Public procurement notice: Modification Of A Contract/Concession During Its Term
Published: 2020-11-04
Buyer: Education Authority NI
Country: UK
Contract type: Works
CPV classification: 45214000: Construction work for education buildings

Technical requirements: Term Service Contract for Mechanical and Electrical Maintenance and Minor Works in the old Western Education and Library Board area, Contract Lot 2
Provision of planned and response maintenance works for EANI across its property portfolio in the old Western Education and library board area, contract lot 4 which includes but is not limited to controlled and uncontrolled schools.
The contract set out in OJEU contract notice was entered into by EANI’s predecessor but was novated to EANI under the Education Act (Northern Ireland) 2014. The contract was initially for 1 year with an option to extend up to a further 3 years.
A procurement for a replacement contract was expected before the natural expiry of the contract but was not possible due to organisational restructuring and analysis of performance requirements which caused delays. The contract was therefore extended by a VEAT until 31 March 2020, with only around 45-50 % of the anticipated VEAT value spent. Although a new procurement was commenced, it was further delayed by Covid-19, and another VEAT was published extending the contract until 31 August 2020. The total anticipated value of the second VEAT has also not been spent. In accordance with Regulation 72(2), these successive modifications were not aimed at circumventing Part 2 of PCR2015.
Covid-19 remains ongoing, with new contract commencement anticipated to be 1 January 2021. EANI therefore requires another extension until 31 December 2020, with an option to extend beyond 1 January 2021, in its absolute discretion, for two further periods of 3 months up to 30 June 2021 to allow the procurement exercise to conclude.
(i) Given new contract commencement will be 1 April 2021, or asap thereafter as permitted by Covid-19, commencement of a new contractor twice in a short time period, especially in the current climate, would create risk to stability and integrity of services, be unsettling for users and could result in partial/total closure of schools and associated facilities.
(ii) would cause significant inconvenience and duplication of costs for EANI. Any new contractor would have start-up costs in recreating the current service for an unknown time period, which would represent poor VFM, compared to extending the contract.
(iii) The need for modification has been brought about by circumstances which a diligent contracting authority could not have foreseen. Covid-19 has delayed the new procurement, with such circumstances and delay, entirely unforeseeable by EANI. It is also unknown and unforeseeable when the Covid-19 outbreak will conclude. Accordingly, an extension is required to complete the new procurement and ensure continuity of service until new contract commencement.
(iv) The modification does not alter the overall nature of the contract. Only the term is being extended to allow the new procurement to conclude.
(v) Any increase in price does not exceed 50 % of the value of the original contract. The upper estimate of the original Contract was GBP 8 000 000. As the maximum extension value is estimated to be approximately GBP 3 000 000, it does not exceed 50 % of the value of the original contract.


Winner: CHC Group Ltd