Decision details

It is recommended that:

It is recommended that the Head of Housing Development approves a variation and extension to the existing contract with Silver DCC, in accordance with CSO 2.05.1(n), comprising:
• £11,071.77 + VAT to cover programme delays and the additional services required to complete work up to RIBA Stage 3; and
• £41,565.96 + VAT to retain Silver DCC beyond Gateway 3 and support the scheme through tender, contract award, delivery, practical completion, and end of defects.

This brings the total aggregated contract value to £93,131.70 + VAT.

The Kings Road (N17) Car Park site has been designated by Haringey Council for the direct delivery of new Council homes. The project requires a multi-disciplinary consultancy to manage the site from RIBA Stage 1 to 3.

A variation to the contract is required as the programme has taken longer to progress than originally intended. Key stages of work, such as procuring surveys and appointing specialist consultants were delayed due to changes in internal processes and procurement governance, which extended decision making and approval timelines.

In addition, obtaining approval from Network Rail to undertake essential on site surveys took significantly longer than anticipated, further contributing to programme slippage.

The scheme’s constrained budget required the development of a more robust and fully evidenced cost plan to secure pre tender Cabinet approval. This necessitated further design development to ensure the proposals remained both realistic and financially deliverable. As part of this work, a series of value engineering measures were explored and implemented, including the removal of the originally proposed M4(3) unit and the introduction of a partially pitched roof to achieve a more cost effective design solution. This additional governance step and the associated design revisions were not accounted for in the original programme.

Collectively, these programme delays and the need for additional design and cost optimisation work have resulted in a requirement to extend the consultant’s services beyond the originally anticipated timeframe, thereby necessitating this contract variation.

The scheme has since been approved at Cabinet to proceed and go out to tender. This contract variation and extension will therefore provide the necessary consultancy support to complete the remaining pre tender activities, progress through contract award, and continue to support the delivery phase through to practical completion and the end of the defects period.

The original appointment was approved to cover services up to RIBA Stage 3. As noted within that approval, should the scheme proceed beyond the planning stage, the intention would be to extend the consultant’s appointment beyond RIBA Stage 3. This would be achieved through a contract variation to broaden their scope of services to include the remaining stages through to RIBA Stage 6.

The GW1 budget includes allocations of £90,000 for Employer’s Agent services and £35,000 for Quantity Surveyor services. Therefore, there is sufficient budget provision to accommodate the proposed contract variation and extension ahead of the next review of the GW3 budget. Given the programme delays and the need for continuity of service through tender and into delivery, it was also more efficient and pragmatic to request both the variation and extension at the same time, in anticipation of Cabinet approval to progress the scheme.

Should the scheme not receive Cabinet approval to progress, no further expenditure will be incurred beyond the £11,071.77 variation required to complete the work up to RIBA Stage 3. The additional extension value requested is contingent on Cabinet approval, and therefore no monies relating to the post Gateway 3 stages will be committed or spent unless the scheme is formally approved to proceed.

The Council could opt not to appoint this consultant; however, this decision would adversely affect and hinder the delivery of new council homes. Conducting this survey is a mandatory requirement.