Estates Transformation - Westminster Programme of Works – Full Busines

Reference code: 
PCD 338
Date signed: 
16 March 2018
Authorisation name: 
Sophie Linden, Deputy Mayor, Policing and Crime

Executive summary

MOPAC approved the outline business case for the transformation of the Westminster estate in April 2017, and this paper sets out the results of the detailed design and the proposed contract award to progress the investment needed to refurbish the ‘to-be’ retained estate.  The case sets out investment of £35.1m which is funded from within the approved capital programme, and subject to a future MOPAC decision may generate a capital receipt and annual revenue savings upon completion of the works. 

Recommendation

The DMPC is recommended to;
1.    Approve this project to proceed to Gate 4 (‘Go Live’ Decision), at a total cost of £35.1M capital. Noting this represents a reduction of £4.7M to the budget allocated for this project in the draft capital programme submitted to MOPAC in November 2017. The capital programme will be adjusted accordingly to reflect this.
2.    Approve the award of the fixed price construction contract to Overbury for the sum of £22.88M.
3.    Note that the refurbishment of Belgravia Police Station is now included a separate business case and therefore out of scope for this FBC.
4.    Note that the BCU1 Blueprint is not yet agreed and the timescales for SC&O redesign has been extended. The Detailed Designs are therefore based on assumptions agreed with OMM Programme Leads and will need to be validated when the BCU 1 Blueprint process and the SC&O redesign are completed.
 

Non-confidential facts and advice to the Deputy Mayor for Policing and Crime (DMPC)

1.    Introduction and background

1.1.    MOPAC approved the outline business case for the transformation of the Westminster estate in April 2017.  This paper sets out the developments and progress on the project, the tender process and the now proposed investment in the estate. 

2.    Issues for consideration

2.1.    The Outline Business Case summarised the position in the Westminster estate as requiring significant investment to bring up to current building standards and provide appropriate welfare facilities. It noted that there had been no major works at Charing Cross for some 20 years. 

2.2.    This full business case now sets outs the proposal to invest in Charing Cross as the BCU main HQ building for BCU1 (Westminster, Hammersmith & Fulham and Kensington & Chelsea).  A contingency sum has been included in the investment requested to address the final BCU and SC&O design decisions.

2.3.    Belgravia Police Station is now included in a separate business case and is therefore out of scope for this FBC.

2.4.    A specialist estate design consultancy was appointed following a MOPAC approved procurement route, and using a mini-competition process from the MOPAC approved Southern Construction Framework the main contractor appointed.  Relevant work packages have been tendered and assessed to ensure competitiveness. 

3.    Financial Comments

3.1    The approved budget submission includes provision in the capital programme for the sum of £39.8m to fully fund this development.  Following the detailed design, tendering and making provision for contingency, the project budget is now recommended at £35.1m.  

3.2    Subject to a future decision by MOPAC the proposed investment could result in the release of West End Central Police Station and the generation of a capital receipt and potential for annual revenue savings.   

4.    Legal Comments

4.1    Section 6 of the Police Reform and Social Responsibility Act 2011 (“the Act”) provides the MOPAC must secure the maintenance of the Metropolitan Police Service, and secure that the Metropolitan Police is efficient and effective.    

4.2    In carrying out its functions, the MOPAC may, under paragraph 7, Schedule 3 of “the Act “do anything which is calculated to facilitate, or is conducive or incidental to, the exercise of the functions of the Office”.  This includes, entering into contracts and other agreements, in addition to acquiring and disposing of property (including land). The MOPAC has the power to dispose of surplus properties (including land) under paragraph 7 (2) (b) of Schedule 3 of the “the Act”.

4.3    The Commissioner may also do anything which is calculated to facilitate, or is conducive or incidental to acquiring and disposing of property (apart from land) but only with the consent of MOPAC under paragraph 4 (2) (b) of Schedule 4 of “the Act”
 

5.    Equality Comments

5.1    There are no equality or diversity implications arising from this report.
 

6.    Background/supporting papers

MPS Report


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