Ultimately if the delay is prolonged and the Contractor fails to secure a Satisfactory Planning Permission by a date specified in the Contract, the Authority is obliged26 to notify the Contractor whether it wishes to terminate the Contract or for the Contractor to produce a Revised Project Plan. The definition of the date at which this decision is required can be complex (for example in the WIDP Contract (Schedule 26) it is the earliest of four different events) so the Contract Manager should ensure (s)he is absolutely clear in advance when the date will be so (s)he is prepared to brief the relevant decision makers accordingly.
As termination is a major strategic decision it is likely to be escalated a long way up the Authority's decision making structures. The decision is also a difficult one for the Authority to take as it requires a comparison of two options which are both highly unspecified. The time scales for taking the decision may therefore be quite prolonged. The Contract Manager should make sure all interested parties, including the Contractor, are made aware of these timescales well before the event. (S)he also needs to ensure that all the information that decision makers will need is made available to them at the right time.
|
The Authority should notify Defra as soon as possible if it intends to agree a Revised Project Plan. The Authority will be required to submit a Variation Business Case to make the case for retaining its entitlement to WI Credits. Authorities should contact WIDP for further details in relation to what should be contained in a Variation Business Case. |
The delay in securing a Satisfactory Planning Permission may arise because of an initial planning rejection. If this is followed by a new application and the Authority's Development Plan Documents have not already been adopted, the Contract Manager should ensure that careful consideration is given to the inter-relationship between the new planning application timetable and the process for drafting, consulting on and adopting the relevant Authority's Development Plan Documents. The inter-relationship could have an impact on the optimal timing for submission of the new application by the Contractor. This point should be highlighted in the Contract Management Manual.
______________________________________________________________________________________
26 There is also an option for the Authority to re-negotiate certain terms of the Contract with the Contractor. However care must be taken to ensure the scope of such a re-negotiation is consistent with the requirements of procurement law.