British contractors bidding to work under the new PF2 program are now being forced to enter what some are calling a ‘bidders style boot camp’ by the Education Funding Agency (EFA).
The opportunity for contractors comes under the £700 million privately-financed area of the Priority School Building program. The Labour government had originally touted the Building Schools for the Future (BSF) program, but that was deemed overly expensive and wasteful and was cancelled in July 2010.
Under the EFA’s new process, after the pre-qualification stage, three contractors are invited to enter a round of competitive dialogue which lasts up to 18 weeks. This has replaced two stages of competitive dialogue under the original BSF programme.
The schools which will be procured in five batches over the next year are being rebuilt or repaired under the government’s Priority School Building Programme (PSBP) and are financed through the PF2 private finance program.
Pf2 School Programme Classroom. Credit: Interserve
According to reports, the government aims to deliver rebuilding using capital funding, subject to the next spending review. An additional £300 million will be added to the current spending review period to trigger an early start on 27 schools.
There are currently 216 schools which are due for either rebuild or repair, 46 of which will be financed through the PF2 program.
PF2 aims to address the needs of the British schools in the worst condition. The funding resources available for this regeneration will be allocated from the set budget and will be given out on the basis of need. Of the schools, 42 have been identified as being in the worst condition. Schools for children with special educational needs will also receive a share of the government’s capital grant.
The EFA will raise the funding for the schools by procuring an ‘aggregator body’ which will provide the debt funding for the schemes. According to the EFA, the aggregator body will be able to access bank debt and capital markets in order to “secure the best deals for the taxpayer.”
By Jemilla Russell-Clough
Top Image Source: The Construction Index
The post UK Contractors in Bidding Style Boot Camp for Schools Program appeared first on DesignBuild Source.
