Residual Waste Treatment Contract (Modification)

This Notice is to publish details relating to the need for additional works, services or supplies by the original contractor, under Regulation 72 (1) (b) of the Public Contract Regulations.

1. An in scope contract extension for 36 month (01.04.2021 - 31.03.2024). The value of the Contract Extension has seen a 14.25% increase to costs over the duration of 13 years (10 years to date, 3 year extension until 2024)
2. A change in responsibility for costs arising should the third party waste transfer facility not be available. Going forward these will be shared between the parties on an agreed basis (previously the sole responsibility of FCC).

The original contract Terms provide for a 60 month contract extension period. The Council is now invoking 36 months of this extension option until 31st March 2024.

The value of the Contract Extension has seen a 14.25% increase to costs over the duration of 13 years (10 years to date, 3 year extension until 2024) and an increase in volumes and tonnage rates.

The Agreement was due to expire on 31 March 2021. The global outbreak of COVID-19 has caused substantial disruption to the Council and the running of a new procurement process in this climate for two further years of service would cause substantial duplication of costs and inconvenience. The Extension Period of the Agreement will enable the Council to recover from the effects of the pandemic and to restore value for money.

There is a contractual change in responsibility for costs arising should the third party waste transfer facility not be available. Going forward these will be shared between the parties on an agreed basis (previously the sole responsibility of FCC).

ORIGINAL CONTRACT DETAILS

Length in months - 120 months

Start date - 01/04/2011

End date - 31/03/2021

Extension option - 60 months (until 31/03/2026)

Date of award decision - 2010

Contractor:

FCC RECYCLING (UK) LIMITED

Company Reg. No. 02674166

Ground Floor West, 900 Pavilion Drive, Northampton Business Park, Northampton, NN4 7RG

SME - No

Total Value of the Contract:

£7,445,500 (10 years)

£744,550 (per annum)

£9,679,150 (15 years, if extension taken as per original award)

MODIFIED CONTRACT DETAILS

Length in months - 156 months

Start date - 01/04/2011

End date - 31/03/2024

Contractor:

FCC RECYCLING (UK) LIMITED

Company Reg. No. 02674166

Ground Floor West, 900 Pavilion Drive, Northampton Business Park, Northampton, NN4 7RG

SME - No

Total Value of the Contract:

£11,058,664 Additional information: PLEASE NOTE THAT THIS VEAT IS BEING USED AS A PUBLICATION TOOL, TO PROVIDE DETAILS OF A MODIFICATION.

Reasons for modification:

Need for additional works, services or supplies by the original contractor (Art. 43(1)(b) of Directive 2014/23/EU, Art. 72(1)(b) of Directive 2014/24/EU, Art. 89(1)(b) of Directive 2014/25/EU).

Please see II.2.4. Description of the procurement for full details.