Agenda item

Members are asked to note the Sub Committee’s Outstanding Actions list and will receive verbal updates on those items marked in bold.

Members received the Sub Committee’s Outstanding Actions list and noted those items which would be discharged on this and future agenda. 

Tendering Process/Contractor Behaviour

Members welcomed two senior procurement officers to the meeting, in response to their concerns expressed at the last meeting about the behaviour of some contractors who had withdrawn at pre-contract stage or sought to omit elements of the specification. 

The officers advised that a Housing Working Group had been set up in February 2019, following a decision of the Community and Children’s Services Committee.  Members noted that this group identified  issues at tender stage; i.e. - in respect of terms and conditions and insurance, and conducted deep dives into those projects with issues and lessons learnt.  Officers were now reviewing tender returns more robustly; interrogating price and eliminations up front, so as to avoid coming back to Committee at a later stage seeking additional funding. 

Whilst Members accepted that some negotiations might be reasonable, they also stressed that contractors were bound by the Terms and Conditions of the Contract.  Officers explained that, from previous experience, it was difficult to penalise Contractors, as it could be time consuming and expensive for both sides and with minimal prospects of success.

Members noted that a framework had been set up; i.e. a pool of pre-qualified suppliers, and processes were now in place to enable officers to gauge reliability.  Furthermore, poor performance or a lack of engagement could result in a contractor being removed from the framework. Queries on terms and conditions were also being raised with the City Solicitor at an earlier stage.  Whilst the majority of variations were now being rejected, due diligence and precise cost management allowed for balancing if any essential variations.

Whilst the unacceptable behaviour of some contractors could not be totally eradicated, Members noted that  improvements were becoming evident; i.e. the balconies, windows and doors contract and the two Gateway 6 projects reported on today’s agenda, which had come in under budget. 

Members accepted that the above approach may take a little longer in the earlier stages of a contract, but was invaluable in terms of protecting the interests of both the City Corporation and its residents.

Parking Charges Review

Members noted that officers had written a project brief to appoint a consultant and were seeking to appoint someone experienced in HRA parking.  Disabled drivers had been advised that they would stop paying charges on 1^st October 2019.

Revised Rent Targets

In response to Members’ request for a more ambitious target, officers had revised the current target and this was due to be taken to the Director for approval.