Contract Award Ravenscraig Multidisciplinary Project Services
North Lanarkshire Council · 29 August 2022
Back to Enterprise, Growth and Fair Work Committee — 29 August 2022 and its agenda
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North Lanarkshire Council Report Enterprise, Growth and Fair Work Committee Does this report require to be approved? ☐ Yes ☒ No Ref: LN/LO Date: 29 August 2022 Contract Award for Ravenscraig Multidisciplinary Project Services From Pamela Humphries , Head of Planning and Regeneration E-mail nobleyl@northlan.gov.uk Telephone Lyndsay Noble 07970 016256 Executive Summary Committee is asked to note the award of a contract for Ravenscraig Access Infrastructure North – Multidisciplinary Project Services (the ‘Contract’) to Amey OW Limited. The award of contract has been approved by the Chief Executive, in accordance with the Council’s General Contract Standing Orders (June 2022), to expedite the contract award in the absence of the Committee meeting in Cycle 2. The Contract is for an initial period of 72 months with a commencement date of 28 June 2022. The value of the Contract shall not exceed one million, nine hundred and ninety-two thousand, eight hundred and twelve Pounds Sterling (£1,992,812) exclusive of VAT. Recommendations It is recommended that Enterprise, Growth and Fair Work Committee notes the action taken to award the Contract to Amey OW Limited at the maximum value of one million, nine hundred and ninety-two thousand, eight hundred and twelve Pounds Sterling (£1,992,812) exclusive of VAT. This recommendation follows: 1. The completion of a procurement procedure, where the tender recommended for award has been evaluated as providing the most economically advantageous tender in terms of cost and quality for the council. 2. Instruction by the Chief Executive to the Head of Assets and Procurement Solutions to accept the Tender. The Plan for North Lanarkshire Priority Improve economic opportunities and outcomes Ambition Statement (5) Grow and improve the sustainability and diversity of North Lanarkshire's economy
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1. Background 1.1 The requirements of the Contract have never been contracted before by the council therefore historical contract information is not available. 1.2 The Ravenscraig Access Infrastructure North (RAI North) project, as per extant planning permission ref 13/01279/FUL, is being progressed under the Glasgow City Region (GCR) City Deal programme as one part of the wider Ravenscraig Access Infrastructure project being delivered in phases to improve strategic connections, north from Ravenscraig to the M8 and south to Motherwell and the M74, in support of the ongoing redevelopment of Ravenscraig under the 2020 approved revised masterplan. 1.3 The RAI North project will improve the strategic road link, and provision for active travel, north from Ravenscraig to the M8 along the A723/B799 road corridor. 1.4 A consultant team to provide multidisciplinary project services has been procured to further develop proposals on the basis of the 2013 extant planning permission and in consideration of current design guidance and principles. 1.5 The award of Contract follows approval by the council’s Enterprise and Housing Committee in May 2018 to procure Professional Services to develop the Ravenscraig Infrastructure Access in accordance with the GCR City Deal Procurement Strategy and the phased programme for delivery as presented in the Outline Business Case approved by Enterprise and Growth Committee in August 2020 and by the GCR City Deal Cabinet in October 2020. 1.6 The Contract award is for professional services to progress the RAI North project through detailed design and construction including: • Engineering and landscaping design • Pre-construction CDM • Preparation of works tender information and assessment of contractor submissions • Management of the works contract including cost consultancy and quantity surveying • Site supervision and quality control. 2. Report 2.1 A user intelligence group (the ‘UIG’) of technical and procurement representatives was formed to review technical specifications, discuss trading processes, market conditions and trends, ways to maximise community benefits and sustainability and to agree the procurement strategy that would deliver maximum benefit for the council via the Contract. 2.2 The initial estimated value of the Contract dictated that the procurement procedure be undertaken in accordance with the Public Contracts (Scotland) Regulations 2015. 2.3 The procurement procedure was undertaken as a “Mini Competition” from the Scotland Excel framework agreement for Engineering and Technical Consultancy Services. 2.4 The Contract award recommendation is made on the basis of the tenderer who submitted the most economically advantageous tender.
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2.5 The tender submitted by Amey OW Limited has been evaluated as representing the most economically advantageous tender for this Contract. 2.6 Appendix 1 confirms the scoring achieved by each tenderer, further details of the procurement procedure is provided in Appendix 2 and the SME status and location of all tenderers is located within Appendix 3. 2.7 The maximum Contract value of £1,992,812 exclusive of VAT comprises the following costs: • Professional services Contract to a value of £1,788,912; • A provisional sum of £100,000 for surveys and assessments to develop the engineering and landscape design; • A 5.5% council continency to a value of £103,900 to be held during the design and construction period. 2.8 The costs associated with contract delivery will be contained within the capital budget for the Ravenscraig Access Infrastructure project as provided under the GCR City Deal programme and the council’s capital programme. Price Savings / Increases 2.9 There are no cashable savings attributed to the Contract. Price Stability 2.10 The pricing mechanism is a Priced Contract with Activity Schedule offering a good level of cost certainty. Community Benefits 2.11.1 The Council is committed to maximising the delivery of community benefits. The procurement included a community benefit requirement, this approach is designed to deliver local community benefits where possible. 2.11.2 Within their tender, Amey OW Limited committed to deliver the following community benefits within the Contract: Community Benefit Type Quantity Committed SKL03 Work Experience Placement - Foundation Apprenticeship 4 SKL05 Work Experience Placement - School 5 SKL06 Work Experience Placement - Non School 5 SKL07 Careers Events 5 SKL08 Workplace Visit 5 EMP02 New Employee Full Time Job (non-Priority Group) 1 COM02 Non-financial support for a community project (minimum 5 hours). 7 COM01 – Financial Support for a community project (minimum £1k) 1
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2.11.3 The community benefits delivered as part of the Contract includes apprenticeships. Fair Work First 2.12 All contractors appointed to the Scotland Excel Engineering and Technical Consultancy Framework have evidenced Fair Work practices and demonstrated how they will promote them in the delivery of contract call-offs from the Framework. Contract Strategy 2.13 Officers from Enterprise Projects will be responsible for managing the Contract which will be undertaken in accordance with the council’s agreed approach to contract and supplier management. 3. Measures of success 3.1 The Contract, through the provision of design and project management services, will facilitate the delivery of strategic road infrastructure to enable the redevelopment of Ravenscraig and the realisation of associated economic benefits which will contribute to Strategic Performance Framework Indicators C16 - Gross Added Value and C18 – Economic Activity. 4. Supporting documents Appendix 1 Summary of Tender Evaluation Process Appendix 2 Summary of Procurement Process Appendix 3 SME Status and Location of All Tenderers Pamela Humphries Head of Planning and Regeneration
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5. Impacts ( http://connect/report-template-guidance ) 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ The report does not contain information that has an impact. With regard to the project, an Equality Impact Assessment has been carried out for the North Lanarkshire City Deal Programme as well as for the project itself. This will be reviewed and updated as the project design is developed. 5.2 Financial Impact Does the report contain any financial impacts? Yes ☒ No ☐ The Outline Business Case approved in 2020 by the council’s Enterprise and Growth Committee and the Glasgow City Region City Deal Cabinet confirms the funding to be provided to this project under the City Deal Programme. The council’s financial contribution to the costs of the project has been provided for and further approved in the capital programme. 5.3 HR Policy Impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ 5.4 Legal Impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ The Contract has been prepared in consultation with Legal and the award of Contract is in accordance with the Council’s General Contract Standing Orders January 2020. 5.5 Data Protection Impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ 5.6 Technology / Digital Impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi?
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Yes ☐ No ☒ 5.7 Environmental / Carbon Impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☒ No ☐ The professional services to be commissioned do not have any direct impact on the environment or carbon matters but the construction and use of the infrastructure to be delivered will. The environmental impact of the proposed infrastructure has been assessed at the planning application stage and it will be further assessed as the scheme detailed is developed through to construction. The environmental impact of the works on site will be managed and mitigated through the constructor’s Construction Environmental Management Plan. 5.8 Communications Impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ The City Deal Programme and the projects within it are well publicised on an ongoing basis through web updates and regular press releases issued by Corporate Communications. 5.9 Risk Impact Is there a risk impact? Yes ☐ No ☒ There is no specific risk impact from this Contract. Project risks and their mitigation are managed through the council’s City Deal programme risk register and project specific risk register. The registers are managed and reviewed by the council’s City Deal Board, Ravenscraig Project Board and project team.
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Appendix 1 – Summary of Tender Evaluation Process Price Weighting 30% Quality Weighting 70% Tenderer Name Weighted Price Score Weighted Qualitative Score pre- presentation Tender Score pre- presentation * Total Tender Score Final Rank Amey OW Limited 27.70% 54.00% 81.70% 85.20% 1 AECOM Limited 30.00% 50.50% 80.50% 85.00% 2 Sweco UK Limited 24.82% 52.00% 76.82% 79.82% 3 Atkins Limited ** N/A 45.75% N/A N/A N/A Stantec UK Limited ** N/A 42.50% N/A N/A N/A Note: * Only those tenderers achieving a combined technical and commercial score within 5% of the highest placed bidder prior to assessment of the Presentations were invited to give a presentation to the council and its project team. ** Tenderers with a N/A ranking failed to meet the minimum requirements and / or pass mark of 70 applied to specific quality questions in the technical assessment and as such were excluded from further participation in the procurement in accordance with the tender instruction and evaluation guidance issued with the invitation to tender.
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Appendix 2 – Summary of Procurement Process Response Procurement Procedure Utilised: Call-off contract from third party framework agreement Governing Legislation / Regulations: Public Contract (Scotland) Regulations 2015 Date Contract Strategy Approved: 07 March 2022 Number of Candidates Invited to Tender: 14 Tender Return Deadline: 3rd May 2022 Number of Tenders Received: 5 Tenders Received from SME’s: 0 Tenders Received from NLC Based Tenderers: 0 Number of Non−compliant Tenders: 0 Number of Compliant Tenders: 5 Number of Recommended Tenderers: 1 Basis of Contract Award: Quality: 70 Price: 30 Evaluation Team: Staff from Enterprise Projects Team Anticipated Contract Start Date: 28 June 2022 Total Contract Period (Months): 72 Maximum Total Contract Value: £1,992,812 Appendix 3 – SME Status and location of all Tenderers Name of Tenderer Size of Tendering Organisation (Micro, Small, Medium or Large) Location (Local Authority / Council Area) AECOM Limited Large Glasgow Amey OW Limited Large North Lanarkshire Atkins Limited Large Edinburgh Stantec UK Limited Large Glasgow Sweco UK Limited Large Glasgow