URA to Assist Housing Estates in Engaging New Consultant for Maintenance Works
Consultant company Will Power Architects Company Limited (Will Power) is currently under investigation by law enforcement agencies. It is highly likely that the company will be unable to continue its duties as a consultant for major repair works, or perform its statutory role of supervision under the Buildings Ordinance.
According to available information, Will Power has been engaged as the consultant for approximately 40 building major repair projects where works have commenced. The Owners’ Corporations (OCs) and individual owners of these buildings may require support to continue with the repair works.
The Urban Renewal Authority (URA) and the Government are preparing an enhanced version of "Smart Tender", which aims to provide strengthened support to owners in the procurement of consultants and works contractors for major building repairs. As substantial preparatory work is required, the target is to launch the enhanced scheme in the fourth quarter of this year.
As the repair works have already commenced in these cases, it is necessary to ascertain the value of works completed and the status of payments, as well as to prepare tender documents for the appointment of replacement repair works consultants. Accordingly, the URA will provide transitional support for these cases by assisting OCs in the engagement of an Independent Reviewer (IR) to conduct third-party assessments and prepare tender documents within a short timeframe, with a view to facilitating the timely procurement of new repair works consultants upon the launch of the enhanced ‘Smart Tender’ scheme.
The URA will carry out the procurement of the IR service on behalf of the relevant OCs/owners. The IR’s scope of service will include: (i) conducting site inspection to assess works completed by contractors, the payment status and contractual positions to avoid potential claims and legal disputes; and (ii) preparing tender documents with adequate information to facilitate the invitation of tenders for the replacement repair works consultants.
The above arrangement is transitional in nature. Potential consultancy companies will require full understanding of the site and contractual status before submitting a tender for a replacement repair works consultancy. The engagement of an IR will enable focused and timely support for the appointment of a replacement consultants.
Out of all the known cases that have engaged Will Power and commenced the repair works, 37 are either building rehabilitation subsidy schemes or smart tender service cases handled by the URA. The URA will fully subsidise these 37 buildings by covering for the fees for IR service and the costs for its procurement. In other words, these buildings will receive IR services free of charge as a form of special support provided by the URA. For the remaining cases which are neither subsidy applicant nor smart tender service subscriber, the URA may consider providing technical support to to the relevant OCs/owners to engage an IR on a fee-paying basis.
The URA will reach out to all estates known to have engaged Will Power and commenced repair works to ascertain whether assistance is required in engaging an IR. Where an OC decides to accept the URA’s assistance, the URA will enter into a service agreement with the OC authorising the URA to undertake the engagement of the IR on its behalf, including tendering, tender assessment, and recommendation of a suitable IR. In accordance with the Building Management Ordinance, the OC is required to convene an owners’ meeting to pass a resolution for the appointment of the IR, following which the OC shall enter into a service contract with the IR.
In view of the urgency surrounding On Kay Court in Ngau Tau Kok, the URA has initiated the tender for an IR on behalf of the OC. The tender submission period will be closed tomorrow (10 June), and the URA will expedite the assessment process to ensure the appointed IR can assume its duties at the earliest opportunity.
Affected OCs and owners with enquiries regarding the engagement of an IR are encouraged to contact the URA hotline at 3188 1188 for assistance.
(ENDS)