Decision details

Details of decision: 

To approve signing of the JCT 2016 Design and Build contract between SWT and Classic Builders for the construction of 54 Council homes at Seaward Way, Minehead. 

A compliant procurement exercise has been undertaken, utilising a framework arrangement, and a contractor selected as the preferred bidder following a tender evaluation.  The estimated total contract value (including employers contingency) is approximately £9.5m. 

It is recommended that SWT awards the contract with the preferred bidder.

Reasons for proposed decision: 

As the contract value for this work exceeds £1 million pounds it is thus classified as a Key Decision for the Executive to award as it exceeds the thresholds in the SWT Constitution, thus requiring 28 days notification in the Executive Forward Plan (undertaken 12/08/21 – 09/09/21). The Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012 sets out that a Key Decision is one which would result in the relevant local authority incurring expenditure which is, or the making of savings which are, significant having regard to the relevant local authority’s budget for the service or function to which the decision relates.

The Leader of the Council can delegate the making of Executive Key Decisions to her Portfolio Holders or Officers as under Part 3 of the Constitution – Responsibility for Executive Functions - 3.1.5 – “The Leader shall determine how all executive powers shall be discharged. The Leader may: a) discharge any of those functions; or b) arrange for the discharge of any of those functions: i. by the Executive collectively, ii. by another member of the Executive, iii. by a committee of the Executive, or iv. by an officer of the Authority.”

Alternative funding options sourced:

The HRA funding for the scheme comes from Right to Buy receipts (40%), Hinkley Point funding (£470,000), a commuted sum (£58,204) and a loan for the balance.