To consider and agree pre-decision scrutiny questions/comments to be presented to Cabinet. With particular reference to the:

·         Corporate Budget Monitoring - Month 4 (Q1 2016/17);

·         Medium Term Financial Strategy (MTFS) Update 2017-18 to 2019-20 (First stage in the review of the MTFP); and

·         Transparency Commission Action Plan and Transparency Protocol.

(Time allocated – 50 minutes).

Item 5.3 Waste Management Services- Delivery Options (contract extension)

1.    Regarding the proposed extension of the current Waste Management Contract, what action is being considered to increase user engagement in order to achieve better outcomes by extending the contract?

RESPONSE

One of the key reasons for the extension is to enable the Council to engage with residents, and ensure we provide a fit for purpose service that meets their needs.  The service will need to be redesigned, and it is important that engagement is a key element of this process. Therefore the extension will provide time to ensure effective engagement takes place.

2.    What assurances can be given that the performance for all the main environmental services (waste collection, street cleansing, etc.) included in the Contract will improve as a result of the proposed extension?  

RESPONSE

These are key front line services, and it always a challenge to meet the increasing expectations from our residents and businesses.  The current contract would have been developed 15 years ago, therefore is no longer fit for purpose.  There will be substantial growth in the Borough over the next 10 years, therefore a redesign is necessary.  Through this process we will have a service fit for the future, therefore achieve the expected improvements required.

3.    What opportunities will be provided for all Members, including those on the Overview and Scrutiny Committee and the sub-committees, to get involved in the extension process?

RESPONSE

It is important that all Members are involved in the process of redesigning the service, and will be invited to attend workshops to ensure they are engaged throughout the process.

Item 5.9 Contract Forward Plan-Quarter 3 (2016/17)

4.    When the Greenwich Leisure Limited contract expires in 2018, will there be a thorough retendering process to ensure the Council achieves best value from the next contract?

RESPONSE

The Council is currently in negotiation with GLL to extend the existing leisure management contract beyond the 2019 expiry date. Any retendering process will take into account a new contract expiry date determined with GLL as part of the contract extension process.

5.    As part of the specification for the contract, and given the Council’s new focus on Outcome Based Budgeting, will broader health indicators be considered for inclusion into the procurement Process? 

RESPONSE

Yes. The current national policy context has sport/leisure provision closely aligned with public health outcomes. Subsequently, it is anticipated that the procurement process will involve an output based contract specification which would address this issue by including broader health indicator targets. However, it should be noted that any specification would be subject to changes to national and local policy at the time of procurement.

6.    Can assurances be given that if there are significant savings achieved from the leisure services contract, these will not be at the expense of employee terms and conditions- given Tower Hamlets is a London Living Wage Council ?

RESPONSE

It is expected that the implementation of the London Living Wage would be a specification requirement for any new contract. However, under normal circumstances the operator absorbs these costs within their financial plan and this may result in increased costs for the contract overall. Due to the complex procurement process and negotiation involved in any contract, it is not possible to make assurances at this stage, however the Council will endeavour to ensure the London Living Wage is implemented.