Purpose

Major works to 16 properties (providing 23
units of accommodation) in three separate packages

Decision

To note that Appendices 1-3 are not
for publication on the basis that they contain information relating
to the financial or business affairs of any particular person
(including the authority holding that information) as set out in
paragraph 3 of Schedule 12A of the Local Government Act 1972 (as
amended).

 

This report seeks approval of a Procurement
Strategy for the direct award of two packages and a
mini-competition for the third. Details of the properties are
included in Exempt Appendix 2.

 

That Cabinet Member for Housing and Homelessness approves
the procurement strategy proposing the use of the South East
Consortium’s (SEC) Internal and External Building Works
framework (the “Framework”) for the major refurbishment
of specific void and occupied housing properties. The strategy
proposes using a direct award procedure for Packages 4 and 5 and a
mini competition for Package 3.

 

That the Cabinet Member for Housing and Homelessness
approves the appointment of Greyline Group Ltd. via Lot 2
 of the Framework and its direct
award procedure, to
undertake major refurbishment works to various void street
properties (Package 4) for  the sum
detailed in Exempt Appendix 1. The project is expected to start on
site in  August 2025 with an estimated
completion in  March 2026.

 

That the
Cabinet Member for Housing and Homelessness approves the
contingency sum detailed in exempt Appendix 3 to deal with any
unforeseen works that may arise during the delivery of Package
4.

 

That the Cabinet Member for Housing and Homelessness notes
that separate award reports will be presented for Packages 3 and 5
for the approval of the Executive Director of
Finance and Corporate Services in consultation with the Cabinet
Member for Housing and Homelessness.

 

Reasons for the decision

This procurement strategy is submitted for
approval by the Cabinet Member, in accordance with paragraph 18 of
Contract Standing Orders (CSOs).

 

A decision is required to progress
the appointment of a successful contractor to carry out the works
required in these properties.

 

Alternative options considered

Option 1: Do Nothing – Not
recommended

 
The works need to
be undertaken to ensure the Council meets its statutory obligations
as a landlord to provide safe and affordable housing and therefore
doing nothing is not an option.
 

Option 2: Deliver the supplies,
services, and/or works in-house (make/buy decision) – Not
recommended

 
Due to the
specialist nature of these works, the Council does not have the
appropriate resource or capacity available in-house to deliver
these works.
 

Option 3: Use an existing
contract, established by the Council to provide the works –
Not recommended

 
The Council’s
Responsive Capital contract is not an option. Some of the
properties (Package 5) were previously the Responsive Capital
supplier but have been returned unfinished. Officers have also
considered utilising existing contracts procured to support the
repairs service but there are commercial and delivery issues which
preclude this as a viable option.
 

Option 4: Undertake a fully
regulated competitive and compliant procurement process, advertised
to the market for each works package – Not
recommended

 
This would be a
lengthy process as would require either a competitive flexible
procedure, incorporating a selection stage to create a shortlist of
eligible suppliers or need a series of procurements undertaken
using the open procedure that may generate an unmanageable number
of bids. This would not achieve the overriding aim of getting
schemes to site as soon as possible and making empty properties
available for letting in the shortest timeframe.
 

Option 5: Procure using a
compliant framework

 
This is the
recommended option. SEC provides a selection of compliant
frameworks and offers a quicker route to pre-selected suppliers
already assessed as suitable for social housing providers. The
Council is a member of SEC and has successfully procured several
major refurbishment projects and fire safety schemes via SEC in the
last few years. Both the direct award and mini competition are
compliant processes. The suppliers have been awarded a place on the
Framework after a competitive process. A direct award is proposed
for Packages 4 and 5 and a mini-competition for Package 3.