Agenda item - Asset Management Investment Programme for Housing 2023-24
To seek approval to award contracts to deliver refurbishment and maintenance works to the Council’s housing stock.
Decision:
Agreed:-
1.1. that the Director of Housing, in consultation with the Director of Finance, be authorised to prepare tendering documentation and to procure contractors, in accordance with The Public Contract Regulations 2015 and the Council’s Procurement and Contract Procedure Rules, to work on behalf of the Council, to deliver the refurbishment and maintenance works detailed below: -
Contract Value
Internal Improvement Programme 2023 – 2027 £6,000,000
Refurbishment of St Giles and Moorlands Court £19,788,000
Lift Maintenance Services 2024 - 2028 £3,180,000
Electrical Services 2023 - 2027 £3,600,000
Day to Day Repairs to Housing 2024 – 2027 £2,400,000
Supply of Domestic Electrical Items 2023 - 2027 £2,300,000
Supply of Plumbing Parts 2023 – 2027 £6,000,000
Supply of Building Materials 2023 - 2027 £1,600,000
TOTAL £44,868,000
1.2. that the Director of Housing be authorised to award the contracts, as referred to in 1.1 above, to the successful contractor(s);
1.3. that the Director – Law and Governance and Monitoring Officer be authorised to enter into or execute under seal any documentation in relation to the award of the contracts;
1.4. that any necessary exemption be made to the Council’s Procurement and Contract Procedure Rules to enable the course of action referred to in 1.1 above to proceed.
Minutes:
Approval was sought to authorise the Director of Housing, in consultation with the Director of Finance, to prepare tendering documentation and to procure contractors, in accordance with The Public Contract Regulations 2015 and the Council’s Procurement and Contract Procedure Rules, to work on behalf of the Council, to deliver refurbishment and maintenance works.
The Chair of the Economy, Skills, Transport and Environment Scrutiny Board requested clarification on whether the tender would only go to larger companies. Questions were also asked if smaller companies in Sandwell had the same opportunities to get work and how well was it publicised for local companies to get added onto the tendering mail list.
The Cabinet Member for Housing highlighted that wherever possible, local companies were encouraged to tender for housing works. Many large contractors also subcontracted to smaller, local businesses.
In the case of major projects such as the refurbishment of high rise blocks, it tended to be national construction companies that bid due to the highly specialised work requirements. However, the Council did build social value in to those tenders to ensure local labour was employed, including apprenticeships.
Reasons for recommendations
To procure, award and enter into contracts with the successful contractors to deliver the various contracts to continue the substantial investment in the Council’s Housing Stock.
Alternative options considered
The alternative was to not invest in Council Housing Stock which in turn could lead to dissatisfaction from existing and potential new tenants as well as disrepair and additional burden on the Housing Revenue Account.
Current in-house provision did not have the capacity to maintain the pace of demand for delivering the required repairs to Council properties with regards to the electrical services and day to day repairs contracts and therefore support from external contractors was required.
(1) that the Director of Housing, in consultation with the Director of Finance, be authorised to prepare tendering documentation and to procure contractors, in accordance with The Public Contract Regulations 2015 and the Council’s Procurement and Contract Procedure Rules, to work on behalf of the Council, to deliver the refurbishment and maintenance works detailed below: -
Contract |
Value |
Internal Improvement Programme 2023 – 2027 |
£6,000,000 |
Refurbishment of St Giles and Moorlands Court |
£19,788,000 |
Lift Maintenance Services 2024 – 2028 |
£3,180,000 |
Electrical Services 2023 - 2027 |
£3,600,000 |
Day to Day Repairs to Housing 2024 – 2027 |
£2,400,000 |
Supply of Domestic Electrical Items 2023 – 2027 |
£2,300,000 |
Supply of Plumbing Parts 2023 – 2027 |
£6,000,000 |
Supply of Building Materials 2023 – 2027 |
£1,600,000 |
TOTAL |
£44,868,000 |
(2) that the Director of Housing be authorised to award the contracts, as referred to in Resolution (1) above, to the successful contractor(s);
(3) that the Director – Law and Governance and Monitoring Officer be authorised to enter into or execute under seal any documentation in relation to the award of the contracts;
(4) that any necessary exemption be made to the Council’s Procurement and Contract Procedure Rules to enable the course of action referred to in Resolution (1) above to proceed.
Supporting documents: