Agenda item

The Cabinet considered a report of the Director of Environment and Transport concerning the continued impacts of the Covid-19 pandemic and other significant factors which were affecting local bus provision and the actions being taken to address them. A copy of the report, marked ‘Agenda Item 7’, is filed with these minutes.

 

The Director said that the Cabinet was asked to consider an additional recommendation (h) which detailed the urgent action taken by the Chief Executive in order to extend the Council’s supported bus contracts to enable a tendering exercise to be undertaken. She added that the four month extension until the end of July was expected to cost in the region of £200,000, with the entire costs of the contracts totalling £903,466.

 

Mrs Taylor CC said it was clear the pandemic was continuing to have an impact on the County’s bus services as patronage levels remained below pre- covid use. She added that it was important to note that bus services in Leicestershire were a commercial operation and whilst the County Council had subsidised many services in the past, it was unlikely to be able to afford to continue to offer the same support and would therefore have to explore alternative solutions.

 

Mr O’Shea CC said that as a result of the services being commercially operated, it was likely some routes would be stopped unless the number of people using them significantly increased.

 

RESOLVED:

 

a)    provide the Cabinet with an update concerning the continued impacts of the Covid-19 pandemic and other significant factors, such as increased fuel costs and driver shortages, which are affecting the bus market nationally, and to highlight the issues arising in Leicestershire and the actions being taken to address them. That the challenging situation regarding local bus services in Leicestershire and its implications for the County Council and bus operators be noted;

 

b)    That the actions already taken to mitigate the impact of the challenges facing local bus services, including the payment of a higher level of concessionary travel reimbursement than actual concessionary use, be noted;

 

c)     That it be noted that the Director of Environment and Transport, following consultation with the Cabinet Lead Member for Highways, Transportation and Flooding and Director of Corporate Resources will, using her existing delegated authority

 

                                   I.          set the level of concessionary travel reimbursement from 1 June 2022 to 31 March 2023;

 

                                 II.          in accordance with the Council’s Passenger Transport Policy and Strategy (PTPS), agree with existing supported service providers to extend contracts and where necessary, the payment of short-term increases to them until the new contracted arrangements are in place.

 

d)    That the Director of Environment and Transport be authorised, following consultation with the Cabinet Lead Member for Highways, Transportation and Flooding and Director of Corporate Resources, to take the necessary steps to award contracts for supported bus services from July 2022;

 

e)    That, noting the current issues affecting the local commercial bus market, the Director of Environment and Transport following consultation with the Cabinet Lead Member for Highways, Transportation and Flooding and Director of Corporate Resources, be authorised to take such action as necessary to ensure the continued provision of services in line with the PTPS;

 

f)      That the links and dependencies of the local bus market with the Council’s Bus Service Improvement Plan and formulation of its Enhanced Partnership (considered as part of a separate report on the Cabinet agenda), be noted;

 

g)    That if the outcome of (d) and (e) above result in significant changes to local bus services or costs to the Council the Cabinet will consider a further report on the matter.

 

h)    That the Cabinet notes the urgent action taken by the Chief Executive to agree an exception to the Contract Procedure Rules to enable the appointment of the providers Arriva Hinckley, Centrebus Ltd, Paul S. Winson Coaches, & Roberts Coaches Ltd for a period of four months with a value not to exceed £903,466 whilst a procurement activity is conducted. The Council’s Constitution (Contract Procedure Rule 6 (b) ii provides that exceptions to the Contract Procedure Rules may be made by the Cabinet where it is satisfied that an exception is justified on its merits and that in urgent cases the Chief Executive (after consultation with the Leader or Deputy Leader save where this is not practicable) may direct that an exception be made subject to it being reported to the Cabinet.

 

(KEY DECISION)

 

REASONS FOR DECISION:

 

To note issues affecting Leicestershire’s bus services and the actions taken and planned to be undertaken to mitigate their impact.

 

To enable the extension of existing contracts and/or the approval of new contracts for bus services from July 2022 and where necessary, make variations to existing services.

 

To note urgent action taken by the Chief Executive to agree an exception to the County Council’s Contract Procedure Rules.