Agenda item

The Cabinet gave consideration to a report of the Director of Education, Skills and Early Years which sought to advise on the process undertaken on the Transport Service Tender.by providing details of the recent tender allocation process. It also outlined details of the current provision of Travel Assistance, provided by the SEND Transport Team.

The SEND Travel Assistance Service provided the current provision for Home to School Transport. The service transports approximately 830 pupils with either special educational needs, disabilities or because of their mobility issues.  There are approx. 2600 children and young people with EHCPs in the borough and circa 5000 children and young people 0-25 years on SEN Support.

The SEND Travel Assistance Service operates over 190 school days as determined by the School Holiday Calendar and other occasional days determined by individual schools governing bodies. All pupils with SEND are provided with free travel assistance, in accordance with the Council’s current Travel Assistance Policy (July 2019), IPSEA Legal guidance and the Education Act 1996. It is the legal responsibility of the Local Authority to provide this service, as outlined in the Education Act 1996.

The provision of transport is determined by the needs of the individual pupil. Those with severe and complex health, physical or educational needs can be transported by either individual taxis or adapted vehicles. Children or young people with less severe needs ordinarily travel via a multi-passenger minibus.

The SEND Travel Assistance Policy aims to ensure that all pupils eligible to access transport, will receive the appropriate provision which meets their needs.

At present, there is a concurrent internal travel training program in place with Oldham Council, led by the SEND Travel Assistance Service. The program aims to provide independent travel training to 30 children and young people per annum. New delivery models for providing a greater level of scale and pace for independent travel training will be considered before the financial year end as 30 per annum is deemed insufficient to meet potential demand/need, ensure independence and preparation for adulthood and ensure best value for money/a potential invest to save model. This will help to mitigate costs moving forwards as more children and young people may migrate to travel training from transport and/or assigned travel training in place of transport in the first instance.

The current contract to provide SEND Travel Assistance expires on 31^st August 2022. although there is an option to extend by another year.

A dynamic purchasing system (DPS) is to be established and used for allocating routes via mini competitions of which can be accessed via the Chest. In accordance with the Council’s Contract Procedure Rules and Public Contract Regulations 2015 the following procurement process was undertaken in establishing the DPS.

A supplier engagement event was advertised on the Chest accompanied with a soft market testing questionnaire designed to inform the Council of the market’s perception of the current and future ways of working.

Following the event, the DPS opportunity was advertised on the Chest on 17^th December 2021 with a closing date of 21^st January 2022. Bidders were asked to review and complete a standard selection question which looks to assess the capability and quality.

The DPS was been broken down into separate lots for:

·         Private Hire/Taxi

·         PSV Buses

·         Minibuses

·         Black Cab

·         Wheelchair Adapted Minibuses

·         PSV Wheelchair Adapted Buses

Once bidders have passed this initial stage, they shall enter into a Dynamic Purchasing Agreement, following which they are eligible to submit bids for routes via the published mini competitions. The mini competition documents will be evaluated 90% on price (on a fixed price basis) with a 10% caveat based on vehicle emissions and companies’ adherence to Oldham’s clean air policy.

Oldham’s Travel Assistance Team works in partnership with Oldham Licensing, this is to ensure all of Oldham’s licensed Private Hire and Hackney Vehicles, working on an Oldham School Transport route, meet Oldham's minimum licensing standards. Transport also works to ensure the minimum standards of all other authority’s vehicles are met, using Oldham Licensing standards as a benchmark.

It is intended that approximately 220 routes will be tendered via the mini competition process which is anticipated to start in April 2022 with a deadline of May 2022. These routes are due to commence in September 2022. It is recommended that delegated authority (Managing Director, Children & Young People) is given in awarding the routes in this mini competition. It is also recommended that any subsequent mini competitions during the lifetime of the DPS will also be approved by delegated authority (Managing Director, Children & Young People). 

Option/alternatives considered

Option 1 - Open the Dynamic Purchasing System under The Chest and tender the 200+ routes to the successful bidders on the System. This approach would:

·         Attract new companies to the tendering process, via the Chest, enhancing Oldham’s pool of approved contractors.

·         Seek new tenders at a lower price than current.

·         Support local business, as well as enhancing Oldham’s and Greater Manchester’s transport network.

·         Support Oldham’s and Greater Manchester’s Clean Air policy.

Option 2 - Utilise the last term extension period of 1 year. Approach the current suppliers to continue undertaking the route previously tendered for the same price, This approach would:

·         Provide a continuation of service, from the contract period which commenced in September 2019.

·         Risk of Contractors pulling out from the contract, as increases in cost of living, petrol price increases and the introduction of Greater Manchester’s Clean Air policy, could see contractors not afford to provide a service.

·         Not having enough contractors to be able to provide a service, since 2019 we support 200+ more children. Oldham need to attract new companies to be able to meet future demand.

·         Will not be able to push Oldham’s and Greater Manchester Clean Air Policy.

Option 3 - To work with Procurement to explore the possibility of procuring our own fleet of PSV/Adapted Buses and employ a fleet of drivers under Oldham Council. In the future Oldham would utilise a hybrid model, opening the Dynamic Purchasing System under The Chest and tender the remaining Private Hire Taxi routes. This approach would:

·         Remove daily pricing for all PSV/Adapted Vehicles

·         Greater control of vehicle standards and passenger accessibility

·         Quicker/leaner tender process

·         Increase the number of staff employed by the Council

·         Outlay of equipment, financial upkeep of the vehicles (PSV Standard Tests/MOT’S)

·         Reduction in partnership working with Local Business

At this stage a full financial breakdown has not been completed, meaning a cost analysis process will have to be undertaken. It is estimated this would cost in excess of £5 million.

RESOLVED – That:

1.    The acceptance of the formation and opening of the Dynamic Purchasing System be approved.

2.    A retendering exercise for the 200+ routes under the Dynamic Purchasing System via mini competition be approved.

3.    Delegated authority be given to the Managing Director, Children and Young People in awarding the initial mini competition (200+ routes) and any subsequent mini competitions during the lifetime of the DPS.