I hereby give notice that an ordinary
meeting of the Strategic Procurement Committee will be held on:
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Date:
Time:
Meeting Room:
Venue:
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Wednesday, 1
May 2019
9.30am
Room 1, Level
26
135 Albert Street
Auckland
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Komiti Mahi Āta
Torotoro Rawa /
Strategic Procurement Committee
OPEN AGENDA
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MEMBERSHIP
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Chairperson
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Deputy Mayor Cr Bill Cashmore
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Deputy Chairperson
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Cr Ross Clow
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Members
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Cr Dr Cathy Casey
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Cr Linda Cooper, JP
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Cr Alf Filipaina
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Cr Penny Hulse
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Cr Daniel Newman, JP
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Ex-officio
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Mayor Hon Phil Goff, CNZM, JP
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(Quorum 4 members)
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Michelle Judge
Governance Advisor
24 April 2019
Contact Telephone: 0211950262
Email: michelle.judge@aucklandcouncil.govt.nz
Website: www.aucklandcouncil.govt.nz
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Responsibilities
The committee is established to assist the chief executive
to undertake the management procedure of ensuring sound procurement processes
are followed in relation to procurement of goods and services necessary to
deliver on the work programme and operations outlined in the council’s
adopted Annual plan.
It will ensure that reasonable purchasing procedures have
been followed in awarding contracts and will provide an efficient mechanism for
documenting the approvals for those contracts.
Within a framework where contracts are an operational matter
delegated to the chief executive, this committee will consider all contracts
beyond the chief executive’s financial delegations. The chief
executive may refer contracts within his financial delegations which are
sensitive or may impact on the reputation of the council.
The chief executive has power to award contracts up to $20
million alone and the power to award contracts up to $22.5 million jointly with
the mayor and Finance and Performance Committee chair.
The committee will have responsibility for:
· awarding of contracts of $22.5 million or greater
· awarding of contracts less than $22.5 million which are sensitive or
may impact on the reputation of the council if the chief executive refers the
matter to the committee
·
oversight over the procurement processes and
procedures.
From time to time the committee may advise the chief
executive and council on changes to the procurement and contracts probity procedures.
Powers
All powers necessary to perform the committee’s
responsibilities.
Except:
(a) powers that
the Governing Body cannot delegate or has retained to itself (section 2)
(b) where the committee’s
responsibility is limited to making a recommendation only
(c)
the power to establish sub-committees
Exclusion of the public – who
needs to leave the meeting
Members of the public
All members of the public must leave the
meeting when the public are excluded unless a resolution is passed permitting a
person to remain because their knowledge will assist the meeting.
Those who are not members of the public
General principles
·
Access to confidential information is managed on a “need to
know” basis where access to the information is required in order for a
person to perform their role.
·
Those who are not members of the meeting (see list below) must
leave unless it is necessary for them to remain and hear the debate in order to
perform their role.
·
Those who need to be present for one confidential item can remain
only for that item and must leave the room for any other confidential items.
·
In any case of doubt, the ruling of the chairperson is final.
Members of the meeting
·
The members of the meeting remain (all Governing Body members if
the meeting is a Governing Body meeting; all members of the committee if the
meeting is a committee meeting).
·
However, standing orders require that a councillor who has a
pecuniary conflict of interest leave the room.
·
All councillors have the right to attend any meeting of a
committee and councillors who are not members of a committee may remain,
subject to any limitations in standing orders.
Independent Māori Statutory Board
·
Members of the Independent Māori
Statutory Board who are appointed members of the committee remain.
·
Independent Māori Statutory Board
members and staff remain if this is necessary in order for them to perform
their role.
Staff
·
All staff supporting the meeting (administrative, senior
management) remain.
·
Other staff who need to because of their role may remain.
Local Board members
·
Local Board members who need to hear the matter being discussed
in order to perform their role may remain. This will usually be if the
matter affects, or is relevant to, a particular Local Board area.
Council Controlled Organisations
·
Representatives of a Council Controlled Organisation can remain
only if required to for discussion of a matter relevant to the Council Controlled
Organisation.
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Strategic
Procurement Committee
01 May 2019
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ITEM TABLE
OF CONTENTS PAGE
1 Apologies 7
2 Declaration of
Interest 7
3 Confirmation
of Minutes 7
4 Petitions 7
5 Public Input 7
6 Local Board
Input 7
7 Extraordinary
Business 7
8 Update on
procurement of refuse collection contracts 9
9 Update on the
Daldy Street outfall extension project 13
10 Multi-cloud procurement
update 19
11 Information Report - 1 May
2019 21
12 Consideration of
Extraordinary Items
PUBLIC EXCLUDED
13 Procedural
Motion to Exclude the Public 31
C1 CONFIDENTIAL: Extension to
refuse collection contracts 31
C2 CONFIDENTIAL: Final supplier
recommendations for Daldy Street stormwater project 31
C3 CONFIDENTIAL: Multi-cloud
procurement - back-up software and server hardware supplier recommendation
report 31
An apology has been
received from Chairperson B Cashmore for absence on council business.
2 Declaration
of Interest
Members are
reminded of the need to be vigilant to stand aside from decision making when a
conflict arises between their role as a member and any private or other
external interest they might have.
3 Confirmation
of Minutes
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That the Strategic Procurement Committee:
a)
confirm the ordinary minutes of its meeting,
held on Wednesday, 3 April 2019, including the
confidential section, as a true and correct record.
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4 Petitions
At the close of
the agenda no requests to present petitions had been received.
5 Public
Input
Standing Order
7.7 provides for Public Input. Applications to speak must be made to the
Governance Advisor, in writing, no later than one (1) clear working day
prior to the meeting and must include the subject matter. The meeting
Chairperson has the discretion to decline any application that does not meet
the requirements of Standing Orders. A maximum of thirty (30) minutes
is allocated to the period for public input with five (5) minutes
speaking time for each speaker.
At the close of
the agenda no requests for public input had been received.
6 Local
Board Input
Standing Order
6.2 provides for Local Board Input. The Chairperson (or nominee of that
Chairperson) is entitled to speak for up to five (5) minutes during this
time. The Chairperson of the Local Board (or nominee of that Chairperson)
shall wherever practical, give one (1) day’s notice of their wish
to speak. The meeting Chairperson has the discretion to decline any
application that does not meet the requirements of Standing Orders.
This right is
in addition to the right under Standing Order 6.1 to speak to matters on the
agenda.
At the close of
the agenda no requests for local board input had been received.
7 Extraordinary
Business
Section 46A(7)
of the Local Government Official Information and Meetings Act 1987 (as amended)
states:
“An item
that is not on the agenda for a meeting may be dealt with at that meeting if-
(a) The local
authority by resolution so decides; and
(b) The presiding member
explains at the meeting, at a time when it is open to the public,-
(i) The
reason why the item is not on the agenda; and
(ii) The reason why the
discussion of the item cannot be delayed until a subsequent meeting.”
Section 46A(7A)
of the Local Government Official Information and Meetings Act 1987 (as amended)
states:
“Where an
item is not on the agenda for a meeting,-
(a) That item may be discussed
at that meeting if-
(i) That item is a minor
matter relating to the general business of the local authority; and
(ii) the presiding member
explains at the beginning of the meeting, at a time when it is open to the
public, that the item will be discussed at the meeting; but
(b) no resolution, decision or
recommendation may be made in respect of that item except to refer that item to
a subsequent meeting of the local authority for further discussion.”
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Strategic
Procurement Committee
01 May 2019
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Update
on procurement of refuse collection contracts
File No.: CP2019/05684
Te take mō te
pūrongo
Purpose of the report
1. To
note an update on procurement of refuse collection services.
Whakarāpopototanga matua
Executive summary
2. Auckland
Council’s refuse collection contracts will expire on 5 July 2020.
3. A
procurement plan for a new integrated waste collection service, which includes
refuse, recycling and food scraps collections, was approved by Strategic
Procurement Committee on 6 March 2019 (STR/2019/23).
4. Since
the procurement plan was approved, staff have released a notice of information
to the waste industry and drafted the detailed documentation for the request
for proposals.
5. More
information about procurement of refuse collections services will be provided
in the confidential section of the 1 May 2019 Strategic Procurement Committee
meeting.
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Ngā tūtohunga
Recommendations
That the Strategic Procurement
Committee:
a) note
the information contained in this report, on procurement of refuse collection
services, enables transparency on the topic due for discussion in the public
excluded part of the meeting.
b) note
that the confidential report contains information that could prejudice
council's position in negotiations with suppliers.
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Horopaki
Context
6. Auckland
Council currently has contracts in place with five suppliers for kerbside
refuse collections. Table 1 below shows the current suppliers,
start date and expiry date of refuse collection contracts for different
geographical areas.
7. As
Table 1 shows, the council’s existing refuse contracts started at
different times over the last 15 years. Over the last five years their expiry
dates have been aligned by staff to enable a more consistent approach to future
procurement. The current contracts all end in July 2020 and provide for two
extension terms of three months each, allowing the contracts to be extended up
to 5 January 2021.
8. Currently
Waitākere, North Shore, Papakura and Franklin contract areas operate under
a pay as you throw system (using bins and bags), while Auckland Central and
Manukau receive refuse collections in bins. These are funded through a targeted
rate.
9. The
intention is that all regions will shift to pay as you throw collections in
bins over the course of the new integrated collections service contract. Bins
will be introduced in the urban Franklin area to replace official refuse bags.
Refuse collections will also reduce to fortnightly, once food scraps
collections have become established in each area.
Table 1. Suppliers,
start and expiry dates for refuse collection contracts in Auckland
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Supplier
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Area
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Funded
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Contract start date
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Expiry date
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AIM Services*
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Auckland Central*
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Rates
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2013
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July 2020
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Waste Management
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Auckland (East, West),
Papakura
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Rates / Pay as you throw
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2013
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July 2020
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Veolia
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Waitākere, North Shore
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Pay as you throw
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2005
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July 2020
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Enviro Waste
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Manukau
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Rates
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2012
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July 2020
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Smart Environmental
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Franklin
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Pay as you throw
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2013
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July 2020
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10. The
existing refuse collection contracts include provision for up to two three-month
extensions.
Tātaritanga me ngā
tohutohu
Analysis and advice
11. Analysis and
advice regarding procurement of refuse collection services will be provided in
the confidential section of the 1 May 2019 Strategic Procurement Committee
meeting.
Ngā whakaaweawe me
ngā tirohanga a te rōpū Kaunihera
Council group impacts and views
12. Impacts on
other members of the council group relating to procurement of refuse collection
services will be provided in the confidential section of the 1 May 2019 Strategic
Procurement Committee meeting.
Ngā whakaaweawe
ā-rohe me ngā tirohanga a te poari ā-rohe
Local impacts and local board views
13. During
consultation on the Waste Management and Minimisation Plan 2018, most boards
supported the introduction of pay-as-you-throw refuse services. The intention
is for this to be implemented by Auckland Council over the next five years.
14. Staff also
expect that adopting the integrated collections model, in which one private
supplier provides all waste collection services to a geographical area, will
mean communities receive more consistent and higher quality waste collection
services.
Tauākī whakaaweawe
Māori
Māori impact statement
15. Māori
priorities regarding waste were identified through consultation with mana
whenua and mataawaka on the Waste Management and Minimisation Plan 2018. The
integrated collections model, which will include environmental targets for
suppliers, is consistent with a Te Ao Māori view which prioritises reusing
and recycling materials.
Ngā ritenga ā-pūtea
Financial implications
16. Financial
implications arising from procurement of refuse collection services will be
provided in the confidential section of the 1 May 2019 Strategic Procurement
Committee meeting.
Ngā raru tūpono me
ngā whakamaurutanga
Risks and mitigations
17. Risks and
mitigations arising from procurement of refuse collection services will be
provided in the confidential section of the 1 May 2019 Strategic Procurement
Committee meeting.
Ngā koringa ā-muri
Next steps
18. Next steps arising
from procurement of refuse collection services will be discussed in the
confidential section of the 1 May 2019 Strategic Procurement Committee meeting.
Ngā tāpirihanga
Attachments
There are no attachments for
this report.
Ngā kaihaina
Signatories
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Authors
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Jaimee Maha - Team Leader Relationship Advisory
Parul Sood - Manager Waste Planning
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Authorisers
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Andrew Ovenden, General Manager Waste Solutions (Acting)
Dean Kimpton - Chief Operating Officer
Jazz Singh - General Manager Procurement
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Strategic
Procurement Committee
01 May 2019
|
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Update on the Daldy Street outfall
extension project
File No.: CP2019/05807
Te take mō te
pūrongo
Purpose of the report
1. To
note an update on the Daldy Street outfall extension project.
Whakarāpopototanga matua
Executive summary
2. The
Daldy Street outfall is located underneath Wynyard Wharf, near the Sea Link
terminal. During rain events, it regularly discharges urban stormwater and
untreated wastewater overflows into the Wynyard Basin. This frequently creates
a dark plume with a noticeable odour.
3. These
discharges occur directly in the middle of the planned 2021 America’s Cup
base and in the vicinity of designated recreational swimming sites (both
existing and planned).
4. The
Daldy Street outfall extension project will extend the outfall to the end of
Wynyard Wharf or beyond (see Attachment A). This will improve the water quality
in Wynyard Basin and reduce the frequency of closures of the nearby swimming
site and negative impacts on high use areas around North Wharf
5. The
project has been brought forward so that it can be delivered at the same time
as the infrastructure works for the America’s Cup. Delivering these works
at the same time will reduce disruption to the public, and of commercial
spaces, especially in the North Wharf.
6. An
update on procurement of the Daldy Street extension outfall project will be
presented in the confidential section of the 1 May 2019 Strategic Procurement
Committee meeting.
|
Ngā tūtohunga
Recommendations
That the Strategic Procurement
Committee:
a) note
the information contained in this report, on the Daldy Street outfall
extension project, enables transparency on the topic due for discussion in
the public excluded part of the meeting.
b) note
that the confidential report contains information that could prejudice
council's position in negotiations with suppliers.
|
Horopaki
Context
Need to improve water quality at Wynyard Wharf
7. The Daldy Street outfall is currently located underneath the
south-eastern corner of Wynyard Wharf, near the Sea Link terminal. During rain
events, this large diameter outfall discharges a mixture of urban stormwater
and untreated wastewater overflows from the Freemans Bay catchment into the
Wynyard Basin.
8. A dark plume with a noticeable odour, strong enough to generate
complaints from local business owners and Sea Link ferry staff, is a regular
occurrence at the site. Discharges from the Daldy Street outfall exit
into Wynyard Basin directly in the middle of the planned 2021 America’s
Cup base. Discharges are also in the vicinity of designated swimming recreation
sites (both existing and planned) as shown in Attachment A.
9. The Daldy Street outfall poses a risk to the environment and to
public health and creates a significant nuisance. These risks are magnified
when rain events occur during low or incoming tide conditions. These risks will
be further increased by proposed breakwater additions to the Wynyard Basin as
part of the America’s Cup modifications, which will reduce flushing
capacity in the basin.
10. North Wharf adjacent to Wynyard Basin is a popular destination for
tourists and locals alike, due to the variety of restaurants, cafes and events scheduled
in and around the Wynyard Quarter area.
11. Over the next decade, the area will continue to be redeveloped with
a mixture of built environment and open public spaces that celebrate the
maritime heritage and distinctive character of Auckland’s waterfront.
Regular discharge plumes from the Daldy Street outfall, which create visual and
odour affects, will have negative aesthetic and economic consequences for the
development of this area.
Overview of Daldy Street outfall extension project
12. To address these issues, the Daldy Street outfall extension project
was included in the Long-Term Plan 2018-2028. The key objectives of the project
were to improve the water quality in the Wynyard Basin and prevent the dark
plume and odours from negatively impacting on the high use area around North
Wharf.
13. A comprehensive options assessment determined that a gravity
extension of the Daldy Street outfall under Brigham Street to the end of
Wynyard Wharf or beyond is the most cost effective and practical option.
14. Moving the outfall to this low risk area, where there will be
improved dispersion and mixing of overflows, will reduce negative impacts on
Wynyard Basin and the nearby Safe Swim site.
15. A number of high level benefits will be gained from undertaking the
Daldy Street outfall extension project. These are listed below:
· Water
quality improvements will reduce the number of days that the nearby designated
Safe Swim site will be closed due to poor water quality.
· Amenity
value of the Wynyard Basin will be improved by a reduction in negative visual
and odour effects. This will increase the value of the surrounding Wynyard
Quarter area to both locals and visitors alike.
· Cost
savings and reduced public disruption as this project will be carried out at
the same time as the works for the America’s Cup bases.
16. Overall, this project will reduce risk to both the environment and
public health.
17. The project is also part of a wider quality of water improvement
works, which will ultimately reduce the number of overflows and level of
contaminants entering the Waitematā Harbour.
18. For example, infrastructure improvements have recently been
completed on Franklin Road and the Picton Street stormwater upgrade project is
currently being procured. Together these two projects will reduce the frequency
of overflows entering the Daldy Street outfall from this source from 40 to 12 a
year.
19. Once the Central Interceptor is completed, the frequency of
overflows will reduce to four to six a year.
Tātaritanga me ngā
tohutohu
Analysis and advice
20. The
resource consent for construction of the Daldy Street outfall extension project
has been granted and preliminary design has been completed. Staff have also
considered various options for procuring a supplier to deliver the project.
21. Staff have also worked with suppliers to achieve sustainable
outcomes through the procurement process. Outcomes identified to date include
encouraging the use of more sustainable construction materials which have a
lower carbon footprint and reducing waste sent to landfill through innovative
construction methodologies.
22. Suppliers will be encouraged to use the Sustainable Outcomes Toolkit
developed by Healthy Waters to identify further opportunities for sustainable
outcomes as the project progresses.
23. Further
analysis and advice relating to the procurement will be presented in the
confidential section of the 1 May 2019 Strategic Procurement Committee meeting.
Ngā whakaaweawe me
ngā tirohanga a te rōpū Kaunihera
Council group impacts and views
24. Delivery
of the infrastructure for the 36th America’s Cup is being
carried out by the Wynyard Edge Alliance. Auckland Council is working closely
with Panuku, as the Council Controlled Organisation which is most impacted by
the America’s Cup works.
25. Panuku
is supportive of the proposed approach for delivery of the Daldy Street outfall
extension project.
Ngā whakaaweawe
ā-rohe me ngā tirohanga a te poari ā-rohe
Local impacts and local board views
26. The
Daldy Street outfall extension project will provide enhanced water quality and
amenity value to the vibrant Wynyard Quarter community. This will benefit local
communities both in the short-term, with the hosting of the America’s
Cup, and in the longer term as Wynyard Quarter transitions from an industrial
area to a people-oriented space.
27. Delivery
of the Daldy Street outfall extension project at the same time as
infrastructure works for the 36th America’s Cup will avoid
repeated disruption to surrounding public and commercial spaces.
28. The
Waitematā Local Board is aware of the Daldy Street project and has been
provided with several updates on it through Healthy Water’s quarterly
reports on major capital projects.
29. Going
forward, the Waitematā Local Board will be provided with regular updates
on the whole programme of works that is being delivered to support the 36th
America’s Cup, including auxiliary projects such as the Daldy Street
outfall extension.
Tauākī whakaaweawe
Māori
Māori impact statement
30. Auckland
Council is committed to working closely with Māori on the design and
delivery of water quality projects, as these are of particular significance to
mana whenua in their role as kaitiaki of Auckland’s waterways.
31. Healthy
Waters informed all 19 mana whenua authorities in Tāmaki Makaurau at the
beginning stages of the Daldy Street outfall extension project, to ensure that
they had the opportunity to input into the concept design phase.
Representatives of five iwi have attended hui on the project and provided
feedback. These were Te Rūnanga o Ngāti Whātua, Ngaati
Whanaunga, Ngāti te Ata Waiohua, Ngāti Maru, and Ngāi Tai ki
Tāmaki.
32. Several hui
and site visits have been held and consultation and feedback from mana whenua
throughout design and delivery of the project will be ongoing. To date, mana
whenua feedback has focused on the importance of improving water quality and-
preservation of ecology in the new outfall location. This will be taken into
account during detailed design and construction of the outfall extension.
33. Mana whenua
have also sought assurance that the project is part of a wider programme of
works to improve water quality. Staff have provided details regarding other
programmes in the area, like Picton Street, which will reduce discharges into
the Waitematā.
Ngā ritenga
ā-pūtea
Financial implications
34. Financial
implications relating to procurement of the Daldy Street outfall extension
project will be discussed in the confidential section of the 1 May 2019
Strategic Procurement Committee agenda.
Ngā raru tūpono me
ngā whakamaurutanga
Risks and mitigations
35. Risks and
mitigations arising relating to the Daldy Street outfall
extension project will be discussed in the confidential section of the 1 May
2019 Strategic Procurement Committee agenda.
Ngā koringa ā-muri
Next steps
36. Next steps relating to the Daldy Street outfall extension project will be
discussed in the confidential section of the 1 May 2019 Strategic Procurement
Committee agenda.
Ngā tāpirihanga
Attachments
|
No.
|
Title
|
Page
|
|
a⇩ 
|
Map showing location of Daldy Street oufall extension
|
17
|
Ngā kaihaina
Signatories
|
Authors
|
Chris Stumbles Manager - Design and
Delivery, Healthy Waters
Mara Bebich - Stakeholder Manager, Infrastructure
& Environmental Services
|
|
Authorisers
|
Craig McIlroy - General Manager
Healthy Waters
Barry Potter - Director Infrastructure and
Environmental Services
Jazz Singh - General Manager Procurement
|
|
Strategic
Procurement Committee
01 May 2019
|
|
|
Strategic
Procurement Committee
01 May 2019
|
|
Multi-cloud procurement update
File No.: CP2019/06124
Te take mō te
pūrongo
Purpose of the report
1. To
provide an update on council’s multi-cloud procurement programme.
Whakarāpopototanga matua
Executive summary
2. Auckland
Council is currently undertaking a datacentre migration project out of its
existing environment provided by Revera Limited (Revera) to a new modern
multi-cloud environment.
3. Multi-cloud
is an approach to datacentre delivery, where both locally hosted and overseas
public cloud facilities are used. This approach allows organisations to choose
the most appropriate place to host services, lower overall operating costs and
improve resilience.
4. Once
capital expenses are taken into account, the overall multii-cloud programme of
work is forecast to deliver significant OPEX benefits over 10 years.
5. The
procurement activity associated with this programme was approved on 12 December
2018 by the Strategic Procurement Committee, Resolution STR/2018/98. This
resolution required all competitive procurements be approved by this committee.
6. A
further update on procurement of the multi-cloud programme will be presented in
the confidential section of the 1 May 2019 Strategic Procurement Committee
meeting.
|
Ngā tūtohunga
Recommendation/s
That the Strategic Procurement
Committee:
a) note
the information contained in this report, on the multi-cloud programme,
enables transparency on the topic due for discussion in the public excluded
part of the meeting.
b) note
that the confidential report contains information that could prejudice the
council's position in negotiations with suppliers.
|
Horopaki
Context
7. In
2017, the council developed a refreshed Information, Communication and
Technology (ICT) strategy. A focus of this strategy is to modernise Council's
data centre and operational management services whilst reducing the total cost
of ownership.
8. A
key part of the data centre aspect of the strategy is to take advantage of a
range of infrastructure platforms. These include public cloud services such as
Amazon and Microsoft Azure in addition to infrastructure owned by council. By
being able to pick from a range of options council will be able to drive
significant cost out of its ICT budgets. This is referred to as a multi-cloud
model.
9. The
procurement plan for this programme was approved under Resolution number
STR/2018/90 in the confidential section of the Strategic Procurement Committee
meeting on 12 December 2018.
10. Further
detail is set out in the report on the confidential agenda of this meeting.
Tātaritanga me ngā
tohutohu
Analysis and advice
11. The council's
internal specialist staff have worked together to assess the services and goods
required and developed the preferred procurement approach for each item.
Internal capability has been supplemented by collaborating with our partner,
Revera, and using specialist third-party suppliers to provide quality assurance
of procured approaches.
12. Further
detail is set out in the report in the confidential section of this meeting.
Ngā whakaaweawe me
ngā tirohanga a te rōpū Kaunihera
Council group impacts and views
13. Further
detail is set out in the report in the confidential section of this meeting.
Ngā whakaaweawe
ā-rohe me ngā tirohanga a te poari ā-rohe
Local impacts and local board views
14. There are no
local board impacts associated with the supplier recommendation report.
Tauākī whakaaweawe
Māori
Māori impact statement
15. There are no
Māori community impacts associated with the supplier recommendation
report.
Ngā ritenga
ā-pūtea
Financial implications
16. Further
detail is set out in the report in the confidential section of this meeting.
Ngā raru tūpono me
ngā whakamaurutanga
Risks and mitigations
17. Further
detail is set out in the report in the confidential section of this meeting.
Ngā koringa ā-muri
Next steps
18. Further
detail is set out in the report in the confidential section of this meeting.
Ngā tāpirihanga
Attachments
There are no attachments for
this report.
Ngā kaihaina
Signatories
|
Author
|
Stephen Horsley - Procurement Manager
|
|
Authorisers
|
Mark Denvir - Director ICT
Jazz Singh - General Manager Procurement
|
|
Strategic
Procurement Committee
01 May 2019
|
|
Information Report - 1 May 2019
File No.: CP2018/25287
Te take mō te
pūrongo
Purpose of the report
1. To
note progress on the forward work programme (Attachment A).
Whakarāpopototanga matua
Executive summary
2. This
is the regular information-only report which aims to provide public visibility
of information circulated to committee members via memo or other means, where
no decisions are required.
3. Note
that, unlike an agenda decision report, staff will not be present to answer
questions about these items referred to in this summary.
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Ngā tūtohunga
Recommendation/s
That the Strategic Procurement
Committee:
a) receive
the information report – 1 May 2019.
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Ngā tāpirihanga
Attachments
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No.
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Title
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Page
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a⇩ 
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Strategic Procurement Committee Forward Work Programme
- 1 May 2019
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23
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Ngā kaihaina
Signatories
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Author
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Michelle Judge - Governance Advisor
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Authoriser
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Jazz Singh - General Manager Procurement
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Strategic
Procurement Committee
01 May 2019
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STRATEGIC PROCUREMENT COMMITTEE
FORWARD WORK PROGRAMME FY2019
This committee deals with ensuring
sound procurement processes are followed in order to deliver on the work
programme and operations outlined in council’s adopted Annual Plan. It
has responsibility for awarding contracts of $22.5 million or greater,
awarding sensitive contracts and oversight of procurement strategies,
processes and procedures.
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Priorities
for 2018 will be on initiatives which:
1. Delivery
on Annual Plan Outcomes
2. Review
delivery of Capital Projects
3. Endorse
Procurement Category Strategies
4. Enhance
Group Sourced Procurement
5. Improve
Procurement Maturity
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The
work of the Committee will:
· Approve
award of contracts and variations within the Committee’s delegations.
· Monitor
the delivery programme of major capital projects and recommend reporting to
Finance and Performance Committee.
· Endorse
procurement strategies and process improvements related to the
Committee’s responsibilities.
· Monitor
progress and make recommendations on group sourced procurement activities.
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Priority #
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Area of work
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Reason for work
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Strategic Procurement
Committee role (decision or direction)
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Budget / Funding
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Expected timeframes
Highlight
financial year quarter and state month if known
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FY19
Apr-Jun
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FY20
Jul-Sep
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1. Delivery
on Annual Plan outcomes (Contracts to be awarded)
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1.1
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Daldy
Street stormwater outfall project
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Approve
the supplier recommendation for the Daldy Street stormwater outfall project
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Decision: update provided at the 6 March 2019
meeting Resolution number STR/2019/15 – Item 10
Supplier
recommendation and approve award of contract
Next
report to be provided in May 2019.
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Q4
May 2019
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1.2
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Refuse
collection contracts
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Approval
to extend refuse collection contracts
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Decision:
To approve
negotiations to extend refuse collection contracts by up to six months.
Next
update will be provided in May 2019
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Q4
May 2019
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1.3
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America’s
Cup 36 progress update
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Provide
an update on procurement of the infrastructure needed to host the 36th
America’s Cup
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Receive:
progress update
Update
received at the 6 March 2019 meeting Resolution number STR/2019/13 – Item 8
Next
update will be considered in Q4 2019
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$212m
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Q4
Jun 2019
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1.4
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Food
scraps processing
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Award
supplier recommendations for food scraps processing.
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Progress
to date:
Decision
taken to approve
the procurement plan for food scraps processing services at 11 July 2018
meeting
Resolution
number STR/2018/37 – Item C2
Next report to be provided by July
2019.
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Q1
2020
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1.5
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Waiheke
Island Waste Services
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Approve
procurement plan for all Waste Services for Waiheke Island
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Progress
to date:
Decision: Approve procurement plan.
Decision: Approved contract extension at 11
July 2018 meeting.
Update
provided at the 11 July 2018 meeting, Resolution number STR/2018/41 – Item 11 and Resolution number STR/2018/36
– item C1
Decision: Approve awarding of contract.
Next
report will be considered in Q1 2020 (September).
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Q1
2020
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1.6
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Healthy
Waters panel refresh and strategy and professional services panel
consolidation strategy
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Approval
of the Healthy Waters Physical Works & Technical Services Procurement
Strategy
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Decision: Receive update and approve the
strategy
Report
to be provided in Q4 2019
Update
received at 3 April
2019 meeting
Resolution
number STR/2019/25 – Item 8.
Next
update will be provided in Q1 2020.
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Q1
2020
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1.7
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Integrated
waste collection services procurement plan
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Procure
new integrated waste collection services
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Progress
to date:
Decision
taken to approve
the procurement plan for integrated waste collection services at 6 March 2019
meeting.
Resolution
number STR/2019/23– Item C4
Next
update will be provided by December 2019.
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Q2
2020
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2. Review
delivery of Capital Projects
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2.1
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Capital
Project Delivery
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Elected
member oversight of progress of Major Projects, including update on the
strategy for procurement of city centre development programme and pipeline of
forward works.
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Receive: no decision required
Progress
to date:
Update
received at 6 September 2017 meeting Resolution number STR/2017/37 - Item C2.
Update
received at 13 December 2017 meeting Resolution number STR/2017/61 - Item C6.
Update
received at 7 March 2018 meeting Resolution number STR/2018/11- Item C2.
Update
received at 11 June 2018 meeting Resolution number STR/2018/32 – Item
C1
Update
received at 5 September 2018 meeting Resolution number STR/2018/54 –
Item C1
Update
received at 7 November 2018 meeting Resolution number STR/2018/80 –
Item C2
Next
update will be considered in June 2019.
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Q4
Jun 2019
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2.2
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Forward
Work Programme (Pipeline)
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Elected
member oversight of pipeline of activity for capital works delivery forward
work programme
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Receive: no decision required
Progress
to date:
Update
received at 11 June 2018 meeting – Resolution number STR/2018/25
– Item 10
Update
received at 3 October 2018 meeting – Resolution number STR/2018/61
– Item 9
Next
update to be provided in Q4 2019
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Q4
Jun 2019
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2.3
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Westgate
multipurpose facility (integrated library and community centre) construction
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Elected
member oversight of progress of Westgate multipurpose facility
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Receive:
no decision
required
Progress
to date:
Update
received at the 7 March 2018 meeting Resolution number STR/2018/11- Item C2.
Update
received at 11 June 2018 meeting Resolution number STR/2018/34- Item C3
Update
received at 8 August 2018 meeting Resolution number STR/2018/38 – Item
C1
Update
received at 5 September 2018 meeting Resolution number STR/2018/56 –
Item C3
Update
received at 3 October 2018 meeting Resolution number STR/2018/66 – Item
C1
Update
received at 7 November 2018 meeting Resolution number STR/2018/81 –
Item C3
Update
received at 12 December 2018 meeting Resolution number STR/2018/91 –
Item C4
Next
update to be provided in Q3 2019
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Q4
Jun 2019
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3. Endorse
Procurement Category Strategies
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See
completed section below.
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4. Enhance
Group Sourced Procurement
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4.1
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Fleet
Optimisation Update
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Keep
Committee informed on progress of Fleet changes
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Progress
to date:
Update
received at the 7 March 2018 meeting - Resolution number STR/2018/5 – Item 10.
Update
received at the 11 July 2018 meeting – Resolution number STR/2018/39
– Item 9.
Update
received at the 7 November 2018 meeting – Resolution number STR/2018/75
Decision:
approve business
plan
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Q4
June 2019
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4.2
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Group
Sourced Procurement update
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Keep
Committee informed on progress against Group Sourced Procurement objectives
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Progress
to date:
Update
provided at the October 2017 meeting Resolution number STR/2017/4 – Item 11
Update
received at the meeting on 7 March 2018 Resolution number STR/2018/4 – Item 9
Update
received at the meeting on 8 August 2018 Resolution number STR/2018/42
– Item 9
Update
received at the meeting on 7 November 2018 Resolution number STR/2018/76
– Item 13
Receive:
no decision
required
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Q4
Jun 2019
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5. Improve
Procurement Maturity
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See completed section below.
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6. Other
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6.1
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ICT
Technology Services
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To seek
approval for a supplier for Server and Storage Hardware and selecting a
supplier for Backup, Data Virtualization, Disaster Recovery and Migration
Tools
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Progress
to date:
Decision:
approval of
transfer.
Update received at 12 December 2018
meeting Resolution number STR/2018/90 – Item C3
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Q4
May 19
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6.2
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Review
of Contract performance
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Update
the Committee on the performance of suppliers against key performance metrics
under the Full Facilities Maintenance contracts
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Progress
to date:
Update
received at the 2 May 2018 meeting Resolution number STR/2018/21– Item
C2
Update
received at the 7 November 2018 meeting Resolution number STR/2018/82 –
Item C4
Update:
No decision
required. Next update to be provided at June 2019 meeting
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Q4
Jun 2019
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6.3
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Full
Facility agreement transfer of streetscape and waste solutions services
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To
seek approval for the variation of the current Full Facility agreements to
transfer the streetscape services from Auckland Transport and Waste Solutions
to Community Facilities.
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Progress
to date:
Decision: approval of transfer.
Update
received at 12 December 2018 meeting Resolution number STR/2018/89 –
Item C2
Next
update to be provided in Q4 2019.
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Q4
Jun 2019
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6.4
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Valuation
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To consider
rating valuations
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Progress
to date:
Decision:
approval of
proposed commercial opportunity.
Update
received at 3 April 2019 meeting
Resolution
number STR/2019/31 – Item C3
Next update
to be provided in Q1 2020.
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Q1
2020
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Completed
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1. Delivery
on Annual Plan outcomes (Contracts awarded)
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Priority #
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Area of work
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Reason for work
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Strategic Procurement
Committee role (decision or direction)
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1.1
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Picton
Street stormwater project
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To reduce
stormwater runoff to the combined sewer network and overflow volumes from the
Wynyard Wharf outfall
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Decision: Approve supplier recommendation
Value below
$20 million, can be signed off by CEO.
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1.2
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Stormwater
infrastructure to support the Auckland Housing Programme
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Approve
the supplier recommendation for stormwater infrastructure to support the
Auckland Housing Programme
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Decision:
update received at
3 April 2019 meeting
Resolution
number STR/2019/30 – Item C2
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1.3
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Refuse
Collections
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Change
from collection of Bags to Bins for Waitakere and North Shore. Part of
aligning refuse collection services across the region
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Decision: Agree to extend current contract
with Veolia for a further 2 years – 6 September 2017 –
Resolution STR/2017/36 – Item C1
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1.4
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Electricity
Procurement
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Approve
Procurement Plan for Electricity procurement
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Update provided at the October 2017
meeting Resolution number STR/2017/47 - Item
C3
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1.5
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External
Legal Services
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Council
has gone out to market for external
legal services. Additional scope may mean the contract value over the term of
the engagement will exceed $22.5m
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Decision: Agree to contract awards for 2
years. 13 December 2017 meeting, Resolution Number STR/2017/57 – Item C2
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1.6
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Graffiti
Eradication and Enforcement Services
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Approve
procurement plan for graffiti Eradication and Enforcement Services
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Decision:
agree procurement
plan- 13 December 2017 meeting, Resolution Number STR/2017/58 – Item C3
Decision:
approve procurement
plan at 2 May 2018 meeting, Resolution number STR/2018/18 – Item 10 and Resolution number STR/2018/20
– item C1
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1.7
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Electricity
supply SRR
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Approve
the supplier recommendation report for electricity supply services
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Decision: agree SRR- 13 December 2017
meeting, Resolution Number STR/2017/56 – Item C1
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1.8
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Overflow
Planning Services
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Approve
the procurement plan for overflow planning services to process resource
consents.
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Decision taken to approve the procurement
plan at 4 April 2018
meeting. Resolution number STR/2018/15 – Item 10 and Resolution number STR/2018/13 – item C2
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1.9
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External
Recruitment Supplier
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Current
All of Government (AoG) contract expires October 2017. New AoG contracts have
been negotiated by MBIE. Council will enter into AoG agreements for six
months and assess whether they meet our needs.
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Decision
taken to extend AoG
agreements at 4 April 2018 meeting, Resolution number STR/2018/14 – Item 9 and Resolution number STR/2018/12
– item C1
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1.10
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Building
Consents Regional Overflow Model
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Approve
the supplier recommendation for the Building Consents Regional Overflow Model
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Decision:
procurement plan
agreed - 13 December 2017 meeting, Resolution number STR/2017/60 – Item
C5
Decision:
Supplier
recommendation agreed at 11 June 2018 meeting, Resolution number STR/2018/27
– Item 12 and Resolution number STR/2018/33 – Item C2
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1.11
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Waiheke
Island Waste Services Contracts
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Approve
a contract extension for Waiheke Island waste services contract
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Update
provided at the 11 July 2018 meeting, Resolution number STR/2018/41 – Item 11 and Resolution number STR/2018/36
– item C1
Decision: Approved contract extension at 11
July 2018 meeting.
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1.12
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Ports
of Auckland stormwater project
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Approve
awarding of contract to successful supplier for Ports of Auckland stormwater
project
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Decision:
Approve awarding of
contract
Resolution
number STR/2018/79 – Item C1
Decision: approved awarding of contract at
the 7 November 2018 meeting
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1.13
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City
Centre Development
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Provide
an update on the strategy for procurement of city centre development
programme and pipeline of forward works
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Updates
will now be provided as part of the update on Capital Project Delivery.
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1.14
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Ports
of Auckland stormwater project
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Approve
awarding of contract to successful supplier for Ports of Auckland stormwater
project
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Decision:
Approve awarding of
contract
Decision
taken to approve awarding of contract at the 7 November 2018 meeting
Resolution
number STR/2018/79 – Item C1
Next
update to be provided in April 2019 through the $5 million project report.
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1.15
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St
Marys Bay and Masefield Beach improvement project
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Approve
supplier recommendations for St Marys Bay and Masefield Beach improvement
project
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Decision: Supplier recommendations for the
first phase of construction
Report
provided to the 6 March 2019 meeting Resolution number STR/2019/14 - Item 9
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1.16
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Procurement
plan for waste collection services
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To
provide an update on the procurement plan for waste collection services
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Decision: To recommend the waste collections
procurement plan to Finance and Performance for approval, incorporating
feedback from the Value for Money review on the future of waste services
Update
provided to the 6 March 2019 meeting Resolution number STR/2019/16 - Item 11
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1.17
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Graffiti
Contracts
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To
provide an update on the council’s graffiti contracts
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Update
provided at the 6 March
2019 meeting Resolution number STR/2019/19 – Item C1
Receive
update on graffiti contracts
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3. Endorse
Procurement Category Strategies
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3.1
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Waste
Solutions Procurement Strategy
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Create
plan for go to market exercise for all waste collection (including food
waste) and disposal activity prior to 2020
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Update
provided at the October 2017 meeting Resolution number STR/2017/40 - Item 9
Decision: Confirm strategy/challenge
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3.2
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Organics
(food waste) Processing caddies and food waste bins
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Create
plan for go to market exercise for all aspects of the planned Organic (food
waste) collection and Processing Service together with the caddies and bins
required for collection.
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Update provided
at the October 2017 meeting Resolution number STR/2017/40- Item 9 and Resolution number STR/2017/45 – Item C1
Update
received at 11 July 2018 meeting Resolution number STR/2018/40 - Item 10 and Resolution number STR/2018/43
– Item C1
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3.3
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ICT
hardware
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Create
a plan for engaging the market to purchase ICT Hardware.
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Update
received at 7 March 2018 meeting – Resolution number STR/2018/7 –
Item 12 and Resolution number STR/2018/10
– Item C1
Receive: No decision required
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3.4
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ICT
Software
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Create
a plan for engaging the market to purchase Software.
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Update
received at 11 June 2018 meeting – Resolution number STR/2018/24
– Item 9
Decision:
agree to endorse
the Software Procurement Category Strategy
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3.5
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Vertical
Construction Category Strategy
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Development
of the overall strategy for vertical construction and building
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Update
received at 11 June 2018 meeting – Resolution number STR/2018/29
– Item 14 and Resolution number STR/2018/34
– Item C4
Decision:
endorse the
vertical construction procurement category strategy
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3.6
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ICT
Technology Services
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Create
a plan for engaging the market to purchase Technology Services – Cloud,
Data Centre Services, Print, Network.
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Decision:
update received at
12 December 2018 meeting – Resolution number STR/2018/91 – Item 10
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3.7
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Professional
Technical Services
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Implementation
of professional technical services category
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Receive:
No decision
required – update from approved strategy by T&P 2016
Update
received at 3 October Strategic Procurement Committee meeting –
Resolution number STR/2018/63 – Item 11
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3.8
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Professional
Services
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Create
a plan to go to market and manage professional services across Auckland
Council.
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Receive:
No decision
required.
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4. Enhance
Group Sourced Procurement
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4.1
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Sustainable
Procurement Framework
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Give
effect to principles to be agreed in Group Procurement Policy
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Update
provided at the December 2017 meeting. Resolution number STR/2017/53 Item 9
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5. Improve
Procurement Maturity
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5.1
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Ariba
update
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Update
Committee on implementation of procurement enabling technology
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Update
provided at the October 2017 meeting Resolution
number STR/2017/4 – Item 11
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6. Other
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6.1
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Update
on Waste Solutions contracts
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Update
the Committee on the current state of all waste contracts prior to the
preparation of the Waste Solutions Procurement Strategy
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Update
provided at the October 2017 meeting Resolution number STR/2017/41- Item 10 and Resolution number STR/2017/46
– item C2
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6.2
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Review
of Contract performance
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Update
the Committee on the performance of suppliers against key performance metrics
under the Full Facilities Maintenance contracts
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Receive:
No decision
required. Update provided at May 2018 meeting, Resolution number STR/2018/21
– item C2
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6.3
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Full
Facility agreement transfer of streetscape and waste solutions services
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To seek
approval for the variation of the current Full Facility agreements to
transfer the streetscape services from Auckland Transport and Waste Solutions
to Community Facilities.
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Decision: approval of transfer.
Update
received at 12 December 2018 meeting Resolution number STR/2018/89 –
Item C2
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6.4
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ICT
Technology Services
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Seek
approval for the transfer of existing datacentre service to a new multi-cloud
environment.
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Decision:
approval of
transfer.
Update
received at 12 December 2018 meeting Resolution number STR/2018/90 –
Item C3
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Strategic
Procurement Committee
01 May 2019
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Exclusion of the Public: Local Government Official Information
and Meetings Act 1987
That the Strategic
Procurement Committee
a) exclude
the public from the following part(s) of the proceedings of this meeting.
The general
subject of each matter to be considered while the public is excluded, the
reason for passing this resolution in relation to each matter, and the specific
grounds under section 48(1) of the Local Government Official Information and
Meetings Act 1987 for the passing of this resolution follows.
This resolution
is made in reliance on section 48(1)(a) of the Local Government Official
Information and Meetings Act 1987 and the particular interest or interests
protected by section 6 or section 7 of that Act which would be prejudiced by
the holding of the whole or relevant part of the proceedings of the meeting in
public, as follows:
C1 CONFIDENTIAL:
Extension to refuse collection contracts
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Reason for
passing this resolution in relation to each matter
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Particular
interest(s) protected (where applicable)
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Ground(s)
under section 48(1) for the passing of this resolution
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The public
conduct of the part of the meeting would be likely to result in the disclosure
of information for which good reason for withholding exists under section 7.
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s7(2)(i) -
The withholding of the information is necessary to enable the local authority
to carry on, without prejudice or disadvantage, negotiations (including
commercial and industrial negotiations).
In
particular, the report contains commercially sensitive information that could
prejudice council's position in negotiations with waste suppliers.
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s48(1)(a)
The public
conduct of the part of the meeting would be likely to result in the
disclosure of information for which good reason for withholding exists under
section 7.
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C2 CONFIDENTIAL:
Final supplier recommendations for Daldy Street stormwater project
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Reason for
passing this resolution in relation to each matter
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Particular
interest(s) protected (where applicable)
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Ground(s)
under section 48(1) for the passing of this resolution
|
|
The public
conduct of the part of the meeting would be likely to result in the
disclosure of information for which good reason for withholding exists under
section 7.
|
s7(2)(i) -
The withholding of the information is necessary to enable the local authority
to carry on, without prejudice or disadvantage, negotiations (including
commercial and industrial negotiations).
In
particular, the report contains commercially sensitive information that might
impact on council's position in negotiations with suppliers.
|
s48(1)(a)
The public
conduct of the part of the meeting would be likely to result in the
disclosure of information for which good reason for withholding exists under
section 7.
|
C3 CONFIDENTIAL:
Multi-cloud procurement - back-up software and server hardware supplier
recommendation report
|
Reason for
passing this resolution in relation to each matter
|
Particular
interest(s) protected (where applicable)
|
Ground(s)
under section 48(1) for the passing of this resolution
|
|
The public
conduct of the part of the meeting would be likely to result in the
disclosure of information for which good reason for withholding exists under
section 7.
|
s7(2)(b)(ii)
- The withholding of the information is necessary to protect information
where the making available of the information would be likely unreasonably to
prejudice the commercial position of the person who supplied or who is the
subject of the information.
s7(2)(h) -
The withholding of the information is necessary to enable the local authority
to carry out, without prejudice or disadvantage, commercial activities.
s7(2)(i) -
The withholding of the information is necessary to enable the local authority
to carry on, without prejudice or disadvantage, negotiations (including
commercial and industrial negotiations).
In
particular, the report contains information that could prejudice council's
position in negotiations with suppliers.
|
s48(1)(a)
The public
conduct of the part of the meeting would be likely to result in the
disclosure of information for which good reason for withholding exists under
section 7.
|
