Case Study

Question 1

Case Study

Why was JCT D&B 2016 selected? Any other options considered like NECC3?

Answer 1

• Complexities of the project , therefore Client wanted design risk transferred to the contractor
• Benefits may have been a quicker start on site – to meet funding deadlines
• Client was unfamiliar with Contracts other than JCT, therefore other contract suites such as NEC were not considered

Question 2

Case Study

How were the liquidated damages of £350/week/unit calculated?

Answer 2

• I would not be party to calculating LD’s on schemes; this was undertaken by my Client.
• I however advised pre-contract their calculation should be based on actual loss per week such as loss of rent, storage and for additional fees.

Question 3

Case Study

Your role was procurement of consultants?

Answer 3

• Yes I assisted the client in seeking fee proposals for the likes of surveys/ reports required for the planning application for example a transport consultant and environmental consultant.
My role was to issue enquiry letters to a minimum 3nr consultants for each discipline. Review them on return and present the information to my client.
My client undertook the formal appointments.

Question 4

4. What is OJEU?

Answer 4

• Official Journal of the European Union
• Online journal
• When a public sector body within the European Union wants to buy any goods, works, or services over a certain value (“threshold”) it must advertise its tender.

Question 5

5. What has replaced OJEU following Brexit?

Answer 5

• Is now Find a Tender service e-tendering portal accessed through Gov.uk website.

Question 6

Case Study

You mentioned in the write up that you formed the Procurement Strategy. What options did you consider, and what why was it your recommendation?

Answer 6

• Open tendering V’s approved framework – Public body and above threshold – time wanted quicker (approved contractor, suitable to do size of job, not open to market)
• Procurement Routes – Traditional, D&B, Partnering/Joint Venture ( client did not want design risk , also unfamiliar with Management, Quick start on site)
• Contract – client preferred JCT as no experience with other suites such as NEC – JCT D&B
• Single Stage Vs Two Stage: at the time tight deadline for funding, outstanding planning matters and decanting. Also areas where Contractors expertise would be useful to develop the design (phasing, build over works, energy centre construction etc)

• Recommendation – D&B using two stage tender. However, client due to unfamiliarity with two stage tendering instructed to progress the design and instruct a single stage tender.

Question 7

7. You mention in your case study the term Value Engineering. What does this term mean to you?

Answer 7

• VE is a method used to eliminate any unnecessary costs, in order to achieve value for money on a project. without compromising the proposed output of function.
• VE methods can be used throughout the life cycle of a project
• VE is best utilised as a team approach to provide the optimum value on a project.

Question 8

Westhorpe Gardens:

How would you describe your clients value drivers on this project?

Answer 8

1. Retain existing residents and attract new ones
2. Manage the delivery process effectively
3. Maximise operational efficiency, minimise operational costs
4. Enhance the environment
5. Minimise maintenance costs
6. Ensure health and safety during implementation, operation and occupation

Question 9

Westhorpe Gardens:

Value Engineering: What was your role in this?

Answer 9

• Coordinating and facilitating role between Client / Contractor/ Design Team
• Chair and record meetings
• Understand what is agreed > impact on agreeing Contract ER’s any changes to be captured
• Work with Quantity Surveyor (VFM) for client

Question 10

10. You note in your case study that you worked with the cost consultant to advise your client regarding an alternative product specification in terms of the windows for the scheme. Can you talk me through your advice and how you came to this advice?

Answer 10

• Contractor put forward proposal to install different windows than those preferred in the specification.
• I asked that the technical design guardian review the product specification against the performance criteria in the ER’s
• I asked the QS to review the cost of the proposed windows against
• Outcome was that U value performance and other criteria not meeting ER’s and cost a lot cheaper. I advised my client this was not value for money and if they were to consider it would be expected of the contractor to provide a cost saving.

Question 11

Case Study

You note that you used a dropline on your pre-contract delivery programme for this scheme. What information does a dropline on a construction programme give you and what advice have you given you client in relation to what the dropline is highlighting?

Answer 11

• Drop line indicates actual works progress against the proposed programme
• represented by a vertical line on reported date
• Can show being on target, behind or ahead
• Example Westhorpe: I advised my client that they were behind on the decant period they asked was included in the delivery programme and the risk of this is that vacant possession may not be able to be offered for the target start on site date.

Question 12

Case Study

You mention that you sometimes found it difficult dealing with assertive personalities on the project, how did you have to adapt your personality and leadership style to effectively deal with these situations?

Answer 12

• Stay calm and don’t rise to that person, by staying professional and leading by example.
• Listen to that persons point of view – don’t discriminate
• Don’t take it personally. …
• Set healthy boundaries. …
• Lead by example.
• Gentle reminder all working to achieve same end goal so best to adopt a collaborative approach.
• Don’t be afraid to advise where not within your professional remit when being demanded to do something

Democratic - to Autocratic (firm but fair)

Question 13

Case Study

What studies/assessments were used to determine that the refurbishment of the existing block was unviable?

Answer 13

• Prior to my involvement however I understand my client undertook condition surveys and feasibility assessments on refurbishment vs regeneration.

Question 14

Case Study

How do you ensure that all of the tenders are compared on a like for like basis

Answer 14

Quality – review against scoring matrix in ITT (look for any exclusions to inform QS)
Cost – QS Same CSA issued for costing (queries and normalisation process)/ ITT
1) Look for any errors , anomalies , conflicts – raise questions
2) normalisation process – (average of costs, cost plan) – questions against high / low

Question 15

Case Study

You mention under achievements flagging that a Covid clause could be added under contract. What’s the benefit of this and would the contractor be entitled to EOT / L&E for covid delays in an unamended JCT D&B contract.

Answer 15

Benefits
• Makes clear what should be done if the event re-occurs – careful drafting
• Protect parties from Covid-19 is no fault of individuals and every party potentially stands to be protected from losses and inconvenience as a result of events that are beyond their control.

Unamended JCT D&B 2.26.14: “force majeure”. – Relevant Event
Not clearly defined.

‘The only steer given by the courts is that force majeure is commonly found to be an event beyond the control of the party seeking to rely on it, must not have been foreseeable at the date of the contract and must be the sole cause of non-performance’

Question 16

Case Study

This all happened in 2020, so can you give me an example of how you’ve used this experience to help any of your current projects?

Answer 16

Yes Colville 2C which had some similar complexities and constraints – I stressed how having a contractor onboard could assist with some of the issues.

Question 17

Case Study

What’s the risk of having the contractor on board earlier?

Answer 17

• Try to strip out quality
• And seek cost reductions
• There can sometimes be a degree of ambiguity about precisely what the contractor is expected to do in these stages, and this can cause confusion and dissatisfaction.
• Lack of price certainty until the end of the second stage - two stage
• Potential for a Contractor not to retain a focused commitment through the second stage of the tendering process (thereby not achieving the most advantageous and timely work package prices)

Question 18

Case Study

If Phase 1B is undertaken earlier, what are the contract impacts? If the Contractor submitted a cost.

Answer 18

• Phase 1b was a separate sectional completion in the contract. So I understand this was proposed to be agreed via a Deed of Variation to amend the possession on this section with no impact to the sum in the contract for this section.

Question 19

KEY ISSUE 1

19. A) Why was your recommendation Option 2, given the competitive element would have been lost?

Answer 19

As my client had advised that one of there key aims was to meet the target funding deadline and start onsite this option was the least likely to impact programme therefore my recommendation.

Question 20

B)Key Issued 1 Option 2: How did you intend to manage that to ensure a premium was not added?

Answer 20

Advise client to instruct the QS to update the cost plan to include this phasing. This and the tender returns could then be used as a comparable/ benchmarking against the negotiated cost. Also issue them updated CSA template to price this on.

Question 21

20. Key Issue 1 : How long did it take you to prepare and draft the addendum documentation?

Answer 21

• Addendum : This took around 2 weeks
• I advised my client as part of the addendum the design team should be appointed update the phasing plan and coordinate any likely changes for example external service disconnections and diversions
• Also pricing document and ITT scoring would be required to be updated.

Question 22

Key issue 1 ) How long was the tender extended for and did this have any ramifications on your Client’s key driver of a start on site date in July 2020?

Answer 22

• Extended – by 1 month
  
  • Yes by 2 weeks at this point as some float in the programme for returns, I had originally advised my client to not seek tender returns so close to the festive shut down.
• float also allowed for evaluation and client approvals based on experience

Question 23

Case Study

What documents were included in the tender?

Answer 23

• Invitation to tender document
• Form of Tender
• Pricing Document
• Employer’s Requirements including prelims , appendices (drawings , planning etc.)
• Contract and amendments.

Question 24

Case Study

Why is there a potential cost impact for phasing?

Answer 24

• Additional programme and management time which may increase preliminary costs and requirements to remobilise, welfare etc.

Question 25

Case Study How did you ensure that the tenders were still engaged and would not qualify their bids after issuing a significant tender addendum late on in the tender period:

Answer 25

* Treat everyone fairly by issuing same information * Offered the 4 week extension * Offered a period for tender queries and responses to all parties * Sought confirmation at this point that they were still intending to return a bid to reduce risk of withdrawls.

Question 26

24. Key issue 1 - Option 2 have worked under the PCSA? You would have been able to negotiate a fixed price for the phasing without having to extend the tender period.

Answer 26

• Yes; however at this time my clients intention was to finalise the single stage tender and enter straight into the main building contract which they had approval for.

Question 27

25. Why would the Option 2 (Key Issue 1) be costed at a premium if it was being agreed prior to contract signing?

Answer 27

• If this was not offered to all tenderers to price the competitive element would be lost; therefore the contractor may try to take advantage of this.

Question 28

Case Study If the Client asked you to reduce your Tender Analysis period to recover the additional tender period, how would you respond.

Answer 28

Advise this would not be good practice as error’s and anomalies could be missed if this was squeezed significantly and this would not be providing a high standard of service. However, advise that I would review this with the QS and team once the returns were received as it may be dependent on the amount of queries and if and if the time could be reduced without compromising thoroughly reviewing to assist the clients timeframes.

Question 29

29. What is included within a PCSA?

Answer 29

Westhorpe Garden some of the key documents were: • Priced schedule of services • Scope of services • Contract and amendments • Tender ER’s and appendices • Proposed main form of contract and amendments

Question 30

Case Study Can you talk me through the kinds of activities that were included within the scope of the PCSA agreement?

Answer 30

* Progressing the design to construction issue * Undertaking surveys – SI’s Asbestos etc * Progressing agreements e.g highways , diversions etc * Resident liaison * Producing CPP * Planning discharge – once received

Question 31

32. What are some risks of entering a PCSA?

Answer 31

1) Risk either party could walk away and not enter the main contract 2) contractor may propose options that are easy to build rather than quality client looking for 3) Normal two stage – resource intensive to agree contract sum and may be more time consuming 4) Contractor not price as competitively for second stage

Question 32

33. How does a PCSA differ to a Letter of Intent?

Answer 32

* Based on clients intentions * LOI generally used to progress the main works while agreeing the final contract terms * PCSA generally used to seek contractors expertise on design and buildability

Question 33

Case Study Why was a Letter of Intent not considered, instead of a PCSA?

Answer 33

* LOI – understand lots of disputes * client’s internal governance do not allow LOI’s * Client still not in a position to award site possession – decanting

Question 34

Case Study How would you have dealt with the if the issue of meeting the funding deadlines should the deadline not have been delayed due to the Covid pandemic?

Answer 34

• HIghlighted on Risk Register Due to the other ongoing delays to decanting and planning I would of offered my client the same options to consider • Also recommended that due to the delays if they could seek a funding extension

Question 35

Case Study Would the Client incur any procurement costs from the tenderers if they were to cancel the tender process mid-way through?

Answer 35

• No; in the UK this is not something bidders can claim.

Question 36

Case Study Were you able to defer possession under contract, and for how long?

Answer 36

Yes – the standard 6 weeks included in the JCT D&B was included in this contract.

Question 37

Case Study How did you negotiate the costs for entering the PCSA? Was this at risk to the contractor or was there a fee?

Answer 37

* Main Risk for both parties of not entering the main works. * Cost was carved out of the tender submission costs * No fee for PCSA – however, increased to Main Works cost – which was based on uplift Tender Price Index forecast

Question 38

40. What is an affordable home?

Answer 38

defined by the National Planning Policy Framework, is housing for sale or rent for those whose needs are not met by the market.

Question 39

Case Study | How extreme disrepair?

Answer 39

Not appointment during feasibility stage; however, the client advised it was not economical to refurbish

Question 40

Case Study Any specialist planning requirements ?

Answer 40

Yes – as part of the s106 agreement there were social value requirements such as targets for local labour , carbon reduction and protecting the roosting bats onsite.

Question 41

Case Study Other foundation types considered?

Answer 41

Yes for the houses – strip foundations were considered. However piles were taken forward as this was more economic with all other areas being piled

Question 42

45. Concrete frame - disadvantages ?

Answer 42

• Carbon footprint/ sustainability also unable to recycle / reuse - apart from crush • Skills – timing and for pours carefully managed

Question 43

Case Study Why was a brick selected?

Answer 43

This was part of early discussions with planning to be in keeping with the local area and non combustible properties.

Question 44

Case Study What was the wall build up?

Answer 44

* External Skin Brickwork * Cavity with ties * Sheathing layer * Internal metal lightweight steel frame * Insulation * Internal wall boards

Question 45

Case Study Involved during design stage – Please advise what fire strategy measures were included in the Fire Strategy?

Answer 45

* Installation of sprinklers * Fire alarm system * Fire fighting lifts * Compartmentation and rating of fire doors * Talked about travel distances and means of escape * Emergency vehicle access * Dry rises * Emergency lighting * Wayfinding * Fire spread * External walls and roof coverings * Onsite hydrants

Question 46

2. Why is an amended JCT contract used?

Answer 46

* Employer may look to transfer/allocate risk – e.g responsibility for ground conditions * Employer may not be able to achieve standard timescales – e.g payment terms * To address currently market conditions or changes since the standard form produced – e.g Brexit , Covid

Question 47

Case Study What is the purpose of soft market testing exercise ? what was issued?

Answer 47

* To ensure there was enough interest in tendering the scheme for the proposed procurement route before issuing, and suffienct resource to work on bids in the proposed issue period. * Reduce risks of withdrawls * Client required a mininmum 3 returns * Expression of interest was issued

Question 48

Case Study | What is the purpose of the sifting exercise ? what was issued?

Answer 48

* Seek assurance the selected contractors have experience in delivering similar schemes * Reduce interested contractors down to manageable mini tender (7 to 4)

Question 49

Case Study How did you prepare the risk register?

Answer 49

* Initial site visit * Looked at Pre-Construction Information * Reviewed Clients brief * Risk Workshop – including client and Design team * Document included foreseeable risks, impact against likelihood scoring and proposed mitigation

Question 50

Key issue 1) Was it established what the impact of the sub phasing would be?

Answer 50

Yes - I advised my client to seek advise from the design team and PD on potential impacts such as logistics, services disconnections and diversions, I advised my client on the likely additional build costs and programme implications.

Question 51

Key issue 1 ) How was the cost estimated

Answer 51

I advised my client to instruct the QS to update the PTE to reflect the proposed change following receipt of the updated design information

Question 52

Key issue 1 - 2 of your risks for option 1 refer to increased build costs and additional procurement costs? Could you elaborate further?

Answer 52

* If required to retender , costs may increase for any changes in the market – e.g materials costs * Change of phasing would bring longer pre-liminaries costs for increased programme * Change in design for sub-phasing , utilities , re-mobilising works and sub sonctrators * Procurement costs – associated with providing internal resource to re-tender and for professional consultants

Question 53

9. Key Issue 1 : In option 2 would this not class as being unfair to the remaining tenderers aswell?

Answer 53

* I checked this was accepted under the framework before suggesting this approach. * Where it was agreed this could be undertaken following appointing the preferred contractor and informing unsuccessful tenderers and the standstill period.

Question 54

10. Key issue 1: Option 3 – what documents were issued as part of the addendum?

Answer 54

* Updated ITT clarifying the scoring * Updated design information including proposed changes, likely impacts to services * Updated Pricing Document * Updated Contract Amendments

Question 55

Key Issue 1: Option 3 - how were changes tracked

Answer 55

* I captured these in an excel document which captured any addendum information, queries and responses which was sent to all bidders * Also in the updated ITT issued

Question 56

Case Study As planning was granted well after tender evaluation, how were any planning conditions dealt with in the contract.

Answer 56

* Draft planning conditions were issued with the tender – Advise from Planning consultant and LA these were unlikely to change * It was accepted by the client these could be progressed at risk and they would pay any abortive/additional fees for any changes * Final conditions were available and included in the main contract

Question 57

13. Key issue 2 – Option 1 Disadvantages?

Answer 57

* Longest programme increase * Potential increased costs * Likely increased frustration of existing residents – being geared up for decants

Question 58

14. Key Issue 2 – Option 2 Was it not possible to adapt option 2 with a section for design then a break clause After ?

Answer 58

* Yes, possibly if solicitor drafted amended to allow for this. * Client still not clear at this point when site possession could be offered.

Question 59

15. Key Issue 2: Did the contractor agree to stand by there costs even though no contract had been signed?

Answer 59

* No because FOT 4 month period had extended they had * However, I had advised my client to ask this as a query to all bidders if they would stand by costs if PCSA introduced – all advised these would be increased based on tender inflation

Question 60

Case Study What would happen if the client chose not to proceed with the works after the PCSA?

Answer 60

• The PCSA agreed contract terms allowed either party to not proceed at this point

Question 61

Key Issue 2 - PCSA complete - who would own the design?

Answer 61

* That would be the Employer | * However, generally Collateral Warranties would be agreed with the design team