Agenda item

(Director of Communities) To consider the attached report (CHB-004-2016/17).

(1)         That TSG be awarded the contract for the construction of two affordable 3-bed houses and two affordable 2-bed houses at Stewards Green Road, Epping in the contract sum of £752,340.41 based on a 34 week contact period based on a price and quality tender;

(2)         That Denmark & White Ltd be awarded the contract for the construction of two affordable 2-bed houses and two affordable 1-bed flats at Parklands, Coopersale in the contract sum of £716,756.74 based on a 56 week contact period based on a price and quality tender;

(3)         That Storm Building Ltd be awarded the contract for the construction of ten affordable 3-bed houses and two affordable 2-bed houses at Queens Road, North Weald in the contract sum of £2,320,493.00 based on a 82 week contact period based on a price and quality tender;

(4)         That TSG be awarded the contract for the construction of two affordable 3-bed houses and two affordable 2-bed flats at Bluemans End, North Weald in the contract sum of £753,034.23 based on a 36 week contact period based on a price and quality tender;

(5)         That VSN Enterprises Ltd be awarded the contract for the construction of one affordable 3-bed house at Centre Drive, Epping in the contract sum of £300,285.00 based on a 38 week contact period; and

(6)         That Denmark & White Ltd be awarded the contract for the construction of two affordable 2–bed houses and two affordable 1-bed bungalows at Springfield (Site C), Epping and one affordable 3–bed house and three affordable 2-bed houses at Centre Avenue, Epping in the contract sum of £1,408,126.30 based on a 60 week contract period based on a price and quality tender.

The Assistant Director (Housing Property & Development) presented a report to the Cabinet Committee. He advised that the Cabinet Committee agreed in January 2016 that, for Phase 3, the Council should adopt an alternative procurement strategy and breaks down the 8 sites making up Phase 3 into 7 separate contracts with a mixture of Design and Build contracts and traditional fully designed contracts and tender them in accordance with the Council’s Procurement Rules using a price and quality assessment which was made up of 60% of the tender evaluation and 40% on quality.

The Assistant Director stated that all contractors invited to tender were checked on Constructionline for suitability and their capability to undertake the works, in addition to credit checks undertaken by the Council’s Finance Team. Each tenderer had also been asked to specify the construction period on which they had based their tender.

Decisions:

(1)        That TSG be awarded the contract for the construction of two affordable 3-bed houses and two affordable 2-bed houses at Stewards Green Road, Epping in the contract sum of £752,340.41 based on a 34 week contact period based on a price and quality tender;

(2)        That Denmark & White Ltd be awarded the contract for the construction of two affordable 2-bed houses and two affordable 1-bed flats at Parklands, Coopersale in the contract sum of £716,756.74 based on a 56 week contact period based on a price and quality tender;

(3)        That Storm Building Ltd be awarded the contract for the construction of ten affordable 3-bed houses and two affordable 2-bed houses at Queens Road, North Weald in the contract sum of £2,320,493.00 based on a 82 week contact period based on a price and quality tender;

(4)        That TSG be awarded the contract for the construction of two affordable 3-bed houses and two affordable 2-bed flats at Bluemans End, North Weald in the contract sum of £753,034.23 based on a 36 week contact period based on a price and quality tender;

(5)        That VSN Enterprises Ltd be awarded the contract for the construction of one affordable 3-bed house at Centre Drive, Epping in the contract sum of £300,285.00 based on a 38 week contact period; and

(6)        That Denmark & White Ltd be awarded the contract for the construction of two affordable 2–bed houses and two affordable 1-bed bungalows at Springfield (Site C), Epping and one affordable 3–bed house and three affordable 2-bed houses at Centre Avenue, Epping in the contract sum of £1,408,126.30 based on a 60 week contract period based on a price and quality tender.

Reasons for Decision:

The Council’s Procurement Rules requires a Cabinet decision when awarding contracts in excess of £1m. However, the Cabinet have delegated authority to the Cabinet Committee to agree all tenders associated with the Council’s house-building programme as set out in its Terms of Reference.

Other Options Considered and Rejected:

To award the contracts to any other contractor that has tendered for the works.