Waterford Councillors have been told that the local authority did not pay over-the-odds for their new van fleet.
1.4 million euro was spent on over sixty vans without authorisation from senior management.
The cost of the vans was raised at the March plenary meeting by Sinn Fein Councillor Declan Clune, who said it appeared that the council had been charged above the retail value.
Councillor Clune wanted to know more about the tendering process: “I’m searching for the tender, it doesn’t appear to be on the e-tenders website. Just judging by the history of the vans and checking their spec they all seem to have automatic transmission which for example is a 2,500 euro extra. Even with the extra transmission it seems we paid over the retail for these vans.” He called for a “little bit of transparency on it”.
In response, Director of Service Fergus Galvin said that the contract included more than just the vans themselves: “The tender was for the lease, hire and maintenance of the vans over a 60 month period. If you were to take the overall value of the contract versus the retail price of the vans it will look as though it’s above the retail price. But approximately one third of the value of the contract is in respect of the maintenance of the vehicles, tyre replacement, management systems and the cost of sending the vans for their annual CVRT is included in the tender”. He concluded that “It’s a very comprehensive overall supply maintenance and management package of which the purchase price or value of the vans represents only one element of it.”