Issue - meetings

[Report of the Director for Housing, Regeneration and Planning.  To be introduced by the Cabinet Member for Housing and Estate Renewal]

To seek approval for additional costs to the Contract for the Homes for Haringey Major External Works programme. The contract, in 3 lots, was awarded by Cabinet on 8 Oct 2019. This report seeks authority to increase the value of these works.

The Cabinet Member for Housing and Estate Renewal introduced the report which sought approval for additional costs for additional works and variations under the existing building contract as approved by Cabinet in October 2019.  Since the approval of the contract further detailed surveys had been commissioned to ensure that the works being delivered aligned with the current asset and energy strategies.  This led to additional works being identified which would ensure that 1393 homes met the Decent Homes Standard.

The Cabinet Member and Judith Page, Executive Director for Property (Homes for Haringey), responded to questions from Councillor Cawley-Harrison:

-           There were no Council housing blocks with unsafe cladding.

-           Homes for Haringey were currently carrying out testing with manufacturers on doors to ensure that safety standards were met.  This had resulted in a delay in supplying replacement doors, but the process should be completed in the next few weeks.

Further to considering exempt information at item 26, 

RESOLVED 

1.      That pursuant to Contract Standing Order CSO 9.07.1(d) Cabinet approves additional costs and variations to Programme A, B and C within the Major Works year 2 project. This is set out in paragraph 6.17 of the report.

2.      To approve the additional professional fees of £373,965 that represents 7.55% of the contract sum. This is in line with agreed terms in the contract. These fees are highlighted in the table referenced in paragraph 6.17.

3.      To note that the original total contract sums for the project approved to date is £17,853,402.

4.      To note that the total revised contract sums for the project will be £23,180,545.

Reasons for decision  

The year 2 major works project is part of Homes for Haringey’s investment into the homes of the residents of Haringey Council to improve the living conditions across the borough and increase decency in the housing stock.

Cabinet agreed in February 2018 to appoint Ridge and Partners LLP as Homes for Haringey’s multidisciplinary construction related consultant. Future projects under consideration will be project managed, designed and cost managed by Homes for Haringey and Ridge.

The year 2 major works were approved by Cabinet in October 2019 and mobilised in January 2020.

Due to Covid-19, Homes for Haringey closed all non-essential works between March and July 2020.

Following the remobilisation, Ridge identified additional works across the programme. Homes for Haringey requested a full survey take place across the year 2 projects and the creation of a full cost report.

A review of the works included within the programme, showed a failure to identify all elements of the work upfront in order to achieve a holistic delivery and to complete all the works required to each property.

Ridge submitted the additional cost report in November 2020, identifying that a further £5m would be required to holistically deliver the year 2 project.

In addition to the above, Homes for Haringey carried out the annual fire risk assessments within communal areas. As a result of these, further works were identified to reduce the risk of  ...  view the full minutes text for item 497