Selection of the preferred contractor for the refurbishment of the five high rise residential tower blocks located across Oxford following a competitive tender process.  The contractor’s appointment constitutes an expenditure of £18,157,804 within an approved budget of £20,108,000.

The Head of Housing and Property Services submitted a report (previously circulated, now appended) which detailed proposals to increase the project budget and reconfirm delegated authority to the Executive Director for Regeneration and Housing in consultation with the Heads of Finance and Law and Governance, to be able to appoint and award the contract to the preferred principal contractor.

Cllr Seamons, Executive Board Member for Housing presented the report.  He stressed that although it was regrettable that the cost of the project had increased it was important to note that this was a very exciting community project with high levels of resident engagement which would deliver very positive benefits. 

Cllr Fooks addressed the Board on this item.

In response to a question around the use of £700,000 Section 106 affordable homes contribution to finance the tower blocks additional expenditure the Head of Finance advised that:

The Council held in excess of £700,000 Section 106 contributions that were required to be used for the financing of affordable homes, which it had not currently allocated to fund capital expenditure. These monies could be used to fund the New Build Programme currently included in the HRA Business Plan and HRA revenue resources currently used to fund the New Build Programme could be switched to fund the tower block expenditure.

The City Executive Board resolved to:

1.    RECOMMEND that full Council approve an additional budgetary provision within the HRA Capital Programme of £1.750m, funded as detailed at paragraph 19, so that the revised total project budget envelope for the Tower Block Refurbishment Scheme is £20.108m:

2.    RECONFIRM the authority delegated to the Executive Director, previously City Regeneration now Regeneration and Housing in consultation with the s151 Officer and the Monitoring Officer, to appoint and award the contract to the preferred principal contractor in accordance with the competitive tender process undertaken.