TVCA-PROC-0928 - Brownfield Housing (BHF) Business Case Appraisal

Tees Valley Combined Authority (TVCA) (the 'Contracting Authority') have awarded a contract for a supplier to supply and deliver appraisal activities. The contracting authority reserves the right to modify the contract in reliance on Schedule 8 paragraph 5 of the Procurement Act 2023 where the contracting authority considers that a “known risk” has arisen. A “known risk” is a risk which could jeopardise the satisfactory performance of the contract but because of the nature of the risk it could not be addressed in the contract as awarded. The following risks have been identified as known risks 12 months with an option to extend for 12 months unless otherwise agreed in writing by the contracting authority.

The contract may need to be extended or varied where a delivery risk arises that could not be fully resolved before contract award, and where the change is necessary, proportionate and limited to what is required to complete the services. Any extension or variation must be justified, recorded and approved by the TVCA in accordance with the contract terms and applicable procurement requirements.

The number and timing of BHF project business cases requiring appraisal is dependent on programme delivery and applicant progression. As a result, the volume of appraisals or the phasing of appraisal activity may differ from that anticipated at contract award. Where this risk materialises and prevents satisfactory delivery of the contract within the original assumptions, TVCA may vary the contract value and/or term to the extent necessary to address the change in circumstances.

The Contracting Authority may agree to vary the Contract Period where delays occur in the submission of project business cases, supporting evidence, or responses to requests for clarification from applicants, and such delays prevent the appraisal and assessment process from being completed within the original Contract Period. Any extension shall be limited to the period reasonably required to complete the outstanding appraisal activities and shall be subject to the Authority's approval.

-The Contracting Authority may vary the Contract Period where the number of BHF project business cases requiring appraisal is materially higher than originally anticipated, or where changes to the phasing of appraisals across the programme prevent the appraisal and assessment process from being completed within the original Contract Period. Any extension shall be limited to the period reasonably required to complete the outstanding appraisal activities and shall be subject to the Authority's approval.

-Additional appraisal activity required due to material changes to a project business case, revised costs, updated delivery programmes, funding changes or revised outputs.

-The need for further review following clarification, re-submission or additional evidence where this is necessary to support robust assurance and funding recommendations.

-Programme or governance timetable changes, including revised approval dates, additional assurance steps, appraisal panel requirements or decision-making delays.

-Changes in relevant policy, guidance, funding conditions, subsidy control considerations or assurance requirements that affect the scope or timing of appraisal work.

-Unforeseen complexity in individual projects, including land, planning, viability, delivery, financial or commercial issues requiring specialist input or additional review time.

-The need to maintain continuity of independent appraisal support where a new procurement would risk delay, duplication of work, loss of audit trail or disruption to live assurance activity.