Decision details

Matter for decision: To agree to the approval to enter an Inter Authority Agreement for the Material Recycling Facility Contract with neighbouring authorities that will support the running of the new Materials Recycling Contract

Reason for the decision: The IAA agrees the principle by which the Cambridgeshire Authorities will work together to govern and manage the contract and a cost sharing arrangement, based on the outcome of the procurement process.

The intention is to level out variability of operating costs in this round of procurement and present one fixed fee that is acceptable to RECAP, thereby mimicking the existing contract arrangement.

Gate fee prices will not be known until the procurement exercise is complete, but the assumed potential affordability envelope is expected to range between circa £50 – circa £110 and an average rate of circa £80 per tonne. As an example, overall additional costs could be up to £739k for a full year for both SCDC and CCC based on the average gate fee. If prices were submitted at more than this estimate the cost would increase.

Time scales for IAA signed off are necessarily aligned with procurement process that requires the IAA to be signed by 7 June 2024 prior to commencement of bid evaluation to ensure the new contract can be mobilised and commence as required in September 2024.

Heads of terms for the IAA have already been reviewed and Agreed by the Head of Climate Environment and Waste and 3C legal services.

3C legal, Democratic services, and Director senior officers are aware.

The Executive Councillor’s decision: Agreed to the approval to enter an Inter Authority Agreement for the Material Recycling Facility Contract with neighbouring authorities that will support the running of the new Materials Recycling Contract

Why the Decision had to be made (and any alternative options): Time scales for signing the IAA are aligned with the procurement timescales. Contract award is due week commencing 4 July and therefore supporting agreement need to be in place by this date. Meeting this date will ensure the new contract can be mobilised and commence as required on 1^st September 2024.

The Chair of Environment and Communities Scrutiny Committee has been consulted and is in agreement as this is a special urgency decision.

Conflict of interest: none.