Phase 1 Demolition Area – Eccles Shopping Centre (Sarah Malone)

November 25, 2024 Approved View on council website
Full council record
Content

Salford City Council – Record of
Decision
 
I, Paul Dennett, City Mayor, in exercise of
the powers contained within the Council Constitution do hereby approve:
 

·     
a cost variation in the current Phase 1 Eccles
Shopping Centre Demolition to enable the properties (shown coloured
on the plan attached to the report) to be retained until a later
date, as detailed in the table below:

Detail
required

Answers

Title/Description of Contracted
Service/Supply/Project

Phase 1 Eccles Shopping Centre,
Eccles, shown edged blue on the attached plan.

Name of Successful
Contractor

 Connell
Brothers Limited

Supplier Registration
Number
(to be supplied by Corporate
Procurement)

 247
5702

Type of
organisation
(to be supplied by Corporate
Procurement)

Private Limited
Company

Status of
Organisation
(to be supplied by Corporate
Procurement)

SME

Tendered Contract
Value

£578,280

Full Project
£641,280,

Client Contingency for Removal of
Unidentified Asbestos

£500,000

Full Project commitment
£1,141,280

Proposed new contract
price

£821,280.00, including increased costs to enable
the retention of the remaining occupied properties, prelims and
fencing, partial asbestos removal based on limited surveys and
contractor’s contingency.

Client
Contingency

Removal of unidentified asbestos
£500,000

An allowance for potential additional
works to the retained properties which may result from partial
demolition works
£120,000

Full Project
commitment

£1,441,280 (increase of
£300,000)

Vat

Vat will be charged at the standard
rate of 20% unless stated otherwise.

Contract
Duration

The contract was originally 32 weeks
with an allowance of twelve months to allow for delays.  This allowance should remain the same as the
contractor has made an allowance of an additional 6 weeks to the
programme to reflect the retention of the units to be
retained.

Contract Start
Date

06/01/2025

Contract End
Date

05/01/2026

Contact Officer (Name &
number)

Sarah Malone   t. 07977 674683

Lead Service
Group

Place

Funding
Source

Capital Programme

 
The Reasons are:
Vacant possession has been achieved for the
majority of properties across the Phase 1 area but despite ongoing
negotiations with the remaining tenants it has not been possible to
achieve possession of all properties to date. The proposed cost
variation will reflect the complexities in the demolition works and
revised programme to work around those properties, if
required.
 
Options considered and rejected were: None. All procedures are in accordance
with normal Contractual Standing Orders.
 
Assessment of
Risk: Medium to
high.
 
There are risks attached with partial demolition
but a contingency has been allocated and officers continue to
mitigate any risks as more information become
available.
 
The source of funding is: 2024/2025 Capital
Programme (Expenditure Code: Eccles Capital Code
A70419).
 
Legal Advice obtained. Supplied by: The Shared Legal Service –
Contact officer and telephone number: Tony Hatton 219
6323.
 
Financial Advice
obtained. Submitted
by:  The Finance Team – Contact
officer and telephone number:  Daniel
Hillman, 793 2284.
 
Procurement
Advice obtained: Supplied by:  The
Corporate Procurement Team Contact officer and telephone number:
Daniel Cunliffe (Category Manager – Corporate Procurement
Team) Tel: 0161 686 6249.
 
HR Advice
obtained: N/A.
 
Climate Change
Implications: Mike Hemmingway.
 
The following
documents have been used to assist the decision
process:
·     
Report to Procurement Board dated 25th
November 24.

Contact Officer: Sarah Malone.
Telephone
number: 07977 674
683.
 
·     
This matter is not subject to consideration by
another Lead Member.
 
·     
The relevant Scrutiny Committee to call-in this
decision is the Growth and Prosperity Scrutiny
Panel.
 
 

Signed:    Paul Dennett      
Dated:     25 November
2024.
           
      City
Mayor
 

FOR DEMOCRATIC
SERVICES USE ONLY
 
*          
This decision was published on 27 November 2024.
*          
This decision will come in force at 4.00 p.m. on 4 December
2024 unless it is called-in in
accordance with the Decision Making Process
Rules.
 

Related Meeting

Procurement Board - Monday, 25 November 2024 2.00 pm on November 25, 2024

Details

OutcomeRecommendations Approved
Decision date25 Nov 2024
Subject to call-inYes