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| Refurbishment and Planned Maintenance |
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| Large Scale Voluntary Transfer (LSVT) |
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LSVT is the process of transferring council housing accommodation to the ownership of a Registered Social Landlord who after purchasing the properties is responsible for their management & maintenance.
Registered Social Landlords are private not for profit companies and may operate on a charitable basis, they obtain private funds to pay the local authorities housing debts, open market cost for the properties and upgrade the dwellings with a series of commitments to the tenants. Tenants then decide to vote for the transfer which essentially results in removal of all ownership of the properties from the local authority to the registered social landlord (which is usually a housing association or housing trust either newly formed or existing).
Typical planned refurbishment programmes for a LSVT will include: replacement windows, heating, kitchen, bathrooms & roofing in order to upgrade the accommodation to the decent homes standard.
Case Study: Reigate and Banstead Housing Trusts (RBHT) 'Merlin Project' Case Study: Travis Perkins & West Wiltshire Housing Society |
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| Arms Length Management Organisation (ALMO) |
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An ALMO is run by a board consisting of tenants, elected members and independent experts paid to operate the housing management service on behalf of the council. The local authority maintains a 30% controlling interest in the ALMO, which separates the strategic function which the local authority maintains controlling interest in and the afore mentioned housing management service which is operated and run by the ALMO. The ALMO is paid a management fee to cover the costs of managing the revenue, implementing repair, maintenance and refurbishment programmes.
By demonstrating “best practice” for procurement, supply chain management etc, an ALMO can obtain increased Government funding unavailable to Local Authorities operating traditional systems. |
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| Strategic Alliance |
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| A Strategic Alliance is a general procurement partnership, whereby each organization gains mutual benefit through consolidation of material supply. A joint approach to procurement issues such as: pricing, stock holding, & e-commerce is taken typically within an informal partnering agreement. |
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| Private Finance Initiative (PFI) |
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PFI is a means to fund large-scale Public Building Projects such as Hospitals, Schools, Prisons & Roads. A private consortium, usually consisting of large construction companies is contracted to design & build a new project & subsequently manage & maintain the building, typically over a 30-year period.
The project is financed & owned by the private consortia & is then leased by the relevant public authority with payments being made throughout the contract period. The value of payment is dependant upon the consortia achieving agreed performance targets during the project life. |
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| Ministry of Defence Prime Contract |
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A Prime Contract is whereby a single Contractor has overall responsibility for the management & delivery of a project. This will include coordinating & integrating all stakeholders such as: client, architect, suppliers & sub-contractors within the supply chain in order to complete the project.
Principles within Prime Contracts are similar to those advocated by Egan & focus on: continuous improvement, whole life costing & supply chain management.
Housing PFI – Central government provides financial support for partnerships between the public and private sectors. These projects will deliver the refurbishment of existing social housing together with the provision of associated services, such as repairs and maintenance, estate security and rent collection. In return the private sector ‘operator’ will have a contract for 30 years, over the first 3-5 years refurbishment will happen and payment linked to its performance to agreed standards of provision. The funding for these projects is given by central government in the form of what are known as PFI “credits”. PFI is basically just a different way of purchasing, with the local authority doing the buying as it does at present. |
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| National Health Service Procure 21 (P21) |
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P21 is the procurement method selected by NHS to provide a better quality of healthcare buildings by implementing Egan principles with partner contractors. A P21 trial in the West Midlands & North West of England is to achieve national rollout & will cover all publicly funded projects over £1 million & all PFI schemes between £1 million & £20 million.
The key areas within the P21 Framework are: improving quality of design, enabling NHS to be a better client, benchmarking to improve performance & introducing partnering within capital schemes. |
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