Board Report - Notification of award of Contract for Construction of Red Smiddy to Erskine Active Travel Routes
Renfrewshire Council · 23 April 2026
Back to Finance, Resources and Customer Services Policy Board — 23 April 2026 and its agenda
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PUBLIC ___________________________________________________________________ To: Finance, Resources and Customer Services Policy Board On: 23 April 2026 ___________________________________________________________________ Report by: The Director of Finance and Resources and the Director of Environment, Housing and Infrastructure ___________________________________________________________________ Heading: Notification of the award of a Contract for Construction of Red Smiddy to Erskine Active Travel Route Phases 4 and 5 (RC-CPU-25-158) Notification of the award of a Contract for Construction of Red Smiddy to Erskine Active Travel Route Phase 6 (RC-CPU-25-159) ___________________________________________________________________ 1. Summary 1.1 The purpose of this report is to notify the Finance, Resources and Customer Services Policy Board of the award of: • A Contract for Construction of Red Smiddy to Erskine Active Travel Route Phases 4 and 5, reference RC-CPU-25-158 to John McGeady Limited; and • A Contract for Construction of Red Smiddy to Erskine Active Travel Route Phase 6, reference RC-CPU-25-159 to John McGeady Limited. 1.2 The Council was offered a grant from Transport Scotland’s Tier 2 Active Travel Fund for Construction on the condition that the associated spending commenced before 31 March 2026. In order to meet the condition, the Head of Finance and Procurement approved the use of standing order 9.1k of the Council Standing Orders Relating to Contracts with the requirement for retrospective reporting to this Policy Board.
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PUBLIC 1.3 In accordance with the authority granted by the Head of Finance and Procurement as noted in 1.2 above, the Head of Climate, Public Protection and Roads authorised the award of these two Contracts on 7 January 2026. The Letters of Acceptance were issued on the same date. ___________________________________________________________________ 2. Recommendations The Finance, Resources and Customer Services Policy Board is asked to note: 2.1 The Contract for Construction of Red Smiddy to Erskine Active Travel Route Phases 4 and 5, reference RC-CPU-25-158, was awarded to John McGeady Limited (SC080553); and 2.2 The Contract for the Construction of Red Smiddy to Erskine Active Travel Route Phase 6, reference RC-CPU-25-159, was awarded to John McGeady Limited (SC080553). 2.3 The detail provided in section 3 of this report in connection with the Contract for Construction of Red Smiddy to Erskine Active Travel Route Phases 4 and 5 and the Contract for Construction of Red Smiddy to Erskine Active Travel Route Phase 6. 2.4 The Contract for the Construction of Red Smiddy to Erskine Active Travel Route Phases 4 and 5, reference RC-CPU-25-158, was awarded for an approved contract value of £811,095 (excluding VAT). This was from a Total Tendered Contact Sum of £737,359 excluding VAT plus a 10% contingency spend of £73,736 (excluding VAT). 2.5 The Contract for the Construction of Red Smiddy to Erskine Active Travel Route Phase 6, reference RC-CPU-25-159, was awarded for an approved contract value of £351,358 (excluding VAT). This was from a Total Tendered Contract Sum of £319,416 plus a 10% contingency spend of £31,942 (excluding VAT). 2.6 The cost of these Contracts will be wholly met from funding provided by Transport Scotland’s Tier 2 Active Travel Infrastructure Fund for Construction. 2.7 The starting date for both Contracts was 19 January 2026 with the completion date for both Contracts being 26 weeks from the starting date. 2.8 Note that the Council required Tenderers to appoint a supported business as a subcontractor to provide the signage required for this
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PUBLIC Contract. John McGeady Limited have nominated a supported business for this requirement. _________________________________________________________ 3. Background 3.1 The Council was offered a grant from Transport Scotland’s Tier 2 Active Travel Fund for the construction of an active travel route in 2 stages: • Phases 4 and 5 are for the construction of 1.4 kilometres of shared footway and cycleway from the end of the existing shared footway and cycleway on Greenock Road, round Red Smiddy Roundabout, north onto Southbar Road to Southholm Roundabout; and • Phase 6 is for the construction of 0.616 kilometres of shared footway and cycleway from Southholm Roundabout to the overbridge on the A726 on the northbound verge. A stipulation of the grant required the Council to commence work on the Contracts at the earliest opportunity so most of the funding could be utilised during the 2025/2026 financial year with the remaining being provided during the 2026/2027 financial year. 3.2 To meet the grant conditions, the Head of Finance and Procurement approved the use of 9.1k Council Standing Orders Relating to Contracts to enable the work to commence before 31 March 2026. The Contract awards were authorised by the Head of Climate, Public Protection and Roads on 7 January 2026 and issued on the same date. 3.3 The tendering procedure for these below Regulated threshold Works Contracts followed the Open Procedure in accordance with Renfrewshire Council’s Standing Orders Relating to Contracts. 3.4 A Contract Notice was published on the Public Contracts Scotland advertising portal on Thursday 13 November 2025 and the tender documentation was available for downloading from the Public Contracts Scotland – Tender platform from this date. 3.5 During the tender live period, 27 organisations expressed an interest in the Contracts. By the closing date for return of electronic Tenders, 12 noon on Friday 19 December 2025, 8 companies submitted a response, 6 declined to respond and 13 showed no further interest. 3.6 In accordance with Standing Order relating to Contracts 11.5, each Tenderer was required to submit a completed Single Procurement Document (SPD) as part of their Tender Submission. The completed SPD documents were evaluated against a pre-determined set of criteria
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PUBLIC in the SPD. All 8 Tenderers satisfied the Council’s requirements in respect of their responses to the SPD. 3.7 The technical and commercial responses in each Tender Submission were then scored against the award criteria of 40% technical (Quality) and 60% commercial (Price) in accordance with the Invitation to Tender (ITT). The Council stated in the ITT that Tenderers must bid for both Phases 4 and 5, and Phase 6 and that Tenderers who failed to submit a bid for both Contracts would have their bid rejected. The ITT also stated that the Council intended to award both Contracts to one Contractor. 3.8 Tenderers were required to provide one Technical response and one Commercial response within their submission. As part of the Commercial response, Tenders had to submit tendered sums for both Contracts, which were aggregated and evaluated. One Tenderer failed to provide a Commercial response and their Tender was rejected as a result. 3.9 The scores relative to the award criteria of the Tenderers are noted below: Price (60.00%) Quality (40.00%) Total (100.00%) 1 John McGeady Limited (SC080553) 58.15% 31.25% 89.40% 2 Bottom Groundworks & Plant Hire Limited (SC578729) 60.00% 21.75% 81.75% 3 Covanburn Contracts Limited (SC263761) 48.17% 31.00% 79.17% 4 Advance Construction (Scotland) Limited (SC202570) 53.35% 24.25% 77.60% 5 Hillhouse Quarry Group Limited (SC135103) 49.87% 21.25% 71.12% 6 M Squared (Scotland) Ltd (SC479137) 39.67% 30.00% 69.67% 7 Ground Control Limited (01795094) 20.47% 21.25% 41.72% 3.10 The evaluation of tender submissions received identified that the submission by John McGeady Limited (SC080553) was the most economically advantageous Tender for both Contracts. 3.11 Community Benefits were requested as part of the procurement process and John McGeady Limited has committed to the following Community Benefits across these two Contracts: Community Benefit Description No of People / Activity
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PUBLIC S/NVQ (or equivalent) for • New Employee • Existing Employee • Supply Chain Employee 2 Business advice/support to a local SME /Social Enterprise/ Voluntary organisation 1 Commitment to ensure that supply chain opportunities are prioritised for Renfrewshire based businesses 2 ___________________________________________________________________ Implications of the Report 1. Financial – the maximum approved Contract value for: • Construction of Red Smiddy to Erskine Active Travel Route Phases 4 and 5, reference RC-CPU-25-158 is £811,095 which includes the Total Tendered Contract Sum plus 10% contingency. • Construction of Red Smiddy to Erskine Active Travel Route Phase 6, reference RC-CPU-25-159, is £351,358 (excluding VAT) which includes the Total Tendered Contract Sum plus 10% contingency. The costs for these Contracts will be wholly met through the Transport Scotland’s Tier 2 Active Travel Infrastructure Fund for Construction. 2. HR & Organisational Development – None arising directly from this report. 3. Community/Council Planning – Place – Working with partners to enhance wellbeing across communities. The Contracts will support the delivery of this outcome. 4. Legal – the exemption under Standing Orders relating to Contract 9.1k was used for the award of these two Contracts. The Contracts were awarded by CPU and Environment, Housing and Infrastructure. 5. Property/Assets – these Contracts will build a segregated two-way cycle/pedestrian track located between the Red Smiddy roundabout and Erskine. 6. Information Technology – none arising directly from this report. 7. Equality & Human Rights – none arising directly from this report.
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PUBLIC 8. Health & Safety – John McGeady Limited’s health and safety credentials were evaluated by Corporate Health and Safety and met the Council’s requirements regarding health and safety. 9. Procurement – The procurement procedures outlined within this report shall ensure that the Council meets its statutory requirements in respect of procurement procedures, efficiency and modern government. 10. Risk – John McGeady Limited’s insurances were assessed to confirm that they have met the minimum requirements regarding insurable risk. 11. Privacy Impact – None arising directly from this report. 12. Climate Risk – The level of impact associated with works connected with the Contracts has been assessed using the Scottish Government Sustainability Test and is high risk. John McGeady Limited have been required to organise their activities in such a way that the impact they have on the environment is minimised. 13. Children’s Rights – None arising directly from this report. 14. Cosla Policy Position – None arising directly from this report. _________________________________________________________ List of Background Papers None. ___________________________________________________________________ Author: Brian Bradley, Assistant Category Manager, 0141 487 1522, brian.bradley@renfrewshire.gov.uk