Agenda item

The Chief Executive & Growth Director to provide an update and look ahead of the Leisure Centre and Bus Station Project’s forthcoming activity (including the timing of the closure of the Bus Station).

The Chief Executive & Growth Director introduced presenters who would provide an update on the Bus Station closure timescale and outline the preferred procurement strategy for the main contractor/builder. Members would be asked to rescind the planned closure of the Bus Station at the end of February 2018.  A copy of the presentation would be attached to the minutes, which would also include a review of the timelines in the short term and an update on the Bus Station and Leisure Centre development.

The Chief Executive & Growth Director made a brief statement and stated that the Bus Station and Leisure Complex site remained a strategic priority, despite the challenges to deliver the site in a comprehensive way, and ensure that such a significant development would continue to safeguard the economic future of the city centre.  Following the withdrawal of Crown Estate from the commercial retail element of the site, there was the chance to take stock and revisit the purpose of the development, and the procurement process to secure a contractor who would be able to build to budget. The land belongs to the City Council, and it was important to note that its value had increased in recent years.  This project represented a fantastic opportunity for the city, and was consistent with the drive to create a destination and leisure facility for the city. A Member welcomed the news that the land had gained value and she sought an assurance that every effort would be made to ensure the city could meet the challenges of the internet /online shopping and provide what people wanted from their city.

Justin Pickford set out the high level indicative timeline for Members to note:-

·         March – September 2018       Retender/procurement for Leisure Centre & Bus                                                                                Station Build

·         October/November 2018        Return to Council with confirmed Costs

·         November 2018                      Appoint Contractor

·         Winter 2018/ Early 2019         Commence work on site

·         November/December 2020    Facilities open to the public

Justin Pickford invited Phil Lewis to present details of the Procurement Strategy and outline details of the enabling works.  He also invited Iain McNeill to provide details of the highway elements for the Bus Station following the withdrawal of the Crown Estate. 

Iain McNeill confirmed that following further investigation and planning by the Build team, there was no imperative to close the Bus Station before May 2018. It was currently anticipated that Stagecoach would be able to remain in the Bus Station buildings after May 2018 until the new Bus Station opens.

Iain McNeill also identified how the withdrawal of Crown Estates had presented the potential opportunity that part of the bus station upper apron could still be in use after May 2018 – potentially allowing some services to remain during the build of the new Bus Station. The benefits of part of the Bus Station remaining open, subject to a technical review and the appropriate approvals, would be the continued use of the upper apron with the potential retention of up to seven bus parking bays.  In this scenario the temporary bus solution would only use Sidwell Street, and the bus stands on Paris Street would not be needed, ensuring waiting passengers and Stagecoach as the operator benefited from a better environment.  However, if the use of the upper apron and bays was not technically viable, then the full closure of the Bus Station would take effect in May 2018, and all buses would use the originally planned on-street solution.

The proposals included making temporary access and a number of redesigns of the highway, with a change to the junction and vehicular access to the Bus Station, car park, servicing Sidwell street shops and accommodation. Bampfylde Street car park would also remain open, with a one way direction in place. Discussions with Devon County Council would also consider a new right turn into Paris Street.  Further dialogue with Devon County Council on the technical feasibility was also being held to create a workable solution subject to inspection with the Road Safety Audit Team over the detailed design. All of the changes to the highways would be subject to the full legal highways processes, procedures and approvals, with the necessary Traffic Regulation Orders to be progressed and agreed with Devon County Council and Stagecoach.

Phil Lewis gave an update on the Procurement Strategy and sought approval from the Leisure Complex and Bus Station Programme Board to proceed with the procurement of the main contractor and proceed with placing an order to progress the necessary enabling works to, in effect, de-risk the site of the new Bus Station and Leisure Complex. The work would include a number of site investigations including trial pits to identify geotechnical information for foundation design, any necessary archaeology, service diversion and the installation of a substation to bring in the main services to the site – all enabling greater price certainty with the eventual main contractor / builder. A Member enquired about what would happen if the de-risking works were not accepted by the contractor. Phil Lewis stated that the contractor would carry out the physical works on the City Council’s behalf so that when the preferred contractor stage was reached, there would be the full knowledge of the works required.

Phil Lewis explained the procurement approach using the Southern Construction Framework, involved a more collaborative approach to achieve quality and best value. The Framework is supported by Devon County Council and was used by public sector organisations to allow greater transparency for many public bodies.  It included a two stage tendering approach, using a wider supply chain, and an open book process to agree costs and value. It is intended to treat the Bus Station and the Leisure Complex as two distinct build contracts, with expressions of interest invited from Framework contracts in February. The Framework process will shortlist two or three contractors, using a criteria based on quality and profit margin, by late March. They anticipated engaging with the preferred contractor during the procurement process through a pre-construction agreement to carry out the necessary de-risking to offer more certainty of the outcome.  It was anticipated that they would commence the Enabling Works with the contractor in May 2018.

A Member enquired if there was a cost associated with the changes in the programme. Phil Lewis confirmed that the costs of procurement were budgeted for and the Southern Framework negated carrying out a further lengthy OJEU process. The design had not changed, apart from the interface changes now required as a result of the withdrawal of Crown Estates.  All other design, current planning permission approvals and specified groundworks were all in place.

The scope of procurement will use the:-

·         Original design with the addition of new interfaces to Crown Estate boundary

·         Cladding to flank walls adjoining the remaining site

·         New pedestrian routes to connect to town centre

·         Enlargement of the street area to allow access to the Leisure Centre

The enabling works would reduce risk and include:-

·         Hoarding of site

·         Remove the current waiting room area to create build space

·         Install the substation

·         Bring services to the site

·         Divert existing services, and

·         Carry out intrusive site investigations

The Chief Finance Officer also provided a brief update as part of the presentation. He reminded Members that there was an existing budget approved by Council for the Bus Station and Leisure Complex, and Council approval was not required to enable the work outlined in the presentation to take place as it is within the approved budget.

RESOLVED that the Leisure Complex and Bus Station Programme Board noted the following:-

(1)     the procurement of the main contractor/builder in accordance with the strategy outlined in this presentation to proceed, and

2)      placing orders as necessary to progress the ‘Enabling Works’ for the Leisure Centre & Bus Station site to proceed.

RECOMMENDED that the Leisure Complex and Bus Station Programme Board request Executive to support and Council approve the following-

(1)     the rescission of the Council Resolution passed on 12 October 2017 stating that the Bus Station would close by the end of February 2018, at the latest; and

(2)     the decision as to when the Bus Station closes be delegated to the Chief Executive & Growth Director, in consultation with the Leader and the Portfolio Holder for Health & Wellbeing, Communities & Sport.

A Member abstained from the decision.