This is an HTML version of an attachment to the Official Information request 'Cost versus savings of bus changes'.

By email 
Shed 39, 2 Fryatt Quay 
Pipitea, Wellington 6011 
20 February 2019 
PO Box 11646 
Manners Street 
Wellington 6142 
File Ref:  OIAP-7-9578 
T  04 384 5708 
F  04 385 6960 
Gavin Middleton 
[FYI request #9288 email] 
Dear Mr Middleton 
Request for information OIA 2018-398 
I refer to your request for information dated 20 December 2018, which was received by 
GWRC on 20 December 2018. On 11 February 2019, we wrote to you advising that we 
needed to extend the timeframe for us to respond to your request until 11 March 2019. You 
have requested the following information: 
“I request any reports, memoranda, emails, meeting notes, presentations, business cases, 
proposals or other documents relating to any projected cost savings (or reduction in costs) 
proposed to arise with the introduction of new contracts which came into effect in 2018. 
I also request any budgets, requests, reports, memoranda, emails, meeting notes, 
presentations, business cases, proposals or other documents relating to the actual cost of 
introducing those contracts - including, but not limited to, the costs of additional 
stakeholder/community/public engagement, staff time and expenses in managing 
implementation of the changes, consultants engaged to review or manage the changes or their 
impact, internally or externally prepared reports, additional communications or media 
management or public relations costs, making changes to routes or timetables following the 
signing of contracts, and the cost of receiving and managing feedback on the changes, 
including the handling of complaints. Where possible, please break down the costs by the 
categories identified above, and by any other logical categories.” 

GWRC’s response follows: 
The new contracts introduced by GWRC in 2018 were part of a wider transformation 
programme to reform the way in which bus services across the region are delivered. The 
contracts themselves introduced stronger performance measures and incentives on operators, 
as well as substantially higher service standards and quality of buses than previous contracts. 
Responsibilities for some functions shifted from operators to GWRC, such as ticketing, 
branding and customer communications. The contracts were also premised on the basis of a 
new bus network and timetables. Due to the overall objective of delivering an enhanced and 
improved bus service, value for money was the focus of the tendering and negotiating process 
for the new bus contracts, and not cost savings. Consequently reports and other documents 
RESPONSE TO 2018-398 

relating to projected costs savings were limited to the attached copy of Report RPE17.124 
Procurement of Public Transport Services which was presented to Council in May 2017.  This 
report recommended to Council the preferred tenderers for the bus units which were being 
tendered. The report is attached as Attachment 1.  
Further information about the contract tendering process, including the RFT documents and 
other reports presented to Council is available via the following link: 
You will see that we have elected to withhold a small amount of information from Report 
RPE17.124. The grounds relied on are set out below. 
GWRC is currently in the process of negotiating the delivery of additional bus services with 
bus operators. Certain information in the documents relates to matters that could have a 
negative impact on GWRC’s ability to conduct negotiations if released. As negotiation on the 
delivery of additional bus services is yet to be completed, GWRC considers that withholding 
the information is necessary to enable it to carry on, without prejudice or disadvantage, 
This information has therefore been withheld from the document released to you in accordance 
with section 7(2)(i) of the Local Government Official Information and Meetings Act 1987 (the 
Unsuccessful tenderers 
Information in the documents which relates to unsuccessful tenderers has been withheld. 
Tender documents were provided to GWRC on a confidential basis. Therefore, this 
information is withheld under section 7(2)(c)(ii) of the Act, as we consider that withholding 
tenderer specific information is necessary to protect information that is subject to an obligation 
of confidentiality and where making it available would be likely to damage the continued 
supply of this information. Release of such information would negatively impact our 
relationship with current and future tenderers, which would impact on GWRC's ability to get 
the best possible value for money outcome from future tender processes. Such an outcome 
would be likely to damage the public interest.     
In addition, the information has also been withheld in accordance with section 7(2)(b)(ii) of 
the Act, as releasing this information would be likely to unreasonably prejudice the 
commercial position of those unsuccessful tenderers. 
Evaluative material 
Certain information in the documents relates to the commercial strategy of successful 
tenderers. Therefore, this information is withheld under section 7(2)(b)(ii) of the Act, as 
releasing this information would be likely to unreasonably prejudice the commercial position 
of the tenderer. 
RESPONSE TO 2018-398 
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Legal advice 
Certain information in the documents relates to legal advice that GWRC has obtained. The 
legal advice is subject to legal professional privilege.  
This information has been withheld from the document released to you in accordance with 
section 7(2)(g) of the Act.  
We have considered whether the public interest in the requested information outweighs 
GWRC’s need to withhold certain aspects of the information requested. As a result, we do not 
consider that the public interest outweighs GWRC’s reasons for withholding parts of the 
information requested under the grounds identified above. 
We have interpreted the second part of your request as a request for costs incurred by GWRC 
for specific activities related to implementation of the recent bus changes in the Wellington 
region. In summary, we understand that your request is for costs related to: 
1.  additional stakeholder/community/public engagement,  
2.  staff time and expenses in managing implementation of the changes,  
3.  consultants engaged to review or manage the changes or their impact, internally or 
externally prepared reports,  
4.  additional communications or media management or public relations costs,  
5.  making changes to routes or timetables following the signing of contracts, and  
6.  the cost of receiving and managing feedback on the changes, including the handling of 
Due to the manner in which costs are accounted for and that our staff, contractors and 
consultants undertake multiple tasks, we have had to group some of these activities together. 
The following represents the costs associated with implementation of the recent bus changes in 
the Wellington region. Note that we do not capture specific activities undertaken by staff and 
it is not therefore possible to separate out time and therefore cost of staff time for these 
activities. The costs are for the period 1 July 2017 to 31 December 2018. 
Item Cost 
(1 July 2017 to 31 Dec 2018) 
1, 4 
3, 5 
6 $330,170 

Not separately captured 
RESPONSE TO 2018-398 
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If you have any concerns with the decision(s) referred to in this letter, you have the right to 
request an investigation and review by the Ombudsman under section 27(3) of the Act. 
Yours sincerely 
Greg Pollock 
General Manager, Public Transport  
RESPONSE TO 2018-398