Decision details
Authority to Agree costs uplift for Watling Gardens Design and Build Contract
Decision Maker: Cabinet Member for Housing
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: Yes
Purpose:
Due to significant changes in the market which have been verified by the Council’s employer’s agent, the cost of the scheme has increased. This decision seeks approval for the required uplift to the contract value.
Decision:
That the Cabinet Member for Housing, Homelessness and Renters Security, in consultation with the Leader and Deputy Leader & Cabinet Member for Finance, Resources & Reform:
i) Approves the costs increase ahead of imminent execution of the design and build contract for Watling Gardens with Hill Partnerships Ltd, originally in the sum of fixed price of £38,535,643. Plus the additional sums of £480,000 to reflect the tenure changes required for the viability assessment undertaken and agreed by Cabinet in June 2022.
ii) Notes and approves that the cost increase sought is £2,964,971, which will render the total cost of construction to £41,980,605.
iii) Approves the increase of costs to be confirmed and conveyed to Hill Partnership Ltd in a side letter, which will state that the uplifted costs will be dealt with under the costs fluctuation within the JCT contract.
Reasons for the decision:
As detailed within the accompanying report.
Alternative options considered:
As detailed within the accompanying report.
Interests and Nature of Interests Declared:
None.
Reason Key: Signficant expenditure/savings of £500k or more;
Wards Affected: Cricklewood & Mapesbury;
Cabinet/Committee Decision or Scheme of Delegation: Individual Cabinet Member Decision.
Parties Consulted: Leader and Deputy Leader & Cabinet Member for Finance, Resources and Reform.
Contact: Email: Emily-Rae.Baines@brent.gov.uk Tel: 020 8937 1131.
Publication date: 15/12/2022
Date of decision: 15/12/2022
Effective from: 23/12/2022
Accompanying Documents:
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