Exemption from Tender and Contract Negotiation Outcome - Domestic, Cleansing (Putrescible) and Parks Waste Receipt, Processing and Disposal Services

12/12/2022 - Exemption from Tender and Contract Negotiation Outcome - Domestic, Cleansing (Putrescible) and Parks Waste Receipt, Processing and Disposal Services

It is resolved that:

(A)        Council note the outcome of the City's contract negotiation process with Cleanaway Pty Ltd (Cleanaway) to reset the contract terms and integrate the following two processing agreements into one contract:

(i)           Alternative Resource Recovery Processing Agreement for the processing of domestic waste; and

(ii)         Cleansing Waste (Putrescible) Receipt and Processing  Services Agreement contract for the processing of public place and parks waste;

(B)        Council approve an exemption from tender for Domestic, Cleansing and Parks (Putrescible) Waste Receipt, Processing and Disposal Services in accordance with section 55(3)(i) of the Local Government Act 1993;

(C)        Council note that a satisfactory result would not be achieved by inviting tenders because the market of suitable suppliers is extremely limited, with only two suppliers, one of which is at capacity and the other which is the current City supplier;

(D)        Council approve the contract with Cleanaway for the receipt, processing and disposal of domestic, cleansing and parks (putrescible) waste for:

(i)           the price, schedule of rates and contingency outlined in Confidential Attachment B to the subject report; and

(ii)         an initial term of three years (1 January 2023 to 31 December 2025) with three optional one-year contract extensions which can be ended early if Cleanaway implements new technology or changes the use of the processing facilities, and the parties cannot agree to subsequent variations required to the contract; and

(E)        authority be delegated to the Chief Executive Officer to finalise, execute and administer the contract and to exercise the options referred to in clause (D)(ii), if appropriate.

Carried unanimously.

X085362.008