is hoped that the Council will have further detail on the proposed restructure during the course of this procurement process. However, it may be possible that this could take place post contract award. Bidders will remain responsible for all costs and expenses incurred by them or by any third party acting under instructions from Bidders in connection with taking part in this procurement, regardless of whether such costs arise as a consequence direct or indirect of any amendments made to the procurement documents by the Council at any time. The Council reserves the right at any time to:
(i) reject any or all responses and to cancel or withdraw this procurement at any stage;
(ii) award a contract without prior notice;
(iii) change the basis, the procedures and the time-scales set out or referred to within the procurement documents;
(iv) require a bidder to clarify any submissions in writing and/or provide additional information (failure to respond adequately may result in disqualification);
(v) terminate the procurement process; and
(vi) amend the terms and conditions of the selection and evaluation process.
All discussions and correspondence will be deemed strictly subject to contract until a formal contract is entered into. The formal contract shall not be binding until it has been signed and dated by the duly authorised representatives of both parties subject to a sufficient number of satisfactory responses being received. In relation to Section II.2.10, variant bids may be accepted by the Council. However, this will only be in circumstances where the form and content of the variant has been approved by the Council in advance.
Any appeals should be promptly brought to the attention of the Executive Director of ETI of the Council at the address specified in Section I) above, and will be dealt with in accordance with the requirements of the Public Contracts Regulations 2015. Any appeals must be brought within the time-scales specified by the applicable law, including, without limitation, the Public Contracts Regulations 2015. In accordance with such Regulations, the Council will also incorporate a minimum 10 calendar day standstill period from the date information on award of contract is communicated to tenderers.