Promenade

Summary

A request was made regarding delays, contract extensions, and expenditure for the Promenade project, to which the Department of Infrastructure disclosed reasons for the delay, clarified the NEC4 contract mechanism, and provided specific financial figures.

Key Facts

• The project is 9 weeks behind schedule due to unforeseen underground services and additional instructed utility work.
• The contract is an NEC4 form which does not allow contractors to make formal 'applications' to extend the contract.
• The Project Manager issues Instructions and Compensation Events to manage additional works and potential completion date revisions.
• Actual construction expenditure as of the end of July was significantly lower than the forecasted amount.
• The Department of Infrastructure confirmed all requested information was sent.

Data Disclosed

• 9 weeks
• 2019-08-06
• 2019-08-09
• 917021
• £3,778,704
• £5,371,368
• end of July

Original Request

What is the reason for the 9 week behind programme. Has the Contractor made an application to extend the Contract What is the expendture to date and its comparison to the expendture flow in the contract

Data Tables (1)

Full Response Text

0###

Department of Infrastructure Sea Terminal Building, Douglas, IM1 2RF

Contact: FOI Response Team Telephone: (01624) 686785 Email: DPO-DOI@gov.im

Our ref: 917021 9 August 2019

Dear ###

We write further to your request which was received on 6 August 2019 and which states (numbered for ease of reference): "1. What is the reason for the 9 week behind programme.
2. Has the Contractor made an application to extend the Contract 3. What is the expendture to date and its comparison to the expendture flow in the contract"

1. The Contractor is behind on the Accepted Programme for several reasons: • Unforeseen underground services encountered during excavation work have resulted in the need for the isolated redesign of proposals, some utility service diversions which result in delays to construction work and subsequently the construction programme • Additional utility service work has been instructed as the need arises during construction. This additional work has impacted on construction and caused delay to the programme. 2. • The works are being carried out under a NEC4 Contract • There is no mechanism within this form of Contract for the Contractor to make an ‘application’ to extend the Contract • The Project Manager issues Instructions and Compensation Events to cover additional works • The Contractor is currently re-programming the works to take account of the additional instructed works which may result in a revised Completion Date for the whole of the work. 3. • Actual construction expenditure to date (net after retention) as of end of July is £3,778,704 • Forecast construction expenditure (net after retention) up to end of July was £5,371,368

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