Decision - Refuse Vehicle Procurement - 5 Year Leasing Arrangement
Decision maker
Policy & Resources Committee
Report author
Ian Greene
Published
27 Jan 2022
Reference
6517
As published
the council's own words, uneditedTo seek approval to enter into a five contract hire agreement for replacement recycling vehicles
RESOLVED: That Committee delegated authority to the Executive Director of Environment, Economy and Culture to enter into a leasing contract for the hire of five Twinpack Recycling Vehicles for a period of five years, up to the value of £1.5m.
Parsed from the document
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The report proposed leasing five Twinpack Recycling Vehicles for five years to replace unreliable older vehicles and reduce missed recycling collections. Leasing was preferred to purchasing because collection methods may change and the vehicles could become redundant after 2026; the cost would be met within existing budgets.
Recommendation
Delegate authority to the Executive Director of Environment, Economy and Culture to enter into a leasing contract for five Twinpack Recycling Vehicles for five years, up to a value of £1.5m.
Financial impact
Gross leasing cost of £1.47m over five years (£0.294m per annum), with estimated income and savings of £0.781m and an estimated net cost of £0.689m. Net cost is estimated at £0.074m in year 1 and £0.154m per annum in years 2 to 5, funded from existing Fleet revenue and vehicle contract hire budgets.
Ward affected
city-wide
Decision maker
Policy and Resources Committee
Date in document
27 Jan 2022
Stakeholders named
parsed
Brighton & Hove City Counciltrade unionsresidentsrecycling and refuse collection staff
Next steps
parsed- The Executive Director of Environment, Economy and Culture would enter into a five-year leasing contract if approval is granted.
- Lease five Twinpack Recycling Vehicles using an existing procurement framework.
- Sell four of the 2012 vehicles and reallocate one to Streets for beach refuse collection.
- Report any significant budget variations through the council’s monthly budget monitoring process.
Precedents
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