Decision details

Decision details

Award of contract to Oxford Direct Services for the demolition of buildings at Princes Street and Collins Street

Decision Maker: Executive Director (Development)

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: No

Purpose:

Cabinet, on 10 November 2021, resolved to:

5.    Delegate to the Executive Director Development in consultation with Executive Director Communities and People, the S151 officer, Head of Law and Governance, Cabinet Members for Finance and Asset Management and Inclusive Communities the authority to award and enter into the construction contract for the Community Centre refurbishment and new build to Oxford Direct Services Ltd subject to the full tender submission being within the agreed budget and an independent quantity surveyor demonstrating that this is value for money and ensuring unlawful subsidy is avoided.

 

The Council’s Constitution Part 19.22(b) states:

Total contract value is over £150,000 but less than £500,000 The Head of Financial Services or an Executive Director may accept the most economically advantageous tender if the Council is the buyer, or the highest if the Council is the seller, as long as:

·       there is budget provision in the Council’s capital or revenue budget

·       project approval has been obtained at the start of the project

·       any key decisions have been included in the Forward Plan

·       any organisation the Council is acting as agent for agrees

·       the Head of Financial Services and the Monitoring Officer have been consulted.

Decision:

To demolish buildings at Princes Street (building known as the Fusion Arts Building and building known as the Chinese Advice Centre)  and Collins Street (building known as the games hall).

 

To secure approval to let the demolition contract while work continues, in order to agree a price for the main community centre contract and enable the housing development works to begin.  The demolition contract is within budget and has been shown to be value for money by Arcadis, the Council’s independent cost consultant.

Reasons for the decision:

There is a need to let the demolition contract while work continues in order to agree a price for the main community centre contract. This will enable the housing delivery works to begin.

The project’s aim is to deliver a newly refurbished community centre and more affordable housing, and the demolition enables this. There are some key interdependencies between the housing and community centre elements of the project. Work has been underway to enter into contracts on both elements: this has been completed for the housing element and work continues with ODS on the community centre element.

Alternative options considered:

There was the option not to make this decision and to wait until the community centre contract was fully agreed.  However, the delay would have had a significant detrimental impact on the housing construction contract and risk the funding package in place which is necessary to enable the housing project to go ahead (and in turn which generates a land receipt which forms part of the community centre project budget).

Signed off by senior officers:

Decision taken by Tom Bridgman, Executive Director (Development) in consultation with Stephen Gabriel, Executive Director (Communities and People); Nigel Kennedy, Head of Financial Services / S151 Officer; Susan Sale, Head of Law & Governance; Councillor Ed Turner, Deputy Leader (Statutory) – Finance and Asset Management; Councillor Shaista Aziz, Cabinet Member for Inclusive Communities & Culture; Councillor Alex Hollingsworth, Cabinet Member for Planning & Housing Delivery; and Councillor Linda Smith, Cabinet Member for Housing.

Publication date: 06/04/2023

Date of decision: 05/04/2023

Accompanying Documents: