One of the most active sectors for bids and tenders has always been Construction and Infrastructure with high-value framework opportunities on offer. Oliver Luhrs, one of our Bid Writers, attended a Crown Commercial Service (CCS) webinar yesterday to hear about the updates to the Construction Works frameworks up for tendering later this year.
As we reported in both June and September, this level of detailed market engagement and reflecting supplier requirements should be applauded. This model should be rolled out more
widely in the public sector as so often, we work with bidders who question the specification and feel that with earlier engagement, the benefits of a framework to both buyer and supplier would be far greater.
The webinar was part of an ongoing series of market engagements to allow potential suppliers the opportunity to gather more information around the major CCS framework procurement process which will run across the next 12 months, going live during the 2019/20 financial year.
Building on previous engagements the webinar provided the latest developments to the CCS framework and focussed on:
• Proposed Lot Structure
• Scope of Service Overview
• Lot Structure Workings
• Core Delivery Essentials
• Key Dates and Next Steps
Construction Works Contractors
• The potential value of the framework – £30 billion over 7 years
Updates to Proposed Lot Structure
This framework will be open to any public sector body to use, so the scale and variety of project is significant. The key development since our September article has been splitting Lot 1- Building and Civils Engineering Works into two separate tender opportunities: Lot 1.1 Building Works and Lot 1.2 Civil Engineering Works.
Lot 1 – Building and Civils Engineering Works projects valued £0k – £3m is now structured in the following way:
• Lot 1.1 – Construction Works: 5 x Regional Sub Lots & up to 20 Suppliers per Lot
• Lot 1.2 – Civil Engineering Works: 5 x Regional Sub Lots & up to 10 Suppliers per Lot
Suppliers bidding for sub-lots within Lot 1 will be restricted from being awarded a place on any sub-lots within Lots 2 to 5 inclusive and vice versa. Suppliers may also only be awarded to Lot 1.1 or Lot 1.2, not both.
For information on the Construction Works Potential Structure including Lots 2 to 11 please see our previous articles, links below:
Scope of Services Overview
CCS has provided further information outlining the proposed Scopes of Services to each of the 11 lots within the Framework. The Suppliers of each Lot under the Agreement will provide access to a full suite of works and services and associated works and services to the Client and Additional Clients aligned to the respective Sub Lot region and Sub Lot category. There are also specificities to each Lot which the CCS has included as further information to guide potential Suppliers to the most relevant opportunity as detailed below.
Lot 1 – Building Works and Civil Engineering Works (National and Regional Sub Lots across UK regions
• Lot 1.1 Building Works and Minor Associated Works
• Lot 1.2 Civil Engineering Works and Minor Associated Services to the Client and Additional Clients at locations throughout the UK aligned to the respective Sub Lot region
Lot 2 to 5 inclusive – Construction Works and Associated Services (National and Regional Sub Lots across UK regions)
• This will include low-rise multiple occupancy accommodation blocks, such as nursing, military and student accommodation
Lot 6 – Residential (Regional Sub Lots across UK regions)
• Support to projects relating to housing and residential accommodation and associated buildings
Lot 7 – Residential ‘High Rise’ (Regional Sub Lots across UK regions)
• Support to housing and residential accommodation and associated buildings that are classed as High Rise properties or structures
• This Lot covers all contract values.
Lot 8 – Maritime (National Service Provision across all UK regions)
• Both inland and coastal
Lot 9 – Airfields (National Service Provision across all UK regions)
Lot 10 – Construction Management (National Service Provision across all UK regions)
• Services to support the Customer in managing construction projects and programmes at discrete delivery stages and/or from inception to completion, including effective management of construction delivery and handover and the provision of common site facilities and services
Lot 11 – Demolition (National Service Provision across all UK regions)
Support to Pre-demolition activities including:
• planning and associated permissions,
• carrying out of demolition activities through to close-down of activities
• materials disposal
Lot Structure Workings – Essential Takeaways
Lots are generally split into ‘Value Banded’ Lots with several ‘Regional’ Sub Lots. These value bands exclude any maintenance costs that may be procured at the same time.
Relevant experience will be required as part of the Selection questionnaire process for each Lot.
Suppliers are permitted to bid for multiple lots however there will be restrictions on the number of Lots they may be appointed to. This will be discussed in more detail once the structure of the commercial agreements is confirmed.
Overall there are a total of 38 Lots across the structure of the proposed Framework Agreement and a total 490 places available across the 38 Sub Lots.
Core Delivery Essentials
The adoption of Framework Alliance Contract approach (FAC1 adopted to develop the new Construction Framework Agreement).
Inclusion of multiple forms of call off contract (NEC/JCT/PPC 2000).
Standardised ‘Boilerplate’ Call Off Terms & Conditions – Project Specific T&Cs agreed at Call off.
Government Construction Strategy/Construction Strategy 2025 Objective compliance:
• Digital Design (BIM Level 2 – and where applicable further levels)
• Government Soft Landings
• Prompt Payment (e.g. PBAs)
• Whole Life Cost Considerations
• Apprenticeships/Improving Skills (Social Value)
• Better utilisation of Supply Chains
• Modern Methods of Construction
Key Dates & Next Steps
Project Timescales and Engagement:
• OJEU Release Invitation to Tender in Early 2019, target date January 2019
• Framework Award Spring / Summer 2019
• All formal engagement with wider industry has now been completed and the results of engagement / feedback can be viewed via CCS website
• CCS engagement with wider customer stakeholders continues with webinars to be ongoing throughout the project delivery period
Key Project Activities Ongoing
• Confirmation of procurement route – open procurement route is anticipated (SQ and Award)
• Allocation of £30 billion across the Lot Structure
• Development of Procurement Documentation
• Further Development of standardised core government T&Cs across PPC/NEC and JCT
• CCS will be seeking stakeholders interest in supporting evaluation of tenders externally
Further project updates will be shared via – https://ccs-agreements.cabinetoffice.gov.uk/node/7279. The next CCS webinar is anticipated to be held at the end of November / start of December.
What AM Bid can offer
These are high-value contracts within the Construction and Infrastructure sectors where bidders have the opportunity to win valuable contracts. The competition will be fierce and prospective bidders will need to submit high quality applications. At AM Bid, we work with clients to secure positions on highly valuable frameworks in the public, private and third sectors. If you want to maximise your prospects of securing a place on the Framework, contact us for a no obligation chat to receive our support in working with you on this opportunity.
AM Bid is led by housing and construction industry professionals who moved into bidding. From launch in October 2014, it has achieved rapid growth through delivering high quality bids and tenders with 80% bid win rates.