Decision

RESOLVED That Cabinet:

a) Noted the projected final account for the Caishowe Road redevelopment scheme, as set out in Section 6.1 of the Part 2 report, later on the agenda, and the reasons for project delays and the increase in the overall project cost;

b) Approved the addition to the capital programme as identified in Section 6.4 of the Part 2 report, noting that the additional costs will be funded from the Local Authority Housing Fund (LAHF) and disabled adaptation grant funding from Hertfordshire County Council;

c) Authorised the Chief Finance Officer, Monitoring Officer, and Head of Asset Management & Engineering Services, in consultation with the relevant Portfolio Holders, to finalise and agree the project final account with the contractor.

Reasons for decision

To ensure that Cabinet is fully informed of the projected final account position for the Caishowe Road redevelopment scheme, including the factors contributing to the increase in overall project costs.

To secure approval for the additional capital budget provision required to conclude the project noting the additional cost will be met from grant funding through the Local Authority Housing Fund (LAHF) and disabled adaptations grant funding from Hertfordshire County Council, thereby ensuring the scheme remains financially deliverable and represents best value to the Council.

To provide appropriate delegated authority to officers, in consultation with the Portfolio Holders, to finalise and agree the contractor’s final account, enabling timely closure of contractual matters and financial certainty.

Alternative Options Considered

The Council is contractually obliged to pay for works completed in accordance with the terms of the contract. Officers, together with the Council’s Employer’s Agent, Pellings, have undertaken negotiations with the contractor on the final account to secure the best possible financial outcome for the Council.