City Deal Programme Update
North Lanarkshire Council · 18 November 2022
Back to Enterprise and Fair Work Committee — 18 November 2022 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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North Lanarkshire Council Report Enterprise and Fair Work Committee Does this report require to be approved? ☐ Yes ☒ No Ref EPT/LN Date 18/11/22 Programme of Work PO21 - City Deal Programme Update From Pamela Humphries, Head of Planning and Regeneration E-mail NobleLy@northlan.gov.uk Telephone Lyndsay Noble 07970016256 Executive Summary The North Lanarkshire City Deal Programme Update report seeks to inform the Enterprise and Fair Work Committee of the current status of North Lanarkshire City Deal Infrastructure subprojects. Recommendations It is recommended that the Committee: 1) Note the status and recent progress of the North Lanarkshire City Deal infrastructure subprojects. The Plan for North Lanarkshire Priority Improve economic opportunities and outcomes Ambition statement (5) Grow and improve the sustainability and diversity of North Lanarkshire's economy
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1. Background 1.1 The Glasgow City Region (GCR) City Deal is an agreement between the UK and Scottish Governments and the eight GCR Local Authorities, with the sole focus of creating additional economic growth. The 20-year GCR Deal was accepted by GCR Council Leaders on 20 August 2014 and incorporated: • implementing a £1.13bn Infrastructure Fund to improve the regional transport network, regenerate sites for economic use and improve public transport provision; • supporting growth in the life sciences sector; • helping small and medium enterprises to grow and develop; • establishing programmes to support the unemployed; and • piloting new ways of boosting the incomes of low wage employees. 1.2 The City Deal programme for North Lanarkshire as part of the Infrastructure Fund comprises the following projects: • A8/M8 Corridor Access Improvements o Strategic Active Travel (Eurocentral Park and Ride deferred) o Orchard farm Roundabout • Glenboig Link Road (complete) • Pan-Lan Orbital Transport Corridor o East Airdrie Link Road o Ravenscraig Access Infrastructure o Motherwell Town Centre Transport Interchange 2. Report 2.1 Motherwell Town Centre Transport Interchange (MTCTI) 2.1.1 The redevelopment of Motherwell Rail Station by ScotRail’s appointed contractor, Balfour Beatty, is significantly underway however is experiencing delay. Work is progressing on the station frontage, internal concourse area and construction of the new retail space. Access to the station and platforms for passengers will continue to be maintained throughout the improvements. 2.1.2 Balfour Beatty have also been appointed by the council to undertake the improvement works to Muir Street comprising expansion of the bus stop; provision of a new access road to Motherwell Rail Station with new taxi rank and public realm improvements. 2.1.3 Both the Motherwell Rail Station and Muir Street contracts were scheduled to be complete by July 2022. Due to delays in delivering the station contract, works are now expected to continue until early next year, with the Muir Street works expected to be complete by the end of the calendar year. The council are working with Balfour Beatty to examine solutions to minimise the impact of delays of the station works on the Muir Street contract and the town centre. Progress on formation of the new bus bays has been delayed and it is now aimed that the expanded bus stop, and refurbished bus shelter will be reopened by November 2022. It is anticipated that the new access road and new taxi rank will open in December 2022, with small areas of remaining works completed after the new station roof is installed and widened station forecourt is complete. It is aimed that all works will be completed by early 2023.
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2.1.4 Construction access and pedestrian management arrangements are being coordinated between the contracts, to minimise disruption. Some road closures of short duration have been put in place to date for the Muir Street works to carry out some activities safely. Further road closures will be needed to complete work on expanding the bus bays. For each road closure, advance notification is provided to local businesses and the public (through signage on site, website updates and other communication channels). Road closures are arranged at weekends to minimise disruption to the town centre. Officers within the Enterprise Projects Team are working with the communication team at Balfour Beatty and the Motherwell Rail Station Communications Group to ensure that communications are coordinated across both contracts. 2.1.5 A Community Benefits Plan has been agreed with Balfour Beatty for the contract. To date, a number of skills, employability and training initiatives have been delivered, including a careers event, work experience placements and mock interviews. An initiative has been delivered with Our Lady’s High School and a commitment made to support five local community projects, with arrangements for delivery now in place with each group. These projects were identified in consultation with the Motherwell Community Board. 2.2 Ravenscraig Access Infrastructure 2.2.1 The Ravenscraig Access Infrastructure project comprises three projects: • a new road connection between Motherwell and Ravenscraig from Airbles Road, passing under the West Coast Main Line railway, and on to the Regional Sports Facility • completing the dualling of Airbles Road between Airbles Farm Road and Hamilton Road and improving facilities pedestrians and cyclists • upgrading the A723 for three kilometres from the New Craig Road junction at Ravenscraig to the M8 at Holytown to create a dual carriageway and shared footway/cycleway 2.2.2 The project will be delivered in phases beginning with the new rail bridge for the future connection between Motherwell and Ravenscraig. 2.2.3 Good progress continues to be made by Story Contracting, with the construction of the rail bridge currently running ahead of programme. Whilst not shortening the overall programme, this does provide greater programme contingency for the works that are required to take place over the winter and ahead of the track closure in April 2023. 2.2.4 In preparation for the next phases of works, the project team: • Are continuing to prepare the detailed specifications and tender documents for the procurement of the new connection from Ravenscraig to Motherwell - the tender is expected to be published in January (owing to delays on confirming final arrangements for utilities). The contract is expected to awarded and commence in the summer 2023 following City Deal and Committee approval and once the bridge is fully complete. • have completed the demolition and clearance of the former Dellburn Trading Park allowing Story Contracting to begin preparations of the west side of the railway; • continue to seek to negotiate with all other owners and occupiers for the remaining land required to deliver all parts of the Ravenscraig Infrastructure Access project - acquisitions are reported to, and approved as required by, Finance and Resources Committee; and
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• have begun refining and developing the detailed proposals for the dualling of the A723 from Ravenscraig to the M8 at Holytown following the appointment of Amey in June. 2.2.5 Related to this project, a planning application has been submitted for an alternative location for the Evans Halshaw Ford car dealership which, if permitted, will allow the business to be retained within Motherwell, following relocation to facilitate the new road connection between Motherwell and Ravenscraig. 2. 3 East Airdrie Link Road 2.3.1 East Airdrie Link Road will provide a new strategic link between the M8 and south Cumbernauld. Following a detailed Stage 2 option appraisal, and a further review of the emerging option, a preferred route has now been agreed. Feedback from Stage 2 public consultation has been reviewed and will help inform the project moving forward. Further public consultation has taken place from November 2022 for 6 weeks on the preferred route and on the environmental report as part of the Strategic Environmental Appraisal. 2.3.2 A section of the preferred route has been realigned to accommodate the proposed Monklands Hospital replacement project. The project team continue to liaise with NHS Lanarkshire to ensure coordination, secure efficiencies and to maximise benefits. 2.3.3 In line with previous approvals, the procurement for professional services to develop and deliver the EALR including design and engineering, cost consultancy, project and contract management together with site supervision and quality control for the preferred route has commenced. The outcome of this procurement activity will be brought back to Committee in line with General Contract Standing Orders. 2.4 Orchard Farm Roundabout 2.4.1 The ‘A8/M8 Corridor Access Improvements’ Outline Business Case (OBC) including the Orchard Farm Roundabout was approved by the GCR Cabinet on 30 August 2022. As reported, the scope of the Orchard Farm Roundabout project comprises a financial contribution of £2m to the developer for the construction of the junction on the A8. The roundabout secured Planning consent in January 2020 and supporting technical approvals including a Minute of Agreement with Transport Scotland have been secured by the developer or are in final stages of agreement. 2.4.2 The Orchard Farm Roundabout is a new junction on the A8 All Purpose Distributor Road and critically supports the development of the Mossend International Rail Freight Park (MIRP) and provides important access to a number of development sites to the north of the A8/M8. 2.4.3 MIRP is a low carbon rail-based infrastructure project with a significant co-located logistic park development. Peter D Stirling Limited (railfreight terminal operator/landowner) and Mount Park (new landowner) seek to develop the Mossend Railfreight Terminal into a European scale railfreight terminal and distribution park with all-electric facilities. MIRP is one of very few sites within the UK that can offer integrated multi-modal logistics of this scale, quality and economic value. The MIRP supported the bid for the Clyde Green Freeports.
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2.4.4 The OBC and proposed Full Business Case (FBC) will be underpinned by a funding agreement between the council and the developer/s and will establish funding arrangements, obligations and key milestones. The remainder of the costs and any associated delivery risks relating to the delivery of the infrastructure will be met by the developer/s. The infrastructure will form part of the strategic road network and will fall under the responsibility of Transport Scotland. 2.4.5 It is proposed to submit the Full Business case (FBC) for the Orchard Farm Roundabout for approval to the GCR Chief Executive’s Group during 23/24. The FBC will report on the procurement of the new Junction and associated works and is the final stage in the funding approvals to allow for contract award and the delivery of the infrastructure to progress. Agreement will be sought from Committee to submit the FBC to the GCR Chief Executives Group for approval in due course. 2.5 Eurocentral Park and Ride 2.5.1 A change control has been approved by the GCR Cabinet to defer the Eurocentral Park and Ride sub project within the NL City Deal Programme. This follows a feasibility study recommendation that there is insufficient demand for this use at this location at this time. 2.5.2 An updated options appraisal for the Eurocentral sub-project took place, to assess other infrastructure options that can be delivered now to improve sustainable transport connections to Eurocentral/Maxim Office Park and Newhouse from surrounding local areas and the wider region. The need for sustainable transport improvements has been identified, to remove barriers to accessing jobs at these strategic employment locations. 2.6 A8/M8 Corridor Strategic Active Travel 2.6.1 The provision of Strategic Active Travel Links, connecting Eurocentral/Maxim Office Park/Newhouse and Mossend to surrounding local communities and local rail stations has been approved by GCR Cabinet on 30 August as the new preferred option for the Eurocentral sub-project. This has been prioritised over the Park and Ride to ensure needs can be met now and to maximise the City Deal funding. 2.6.2 The routes identified are to the south of Eurocentral between Bellshill and Newhouse via Holytown and to the north of Eurocentral linking Whifflet rail station with the M8 Cycle Route at Shawhead and leading to Eurocentral and Maxim Office Park. These routes are designated as Strategic Network Routes within the North Lanarkshire Active Travel Strategy. 2.6.3 In total, it is aimed to deliver 10km of shared use walking and cycling routes with City Deal investment. The routes link with other planned active travel route improvements as part of the Ravenscraig Infrastructure Access and East Airdrie Link Road projects. There are also opportunities to seek match funding from other external funding sources to expand the scope of the project to connect more communities to employment opportunities. 2.6.4 Further feasibility and design work is required to develop the active travel routes. With the approval of the A8/M8 Corridor Access Improvements OBC, it is planned to appoint consultants to progress detailed design work in early 2023. It is then intended, subject to Committee approval, to submit the sub-project Full Business Case in early 2024 and commence work on site in Spring 2024.
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3. Measures of success 3.1 As the second largest Local Authority within the GCR, North Lanarkshire’s residents and businesses will directly benefit from the City Deal through: • creation of 2,000 new workplace jobs, representing a 1.6% uplift in the future jobs growth forecast for North Lanarkshire; • a significant share of some 15,000 temporary construction jobs anticipated to be generated by the development of the Infrastructure Investment Fund projects – construction being a predominant local employment sector; • estimated 9.2% of North Lanarkshire working age residents having heightened access to employment opportunities within the wider GCR area; • additional tender opportunities as a result of GCR City Deal investment for North Lanarkshire Business and SME’s; • community benefits derived from all GCR City Deal contracts awarded over £50,000; and • a proportionate share of the £2.2bn per annum Gross Value Added (GVA) increase in the GCR area over the lifetime of City Deal, equivalent to 4% uplift in the region. 4. Supporting documentation 4.1 No supporting document presented. Pamela Humphries Head of Planning and Regeneration
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5. Impacts ( http://connect/report-template-guidance ) 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The City Deal Cabinet has agreed that Inclusive Growth is to be fully embedded within the GCR City Deal programme delivery and that it is also committed to supporting the delivery of the Fairer Scotland Action Plan. Future NLC subproject OBC/FBC development will be scrutinised to ensure it meets the duties of the Fairer Scotland Action Plan. If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality-and-fairer- scotland-duty-impact-assessments Yes ☒ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts have been discussed and agreed with Financial Solutions? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The North Lanarkshire Council City Deal Programme approved funding allocation across the 3 headline projects is as: • A8/M8 Corridor Access Improvements £6,478,521 • Glenboig Link Road (complete) £6,223,205 • Pan-Lan Orbital Transport Corridor £215,696,493 The City Deal funding comprises funding from the GCR City Deal Infrastructure Fund (£148,956,293) and North Lanarkshire Council (£79,441,926). The financial implications of the City Deal Programme are incorporated within the Council’s Long- term Financial Plan and to date budgetary implications have been approved by the Policy and Strategy Committee. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts have been discussed and agreed with People and Organisational Development? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts have been discussed and agreed with Legal and Democratic Solutions?
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Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ 5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for technology, has an assessment been carried out (or scheduled) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? All infrastructure projects developed by the Council as part of the GCR City Deal will be subject to relevant environmental and sustainability appraisal and as part of subsequent planning application approvals and procurement. Furthermore, to adhere with HM Treasury Greenbook best practice, each iteration of project business case seeking GCR City Deal funding will include a review of the sustainability considerations, this will include carbon management, involving categorisation, assessment and mitigation. 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The City Deal programme and the delivery of the projects will continue to be promoted through Corporate Communications and the Glasgow City Region’s Communications team. Specific to Muir Street Improvements, a joint communications group with Scotrail, Transport Scotland and North Lanarkshire Council has been set up to coordinate
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communication and promote the Motherwell Station redevelopment and the City Deal Muir Street improvements. 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? A key risk for the City Deal Programme is the current global economic climate and its short and long term impacts on the delivery of the city deal projects. This risk is becoming a live issue for the Programme and will be assessed and recorded within the City Deal Issues Register. This is not unique to City Deal and the approach to this risk and issue management will be carried out in conjunction with Finance and the Glasgow City Region Project Management Office. Risk management of North Lanarkshire’s City Deal activity is incorporated within the council’s City Deal programme risk register which is reviewed by the City Deal Manager and reported to the council’s City Deal Board. The City Deal risks are also integrated in the Planning and Regeneration Service Risk Register. Each City Deal sub project has a detail risk register and is managed by the Project Manager.