Modification notice
Modification of a contract/concession during its term
Section I: Contracting
authority
I.1) Name and addresses
Highways England
The Cube, 199 Wharfside Street
Birmingham
B1 1RN
UK
Contact person: Procurement Delivery Team East, Bedford
E-mail: EastTPO@highwaysengland.co.uk
NUTS: UKH
Internet address(es)
Main address: https://www.gov.uk/government/organisations/highways-england
Section II: Object
II.1) Scope of the procurement
II.1.1) Title
Area 9 Asset Support Contract.
II.1.2) Main CPV code
45233139
II.1.3) Type of contract
Works
II.2) Description
II.2.2) Additional CPV code(s)
71322500
34923000
71320000
71322000
71300000
45310000
45221100
45316200
45233141
45223200
45233210
45233140
45233130
II.2.3) Place of performance
NUTS code:
UK
Main site or place of performance:
All-purpose trunk road and motorway network in area 9 are described in: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/585330/s160588_Network_Man.pdf.
II.2.4) Description of the procurement
The provision of integrated network management, maintenance, improvement activities, incident management, event management and contingency planning on the all-purpose trunk roads and motorways in Highways England (HE) Area 9 in accordance with HE's standards and objectives as detailed in the Area 9 contract.
Duties include: Routine and cyclic road and bridge maintenance works, winter maintenance and the delivery of a defined programme of road, structures/bridge and technology schemes (but excluding S278 works unless instructed) in Area 9.
Co-location with, facilities for and supervision/management of the HE Regional Technology Maintenance Contractor (RTMC Midlands ) for Areas 7 and 9, incl. A50/A564 Stoke to Derby DBFO and M6 Toll DBFO.
Additional Duties: Provision of planning advice, design, co-ordination and supervision of maintenance (unlimited by value) and improvement schemes up to the value specified.
II.2.7) Duration of the contract, framework agreement, dynamic purchasing system or concession
Start:
31/12/2013
End:
30/06/2019
II.2.13) Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds:
No
Section IV: Procedure
IV.2) Administrative information
IV.2.1) Previous publication concerning this procedure
Notice number in the OJ S:
2014/S 006-005947
Section V: Award of contract/concession
Contract No: OJ S: 2014/S 006- 005947
Title: Area 9 Asset Support Contract
V.2 Award of contract/concession
V.2.1) Date of conclusion of the contract/concession
31/12/2013
V.2.2) Information about tenders
The contract has been awarded to a group of economic operators:
No
V.2.3) Name and address of the contractor/concessionaire
Kier Highways Services Ltd
05606089
Tempsford Hall, Sandy
Bedford
SG19 2BD
UK
NUTS: UK
The contractor/concessionaire is an SME:
No
V.2.4) Information on value of the contract/lot/concession (excluding VAT)
Total value of the contract/lot:
/concession: 599 200 000.00
GBP
Section VI: Complementary information
VI.3) Additional information
The Area 9 contract was awarded on 31.12.2013, following a Restricted Procedure competition under contract notice 2012/S248-410250. The Area 9 contract was therefore awarded in accordance with the provisions of the Public Contracts Regulations 2006, which incorporated Directive 2004/18/EC into law.
VI.4) Procedures for review
VI.4.1) Review body
Royal Courts of Justice
Strand
London
WL2A 2LL
UK
VI.5) Date of dispatch of this notice
16/05/2017
Section VII: Modifications to the contract/concession
VII.1) Description of the procurement after the modifications
VII.1.1) Main CPV code
45233139
VII.1.2) Additional CPV code(s)
71322500
34923000
71320000
71322000
71300000
45310000
45221100
45316200
45233141
45223200
45233210
45233140
45233130
VII.1.3) Place of performance
NUTS code:
UK
Main site or place of performance:
All-purpose trunk road and motorway networks in areas 6, 8 and 9 are described in: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/585330/s160588_Network_Man.pdf.
VII.1.4) Description of the procurement
Highways England (HE) has modified the Area 9 ASC contract to deliver the same service in areas 6 and 8 on an interim basis (the ‘area 6/8 service’). The following works and services will be required under the modified Area 9 contract:
The provision of integrated network management, maintenance, improvement activities, incident management,event management and contingency planning on the all-purpose trunk roads and motorways in HE Areas 6, 8 and 9 in accordance with HE's standards and objectives as detailed in the Area 9 contract.
* Please refer to ‘VII.2.1) Description of the modifications’ box below for continuation of Description content.
VII.1.5) Duration of the contract, framework agreement, dynamic purchasing system or concession
Start:
01/04/2017
End:
31/03/2019
VII.1.6) Information on value of the contract/lot/concession (excluding VAT)
Total value of the procurement: 120 000 000.00 GBP
The contract/concession has been awarded to a group of economic operators:
No
VII.1.7) Name and address of the contractor/concessionaire
Kier Highways ServicesLtd
05606089
Tempsford Hall, Sandy
Bedford
SG19 2BD
UK
NUTS: UK
The contractor/concessionaire is an SME:
No
VII.2) Information about modifications
VII.2.1) Description of the modifications
Continuation from VII.1.Duties to include:
The same services detailed in II.2.4 above are now to be provided in relation to the area 6/8 service. The services in relation to the RTMC Contractor (East) as above covering area 6/8, small parts of area 3 and the A1(M) and M40 DBFO contracts.
Continuation of VII.2.2 Reasons for Modification: There can be no gap in service because HE must continue to discharge its statutory functions. It will take 12-18 months to procure and safely mobilise new arrangements in line with the HE renewal programme so that they are in place by Spring 2019.
The value of the area 6/8 modification remains GBP 120m as stated in the VEAT notice. The increase from the VEAT relates to Area 9 ASC forecast spend and does not arise from the modification.
Service continuity is vital for road users and network safety. See VEAT notice 2017/S036-064688 and VII.2.2 below.
VII.2.2) Reasons for modification
Need for modification brought about by circumstances which a diligent contracting authority/entity could not foresee
Description of the circumstances which rendered the modification necessary and explanation of the unforeseen nature of these circumstances:
Including the 6/8 service in the Area 9 ASC falls within Art 72(1)(c): HE could not have foreseen the current Area 6/8 contracts would expire 2 years early on 01/04/17 as: prior contracts generally run at least to their base term, quality management mechanisms did not deliver required/expected outcomes and unique circumstances affected service levels and ongoing performance; the overall nature/scope of contract is unaltered: notice 2012/S248-410250 stated areas/routes covered may change, the Area 9 contract allows changes to the area network to be instructed, Area 9 specification remains unchanged and modifications are limited to those required to include area 6/8 service and facilitate contract management; and the price increase is less than 50 % of original Area 9 contract value (contract notice: GBP 137-159.4m pa/award notice: GBP 599.2m) Area 6/8 modification value approx GBP 120m until Spring 2019.
VII.2.3) Increase in price
Updated total contract value before the modifications (taking into account possible earlier contract modifications and price adaptions and, in the case of Directive 2014/23/EU, average inflation in the Member State concerned)
Value excluding VAT: 654 000 000.00 Currency: GBP
Total contract value after the modifications
Value excluding VAT: 774 000 000.00 Currency: GBP