|
Strategic
Procurement Committee
06 June 2019
|
|
Community
Facilities full facilities contracts performance update
File No.: CP2019/08926
Te take mō te
pūrongo
Purpose of the report
1. To
update the Strategic Procurement Committee on suppliers’ performance
under Community Facilities’ arboriculture services, ecological services,
and full facilities maintenance contracts, including the streetscape variation.
Whakarāpopototanga matua
Executive summary
1. In
2016-2017, Community Facilities undertook a procurement process (“Project
17”) to put in place new contracts for managing arboriculture, ecological
services, parks, open space and building maintenance, and cleaning services.
2. Contracts
were awarded to the successful tenderers in March 2017. Outgoing suppliers were
demobilised once the new tenders were awarded, and the mobilisation of the new
incumbents concluded in June 2017, with the contracts starting in July 2017.
3. The streetscape variation was award to the incumbent full facilities
suppliers in December 2018 with the green services (berm mowing, edging and
weed management, and vegetation management) starting in April 2019, and the
clean services (town centre cleaning, litter bins, loose litter, furniture
maintenance) due to start in July 2019.
|
Ngā tūtohunga
Recommendation/s
That the Strategic Procurement
Committee:
a) note that the information contained in the Community Facilities
full facilities contracts performance update report, enables transparency on
the topic due for discussion in the public excluded part of the meeting.
|
Horopaki
Context
4. Overall
it is pleasing to observe that suppliers continue to build on the progress made
in year one. Good responsiveness in relation to any performance concerns and a
consistency of performance across the region has been experienced.
5. All suppliers continue to improve their engagement with the
community and have embraced the smart procurement aspect of the contracts. In
one area the supplier is putting in place initiatives to offer work
opportunities for the homeless.
6. The
suppliers have made good progress with embracing the core principles of the
contract, including self-delivery. One supplier has recently taken over the
delivery of the cleaning of public toilets and litter collection which has
resulted in improvement with responsiveness and ownership of this difficult
service.
7. The
suppliers’ knowledge of the assets continues to improve as is reflected
in the ongoing refinement of work schedules and customised preventative
maintenance programmes, which resulted in a noticeable reduction of customer
request for services over the 2018 Christmas period.
8. The
ongoing development and refinement of the supplier portals and systems has
shown improvement this year. It is expected that council officers will have
real time visibility of job status and work schedules in due course.
9. Full Facilities suppliers are currently undertaking the winter
replanting programmes across the region which are improving the existing plant
and mulch stock.
10. The amount of newly vested assets, especially in the Tahi, Toru and
Rima areas, continues to present some challenges for the suppliers.
11. Health and Safety is being managed by all suppliers with any
incidents thoroughly investigated and appropriate corrective actions put in
place.
12. The quality results for the year showed a noticeable
improvement by all suppliers compared with year one. It is very pleasing to see
that all the suppliers are consistently performing across the region in the
ninetieth percentile.
13. All
suppliers have shown commitment to continuous improvement with any KPI failures
resulting in improvement plans being developed that identify the contributing
factors and outline how they will be addressed.
14. The
streetscape green services (berm mowing, edging and weed management, and
vegetation management) went live on 1 April 2019, with these services being
transferred from Auckland Transport to the council. A dedicated streetscape
project team has been put in place to manage the transfer and implementation of
the streetscape services.
15. All
suppliers have fully mobilised for the streetscape green services with all
equipment and staff in place. The clean services (town centre cleaning, litter
bins, loose litter, furniture maintenance) is on track to go live in July.
There is good collaboration between Auckland Transport, Community Facilities
staff and the full facilities suppliers with regular positive meetings and the
transfer of any requested information.
16. The
quality of the streetscape green work which has been underway for two months
has been good with only isolated areas where berms have not been mown. These
unmown berms are due to asset data problems rather than supplier performance.
17. In
support of the ‘green’ streetscape services, a dedicated team has
been set up investigate the feasibility of a standardized approach to weed
management. Similarly, Community Facilities is also working with Biosecurity in
managing pest plants along the road corridor.
18. The
mowing of berms adjacent to homeowners is also being reviewed in line with the
policy of managing this. By April next year, a standardised approach will be presented to the Strategic Procurement Committee
for feedback.
19. The
arboriculture contracts have been impacted this year due to dealing with the
final clean-up of last year’s storm event. This has resulted in the
volume of tree work undertaken in the first few months of this year being less
than in a normal year.
20. Both
ecological contracts are performing to a high standard and are on track to
deliver the full programme of works for this year.
Tātaritanga me ngā
tohutohu
Analysis and advice
21. This
report is for information only, no action from the Committee is required.
Ngā whakaaweawe me
ngā tirohanga a te rōpū Kaunihera
Council group impacts and views
22. A dedicated Community Facilities
operations team, the Operational Management and Maintenance Delivery
Coordinators, have been assigned to each of the 21 local boards. This team is
the key contact for maintenance and operational issues for
council’s open space and built assets, and serve as liaison when
suppliers are requested to meet with the local boards to discuss social and
environmental initiatives, and address maintenance concerns.
Ngā whakaaweawe
ā-rohe me ngā tirohanga a te poari ā-rohe
Local impacts and local board views
23. Local boards receive weekly updates on contractor performance,
specifically with regards to the full facility contracts. The weekly updates
provide evidence of the quality audit outcomes for each local board.
Tauākī whakaaweawe
Māori
Māori impact statement
24. Suppliers
work collaboratively
with council to achieve better outcomes for Māori, by supporting skills
development, labour market participation, and engagement with Māori-owned
businesses. Targets and measures to achieve Māori outcomes have been
incorporated as part of the contracts and are covered in
the financial implications section of this report. These are linked to KPIs and
are measured and monitored.
Ngā ritenga
ā-pūtea
Financial implications
25. The shift from a prescriptive
service delivery approach to outcomes-based contracts, resulted in an increase
in service levels for open space and building maintenance works.
26. The
Smart procurement outcomes that are required in the Project 17 contracts are
listed below. These will be delivered via the development and delivery of a
Community Outcomes and Workforce Development Plan.
· Increase
capability and capacity – suppliers are
required to create sustainable businesses that provide training and
development, to ensure continued quality delivery of services over the term of
the contract.
· Youth
employment – suppliers should facilitate
connecting work-ready youth to local employment by creating local jobs, with
training and development opportunities.
· Diversity
and inclusion – suppliers should promote
inclusion, reduce discrimination and remove barriers to opportunity and
participation, particularly for disadvantaged groups who face barriers to
employment e.g. long term unemployment, and people with disabilities.
· Valuing
Māori – suppliers are required to work
collaboratively with council to achieve better outcomes with Māori, by
supporting skill development and labour market participation, and engagement
with Māori owned businesses.
· Pacific
Auckland – suppliers should support further
training, development and labour market participation for Pacific youth and
communities.
· Local
community and economy – suppliers should
support local business where reasonable/practical, and should meet the social
needs of the delivery area.
27. The contracts have flexibility to remove assets, and allow
active participation by third sector and volunteers, to deliver maintenance
outcomes. Suppliers, and any of their sub- contractors, are required to
establish, document, implement, maintain and continually improve an
environmental management system.
Ngā raru tūpono me
ngā whakamaurutanga
Risks and mitigations
28. Risks relating the Project 17 contracts will
be discussed in the confidential section of the Strategic Procurement Committee
meeting.
Ngā koringa ā-muri
Next steps
29. Community
Facilities will continue to manage suppliers with the intent of improving
on-the-ground performance and realising the benefits of the contracts.
30. Community
Facilities will continue to report weekly to local boards and annually to this
committee, on suppliers’ performance.
Ngā tāpirihanga
Attachments
There are no attachments for
this report.
Ngā kaihaina
Signatories
|
Author
|
Geoff Pitman – Head of Contracts and Supplier
Management
|
|
Authorisers
|
Rod Sheridan - General Manager Community Facilities
Aaron Donaldson - Head of ICT & Corporate
Procurement
|
