Decision

The Interim Chief
Executive has approved the extension of the Pre-Construction
Services Agreement contract with John Sisk & Son Limited by a
term extension of 6 months to June 2026 at an no additional
contract cost. 
 

Reasons for the decision

A Pre-Construction Services Agreement has
been entered into between the Council and John Sisk
& Son Limited from May 2024 to December 2025 with an
estimated contract cost of £1.35million.  The extension of the Pre-Construction Services
Agreement (“PCSA”) with John Sisk & Son Limited for
a further six months is required to maintain continuity and
progress on the Birkenhead Waterfront project.
The
initial cost plan received during the period of the current PCSA
highlighted significant budget pressures, prompting a comprehensive
review of scope and submission of value engineering options. To
implement these changes effectively, a re-design of key elements is
necessary. 
Extending the PCSA will allow sufficient time for this redesign,
incorporation of value engineering measures, and development of an
updated cost plan to ensure the project remains deliverable within
the approved financial envelope and strategic
objectives.
There
are no additional financial implications arising from this decision
beyond those already approved within the existing PCSA budget. The
extension will be managed within the current financial provisions
allocated for the PCSA.
The
timeline for the PCSA as extended is as follows:
 

January – June 2026 – Re-design period to
incorporate scope changes and value engineering
options.
March
2026 – Interim cost review and design freeze
June
2026 – Final cost plan submission and preparation for main
works contract award.

 
This
matter affects Birkenhead and Tranmere Ward and is not a Key
Decision.
 

Alternative options considered

An Alternative option
would be to not extend the contract and allow the current PCSA to
expire; directly procure the design team to complete RIBA Stage 4
designs; and re-procure a main works contractor. The impact of this
would be significant delay to the programme, a high risk of
increased costs due to market inflation and loss of continuity with
the current contractor.
 
This is not considered
to be an appropriate option given that significant funding has been
secured from Liverpool City Region Combined Authority and the Local
Regeneration Fund and there is a requirement to defray this by
March 2028.  The Birkenhead Waterfront
project is critical to the delivery of the regeneration programme
and the Birkenhead 2040 framework.