12 Sep 2008

Contractors seek review over tendering decision

8:23 am on 12 September 2008

The New Zealand Contractors' Federation will ask the Auditor General's office to review a Christchurch City Council decision that all-but prevents private businesses tendering for major council maintenance work.

The council has voted to set up a panel to decide whether the council-owned firm, City Care, should again be given contracts worth $30 million to maintain waste water assets, parks and other core facilities.

City Care is a strategic asset of the council, but runs as a autonomous business and has maintenance contracts other than the council's.

The Contractors' Federation Canterbury branch wanted a public tendering process but the council has voted 9-1 to move towards renewing its contracts with City Care, saying its decision fits within the guidelines of the Auditor-General.

The federation's area secretary Pete Goodwin says he will now ask the Auditor-General's office to review council's process to see if that is correct.