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An open evening
                                          for the
Edinburgh Residents for Statutory Notice Reform
                                Facebook group

                              7th December 2011
Introductions
Gordon Murdie
             MD, Quantus QS
    BBC Scotland Investigates
“Scotland’s Property Scandal”
                   Expert QS
Meeting with Peter Long; interim manager
                                                          Property and Conservation




                        Building bridges or a bridge too far?


                               And now a swift reminder of the management services


“A Checkpoint Group of external stakeholders specifically tasked with advising the
Council on the development of the service model”
The highest of standards are clearly set down – this is
what you are entitled to for 15% of the project cost




         ---------   1. Foreword
The highest of standards are clearly set down – this is what
you are entitled to for 15% of the project cost


                    “MANAGEMENT AND PROCEDURES”
The highest of standards are clearly set down – this is what
you are entitled to for 15% of the project cost


                    “MANAGEMENT AND PROCEDURES”
The highest of standards are clearly set down – this is what
                               you are entitled to for 15% of the project cost


                                                   “MANAGEMENT AND PROCEDURES”




Fundamental services include
The highest of standards are clearly set down – this is what
       you are entitled to for 15% of the project cost


                           “MANAGEMENT AND PROCEDURES”


Also

                                       The initial site survey
                                       should therefore define
                                       the extent of the work


                                       Of course undermeasurement
                                       of required works is
                                       “problematic” – it is also
                                       wrong


                                       Another spelling error apart,
                                       of course this is a requirement
The highest of standards are clearly set down – this is what
                                  you are entitled to for 15% of the project cost


                                                      “MANAGEMENT AND PROCEDURES”


And there’s more .....




“The only works legally allowed to be carried out are those noted on the statutory notice”

 If more work is “necessary” then it is to be included in the TENDER –
 not months or years later
The highest of standards are clearly set down – this is what
                                  you are entitled to for 15% of the project cost


                                                      “MANAGEMENT AND PROCEDURES”
          And then there is the all important issue of   costs.

Is it that owners are to be
NOTIFIED AND INFORMED
ABOUT COST INCREASES?


Or kept in the dark until it is
too late?

What happened to proper
professional cost control and
cost reporting –
homeowners are paying a
15% fee for this service.
Case Study
    MAY 2008
                               AUGUST 2008
                                                              OCTOBER 2008
Contractor appointed
Project Cost                  In process of confirming a
                              likely cost for the completed   Cost projection of final cost is
£59,077.37                                                    completed. Now “In the
                              works
                                                              region of £60,000”


  NOVEMBER 2008
                                     DECEMBER 2008                          MAY 2009
                                                                     Oh dear – Seems the plan is
  “ No further cost updates          The works are completed.        to put a scaffold up after the
  since our October 2008                                             works are completed to
  newsletter”                                                        render a chimney???. This is
                                                                     to cost (including more
                                                                     scaffolding) £6,000



            NOVEMBER 2011                                                 NOVEMBER 2011

            Final Invoice – at worst                                    The total bill hits
            £66,000                                                     £107,000
This case study is the subject of a
                                                       formal complaint
 CEC get back from
the shop and they
have spent £350 of
 my money. They
want paid but won’t
 let me see the till
      receipt
                          120000
                          100000
                          80000
CEC phone from the
 shops and reassure       60000
me that the grocery
bill is indeed as close   40000
 to £200 as doesn’t
                          20000
  matter. All is well.
                               0
                                   Quotation   Projected      FINAL
                                               Final Cost   ACCOUNT
 CEC have inspected
the fridge and larder.
  Apparently I need
   £200 worth of
groceries and they’ll
  get them for me.
Case Study
   My Clients have good reason to query why their
   bill escalated . Obviously the construction
   industry is a bit more complex than a
   supermarket but simple sums apply to both.                      How easy is it to produce a till receipt for the
                                                                      project (or Final Account as we call it) for
                                                                  comparison with the original costed shopping
                                                                          list (or accepted tender) as we call it.
   CEC have invoiced my clients. They believe their
   invoice to be correct. CEC, send to me or let me
   see your substantiation & soon. My clients are
   rightly concerned about the escalated bill so let’s
   see how much they are being charged for a
   quoin, rybat, bit of lead or tin of beans.

And that’s not all. Whilst CEC are digging out their copies of the tender and Final Account, they should also think about:-




                                                         And, how appalling is this? ..............
Why have the owners suffered consequential damage due to builders rubble blocking
downpipes with subsequent freezing, cracking and (long reported) water ingress to two
properties with resultant timber damage and ceilings coming down

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St Peter's meeting 6th Dec 2011

  • 1. An open evening for the Edinburgh Residents for Statutory Notice Reform Facebook group 7th December 2011
  • 3. Gordon Murdie MD, Quantus QS BBC Scotland Investigates “Scotland’s Property Scandal” Expert QS
  • 4.
  • 5. Meeting with Peter Long; interim manager Property and Conservation Building bridges or a bridge too far? And now a swift reminder of the management services “A Checkpoint Group of external stakeholders specifically tasked with advising the Council on the development of the service model”
  • 6. The highest of standards are clearly set down – this is what you are entitled to for 15% of the project cost --------- 1. Foreword
  • 7. The highest of standards are clearly set down – this is what you are entitled to for 15% of the project cost “MANAGEMENT AND PROCEDURES”
  • 8. The highest of standards are clearly set down – this is what you are entitled to for 15% of the project cost “MANAGEMENT AND PROCEDURES”
  • 9. The highest of standards are clearly set down – this is what you are entitled to for 15% of the project cost “MANAGEMENT AND PROCEDURES” Fundamental services include
  • 10. The highest of standards are clearly set down – this is what you are entitled to for 15% of the project cost “MANAGEMENT AND PROCEDURES” Also The initial site survey should therefore define the extent of the work Of course undermeasurement of required works is “problematic” – it is also wrong Another spelling error apart, of course this is a requirement
  • 11. The highest of standards are clearly set down – this is what you are entitled to for 15% of the project cost “MANAGEMENT AND PROCEDURES” And there’s more ..... “The only works legally allowed to be carried out are those noted on the statutory notice” If more work is “necessary” then it is to be included in the TENDER – not months or years later
  • 12. The highest of standards are clearly set down – this is what you are entitled to for 15% of the project cost “MANAGEMENT AND PROCEDURES” And then there is the all important issue of costs. Is it that owners are to be NOTIFIED AND INFORMED ABOUT COST INCREASES? Or kept in the dark until it is too late? What happened to proper professional cost control and cost reporting – homeowners are paying a 15% fee for this service.
  • 13. Case Study MAY 2008 AUGUST 2008 OCTOBER 2008 Contractor appointed Project Cost In process of confirming a likely cost for the completed Cost projection of final cost is £59,077.37 completed. Now “In the works region of £60,000” NOVEMBER 2008 DECEMBER 2008 MAY 2009 Oh dear – Seems the plan is “ No further cost updates The works are completed. to put a scaffold up after the since our October 2008 works are completed to newsletter” render a chimney???. This is to cost (including more scaffolding) £6,000 NOVEMBER 2011 NOVEMBER 2011 Final Invoice – at worst The total bill hits £66,000 £107,000
  • 14. This case study is the subject of a formal complaint CEC get back from the shop and they have spent £350 of my money. They want paid but won’t let me see the till receipt 120000 100000 80000 CEC phone from the shops and reassure 60000 me that the grocery bill is indeed as close 40000 to £200 as doesn’t 20000 matter. All is well. 0 Quotation Projected FINAL Final Cost ACCOUNT CEC have inspected the fridge and larder. Apparently I need £200 worth of groceries and they’ll get them for me.
  • 15. Case Study My Clients have good reason to query why their bill escalated . Obviously the construction industry is a bit more complex than a supermarket but simple sums apply to both. How easy is it to produce a till receipt for the project (or Final Account as we call it) for comparison with the original costed shopping list (or accepted tender) as we call it. CEC have invoiced my clients. They believe their invoice to be correct. CEC, send to me or let me see your substantiation & soon. My clients are rightly concerned about the escalated bill so let’s see how much they are being charged for a quoin, rybat, bit of lead or tin of beans. And that’s not all. Whilst CEC are digging out their copies of the tender and Final Account, they should also think about:- And, how appalling is this? ..............
  • 16. Why have the owners suffered consequential damage due to builders rubble blocking downpipes with subsequent freezing, cracking and (long reported) water ingress to two properties with resultant timber damage and ceilings coming down