Hebden Bridge News

'Unacceptable Issues' Highlighted in Waste Contract Report

Calderdale Council’s Chief Executive, Owen Williams, says he will be suggesting to Members that they accept in full the recommendations of an independent report into the way in which the Council’s waste collection contract was awarded.

Price Waterhouse Coopers (PwC) were asked by the Council to conduct an independent investigation into the waste collection contract which was awarded to Sita UK in March 2008.

Council asked PwC in February this year to review the way in which the social enterprise element of the contract was managed, together with the handling of the overall procurement process.

PwC reviewed the waste collection contract from the earliest stages of the procurement process which began in 2006 through to the start of the operation of the new contract.

Owen Williams, said: “Members commissioned this report primarily because of concerns relating to Kerbside. In particular they wanted to know whether the Council could have done more to ensure that Kerbside was a part of the waste contract.”

“The report concludes that the Council made significant efforts in order to bring both Sita UK and Kerbside together with a view to reaching agreement. The report also contains comments from each of the three final bidders who all said that they understood the Council was keen to see social enterprise and in particular Kerbside as a part of the contract.”

PwC were also asked to look into the procurement element of the waste contract which was advertised in March 2007.

“The report highlights a number of unacceptable issues relating to the procurement process and the judgement and decision making of a small number of Council staff. As a result it will be necessary to consider whether there are any disciplinary issues that need to be dealt with.” said Owen Williams.

“After considering the report, I also have significant concerns about the advice received by the Council during 2007 and the input of specialist officers, some of whom are no longer working with us. Therefore, as well as suggesting to Members that we accept the recommendations of the report in full, I will also be taking further legal advice on the potential remedies available to the Council.”

Owen Williams said that the final cost of the independent investigation was likely to be more than the £30,000 allocated in the original Council decision.

“This is due to the additional legal input required to support the findings of the report and the increased number of documents, people and organisations that were investigated by PwC. Further work may be required as a part of improvement planning around procurement and any subsequent legal action that the Council may choose to take at a point in the future. I will seek to advise Members of the final costs as soon as further discussions have been had with PwC about next steps and their future involvement.”

“In summary, I’m satisfied that the Council did all that it could in relation to social enterprise and Kerbside but I am extremely concerned about the way that the procurement process was handled back in 2007. The report justifies the decision taken by Members to reorganise the Council’s management structure this summer. The fact that we are having to focus on this, rather than celebrating the tremendous contribution that local people have made to recycling is very frustrating.”

“I will get to the bottom of what went wrong and do everything in my power to make sure this does not happen again.”

All Councillors will have the opportunity to discuss the full report when they meet as a committee on Monday, 28 September. It is then intended for the report and subsequent action plan to be presented to the Scrutiny Committee that will be designated to deal with issues from the newly formed Directorate of Economy and Environment. This work will be overseen by the recently appointed Director Ian Gray.