Agenda item

To receive a report of action taken under urgency procedures relating to the Middlesex Street Estate and York Way Estate Communal Heating and Hot Water system.

The Court received a report advising of action taken under urgency procedures to allow the Middlesex Street Estate and York Way Estate Communal Heating and Hot Water system replacement projects to proceed, being managed as two separate projects at an estimated cost of £5.2m.

In July 2018, the Projects Sub-Committee and the Community and Children’s Services Committee approved a combined Gateway 3/4 project report relating to the replacement of the heating, hot water and ventilation facilities at both the York Way and Middlesex Street Estates.

Due to the project value being above £5m, it had been originally planned that the project would proceed down the ‘complex’ route, as per the project procedure. However, given the expected scope of the works at both Estates and their non-proximity to each other, officers proposed that separating the works into two discrete projects would be the best way to expedite activity. The Projects Sub-Committee was supportive of this approach.

However, since that time it became apparent that it may be possible and desirable to award both projects to the same contractor. This would allow for economies of scale and thereby afford the opportunity to seek percentage reductions in tenders. Given the possibility that the two projects (whilst managed separately) could be delivered by the same contractor as part of a single overall contract, it was therefore prudent and appropriate to seek the approval of the Court.

Approval was therefore granted to allow the Middlesex Street Estate and York Way Estate Communal Heating and Hot Water system replacement projects to proceed, being managed as two separate projects at an estimated cost of £5.2m.

It having become apparent that Court approval was required approval was sought and obtained under urgency procedures pursuant to Standing Order No.19 to allow for the tender exercises to be completed and contracts awarded, thereby minimising further delay to the project.

Resolved – That the action taken under urgency procedures be noted.