Award

Highways Services

  • Southampton City Council

F15: Voluntary ex ante transparency notice

Notice identifier: 2024/S 000-014450

Procurement identifier (OCID): ocds-h6vhtk-045773

Published 7 May 2024, 8:13am



Section one: Contracting authority/entity

one.1) Name and addresses

Southampton City Council

Civic Centre Road

SOUTHAMPTON

SO147LY

Email

tendermanagement@southampton.gov.uk

Telephone

+44 2380833000

Country

United Kingdom

Region code

UKJ32 - Southampton

Justification for not providing organisation identifier

Not on any register

Internet address(es)

Main address

www.southampton.gov.uk

one.4) Type of the contracting authority

Regional or local authority

one.5) Main activity

General public services


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Highways Services

two.1.2) Main CPV code

  • 71311220 - Highways engineering services

two.1.3) Type of contract

Services

two.1.4) Short description

This notice concerns the functions associated with highways related services including the management, maintenance and operation of the city's highway network and structures for which the Council is responsible in its capacity as Highways Authority.

The services to be provided will include:

• Highway-related safety inspections, improvement and routine maintenance

• Highway asset and inventory management functions

• Highway and transport capital projects

• Highway and transport scheme design and delivery

• Winter monitoring and gritting service

• Network (traffic) monitoring, management and maintenance of activity on the highway including events and works

• Third party insurance claims management

• Highway-related customer services

• Highway-related professional services

• Highway incident response and out of hours service

• Management, inspections, maintenance and investment of highways structures (including bridges and associated infrastructure, foot bridges, highways culverts and subways/underpasses)

• Gully cleansing and highway drainage maintenance

• Cleaning, maintenance and installation of non-illuminated traffic signs

• Management and operation of the Street Works permit scheme

• Performance and Business Support

two.1.6) Information about lots

This contract is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £60,000,000

two.2) Description

two.2.2) Additional CPV code(s)

  • 34992200 - Road signs
  • 45221000 - Construction work for bridges and tunnels, shafts and subways
  • 45233000 - Construction, foundation and surface works for highways, roads
  • 50230000 - Repair, maintenance and associated services related to roads and other equipment
  • 71311200 - Transport systems consultancy services
  • 71311210 - Highways consultancy services
  • 71327000 - Load-bearing structure design services
  • 71631400 - Technical inspection services of engineering structures
  • 71631450 - Bridge-inspection services
  • 71631480 - Road-inspection services
  • 90620000 - Snow-clearing services
  • 90640000 - Gully cleaning and emptying services

two.2.3) Place of performance

NUTS codes
  • UKJ32 - Southampton

two.2.4) Description of the procurement

This notice concerns the functions associated with highways related services including the management, maintenance and operation of the city's highway network and structures for which the Council is responsible in its capacity as Highways Authority.

The services to be provided will include:

• Highway-related safety inspections, improvement and routine maintenance

• Highway asset and inventory management functions

• Highway and transport capital projects

• Highway and transport scheme design and delivery

• Winter monitoring and gritting service

• Network (traffic) monitoring, management and maintenance of activity on the highway including events and works

• Third party insurance claims management

• Highway-related customer services

• Highway-related professional services

• Highway incident response and out of hours service

• Management, inspections, maintenance and investment of highways structures (including bridges and associated infrastructure, foot bridges, highways culverts and subways/underpasses)

• Gully cleansing and highway drainage maintenance

• Cleaning, maintenance and installation of non-illuminated traffic signs

• Management and operation of the Street Works permit scheme

• Performance and Business Support

The Council intends to enter into a contract with Balfour Beatty Civil Engineering Limited (BBCE) under the SCAPE Civil Engineering Framework Agreement ("the Framework") to deliver the highways and associated services set out within this notice for a maximum period of 5 years. The estimated values referred to in this notice are based on the maximum 5-year contract period. It is intended that the services shall be delivered by Balfour Beatty Living Places Limited (BBLP) through an intercompany agreement or subcontracted arrangement between BBCE and BBLP. The Council is named as a Contracting Authority eligible to use the Framework and the Framework covers the main highways services required by the Council.

Accordingly, the Council considers that public procurement law permits the award of a contract without prior publication of a contract notice to be permissible on the grounds of Regulation 99(3) of the Public Contract Regulations 2015.

two.2.11) Information about options

Options: No


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Award of a contract without prior publication of a call for competition in the cases listed below

  • The procurement falls outside the scope of application of the regulations

Explanation:

The Council intends to enter into a contract with Balfour Beatty Civil Engineering Limited (BBCE) under the SCAPE Civil Engineering Framework ("the Framework") to deliver the highways and associated services set out within this notice for a maximum period of 5 years. The estimated values referred to in this notice are based on the maximum 5-year contract period. It is intended that the services shall be delivered by Balfour Beatty Living Places Limited (BBLP) through an intercompany agreement or subcontracted arrangement between BBCE and BBLP. The Council is named as a Contracting Authority eligible to use the Framework and the Framework covers the main highways services required by the Council.

Accordingly, the Council considers that public procurement law permits the award of a contract without prior publication of a contract notice to be permissible on the grounds of Regulation 99(3) of the Public Contract Regulations 2015.

In the context of the severe financial constraints the Council is experiencing, it is likely that the Council's spend on highways services during the current to medium term will be significantly less than in previous years, which may affect the ability to secure a competitive commercial arrangement for the longer term. A shorter-term contract will allow time for the Council to stabilise financially and present to the market a more commercially compelling offer.

The Council's current financial situation is also affecting the level of resource which can be allocated to the highways project which increases risk to delivering a procurement process within the required timescales and quality of the resulting contract. This has obvious disadvantages and risks for the Council and potential bidders and has contributed to the identification of the use of the Framework and reduced contract term as appropriate options. It is intended that the market engagement for the subsequent highways contract shall commence in 2027 with a procurement process starting in 2028.

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes


Section five. Award of contract/concession

A contract/lot is awarded: Yes

five.2) Award of contract/concession

five.2.1) Date of conclusion of the contract

1 February 2024

five.2.2) Information about tenders

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor/concessionaire

Balfour Beatty Civil Engineering Limited (BBCE)

5 Churchill Place, Canary Wharf

London

E14 5HU

Country

United Kingdom

NUTS code
  • UKI - London
Companies House

00395826

The contractor/concessionaire is an SME

No

five.2.4) Information on value of contract/lot/concession (excluding VAT)

Total value of the contract/lot/concession: £60,000,000

five.2.5) Information about subcontracting

The contract/lot/concession is likely to be subcontracted

Value or proportion likely to be subcontracted to third parties

Value excluding VAT: £60,000,000

Proportion: 100 %


Section six. Complementary information

six.3) Additional information

If any person wishes to raise with the Council concerns or comments about the content of this notice then they should do so within 30 calendar days from the day after the date of dispatch of this notice using the contact details set out in Section I.1 above.

six.4) Procedures for review

six.4.1) Review body

High Court of England and Wales

Royal Courts of Justice, Strand

London

WC2A 2LL

Country

United Kingdom