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<p>The process by which repair and renovation of the Palace of Westminster is procured
– whether for the purpose of the longer-term Restoration and Renewal Programme, the
Medium Term Investment Plan, or otherwise:</p><ol><li>is shaped by objectives specified
in an Outline Business Case produced in accordance with the Treasury Green Book Five
Case model;</li><li>is resolved by a contract awarded through an open and competitive
tender procedure that is compliant with the Public Contracts Regulations 2015;</li><li>takes
into consideration whether compliant collaborative procurement options, where available,
are a viable option according to the scope of the work;</li><li>includes a specification
and range of award criteria which are representative of, and will be capable of realising,
the value-for-money objectives determined by the respective Outline Business Case;</li><li>may
be considered within a higher level Gateway Review Assurance process where considered
appropriate.</li></ol><p><br>The default position in the Houses’ Procurement Policy
is to set evaluation criteria weightings of 70% for price and 30% for quality. We
expect these ratios to be applied when procuring repair and renovation works. The
House Procurement Policy goes on to provide a waiver process by which a justification
and recommendation can be made to vary these weightings according to circumstances
and value-for-money considerations specific to a given procurement. A contract that
looks to transfer a higher level of responsibility and liability for design to the
contractor is a common example of where the balance in weighting may be moved towards
quality as a consequence of a waiver application.</p><p>The need for repairs is determined
with reference to a number of factors: condition surveys of the Estate; an annual
exercise to prioritise the portfolio of projects; inspections carried out on a quadrennial
basis; advice from the House’s Design Authority; and calls to the PED Helpdesk. In
particular:</p><ol><li>A comprehensive condition survey of the Estate was carried
out in 2008/09, the results of which fed into a 25-year plan. This survey identified
a significant number of defects, the works for which were all priced and given recommended
completion dates. These tasks were then packaged minor or major projects and added
to the scope of existing works within the 25-year plan.</li><li>Following on from
this comprehensive survey, there is a rolling programme of condition surveys every
two years, which similarly identifies defects and further work.</li><li>An annual
exercise is undertaken by senior managers, including the Director General of Facilities
and the Finance Director, to assess and prioritise the portfolio of projects in order
to inform the Medium Term Investment Plan for the following four-year period. Projects
are prioritised, taking the following factors into account:</li></ol><ul><li>compliance
with legislative or contractual requirements;</li><li>business objectives;</li><li>mitigation
of the risk of failure to services;</li><li>conservation of the fabric of the buildings.</li></ul><p><br>The
Medium Term Investment Plan is then considered by the Finance Committee before being
approved by the House of Commons Commission.</p><ol><li>The Palace of Westminster
is a Grade 1 listed building, and PED follows best practice by ensuring that an inspection
is carried out every four years by the Conservation and Architectural Team. These
inspections identify tasks which should be carried out to ensure the fabric of the
building is maintained properly.</li><li>The PED Design Authority, established in
2011, is committed to “ensure consistent standards, value for money, statutory compliance
and user satisfaction”. Practically, it concentrates on the lifecycle of the engineering
assets, ensuring that initial and replacement capital costs are balanced with the
ongoing operating and maintenance costs, and with identified business needs. It acts
as a Central Engineering department, and advises on the requirements for works and
systems and services across the Parliamentary Estate.</li><li>PED has a helpdesk system
which receives and handles building faults reported by Members, Members’ staff, and
staff of the House. These faults are prioritised according to service level agreements.</li></ol><p><br>The
Director General of Facilities would be happy to brief the hon. Member in more detail,
should he wish.</p>
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