After many months of delay, due mainly to
obtaining the necessary rail industry consents for the works, this
project has now reached the Delivery Phase and final approval is
now sought to appoint Network Rail (NWR) to undertake construction
of the new Tram Train station at Magna. The appointment of NWR will
be formalised with the signing of an Implementation Agreement (IA)
between SYMCA and NWR setting out the costs and timescales for
delivery and T&C’s of the appointment.
In February 2024 approval was granted to progress the project to
Implementation including the appointment of NWR for the Delivery
Phase to a budget ceiling of £6,859,649 [publicised as a Key
Decision]. Due to a number of reasons including confirmation on the
T&C’s of the IA, specifically in relation to the proposed
lease of the new station and delays associated with obtaining the
necessary railway consents required to implement the station the IA
remains unsigned. However, all outstanding issues have now been
resolved and a revised draft IA has been agreed in principle
between NWR and SYMCA that is ready for signature.
Unfortunately, with the passage of time costs have increased and
NWR’s estimated costs for the Delivery Phase have since risen
to £7,074,541 an increase of £214,892.
The increase in estimated Network Rail costs can be attributed
to:
• Increase in AMCO (Principal Works Contractor) contract
price, driven by inflation.
• Increase in design costs for design management and temporary
works.
• The increased AMCO price has in turn increased the values
for the Network Rail and Industry Risk fees as these are calculated
using a ready reckoner that takes the contractor costs into
account.
To avoid any further delays/additional costs and keep to the
revised delivery programme NWR are seeking to enter into contract
with AMCO, their nominated Contractor, by 31st January 2025. NWR
cannot proceed in this regard until the Implementation Agreement
has been signed by both SYMCA and NWR.
Approval is now sought to increase the value of NWR’s
appointment under the IA to £7,074,541
Subject to agreement of this additional approval it is planned to
make a start on site February 2025 (site establishment) with
forecast completion and entry into service November 2025.
Decision type: Non-key
Decision status: Recommendations Approved
Notice of proposed decision first published: 30/01/2025
Decision due: 30 Jan 2025 by Executive Director of Transport
Contact: Melanie Corcoran, Executive Director of Transport Email: melanie.corcoran@southyorkshire-ca.gov.uk.