2022-04-12 Services & Organisation Committee Meeting Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                               12 APRIL 2022


Finance Risks                 Mitigation
Subgrade material found       The contract specifications specify clearly how and until what extent the
to be unsuitable for reuse    existing subgrade material needs to be processed to reuse these materials.
purposes within the           In case a certain amount is not found suitable, locked in rates are in place. A
projects.                     budget contingency allows for this risk.
Clashes with public utility   The contractor is aware of nearby underground Telstra / NBN cables. It’s the
provider Telstra / NBN        contractor’s responsibility to initiate a Dial Before You Dig procedure and
give rise for contractor      prevent any impact to the Telstra / NBN network. The Contractor is
claiming variation costs.     responsible for any cost of repairs if these services get damaged during
                              construction.
Contingency amount            This risk is mitigated through Council's highly experienced project team and
being insufficient.           the appointment of an experienced contractor and contract supervision by an
                              experienced Superintendent. Any delay risks forthcoming of the current
                              pandemic is not included in the contingency amount. If the contingency
                              amount is insufficient to cover the cost, this is to be mitigated though the
                              budget approval process.


Program Risks                 Mitigation
There is the potential that   The contractor allowed for wet weather delay days in its program based on
the project is delayed due    past weather data from the 2021 calendar year. If additional wet weather
to wet weather.               delay days are required, the experienced superintendent will follow the
                              process which is embedded in the contract specifications. Moreover, the
                              contractor’s timeline shows an earlier completion date then prescribed in the
                              tender specifications, which gives additional room to mitigate an unforeseen
                              construction delay.
Resource risk.                The contractor has nominated a capable and experienced project team to
                              undertake construction.
Construction takes longer     The contractor is well resourced and has the available resources to deliver
than allowed for.             this project successfully in conjunction with current works on hand. The use
                              of pre-cast concrete deck units reduces the risk of construction delays.
Lead time of materials        Many associated risks are mitigated by ordering the materials as soon as
pushing the program out.      possible after the tender award. It has been identified that the pre-cast
                              concrete deck units may have lead time issues, mainly due to high demand.
                              The contractor is aware and will manage this risk and work closely together
                              with Council's project team to minimise residual timing risk.
                              The contractor confirmed that if this risk occurs, there will be no cost variation
                              to Council, if we award the tender on 22 April 2022.
                              Staff capacity of Council’s Procurement team is sufficient to meet this
                              deadline.


Safety Risks                  Mitigation
Site safety                   The contractor has extensive experience with similar works and would be
                              appointed as the Principal Contractor, being responsible for all Workplace
                              Health and Safety of the site.
                              Prior to construction commencing, workplace health and safety and
                              construction management plans will be required to be submitted to Council
                              for review.
                              Regular audits on contractor compliance with these approved plans will be
                              undertaken by Council and WH&S teams throughout the construction.

High-risk work using          The contractor is accredited to AS 45001 (Occupational Health & Safety
machinery and hoisting        Management) and the contractor has demonstrated their capability through
involved.                     the tender process.
                              The contractor is experienced having successfully completed several similar
                              types of bridge replacement projects within the past years, moreover the
                              contractor was principal contractor for the Cooroy, Mary River Road Bridge
                              replacement project, which was completed in early 2019.

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