Official Information Request - Stage 1 of Tarawera sewerage scheme

Sent: Thursday, 4 May 2023 9:54 am
Subject: LGOIMA request - Stage 1 of Tarawera sewerage scheme

I refer to your LGOIMA request of 1 May 2023 regarding Stage 1 of the Lake Tarawera sewerage scheme, and respond below as per your email:

1. Was a Tender conducted before appointing Fulton Hogan as the successful contractor?
   No. As noted in the report to Infrastructure and Environment Committee on 5 April 2023 (available in the agenda), the contractor for Stage 1 was confirmed via a direct contract negotiation as part of the phased approach to the scheme to comply with MfE funding subsidy conditions. Fulton Hogan’s unit rates were cross referenced against the rates they had tendered through an open tender they won for East Rotoiti 18 months earlier.
2. How many contractors submitted a tender or contract price for Stage 1?
   One
3. Is the contract with Fulton Hogan for Stage 1 a fixed price contract?
   No. It is a fixed rates contract.
4. If so, what is the price of the contract?
   The contract with Fulton Hogan is not a fixed price, however the contract price based on the schedule of quantities and the related rates is within the approved contract envelope of $15,000,000 including contingencies allowance.