CABINET MEMBER DECISION RECORD SECTION 1 BASILDON SPORTING VILLAGE GRANT FUNDING AND MURRAYFIELD PAVILION

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1 CABINET MEMBER DECISION RECORD SECTION 1 BASILDON SPORTING VILLAGE GRANT FUNDING AND MURRAYFIELD PAVILION Report to: Report by: Councillor Turner Cabinet Member for Resources Regeneration Services Enquiries to: Caroline Saunders, Senior Project Officer, Roy Short Sporting, Village Project Director, EXECUTIVE SUMMARY The purpose of this report is to seek the approval from the Cabinet Member of Resources to accept the grant funding from the Essex County Council Economic Participation Programme 2009/10 to support the demolition cost of the Sporting Village. This report also seeks the authority to proceed with the demolition of the Murrayfield Pavilion and provide construction training opportunities through the Basildon Trade School to support children who are at risk of becoming NEET (not in education or employment). STRATEGIC IMPROVEMENT PLAN AIMS Regeneration, Environment, Community and Value for Money. WARD(S) St Martins RECOMMENDATION 1. That the 550,000 of grant funding from the Economic Participation Programme 2009/10 is accepted to support the demolition costs for the Sporting Village and that the Council enter into an agreement (a Standard Agreement relating to EEDA Grant Funding) with Essex County Council to secure such grant funding. 2. The authority to proceed with the demolition of the Murrayfield Pavilion is granted.

2 BACKGROUND Through the Basildon Renaissance Partnership 500,000 of funding has been secured as a contribution towards the Basildon Sporting Village from Essex County Council s (ECC) Economic Participation Programme (ECC manage this programme on behalf of the East of England Development Agency, EEDA). This funding has been secured as a contribution towards the demolition of the grandstand and changing facilities located within Gloucester Park. This work forms part of the construction programme as set out within the Design, Build, Operate and Maintain Contract, which was endorsed by Council on 29 th July Due to an under spend within the Economic Participation Programme, the Basildon Renaissance Partnership has been presented with an opportunity to secure a further 50,000 to support the Sporting Village project providing a business case with clear outputs can be presented. This report seeks the acceptance of this funding as a contribution towards the development of Sporting Village project. Murrayfield Pavilion Adjacent to the Sporting Village Construction site is the Murrayfield Pavilion, formerly used for cricket and other activities within the park. This building is derelict, in a poor state of repair, subject to vandalism and a posing health and safety issue to users of the park. On 8 th September 2008, a planning application was approved for the redevelopment of this pavilion to serve Basildon Rugby Club who were seeking to relocate to Gloucester Park. It has since become apparent that there are no immediate plans to take this forward. In the meantime, the issues arising from the pavilion still need to be addressed. The 50k additional funding presents an opportunity to demolish this building, in line with the purpose of the original 500k funding. It is therefore proposed that 30,000 of the additional funding is used to support demolition, and other associated project costs, of the Murrayfield Pavilion. The remaining 20,000 will be used as a contribution towards the Basildon Trade School, providing construction training opportunities for children who are risk of becoming NEET (not in education or employment). ECC have since approved the business plan and the contractual arrangements have been finalised. ECC has also confirmed that in order to meet the timescales of the funding agreement that they are willing to release the funding immediately providing an order can be placed for the works with a suitable contractor by 31 st March Procurement The Council s Standing Order state that when ordering goods and services over 10,000 that an advertisement is required along with three written quotations. However, in order to secure this funding and meet the terms of the funding agreement it is proposed that on this occasion the Council s Standing Orders are waivered. In order to maintain competition and to demonstrate value for money,

3 written quotations have been requested and received from 3 companies, which includes Morgan Ashurst, who are the building contractor currently working on the Basildon Sporting Village: Quotes were provided by three Contractors, these are: A. Henderson and Taylor Ltd B. Morgan Ashurst C. O Brien & Sons Demolition Activity Demolition of Facility including removal of foundations up to 1m deep and making good groundwork s with topsoil Contractor A B C 18,377 but excludes removal of foundations to 1m deep and reinstatement 20, includes all costs associated with the demolition as well as the cost of removing the asbestos raised in the Type 3 asbestos report. It also includes seeding the top soil. 20, includes all costs associated with the demolition as well as the cost of removing the asbestos raised in the Type 3 asbestos report. Only allowed for the removal of the asbestos detailed in the Type 3 survey provided. Supervision and management Main Contractors Insurance Included in above 3, Included in above Included in above Included in above TOTAL 18, , , Provisional Sums Asbestos removal TBC 1, Included in above 1 Statutory Services TBC Disconnection All of the above figures exclude VAT. 7, Cost of disconnection+10% Following discussions with all the Contractors in regards to the scope of the demolition, both Morgan Ashurst and O Brien Demolition revised their quotes. Henderson and Taylor did not resend its quote, although acknowledged that the cost would change. The Council s technical advisers, Mace Ltd, state that the cost of the groundwork s and supplying top soil is approximately 23-25% of the total cost. If this percentage is applied to Henderson and Taylor s demolition cost it would increase the total cost to approximately 23,500. It can be assumed that the provisional sums for Henderson and Taylor would be much the same as the other two. After careful evaluation of each quotation, it is proposed that O Brien & Sons Demolition Ltd is appointed undertake the demolition of the Murrayfield Pavilion.

4 ALTERNATIVE OPTIONS That the Economic Participation Programme funding is not accepted in order to support the Sporting Village project. The demolition costs of Murrayfield Pavilion will then be met from existing Council resources. As funding has been approved this is considered not to be an option. GENERAL INFORMATION Financial Implications Through ECC, EEDA have provided a total of 550,000 from their Economic Participation Programme. A contribution of 500,000 has been allocated to support the Sporting Village, 30,000 towards demolition of the Murrayfield Pavilion with a further 20,000 as contribution towards the Basildon Trade School. Part of the funding conditions state that this funding must be spent by 31 st March ECC has confirmed that for the demolition of the Murrayfield Pavilion that they would be satisfied with an order being place with a suitable contractor by 31 st March The Council s Capital Budget and the Sporting Village profile will be updated accordingly to reflect this funding. Risk Management Implications Category: Risk Implication Risk/Opportunity: Funding is not accepted to support the Sporting Village project and demolition of the Murrayfield Pavilion. Inherent Risk Score Controls/Assurance by ECC/EEDA Contract arrangements being finalised Controlled Score Category: Risk/Opportunity Risk of not taken forward the demolition of the Murrayfield Pavilion utilising the grant funding to avoid using existing Council resources. by ECC/EEDA to support further funding Contractual arrangement in place Relevant authority and CMDR in place.

5 Category: Risk/Opportunity Order placed with an appropriate contractor not in place to undertake the demolition by 31 st March 2010 to meet the requirements of the funding agreement. by ECC/EEDA to support further funding Contractual arrangement in place Quotations received from 3 suitable companies to undertake the works Other Relevant Considerations The Murrayfield Pavilion in its current form is subject to vandalism and anti social behaviour. It is also a potential health and safety issue to members of the public. Inclusion, Diversity & Community Cohesion Implications There are no inclusion, diversity and community cohesion implications. Enclosures n/a Background Papers N/a Signed:. Head of Service Sporting Village Date:...