Cardiff and Vale University Health Board - Local Mechanical Framework Value Uplift

Description

Due to the nature of C&V UHB, there are regular requests for both reactive and planned work. At present, the Capital, Estates & Facilities teams use a number of procurement routes to get suppliers on site depending on the size of the requirement and the urgency for resolution. In order to improve the process, and ensure value for money is applied consistently across the requirements, C&V UHB wishes to establish a Mechanical Works Framework which will be used to appoint contractors for general mechanical schemes. Once operational, it will enable the Estates team direct access to an efficient and cost effective local supply base. Works under the framework shall include, but not be limited to: Heating Systems Hot & Cold Water Air Conditioning Air Handling Units and Ventilation Systems Medical Gas Steam Thermal Insulation Building Management Systems Above ground drainage. Covid recovery has resulted in extensive and unforeseen use of the framework. Several large and high value works have been required to be delivered at pace through this period. The further competitions and direct awards have dramatically impacted on the remaining framework value. There are more high value works in development and due to the impact of Covid recovery there isn’t enough value left on the framework to conclude them. There is a need to vary the value of the contract to ensure the projects can be completed compliantly. It is proposed that the contract is varied by 50% of the advertised value. This is 2,250,000.00 excluding VAT 2,700,000.00 including VAT. The current spend against this framework stands at approx. 5,400,000.00 excluding VAT leaving roughly 1,300,000.00 excluding VAT approved value. There are a number of schemes in planning which could lead to the 6.7 million level being breached. The Health Board is informing the market that the current VEAT is to uplift the current local framework value to allow for essential schemes to be completed up until the Next Generation Framework for Mechanical Upgrade and Refurb is in place by February 2024.