2023-03-07 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                     7 MARCH 2023


                                                 Capital Works Executive meetings. The Schedule
                                                 of Rates have been confirmed by the contractor.




Material price increases                         Council will engage contractor under schedule of
                                                 rates contract with locked in material rates not
                                                 subject to rise and fall. The Schedule of Rates
                                                 have been confirmed by the contractor.
Contractor becomes insolvent                     Council has not carried out a financial viability
                                                 check on the preferred contractor as the original
                                                 project estimate was less than the Financial
                                                 Capability guideline tolerances. The contractor is
                                                 a well-established contractor.
Program Risks                                    Mitigation
Resource risk                                    The contractor has nominated a capable and
                                                 experienced project team to undertake
                                                 construction. Council’s resources to the project
                                                 will be monitored by the Project Control Group and
                                                 Capital Works Executive due to the high volume
                                                 of work in the capital works program.
Construction takes longer than allowed for       The contractor is well resourced and has the
                                                 available resources to deliver this project
                                                 successfully. The risk is mitigated through the
                                                 contract, and will be closely monitored by the
                                                 Contract Administrator.
                                                 Grant funding bodies and Council will be
                                                 consulted to manage any variations to
                                                 agreements that may arise.
Lead time of materials pushing the program out   Many associated risks are mitigated by ordering
                                                 the materials as soon as possible after the
                                                 contract award. The contractor is aware and will
                                                 manage this risk and work closely together with
                                                 Council's project team to minimise residual timing
                                                 risk. The Schedule of Rates have been confirmed
                                                 by the contractor.
Safety Risks                                     Mitigation
The Contractor fails to ensure the work is       Prior to commencement of works, contractor will
conducted safely and in accordance with          ensure management plans, Safe Work Method
minimum standards                                Statements, Job Hazard Analysis (or similar), and
                                                 other documentation are submitted, reviewed, and
                                                 accepted by Council.
                                                 Council will undertake surveillance, regular safety
                                                 audits     and    inspections    throughout     the
                                                 construction period.
Environment Harm Risks                           Mitigation
Works impact on the environment                  The contractor will have a site environmental
                                                 management plan to identify and manage site
                                                 specific risks.

Scope & Quality Risks                            Mitigation
Risk of not meeting project objectives           Compliance with project objectives will be
                                                 managed through regular reviews of the
                                                 contractor’s design and construction by the
                                                 Contract Administrator and other project team
                                                 members as required.



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