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Building (April 27) reports that, faced with flagging enthusiasm for private finance initiatives (PFI), a Bristol hospital is trying to pique the interest of bidders by offering to pay some of their costs.
The £347 million scheme involves two hospitals with 947 beds and is expected to go out to tender in two or three weeks’ time. The firms that finish second or third on the bidding shortlist are likely to be reimbursed for some of their bid costs.
David Powell, the director of capital projects at the North Bristol NHS Trust, says the reimbursement proposals are something they are “seriously considering”. One option includes giving the third-placed bidder a smaller sum than the second, and another option is to compensate only the second placed firm.
The move follows previous problems in finding bidders for PFI hospitals. A £350 million scheme at Whipps Cross in North London had only one bidder, and in Plymouth the bidding process for a £340 million hospital was scrapped after two of the three bidders pulled out.
And if money doesn’t work, how about a bit of gentle persuasion? In a separate story, Building reports that the Olympic Delivery Authority (ODA) is telephoning several UK contractors to try to persuade them to bid for the 2012 aquatics centre.
A lack of interest in the Zaha Hadid-designed centre has prompted the ODA to approach firms, including Balfour Beatty and HBG, the journal says. Deadlines are also becoming elastic. The deadline for the submission of prequalification questionnaires has already been extended and a source tells Building that companies have been told that they will be granted extra time if they are willing to bid.
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