Activity

Description of risk

Risk borne by Contractor

Risk borne by Authority

Comments/Actions to be taken to minimise risk

B. Detailed Planning Permission / Building Regulation Approvals

Planning permission and/or Building Regulation approvals not granted before or after Contract Close

•  any costs in excess of budget

•  Detailed planning permission normally to be sought and obtained before contract close.

•  Judicial Review period normally to be completed before contract close.

•  Planning officers included in Authority project team.

•  Detailed discussions on planning requirements with Planning officers to take place within the procurement process and also before submission of Planning Application. Similar with Building Control  

Planning permission and/or Building Regulation approvals

delayed after Contract Close

•  any costs in excess of budget

•  Detailed planning permission normally to be sought and obtained pre-contract close.

•  Planning officers included in Authority project team.

•  Detailed discussions on planning requirements with Planning officers to take place within the procurement process and also before Planning Application. Similar with Building Control.   

•  May be a Compensation Event if after Contract Close Authority fails to administer an application for Necessary Consents e.g. road closures, within the timescales normally achieved for comparable applications taking into account the information provided.

Planning permission approval requires material change in Output Specification before Contract Close

•  Cost of delay

•  Cost of changes required by Planning Authority not budgeted for

•  Planning officers included in Authority project team to provide planning and design expertise

•  Detailed discussions on planning requirements to take place with Planning officers within the procurement process including prior to Call For Final Tender (CFT).  

•  Bidder to mitigate cost impact on Council

Planning permission approval requires material change in Output Specification after Contract Close (exceptional position e.g. possible phased development stages, large number of listed buildings)

•  May be a Compensation Event if Authority requires a material change in the Output Specification / Will be covered by the Authority Change procedures in the Contract