TRANSPORT CAPITAL PROGRAMME 2003/04 (AND 2002/03) PROGRESS REPORT AND PROGRAMME DETAILS AND DRAFT TRANSPORT CAPITAL PROGRAMME 2004/05 AND 2005/06 FOR CONSULTATION

1. The final Transport Capital Programme for 2002/03 was approved on 24 June 2003. The Transport Capital spending accounts for this period have been completed and the County Council has fully used its Local Transport Plan (LTP) credit approval allocation of £32.07 million on integrated transport (£19.50 million), Light Rapid Transit (£1.13 million) and highways maintenance and bridges (£11.44 million). There was also expenditure of £2.8 million of developers' contributions and £12.9 million of local (Hampshire County Council) resources, the latter mostly on highways maintenance and bridges.

2. The spending plan for 2003/04 reflects the £14.4 million from the LTP settlement for integrated transport in 2003/04 with £1.5 million of local resources brought forward from 2002/03. The plan also includes committed expenditure on stage 2a, plus some preparation costs on the A3 Bus Priority Corridor. A decision in respect of the County Council's major scheme bid for the A3 is still awaited from the Department for Transport (DfT). A number of other additional pressures on resources had been identified and it was therefore felt prudent, at this time, to make some amendments to the programme that was approved in January 2003. Forecasts indicate that spending will need to be carefully controlled in order to keep within budget limits for what is a very full programme of works. The situation will be closely monitored and it is proposed that a report reviewing the situation be submitted in the autumn or earlier, if an adverse funding decision on the A3 corridor as a major scheme is received.

3. Also approved on 24 June were the indicative programmes for the integrated transport Capital Programmes for 2004/05 and 2005/06. For planning purposes a `new starts' programme will be prepared, set at a level of £12 million of LTP funding for 2004/05 and £13 million for 2005/06. At this stage, it must be emphasised that the preliminary expectations for 2004/05 cannot be finalised until the settlement letter from the DfT is received in December 2003. After this the County Council will propose a firm programme for 2004/05 and will update expectations for 2005/06.

4. The indicative programmes will form the basis of consultation to consider priorities with the Environment Policy Review Committee and Area Transportation Panels. Additionally the programmes will be included in the Annual Progress Report (APR) on the LTP which is required to be submitted to the DfT by 31 July. It is worth noting that following the `excellent' status awarded to the County Council following the Government's first Comprehensive Performance Assessment last year, the Council is exempt from the APR and LTP processes. However, it is proposed that an APR is still submitted in order that the DfT can assess performance and award resources on the basis of that assessment.

5. Copies of the full reports can be found on the County Council's website and a hard copy is available in the Members' Rooms. Additional hard copies are available upon request from the Democratic Services Department, Chief Executive's Department.

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