Purpose

This report seeks approval to progress with the procurement and delivery of 148 new social rented homes across 5 schemes as part of the Council’s self-delivery programme.
These schemes will make a significant contribution towards meeting the borough’s housing needs, reducing overcrowding, and supporting vulnerable residents, while reinforcing the Council’s leadership in tackling London’s housing crisis.

 

Decision

DECISION;

1. Authorised the Corporate Director of Housing and Regeneration, in consultation with the Mayor, to award the contracts listed in Appendix 1 and the Exempted Information in Appendix 2, following completion of an

appropriate procurement exercise.

1. Authorised the Director of Legal Services (Monitoring Officer) to execute all necessary contract documentation in relation to the contract awards set out in Appendix 1 and the Exempted Information in Appendix 2.

Reasons for the decision

The Council’s Procurement Procedures require submission of a quarterly forward plan of contracts for Cabinet consideration, and it is a requirement of the Constitution that “The contracting strategy and/or award of any contract for goods or services with an estimated value exceeding £1m, and any contract for capital works with an estimated value exceeding £5m shall be approved by the Cabinet in accordance with the Procurement Procedures as amended by the General Purposes Committee held on 05 October 2021.

This report fulfils these requirements for a number of contracts to be let during and after quarter one of the current financial Year. The decisions sought in this report will enable the procurement and delivery of 148 social rented homes across 5 sites. The delivery of these schemes will secure a number of public benefits, and it is therefore considered that the delivery of these schemes will contribute towards the promotion and improvement of the economic, social and environmental wellbeing of the borough.

Alternative Options

Bringing a consolidated report on contracting activity is considered the most efficient way of meeting the requirement in the Constitution, whilst providing full visibility of contracting activity.

An alternative would be to not progress the procurement of these key sites which would delay delivery of much needed affordable homes. Due to the pressing need for affordable housing, this option has been discounted.

Alternative procurement routes, such as using a framework or a single-stage open tender, are available. However, the recommended approaches adopt a mix of open market two-stage process and open market two step processes designed to create opportunities for small to mid-sized contractors and local businesses, while ensuring a competitive shortlist of bidders with proven capability to meet the contract requirements. The two step shortlist is critical to maintaining market engagement, as many contractors are reluctant to participate in fully open tenders due to perceived risk and resource commitment.

Action by:

CORPORATE DIRECTOR FOR HOUSING & REGENERATION (D. JOYCE)