Agenda Item No 15
The Vale of Glamorgan Council
Cabinet Meeting: 6th June, 2018
Report of the Cabinet Member for Housing and Building Services
Gibbonsdown External Wall Insulation Contract
Purpose of the Report
- To advise Cabinet of the proposed contract award arrangements for the Gibbonsdown external wall insulation installation project.
- That Cabinet notes the contents of the report, with a view to taking decisions on the award of the JCT intermediate contract detailed within the Part II report later on this agenda.
Reasons for the Recommendations
- To advise of the current position with this particular contract.
- Members will be aware of the Council's success in securing a £2 million grant fund to install external wall insulation to both public and private sector homes in the Ramsey Road and Pendine Close area of Gibbonsdown during 2015/16. In addition to the Welsh Government grant funding, the scheme was also supported by £250,000 HRA contribution for Council homes and further funding from the Energy Company Obligation (ECO) which is a duty placed on energy providers by OFGEM.
- The £2 million grant was part of the Welsh Government's Warm Home (Arbed) grant, which targeted both public and private sector homes in the area. In total 157 Council homes and 66 privately owned homes were improved through the scheme.
- The scheme was predominantly aimed at improving the energy efficiency of the property and reducing fuel bills. However, there have been other tangible benefits resulting from this investment which include; a greater sense of pride in the estate, reduced littering of the area and an overall improvement in the appearance of the property.
- To continue the success already delivered through the Arbed fund; Council officers submitted a further bid to continue the work in the remaining properties of similar archetype in the St Catherine's Court, Dale Court and Ramsey Road area of the estate. However, reduced budget availability in Welsh Government saw more stringent conditions being applied to the grant and the Council were unsuccessful in the current round of bids. The main reason cited by Welsh Government for the lack of success, was the small number of private properties being addressed through this current bid (7 out of 87 properties).
- Following the success of the first scheme, a large number of tenants in the area have enquired when the scheme will be extended to their home. Given the lack of grant funding now available to continue this scheme, alternative funding proposals have been considered and it is possible to directly fund the improvement works to Council owned property in the target area, through existing budgets.
- On the 12th of December 2016 Cabinet (minute C3395) meeting the Gibbonsdown external wall insulation works were approved to procure the scheme.
Relevant Issues and Options
- Since Cabinet approved the development of the Gibbonsdown external wall insulation works (12th December 2016 cabinet minute C3395) Housing and Building Services have undertaken the tendering process via the Sell2Wales procurement site, to receive competitive tenders from competent contractors for the Works.
- The tender submissions were received on 12th March 2018. Ten tenders were received from:
- AE Insulation Limited;
- SMK Building and Maintenance Limited;
- Westdale Midlands Limited;
- Joyner PA Cymru Limited;
- Sustainable Building Services (UK) Limited;
- Thomas CMS Holding Limited;
- P&P Builders;
- Anglian Building Products (a Division of Anglian Windows) Limited;
- SERS Energy Solutions Limited;
- Sam Dry Lining Limited.
- At the first stage of the tender bid analysis two contractors were eliminated as they failed the prequalification questionnaire process.
- The Housing and Building services team then undertook further assessment of the remaining eight valid tender submissions scoring 60% for price and 40% for quality.
- Details of the tender outcomes are set out in the part II report.
Resource Implications (Financial and Employment)
- The proposed contract award is within the budget available although it should be noted that it is more than the original estimate cost identified in 12th December 2016 cabinet minute C3395. Full details of the finances are provided in the Part II report later on this agenda.
Sustainability and Climate Change Implications
- As part of the procurement process all work undertaken will comply with current environmental legislative requirements.
- The installation of external wall insulation will improve the fuel performance of properties included in the scheme.
Legal Implications (to Include Human Rights Implications)
- No implications.
Crime and Disorder Implications
- No implications.
Equal Opportunities Implications (to include Welsh Language issues)
- No implications.
- Wellbeing outcome 1: An inclusive and Safe Vale
Objective 2: Providing decent homes and safe communities
Action: Increase the number of sustainable, affordable homes. (2019/20)
Policy Framework and Budget
- This report is within the policy framework and budget and is an Executive decision for Cabinet.
Consultation (including Ward Member Consultation)
- The Local Ward Members have been consulted on this project and have raised no objections.
Relevant Scrutiny Committee
- Homes and Safety Communities
Richard Stopgate - Housing Development & Investment Manager
Tel: 02920 673 188
Rosalie Malcolm - Policy Officer (Procurement)
Carolyn Michael - Operational Manager Accountancy
Miles Punter - Director of Environment and Housing Services