Purpose

The Constitution authorises Officers to make decisions within the scope of their responsibilities, unless it is required to be made by a Portfolio Holder or Cabinet.

The Chief Operating Officer has exercised their delegated authority to approve and instruct recommencement of the main contract works for the Olding Road Depot and Warehouse project, subject to continued monitoring of programme, budget and risk position.

Decision

The Chief Operating Officer has made a decision, in consultation with Councillors and other parties, for the project to continue through to completion.  Authority has been granted to instruct Pentaco Construction to recommence works on 1 September 2026, subject to instruction being issued on 3 August 2026 and ongoing monitoring of programme, budget and risk.

Reasons for the decision

Construction activities were paused on 19 May 2026 following ecological advice after gulls were found actively nesting on site. Formal ecological advice has now confirmed that recommencing works on 1 September 2026 will not risk damaging or destroying a nest in use or have any impact on eggs.

The project supports regeneration, commercial investment and long-term income generation objectives. Continuing the project enables the Council to progress the Olding Road Depot and Warehouse scheme through to completion, with current programme forecasts showing depot completion on 26 March 2027 and warehouse completion on 27 April 2027. The Gateway Review identifies additional cost pressures and risks, including prolongation costs, asbestos remediation, tenant design change requests, below-ground risks and drainage matters. These risks are recognised and will be managed through monthly monitoring of programme, budget and risk position.

Alternative options considered

Do not recommence works.  This would leave the project incomplete, increase uncertainty for tenants, delay regeneration and income generation objectives, and is likely to result in further contractual, programme and cost implications.

Continue to hold works.  This would maintain the current pause but would not resolve the contractual and programme position and will increase prolongation and inflationary costs.

Recommence works under controlled monitoring arrangements. This is the preferred option, supported by ecological advice and the Gateway Review recommendation.