Decision details

Termination of contract for responsive repairs (housing) and appointment of new contractor

Decision Maker: Cabinet

Decision status: For Determination

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

This paper recommends the steps necessary to address the performance issues impacting the responsive repairs contracts for housing.

 

Reasons for urgency:

The paper will recommend that LBHF give notice to one of the three contractors and mobilise the reserve contract that is in place. The decision needs to be taken urgently so the demobilisation and remobilisation process can commence immediately and conclude before the winter months, when demand for housing repairs typically increases significantly.  The strategy outlined in the paper is for the handover date to be 29th October - something that is only possible if the decision is made via Leader's Urgency, as the demobilisation/remobilisation process will take two months (it will involve a TUPE transfer between contractors). If demobilisation and remobilisation is delayed there is a major risk of service failure during the winter months and a negative impact on tenant satisfaction and wellbeing.

Decision:

AGREED UNANIMOUSLY BY THE CABINET MEMBERS PRESENT:

 

1.    To note that Appendix 1 is not for publication on the basis that it contains information relating to the financial or business affairs of any particular person (including the authority holding that information) as set out in paragraph 3 of Schedule 12A of the Local Government Act 1972 (as amended).

 

2.    To seek authority for an additional budget as set out in the exempt Appendix 1 for  the remaining four years of the responsive repairs contracts (to 31st July 2025).

 

3.    To authorise the termination of the contract for responsive repairs (housing) with United Living Property Services Limited (ULPS) on or before 29th October 2021 subject to the finalisation of approved terms between the parties, the negotiation of which is delegated to the Director of Finance in consultation with the Assistant Director of Legal Services.

 

4.    To authorise the activation of the reserve contract for lot 2 (central area) through formal written instruction to Morgan Sindall Property Services Limited subject to the termination of the United Living Property Services Limited contract.  That the Director of Finance be delegated authority to undertake any negotiations to finalise terms in respect of this contract award.

 

5.    To authorise a contract variation to the lot 1 (North area) contract to include an updated property list as the definition of the reserve contract properties.

 

6.    To authorise a contract variation to the Responsive Capital contract with Kier Services Limited to add prices for responsive works to void (empty) properties as detailed in Appendix 1.

 

7.    To authorise a contract variation to the Morgan Sindall lot 1 (North area) contract to add prices for the completion of a programme of Work In Progress to be transferred from ULPS, as detailed in Appendix 1.

 

8.    That the Director of Finance, in consultation with the Assistant Director of Legal Services, be authorised to enter into agreements as necessary to bring the decisions in this report into effect.

Report author: William Shanks

Publication date: 07/09/2021

Date of decision: 06/09/2021

Decided at meeting: 06/09/2021 - Cabinet

Effective from: 10/09/2021

Accompanying Documents: