Archived decisions

Agenda Item 8

Report to the

Transport for South Hampshire Joint Committee

Date: 30 September 2009

Report by: Jon Pittam, County Treasurer, Hampshire County Council; Keith Willcox, Project Director, Transport for South Hampshire

tel: 01962 846931 email: [email protected]

Subject: Transport for South Hampshire Budget Monitoring Report 2009/10

Purpose of the Report

The purpose of this report is to inform the Transport for South Hampshire (TfSH) Joint Committee of the current budget outturn for the year 2009/10.

Recommendations

It is recommended that the Joint Committee:

1. Notes the current forecast outturn for revenue and capital budgets for the 2009/10 financial year.

2. Agrees the adjusted revenue budget after securing additional funding from the Highways Agency of £50,000 and from the South East England Partnership Board of £350,000.

Introduction

1. This report summarises the latest budget monitoring position for the 2009/10 revenue and capital controlled budgets for TfSH. Figures shown reflect input from budget holders arising from the budget monitoring review carried out during August 2009.

2. The report also includes an overview of schemes that TfSH hold a strategic interest in but lie within the Lead Authority's capital programme.

Funding

3. Table 1 below shows TfSH funding for 2009/10. As additional sources of funding are identified during the year the make up of the budget allocations will need revising. At the time of writing this report additional funding of £50,000 has been secured from the Highways Agency as a contribution towards the Evidence Base.

Table 1

Revenue Funding 2009/10	£'000
Core partner contributions	500
Balance b/f from previous year	134
PUSH New Growth Point	250
Highways Agency	50
South East England Partnership Board (SEEPB)	350
Total Revenue Funding	1,284
Capital Funding 2009/10
Balance b/f from previous year	700
PUSH New Growth Point	2,514
Total Capital Funding	3,214

Revenue Budget 2009/10

4. Table 2 below shows the adjusted TfSH revenue budget as agreed by the Joint Committee on 30 June 2009, including the additional contribution from the Highways Agency, together with the spend as at August 2009 and estimated outturn for the year.

Table 2

Budget Heading	Budget £'000	Actual Spend £'000	Forecast Outturn £'000	Variation £'000
Wider Bus Rapid Transit studies	100	3	100	0
Eastern access to Southampton	100	0	100	0
Strategic Development Area (SDA) study - Hedge End	100	0	100	0
SDA study - Fareham	100	0	100	0
Strategy - Refresh	50	0	50	0
Strategy - Reduce	50	0	50	0
Strategy - Manage	50	0	50	0
Access to Gosport	50	0	50	0
Developing the Evidence Base	223	13	223	0
Delivering a Sustainable Transport Study	350	0	350	0
Office Support/Finance/Audit etc	50	2	50	0
Contingency	61	0	61	0
Total	1,284	18	1,284	0

5. Although actual expenditure for the year to date is low, significant commitments have been made against the budget headings listed above and the overall position shows the forecast outturn to be on budget.

Capital Budget 2009/10

7. Table 3 below shows the TfSH capital budget for 2009/10 as agreed by the Joint Committee on 30 June 2009, together with the estimated outturn for the year.

Table 3

Budget Heading	Lead Authority	Budget	Actual Spend £000	Forecast Outturn £'000	Variation £'000
M27 Junction 5 Improvement	Hampshire County Council	1,914	131	1,914	0
Access to Strategic Sites	Hampshire County Council	700	0	700	0
Tipner - Design and Construction of M275 Slip Road	Portsmouth City Council	600	400	600	0
Total		3,214	531	3,214	0

8. Spend on TfSH capital schemes is expected to be on budget for 2009/10. Studies associated with Access to Strategic are starting in the Autumn and the anticipated outcome of this work is covered by a separate item in the agenda.

Related Scheme overview

9. TfSH holds a strategic interest in a number of other schemes which are managed by lead authorities. The table below gives an overview of the main schemes.

M27 Junction 5

10. The Secretary of State for Transport has signed a Section 6 Agreement to allow works on Highways Agency land for Phases 1 and 2. Tenders have now been invited for clearance and widening works on the west bound off-slip (Phase 1) with a planned contract start in October 2009 and completion end of March 2010.

BRT

11. Planning Permission was granted on 31 July 2009 so the project can now move forward. Whilst this Consent relates to the construction of the busway on the disused railway corridor from Redlands Lane in Fareham, south to Military Road in Gosport, it is only intended to construct as far as Tichborne Way at this time.

12. Main contractor BAM Nuttall started ground works in early August 2009, comprising environmental mitigation works, ongoing general site clearance and track removal. Following an injunction being served on the County Council by a third party environmental safe guarding works have been temporarily halted.

Tipner

13. The construction of a new junction on the M275 together with land remediation and associated infrastructure works forms part of an overall development of a 22 hectare brown field site at Tipner.  This site, just south of Lake Bridge, is home to a scrap yard, a variety of run down and disused industrial buildings, waste land and an aging greyhound stadium.  Many of the buildings and facilities are in a poor condition so that the overall appearance is one of dereliction, which severely detracts from the first visual experiences of Portsmouth.

14. The Tipner site has been a difficult site to regenerate.  Many partners have tried before but with no success.  Portsmouth City Council is now in partnership with the main land owners: these are South East England Development Agency (SEEDA) and Tipner Regeneration Company (TRC).  Between them, the three parties now own virtually all the land.

15. The comprehensive regeneration of Tipner will lead to:

(i) 1600 residential units in a variety of types and densities: (These include affordable housing, which will make a substantial contribution to meeting the target housing numbers for South Hampshire under the South East Regional Plan);

(ii) 1800 space Park and Ride facility;

(iii) 25,000 square metres of employment space (Which would create 1,500 employment opportunities);

(iv) hotel

(v) residential tower;

(vi) waterside public open space;

(vii) new motorway junction.

16. In 2008, Portsmouth City Council started the process of application for funding through the Regional Transport Board's RFA Refresh process. This paved the way for the submission of a Major Scheme Business Case (MSBC) (ongoing) to seek funding of approximately £25 million for the construction of a new interchange on the M275 motorway. 

17. The City's focus is the delivery of the planning application (October 2009) and MSBC (December 2009) for a new junction on the M275 together with supporting evidence (transport assessment etc), followed by procurement and eventual start of construction in late 2010.

Conclusion

18. The first budget monitoring review of the year shows both revenue and capital budgets to be on target. As additional funding streams are identified during the year the budget will be revised accordingly.

2155Rpt/965/TN