Agenda Item No. 6

 

The Vale of Glamorgan Council

 

Corporate Performance and Resources Scrutiny Committee: 19th October 2017

 

Report of the Managing Director

 

Capital Monitoring Report for the Period 1st April 2017 to 31st  August 2017

 

Purpose of the Report

  1. To advise Scrutiny Committee of the progress on the 2017/18 Capital Programme for the period 1st April 2017 to 31st August 2017.

Recommendations

It is recommended :-

  1. That Scrutiny Committee note the progress made on the 2017/18 Capital Programme.
  2. That Scrutiny Committee note the use of Delegated Authority to:
  • Vire £15k from Cogan Primary School Boiler Renewal scheme to the Sully Primary School Boiler Renewal Scheme.
  • Vire £25k to Holton Primary Electrical Rewire Phase 1, £20k has been vired from the Albert Primary Drainage Renewal scheme and £5k from the Dinas Powys Primary Drainage Renewal Scheme.
  • Vire £73k from Barry Regeneration Partnership Project Fund to:-

Holton Road Grant Programme £32k

Cemetery Approach £7k

Colcot 3G Pitches £5k

Harbour Road Car Park Cycleway Scheme (Phase 5) £2k

Barry Island Western Shelter Lighting £2k

Barry Town Centre Gateway Regeneration £25k

And to classify £19k as revenue.

  1. That Scrutiny Committee note the use of Emergency Powers to:
  • Approve the inclusion of a £105k Welsh Government Small Scale Works Grant to the Flood Risk Management budget
  • Approve the inclusion of a £149k Welsh Government Grant for ENABLE - Support for Independent Living 2017/18.
  • Approve the inclusion of £60k s106 monies into the High Street/Broad Street Traffic Management scheme budget.
  • Approve the inclusion of a £30k Natural Resources Wales Grant for Rights of Way Improvement Plans.
  • Approve the inclusion of £80k for Coastal Access Improvement Programme to be funded by £69k grant from Natural Resources Wales and £11k match funding from the countryside revenue budget.
  • Vire £65k from Castleland Renewal Area to the Tackling Poverty scheme.
  1. That Scrutiny Committee note the following changes to the 2017/18 Capital Programme:-
  • Barry Comprehensive School Internal and External Refurbishment Works - Reduce this budget by £350k.
  • Oakfield Playing Fields - Vire £63k from this scheme to the Education Asset Renewal Contingency scheme.
  • St Richard Gwyn R/C Comprehensive High Window Renewal Phase 1 - Increase this budget by £33k to be funded by a contribution from the school.
  • St Andrews Major CIW Primary Fencing - Reduce this budget by £46k.
  • Eagleswell Demolition - Vire £118k to Education Contingency Budget.
  • Education Asset Renewal Contingency - Reduce this budget by £150k
  • 91 Salisbury Road Boiler Renewal - Increase this budget by £3k to be funded from a Social Services revenue contribution.
  • Residential Homes Refurbishment - Vire £10k from the Residential Homes, Internal Refurbishment scheme to this scheme.
  • Parks and Grounds Maintenance Asset Renewal - Increase this budget by £9k to be funded from s106 monies.
  • Romilly Mess Room - Vire £14k from Parks and Grounds Maintenance asset renewal to Romilly Mess Room.
  • Collaborative Change Programme Grant - Include a new budget of £75k to be funded by Welsh Government Grant.
  • Vale Enterprise Centre (VEC) - Increase this scheme by £26k, to be funded from the Regeneration Reserve.
  • Llandough Cycle Stands - Include a new scheme for £20k funded from s106 monies.
  • Causeway Improvement Scheme - Include a budget of £18k, to be funded from the Visible Services Reserve.
  • North Penarth Open Space Improvements - Increase this budget by £483k to be funded from s106 monies.
  • Fford Y Millenium Footway/Cycle Link - Include a new scheme for £20k funded from s106 monies.
  • Barry Regeneration Partnership - Vire £4k from Parks and Grounds Maintenance asset renewal to Barry Regeneration Partnership.
  • Dinas Powys Sustainable Transport Improvements - Include a new scheme for £70k funded from s106 monies.
  • St. Athan Sustainable Transport Improvements - Include a new scheme for £152k to be funded from s106 monies.
  • Badgers Brook Public Open Space Enhancement - Include a new scheme for £50k to be funded from s106 monies.
  • Fferm Goch Sustainable Transport Improvements - Include a new scheme for £70k to be funded from s106 monies.
  • Space Project Reduced Office Accommodation - Amalgamate the named scheme with the Civic Offices Rewire scheme and the Civic Offices Network Rewire scheme and to rename the scheme Civic Offices Rewire/Space Project Reduced Office Accommodation.
  • ICT Allocation - Reduce this budget by £25k.

Reasons for the Recommendations

  1. To advise Committee of the progress on the Capital Programme.
  2. To advise Committee of the use of Delegated Authority.
  3. To advise Committee of the use of Emergency Powers.
  4. To allow schemes to proceed in the current financial year.

Background

  1. Council on the 1st March 2017 minute no 863 approved the Capital Programme for 2017/18 onwards.

Relevant Issues and Options

  1. Appendix 1 details financial progress on the Capital Programme as at 31st August 2017.
  2. For all schemes where it is evident that the full year's budget will not be spent during the year, the relevant officers are required to provide an explanation for the shortfall and this shall be taken to the earliest available Cabinet.

Learning and Skills

  1. Cogan Primary School Boiler Renewal - A delegated authority request has been approved to vire £15k from this scheme to Sully Primary School Boiler Renewal scheme. Sully Primary School Boiler Renewal scheme included costs for the replacement of the hot water boiler in association with the heating boiler replacement. Cogan Primary School did not require a new hot water boiler.
  2. Holton Primary Electrical Rewire Phase 1 - A delegated authority request has been approved to vire £25k to the above scheme. £20k has been vired from the Albert Primary Drainage Renewal scheme and £5k from the Dinas Powys Primary Drainage Renewal Scheme. Following an analysis of the quotations returned it would appear that the strengthening economy and potentially fluctuations in the price of copper have increased costs for contractors and resulted in a higher quote than anticipated. Following the receipt of quotes for the drainage schemes, it was proposed that the additional funding required could be vired from these schemes while still retaining sufficient funds to complete the works.
  3. Barry Comprehensive School Internal and External Refurbishment Works - It was advised as part of the Closure of Accounts 2016/17 report that there is a reduced scope of works being implemented for this scheme following discussions with the school. It was also stated that the final use of the unused monies be reported to Cabinet. It has been requested that the budget for this scheme is reduced by £350k and that the funding is to remain within the School Investment Strategy Reserve. This funding will then be used to contribute towards the Council's 21st Century Band B Programme which will commence in 2019/20.
  4. Oakfield Playing Fields - Retention of £53k is left to pay in regard to the Oakfield scheme. The budget for this is held against the Ysgol Gwaun Y Nant/Oakfield scheme. It has been requested to vire £63k from this scheme to the Education Asset Renewal Contingency scheme.
  5. St Richard Gwyn R/C Comprehensive High Window Renewal Phase 1 - The school are contributing £33k towards the cost of additional windows. It has been requested that this budget is increased by £33k, to be funded by a contribution from the school.
  6. St Andrews Major CIW Primary Fencing - The £66k budget for this scheme was based on metal railings around the whole perimeter of the school. Due to a reduced amount of fencing required and also a different type of secure fencing being used only £20k is required for the scheme. It has been requested that this budget is reduced by £46k which will result in a higher balance being available in the Schools Rationalisation Reserve.
  7. Eagleswell Demolition - This scheme is complete and is underspent due to works costing less than originally anticipated. Tenders were very competitive and potential risks for which contingency sums were included did not materialise. It has been requested to vire £118k to Education Contingency Budget.
  8. Education Asset Renewal Contingency - This is an unallocated budget which Learning and Skills can request to use throughout the year if unforeseen schemes arise. If Education schemes underspend during the year, any unspent allocations can be transferred to this budget, as highlighted in the paragraphs above. The current budget is £203k before the request to vire £181k from other schemes as requested above. It is considered that following this virement, the budget should be reduced by £150k in 2017/18 and the funding be made available as a contribution towards the Council's 21st Century Band B Programme which will commence in 2019/20.

Social Services

  1. 91 Salisbury Road Boiler Renewal - The lowest compliant quotation was at a cost of £41k. This cost plus asbestos survey costs, Building Regulations costs and Project Management fees will require an overall budget of £48k. It has been requested to increase this budget by £3k to be funded from a Youth Offending Service revenue contribution.
  2. Residential Homes Refurbishment - It has been requested that the £10k budget for the Residential Homes, Internal Refurbishment scheme is amalgamated with the Residential Homes Refurbishment scheme in order to enable a more co-ordinated approach to the delivery of the works.

Environment & Housing

  1. Flood Risk Management - An emergency power was approved to increase this budget by £105k to be funded by a grant from Welsh Government. The grant is a Small Scale Works Grant and requires match funding of £18,547 which is already included in the Flood Risk Management budget. The works consist of three small scale flood alleviation schemes; Elfed Avenue - Culvert Relining, PLP Llanmaes and Windsor Road - Penarth.
  2. Parks and Grounds Maintenance Asset Renewal - S106 monies of £9k are available to contribute towards the cost of the installation of play equipment at Tre-Beferad and it has been requested that the budget for this scheme is increased accordingly.
  3. Romilly Mess Room - The base to this structure was originally intended to be reused, however upon the removal of the existing building the remaining base was found to be defective and not suitable to support the new structure. The cost of this work is anticipated to be £14k which will include remedial works to the garage base and replacement of the Mess room base. Within the Parks and Grounds Maintenance asset renewal budget, £50k has been allocated for the installation and upgrading of new play areas, quotations for this work have been returned and are less than originally anticipated. It has been requested to vire £14k from Parks and Grounds Maintenance asset renewal to Romilly Mess Room.
  4. Collaborative Change Programme Grant - A grant award of £75k has been approved by Welsh Government for the purchase of new technologies to increase performance and reduce fuel use and the carbon footprint. It has been requested that the 2017/18 Capital Programme is increased by £75k to be funded by Welsh Government Grant.

Managing Director and Resources

  1. Barry Regeneration Partnership Project Fund - A delegated authority has been approved to vire £73k from this scheme to:-

Holton Road Grant Programme £32k - to match forecast demand in the project pipeline for the year 17/18

Cemetery Approach £7k - Technical salaries

Colcot 3G Pitches £5k - Technical salaries

Harbour Road Car Park Cycleway Scheme (Phase 5) £2k - Technical salaries

Barry Island Western Shelter Lighting £2k - Technical salaries

Barry Town Centre Gateway Regeneration £25k - Technical salaries

The delegated authority also approves £19k from this scheme to be classified as revenue, this is made up of £14k for Project Management Unit and £5k for Holton Road Street Furniture Upgrade

  1. ENABLE Funding - An emergency power was approved to include a new budget of £149k in the 17/18 Capital Programme, to be funded from a Welsh Government Grant. This funding will be used for capital costs in relation to the delivery of adaptions under the Enhanced Adaptions Service, ENABLE - Support for Independent Living.
  2. High Street/Broad Street Traffic Management - An emergency power was approved to increase this budget by £60k to be funded from s106 monies. In July relevant Cabinet Members and Local Ward Members approved the use of £60k (recently received Section 106 sustainable transport contribution 2009/00946/OUT Barry Waterfront) to supplement the works being undertaken in the project area, such as improvements to pavements.
  3. Rights of Way Improvement Plan (ROWIP) Grant - An emergency power was approved to include £30k in the 2017/18 Capital Programme, to be funded by a grant from Natural Resources Wales. Projects are based on actions contained within the ROWIP and are listed within the emergency power.
  4. Coastal Access Improvement Programme (CAIP) - An emergency power was approved to include £80k in the 2017/18 Capital Programme, to be funded by £69k grant from Natural Resources Wales and £11k match funding from the countryside revenue budget. The CAIP is a scheme to increase public access to the coast of Wales for visitors and local people. Projects are listed within the emergency power.
  5. Castleland Renewal Area - An emergency power was approved to vire £65k to the Tackling Poverty scheme. This scheme is underspent by £65k due to contractor costs being lower than anticipated at the outset, and provisional sums which were included within the contracts to cover unforeseen works not being required. £43k of this will be used to cover costs at Main Street as additional properties were included in the scheme to allow the whole street to be completed. £22k will be used to fund Holton Road Commercial Grants Programme to improve the commercial shop fronts in Holton Road.
  6. Vale Enterprise Centre (VEC) - It has been requested that this scheme is increased by £26k for additional external works at the VEC and which would predominantly cover new upvc windows. This is to be funded from the Regeneration Reserve.
  7. Llandough Cycle Stands - It has been requested that a new capital scheme totalling £20k is included in the 2017/18 capital programme, funded from s106 monies.
  8. Causeway Improvement Scheme - The retention for this scheme is now due for payment, it has been requested to include a budget of £18k in the 2017/18 Capital Programme to be funded from the Visible Services Reserve.
  9. North Penarth Open Space Improvements - It has been requested that this budget is increased by £483k to be funded from s106 monies. The Council undertook an extensive consultation in the summer of 2016 regarding the 4 parks in the vicinity of Penarth Heights: Plassey Square, Paget Road, The Dingle and Cogan Skate Park. Planting at Plassey Square will be undertaken in autumn 2017. Preliminary design and feasibility works have been undertaken for the proposed new play area and replacement Multi Use Games at Paget Road, it is anticipated that this scheme will be implemented before the end of the financial year. Further, plans are also progressing at The Dingle, in partnership with the Council's Highways Engineers who are reviewing the Windsor Road/Plassey Street Junction. The Council intends to carry out further consultation with the users of Cogan Skate Park, towards the end of this financial year and beginning of next.
  10. Ffordd Y Mileniwm Footway/Cycle Link - It has been requested that a new capital scheme totalling £20k is included in the 2017/18 capital programme, funded from s106 monies. This is to implement the footway/cycle link along Ffordd Y Mileniwm to the train station, so that the route complies with Active Travel.
  11. Barry Regeneration Partnership - Within this scheme there is a budget of £41k for Fforest Community Park, which due to additional ground works requires an increase in budget of £4k. Within the Parks and Grounds Maintenance asset renewal budget, £50k has been allocated for the installation and upgrading of new play areas, quotations for this work have been returned and are less than originally anticipated. It has been requested to vire £4k from Parks and Grounds Maintenance asset renewal to Barry Regeneration Partnership.
  12. Dinas Powys Sustainable Transport Improvements - It has been requested that a new capital scheme totalling £70k is included in the 2017/18 capital programme, funded from s106 monies. This is to implement walking and cycling improvements in the village centre.
  13. St. Athan Sustainable Transport Improvements - It has been requested that a new capital scheme totalling £152k is included in the 2017/18 capital programme, funded from s106 monies. This is to implement walking and cycling improvements in the village centre.
  14. Badgers Brook Public Open Space Enhancement - It has been requested that a new capital scheme totalling £50k is included in the 2017/18 capital programme, funded from s106 monies. This is to upgrade the existing playground.
  15. Fferm Goch Sustainable Transport Improvements - It has been requested that a new capital scheme totalling £70k is included in the 2017/18 capital programme, funded from s106 monies. This is to implement walking, cycling and bus improvements.
  16. Space Project Reduced Office Accommodation - It has been requested to amalgamate the named scheme with the Civic Offices Rewire scheme and the Civic Offices Network Rewire scheme and to rename the scheme 'Civic Offices Rewire/Space Project Reduced Office Accommodation'. The works have been let as one contract, with sub-contractors managing the individual components. It is therefore more efficient and effective to combine the listed schemes.
  17. ICT Allocation - This scheme is being used to support the Welsh Government Learning in Digital Wales 2 Grant and it has been requested that the budget is reduced by £25k as expenditure should be reclassified as revenue.

Resource Implications (Financial and Employment)

  1. There are no direct financial implications of this report.

Sustainability and Climate Change Implications

  1. There are no sustainability and climate change implications.

Legal Implications (to Include Human Rights Implications)

  1. There are no legal implications.

Crime and Disorder Implications

  1. There are no crime and disorder implications.

Equal Opportunities Implications (to include Welsh Language issues)

  1. There are no equal opportunity implications.

Corporate/Service Objectives

  1. Effective monitoring assists in the provision of accurate and timely information to officers and Members and in particular allows services to better manage their resources.

Policy Framework and Budget

  1. This is a matter for Executive decision.

Consultation (including Ward Member Consultation)

  1. Each Scrutiny Committee will receive a monitoring report on their respective areas, which will consider the relevant information relating to the respective Scrutiny Committee. This report does not require Ward Member consultation.

Relevant Scrutiny Committee

  1. All.

Background Papers

None.

Contact Officer

Capital Accountant

Officers Consulted

All Directors.

Responsible Officer:

Carys Lord

S151 Officer