AGENDA ITEM 12

BOROUGH OF POOLE

CAPITAL PROGRAMME BOARD

30 JANUARY 2014

CABINET

11 FEBRUARY 2014

COUNCIL

25 FEBRUARY 2014

REPORT OF THE HEAD OF CHILDREN, YOUNG PEOPLE AND LEARNING

BASIC NEED PROJECTS: TURLIN MOOR COMMUNITY SCHOOL AND
ST JOSEPH’S CATHOLIC PRIMARY SCHOOL

PART OF THE PUBLISHED FORWARD PLAN YES

STATUS: Strategic

  1. PURPOSE

1.1.To report on the estimated costs for the capital projects at Turlin Moor Community School and St Joseph’s Catholic Primary School and to seek approval for these.

  1. DECISIONS REQUIRED

2.1.Members are requested:

(i)To recommend to Cabinet the approval of the Turlin Moor Community School scheme;

(ii)To recommend to Cabinet and Council the approval of the St Joseph’s Catholic Primary School scheme;

(iii)To note the progress made to date in delivering these projects;

(iv)To note the current budgetary allocations for Turlin Moor and St Joseph’sas defined in Sections 4 and5 of this report.

  1. BACKGROUND

Turlin Moor Community School:

3.1In September 2014 Turlin Moor Community School will increase from 1.5 forms of entry (45 places) to 2 forms of entry (60 places) which will add 15 places in each of Years R-2. A budget allowance of £300k was included in the Capital Strategy approved by Council in February 2013 and final budget approval is now sought from Cabinet.

3.2The professional consultancy for the Turlin Moor scheme is being provided by Dorset Property, the Dorset County Council in-house team.

3.3The construction works are being procured through the DCC Repairs, Maintenance and Minor Works Framework (RMMW). The framework is available for use by public sector bodies within the Dorset area for the procurement of contractors on projects up to £1million in value.

3.4The RMMW framework provides for two alternative methods of use: Direct Award (call off) or mini competition. The Direct Award process provides access to the preferred contractor at an early stage in the process. This can improve overall delivery of the project, particularly in relation to programming and in giving the end users confidence that the contractor understands the school environment.

St Joseph’s Catholic Primary School:

3.5In September 2013 St Joseph’s increased from1.5 forms of entry (45 places) to 2 forms of entry (60 places),adding15 places in each of Years R-2. A budget allowance of £650k was included in the Capital Strategy approved by Council in February 2013. Final budget approval is now sought from Cabinet and Council.

3.5The professional consultancy for the St Joseph’s scheme is being provided by the Diocese of Salisbury in-house team following competitive tender.

3.6Phase 1 works to enable the increase in capacity in September 2013 were undertaken in August 2013 following competitive tender. The construction works for Phase 2 will be also be competitively tendered.

  1. UPDATE ON TURLIN MOOR COMMUNITY SCHOOL

4.1.Officers have been working with the school and Dorset Property on the design development for this project which needs to be delivered before September 2014.

4.2.The works involve internal alterations to the Year R class base, additional toilets and the conversion of specialist classrooms to general classrooms. A canopy linking two separate building will be built along with decking to provide an external learning area.

4.3.School funded work has also been included in the project, comprising canopies over two external learning areas and a replacement external fire escape stairway.

4.4.Planning consent is required for the decking and the school funded work.

4.5.Temporary planning consent on the rear classroom building has already been extended by ten years to August 2023.

4.6.The construction contractor has been selected through the Direct Award process. Tender documentation has commenced and will be prepared in the usual way for the contractor to price.

4.7.Key programme dates are as follows:

Stage D approval / January 2014
Planning submission / January 2014
Gateway 3 approval to invest / March 2014
Place order / March 2014
Start on site / April 2014
Contract completion / June 2014

4.8.A pre-tender estimate has been prepared as follows:

Items / Approved Budget Allowance / Current Estimated Cost
Building Works / 212,000 / 213,000
Fees / Surveys / 42,400 / 44,200
FFE/ICT / 31,800 / 31,000
Decant costs / 2,000 / 0
Client contingency / 11,800 / 11,800
TOTALS / 300,000 / 300,000

4.9.These figures exclude school funded work costing £57,500 works and fees which would be included in the building contract.

4.10.The figures include an allowance of £4,500 for future ICT/FFE items in 2017 when the school expects to relocate its ICT room.

4.11.Contingencies are included in the figures above which reflect the design and programme elements in the project risk register. Contingencies are:

Works: £11,000 representing 5.4% of £202,000 (£213k less £11k).

Fees: Dorset Property fees £3,000 representing 7.9% of the DCC £37,740 fee element.

4.12.The stated works costs will be subject to the selected contractor’s tender.

4.13.A project budget of £300,000 is therefore recommended for approval.

  1. UPDATE ON ST JOSEPH’S CATHOLIC SCHOOL

5.1.Officers have been working with the school and the Diocese of Salisbury on the design development for this project.

5.2.Phase 1 was completed for September 2013 and comprised additional Year R toilets, a larger staff roomand remodelling oflibrary and classroom accommodation to facilitate the toilets and staff room.

5.3.Phase 2 includes a new Year 1 classroom extension, revised staff car parking and improved hall facilities. Planning consent is required.

5.4.The construction contractor for Phase 2 will be selected though competitive tender.

5.5.The Phase 2 programme requires completion of the additional Year 1 classroom for September 2014 to maintain the year grouping. Improvements to other accommodation are not essential by this date and consultants will prepare a programme for delivery of the project.

5.6.The original budget allocation included an allowance for VAT as the project was to have been delivered by the school. In order to recover VAT, the project is now being delivered by the Borough. Of the original £96,800 VAT allowance, £21,800 has been used to fund the estimated consequential additional project management costs to Borough of Poole, resulting in an overall saving of £75,000. Estimated savings in other fee and survey costs have enabled the works budget to be slightly increased. Estimated costs are currently as follows:

Items / Original
Approved Budget Allocation / Revised Budget (total Phases 1 and 2) / Phase 1 outturn costs / Phase 2 estimated costs
Building Works / 414,000 / 431,980 / 64,907 / 367,073
Fees / Surveys / 69,900 / 73,720 / 7,115 / 66,605
FFE/ICT / 57,800 / 57,800 / 57,800
Decant costs / 1,500 / 1,500 / 1,500
Client contingency / 10,000 / 10,000 / 10,000
VAT allowance / 96,800
TOTALS / 650,000 / 575,000 / 72,022 / 502,978

5.7.Estimated Phase 2 works costs include 10% contingencies. The scope of Phase 2 will be agreed with the school within the works budget.

5.8.Phase 2 works costs will be subject to the selected contractor’s tender.

5.9.A project budget of £575,000 is therefore recommended for approval.

  1. FINANCIAL IMPLICATIONS

6.1.See above at 4.13 and 5.9 for recommendations for budget approval.

6.2.These projects are part of the Council's agreed plan for meeting the need for additional school places. The estimated cost for these projects was included in the Children's Services Capital Strategy 2012-2016.

  1. RISK MANAGEMENT IMPLICATIONS

7.1.The key risks are that:

(i)The Council fails to provide sufficient pupil places to meet existing needs in the appropriate time-frame. Both projects will deliver additional school places for September 2014.

(ii)The works are not completed in time. The programmes for the projects are challenging and there is a risk that delay could result in disruption for these schools. The use of Direct Award for Turlin Moor means that the contractors are involved in the early stages of programming.

(iii)Costs may exceed the budgets. The report on the Capital Strategy approved by Council in February 2013 explained that the cost estimates for each school had been derived from an options study and that the costs were high level estimates and represented budget allowances. More detailed design and an assessment of the “buildability” would enable budgets for each project to be brought forward for approval by Cabinet and Council as appropriate. The budgets brought forward for approval are still based on estimates and not tender prices but the designs are now much further developed.

7.2.A programme contingency of £1.25m was included in the Capital Strategy to make provision for additional costs that were unforeseen at this stage and for a possible need for additional school places as a result of increased take up. The revised cost estimates for these projects do not currently require a call on this programme contingency.

  1. EQUALITIES IMPLICATIONS

8.1.A key objective of these projects is to fulfil the Council’s statutory duty to provide school places for children in Poole.

8.2.In planning and delivering new school places, the needs of all pupils will be considered. The need to give parents a range of provision has also be taken into account in the proposals that are put forward.

  1. CONCLUSION

9.1.Members are asked to give approval now for funding for the Turlin Moor Community School project to enable it to proceed following receipt of the selected contractor’s tender.

9.2.Members are asked to give approval now for funding for the St Joseph’s Catholic Primary School project to enable it to proceed following receipt of the selected contractor’s tender.

9.3.Not proceeding with these projects would have financial and reputational consequences regarding the provision of sufficient pupil places.

Vicky Wales

Head of Children, Young People and Learning

Contact officer:

Nicola Keynes

Principal Asset Planning and Development Manager

Children, Young People and Learning

01202 633691

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