Agenda item

[Report of the Assistant Director for Commissioning. To be introduced  by the Cabinet Member for Communities.]

A variation is required for the contract awarded to T&B Contractors Ltd in 2019 primarily due to unforeseen items in the existing structure.

The Cabinet Member for Communities introduced the report which set out a way forward with regards to the completion of the main refurbishment works at Hornsey Library. Completion of the additional scope of works allowed the Library to be re-opened to the wider community with the new facilities and refurbished interior spaces available for use by November 2020.

The Cabinet Member was pleased to present this report, which signaled the Council’s continued commitment not only to retaining, but to enhancing and maintaining Council libraries. Through this refurbishment project, which had continued throughout the Covid-19 pandemic, the Council had been able to bring back a Grade 2 listed building to its former glory and to modernise its interior for 21st century users.

The report detailed the reasons for this request for a variation to the existing contract and for extra funding to complete the necessary works. A number of these works only became evident during the construction period and it was felt it was sensible to progress them now rather than coming back to them later, which could have necessitated a further period of library closure.

In response to questions from Cllr Cawley – Harrison, the following information was noted:

• The Cabinet Member agreed to provide a response in writing concerning the potential availability of funding to improve the exterior areas of the library.

• There was a lessons learned review being embarked on to review the progress of this library and this information would be considered in the refurbishment of the other borough libraries. This was a grade two listed building, and it was a complex process to undertake the condition survey and to process the works. However, officers were keen to learn the lessons and this would include considering the level of contingency and spend as well on this project.

Further to considering exempt information 29,

RESOLVED

1. To approve a variation of contract to T&B Contractors Ltd for the external envelope repairs/enhancement, internal remodelling, refurbishment and fit out of Hornsey Library to the value of £310,284.43 (excluding contingency) thus increasing their original Contract value from £2,300,369.42 to £2,610,653.85 (excluding contingency).

2. To approve the contingency sum set out in Part B (Exempt Report) to this paper.

3. To delegate the authority to approve the use of the remaining contingency sum to the Assistant Director for Commissioning.

Reasons for decision

The significant number of unexpected building fabric and infrastructure issues, additional compliance works, and client requested changes have all resulted in an increase to the original tender award value.

The key variations comprise of:

•           Internal floor screed replacement

•           Replacement of incoming water mains supply pipework

•           Services riser containment and internal fall protection

•           Adaptation of the building structural frame to enable new glazing installation

•           Removal of redundant services

•           Installation of a new mains power distribution board and additional earthing capacity

•           Reconfiguration of internal layouts,

The additional variations were implemented during this contract as it was deemed less disruptive to the Library Service and more cost effective as specialist contractors are currently on site, thus resulting in economies of scale and savings in contractor preliminary costs. Furthermore, it negated the need to postpone some elements of the works and for these works be procured separately.

Alternative options considered

A do-nothing option would mean that the Council would be unable to make payment for future invoices received and would run the risk of the Council being in breach of its contractual obligations.

The incorporation of the compliance variations into this project will enable the building to be handed back to the library service and will enable Building Regulation approval and the discharge of planning conditions.

Initiating a new procurement activity to undertake the varied works would not have been cost efficient for the Council whilst having a well-established contractor on site. This approach would have severely impacted on the completion of this project during the current Covid-19 pandemic and would have resulted in a greater disruption to the library service.

Furthermore, the presence of two contractors on site would have created risks around co-ordination and Health and Safety responsibilities and likely have invalidated certain warranties.