by Clair Mooney | 3 Oct, 2022 | Main News Feed
The Scottish Government recognises the significant pressures currently faced by the construction industry due to the dramatic rise in the cost of fuel and materials, inflation, and stretched public budgets. These pressures, coming on top of the continued impact from COVID-19, material supply issues and wider economic climate changes, are significantly impacting both public client bodies and members of the construction industry.
In order to help address and mitigate these challenges, Scottish Government have a number of guidance measures that public sector bodies should be aware of when procuring and managing their construction projects. As a reminder, these are set out below.
Construction Policy Note (CPN 3/2021)
Scottish Procurement and Property Directorate issued CPN 3/2021 in 2021 providing advice for Contracting Authorities to manage and mitigate market pressures affecting the availability and affordability of construction sector resources. If a contactor seeks relief from or waiver of their contractual obligations, the contracting authority should refer to the relevant terms and conditions and seek legal advice as needs be to inform their decision. Contracting authorities should also re-examine their models for the design, procurement and delivery of their forward construction portfolio programme. This advice still stands and should be reviewed where applicable in relation to recent and future cost rises.
Prompt payment and Project Bank Accounts
Delayed payments can cause significant pressures in the construction industry, especially on sub-contractors and further down the supply chain. The Scottish Government have addressed this by providing guidance for wider public sector contracts encouraging prompt payment and the use of Project Bank Accounts.
The Scottish Government’s Client Guide to Construction Projects includes a chapter on Fair Payment, where advice on Prompt Payment is consistent with the wider Scottish Government procurement policy Scottish Procurement Policy Note 2/2022. This provides a standard clause for public bodies’ use, requiring contractor and sub-contractor invoices to be paid within 30 days throughout the supply chain of public contracts. A point of contact in the public body must also be provided should the sub-contractor have any difficulty in securing the timely payment of an invoice. The SPPN also asks public bodies to consider the past payment performance of those bidding for public sector contracts. The Scottish Government is committed to paying our contractors promptly, targeting to pay valid invoices within 10 days of receipt, going beyond our contractual commitment to pay within 30 days. Further advice on contract payment terms is included in Construction Policy Note 9/2020.
To ensure that payments are made directly and simultaneously from public sector clients to members of a construction contract supply chain, bodies subject to the Scottish Public Finance Manual must include Project Bank Accounts in tender documents for contracts over the applicable value thresholds. The Scottish Government Project Bank Accounts Guidance defines these thresholds as £2M for building projects and £5M for civil engineering projects.
Sustainable tender pricing
Although costs are increasing, it remains important the public sector actively seek to identify abnormally low tenders to encourage sustainable prices and successful delivery of projects and services. Construction Policy Note 1/2021 reminds the public sector clients of their responsibilities in handling abnormally low tenders and highlights the importance of bidders putting in realistic and sustainable bids.
Whilst Local Authorities, or other bodies not governed by the Scottish Public Finance Manual, are not under obligation to take or follow Scottish Government advice, they are strongly encouraged to carefully review Scottish Government guidance and apply it where appropriate.
The Scottish Government will continue to liaise with both public sector bodies and construction industry representatives and continue their ongoing work with the Construction Leadership Forum to support the sector in managing the current sector challenges.
by Clair Mooney | 28 Sep, 2022 | Main News Feed
The Building Safety Act introduces a new building safety regime which requires changes to regulations, standards and ways of working. As a result, there are a number of consultations underway, including:
- Building Safety Regulator Fees and Charges ‐ The HSE is consulting on what the new Building Safety Regulator may recover costs for when carrying out its relevant ‘chargeable’ functions. Comments should be submitted online by Friday 7 October.
- Occupied Higher‐Risk Buildings ‐ The Department for Levelling Up, Housing & Communities (DLUHC) is seeking views on the new safety regime for occupied higher‐risk buildings, including proposals for their in‐occupation phase. There are 12 sections to the consultation, including certification, reporting, resident’s duties, appeals, and key building information. Comments should be submitted online or via email by Wednesday 12 October.
- Building Regulations ‐ DLUHC is also consulting on the changes that will be made to Building Regulations to implement the new building safety regime. There are 12 sections to the consultation, including dutyholder roles, gateways, change control process and more rigorous enforcement powers. Comments should be submitted online or via email by Wednesday 12 October.
- Operational Standards Rules ‐ Ahead of the Building Safety Regulator beginning to operate from April 2023, the HSE is seeking views on the proposed operational standards rules which will allow it to effectively monitor building control bodies. Comments should be submitted via email by Tuesday 25 October.
New Secretary of State for Levelling Up, Housing and Communities Simon Clarke has confirmed that there will be no change in the Government’s approach to building safety, writing in The Telegraph that he is “determined to finish the job my predecessors started, fixing the system for good, ensuring that industry rectifies the problems it created”. Clarke will be supported by Lee Rowley as Housing and Planning Minister, and Andrew Stephenson and Baroness Scott of Bybrook as Parliamentary Under Secretaries of State.
by Oscar Venus | 23 Sep, 2022 | Main News Feed
You may be aware that the venue has changed for the AGM/Members Meeting on 6 October, which is now being held at Hill Dickinson LLP, The Broadgate Tower, London. This has opened up the opportunity for event sponsors to have a pop-up stand/table-top, as we now have more space.
We already have 50 plus members booked to attend. To book your place click here.
There are also opportunities still available to sponsor our other members meetings, taking place in Birmingham, Manchester and Glasgow.
If you are interested call FIS on 0121 707 0077 or email clairmooney@thefis.org
by Oscar Venus | 22 Sep, 2022 | Drylining, Main News Feed
Due to the great number of people who have boked to attend we have decided to move the venue so more of you can join us in person to The National Federation of Roofing Contractors (NFRC) venue at 31 Worship Street London EC2A 2DY Nearest tube is Old street or a short walk from Moorgate tube station.
There will be a light lunch and a chance to network from 12.30 and an opportunity to look and discuss new products from SpecWall and RawlPlug
The full agenda can be found here
- Compliance – Publication of the Building Safety Act in April
- Building Systems and Fire Walls – avoid delays at Gateway 2
- Deflection head details – how to avoid non-compliance and legacy issues when installing
- BS8000-8 standard. Guidance on design and tolerances in installation for drylining, to be published later this year
- Research project findings – the cause of creaking in tall residential towers in high wind conditions
- FIS vetting process – how it can support in managing compliance
- Competence management plans – toolkit to assist members implementing a plan
- Site Guide update – reducing waste and rework
We hope you can join us afterwards for a drink and a chance to network.
We look forward to meeting you all again, but please register early as space is limited.
by Clair Mooney | 21 Sep, 2022 | Contractual and Legal, Lens Blog, Main News Feed
FIS Consultant Len Bunton continues with the theme of getting paid, and what options are open to FIS members. These monthly Blogs are designed to help FIS Members avoid common traps and build on our focus on collective experience.
As I have set out previously, some of this is self-induced, and that is why I have been working with a number of organisations to help them improve their financial management of contracts. I emphasise again that your payment applications need to be made on time and be fully detailed – if you fail to do either of these, or even worse, both of these, then you will not get paid what you think you are due. However, there are other actions you can take…
by Clair Mooney | 20 Sep, 2022 | Main News Feed
In recent months FIS has been working with SFG20 to help improve access to guidance and support clients and facilities companies who need to maintain and manage Operable Walls.
Operating walls is commonly the responsibility of a member of staff or a maintenance crew and damage and undue wear can be caused through not fully understanding and following the operating procedure. Incorrect maintenance, such as applying grease to moving parts, can also create problems. A good service and maintenance regime, underwritten by a service agreement is therefore key to the wall’s serviceability and the welfare of those operating them. It is also a necessity to meet the requirements of any warranty and optimise service life.
In the summer FIS launched a new guide to the repair and maintenance of operable walls. To ensure that this guidance is circulated to the widest possible audience FIS met with SFG20 to look at how the two organisations could collaborate to share the information with the widest possible audience. The result is that the new guidance has been integrated into the scope of the SFG20 schedule for operable walls.
Originally launched in 1990, SFG20 is a subsidiary of the Building Engineering Services Association (BESA). SFG20 is a unique, mobile-enabled, maintenance system designed to support anyone who owns or manages facilities. Built around the maintenance industry’s standard, SFG20’s solution provides asset maintenance requirements in a simple and easily-digestible format, with a host of specialist tools available to support the application to assets as well as projective cost modelling.
Commenting on the collaboration, FIS Technical Director Joe Cilia stated:
“When you see the scope of content covered by SFG20 it gives a unique insight into the complexity of the FM world. It is great that we can collaborate with the team at SFG20 to ensure we aren’t producing information in a vacuum but making sure it is available and accessible to the people who have used it”.
Andi Connelly Horsley – SFG20 Technical Publications Lead, responded:
“FIS is an authority in this area and a critical source of information. We value our good working relationship with FIS and will continue to work together to help support the wider FM market in ensuring that their interior systems are maintained and managed appropriately”.
New content is now available in SFG20 maintenance schedule, 88-50 Operable Walls.
For more information on SFG20 click here
To access the FIS Guide to the Serving and Maintenance of Operable Walls click here.
