Purpose

To consider approval to waiver Contract Standing Orders to facilitate entering into a Deed of Variation to the existing Design and Build Contract with Higgins Partnerships 1961 PLC, including an uplift to the contract sum from £26.176m to a Guaranteed Maximum Price of £28.65m, the introduction of a risk-share fluctuation mechanism, programme updates and associated contractual amendments required to facilitate delivery of Phase 1 of the West Kentish Town Estate regeneration project.

Decision

Consideration was given to a report of the Director of Development and Corporate Property

DECISION –

THAT the Cabinet Member for New Homes and Community Investment agrees:

i)               To Approve a waiver under Contract Standing Order (CSO) F2.1 (ii) (exceptional circumstances) in relation to the proposed modification of the West Kentish Town Estate Phase 1 Main Works Contract with Higgins Partnerships 1961 plc, increasing the contract sum from £26,176,305.72 to £26,599,054.47  and incorporating a Guaranteed Maximum Inflation Adjustment (GMIA) of £2,058,000, equating to a total of £28,657,054.47;

ii)             That, subject to the agreement of the Chair of the Housing Scrutiny Committee, the decision be exempt from call in for the reasons set out in Section 1 of the report;

iii)           To note that Executive Director Investment, Place and Opportunity will need to approve the proposed contract modification and associated Deed of Variation, subject to this waiver being granted; and

iv)           To note that the Executive Director Corporate Services ‘agreement of the above waiver will be obtained via the online waiver system as required under Contract Standing Order F3.4.

Reasons

For the reasons set out in the report.