Agenda item

Saf Khan, PFI 2 Integration Programme Manager was present and made a presentation to the Committee, copy interleaved

Richard Hand, Ridge Consultants was also present and also made a presentation to the Committee, copy interleaved

During the presentation the following main points were made –

·         There are 2 PFI street properties contracts with Partners for Improvement, referred to as PFI 1 and 2

·         PFI 1 began in 2003 and is a 30 year contract and will end in 2033 and PFI 2 began in 2006 and is a 16 year contract and will end in April 2022

·         PFI 2 – 1831 Street properties or blocks with 4002 homes, 2788 tenanted homes, 1224 leasehold homes. The handback survey was measured against contractual standards

·         The Handback survey enabled the Council to conduct a survey to ensure properties are returned in line with contract requirements, and that any repairs identified are carried out by Partners before the end of the contract period. The value of the repairs are held in a retention fund until the repairs are completed. The Council clerk of works signs off repairs on a monthly basis and the value of completed repairs reimbursed to Partners. The value of any repairs not completed will be retained by the Council

·         Ridge Consultancy were procured to undertake the surveys on behalf of the Council and the period of the survey was 6 months. Ridge employed a specialist team to undertake the stock condition survey and work with a number of varied clients

·         314 basement flats were surveyed and 940 other flats and homes were surveyed, making a total of 1254 surveys of tenants homes, from a total of 2778 tenanted homes. Nearly all 1831 roofs and external surveys will be completed by end of April

·         5% of external surveys identified a repair, 9% of roof surveys identified a repair, 46% of internal surveys identified a repair and nor repairs were found in 56% of homes surveyed. Total value of repairs identified were £446k

·         A schedule of rates was used to price the repairs and 41 homes related to £151k of the total value of the repair costs, 53% of repairs cost less than £100 and 75% of repairs cost less than £250. Noted breakdown of costs per repair

·         3 key categories of repairs identified for most repairs, windows, damp and roofs. Noted other categories of repair identified

·         Window repairs account for 398 individual works at 270 homes, including missing window restrictors, stays, locks, catches, handles, draught seals and other significant repairs include ease and adjust windows, rot, sash cords and renewal/overhaul of windows. The overall value of window repairs amounts to £70537.77 or £177 per repair

·         Damp repairs were found in 265 homes with one instance spotted externally. There are 4 damp related issues which are not signs of damp, redecorate repair, damp survey costs, condensation, temporary repairs and these account for 203 of the 497 repairs identified. Penetrating damp, high meter readings, and water ingress are clear signs of damp/water penetration and account for 36% of the damp related issues found. Damp issues were predominantly found in basement and ground floor properties, and 21% of homes surveyed identified damp of some kind

·         Roof repairs – most repairs identified on the roofs related to missing, slipped or broken tiles and account for 70% of repairs. The roof photographs show the roofs to be in generally good condition. The largest single costs are scaffold costs, which account for 79% of the total roof repair costs - £60k from £76k

·         Next steps – writing to tenants of basement homes where access was not provided to encourage them to raised damp issues, continue to monitor repairs being conducted by Partners and hold them to complete works to the required standards, focus on all high value repairs and get them signed off, delayed payment on high value damp works to ensure all issues fully resolved, continue to monitor volumes of repairs being carried out and timescale for completion by Partners to the end of the contract. Work with Property Services to ensure Council retained repairs identified are completed

·         Noted that Ridge Consultants who had undertaken the surveys were specialists in undertaking stock condition surveys and had carried out an onsite visual assessment of year of installation, quantity, remaining life and +PFI specific repairs and combined these with schedule of rates and lifecycles and put these into the LBI SAM database

·         Noted that a 30 year business plan, aligned to other LBI stock had been undertaken and data cloned to provide a 100% output with first renewal and lifecycle repeats

·         Stock profile – 2663 dwellings, of which 1231 surveyed, 1432 cloned. 1387 blocks (100%) plus review of upshot images were carried out in an extremely challenging year due to the pandemic and access issues

·         Common issues – typical London street properties, better than average condition, evidence of works undertaken and there is need to continue to maintain. Some issues with dampness, subsidence, window repairs, removed window restrictors etc. internal decorations

·         Survey findings - £162m over 30 years including leaseholder block costs, low catch up total, improvements include £32.4m of wall insulation, excludes revenue allowance, and this equates to £60.8k per unit but £48.7k if exclude wall insulation

·         In response to a question it was stated that the Clerk of Works was responsible for signing off repairs and Partners were also providing detailed photographic evidence of completed repairs. Noted that monies were retained in a retention fund until the Council were satisfied repairs were completed satisfactorily, and this included for dampness works

·         Noted that if roofing works were deemed necessary for Health and Safety reasons these would be carried out by Partners otherwise if they were minor they would be dealt with as part of the future cyclical maintenance programme

·         Noted that as many properties as possible had been surveyed within the 6 month period, and that this had been impacted by the pandemic and residents shielding or not wanting to grant access to their properties. However tenants were being written in basement flats,  in order to let the Council or Partners know of any outstanding repairs so that these can be taken account of. Members were of the view that all tenants and leaseholders should be contacted in this regard

·         In response to a question it was stated that the Council paid the cost of the survey and there was no cost to tenants or leaseholders

·         Reference was made to the problem of draughty homes and that this needed to be addressed. It was noted that this was an issue the Council would need to address in the future with net Zero carbon, however this had not been raised as a specific issue in the survey, however there had been issues with window defects that could attribute to this and some issues with boiler pressure. Noted that Green Homes funding had been obtained for a pilot scheme and this would look at the issues with street properties, in conjunction with UCL

·         Noted that Partners were providing information on the schedule of boiler replacement and CP12 certification

RESOLVED:

That the report be noted and consideration be given as to contacting

all tenants and leaseholders in relation to outstanding repairs as referred to above

              The Chair thanked Saf Khan and Richard Hands for attending