Logo Watermark

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Late Agenda

Ordinary Council Meeting

16 August 2021

The meeting commences at 6.30pm. If members of the public are

not interested in any business recommended to be considered in

Closed Session or there is no such business, Council will ordinarily

  commence consideration of all other business at 7pm.

 

LC_WebBanner


 

Officer Reports for Determination

 

12.     Contract for Construction and Installation of Synthetic Sports Field and associated infrastructure at Bob Campbell Oval

 

 

 

 


 

Ordinary Council Meeting 16 August 2021

Contract for Construction and Installation of Synthetic Sports Field and associated infrastructure at Bob Campbell Oval

 

 

Subject:          Contract for Construction and Installation of Synthetic Sports Field and associated infrastructure at Bob Campbell Oval    

Record No:    SU8412 - 51676/21

Division:         General Managers Unit

Author(s):      Craig Wrightson 

 

 

Executive Summary

 

Council resolved at its meeting of 2 August 2021 to delegate authority to the General Manager to negotiate the terms of and enter into a contract for Construction and Installation of Synthetic Sports Field and associated infrastructure at Bob Campbell Oval (“Stage 1 works”). A question has been raised as to whether there are limitations on the delegation and Council is requested to confirm the delegation is without limitation or otherwise. Further, due to the postponement of the 2021 Greenwich Village Games, it is proposed to bring forward the construction program to ensure completion of all stages of the works at Bob Campbell Oval before the 2022 Greenwich Village Games, subject to Approval of the activity being obtained.

 

Background

 

Council at its meeting of 2 August resolved that::-

“1.    Council declines to accept any of the tenders submitted for the Construction and Installation of Synthetic Sports Field and associated infrastructure at Bob Campbell Oval;                                  

2.    Council will enter into negotiations with Synergy Turf Manufacturing Pty Ltd with a view to entering into a contract in relation to the subject matter of the tender for the Construction and Installation of Synthetic Sports Field and associated infrastructure at Bob Campbell Oval. The reason for determining to enter into negotiations with Synergy Turf Manufacturing Pty Ltd is that the tender submitted by Synergy Turf Manufacturing Pty Ltd appeared to be the most advantageous, however, there are material terms and conditions that the Council would require to be included in any contract for the said works that are not subject of the tender. The material terms and conditions include provisions in the contract to ensure:

a.    That the works are not allowed or required to commence before the duties imposed under Part 5 of the Environmental Planning and Assessment Act 1979 have complied with;

b.    That the Council may decide not to proceed with the works and may cancel the contract after complying with the duties imposed under Part 5 of the Environmental Planning and Assessment Act 1979;

c.     That the Council does not incur any liability if, after complying with the duties imposed under Part 5 of the EP&A Act, it decides not to proceed with the works and cancels the contract; and

d.    A copy of the final version of the contract for work be circulated to Councillors prior to signing. 

3.    Council delegates to the General Manager the functions of conducting the negotiations and entering into a contract for the works referred to in resolution 2 if the negotiations are successful;

4.    To address community concern and ensure the highest level of transparency, Council develop a Probity Plan for preparation of the Part 5 Assessment and the decision making process following the assessment, including publishing the REF on Council’s website prior to any decision;

5.    Council note DPIE have indicated that they do not have additional funds available for the project at this time, and continue to pursue opportunities for additional funding from DPIE to cover the additional costs of the project due to inflationary cost escalation and innovations to create the nation's most environmentally sensitive synthetic playing field; and

6.    In the event DPIE and NSFA funding does not cover the full cost of the project, Council fund the balance of the project by varying the 2021/2022 Budget, and including in the 2022/23 budget if necessary, additional funds from s7.11 Developer Contributions.”

Discussion

 

Contract for Stage 1 Works

 

Following negotiations with Synergy Turf and circulation of the proposed contract to Councillors as required by Part 2 d. of Council’s resolution, a question has been raised following commentary by a member of the community as to the extent of the delegation in 3. The interpretation of the resolution is that 2 and 3 are separate, and the function delegated to negotiate the contract is not confined. Part 2 concludes the Tender process and provides reasons for such, Part 3. is the start of a new process delegated to the General manager in the usual course, to negotiate the terms of and enter into a contract for construction of the Stage 1 works. If Council’s intention was that the matters outlined in 2 a.,b,.c., were to be included exactly as printed there would be no need to negotiate and the resolution could have merely provided something to the effect of: subject to Synergy Turf agreeing to the inclusion of  points 2 a.,b,.c., the General Manager enter into a contract. Council is therefore requested to confirm the delegation to negotiate terms and enter the contract is unconditional and without limitation or otherwise.

 

The negotiations have been undertaken to reduce financial risk and the contract variations circulated to Councillors reflect this. They include limitations on Council’s financial exposure/ liability should Council ultimately not be able to obtain requisite approvals, which are commercial and reflect that it is a Condition Precedent that an approval must first be obtained for the works, the contractor must assist Council obtain an approval for the works and permits commencement of a procurement process for the synthetic grass system, including payment of a deposit. It is therefore proposed to enter into the contract.

 

Postponement of Greenwich Village Games

 

On the weekend of 14/15 August the Greenwich Village Games Committee announced that they have deferred the Games until December 2022. Council will recall the original timing of the construction program was linked to the Games, resulting in the space being available for works to commence in late December 2021 (The contractors program envisaged physical works commencing in January 2022). With the postponement, it is proposed to attempt to negotiate with the contractor to commence works earlier, subject to Council obtaining a Part 5 approval. This would see Stage 1 works completed earlier in 2022 potentially close to the beginning (April/May 2022) of the Winter Sports season. It would also assist Council in ensuring all the other stages of works, including the amenities building, landscaping, car park and playground are complete for the Greenwich Games in early December 2022, as the original indicative program for these works would not accommodate the new date for the Games.

 

Please note during construction of the project, public access within the Reserve will include a North-South connection between the bush track from River Road to the foreshore area and connection to St Vincents Rd.

 

Probity Plan for Approvals Process

 

Further to Council’s resolution, O'Connor Marsden & Associates has been engaged to prepare a Probity Plan for the process.

 

Conclusion

 

It is not uncommon for Council to enter into contracts, for example Design and Construct, which require the contractor to assist or be responsible for obtaining relevant approvals, for example The Canopy. Ultimately it is the role of the General Manager to administer all Council contracts and the inclusion of contractual terms and variations occurs in contracts within the general delegations and authority of the General Manager. If any matters are deemed material by the General Manager consultation occurs with the Council. There is nothing unusual about the current process for the Stage 1 works.

 

For abundant caution, Council is requested to reaffirm that there are no limitations to the delegation in Part 3. of Council’s resolution of 2 August 2022.

 

RECOMMENDATION

 

That Council:-

1.   Receive and note the report;

2.   Reaffirm that Council’s resolution of 2 August 2022, “Council delegates to the General Manager the functions of conducting the negotiations and entering into a contract for the works referred to in resolution 2 if the negotiations are successful;” is unconditional and without limitation.

 

 

 

 

 

Craig Wrightson

General Manager

General Managers Unit

 

ATTACHMENTS:

There are no supporting documents for this report.