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Decision details

Transferring Services from Enterprise Managed Services Limited to Peterborough Limited - JAN19/CMDN/77

Decision Maker: Cabinet Member for Resources

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: No

Purpose:

With the approval of the Chairman of the Growth, Environment and Resources Scrutiny Committee waiver of call-in procedures have been invoked to suspend the 3 day call-in period.

 

It has come to the attention of the Chairman and the Monitoring Officer that the CMDN authorises signature of a Deed of Variation which extends the Council's contract with Amey enabling the proposed phased approach to be taken.  In order to extend the existing contract the Deed of Variation must be signed by close of business on Friday 1st February 2019 and consequently the decision has now become urgent in order to give effect to that.

 

 

The Cabinet Member:

 

a)         Transferred services from Enterprise Managed Services Limited to

Peterborough Limited as follows:

 

·         Building Cleaning on 2 February 2019;

·         Passenger Transport on 1 April 2019;

·         Waste & Recycling Collections on 1 April; and

·         Building Maintenance, Street Cleansing and Grounds Maintenance 4 May 2019

 

b)         Approved the budget implications of these changes as detailed in Section 8 of this Report, and that they are reflected in the Council Medium Term Financial Strategy for agreement in the February 2019 Cabinet meeting. 

 

c)         Agreed the change, where cost effective or by requirement, of purchasing assets by Peterborough City Council instead of Peterborough Limited and making these available to Peterborough Limited.

Reasons for the decision:

On 23 July 2018Cabinet approved the creation of a local authority trading company now named Peterborough Limited (the “Company”) to operate all services performed under the EMS (currently fulfilled by Amey Limited) from 2 February 2019.

 

On 17 December 2018 Cabinet approved the Business Plan for the Company. Following the landmark decision Council officers have developed an approach to implement the transfer of services to Peterborough Limited through a phased approach. The services to start trading and operating as part of Peterborough Limited will be:

 

·         Building Cleaning on 2 February 2019;

·         Passenger Transport on 1 April 2019;

·         Waste & Recycling Collections on 1 April 2019; and

·         Building Maintenance, Street Cleansing and Grounds Maintenance on 4 May 2019.

 

This process is a complex undertaking. It involves the transferring of 306 employees, transfer of all assets and the acquisition of all necessary vehicles.  All operational, health and safety, HR and financial policies and procedures need producing and to be in place for the time of transfer. The phased approach will allow for added staff engagement, a more timely and manageable approach, reduce risks and help ensure a focus on quality services.

 

The cost of Amey operating these services throughout the transfer period will be in line with the additional monthly costs currently paid to Amey for providing these services. However, there are additional costs over budgeted levels for the council to deliver this phased implementation. Once approved, these will be included in 2018/19 Revenue Monitoring and the 2019/20 MTFS.        

 

Amey have agreed this approach to ensure a safe and seamless transfer of services and staff.  During this period the Council and the Management of Peterborough Limited will work with Amey, and the workforce, to ensure high standards of service delivery for residents, safe, effective health and safety practices for the workforce, and strong workforce engagement and participation to achieve these objectives are maintained and delivered.

 

Interests and Nature of Interests Declared:

None.

Background Documents:

Cabinet reports of 23 July and 17 December 2018 detail the reasons for the creation of the Company.

Publication date: 29/01/2019

Date of decision: 29/01/2019

Accompanying Documents: