Issue - meetings

This report sets out the procurement that has been undertaken in order to award the contract to the successful contractor for the construction of the new Waste Depot, Turnpike Close Grantham.

Purpose of report

This report set out the procurement that had been undertaken in order to award the contract to the successful contractor for the construction of the new Waste Depot at Turnpike Close Grantham.

Decision

That Cabinet:

1. Approves the outcome of the tender process and appoints Lindum Group Ltd as the preferred contractor for the construction of the Turnpike Close construction contract.

2. Delegates to the Deputy Chief Executive in consultation with the Cabinet Member for Property and Public Engagement to enter into a NEC4 Professional Services Contract with Lindum Group Ltd in order to develop the submitted design to Stage 4 supported by a Value Engineering process in order to align the overall contract price with the approved budget.

3. Following the conclusion of the Value Engineering, delegation be granted to the Deputy Chief Executive in consultation with the Cabinet Member for Property and Public Engagement to enter into the construction contract to enable the commencement of the works.

Alternative options considered and rejected

No other options were available as the decision to award the contract was essential to enable the project to continue to the construction stage.

Reasons for decision

This report set out the background behind the project. The procurement process that had been undertaken since the decision was taken by Council to allocate funding for this project. The awarding of the contract would enable the project to continue in accordance with the timeline.

The business case for the Waste Depot was approved by Cabinet in September 2023, and the funding for the project was approved by Full Council in September 2023 and February 2024.

An ‘expression of interest’ notice was published and presented to a list of approved contractors; from this, five contractors confirmed their interest in the project and were invited to tender for the work. This list of five contractors reduced to 2 for a number of reasons; the two remaining contractors formally submitted tenders and these were scored by a panel of experts using agreed criteria.

The contractors were interviewed on 19 March 2024 and the bids were scrutinised; Lindum Group emerged from this process with the successful tender.

The design of the Waste Depot would be reviewed in order to reduce the projected costs of the tender – a process known as ‘value engineering’. Once this process was complete, the construction contract could be entered into.

It was hoped that works would commence no later than September 2024, with a completion by July 2025.

The following points were highlighted during debate:

·       Officers were working with Lindum Group on bringing the costs of the tender down whilst not compromising the delivery or the quality of the project.

·       The ‘fit out’ of the depot could not be costed at the moment because investigations were still ongoing regarding the potential transfer of equipment from the existing site.

·       Whilst officers were confident of a start date of September 2024, the date was not definite because a value engineering exercise needed to be undertaken.

·       The  ...  view the full minutes text for item 108