2021-07-12 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA                                                            12 JULY 2021


           Certified Workplace Health and Safety systems.
           Overall best value for money benefit for Council.

   5.           Program & Next Steps
   M&K Pipelines (QLD) Pty Ltd propose to commence procurement immediately in July with
   Practical Completion towards the end of September 2021 inclusive of a wet weather allowance.
   M&K Pipelines (QLD) Pty Ltd program duration is 10 weeks.

   6.       Construction Management & Inspections
   The current delivery model has Council in the project management and Superintendent roles.
   Council resourcing to support the project are in place with specialist consultants available to
   provide technical advice and inspections if necessary.

   Previous Council Consideration
   Nil.

   Finance
   The estimated construction cost is fully funded by TMR under the Funding Agreement and
   there will be no requirement to cashflow the costs.
   As per the milestone payments nominated in the Funding Agreement, the first milestone
   payment of $1.493M (ex GST) has been invoiced and will be paid to Council prior to the first
   payment claim by the proposed contractor.
   The total construction cost estimate is as follows:

                                         Item                                   Budget (Excl. GST)

       M&K Pipelines (QLD) Pty Ltd (This contract)                                         $554,795

       Engineering consultants (if required, refer below)

           Callaghan & Toth (engineering / designer)                                        $5,000

           Native Foresters (Fauna)                                                         $5,000

           Archeo (Cultural Heritage)                                                      $10,000

           Plant, equipment & labour (significant tree retention)                           $5,000

       SUB-TOTAL                                                                           $579,795

       Budget                                                                              $767,480

       REMAINING BUDGET – Contingency Against Original Estimate
                                                                                           $187,685
       under the Funding Agreement

   Risks & Opportunities
       Finance Risks                                    Mitigation
       Final contract value exceeds budget.             Risk partly mitigated by a lumpsum contract.
                                                        Contingency using the original estimate under the
                                                        Funding Agreement is at 24% or $187,685. Under
                                                        the Funding Agreement, overall project contingency
                                                        (an additional $1.65M) is available if required
                                                        subject to TMR approval.



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