Agenda Item: TB(08) 06
East Cheshire NHS Trust
Board meeting, 31st January 2008
Report of Director for Remodelling The Estate
Paper prepared by Mr John Ellis, Design & Development Manager
Subject/Title Undercroft Projcect
Background papers (if relevant) Paper to December 07 Trust Bd recommending
waiver for Interserve to undertake works to envelope,
concrete floor slab and drainage to Undercroft
Purpose of Paper To present the case for granting a waiver for single
tender action to undertake fit-out works to the
Action/Decision required To agree to a waiver to the Trust’s Standing Financial
Instructions concerning competitive tendering, so that
Interserve can e instructed to proceed with the
building elements of the fit-out work to the Undercroft
NHS strategies and policy
Trust’s Strategic Remodelling The Estate Programme
Within Remodelling The Estate Programme budget
You are reminded not to use
acronyms or abbreviations
wherever possible. However, if
they appear in the attached
paper, please list them in the
EAST CHESHIRE NHS TRUST 22nd January 2008
The Trust is currently in contract with Interserve Project Services (IPS) for the provision of a new 30
bed and 24 bed Rehabilitation Ward at Macclesfield District General Hospital, due to be completed
on the 3rd and 20th March 2008, respectively.
Approval was given by the Trust Board in December 2007 to instruct IPS to undertake additional
works which included the laying of underground drainage, a concrete floor slab and to construct the
external envelope, all associated with the Undercroft project.
It was also reported that this additional work would be complete by the end of March 2008 with the
completion of the fit out works by the end of July 2008.
IPS have now received the design for the envelope etc. and have indicated that these works will
now be complete at the end of April 2008. This will have a knock on effect with the start of the
fit out works which are now programmed for the beginning of May 2008 and completion by the end
of August 2008.
In order to pull back the programme for the Undercroft project the following procurement method is
Issue a further instruction to IPS for the building parts of the fit out at an estimated cost of up to
£300,000 + VAT + professional fees, based on the tendered bill of quantity rates. This will allow
these works to start sooner and overlap with the envelope items. Whilst this work is necessary, to
competitively tender the Mechanical and Electrical works and instruct IPS to appoint the successful
contractor as a named domestic sub contractor.
This will allow the original completion date of the end of July 2008 to be achieved.
In support of the above, it should also be noted that IPS have lodged a financial claim for lost
opportunities, overheads and profits due to the extended completion of the rehab. wards, although
this is still to be formally considered by the Contract Administrator and at present no extension of
time has been granted to satisfy this claim in full. By awarding the fit out to IPS this will help negate
the claim in part, if not in full.
To agree to a waiver to the Trust’s Standing Financial Instructions concerning competitive tendering,
so that Interserve can be instructed to proceed with the fit-out work.
Design and Development Manager