Direct award of a Lease for Class 455 rolling stock

Concepts

• lease
• class 455 rolling stock
• the rolling stock
• stock
• rolling
• leasing
• 455
• class
• certain modifications
• certain third parties

Location

Description

Intention to directly award a 3 year contract for the leasing of up to 79 x 4 car units of Class 455 rolling stock with the ability to hand back units on 1 month's notice . The lease of the rolling stock is on the basis that the contracting authority (rather than the supplier) is responsible for all maintenance of the vehicles. The Lease also contains a right to transfer or sub-let the contract to certain third parties and an obligation for the supplier to enter into a direct agreement with the Secretary of State in parallel to the Lease. The direct agreement permits the Secretary of State to call for a New Contract in the event of the termination or expiry of the contracting authority's services agreement with the Secretary of State. The duration of the New Contract would typically be up to 3 years and the terms of the New Contract and the circumstances in which the direct agreement can be relied upon are all unambiguously set out in the direct agreement. The Lease also contains provisions addressing adjustments to monthly rentals on the basis specified in the Lease if certain modifications to the rolling stock are required which are to be funded by the Lessor. In the event that the contract is transferred or sub-let to a third party, a direct agreement is relied upon by the Secretary of State or modifications to the rolling stock are required and are to be funded by the Lessor, it is considered that these would be permitted modifications provided for in the contract.

Award Detail

CPV Codes

• None found

Legal Justification

No fleet other than the Porterbrook Class 455 are able to meet the requirements that the contracting authority needs from this rolling stock for the necessary contract duration to meet its public passenger rail transport obligations. The Class 455s are required only to cover the introduction of the remaining Class 701 fleet which is anticipated to be completed within a relatively short timescale. There is therefore an absence of competition for technical reasons and there are no reasonable alternatives to the Class 455 rolling stock. The contract duration of three years provides a reasonable level of contingency if some of the rolling stock need to be retained for a longer period for operational reasons.

Other Information

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