Exclusive by Kathy Watson
The Highways Agency (HA) is to introduce pilots for bigger and
longer-lasting highway maintenance contracts and to audit
contractors' performance.
In particular it is looking to change the 24 Super Agency and Term
Maintenance contractor roles, either with five to seven-year
contracts for current maintenance, or with contracts lasting 15
years or more for both capital and current maintenance.
As a further refinement it may also investigate including what it
calls a 'payment mechanism' to contractors on 15-year contracts as
an incentive to carry out improvements of less than £1 million
at their own expense.
Currently maintenance is carried out by contractors in 24 'Super
Agencies' throughout England, with Tarmac and Amey each controlling
five. With separate management contracts being let to consultants.
Last week, in its review of its first five years as a 'Next Step'
agency, the HA admitted that it wants to test these new ways of
maintaining the reduced network. In the review, it conceded that
more resources would be needed to develop the devolution process
but argued for co-locating some agency staff within the
contractors' teams.
Rumours of a major revamp of maintenance contracts first surfaced
in January (See CJ 20 January 1999). The Agency plans to flesh out
its proposals in announcements later this week. The HA spends
£770 million a year on maintenance.
Meanwhile, the HA is set to reorganise with the creation of four
divisions rather than the current three. The existing southern
division is to be divided to form separate south-east and
south-west regions, while the existing Midlands and northern
divisions will be unchanged. An HA spokesman said: "The change
flows from our new role. Traditionally we built and maintained
roads, but now Government wants us to be a network operator tasked
with integrating with other forms of transport."