Exemption from Tender and Contract Variations - Management of Aquatic and Leisure Facilities - Belgravia Leisure

17/05/2021 - Exemption from Tender and Contract Variations - Management of Aquatic and Leisure Facilities - Belgravia Leisure

It is resolved that:

(A)        Council approve an exemption from tender in accordance with section 55 (3)(i) of the Local Government Act 1993 to extend the term of existing contracts for the management of the City’s aquatic centres under the contract for the management of Cook and Phillip Park, Ian Thorpe Aquatic Centre, Prince Alfred Park, Victoria Park and Andrew (Boy) Charlton Pools; and the contract for Gunyama Park Aquatic and Recreation Centre (GPARC), by reason of extenuating circumstances, noting that a satisfactory result for the City would not be achieved by inviting tenders at this time;

(B)        Council note the reasons that a satisfactory result for the City would not be achieved by inviting tenders are:

(i)          the high levels of uncertainty and risk in the market as a result of the ongoing Covid-19 pandemic will not result in value for money; and

(ii)         due to the shorter elapsed time period since the opening of Gunyama Park Aquatic and Recreation Centre, there is insufficient commercial history to allow service providers to provide competitive responses to a tender;

(C)       Council approve the variation of the contract for the management of Cook and Phillip Park, Ian Thorpe Aquatic Centre, Prince Alfred Park, Victoria Park and Andrew (Boy) Charlton Pools; and the contract for Gunyama Park Aquatic and Recreation Centre (GPARC) to extend the terms of both contracts by an additional two years with both contracts to expire on 31 March 2024;

(D)       Council approve a variation to the contract for the management of Cook and Phillip Park, Ian Thorpe Aquatic Centre, Prince Alfred Park, Victoria Park and Andrew (Boy) Charlton Pools to vary the financial arrangements until performance returns to pre-Covid levels;

(E)        Council approve the additional funds in relation to both contracts as outlined in Confidential Attachment A to the subject report; and

(F)        authority be delegated to the Chief Executive Officer to finalise negotiations and enter into any necessary documentation to give effect to the clauses above.

Carried unanimously.

S100640.027