Gateway 3 – Cost Variation Decision Temporary Accommodation – Contract 3

May 23, 2023 Strategic Director of Housing (Officer) Key decision Approved View on council website

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Summary

...to approve a cost variation for the Temporary Accommodation Contract 3 with Niblock (Builders) Limited, increasing the contract sum, contingency, and estimated on-costs, resulting in a total scheme cost increase of £857,709.

Full council record

Purpose

Approval for variation for cost
increase.

Decision

That the Strategic Director of
Housing:
 
1. 
Formalises his pervious approval to the variation of
theTemporary Accommodation Contract 3,
refurbishment/conversion contract with Niblock (Builders) Limited (Niblock) at an additional cost of £593,073
varying the contract sum from £1,869,695 to
£2,462,768.
 

2. 
Approves a variation to the contingency for the
above contract, increasing the sum by £29,653 varying the
contingency from £93,485 to £123,138.

 

3. 
Notes the increase to the estimated other on-costs,
including 4% development allowance associated with the contract,
from £246,278 to £481,261 resulting in a variance of
£234,983.

 

4. 
Notes the increase of the total scheme costs from
£2,209,458 to £3,067,167 with a variance of
£857,709.

 

5. 
Notes that this report was considered at the
Departmental Contracts Review Board (DCRB) in July 2022 and was not
sent for approval until April 2023.
 

Details

OutcomeRecommendations Approved
Decision date23 May 2023
Subject to call-inYes