Area 3 Costs (U03A991) FoIA7

Kier Highways Ltd (Kier) operate in Area 3 and charge Third Parties using their national process of compiling costs.  These charges are substantially more than Kier charge Highways England, their client yet HE’s General Counsel states that the fees are the same!

Tim Reardon emailed that in 12/2015, Kier charged Highways England:

  • £70.32 / hr for an AIW
  • £35.53 / hr for an AIW vehicle

The above, totaling, £105.85 / hour, is false. An FoIA request that it took Highways England over a year to address revealed that they actually paid £53.47 for an AIW + vehicle.  To this was added a 7.38% uplift.

The rates charged can be seen below on a document it has taken us over 6 months to obtain using the Freedom of Information Act 2000.  The rates have been placed in a clear format at the foot of this page.

The charges (above) for staff are as follows:

‘fee’ uplift hourly rate
Incident 28/04/2015 U03A991 hourly rate 6.50% total
Supervisor £20.65 £1.34 £21.99
CDM C £30.47 £1.98 £32.45
Cost Clerk £15.80 £1.03 £16.83
Asset Delivery Manager £42.21 £2.74 £44.95
DCP Technical Assistant £15.80 £1.03 £16.83
TM Programmer £24.96 £1.62 £26.58
Network Steward (Inspection Manager) £41.57 £2.70 £44.27
DCP Manager £42.21 £2.74 £44.95
Assistant Network Manager £41.57 £2.70 £44.27
Delivery Manager £32.59 £2.12 £34.71
Cost Clerk £15.80 £1.03 £16.83
DCP Technical Assistant £15.80 £1.03 £16.83
Fleet and Plant Manager – Silver Command £41.57 £2.70 £44.27
DCP Technical Assistant £15.80 £1.03 £16.83
Operations Manager £42.21 £2.74 £44.95
Supervisor and Administrator £41.57 £2.70 £44.27
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
Operative and Storeman £27.67 £1.80 £29.47
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
Area Manager £42.21 £2.74 £44.95
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
NCC operator £41.57 £2.70 £44.27
NCC operator £17.83 £1.16 £18.99
General Operative £20.65 £1.34 £21.99
Ganger £21.09 £1.37 £22.46
General Operative £20.65 £1.34 £21.99
Charge Hand £29.50 £1.92 £31.42
Asset Incident Watchman £50.71 £3.30 £54.01
General Operative £20.65 £1.34 £21.99
VRS Supervisor £41.57 £2.70 £44.27
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
Assistant Asset Incident Watchman £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
General Operative £20.65 £1.34 £21.99
Assistant Asset Incident Watchman £20.65 £1.34 £21.99
Ganger £21.09 £1.37 £22.46
Ganger £21.09 £1.37 £22.46
General Operative £20.65 £1.34 £21.99
NCC operator £17.83 £1.16 £18.99
Asset Incident Watchman £50.71 £3.30 £54.01

Note:

In Area 3, Kier Highways use a ‘Cost breakdown Document’ to present claim figures to Highways England.  This is the process used to bill Third Parties – therefore, it appears ensuring cost and presentation should be straightforward to Kier however:

differing rates are used – there is no consistent (same to HE & TP) ‘defined costs’

the rates are not broken down and displayed as ‘defined costs’ and ‘fee’ uplift i.e. columns are removed

It appears the process, when billing Third Parties, is designed to ensure the demand cannot be compared easily with an above threshold matter and the ‘Defined Cost ‘ process is kept secret.

Following an FoIA request, in 05/2018 rates to Highways England were released as was the TP Claims Overhead:

The cost of an AIW (above) includes their vehicle.

Kier Highways claim to comply with Appendix A to Annex 23 of the contract in Area 3 i.e.

Defined Cost (£) + TPCO (%) = maximum charge to a Third Party

The TPCO is understood to be 20.58%.  The process is NOT complied with. As evidence of this, we received and compared the claim with another in Area 3 (our reference W01A244) – CBD: 150429 Area 3 CBD W01A244

 


The timeline to obtain the above information can be found here