Norway - Construction work for school buildings - Intention notice - planned contract amendment for Sakshaug school

Contract: Development and renovation of Sakshaug school Supplier: FuglesangDahl AS 1. Purpose of the notice Inderøy municipality hereby announces its intention to enter into an agreement for a change of existing contract with FuglesangDahl AS regarding the development and renovation of Sakshaug school. The original contract was signed 17 February 2026 after a competition announced 4 December 2025. The original contract value, including options, amounts to NOK 96,715,520 excluding VAT. The notice will be published in order to ensure transparency around the planned contract amendment and in accordance with the recommendation in the legal assessment that the municipality has obtained. 2. Background for the change in contract The contract is for the development and renovation of Sakshaug school. After the demolition and renovation work has started, extensive humidity and rot damage has been uncovered, as well as a significantly poorer technical condition in parts of the existing buildings than was assumed by the execution of the competition. The conditions are largely uncovered in hidden constructions after the work was started. Based on the uncovered conditions, the municipality has assessed that further renovation of the building part in question is not the most appropriate or justifiable system. The municipality has therefore decided to replace the planned renovation with demolition and construction of a new extension that safeguards the same functional needs that were the basis for the original procurement. The change applies to the same project, location and same purpose as the original contract. 3. Description of the contract amendment. The planned change means that the work connected to the renovation of the relevant part of the school building expires and is replaced with a demolition and the construction of a new building integrated in the ongoing school project. The value of the contract amendment is calculated to: NOK 39,003,000 excluding VAT. This amounts to approx. 40.3% of the original contract value, including options for NOK 96,715,520 excluding VAT, and is thus within the limit of 50% according to the public procurement regulations § 28-1. 4. Legal basis Inderøy municipality considers that the contract amendment can be implemented pursuant to the Public Procurement Regulations (FOA) § 28-1 first section, letters c and d. The municipality has obtained a legal assessment from Tor Kristian Lånke of Arntzen Grette. Note dated 10 September 2026 concluded that there are good reasons to consider the new building a necessary additional delivery, and that the need for the change is due to conditions as a act that the contracting authority could not predict at the time of the competition. Furthermore, consideration is being made that the procurement ́s overall character is not changed and that the terms for a contract amendment without a new competition are therefore likely met. The municipality particularly places emphasis on the following conditions: • Comprehensive humidity, rot and construction damage has been uncovered, which was first known after the work started. • The municipality carried out reviews and condition assessments before the competition, with assistance from external consultants. The conditions that have now been uncovered were largely in hidden constructions. • The new building will take care of the same function and need that the renovation part was originally supposed to cover. • The work is included in an ongoing project with considerable technical and functional dependencies between new and existing building parts, including ventilation, HVAC, electro, automation and control systems. • A supplier change will lead to considerable technical challenges, complicated interface, delays and considerable additional costs. • The overall character of the procurement is not changed, as the project ́s purpose, function and location are the same as in the original contract. • Considerable costs when terminating and publishing a new competition: The municipality considers it is not practically possible to publish a tender contest for only the relevant building part. The real alternative would therefore be to terminate the existing contract and execute a new combined competition. The termination costs are estimated to approx. NOK 17 million, in addition to costs connected to new competition implementation, engineering design, delays and risk of increased contract costs. The project has already come a long way in its implementation, with, among other things, the completed ring wall and ordered construction elements, which further reinforces the economic consequences of a termination. At the same time, with this, it is challenging to create a new competition where contractors have similar information access. The municipality has also assessed that delays in the project can result in considerable ongoing additional costs connected to the contractor's organisation and progress. In total we are talking about costs of about 30 million. Based on this, the municipality ́s assessment is that the contract amendment can be implemented without a new competition in accordance with PPR § 28-1 first section, letter c and d.