Decision Maker: Officer Decision
Decision status: Recommendations Approved
Is Key decision?: No
Is subject to call in?: No
On the 1st February 2020, IBC successfully bid for £9,868,351 of Housing Infrastructure Funding (HIF) for essential strategic infrastructure at the proposed Ipswich Garden Suburb (IGS). IBC entered into a bespoke Grant Determination Agreement (GDA) with Homes England on 02.10.19. The developer, Crest Nicholson, is to deliver the three infrastructure items as part of their development on the Henley Gate neighbourhood at IGS. This has been secured by a further Back to Back (B2B) legal agreement and Parent Company Guarantee (30.01.20).
As a result of Covid-19 and associated delays to supply chains, there is a requirement to vary the original contractual milestones set out within the GDA and the B2B to accommodate anticipated delays. Homes England has confirmed agreement to the proposed revised GDA milestones. These revised milestones need to be formally agreed through a Deed of Variation to the GDA and the B2B agreements and PCG. There are also obligations related to the HIF within S106 Agreements within Planning Applications 14/00638/OUTFL and 16/00608/OUT that will need to be reviewed and amended if necessary, to reflect the amendments to the GDA and B2B.
External legal advice is required to cover the above matters. Pinsent Masons have been significantly involved with the Ipswich Garden Suburb, advising the Council on a number of detailed legal matters and therefore are best placed to represent IBC on this matter.
It is recognised that there may continue to be impacts upon the IGS as a result of Covid-19 and therefore it is necessary that a Contract Framework Agreement with Pinsent Masons will cover a period of six months, with a cap of £75,000 to allow any Legal Advice or amendments to the agreements to be completed promptly.
The cost of the work (where not recoverable from the relevant developers) will be covered by the Ipswich Garden Capacity Funding budget. Going out to competitive tender is unlikely to result in any better outcomes/cost savings, as any new firm would need extensive briefing on the background and level of services that are being offered by Pinsent Masons, and inevitably would delay decision-making.
To enter into a Contract Framework Agreement with Pinsent Masons to a value not exceeding £75,000 for a period of 6 months.
Reason: In order that the Housing Infrastructure Fund legal agreements involving Homes England and Ipswich Borough Council, and the legal agreements with developers Crest Nicholson and CBRE Ltd can be amended, in order to support the essential delivery of infrastructure and housing at the Ipswich Garden Suburb.
Publication date: 14/08/2020
Date of decision: 27/07/2020