Project Cost Escalation from Delays

It is critical that a health board formulates and then presents its requirements for the key building systems in a proposed healthcare facility (its "brief") in terms which are full, clear, and unambiguous, and that that brief is finalised before a contract is signed and Financial Close is achieved. While development of the design can be carried over...

Scottish Ministers should review public inquiries to find cost-effective methods of avoiding establishment delays, potentially creating a dedicated unit within the Scottish Courts and Tribunals Service and publishing updated guidance.

Project promoters should appoint procurement and project managers with qualified, experienced permanent employees who have successfully delivered similar projects on time and within budget.

Accordingly, in situations where the funding model or procurement route changes mid project, a risk assessment should be conducted to assess whether work done on the project up to that point is suitable for the revised project. The rationale for decisions taken in this regard should be formally recorded. The party carrying out the risk assessment should be...

Scottish Government should ensure that where any uncertainty over the future of any hospital or service exists, resolution of the uncertainty is not delayed any longer than is essential.

Following designer appointment, continuous engagement with promoters, owners, project managers, planning authorities, utility companies, and affected landowners should clarify design criteria, with local planning authorities producing detailed design guidelines beforehand and collaborative resolution of design issues throughout.

Scottish Ministers and local authorities funding light rail should protect public funds through: conditional grant payments with review hold points; critical review and approval of Business Cases and contracts; involvement in project delivery; and requiring local authority compliance with Transport Scotland procedures.

Scottish Ministers should establish a joint working group with Convention of Scottish Local Authorities representatives to leverage Transport Scotland's project management experience and expertise for light rail projects.

Light rail procurement strategies must adequately address utility location uncertainties, requiring route exposure and clearance well before construction, specifying elapsed time between clearance and commencement, considering route length and past UK experience.

While acknowledging utility diversion approaches, promoters should demonstrate adequate risk management proposals without prescriptive requirements regarding MUDFA versus bow wave methods.