Key information
Executive summary
The MPS current vehicle conversion, decommissioning, and disposal contracts expire in 2020 and 2021. This report seeks approval to initiate procurement action for new contracts to provide service continuity.
Recommendation
The Deputy Mayor for Policing and Crime is recommended to:
• Approve the procurement strategy for vehicle conversion, decommissioning, and disposal.
• Approve the initiation of procurement action for vehicle conversion and decommissioning
contracts with a duration of seven years and estimated value of £84.0m, funded from
approved budgets.
• Approve the initiation of procurement action for vehicle disposal contracts with a duration
of four years and estimated value – including buyers’ fees, sellers’ fees, and vehicle sale
prices – of £37.6m, funded from approved budgets, and delegate authority to approve the
award of these contracts to the Director of Commercial Services.
Non-confidential facts and advice to the Deputy Mayor for Policing and Crime (DMPC)
1. Introduction and background
1.1. Fleet vehicles are converted with specialist equipment to make them suitable for police use and decommissioned at the end of their life. Fleet and seized vehicles are disposed through auction, scrappage, or breakage to generate income.
2. Issues for consideration
2.1. The vehicle conversion and decommissioning contract with Babcock Vehicle Engineering Ltd expires on 31 October 2020. The vehicle disposal contracts with John Pye & Sons Ltd, Recycling Lives Ltd, and Synetiq Ltd expire on 31 May 2021. Approval is sought to initiate procurement action to provide service continuity.
2.2. In accordance with their new operating models being developed through the Operational Support Services Programme, Fleet Services and Vehicle Recovery and Examination Services will now share vehicle disposal contracts.
2.3. The vehicle conversion, decommissioning, and disposal contracts will include stringent health and safety requirements. Tenders will be evaluated accordingly. The running of the procurements themselves has no significant health and safety impacts.
2.4. Tenders will be evaluated for environmental impact. This will include a review of contractor policies, licenses, permits, and consignment notes where relevant, particularly for the vehicle disposal requirements for scrappage and breakage.
3. Financial Comments
3.1. Spend on vehicle conversion and decommissioning will be in accordance with approved budgets. Vehicle disposal generates income, with sellers’ fees deducted from this and buyers’ fees paid in accordance with established market practice.
3.2. Vehicle conversion and decommissioning contracts with a duration of seven years are estimated to cost £84.0m, funded from approved budgets.
3.3. Vehicle disposal contracts with a duration of four years with an estimated value – including buyers’ fees, sellers’ fees, and vehicle sale prices – of £37.6m, funded from approved budgets, and delegate authority to approve the award of these contracts to the Director of Commercial Services
4. Legal Comments
4.1. The Mayor’s Office for Policing and Crime (MOPAC) is a contracting authority as defined in the Public Contracts Regulations 2015, which apply to the contracts to be procured as their values are £181,302 or above.
4.2. Paragraph 4.13 of the MOPAC Scheme of Consent and Delegation provides that the Deputy Mayor for Policing and Crime has delegated authority to approve the procurement strategy and requests to go out to tender for contracts of £500,000 or above, as is the case with these contracts.
5. GDPR and data privacy comments
5.1 A Data Protection Impact Assessment has been undertaken with support from the Information Assurance Unit.
6. Equality Comments
6.1. An Equality Impact Assessment has been undertaken with support from the Strategic Diversity and Inclusion Team.
Signed decision document
PCD 612 Vehicle Conversion, Decommissioning and Disposal