The Head Of Operations - Community Services presented a report which sought Cabinet approval on the allocation of a Welsh Government grant to support Absorbent Hygiene (AHP) recycling services, suspend the relevant Council’s Contract Procedure Rules and delegate authority to the Head of Operations - Communities to liaise with Kier to purchase vehicles and equipment to support the AHP service.

He explained that during the procurement of the Council’s waste contract in 2017, the Council introduced a separate kerbside collection and recycling of absorbent hygiene products. He said that this had been a popular service since its introduction and 1,187T of this waste was diverted from landfill in 2019-20. There were currently around 7,000 registered service users as of the end of May 2020, and this was regularly managed to avoid unnecessary visits to those who no longer require this service.

The Head Of Operations - Community Services added that Welsh Government had been working with local authorities to secure a sustainable Absorbent Hygiene Products (AHP) service across as many people throughout Wales as possible both via Local Authority capital funding for equipment and by looking at future treatment solutions for the recycling of the products. Further details were at section 3 of the report.

The Head Of Operations - Community Services explained that the Council undertook a soft market exercise to determine whether the required specialist vehicles could be purchased at a comparable rate to those acquired by Kier Environmental Services. Through this exercise, there appeared to be an approximate increase in costs of around £5000 per vehicle in comparison to those negotiated by Kier.

He sought delegated authority to liaise with Kier to purchase the two AHP vehicles but the vehicles remain in the ownership of the council. However, Kier would maintain the safety and maintenance of the vehicle throughout the contract period. At the end of the contract period, the vehicles would be returned to the Council and that the Council would benefit from a financial reduction in the annual contract cost for these items and that this required a variation to the current waste contract.

The Head Of Operations - Community Services explained that Tondu Transfer Station and Community Recycling Centres operates under a licence from National Resources Wales (NRW). During 2019, NRW inspected the sites and directed drainage improvement works to allow the continued use of external storage areas. In an effort to limit the risk of NRW restrictions, Kier immediately instructed a contractor to install and repair drainage within these sites.

He added that the Council leases Tondu Transfer Station and Community Recycling Centre to Kier and the lease specifies a ‘maintain and repair’ obligation on Kier. However, the service recognised that these drainage works go beyond these requirements and these alterations were a direct consequence of NRW intervention for improved standards for site operations. These drainage works would allow continued use of the land for waste management, beyond the end of the contract period. He stated that Kier made the Council aware of the improvement works and requested a contribution to the cost incurred as these improvements allowed greater use of the site yards for storage, it protects against contamination risks from AHP storage. He added that it was recommended that the Council contribute £29,877.29 which equated to 60% of the value of the works.

The Deputy Leader in commending the report was pleased to see that Welsh Government had provided a grant to fully fund the service and showed the commitment by them in providing regional solution to managing waste issues.

RESOLVED:          That Cabinet:

1. approved the allocation of £238,079.00 to fund the items which are the subject of the original application to Welsh Government for the Welsh Government AHP Grant;

2. suspended the relevant part of the Council’s Contract Procedure Rules and delegate authority to the Head of Operations – Communities to liaise with Kier to purchase two vehicles for AHP collections on behalf of the Council;

3. delegated authority to the Head of Operations – Communities to liaise with Kier to purchase two skips specifically for the storage of AHP waste on behalf of the Council in accordance with the Council’s Contract Procedure Rules;

4. approved a partial repayment of £29,877.29 to Kier for the drainage improvement works which were carried out at Tondu Transfer Station and Community Recycling Centres

delegated authority to the Head of Operations – Communities in consultation with the Interim Head of Finance and Section 151 Officer and Chief Officer Legal, HR and Regulatory Services to agree the terms of the deed of variation to the waste contract with Kier and to arrange execution of the deed of variation on behalf of the Council, subject to such delegated authority being exercised in consultation with the Head of Legal, HR and Regulatory Services.